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Thank you very much. Good morning, ladies and gentlemen. A very warm welcome also from my side to DIC's 9 months results conference call. Today, I'm joined, as usual, by my colleagues, Patrick Weiden, CCMO of DIC Asset; Dirk Oehme, our Head of Accounting; and our Investor Relations team leaded by Peer Schlinkmann and also, Max Breuer is with me.As usual, we will give a quick presentation of our results for the first 9 months, followed by a Q&A session. Before we jump into the details, let me first highlight where we stand in terms of our goals for the year-end 2021. I can already confirm today that we are well on track to achieve our annual targets. We have adjusted our guidance for the gross rental income due to the additional rental cash flows from our warehousing activities to now EUR 107 million to EUR 108 million. However, all other forecasted key figures and also our FFO target remain unchanged. The higher rental income from warehousing will be offset by increased interest costs, especially due to the placement of our Green bond. Also, our transaction targets remain unchanged. So far, we have reached a total transaction volume of roughly more than EUR 1.2 billion, and we expect more to come in the final weeks of the year. As last year, we expect a lively and dynamic year-end report.Now on the next page, I would like to quickly summarize the operational highlights of the first 9 months. We made significant progress in expanding our logistics expertise, both in the investment market and in the letting market. After integrating RLI investors at the beginning of the year, we have been particularly fast in committing to the logistics sector and expanded our portfolio in these asset class with placing a new logistics fund by institutional investors. Overall, and as mentioned, with EUR 1.2 billion transactions year-to-date, we are fully on track to achieve our transaction targets by the end of the year. And we were also again able to improve the quality of our balance sheet portfolio, our commercial portfolio. In addition to our planned growth and the expansion of our logistics expertise, we also continued to work on our ESG road map. We have reached new milestones at all levels and have initiated further activities. The biggest highlight in recent weeks was certainly the successful placement of our first green bond with an amount of EUR 400 million. The reason for our ongoing success and our capability to quickly adapt to market changes is embedded in our dynamic performance and our 360-degrees management approach. Our expertise, network and long track record of superior performance are built on the knowledge of the people working at DIC. This will also be key to face new challenges in the future, and we are definitely well prepared for these. Ladies and gentlemen, most real estate experts, sorry, and brokers have reported that the commercial real estate transaction market as well as the letting markets are recovering. The revival of the German commercial property and rental market continued in the third quarter. On the transaction market, we are still below pre-COVID levels, but it is expected that we will see a high volume of roughly EUR 55 billion to EUR 60 billion by year-end. In the office letting markets, the take-up volume increased by 12% year-on-year as more and more companies are now showing higher willingness to rent office spaces. And this has proved that companies are in good spirits and are looking ahead to the future with more confidence. As you might know, if you have listened to our result calls in the last quarters and years, as usual, my first statement, looking at the next page of this presentation, is on the growth of our assets under management. Today, there is no exception. What is remarkable to mention is that we were able to grow our real estate platform by EUR 2.7 billion to a total of EUR 11.4 billion within 1 year. This dynamic is a strong proof that we are now one of the most active players in the German commercial real estate market, maybe even the most active player in the market over the last years. I'm really proud of what we have achieved so far. This leaves me strong confidence looking at our midterm target of EUR 15 billion assets under management. For our own balance sheet portfolio, we bought 6 assets for a total of around EUR 0.2 billion and another EUR 0.2 billion for existing vehicles within the institutional business. We bought also EUR 0.6 billion of assets for warehousing purposes. As of the balance sheet date, the Uptown Tower in Munich is still in our warehousing portfolio. We expect it to be transferred to a new institutional vehicle by end of the year. On Page 6, you see that in the first 9 months, we have been successful with a number of significant lettings. Overall, we achieved plus 6% compared to last year's letting result. New lettings as well as renewals have been higher compared to last year. It is worth to mention that the higher share of letting is of logistics spaces, which almost reached 1/3 of the total letting volume. The development of the like-for-like rental income for the entire managed platform saw an increase of 1.2%. For the commercial portfolio only, the like-for-like rental growth achieved 4%. This is due to the result of successful letting activities, for example, at our Leinfelden-Echterdingen development property we bought in Q3 2020. Overall, the remaining lease expiries of the overall portfolio are on a very low level, only 2.5% of the rents are due to expire until the end of the year, roughly 78% have a remaining term until 2025 or longer. On the next page, let me highlight some of the top leases we signed during the first 9 months. Biggest leases by square