A4 für Copyshop GB.indd - Bayerische Landesbank

42 BayernLB – our company
Activities of the Bank’s subsidiaries
LBImmowert, a real estate valuation subsidiary owned jointly with Helaba, enjoyed pos-
itive development in its second year of existence, and continued on its course of mod-
erate growth. For the first time, the subsidiary reported considerable demand for its
services from companies outside the BayernLB and Helaba groups.
REAL I.S. AG is an investment company which is wholly owned by BayernLB. In collabo-
ration with partner companies, it offers a comprehensive range of products including
well-established funds, as well as managing international institutional real estate port-
folios. In 2004, equity trading was almost doubled in comparison to the previous year,
reaching a volume of EUR 307 million. In 2004, REAL I.S. was once again able to offer
attractive products to savings banks and security-oriented institutional investors for
their own investment activities, namely with its BGV Bayerische Grundvermögen II
product, as well as LB ImmoInvest’s special funds (REAL I.S.-Beteiligungsgesellschaft).
Property development and real estate value creation (real estate management consult-
ing) for savings banks and municipalities complete the range of services offered by the
company. Amongst other initiatives, REAL I.S.’s real estate benchmarking projects for
savings banks (involving 70 savings banks) and municipalities (69 participants) created
a unique data basis covering the whole of Germany.
In 2005, REAL I.S. will continue to expand its separate product range targeting the Spar-
kassen-Finanzgruppe, and expects its placement volume to increase significantly.
Outlook
In 2005, the Real Estate Business Area anticipates a slight rebound of the domestic real
estate market, while steady development is expected for the foreign real estate mar-
kets. Key focuses for 2005 include the use of innovative financing products, securing
arranger positions for large financing transactions, as well as further reinforcement of
cross-selling activities. The Real Estate Business Area thus considers real estate portfolio
financing an attractive market segment in which it can display to advantage its advisory
and financing expertise. Financing products enjoy increasing demand, for example,
from large national housing construction companies, while large international inves-
tors are showing ever more interest in residential property portfolios within Germany.
In 2005, the business area also intends to reinforce cooperation with the savings banks
in the domain of real estate. The cultivation of specific target customers will represent
a joint focus, while the continuing expansion of advisory services throughout the
entire range of the Bank’s services will represent another key priority.