COVIVIO HOTELS (EPA:COVH) - 3.8% rise in rental income on a like-for-like basis - €401 million in asset disposals secured

Transparency directive : regulatory news

04/11/2011 07:30

Paris, 4 November 2011

               3.8% rise in rental income on a like-for-like basis
                    EUR401 million in asset disposals secured

Total consolidated revenue: +3%

In EUR millions                  Q3 2010   Q3 2011   Change (%)   Like-for-like
                                                                    financial
                                                                    change (%)

Hotels*                             88.8      90.0      1.4%          5.2%
Restaurants                         20.2      20.3      0.2%         -1.2%
Health                              19.3      20.1      4.1%          6.3%
Leisure                             24.0      24.3      1.2%          1.2%
Total rental income                152.3     154.7      1.5%          3.8%
Services                              -        2.1      n/a
Total revenue                      152.3     156.8      3.0%

* based on Accor actual revenue as of 30 September 2010 and 2011 from assets in
the Foncière des Murs portfolio

The total consolidated revenue of Foncière des Murs in the first 9 months of
2011 was EUR1 56.8 million, up 3.0% from 2010.
At 30 September 2011, rental income had risen by 1.5%. On a like-for-like
basis, this represents a 3.8% rise of which 5.2% can be attributed to the hotel
sector, in keeping with the increase in Accor revenue from assets in the
Foncière des Murs portfolio.

The increase in total consolidated revenue is mainly explained by:

The positive impact of hotel operations and rent indexing which account for
  EUR4.1 million and EUR1 .2 million respectively

Acquisitions in 2010 and 2011 generating rental income of EUR2.9 million

Services relating to the hotel portfolio in which there is 20% shareholding
  in partnership with Prédica, and which account for EUR2.1 million

The effect of hotel asset disposals with a total impact of - EUR5.5 million.

EUR401 million in secure asset disposals, up +3.6% compared to appraisal
values

To date, Foncière des Murs has completed transfers and transfer agreements
relating to 37 assets with a total value of EUR401 million.

The sales achieved by Foncière des Murs comprise sales of premises and sales of
premises and business assets in partnership with Accor.

Confirmation of goals for 2011

Foncière des Murs has confirmed its intention to manage its assets actively
with a particular emphasis on strong partnerships with its tenants and
continuing the efforts to optimise its financial structure. Foncière des Murs
has also confirmed that it expects recurrent net income to increase noticeably
in 2011.

Next financial event

8 February 2012: Publication of the 2011 annual results

About Foncière des Murs

Foncière des Murs, a Foncière des Régions subsidiary, is a Listed Real Estate
Investment Company (SIIC) specialised in business premises especially in the
hotel, restaurant, health and leisure sectors. On 30 June 2011, the company's
assets were valued at EUR3.2 billion. Its average lease term is 8.5 years and
its occupancy rate is 100% with first-class tenants. The company's investment
policy gives preference to partnerships with leading partners in their business
sector, in order to offer shareholders recurring yields.
Foncière des Murs is a partnership limited by shares managed by Dominique
Ozanne.
Foncière des Murs is listed on Euronext Paris, Eurolist compartment A
(FR0000060303 - FMU).

Contact:

Foncière des Murs

Cécile Boyer - General Secretary
Tel.: 01 58 97 54 47
cecile.boyer@fdr.fr

Read this press release on www.foncieredesmurs.fr

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COVIVIO HOTELS (EPA:COVH) - 3.8% rise in rental income on a like-for-like basis - €401 million in asset disposals secured

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