Deutsche Bank AG, Germany's biggest bank, plans to buy its headquarters in Frankfurt for EUR 272 mln before a planned renovation. The bank made the offer to about 1,300 investors in a DB Real Estate fund that owns the buildings, spokesman Tim Ambrosius said. Deutsche Bank moved into the property in Germany's financial center in 1984. 'It makes business sense because we are investing in the buildings,' Ambrosius said. `We plan to use them for a long time.'
Deutsche Bank AG, Germany's biggest bank, plans to buy its headquarters in Frankfurt for EUR 272 mln before a planned renovation. The bank made the offer to about 1,300 investors in a DB Real Estate fund that owns the buildings, spokesman Tim Ambrosius said. Deutsche Bank moved into the property in Germany's financial center in 1984. 'It makes business sense because we are investing in the buildings,' Ambrosius said. `We plan to use them for a long time.'
Deutsche Bank will this summer move out of its headquarters, comprising two 36-story towers, for about 2 1/2 years while structural and fire-prevention upgrades are carried out. About 2,000 employees will move to a building near the Frankfurt fair, where Deutsche Bank's consumer banking unit is located.
Investors have until July 6 to accept the offer, Deutsche Bank said. The real estate fund will be dissolved if the transaction is completed. Investors will receive an 8.9 percent return based on the offer compared with the normal 6.4 percent return from the fund, according to Deutsche Bank.
Financial Times Deutschland and property newspaper Immobilien Zeitung reported the transaction. (Bloomberg)
