DGAP-News: Adler Real Estate AG

ADLER Real Estate AG

Upgraded rating by Standard & Poor's

Corporate rating raised to "BB/Positive Outlook"

Berlin, December 12, 2017: The internationally renowned rating agency Standard & Poor's Ratings Services has today raised its long-term corporate credit rating of ADLER Real Estate AG from "BB/Stable Outlook" to "BB/Positive Outlook" in the course of its annual revision.

The successful issuance of its EUR 800 million unsecured corporate bond enables ADLER Real Estate AG to buy back the majority of its secured debt "Schuldscheindarlehen", thus significantly improving the ratio of its unencumbered assets. Also, as a result of the successful refinancing, the weighted average cost of debt decreases from 3.7 percent at the beginning of the year to 2.7 percent - greatly outperforming the target of 3.5 percent which ADLER had originally set for 2017. This reduction in interest expenses generates c. EUR 11.0 million in additional FFO on an annualised basis bringing the Company's FFO Yield to c. 5.1 percent. Given these significant improvements in the financial metrics, the recent measures and the new focus of ADLER's financial policy, Standard & Poor's has set ADLER on positive watch.

Arndt Krienen, chairman of the management board, said: "During the course of this year we have managed to improve our rating by several times from BB-/positive to BB/Positive. This is important for both the holders of our corporate bonds, but also for our shareholders."

The detailed rating is available on the website of Standard & Poor's under www.standardandpoors.com .

For enquiries, please contact:

Dr Rolf-Dieter Grass
Head of Corporate Communication
ADLER Real Estate AG
Telephone: +49 (30) 2000 914 29
r.grass@adler-ag.com