Corporate News

30/11/2007 | Corporate News

Fair Value Immobilien-Aktiengesellschaft publishes quarterly figures for first time after successful listing

  • Consolidated net income after nine months totals € 6.15 million
  • NAV increases to € 11.43 in comparison to the former issuing price of € 10.00


Munich, November 30, 2007 – Fair Value Immobilien-Aktiengesellschaft has published its first set of quarterly figures after its successful stock market debut on Frankfurt Stock Exchange’s Prime Standard on November 16, 2007 (German Securities Code (WKN): A0MW97, ISIN: DE000A0MW975). The consolidated interim financial statements as of September 30, 2007 are practically the company’s opening accounts, as the company did not acquire its investment portfolio until the end of the third quarter. As a result, income from the portfolio will only be reflected in the consolidated income statement from the fourth quarter of 2007. The consolidated net income for the first nine months totaling € 6.15 million is thus mostly due to the financial result, which stems from the increase in property values.

As of September 30, 2007, Fair Value Immobilien-AG’s net asset value (NAV) amounted to EUR 102 million, with the NAV per share thus totaling € 11.43. This intrinsic value is likely to increase further as a result of ongoing rental income starting in the fourth quarter and also the pre-listing capital increase with a volume of around € 5 million.

The third quarter was characterized by an offering to investors in 14 closed-end commercial real estate funds to exchange their interests for shares of Fair Value. Around 2,100 investors availed of this opportunity and converted their limited partners’ shares at the NAV as of December 31, 2006. Furthermore, additional fund investors sold their interests to Fair Value Immobilien-AG against payment of the purchase price. This means that the company thus participates indirectly in a pan-German, highly diversified real estate portfolio comprising 52 commercial projects, with a proportionate market value of around € 246 million due to Fair Value. The proportionate annual rent due to Fair Value of around € 20 million is well secured with a rental level of more than 96% for more than 6 years.

In addition, after the balance sheet date, the company further expanded its portfolio by directly acquiring 33 commercial properties with a total rental area of around 45,400 m². These properties are mostly used as bank branches and, after the hand-over in December 2007, they have an economic rental level of 98% with rental agreements with an average term of 13 years. They will secure income of approx. € 3.4 million each year in future for Fair Value. The main tenant, accounting for 84%, is Sparkasse Südholstein. This savings bank benefited from selling its portfolio to Fair Value as a result of the exit tax privilege thanks to Fair Value's pre-REIT status, and thus only has to tax 50% of its book gains.

The investment in an office building still to be constructed at Düsseldorf Airport with a rental area of 4,600 m² underscores the company’s strategy of investing more strongly in office premises in future.

CEO Frank Schaich is very pleased with the course of business: "Over the past few months we have laid the foundations for continued future growth. Fair Value is superbly equipped to continue its sustained on-track expansion thanks to its highly profitable portfolio of commercial properties. As a result, we believe that we are outstandingly well positioned as a prospective REIT."

The full interim report will be available for download during the course of the day at


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A REIT – Higher Return for Investors

REIT stands for Real Estate Investment Trust. The assets of these listed companies in Germany consist mainly of real estate and investments in other real estate companies.


At the international level, REITs have been established for many years. On 1 January 2007, they were introduced in Germany as well.


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Fair Value REIT-AG