meters were obviously achieved within the asset class Logistics. We agreed on several large-scale leases of logistics space to well-known tenants, including early-stage leases for logistics sites currently under construction. The retailer C&A has extended its lease agreement for 69,000 square meter of logistics space in Mönchengladbach until 2025. The property hosts the fashion retailer's largest and most important logistics center in Europe. The site is of paramount importance to C&A. Among the company's 6 distribution centers, it is the main goods handling facility for cloths and accounts for about 1/3 of its entire goods turnover in Germany. In Dormagen near Cologne, we successfully pre-let a 5-year lease contract for 11,000 square meter newly constructed spaces, 7 months ahead of its completion, which equals 2/3 of the total floor area under construction. Currently, we're expanding the Dormagen site by adding 2 self-sufficient logistics warehouses with a combined floor area of about 18,000 square meter until May 2022. The new tenant, Butlers, is the first tenant of a subarea of the newly created multi-user units. Butlers is a manager owned retail company based in Cologne that is known across Europe as a home furnishing and interior decorating brand and will use the new location as a head office for its growing online business in Europe. But we did not only sign leases for logistics spaces, also important, leases in the asset class office were achieved. For instance, we signed a bigger lease of a total of 7,600 square meter for more than 10-year lease term with a public tenant in Frankfurt beginning of this year. And as we speak, we are currently in discussion and signing the tenant -- with a tenant to extend the lease contract for the remaining spaces available in the property. And this is a great achievement of our letting team. Only 8 months after the previous tenant left the building, we were able to completely reposition the property and achieve full occupancy. For the Property Development, Gate Neun in Leinfelden-Echterdingen, which is -- which I already mentioned before, we signed in total 3 new leases for 3,100 square meters and thereby increased the occupancy. Now let's take a quick view on our balance sheet portfolio. As of today, and not including the properties in warehousing, our commercial portfolio slightly grew since the half year results to a size of EUR 2.15 billion. The office asset class is still dominating the portfolio, while the share of logistics assets is picking up as planned, and now stood at 4% by market values, thanks to the transfer of 2 properties in Halle end of September. Portfolio KPIs like the EPRA vacancy rate are at a very low level and TIC of 6.5%, which is a minus of 60 basis points compared to last year's period. The remaining average lease term WALT stood at 5.8 years. The average rent rose to EUR 11.26 per square meter. The positive like-for-like development of 4% was mainly driven by the leases in the property development, Gate Neun in Leinfelden-Echterdingen. Excluding this, the like-for-like growth would be 1.6%. The Uptown Tower, currently part of our Warehousing portfolio, delivers additional rental cash flows until the final transfer to clients in the institutional business has happened. A couple of weeks ago, we notarized the acquisition of 2 logistics properties. One of these is a logistic forward deal at the airport in Hanover that is scheduled for completion and transfer of possession by mid-2023. The other one is a fully occupied multi-tenant logistics complex in the Leipzig/Halle area and is already transferred to our portfolio in late September. For both acquisitions, we seek for green building certifications. The new build property located near Hanover Airport has a lettable area of around 15,400 square meters. It was acquired for the price of roughly EUR 26 million through a forward deal. In Leipzig/Halle, we spent EUR 28 million on a fully occupied multi-tenant property. It is divided into 2 building sections and has a total lettable area of around 19,300 square meters. The logistic complex has a weighted average remaining lease term of around 8 years and generates annualized rental income of approximately EUR 1.3 million, mainly from 2 tenants. We are planning further investment in the logistics sector to increase our share of logistics within our commercial portfolio as planned. But in addition to our logistic investments, we just announced at the beginning of the week the acquisition of the DGNB Gold certified green office building in Mettmann near Düsseldorf. The acquisition cost for the property amounted to EUR 22 million. It was completed in 2015 and has around 6,300 square meters of lettable area. It's currently fully occupied by 2 public sector tenants, one being an employment office, the other the local branch of the federal labor agency. The weighted average lease term approximates 9 years and annualized rental income amounts to roughly EUR 1 million. We expect the transfer of ownership by the end of the year. Looking at the development of the institutional business, you see a strong growth by EUR 2.1 billion year-over-year not including the acquisition of the Uptown Tower, which is currently in the marketing phase. For existing vehicles, we bought 2 assets in a total of roughly EUR 212 million. The property in Bonn, Bonnanova, is fully let to a public tenant for about 9.5 years. And just a couple of days ago, we announced the acquisition of Operations Center of Deutsche Bahn. This infrastructure property was extensively modernized by a higher standard in the years 2017 through 2020 and is fully occupied by Deutsche Bahn on a long-term lease. Ladies and gentlemen, in summer, we have presented our details of ESG