Demand for flexible and conventional workspace for small- and medium-sized companies remains strong in Germany, and in the six months to September Sirius Real Estate (SRE) managed to let out over 70,000 sq m of space at an average rate of €5.10 (£3.60) per sq m. However, vacations were much higher than usual at over 90,000 sq m, although this provides an opportunity to improve on the average €3.78 per sq m the former tenants were paying.
IC TIP:
Buy
at
0.52€
Sirius continues to make progress in re-using around 100,000 sq m of previously unlettable or underrented space. For an investment of €10m, this is expected to generate additional annual rental income of around €4m, and the group is already halfway towards achieving this.