DGAP-News: Deutsche Industrie REIT-AG acquires three Light-Industrial Properties in Damsdorf, Dinslaken and Wedemark

Deutsche Industrie REIT-AG acquires three Light-Industrial Properties in Damsdorf, Dinslaken and Wedemark

Rostock, 04 December 2019 - Deutsche Industrie REIT-AG (ISIN DE000A2G9LL1) has acquired three Light-Industrial Properties in Damsdorf (Brandenburg), Dinslaken (Northrhine-Westphalia) and Wedemark (Lower Saxony) for its portfolio for a total of EUR 13.3 million.

The warehouse property located southwest of Potsdam, next to the motorway junction A10/A2 is located in the middle of Damsdorf (Brandenburg) and has a rental area of 13,450 sqm. The Single Tenant property generates an annual rent of kEUR 454 and has a remaining lease term of 1.1 years. The tenant specializes in structured archiving of business-relevant documents and has been at the location for more than twenty years. The net initial yield at a purchase price of kEUR 3,300 is 13.8%.

The facility in Dinslaken is a classic production/logistics property with a building area of 3,610 m² on a 22,243 m² site. The location is very conveniently located in the immediate distance to the A3 motorway, which connects the Dutch border through the Ruhr area to the Austrian border. The transaction was carried out in a Sale and Lease Back with a Triple Net rental agreement over five years plus option. The tenant is a mid-sized company that is specialized in the production of safety lighting. The annual net rent is kEUR 167. With a purchase price of kEUR 1,850, the net initial yield is approx. 9.0%.

The logistics property located in Wedemark (Lower-Saxony) has an advantageous connection to the A7 motorway just north of the state capital Hannover. The property is used almost entirely by a large international automobile group, has a total rental area of 20,180 m² and a vacancy rate of approximately 4.6%. The annual net rent is currently kEUR 833, the WALT is approx. 0.4 years. Considering the assets high divisibility possibilities, favourable location, third party usability and short WALT there is a high probability for further rent growth. The purchase price of kEUR 8,150 corresponds to an initial net yield of approx. 10.2%.

For the total investment of kEUR 13,300, the net initial yield for these three properties is 10.9%. The transfer of ownership is expected to take place in the first quarter of 2020.

Including the latest transactions, Deutsche Industrie REIT-AG has a total portfolio of 62 properties with an annualised total rent of around EUR 40.2 million and a portfolio value of around EUR 472 million.

Detailed information about the Deutsche Industrie REIT-AG can be found under:
https://www.deutsche-industrie-reit.de/en/