strategy and road map. ESG in the meanwhile, has become part of our daily commitment, and we strive to further implement sustainable measures for every aspect of E, S and G into our processes. By doing this, we are demonstrating that our natural commitment to sustainability can also create value for all of our stakeholders, and therefore, we combine economy and ecology. Let me highlight some of our recent ESG milestones and upcoming measures we will undertake. After the successful placement of ESG-linked promissory note in March and April this year, we issued our first green bond in the amount of EUR 400 million to support the growth of our green building portfolio to a 20% quota by end of 2023. And we take care of our employees. We made a vaccination offer to all of our employees, and we will do so in the future as long it takes to prevent our people from the Corona virus. We just initiated the first social impact day at DIC, which will take place next week. A group of 25 employees will offer their help to the people suffering from this year's flood disaster. We are also caring about the future of our cities, and we're part of the first shaping our urban future festival in Frankfurt. The established ESG committee had its first meeting in the last month, discussing the next steps and setting the timetable to achieve the next ESG milestones. And on top of that, we installed ESG working groups to identify further potential to make our business even more sustainable. And we are updating our materiality analysis. We will enter again into an intensive dialogue with most of our stakeholders to identify the most significant sustainability topics. In the next month, we will keep you posted on our efforts and hope you will further follow us on this ESG journey. Now let's have a look at the most relevant financial figures of the first 9 months. A strong profit from disposals was achieved mainly from the transfer of the repositioned property in Darmstadt out of the commercial portfolio into a new office fund we have launched last year. Additional profits from disposal in the amount of EUR 5.5 million were generated in Q2 and Q3 that are related to the last year's disposals. Our net rental income from the commercial portfolio increased by 6% to EUR 65.3 million due to the growth of the commercial portfolio, very strong letting performance and our warehousing activities. Our real estate management fees again significantly increased by roughly 23%, thanks to the structuring of transactions and acquisitions, the transaction-related fees increased to EUR 47.1 million. Asset management, property management and development fees were slightly down on the previous year's figures at EUR 27.5 million due to the lower extent of the development fees compared to previous period. Overall, the profit for the period increased by 33% to EUR 51.2 million in the first 9 months of the year. And what does this mean for our FFO? As mentioned, compared to the previous period, the main income streams, net rental income and real estate management fees significantly increased. Our OpEx increased in line with the growth of the platform and the acquisition of RLI Investors. The net interest result increased due to the new financings to fund our growth in the green bond placement in the third quarter. With EUR 79.6 million, our FFO achieved again a new record high for a 9-month result in DIC's history. Including sales profits, our FFO II reached EUR 97.1 million, which marks a plus of 29%. Let's look at our valuation and adjusted NAV, which takes into account both the value of our balance sheet portfolio as well as the full value of our asset management business. The adjusted NAV amounted to EUR 22.02 per share, which was on the level of the year-end figure of last year despite a higher amount of shares and the cash dividend paid in the first half of 2021. Before I end my presentation, let me shortly highlight our green bond transaction and the logic behind it. The bond was successfully marketed among institutional investors in Europe where it met high demand. Very quickly, the order book was significantly oversubscribed, which led to an upsizing of EUR 100 million and a total issue volume of EUR 400 million with a fixed coupon of 2.25%. We will use the net proceeds for attribution of existing or acquisition of additional green buildings held in our own balance sheet portfolio. The notes are rated BB+ by S&P, in line with our credit rating of the corporate level. For issuance of green bond, we also prepared a green bond framework, which sets out the parameters for placements of bonds with green use of proceeds now and in the future. You can find the framework on our website in the ESG section. Ladies and gentlemen, this concludes my presentation for today. You know, DIC has been very active during the last months and weeks and the recent years, and I expect there will be no difference this year. The market shows high dynamic and competition among the players, but we at DIC are very well connected and have proven that we can stand out, not only by achieving the highest volume of transactions. Why? As said, because we are quick, creative and reliable. Many thanks for your attention. We are now ready to take your questions.
[Operator Instructions] Our first question comes from Andre Remke from Baader Bank.
Basically 2 or 3 questions. First, starting with the FFO contributions by the sectors -- or the segments. The management fees increased very strongly year-on-year, but the FFO in this segment is virtually flat. So I saw that -- and you commented on that, that the operating costs are increasing. Could we see this as a temporary effect? Or should we expect this kind of margin also for the future? This is the first question, please.
