The DIC Group is one of the leading investors in the German market for commercial real estate

Press Release

2012 Shareholder Meeting of DIC Asset AG

Frankfurt, 03.07.2012

• All agenda items approved by clear majority votes – dividend of 35 cent per share set
• Letting volume fully on track at around 105,000 sqm 
• Debt financing volume of approx. EUR 500 million arranged during H1 2012 
• New acquisition over EUR 44 million for the “DIC Office Balance I” institutional fund
  

At today’s shareholder meeting of DIC Asset AG (WKN 509840/ ISIN DE0005098404) in Frankfurt am Main, which ended at 12:50 CET, the Chairman of the Board of Directors, Ulrich Höller, also discussed the operative development during the first semester 2012, quoting initial preliminary figures.

The great letting performance seen early in the year persisted in the second quarter. According to a first preliminary assessment, the letting volume amounted to around 105,000 sqm during the first six months (Q1 2012: 51,900 sqm, H1 2011: 137,800 sqm). This interim result is fully according to plan for the year as a whole, and confirms the sound operative performance of the in-house real estate management of DIC Onsite. The Company believes that it is well on its way to achieve its operative targets, one of them being the reduction of the vacancy rate by one percentage point to around 11.5 per cent by the end of the year.

Moreover, sound results were achieved in regard to upcoming debt financing decisions. To date, eleven loans in a total volume of approximately EUR 500 million were arranged for refinancings of portfolios or single assets, for acquisitions and for project financings. In the process, the Company collaborated with more than a dozen German banks. All of the debt rollovers planned or required in 2012 have already been implemented or else been arranged in the form of binding premature approvals. As single biggest transaction, this included the debt refinancing of a portfolio from the co-investment segment in a volume of more than EUR 90 million. The new lender is HSH Nordbank, a bank with whom debt financing over approx. EUR 40 million had been fixed for two single properties in late 2011. This latter case, too, involved the repayment of a loan approaching maturity, and simultaneously the optimisation of its financial structure. As before, the debt financing for the existing properties was agreed long-term, subject to non-recourse loan structures and on favourable terms so that the currently low interest level is secured for the long run.

DIC Asset AG also announced the acquisition of another office property, involving an investment volume of approximately EUR 44 million and for the “DIC Office Balance I” institutional real estate fund. The investment asset represents the new construction “Loftwerk” in an excellent office location in Eschborn near Frankfurt being constructed by HOCHTIEF Projektentwicklung, With the completion still six months away (year-end 2012), about 75 per cent of the property is already let long-term to three high-net-worth tenants. The property, which provides a lettable area of 14,700 sqm, is characterised by a high-end fit-out and complies with the latest green building standards (DGNB certification). The transaction was brokered by Trompetter Immobilien. With transfer of ownership the acquisition brings the fund volume of “DIC Office Balance I” up to approximately EUR 315 million.

With around 73 per cent of the share capital represented at the shareholder meeting, the motions submitted by the senior management were passed with clear majorities for every item on the agenda (for a summary of the voting results, see the table below), among them the distribution of a dividend in the amount of EUR 0.35 per share (2011: EUR 0.35). Based on the current share price, the dividend yield equals around 5.2 per cent. Prof. Dr. Gerhard Schmidt (Chairman), Klaus-Jürgen Sontowski (Deputy Chairman) and Michael Bock were re-elected as Members of the Supervisory Board for another term.

For more details on DIC Asset AG, please visit us on the internet at www.dic-asset.de.
 
Summary of the voting figures:

About DIC Asset AG:
Established in 2002, DIC Asset AG, with registered offices in Frankfurt/Main, is a real estate company with a dedicated investment focus on commercial real estate in Germany, pursuing a return-oriented investment policy. Real estate assets under management amount to approx. EUR 3.3 billion, comprising around 270 properties, of which EUR 2.2 billion is carried on DIC Asset AG's statement of the balance sheet. The Company's investment strategy is geared to the continued development of a high-quality, highly profitable and regionally diversified portfolio. The real estate portfolio is structured in two segments: the Commercial Portfolio (EUR 1.9 billion) comprises existing properties with long-term rental contracts generating attractive rental yields. The Co-Investments segment (EUR 0.3 billion) comprises fund investments, joint-venture investments, and interests in development projects. We provide a direct service to tenants through our own real estate management teams in six branch offices located at the regional hubs within our portfolio. This provides us with an edge in terms of market presence and expertise, and builds the foundation for maintaining and increasing the value of our real estate assets. DIC Asset AG has been included in the SDAX® segment of the Frankfurt Stock Exchange since June 2006. The Company's shares are also included in the EPRA index, which tracks the performance of the most important European real estate companies.

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