HAMBORNER REIT AG – Agreement signed for two pedestrianised area properties in Koblenz and Siegen:

Press Release

HAMBORNER REIT AG - Agreement signed for two pedestrianised area properties in Koblenz and Siegen

Duisburg, 06 October 2014 - In the last few days, HAMBORNER REIT AG has signed a purchase agreement for two retail properties in Koblenz and Siegen valued at a total of around EUR24 million.

The property in Koblenz, which was last comprehensively modernised in 2002, is located in the best part of Löhrstrasse, a revamped pedestrianised area with high footfall. The property has a rental area of around 3,300 m². The main tenant with 2,200 m² of space is a branch of the clothing retailer H&M. Württembergische Versicherung has also leased office space at the location. Rental income amounts to around EUR632,000 p.a., the purchase price is EUR11 million and the gross initial yield is around 5.8%.

The property in Siegen is a six-floor commercial building in Bahnhofstrasse, an attractive pedestrianised area with a varied range of retail opportunities. Built in 1968 and modernised on an ongoing basis, the property has a rental area of around 7,100 m². The tenant is the clothing retailer C&A. Rental income amounts to around EUR931,000 p.a., the purchase price is EUR13 million and the gross initial yield is around 7.2%.

The transfer of the two properties is expected before the end of November 2014.

The seller does not wish to be named.

With the acquisitions in Bad Homburg (pedestrianised area property), Aachen (administrative centre) and Berlin (T-Damm Center), HAMBORNER REIT AG has therefore signed purchase agreements for around EUR78 million this year. As part of its intended portfolio optimisation, the company has also sold a total of seven smaller properties no longer consistent with strategy in Moers, Wuppertal, Hanover, Frankfurt, Berlin, Hamburg and Kamp-Lintfort for a combined purchase price of EUR26.3 million.

About HAMBORNER REIT AG

HAMBORNER REIT AG is a stock exchange-listed public limited company that today exclusively operates in the property sector and is positioned as a portfolio holder for high-yielding commercial properties. The company has sustainable rental incomes, with a nationally-dispersed substantial property portfolio as its foundation. Attractive retail trade spaces in key town centre sites of German cities and intermediate centres form the focal point of the portfolio. In addition, the property portfolio includes highly-frequented specialist stores and profitable office buildings, as well as spaces for medical practices.

HAMBORNER REIT AG stands out due to its many years of experience in the property and capital market, its lean and transparent corporate structure as well as its special proximity to the tenants. Since February 18, 2010 HAMBORNER has been a registered Real Estate Investment Trust (REIT) and benefits at company level from exemption from corporation and trade tax.

PR/IR:

Sybille Schlinge
Tel.: +49 (0)203 54405-32
Fax: +49 (0)203 54405-49
E-mail: s.schlinge@hamborner.de
Web: www.hamborner.de