Thank you for the question. Yes, that's totally right. So we have increased the cost in our institutional business. And we can -- yes, we can expect this as a run rate, so to say. So we have, yes, so called [ IMI ] costs because we have hired some people there to get the operations done. But at the end of the day, this is the run rate for the future.
But if you're saying this is a run rate for the future in terms of margin or absolute cost? So I would expect that you will -- with higher amounts of assets under management that there should be a kind of scale effects?
Yes, so this -- yes, this is with the margin. We do definitely get scale effects, but you have to keep in mind that we are working very efficiently. So this is the run rate in the margin.
Okay. Then the second question, you -- when do you expect the Uptown Tower in Munich to be placed to institutional investors? In the last call, you mentioned that could be happened until year-end, is this still your planned case?
Yes. Definitely. We plan to outplace this until the end of the year. We are at good discussions at the moment. So I expect this to happen over the next 5 weeks.
So in other words, your balance sheet will be -- or your LTV will be reduced with the fiscal year '21 numbers already?
Yes. Yes.
And the last question, you confirmed your transaction guidance for all different types. Where do you see -- if you're talking about a dynamic fourth quarter, where do you see the -- most of the transactions in terms of acquisitions or sales, commercial portfolio or institutional business?
No. As I mentioned, a little funny fact, but last year, we did 80% of our transactions in December. And this year, we were -- yes, we were in another shape at the end of Q2, but we also see that a lot of transactions will happen also this year in December, and we expect that most of it will be in the institutional business. And most of it will be office. And at the end of the day, we try to do some transactions in the logistic area, but we do not know whether they are happening, will be signed until end of the year or beginning of next year. But we have a big pipeline and this is in the same rate that the percentage is in our commercial portfolio and our [indiscernible] if you look on the asset classes, so most of it office, little bit logistic. To increase the number here, we expect to come EUR 1.6 billion to EUR 1.8 billion for sure, and then we will see what we can sign until the end of the year or what comes beginning of the year. So yes, it's -- we stay with our guideline. But as you know, some of the sales guys, yes, do not know whether they will make it happen until the end of the year or beginning of next year.
But the EUR 1.6 billion to EUR 1.8 billion is more at the upper end of the range where you are confident that you will reach it?
Yes. Yes. Yes.
Okay. And this all relates to acquisition side. So the question was also whether you see more potential in terms of sales?
No, this is more on the acquisition side, not on the sales side. We have 1 or 2 assets on the sales side in the market, so to say. But I also do not know whether this happens this year or beginning of the next year.
Our next question now comes from Stefan Scharff from SRC Research.
My first question is about the vacancy rate in your commercial portfolio. You managed to bring it down 60 basis points in the last year. Do you have a projection for us where the vacancy rate could be, let's say, at the end of next year?And in [indiscernible] the WALT is 5.8 years. So I mean this is an average number. So do you have some contracts -- bigger contracts to expire in next year or in '23? This is my first question. The FFO in the institutional business -- yes. The second question is about the FFO in the...
Yes, Stefan, so let me answer your first question, and then we come to your other questions. So on the vacancy rate, as you said, we have brought it down to 6.5% on the commercial portfolio, and we expect another reduction until year-end, so maybe 6.0%, 6.2%. For next year, we also plan a reduction in the vacancy rate, but you have to keep in mind, I'd say it very clearly, it's getting harder, yes? So at the end of the day, we have to refurbish some of the spaces to get tenants in. And therefore, we also look at the payback when we try to get tenants into spaces we have never let before. So it's also a question of does it make sense? And is it worth it?But we definitely plan to reduce the vacancy rate next year. But we are in the later stage of the plan for next year. So I can tell you in 5 to 6 weeks, but today, we have not the exact number we plan for end of next year. Are you still there? Hello?[Technical Difficulty]
[Operator Instructions]
I think we should take the next question.
For the moment, we move to Philipp Kaiser from Warburg Research.
Just 1 question from my side regarding the real estate management fees. So AUMs are up and the total real estate management fee is up again, mainly driven by a strong increase in transaction performance fees and the asset property management development fees slightly decreased. Could you shed some light on the different aspects. Is it due to the decrease in development fees or maybe some insights there would be quite helpful?
Yes, Philipp. Yes, you're totally right. So this is mainly due to the decreasing development fees and this is mainly due to the decreased number of developments we have. So we have finished a lot of them, and we are definitely at the moment in the planning phase of new developments. But for the moment and the time being, this causes less development fees, and therefore, they decreased, yes.
