Fair Values

Major market developments and valuation parameters that have an impact on the fair values of Vonovia are assessed on an ongoing basis. A positive market momentum was noticeable in the first quarter of 2022, indicating an impact on fair values.

The remeasurement for the first quarter of 2022, which covered around three quarters of the portfolio in Germany, involved updating the valuation parameters that can be reliably determined. This led to net income from the valuation of € 386.1 million for the first three months of 2022. This means that parameters for which no reliable market evidence was available within the first quarter were not taken into account for the purposes of the valuation.

A remeasurement taking into account any yield compression and the development of the discounting and capitalized interest rates is performed for the purposes of the half-yearly financial statements based on the market evidence at the time, which is then sufficiently reliable.

In addition, buildings under construction (new construction/development to hold) were completed during the reporting period. A fair value measurement is performed for the first time when the properties are completed. This resulted in a valuation effect of € 18.7 million for the period from January 1 to March 31, 2022 (3M 2021: € 2.4 million).

The recognition and valuation of investment properties are explained in detail in the consolidated financial statements for 2021.