GAGFAH acquires another 636 apartments
6/4/2007
- Acquisitions in Ludwigsfelde near Berlin
- GAGFAH continues on its growth track
- Steady growth of residential portfolio
The GAGFAH GROUP has acquired 636 apartments in Ludwigsfelde, southwest of Berlin. The overall floor space is about 37,000 square meters. As part of this transaction the GAGFAH GROUP also acquired 10 commercial units. Including the planned modernization the total investment amounts to € 29.4 million. Together with the other portfolios that the GAGFAH GROUP has acquired or agreed to acquire (subject to contract), the portfolio has continuously grown by more than 26,000 units since the IPO in October 2006.
Extensive protective terms have been arranged for lessees. These include
- a ceiling on annual rent increases for the next 10 years
- lifelong protection against termination of lease for persons over 60 years of age and severely disabled individuals, who are lessees on the date of transfer of possession
- exclusion of luxury modernizations
- long-term management by the GAGFAH GROUP and residential unit privatization only if explicitly desired by the lessee.
Burkhard Ulrich Drescher, Chief Executive Officer of the GAGFAH GROUP, emphasizes: "With this purchase, GAGFAH has further expanded its presence in the Berlin area as the second largest retail location after Dresden. We redevelop properties and enhance value. We want satisfied lessees and thus pay particular attention to see that our units are in top shape. With the acquisition of these residential units, lessees get to enjoy a Social Charter that far exceeds statutory provisions."
About GAGFAH S.A. and the GAGFAH GROUP
GAGFAH S.A. is a stock corporation established under the laws of Luxembourg and qualifies as a securitization company under the Luxembourg Securitization Law of March 22, 2004. The most important subsidiaries of GAGFAH S.A. are GAGFAH GmbH, NILEG and WOBA DRESDEN. The core business of the subsidiaries is the ownership, management and purchase of a high-quality and geographically diversified housing portfolio throughout Germany. Owing a portfolio of over 164,000 rental apartments, GAGFAH S.A. is the largest housing company listed in Germany. GAGFAH generates 95 percent of its earnings through the leasing of attractive residential space and continuously strives to further improve its services. GAGFAH is aware of its social responsibility as is evidenced, for instance, by special protective rules in favor of tenants and through the GAGFAH Foundation "People and Living" (Mensch und Wohnen").