STRABAG PFS wins comprehensive property management contract for DEMIRE portfolio

Mandate includes ESG-compliant reporting.

Frankfurt, 9.3.2022 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 lettable area of more than 1.0 million sqm. The contract runs for three years. The two companies have agreed not to disclose the volume of the contract.

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 within the framework of the EU taxonomy for real estate.

"We are delighted that we have been able to continue and even expand our cooperation with DEMIRE with this mandate. Thanks to our fully digitalized processes, we are able to analyze the necessary information and achieve the best possible results for all parties involved in a trusting cooperation," says Marko Bohm, Managing Director at STRABAG PFS.

Ingo Hartlief, CEO of DEMIRE AG, says: "We have come to know STRABAG PFS as an efficient 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 an organizational level. This will enable us to optimize our processes and realize further efficiency benefits."

STRABAG PFS has already been managing part of the DEMIRE portfolio since 2018. With the service agreement now concluded, the mandate has been expanded to include nine additional properties and the services to be provided.

About STRABAG Property and Facility Services
STRABAG Property and Facility Services (STRABAG PFS) is a leading real estate and industrial services provider that accompanies its customers along the entire value chain and provides comprehensive services for all types of real estate and properties - from offices to industrial and factory sites, technical buildings and data centers to residential properties. The service portfolio includes real estate management, commercial, technical and infrastructural facility management, construction in existing buildings and special industrial services. STRABAG PFS provides all services to a high degree in-house, individually tailored to customers, sectors and locations and is active in Germany, Austria, Poland, Slovakia and the Czech Republic, among other countries. Further information can be found at www.strabag-pfs.de.

About DEMIRE Deutsche Mittelstand Real Estate AG
DEMIRE Deutsche Mittelstand Real Estate AG acquires and holds commercial real estate in medium-sized cities and up-and-coming peripheral locations in metropolitan areas throughout Germany. The Company's particular strength lies in realizing real estate potential in these locations and focuses on an offering that is attractive to both internationally active and regional tenants. As of 31 December 2021, DEMIRE had a real estate portfolio of 64 properties with a lettable area of around 1.0 million square meters. Taking into account the proportionately acquired Cielo property in Frankfurt/Main, the market value amounts to around EUR 1.7 billion. The portfolio's focus on office properties with an admixture of retail, hotel and logistics properties is appropriate for the risk/return structure of the commercial real estate segment. The Company attaches great importance to long-term contracts with solvent tenants and the realization of potential and therefore continues to expect stable and sustainable rental income and solid value growth. DEMIRE's portfolio is to be significantly expanded in the medium term. In expanding the portfolio, DEMIRE will focus on FFO-strong assets with potential, while properties that are not in line with the strategy will continue to be sold in a targeted manner. DEMIRE will continue to develop its operations and processes with numerous measures. In addition to cost discipline, operating performance is being improved through an active asset and portfolio management approach. The shares of DEMIRE Deutsche Mittelstand Real Estate AG (ISIN: DE000A0XFSF0) are listed in the Prime Standard of the German Stock Exchange in Frankfurt.