Aareal to resume dividend payment for 2013

German property lender Aareal Bank expects to pay its first dividend in five years next year as market conditions continue to improve.

In the announcement of its full-year 2012 preliminary results, the Wiesbaden-based group said the payout for 2013 will, however, depend on wider market conditions.

'After a good start into 2013, we look ahead with confidence,' said Chairman Wolf Schumacher. 'We are in a position to continue with our positive development, despite a changed framework.'

In the fourth quarter - Aareal's strongest last year - consolidated operating profit amounted to €46 mln, just €1 mln short of the figure for 2011. Full-year operating profit came to €176 mln versus €185 mln a year before. Provisions for credit losses dropped to €106 mln in the 2012 financial year, while the firm's consolidated net income was €85 mln, down 9% on the previous year's figure.