Deutsche Wohnen strengthens its property portfolio in metropolitan regions in West Germany by acquiring almost 3,000 units

Berlin, 18 March 2019. Deutsche Wohnen has concluded an agreement for the acquisition of a portfolio with approximately 2,850 residential and 100 commercial units, structured as an asset deal. The residential units are located in the metropolitan regions of the Rhine-Main area (primarily Frankfurt am Main), Cologne and Düsseldorf, which are amongst the top 7 cities in Germany.

The property portfolio essentially consists of pre- and post-war buildings in central locations. The purchase price of approximately EUR 685 million implies a multiple of 29.1 on a fully rented basis. Initially, the portfolio is expected to generate around EUR 22 million in annual net cold rent.

The acquisition is being financed out of existing balance sheet resources and the proceeds from envisaged disposals (capital recycling). The complete transfer of risks and rewards is subject to approval by the antitrust authorities and is expected to take place up to and including Q3 2019.

With this acquisition, Deutsche Wohnen is underlining its focus on economically strong metropolitan regions in Germany. The company continuously enhances its portfolio quality by making selective disposals and acquisitions.

Deutsche Wohnen

Deutsche Wohnen is one of the leading publicly listed property companies in Germany and Europe. Its operating focus is on managing and developing its portfolio, concentrating on residential properties. As of 30 September 2018, its portfolio comprised 165,634 units, of which 163,057 are residential and 2,577 commercial. Deutsche Wohnen is listed on Deutsche Börse's MDAX index and also traded on the leading indices EPRA/NAREIT, STOXX^(R) Europe 600 and GPR 250.

Important note

This publication is neither an offer to sell nor a solicitation to buy securities.

To the extent that this document contains forward-looking statements, these are not facts and are recognisable by such words as 'will', 'expect', 'believe', 'estimate', 'intend', 'endeavour', 'assume' and similar expressions. These statements express the intentions, opinions or current expectations and assumptions of Deutsche Wohnen and the individuals acting in concert with it. The forward-looking statements are based on current plans, estimates and forecasts that Deutsche Wohnen and the individuals acting in concert with it have made to the best of their knowledge, but do not make any claims as to their future accuracy. Forward-looking statements are subject to risks and uncertainties that are generally difficult to predict and are usually not within the control of Deutsche Wohnen or the individuals acting in concert with it. It should be remembered that the actual results or consequences may differ considerably from those mentioned or contained in the forward-looking statements.