Okay. So we can also expect for the coming years kind of the volatility in this specific fee segment due to the volatility and development projects, is that right? Or you would keep it at the low level it currently is?
Yes. In principle, you're right. But if you look at the total number of our fees, you can see that our development fee is -- have a little part of the total fees. And with the growing AUMs, we see that the fees in total will grow and the developments will even not get a bigger part in it. It's even the other way around. So the development fees in total will be a smaller part in the total fee. So if you look on the total number and we increased our AUM in the institutional business of EUR 1 billion or EUR 1.5 billion a year, the asset management and property management fees grow definitely more than the development fees will grow in the future.
And we will go to our next question now from Tom Carstairs from Stifel.
The first question I've got is P&L related, please. On the other property-related expenses of EUR 9.8 million, could you give us the allowance for rent receivables within that number and also the same number for 9 months '20, please?
Tom, so just in the 9 months of 2021, we had EUR 1.1 million of allowance in compared to last year where we had EUR 3.6 million in -- so this means a minus of EUR 2.5 million.
Yes. Second question. Can you help me on the other operating income line, EUR 3.2 million versus EUR 0.6 million last year. Some idea for sort of what's driving that number, please?
Yes. This is a release of provisions on the one hand, and this is other income from third parties. So in this line, we have some income where we do something for other parties on assets, which is not belonging to the institutional business and only done by the on-site company.
Okay. Great. And then the final question relates to the guidance. Potentially, the big step-up in the rental income expectations. I guess, I appreciate what you said about the higher interest expense and operating expenses, but I guess I still thought there may be some impact on the FFO guidance or even possibly, maybe you could give some comments around that? And -- I mean, should we -- is it that you're more confident in your FFO that we should be looking towards the higher end of that? Or what -- yes, just some color there, please.
Yes. At the end of the day, it's coming from the Uptown Tower, yes? We have -- this is a very big asset as you saw, yes? So therefore, we get higher number of rent out of this. On the other hand, we have the liability for this asset in our interest. And we have also the green bond now for the quarter and -- for some weeks of the quarter in our interest and also for the fourth quarter, so therefore, it's a little bit the same number, the FFO coming from the additional warehousing of Uptown compared to the additional interest expenses coming from the green bond of EUR 400 million for the fourth quarter. So at the end of the day, we see the business as we have planned it besides that we have a little bit more rental income and a little bit more interest expenses. But all the other things are in plan and running on plan. So for the definition of FFO target end of the year, to be honest, there are some things going on. And as I said, we have a lot to do the last weeks. I expect it somewhere in the middle of our guidance.
We will now go to our next question from Thomas Martin from HSBC.
A few questions left for me. First question, your logistics exposure in your commercial portfolio is increasing 4% currently. Is there a concrete target behind or something you have in mind what you plan to reach in coming years? And then a more general question on the letting market or leasing market, what is your feeling? Do you really see or observe that tenants who have put the dialogue or negotiations on hold last year that they are coming back now and then looking for -- again, for a discussion with you about renewables, et cetera? What is the your feeling here? And then last question on like-for-like rent growth, 4%. You mentioned in the presentation that it was largely driven from 1 asset, Leinfelden-Echterdingen, what would be the number excluding that property? These are my questions.
Yes, Thomas. So I'll start with the last question I have in mind. So excluding Leinfelden-Echterdingen, it would be 1.6%. And I think that's also a very good number. And also the 4%, I think it's a very good number. If you look on all the discussions going around and are still in the press that the leases go down, nobody wants to lease offices and so on. So I think you can see on this number that it is only part of the existing environment we are living in. And this brings me to your second question. So as I said in the previous Q calls, we do not see that the tenants do not want to have office anymore or do want to reduce their spaces. So we have not 1 as far as I know, not 1 tenant who asked for reducing their spaces during their lease time, yes?And therefore, we are in discussions. We have a lot more discussions because there is still uncertainty in the market, and the tenants do not know what does the future look like? What does the employees want? What does other tenants do? And so we are in discussions with them to style, so to say, the office of the future. And this is a very interesting thing yes, and theme for us because we are getting more and more in this consultancy area, not only doing what we think we should do, but only -- but also discussing with tenants and creating the office of the future. And this will be definitely another office that we had in the past, but we see it overall tenant classes here. Also the public tenants, they are interested in creating new workspaces, they are interested in -- yes, in creating spaces for young people, for talents and this means other spaces, it means more look at the environment, what can people do during their lunch phase or something like this. And therefore, as I said, we had the Palazzo Fiorentino as you may remember in Frankfurt, where we had 8 months now after the previous tenant go out have fully relet yesterday evening. We have fully relet this asset within 8 months and to public tenant, and they even need more space for the same number of people. And I think this shows what's going on in the market, not only on the market for nonpublic, but also for public tenants, yes? I hope this answers your questions, but did I mean while I've forgotten your first question.
