Source - SMW
Phoenix Spree Deutschland, the UK listed investment company specialising in German residential real estate, has exchanged contracts to sell a portfolio of 34 properties located in Central and Northern Germany for €73.0m. 

On completion, Berlin is expected to represent over 99% of the company's portfolio by value.

The disposal value represents a 26% premium to the 30 June 2017 Jones Lang LaSalle valuation.

Proceeds will be used to reduce debt, fund further acquisitions in Berlin and invest in the existing portfolio.

Further non-core disposals with an aggregate value of €6.7m have been notarised since 30 June 2017, at above book value.

Aggregate disposal proceeds are expected to have a positive impact on EPRA NAV after transaction costs and taxes.

The acquisition of 10 Berlin properties with an aggregate value of €36.5m have been notarised since 30 June 2017.

Following completion of all transactions notarised to date, PSDL will effectively become a pure play Berlin fund. 

Jorg Schwagenscheidt, chief executive of PMM Partners Germany, said: "The transactions announced today are a step forward in our strategy of focusing on and growing the company's portfolio in Berlin. The disposals will strengthen the balance sheet and enable further accretive acquisitions which fulfil the company's strict investment criteria and enhance the long term value of the company."