• Rental income after disposals at EUR 11.6 million (Q1 2025: EUR 14.0 million)• FFO I at EUR 0.3 million (Q1 2025: EUR 2.1 million), decline primarily due to property sales• 2026 forecast confirmed: rental income EUR 41.5 to 43.5 million; FFO I EUR -1.0 to 1.0 millionLangen, 7 May 2026. In the first quarter of 2026, DEMIRE Deutsche Mittelstand Real Estate AG (ISIN: DE000A0XFSF0) performed in line with operational plans based on its reduced portfolio. The results were in line with previously communicated expectations and underscore the high degree of predictability of the business model.
Rental income and FFO I in line with expectations following disposals, EBIT significantly improved due to lower fair value adjustments on properties
As expected, rental income fell by 17.3 per cent to EUR 11.6 million (Q1 2025: EUR 14.0 million) as a result of the reduced portfolio size. Earnings before interest and taxes (EBIT) rose significantly over the same period to EUR 2.7 million (Q1 2025: EUR -3.4 million). In the previous year, higher negative fair value adjustments on properties had weighed on EBIT.
FFO I (after tax, before minority interests and interest on shareholder loans) amounted to EUR 0.3 million in the reporting period (Q1 2025: EUR 2.1 million). This development is also largely a consequence of the reduction in DEMIRE's property portfolio.
Dr Dirk Rüffel, CEO of DEMIRE, comments: "Our sales strategy sets out a clearly defined framework for our future development, and this is reflected in our key performance indicators. At the same time, we are actively managing the current rise in vacancy rates resulting from the expiry of major leases, whilst exercising sound judgement. Through the disciplined repositioning of our portfolio, we are strengthening the company's operational foundation and paving the way for future value creation."
Following disposals, the market value of the DEMIRE portfolio fell to approximately EUR 670.2 million (YE 2025: EUR 688.3 million). At the same time, the net asset value (NAV, undiluted) fell by EUR 0.11 to EUR 1.48 per share during the reporting period (YE 2025: EUR 1.59).
In the first quarter of 2026, DEMIRE handed over the properties in Flensburg and Bonn (partial sale) that had been sold in 2025 to their new owners.
Increase in the remaining term of lease agreements
Leasing activity fell to 2,700 m² (Q1 2025: 25,500 m²), due to the weak economic environment. The EPRA vacancy rate (excluding properties classified as project development) rose to 21.0 per cent (YE 2025: 16.4 per cent) due to expired leases. The average remaining lease term (WALT) for the entire portfolio has increased to 5.2 years (YE 2025: 4.7 years).
Falling cost of debt and a lower net loan-to-value
The average nominal cost of debt as at the reporting date was 4.74 per cent per annum (excluding shareholder loans), representing a slight decrease compared with the end of 2025 (4.83 per cent per annum). The net loan-to-value (Net LTV) also fell to 41.2 per cent (end of 2025: 41.8 per cent). Cash and cash equivalents remained virtually unchanged at EUR 53.7 million as at the reporting date. Tim Brückner, CFO of DEMIRE, adds: "We have further strengthened our financial profile in the first quarter through consistent management of ...
