UBM Development : subsidiary buys Potsdamer Hauptpost with adjacent development site

Berlin/Munich, 06-06-2017 Münchner Grund Immobilien Bauträger GmbH - a subsidiary of UBM Development AG - has bought the landmarked Potsdamer Hauptpost and an adjacent vacant plot for a new building in Potsdam. Construction start is planned for the second quarter of 2018.

The exciting Postdamer Hauptpost project strengthens the development pipeline of UBM Development in Germany. The property was acquired in a joint venture with a family office of Nicolas Berggruen Holdings GmbH. The total site area of the project 'Am Kanal/Französische Strasse' covers around 11,450 square meters. The building accounts for approximately 6,560 square meters of this area, with the new building site making up the remaining 4,890 square meters.

The main tenants of the ideally situated commercial property in the heart of Potsdam are currently Deutsche Post and Deutsche Postbank. The building also has a car park with around 100 parking spaces. A number of leasing contracts have recently been extended for long terms.

A building with five full floors, as well as a set-back storey and a basement level, and a total gross floor area of almost 14,600 square meters is to be built on the adjacent new development plot. The new building could be mixed-use, accommodating a hotel, apartments, micro apartments or retail space. The basement level will provide underground parking spaces. The planning and coordination with the authorities regarding the future utilization concept is currently under way.

'We specialize in the asset classes office, hotel and residential. With this new project, we are consolidating our strengths and developing a sustainable and future-oriented property. The attractive location in the state capital Potsdam, combined with good economic indicators, all speak in favour of our investment decision, 'says Christian Berger, Managing Director of Münchner Grund Immobilien Bauträger GmbH.

Central city center location in close proximity to culture and recreation

The project 'Am Kanal/Französische Straße' is centrally located at the heart of Potsdam, not far from the Old Market Square. From there you can also reach the Sanssouci Palace with its extensive park. Just a few minutes' walk away is the Havel River, which offers many opportunities for relaxation and sporting activities.

Impact of the transaction on UBM

*plus the crediting of the payment of another project to equity

Münchner Grund Immobilien Bauträger GmbH is a subsidiary of UBM Development AG. The company operates throughout Germany as a project and property developer. The company's focus lies with the asset classes hotel, office and residential properties. From planning and development through to construction and disposal, all services are offered from one source. Münchner Grund distinguishes itself with over 50 years of experience and develops exclusively high quality, sophisticated and high-yield properties for investment.

UBM Development AG is the leading hotel developer in Europe. The strategic focus is on the three clearly defined asset classes hotel, office and residential as well as on the three core markets of Germany, Austria and Poland. With 144 years of experience, UBM concentrates on its core competence- developing real estate. The UBM share has been listed on the prime market of the Vienna Stock Exchange since August 2016.

For further information, please contact:

Christian Berger
Managing Director
Münchner Grund Immobilien Bauträger GmbH
Tel .: +49 30 930 299 100
Email: berlin@muenchnergrund.de

Milena Ioveva
Head of Investor Relations & Corporate Communications
UBM Development AG
Tel .: +43 50 626 1763
Email: public.relations@ubm.at

Press Release 06.06.2017