Press release BoxID: 264456 (DEMIRE Deutsche Mittelstand Real Estate AG)
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MAGNAT sells the Russian Sadko investment and in doing so reduces its commitment in Russia

(PresseBox) (Frankfurt am Main, ) .
- The contract on the sale of the Russian Sadko investment was signed at the end of March; prepayment of about 50% took place today.
- The investment backflow is around EUR 0.8 million. The Sadko investment was acquired with original costs of around EUR 1.8 million.
- Adjustments in value, for example due to currency effects, were already made in the previous periods. Therefore, it is not expected that the transaction will further influence the fourth quarter result negatively.

MAGNAT Real Estate Opportunities GmbH & Co. KGaA ("MAGNAT") (ISIN: DE000A0XFSF0) has sold the Russian Sadko investment. The investment, which was originally acquired for about EUR 1.8 million, was sold to the Russian project partner. Investment backflow is around EUR 0.8 million. Since adjustments to the value were made in previous periods due to currency effects, this sale, which will be posted in the fourth quarter of the 2008/2009 fiscal year, will not further influence MAGNAT's result negatively. The payment schedule provides for the investment backflow to be made by 1 August 2009 in instalments, the first instalment has been paid.

In recent weeks and months, the Management and the Supervisory Board of MAGNAT have carefully evaluated developments in the international real estate markets and, in particular, the extremely difficult Russian real estate market. The outcome of this evaluation is that they have decided to reduce the MAGNAT's commitment in Russia.

Further information

CEO of MAGNAT Jan Oliver Rüster: "In consideration of the present, difficult conditions in the Russian real estate market, the fact that MAGNAT has succeeded in selling an investment is positive. Risk reduction and the inflow of liquidity from this sale are definitive the right strategic decisions."