SDCC Speymill Deut.C

RNS Number:5628Y
Speymill Deutsche Immobilien Co PLC
18 June 2007



Speymill Deutsche Immobilien Company plc ("SDIC" or "the Company")

Further Investments to close first tranche

Speymill Deutsche Immobilien Company plc (AIM: SDIC; SDCC), the pan-German
residential property investment company listed on AIM, announces final
investments to close commitments for the first tranche of funds raised ("the
Original Portfolio").

Main highlights as at 15 June 2007 are:
               
-    Residential properties in various German cities notarised (i.e. committed 
     to be purchased) for a cumulative cash consideration of approximately 
     EUR925.4 million

-    Expected initial net rental income (as at notarisation) of approximately
     EUR67.3 million per annum

-    Blended net initial property yield (as at notarisation) of 7.1%, 
     anticipated to rise to 7.5% at the end of the period commencing 12 months 
     after fully completed investments, property management takeover and 
     completion of refurbishments.

The Company has notarised apartment blocks containing 16,955 units at an overall
average price of EUR829 per square metre. There were approximately 1,277 vacant
units at notarisation (circa 7.5% vacancy including units to be refurbished or
redecorated prior to letting).

Over EUR26 million is planned to be allocated for refurbishment of those 
properties currently notarised bringing the total anticipated investment in the 
Original Portfolio to approximately EUR951 million.  This refurbishment 
expenditure is expected to be yield and value enhancing.

After contract completion and when the properties have been taken over, 
refurbished and are fully under management for a suitable period, the Company 
will target a 95% overall occupancy rate (allowing for some natural vacancy and 
tenant fluctuation). It is envisaged that this target will be reached in the 
second year after takeover.

C Share Update

In May 2007, the Company raised a second tranche of funding through the issue of
C Shares for investment into a further protfolio of properties ("the C Share
Portfolio"). The Company is currently evaluating, negotiating and performing due
diligence on a new pipeline of properties for the C Share Portfolio.

The Company has also put in place arrangements in relation to the debt for the C
Share Portfolio which the Manager anticipates will bring the average financing
costs for the portfolio in line with its original objective of below 5%.

18 June 2007

Contact:

Smith & Williamson Corporate Finance Limited                +44 (0)20 7131 4000
Azhic Basirov / Siobhan Sergeant

Notes to editors:
          
-    Speymill Deutsche Immobilien Company plc is a pan-German residential 
     property investment company which listed on AIM on March 2006, raising #170 
     million on admission.

-    In May 2007, the Company raised a further EUR250 million through a placing 
     of C Shares which were admitted to trading on AIM on 10 May 2007.

-    The Company was established to invest in the German property market and, 
     predominantly, in the residential sector. It is anticipated that once fully 
     invested, the Company will have a balanced portfolio of properties 
     throughout Germany.

-    The Company's objective is to provide Shareholders with an attractive level 
     of income together with the prospect for long-term capital growth.

-    The Manager is Speymill Property Managers Limited and the Investment 
     Adviser is GOAL Service GmbH. The Manager and Investment Adviser are 
     responsible for identifying new investment opportunities.

-    The Manager is a subsidiary of Speymill Group plc (AIM: SYG) while the 
     Investment Adviser is a joint venture partner of Speymill Group plc (which 
     owns 51% of the venture).


                      This information is provided by RNS
            The company news service from the London Stock Exchange

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