alstria Office REIT : adds two new leases comprising 4,400 sqm in Hamburg and Stuttgart
10/21/2019 | 12:06pm EST
alstria adds two new leases comprising 4,400 sqm in Hamburg and Stuttgart
Hamburg, October 21, 2019 - alstria office REIT-AG (symbol: AOX, ISIN: DE000A0LD2U1) announces the signature of two new leases in Hamburg and Stuttgart.
alstria has signed a new lease for its development asset in Amsinckstr. 28 (Hamburg). The new tenant will lease up approximately 2,700 square meters of office and ancillary space for a lease-term of 10 years and generates an annual rental income of EUR 529,200. With this new lease, the building is 80% let. Compared to the situation prior to the refurbishment, alstria managed to increase the rent per square meter by around 60% from EUR 9.70 to EUR 15.20. The refurbishment project involves an investment of around EUR 1,100 per square meter generating an incremental yield on capex of approximately 6.0%.
In Stuttgart alstria has signed a new lease for its asset in Epplestr. 225 comprising 1,700 square meters of office and ancillary space. The 5-year lease will start in the second half of 2020 and generates an annual rental income of EUR 370,000. With this new lease alstria re-let around 90% of the 13,000 square meters that have been vacated by Daimler AG in December 2018.
The leasing contract in Hamburg was brokered by Cushman & Wakefield LLP, the lease in Stuttgart was brokered by Immobilien Schmidt GmbH.
The office building in Amsinckstr. 28 comprises a lettable area of 8,800 square meters and is located in the direct vicinity of Hamburg's main railway station. alstria acquired the building in 2006 and is currently refurbishing the asset. See the building on google maps.
The office campus 'Sternhöhe' comprises a lettable area of 107,500 square meters and is located at Epplestr. 225 in Stuttgart (Möhringen). alstria acquired the building in 2006 in a sale-and-leaseback transaction with Daimler AG. See the building on google maps.
alstria office REIT AG is the leading real-estate operator focusing solely on German office property in selected German markets. Our strategy is based on the ownership and an active management of our properties throughout their entire life cycle, strong added-value services to our customers and deep knowledge of the markets in which we operate. alstria strives for sustainable long-term value creation while taking advantage of short-term arbitrage of inefficiencies in the real estate markets. The portfolio comprises 116 buildings with a lettable area of 1.5 million square meters and a total portfolio value of EUR 4.2 billion.
This release constitutes neither an offer to sell nor a solicitation of an offer to buy any shares. As far as this press release contains forward-looking statements with respect to the business, financial condition and results of operations of alstria office REIT-AG (alstria), these statements are based on current expectations or beliefs of alstria's management. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or performance of the Company to differ materially from those reflected in such forward-looking statements. Apart from other factors not mentioned here, differences could occur as a result of changes in the overall economic situation and the competitive environment - especially in the core business segments and markets of alstria. Also, the development of the financial markets and changes in national as well as international provisions particularly in the field of tax legislation and financial reporting standards could have an effect. Terrorist attacks and their consequences could increase the likelihood and the extent of differences. alstria undertakes no obligation to publicly release any revisions or updates to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
Alstria Office REIT-AG published this content on 21 October 2019 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 21 October 2019 16:05:09 UTC