REG - Schroder Euro Real - Major Lease Renewal Secured at Berlin Investment

Schroder European Real Estate Investment TrustAnnouncement

22/05/2025 07:00

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RNS Number : 6479J  Schroder Eur Real Est Inv Trust PLC  22 May 2025

22 May 2025

 

SCHRODER EUROPEAN REAL ESTATE INVESTMENT TRUST PLC

("SEREIT"/ the "Company" / "Group")

 

Major lease renewal secured at Berlin investment, ahead of ERV

Schroder European Real Estate Investment Trust plc, the company investing in
European growth cities and regions, has agreed a 12-year lease regear with DIY
specialist Hornbach, at its Berlin investment. At 11%, Hornbach, which is
publicly listed with a market cap of €1.67 billion, is the second largest
tenant in the Company's portfolio by income.

 

The property comprises 16,800 sqm of lettable area set on a four-acre site and
is situated 10 km south of Berlin's city centre in the densely populated area
of Mariendorf. The triple net lease is subject to indexation and has been
agreed ahead of the 31 December 2024 estimated rental value (ERV).

 

Jeff O'Dwyer, Fund Manager, commented: "Through active negotiations, we have
been able to enhance the portfolio's income security and increase the weighted
average lease expiry by 1.3 years, from 3.0 years to 4.3 years(1).
Furthermore, this re-gear, which is expected to positively impact the asset's
value and liquidity, reflects the tenant critical nature of the property which
is in a submarket witnessing increasing competition from higher value use
classes for land."

 

(1)Term to the earlier of break and expiry as at 31 March 2025.

 

 

 Enquiries:

 Jeff O'Dwyer

 Schroder Real Estate Investment Management Limited   Tel: 020 7658 6000

 Natalia de Sousa

 Schroder Investment Management Limited               Tel: 020 7658 6000

 Dido Laurimore/Richard Gotla/Ollie Parsons

 FTI Consulting                                       Tel: 020 3727 1000

 

 

 

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