HAMBORNER REIT AG: Positive business trend also continues in 3rd quarter of 2010
Income from rent and leases further increased / Operating result (FFO) increased by 20.0 % / Altogether around EUR 62 million invested in attractive property
The increase was primarily thanks to new investments that were made. As of the end of September the vacancy rate is 2.3%, hence 1.4% down on the comparable figure for the previous year (3.7%). When the figure is adjusted to account for rent guarantees it is only 1.2%. In the first nine month HAMBORNER secured an operating result (FFO) of around EUR 9.5 million, an increase of 20.0% on the previous year (EUR 8.0 million). An increase of 15-20% on the previous year's figures is also estimated for the year 2010 as a whole, which is better than previous expectations.
With the assumption of REIT status as of 01.01.2010 and the resulting permanent exemption from corporation tax and local trade tax, the hidden reserves had to be calculated and tax paid on them (exit tax). This resulted in a one-time special effect in the 1st quarter of 2010 which had a negative impact of EUR 2.8 million on the result. However, this had already been absorbed by the 1st half year of 2010 and this led to a balanced result on 30.06.2010. As of 30.09.2010 the result for the period was EUR 2.5 million (EUR 4.4 million in the previous year).
Regarding investments HAMBORNER continued its successful acquisition course. Following the acquisition and transfer of office property in Erlangen, an OBI supermarket in Hilden, a high street building in Kamp-Lintfort and an EDEKA center in Stuttgart by the middle of the year, another office property was acquired in Ingolstadt in the 3rd quarter. The investment volume as of 30.09.2010 is hence EUR 61.8 million. In the 3rd quarter two retail properties in Lemgo and Bad Homburg were officially recorded. With these investments HAMBORNER is successfully implementing its strategy of profit-oriented growth particularly in Southern Germany.
Further interesting properties are currently being examined. The net issue proceeds of around EUR 76 million from the successfully placed increase in capital in October also laid the foundation stone for further growth and continued increase in the FFO.
As of 30.09.2010 the NAV was EUR 9.64 per share. The financial situation of the company continues to be extremely stable and positive. The REIT capital ratio is 54.2 % and the Loan to Value (LTV) is 42.1%. HAMBORNER REIT AG is hence perfectly positioned for future value-creating growth.
HAMBORNER REIT AG
HAMBORNER REIT AG is a stock exchange-listed public limited company that today exclusively operates in the property sector and is positioned as a portfolio holder for high-yielding commercial properties. The company's base consists of sustainable rental incomes via a nationally-dispersed substantial property portfolio. Attractive retail trade spaces in key town centre sites of German cities and intermediate centres form the focal point of the portfolio. In addition, the property portfolio includes highly-frequented specialist stores and profitable office buildings as well as spaces for doctors' offices, apartments and parking spaces.
Furthermore, the company still has approximately 2.4 million m² of undeveloped land areas, which are located predominantly in Duisburg North and in the adjacent municipalities of Dinslaken and Hünxe.
HAMBORNER REIT AG stands out due to many years of experience in the property and capital market, its lean and transparent corporate structure as well as the special closeness to the tenants. The company is a registered Real Estate Investment Trust (REIT) and benefits at company level from exemption from corporation and trade tax.