STRABAG Property and Facility Services GmbH (STRABAG PFS) has been awarded a comprehensive property management contract by DEMIRE Deutsche Mittelstand Real Estate AG (ISIN: DE000A0XFSF0) for its portfolio of 65 properties with a total leasable area of more than 1.0 million square meters. The contract runs for three years. The two companies agreed not to disclose the contract volume.

DEMIRE’s portfolio comprises commercial properties throughout Germany. The investment strategy focuses on economically strong ABBA locations with long-term potential. Users include small, medium-sized and large companies as well as public sector tenants.
In addition to commercial and technical property management, the agreed services also include data collection and analysis for reporting that meets the ESG criteria under the EU taxonomy for real estate.

"We are pleased that this mandate has enabled us to continue and even expand our cooperation with DEMIRE. Through our thoroughly digitalized processes, we are able to analyze the necessary information and achieve the best possible results for all parties involved in a trusting collaboration," said Marko Bohm, Managing Director at STRABAG PFS.

Ingo Hartlief, CEO of DEMIRE AG, says: "We have come to know STRABAG PFS as a high-performance and reliable property manager. We are therefore very pleased to expand our partnership. With the new contract, we are also further institutionalizing our portfolio at the organizational level. In this way, we are optimizing our processes and realizing further efficiency benefits."

STRABAG PFS has already been managing part of the DEMIRE portfolio since 2018. With the service contract that has now been concluded, the mandate has been expanded to include nine additional properties as well as in terms of the services to be provided.

About DEMIRE Deutsche Mittelstand Real Estate AG

DEMIRE – REALize Potential – DEMIRE Deutsche Mittelstand Real Estate AG acquires and holds commercial real estate in mid-sized cities and up-and-coming locations bordering metropolitan areas across German. The Company’s particular strength lies in realising the potential of the properties at these locations while focusing on a range of properties that appeals to both regional and international tenants. As of 31 December 2021, DEMIRE’s portfolio contains of 64 assets with lettable space totalling about 1 million sqm. Including the proportionately acquired Cielo property in Frankfurt/Main, the market value amounts to so approximately EUR 1.7 billion. The portfolio focuses on office properties with a blend of retail, hotel and logistics properties results in a return / risk structure that is appropriate for the commercial real estate segment. The Company places importance on long-term contracts with solvent tenants and the realisation of the properties‘ potential. DEMIRE anticipates continued stable and sustainable rental income along with solid value appreciation and expects the portfolio to grow significantly in the medium term. As it expands its portfolio, DEMIRE is concentrating on FFO-strong assets with potential and, at the same time, disposing of properties that are not in line with its strategy. DEMIRE is taking several steps to further the development of its operations and processes. Next to cost consciousness, the operating performance is set to improve through an active asset and portfolio management approach.
DEMIRE Deutsche Mittelstand Real Estate AG shares are listed in the Regulated Market (Prime Standard segment) of the Frankfurt Stock Exchange.