German real estate company VIB Vermogen announced on Tuesday that it has boosted its stake in Burgerliches Brauhaus Immobilien (BBI) from 29% to 54,87%, making it BBI's majority shareholder. 'We were able to acquire the shares for a price considerably below the net asset value of EUR 14.68 per share on account of present market conditions,' CEO Ludwig Schlosser said. The company said it expected to make its offer for the remaining shares public at the end of January.
German real estate company VIB Vermogen announced on Tuesday that it has boosted its stake in Burgerliches Brauhaus Immobilien (BBI) from 29% to 54,87%, making it BBI's majority shareholder. 'We were able to acquire the shares for a price considerably below the net asset value of EUR 14.68 per share on account of present market conditions,' CEO Ludwig Schlosser said. The company said it expected to make its offer for the remaining shares public at the end of January.
BBI has a commercial retail estate portfolio worth some EUR 118 mln. The bulk of the assets are retail properties, located in southern Germany. Besides 16 retail assets, the company also owns 14 historical properties in the Neuburg/Ingolstadt area. The floor space of the current portfolio amounts to around 117,000 m2 and is fully let with an average rental yield of 6.7%. An additional 17 properties are at the development stage and have been sold or are due to be sold.
VIB said that rental income from its real estate portfolio will rise to around EUR 34 mln next year. This implies a growth of about 80% in net rental income in 2008.
