Half-Year Report 2021

10 Net Income from Fair Value Adjustments of Investment Properties

The measurement of the investment properties led to a valuation gain as of June 30, 2021, of € 3,698.6 million (first half of 2020: € 1,812.3 million; see explanatory information in note [D17] Investment Properties). This includes € -1.6 million (first half of 2020: € -2.8 million) for the measurement of right-of-use assets (IFRS 16).

The figure also includes the valuation result from buildings under construction (new construction/development to hold) that were completed during the reporting period and were moved to the Rental portfolio. A fair value measurement is performed for the first time when the properties are completed. This resulted in a valuation effect of € 18.9 million as of June 30, 2021 (first half of 2020: € 26.2 million).

The recognition and valuation of investment properties are explained in detail in the consolidated financial statements for 2020.

Fair Value
Fair value is particularly relevant with regard to valuation in accordance with IAS 40 in conjunction with IFRS 13. The fair value is the amount for which an asset could be exchanged between knowledgeable, willing parties in an arm’s length transaction.