Source - RNS
RNS Number : 5080M
Phoenix Spree Deutschland Limited
14 October 2016

14th October 2016


Phoenix Spree Deutschland Ltd


Portfolio Update


Phoenix Spree Deutschland (LSE: PSDL.LN), the UK listed investment company specialising in German residential real estate (the "Fund"), is pleased to announce that it has exchanged contracts to purchase a portfolio of four properties in Berlin ("the Acquisition"). The Fund has also completed the first apartment sale in its latest condominium programme in Boxhagenerstrasse, Berlin.




Portfolio of four Berlin properties notarised for an aggregate consideration of €18.75 million (£16.89million), excluding acquisition costs; representing a price per square metre of €1,970


The Acquisition represents 132 residential units and 16 commercial units


Potential reversionary rental opportunities through modernisation, refurbishment and re-letting at current market rates


Medium term potential to increase the residential footprint


Following completion, and including other recent acquisitions, Berlin will represent around 74% of the fund's portfolio value


Following September launch, first Boxhagenerstrasse condominium sale completed, with a further three reserved 


Condominium sale price of €4,195 per sqm, a 63% premium to July 2015 acquisition value of €2,580 per sqm


The four properties acquired represent over 9,500 square metres of lettable space, 90% of which is residential. Subject to planning permissions, there is scope for attic conversion and the courtyards also offer potential for accretive capex measures as well as new-build. The properties are located in the districts of Mitte and Wedding. Mitte is centrally located and already well established as a favoured location for tenants. Wedding is becoming an increasingly popular residential location and the properties are located in close proximity to the main retail area, benefitting from excellent public transport links.


Jörg Schwagenscheidt, Chief Executive of PMM Partners Germany GmbH, commented:


"We are pleased that the Fund continues to make good progress in securing properties. As well as increasing exposure to the attractive Berlin residential market, the newly acquired properties offer significant scope for value creation through active asset management. Notwithstanding the fact that the market for Berlin residential assets remains competitive, these acquisitions demonstrate that the Fund continues to source attractive properties which fit its strict return criteria. The Fund expects to deploy further capital during the remainder of 2016."



Sterling denominated purchase price value is based on an exchange rate of €1.11 to £1.

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014.


For further information please contact:


Phoenix Spree Deutschland                                                                                             

Stuart Young                                                                      +44 (0) 20 7292 7153


Liberum Capital Limited
Richard Crawley                                                                +44 (0) 20 3100 2222

Christopher Britton                                                       


Bell Pottinger                                                   

Nick Lambert                                                                     +44 (0) 20 3772 2582

Elizabeth Snow


This information is provided by RNS
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