The other 1 was on the logistics exposure 4% currently. Do you have a target here in this regard?
Yes, we definitely have our targets and if you look on the commercial portfolio, we have a target of 10% to 15% within the next 3 to 4 years. And as also known, the yields go down in the logistic area so it is a more difficult business today because the yields go down every quarter. But at the end of the day, we also see there's a lot of business running in the logistics area, even more than we have expected. And therefore, we think that's definitely the right way to go here in a conservative logistics assets, but also in so called new logistics assets like urban logistics or last mile. And we have placed the new fund there. And also we see on the institutional investor side, there is a lot of interest here to bring the liquidity in logistics. And therefore, we are on plan, and we will even more increase the percentage of the logistics in the portfolios than reduce it. And as said, it's 10% to 15% planned now.
[Operator Instructions] We'll now move to our next question from Manuel Martin from ODDO BHF.
I have 2 questions from my side, though. Maybe we go through them one by one. First question is the follow-up question on the like-for-like rental income, the plus 4% on a 9-month basis was quite remarkable. Could you maybe give a bit color on how you achieved this with Leinfelden-Echterdingen? Was that totally under-rented or how did that come?
Yes, Manuel. That's a very good question because it's something I'm very proud of because with Leinfelden-Echterdingen, we bought an asset with cash flow under construction. So we took it over from, yes, how do we say it in English, I have -- a distressed seller. And we took it over, and we are able to take it over because we have the experience and the knowledge here in-house to make a development happen, which we take over during the development. And therefore, we get a very interesting price. And one of the tenants was also in. So this means cash flow under construction. And now we brought in another 2, I think, tenants over the last weeks, and these are very, very interesting and famous tenants, and therefore, we get the like-for-like increase. But on the other way, we are finishing the development, so that's exactly what our teams are doing, and that is what we are able to do. And so I'm very proud of this. And as you can see, it brings us from 1.6% on a normal rental like-for-like growth to 4%. On a yes, asset, which means around about EUR 70 million. So yes, I'm proud of our teams here.
I see. I see. Well done. Okay. Understood. The second question is on the institutional business. Could you give us some flavor, or do you see kind of a trend or what's the demand of the institutional clients? Are they still strongly looking for core office properties and also logistics or are they willing to take more risk appetite looking also for opportunistic strategy, maybe you have an idea on that?
Definitely. As such, we are working on our plans for the next 2 to 3 years. And what we see is in line what we have expected to see. So on the 1 hand, we see the class of investors who are interested only in core, core, core, yes? That means lower yields, but very steady yields in towns in the big 7 cities or in B towns where they expect that nothing can happen over the next years. And on the other hand, we see definitely an increasing interest in value-add things, yes? It means better yields, better cash flows and so on. And we are working on the value-add segment over the last weeks, but because we also think that are now the right times to come back to the value-add class, and we also see in the market that there are value-add properties available because as I said, some of the developers have distressed assets and some developments are not going further. But on the other hand, also some existing assets, which need some refurbishments, repositioning on the 1 hand, on the rental side, yes, on the other hand, also a very, very interesting theme is the ESG side. So what we are doing for our own portfolio, our own commercial portfolio, looking at the assets and defining what can be done on the ESG side. This is also what we should and have to do on assets we can buy. And we see a lot of assets which are on the market where we could do something on ESG or on repositioning. And therefore, this is an interesting theme for us and also for institutional investors who see in total, if they invest on the 1 hand, in core with lower yields. And on the other hand, in value-add with higher yields have at the average yield where they can live with. And so it's a very interesting mix for them and for us.
As we have no further questions at this time, I'd now like to turn the presentation back over to your speakers today for any additional or closing remarks.
It's Peer speaking. Thank you for joining us in today's conference call. As always, if you have any further questions, please don't hesitate to reach out to the Investor Relations team, Max and I are able through the whole day. Thank you again. Bye-bye.
Bye.
Thank you. This will conclude today's conference call. Thank you for your participation. Ladies and gentlemen, you may now disconnect.