Active real estate portfolio management

In the Real Estate segment, IVG Investment concentrates on optimising value of office properties held by IVG in its own portfolio. The basis for this is the portfolio management strategy that focuses on specific property potential, the risk-return situation and the cycles of the European markets. Key investment areas are the top German office property markets and selected European cities. 

The properties are managed by our central IVG Asset Management and our branch offices. Particular leverage for value and return increase is provided by revitalising properties, achieving sustainable increases in rental income, raising effective occupancy and active portfolio management.

IVG Investment - Real Estate | Key figures in € m, Status 31.12.2011

Portfolio structure still dominated by core/core+ properties

Despite the disposals to secure liquidity, the portion of core/core+ properties fell only slightly. The portfolio consists of a balanced mix of long-term stable, fully let core/core+ properties and value-add properties which have potential for capital appreciation through active asset management. More non-strategic properties in the Workout segment will be sold in future.

• Core/core+: Maintain or increase occupancy rate, anticyclical transactions, selective disposals 
• Value Add: Improve property quality, reduce vacancies, gradual sales after repositioning 
• Workout: Disposal of non-strategic properties by sale