AIM-listed real estate company Deutsche Land has announced profits after tax of EUR 6.2 mln for the six months to 31 July 2007, up from EUR 100,000 for the same period last year. The company said the increase was helped by higher rental income of EUR 9.8 mln - up from nil a year earlier.
AIM-listed real estate company Deutsche Land has announced profits after tax of EUR 6.2 mln for the six months to 31 July 2007, up from EUR 100,000 for the same period last year. The company said the increase was helped by higher rental income of EUR 9.8 mln - up from nil a year earlier.
The company announced that it has agreed and signed heads of terms for joint ventures with two separate German property companies which they expect to be finalised shortly. The joint ventures are with retail real estate company GWB Immobilien (in which Deutsche Land owns a 12.4% stake) and with residential real estate company Rucker Immobilien. The company said the deals will provide access to a wider range of investments and specialist management expertise which will, in turn, enhance the Deutsche Land's return on equity. In addition to its property acquisitions, which bring the entire portfolio valuation to EUR 529 mln, the company said it has been exploring ways of increasing the number of people visiting its shops in Germany.
Stephen Dickinson, non-executive chairman, said: 'I am pleased with the progress the group has made in the period. We have increased our presence in Germany, both through acquisitions, following the successful placing in February this year, and through the proposed joint venture agreements with the GWB and Ruecker companies. Looking ahead, we are confident that the Group has the requisite quality of management resources available to it to successfully expand its operations'.
