DGAP-News: Coreo AG

Coreo's real estate portfolio continues to grow: Purchase agreement signed for 430 residential units in Göttingen, Germany
 

Frankfurt am Main, Germany - 5 April 2018 - Coreo AG (WKN: A0B9VV, ISIN: DE000A0B9VV6, Ticker: NNS) has signed a purchase agreement to acquire a residential real estate portfolio with 430 almost fully leased microapartments in and around Göttingen, Germany. With this transaction, Coreo continues to expand its residential portfolio and has gained not only a high and steady cashflow, but also significant value added potential.

The 430 residential properties are distributed over 12 blocks of flats and are primarily located in Göttingen's city centre. With over 13,000 m² of lettable space, the residential properties currently generate approx. EUR 1.2 million net rental income per year. The purchase price is around EUR 9.5 million. Coreo plans to tap into the high potential for value appreciation in the coming years through further investments and active asset management.

"We intend to technologically modernise the portfolio and raise the standard of the residential properties. The property market in Göttingen has shown good growth and there is a sustained demand for small residential properties. As a university city, around 20 % of Göttingen's population are students, along with many young professionals. Against this background, we anticipate a sustainable, significant increase in the value of the properties," explains Coreo Chairman Marin Marinov.

About Coreo AG
Frankfurt am Main based Coreo AG, is a real estate company focussing on commercial and residential properties in Germany. It aims to develop and manage a value-driven real estate portfolio. Active asset management of the properties and their redevelopment shall create high rental income and attractive sales proceeds, so that Coreo establishes itself as a profitable and successful real estate company in the long term.