DGAP-News: BUWOG AG

DGAP-News: BUWOG AG expects significant revaluation results of its investment properties as a result of generally positive market developments and active asset management

DGAP-News: BUWOG AG / Key word(s): Quarterly / Interim Statement BUWOG AG expects significant revaluation results of its investment properties as a result of generally positive market developments and active asset management

10.08.2016 / 21:18 The issuer is solely responsible for the content of this announcement.

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- Revaluation result amounting to approximately EUR 37 mn for the fourth quarter of financial year 2015/16

- Revaluation result amounting to approximately EUR 148 mn for the first quarter of financial year 2016/17

- Total revaluation result amounting to approximately EUR 339 mn for the entire financial year 2015/16 and the first quarter of financial year 2016/17 expected

BUWOG AG will report a revaluation result for the fourth quarter of its financial year 2015/16 amounting to approx. EUR 37 mn in the course of the presentation of results for its financial year 2015/16. Thus, BUWOG AG will show a total revaluation result for its financial year 2015/16 of approx. EUR 191 mn.

Financial year 2015/16

The positive revaluation result of the financial year 2015/16 is mainly driven by a significant revaluation of the German investment properties amounting to approximately EUR 142 mn. The revaluation of the Austrian portfolio amounts to approximately EUR 49 mn.

First quarter of financial year 2016/17

For the first quarter of its financial year 2016/17 BUWOG AG expects to show a revaluation result of its investment properties of a further approx. EUR 148 mn mainly due to the noticeably more dynamic development of the real estate markets particularly in Germany in the months from May through July 2016.

The revaluation result for the German portion of the investment properties for the first quarter of the financial year 2016/17 has become available to BUWOG AG on 10 August 2016 and encompasses approx. EUR 138 mn. It has been determined, as the valuation of the entire investment property portfolio for the financial year 2015/16, by external appraiser CBRE. The revaluation result concerning the Austrian portion of the investment properties has been determined internally and is mainly based on adjustments for selling price potentials.

Value drivers

The main value driver in both reporting periods was a sustainably increasing yield compression in the German market. Purchase prices increased over-proportionally in relation to rental increases for apartment houses and portfolios due to continuously strong demand from domestic and international investors. In addition the revaluation result was driven by the adaptation of selling price potentials in the Austrian unit sales business, the active application of asset management measures and an adaptation of market rents.

The complete results of the financial year 2015/16 will be announced as planned in the course of the presentation of the Annual Report 2015/16 on 31 August 2016. Further results of the first quarter of the financial year 2016/17 will be published as planned on 28 September 2016.

''The significant increases of the valuation of BUWOG's portfolio prove our strategic decisions with regards to the positioning of our core markets in Germany. They all reflect highly attractive socio-demographical trends and dynamics and encompass further potential for value increases in the future. Through active asset management and strictly focused investments into our high quality portfolio we will support the further positive development of the entire BUWOG portfolio'', says Andreas Segal, Deputy CEO & CFO of BUWOG Group.

Daniel Riedl, CEO of BUWOG Group, considers the strong revaluation result as a confirmation of the decision to grow the German portfolio of BUWOG also through developments to hold. ''Developing real estate properties into our own portfolio in Berlin and Hamburg and thus the creation of strong organic growth in times of high demand will increase the value of our portfolio even further in the long-term. The region of Berlin already today reflects the highest fair value increases within our German investment property portfolio'', says Riedl.

About BUWOG Group

BUWOG AG is the leading German-Austrian full-service provider in the residential property business and now looks back on 65 years of expertise. Its high quality property portfolio encompasses more than 51,000 units and is distributed between Germany and Austria. In addition to asset managment the entire value chain of the real estate sector is covered by the sales and development business areas. The shares of BUWOG have been listed on the Frankfurt, Vienna (ATX) and Warsaw stock exchanges since the end of April 2014.

For enquiries please contact: INVESTOR RELATIONS

Holger Lueth Head of Investor Relations & Corporate Finance Email: holger.lueth@buwog.com T +43-1-878 28 1203 F +43-1-878 28 5203

MEDIA

Thomas Brey BUWOG-Press Office Austria c/o M&B PR, Marketing, Publications Email: brey@mb-pr.at Tel.: +43-1-233 01 23-15

Nikolaus von Raggamby BUWOG-Press Office Germany c/o RUECKERCONSULT Email: buwog@rueckerconsult.de Tel.: +49 (0)30 2844 987 - 40

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10.08.2016 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement.

The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de

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Language: English Company: BUWOG AG Hietzinger Kai 131 1130 Wien Austria Phone: +43 1 87 8281130 Fax: +43 1 87 8285299 E-mail: investor@buwog.com Internet: www.buwog.com ISIN: AT00BUWOG001 WKN: A1XDYU Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Dusseldorf, Munich, Stuttgart, Tradegate Exchange; Wien (Amtlicher Handel / Official Market) End of News DGAP News Service ---------------------------------------------------------------------------

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