Background to BaFin's announcement of April 29, 2024 on the audit order for
the half-year financial report 2023 of Gateway Real Estate AG

EQS-News: Gateway Real Estate AG / Key word(s): Statement/Real Estate
Background to BaFin's announcement of April 29, 2024 on the audit order for
the half-year financial report 2023 of Gateway Real Estate AG

06.05.2024 / 19:21 CET/CEST
The issuer is solely responsible for the content of this announcement.

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Background to BaFin's announcement of April 29, 2024 on the audit order for
the half-year financial report 2023 of Gateway Real Estate AG

Berlin, May 06, 2024. On April 29, 2024, BaFin published an announcement on
the audit of the condensed financial statements as of June 30, 2023 and the
associated interim management report of Gateway Real Estate AG (the 'Company'
- WKN A0JJTG / ISIN DE000A0JJTG7). The subject of the audit is whether a
property valued at around EUR 141.5 million as of June 30, 2023 may have
been materially overvalued.

The background to the audit is that the company commissioned a new valuation
report in the fourth quarter of 2023 at the request of the financing partner
in connection with the reorganization of the current financing for its
project development in Augsburg. On the basis of a new valuation procedure,
the value of this property was approximately EUR 42 million or 30% lower
than the value previously reported in accordance with IAS 40 in the audited
consolidated financial statements as at December 31, 2022. In relation to
the company's entire property portfolio, this corresponds to a write-down of
3.6 %.

The company announced this devaluation immediately in an ad hoc announcement
on November 23, 2023 and already disclosed it in its interim statement as at
September 30, 2023.

The project development site in Augsburg is currently used in part for
commercial and industrial purposes and the company intends to use it
primarily for residential purposes. The company has been working on this
together with the City of Augsburg for more than three years. The rezoning
was approved and the project development goal confirmed with a draft
resolution from the city planning office on September 18, 2023 and a city
council resolution on October 19, 2023. From an operational perspective, the
company believes that project development in Augsburg remains on a positive
path.

In the proceedings now initiated, BaFin is exclusively examining whether the
impairment announced by the company and made in its interim statement for
the third quarter of 2023 should have already been made in the Group's
half-year financial report 2023. The company is convinced that it prepared
the half-year financial report in accordance with the rules, as there was no
reason to recognize an impairment loss at that time. The company is
cooperating fully with BaFin in order to clarify the facts and assumes that
the indication-based audit can be brought to an amicable conclusion in a
constructive and professional dialog.

Contact
Sven Annutsch
Hardenbergstr. 28a
10623 Berlin
T +49 (0) 30 40 363 47 - 0
F +49 (0) 30 40 363 47 99
E-Mail: sven.annutsch@gateway-re.de


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06.05.2024 CET/CEST Dissemination of a Corporate News, transmitted by EQS
News - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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   Language:       English
   Company:        Gateway Real Estate AG
                   Hardenbergstraße 28a
                   10623 Berlin
                   Germany
   Phone:          +49 (0) 30 40 363 47 - 0
   Fax:            +49 (0) 30 40 363 47 99
   E-mail:         info@gateway-re.de
   Internet:       www.gateway-re.de
   ISIN:           DE000A0JJTG7
   WKN:            A0JJTG
   Listed:         Regulated Market in Frankfurt (Prime Standard);
                   Regulated Unofficial Market in Berlin, Dusseldorf,
                   Munich, Stuttgart, Tradegate Exchange
   EQS News ID:    1896799

End of News EQS News Service
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1896799 06.05.2024 CET/CEST