INCITY SELLS PROPERTY AT BRÖNNERSTRASSE 13/15 IN FRANKFURT AM MAIN AS PART OF A SHARE DEAL
- Opportunity seized and significant book profit to be realised
- Corporate shares to be transferred in early January of 2020
- Continued focus on quality-based expansion of the property portfolio
Frankfurt am Main, 15 November 2019: InCity Immobilien AG has sold the company IC Objekt1 Frankfurt GmbH and thus the medical centre property located at Brönnerstrasse 13/15 in Frankfurt am Main as part of a share deal. The company's property portfolio now consists of eight properties.
InCity has sold 100% of corporate shares in IC Objekt1 Frankfurt GmbH, including the property located at Brönnerstrasse 13/15 in Frankfurt am Main purchased with a notarial deed of sale on 11 July 2014. A significant book profit in the middle single-digit millions range will be realised in this transaction. The implicit sale price of the property exceeds the market value of the property as of 31 March 2019 as determined by an external third party. The parties have agreed not to disclose the sale price of the company. The closing of the transaction and payment of the sale price are subject to various standard closing conditions. The corporate shares in IC Objekt1 Frankfurt GmbH are to be transferred in early January of 2020.
With the sale of this property, with which the initial creation of the InCity Group's property portfolio began in 2014, and with the resulting profit, significant hidden reserves can be realised using the accounting method according to the German Commercial Code (HGB). The associated cash returns can be used to implement measures in the existing properties and expand the high-quality property portfolio as well as for other business purposes.
The quality-based expansion of the property portfolio remains the focus of InCity Immobilien AG's activities. Nevertheless, the company will take advantage of opportunities for sale if this is in the best interest of InCity Immobilien AG and its shareholders.
Reporting and contact person:
Helge H. Hehl, CFA
InCity Immobilien AG
60325 Frankfurt am Main, Germany
Phone: +49 (0)69 7191889 55
15-Nov-2019 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
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