CONSUS Commercial Property AG receives financing and finalises portfolio purchases
Leipzig, 08. Juni 2017 – CONSUS Commercial Property AG has received the financing of EUR 89.5 million and finalised the first portfolio acquisition. CONSUS received attractive terms for loans of EUR 90 million from DG HYP and LBBW Landesbank Baden-Württemberg for debt financing. With an LTV of approx. 62 percent of the annual interest rate is less than 2 percent.
The individual properties purchased from various buyers are located in Hamburg / Norderstedt, Bremerhaven, Cologne (2x), Gelsenkirchen, Mühlheim, Wetzlar and Frankfurt / Eschborn. They have a total lettable area of almost 97,000 square metres and have a leasing rate of 90.7 percent with an average remaining term of lease contracts (WALT) of 5.7 years. The properties generate a total of EUR 10.0 million in annualised rental income, which is now available to CONSUS. The net initial return on the portfolio amounts to 8.2 percent.
After the successful closing of the launch portfolio, CONSUS is now continuing the rapid growth of the property portfolio. Currently, the acquisition of several commercial properties with a market value of between EUR 10 and 25 million each has been initiated – in a number of cases exclusivity and negotiations with sellers are already quite advanced.
Stanley Bronisz, Chief Executive Officer of CONSUS Commercial Property AG, says: “With the closing of our launch portfolio, we have successfully set a solid starting point for our further growth. We are proud that renowned bank partners are financing us to attractive conditions and we see this as proof of the quality of our properties. They also have sufficient development potential to realize our value-add approach. Regarding further acquisitions in the near future, we are aiming to be one of the most important listed office real estate investors in Germany in the coming years. We also intend to establish CONSUS as a sustainable stock in Germany. “
Axel Mühlhaus / Dr. Sönke Knop
Phone: +49 69 905505-52
About CONSUS Commercial Property AG
CONSUS Commercial Property AG is an opportunity-oriented commercial real estate investor with its focus on dynamically building an office property based portfolio. With a value-add approach and acquisitions resulting from unique situations, CONSUS looks to achieve an above-average increase in value and return. CONSUS is dynamically developing the real estate portfolio with the target of being a long term leading commercial real estate investor in Germany. Specializing in properties that have a market value of between 10 and 25 million Euros means it is active in and are able to profit from a less competitive environment compared to other property sizes. With the attractive initial net yields that can be realized in the value-add segment of this size category, it sees itself as being very well positioned for different market cycles and financing environments. A dynamic Asset Management serves the additional realization of values and increasing rental income of the portfolio.Having developed excellent and efficient business structures and liaising with leading partners in the German market in the areas of property acquisition, deal processing and asset management, CONSUS expects to generate substantial funds from operations (FFO).