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HELMA Eigenheimbau AG pushes ahead with expansion of high-margin property development business through further purchase of land in Berlin


HELMA Eigenheimbau AG / Miscellaneous

30.06.2010 07:42

Dissemination of a Corporate News, transmitted by
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HELMA Eigenheimbau AG pushes ahead with expansion of high-margin property development business through further purchase of land in Berlin
Lehrte, June 30, 2010 - HELMA Eigenheimbau AG, specialist for individual solid-construction homes and sustainable energy concepts, has acquired a further construction plot in Berlin-Karlshorst through its subsidiary HELMA Wohnungsbau. The plot comprises a newbuild construction area of approximately 16,400 square meters. The investment volume amounts to around EUR 2.7 million, including development and ancillary costs. The company is aiming for a hybrid development entailing 54 terraced house units and nine detached houses. The resultant revenue potential is estimated at around EUR 13.0 million (land plus houses), and will be realised prospectively in the 2011-2013 financial years.

As a consequence, the company will also be pursuing the sale of terraced homes in the future. The lower overall price compared to a detached home due to the smaller share of land allows an additional potential customer base to be tapped, thereby lending further impetus to the growth of HELMA's development subsidiary.

The property development business will nevertheless also continue to focus in the future on the sale of detached homes plus land as a unit, an approach which offers excellent prospects in Germany's metropolitan regions. Equally, corresponding construction starts will continue to commence only when contractual agreements have been successfully arranged with the relevant customers, thereby keeping the risk from property development projects to the usual very low level.

Various land acquisitions over the last nine months (please see the Corporate News of September 28, 2009) have consequently created important pre-conditions for significant business growth at the HELMA Wohnungsbau subsidiary. Following EUR 6.1 million of revenue for the high-margin property development business in the 2009 financial year, a revenue volume of significantly above EUR 15.0 million per year is targeted for the medium term.

'Positive trends at HELMA Wohnungsbau represent an important and attractive growth-driver for the HELMA Group,' explained Karl-Heinz Maerzke, CEO of HELMA Eigenheimbau AG. 'As a result, and in combination with the equally good prospects in our core building services business, we are very confident that the HELMA Group can continue to achieve significant revenue growth beyond the 2010 business year,' Karl-Heinz Maerzke went on to comment. The company's budget published in March envisages that consolidated revenue will grow by around 28% in the 2010 financial year to reach EUR 80.0 million.


ABOUT HELMA EIGENHEIMBAU AG

HELMA Eigenheimbau AG is a customer-oriented building services-provider offering a full range of services. The focus is on the development, planning, sale, and construction management of turnkey or partially completed detached and semi-detached houses using the solid construction method. Particularly the option of individual planning and individualisation without extra costs, as well as the company's outstanding know-how in the area of energy-efficient construction methods, are perceived on the markets as HELMA Eigenheimbau AG's unique selling propositions. With its persuasive sustainable energy concepts, the company has established itself as one of the leading providers of solar energy-saving homes, and is one of the most experienced companies in the solid construction house sector, having constructed several thousand owner-occupier homes. As a property development company, the HELMA Wohnungsbau GmbH & Co. KG subsidiary supplements the product range of the HELMA Group.

INVESTOR RELATIONS CONTACT:

Gerrit Janssen, Management Board member, CFO
Tel.: +49 (0)5132 8850 113
E-mail: ir@helma.de




30.06.2010 Ad hoc announcement, Financial News and Media Release distributed by DGAP. Media archive at www.dgap-medientreff.de and www.dgap.de

 
Language:     English
Company:      HELMA Eigenheimbau AG
              Zum Meersefeld 4
              31275 Lehrte
              Deutschland
Phone:        +49 (0)5132/8850-0
Fax:          +49 (0)5132/8850-111
E-mail:       info@helma.de
Internet:     www.helma.de
ISIN:         DE000A0EQ578
WKN:          A0EQ57
Listed: Freiverkehr in Berlin, Düsseldorf, Hamburg, Stuttgart; Entry               Standard in Frankfurt
 
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