Germany’s largest real estate group Vonovia is parting with another housing package as part of the reduction of its billions in debt. The city of Dresden is purchasing 1,213 apartments and undeveloped land with an area of around twelve hectares, the city and the Bochum company announced jointly on Friday. The purchase price for the package amounts to a total of 87.8 million euros. This corresponds to the book value as of June 30, 2023, it said – so Vonovia does not have to accept a discount here.
The prerequisite for the transaction to be completed is the approval of the Dresden City Council. The new owner of the properties will be the municipal housing company WiD Wohnen in Dresden, it said. Nothing changes for the tenants. “We are selling the apartments at a fair price,” said Vonovia boss Rolf Buch: “We have achieved a good result for all sides.”
Vonovia boss Buch had declared the expansion course of the past few years to be over because of the real estate crisis. Vonovia now wants to sell real estate and bring partners on board; several transactions have already been successful. Vonovia had identified packages with a total volume of around 13 billion euros for sale.