DGAP-News

DIC Asset AG: successful operative business in the third quarter of 2016 - Seite 2

previous year's level (9m 2015: EUR 16.1 million). This result was driven
by the profits on property disposals of EUR 18.9 million (9m 2015: EUR 14.1
million), a EUR 12.3 million improvement in the net interest result, and
increased fund business fees. Earnings per share amounted to EUR 0.33 (9m
2015: EUR 0.23).

Successful asset management: significantly improved letting performance and
vacancy rate

DIC Asset AG's letting performance during the first nine months of 2016
comprised contracts generating aggregate annualised rental income of some
EUR 22.2 million (9m 2015: EUR 13.6 million), of which EUR 14.6 million
came from renewed rental agreements and EUR 7.6 million from new rentals.
As at the reporting date, the portfolio vacancy rate declined by 1.3
percentage points quarter-on-quarter to 11.9 per cent, reflecting the
positive letting performance. With 0.6 per cent growth, like-for-like
rental income also performed well. The successful new rentals contributed
significantly to this increase, as did rent increases following
contractually-agreed index adjustments in some cases.

During the first nine months of the year, real estate management fees rose
to EUR 18.0 million (9m 2015: EUR 4.5 million), largely driven by current
fund real estate management fees. These increased by EUR 12.8 million, to
reach EUR 16.1 million (9m 2015: EUR 3.3 million).

DIC Asset AG realised year-to-date sales volume of approximately EUR 86
million for the Commercial Portfolio. As a result, DIC Asset AG has already
achieved their sales target of EUR 80-100 million planned for the current
financial year. Including the reduction in joint venture investments the
total transactions amount to around EUR 163 million. The sales achieved an
average mark-up of around 11 per cent over the most recently appraised
market value.

Positive funds business performance

The funds business prospered during the first nine months of 2016, as
projected. To date, acquisitions of around EUR 330 million have been
realised this year. In the current financial year, real estate totalling
approximately EUR 110 million was acquired for the existing funds, and
three retail properties totalling approximately EUR 220 million were
purchased for the planned new retail property fund. With further purchases
planned between now and year-end, the Company anticipates an aggregate
full-year purchase total of around EUR 500 million. In the first nine
months, FFO contributions from fund real estate management and income from