Drott leaves another eight municipalities

Drott leaves another eight municipalities - 99% of the Groups annual rents now from the metropolitan regions Drott has sold 55 properties for a total of MSEK 663 and a capital gain of MSEK 15. The buyer is Akelius Fastigheter AB, and the transfer will take place in January , 2002. Drott has sold a total of 146,500 square meters - excluding garage and including 107,300 square meters of residential space - consisting of: · 10 commercial properties with a combined area of 27,700 square meters in Borås, Karlstad, Lomma, Munkedal, Vellinge, Vänersborg, Strömstad and Uddevalla - locations which Drott now entirely has withdrawn from. · 45 residential properties with a total area of 118,800 square meters in Helsingborg and Karlstad (including the nine properties Drott recently acquired from Tornet). Based on an operating surplus in current leases, the sales price corresponds to a direct yield of 8.0 percent. The sales include company transactions and are conditional upon employee co-determination negotiations, which will be initiated immediately. Part of the deal is that Drott acquires an office building in central Gothenburg - Nordstaden 24:11 (3,322 sq.m.) with a market value of MSEK 60. Stronger focus on the metropolitan regions After Drott's transactions in October, 99 percent of the Group's total annual rents come from the three metropolitan areas (including Uppsala). Apart from the deal with Akelius, Drott has carried out an exchange with Tornet (see press release from October 23, 2001) and sold a fashion center in Dusseldorf, Germany, (see 9-month report from October 26, 2001) during October. DROTT TOTAL Sept. 30, 2001 After transactions in October Number of properties 581 523 Rentable area, sq. m. 3,538,000 3,359,000 Number of residential apartments 15,500 14,300 Economic occupancy rate 95% 95% DISTRIBUTION OF VALUE BY REGION Sept. 30, 2001 After transactions in October Contractual annual rents incl. vacant rents SEK 3.8 billion SEK 3.7 billion Stockholm 72% 75% Öresund 14% 14% Gothenburg 8% 8% Uppsala 3% 3% Rest of Sweden 3% <1% Outside Sweden <1% - Total 100% 100% Gains on property sales so far this year amount to MSEK 467. Comments from Drott's President and CEO Mats Mared: "Since going public in 1998, we have concentrated our operations to the markets that are expected to show the strongest future growth in rents. Mainly via acquisitions - but also through project development and sales - the metropolitan regions' share of Drott's annual rents has increased from 71 to 99 percent. In 2001 alone we have sold non-core properties for SEK 4,7 billion, on par with the market appraisal on December 31, 2000. A focus on future growth markets is crucial for Drott to attain its long- term goals over a business cycle - annual growth of 15 percent in both adjusted equity/share and cash flow/share (before capital gains, etc.). Although the concentration process initially has a negative impact on cash flow, the Group's annual cash flow has increased over the past three years from SEK 5.68 to SEK 11.87/share". Drott AB (publ) For additional information contact Mats Mared, President and CEO, telephone +46 8-545 83 010 Appendix: Properties in the Akelius deal Appendix: Properties in the Akelius deal Municipality Sold properties Address Rentab - Of le which, area residenti al Borås Merkurius 1 Stora Torget 1,524 - Borås Rotorn 1 Industrigatan 1 9,910 - Helsingborg Amerika Södra 1 Furutorpsgatan 42, 3,611 3,496 etc. Helsingborg Belgien Norra 23 Nedre Eneborgsvägen 2,412 2,288 8 Helsingborg Fyrkanten 15 Carl Krooksgatan 5- 2.861 2,216 7 Helsingborg Getingen 11, 12, 16, Gasverksgatan 33, 10,624 10,013 18 41-42, etc. Helsingborg Granholmen 4 Utögatan 3-13, 26- 7,952 7,509 74 Helsingborg Kullen V 49, 50 Fågelsångsgatan 5-7 1,503 979 Helsingborg Älvan 7 Lördagsgatan 2-60 3,436 2,961 Karlstad Anden 8, 10 Åttkantslunden 5B 2,703 1,801 Karlstad Björken 12 Sandbäcksgatan 15 1,723 1,723 Karlstad Blåklockan 10,16 Älvgatan 51 E-H 7,908 6,475 Karlstad Blåmesen 18 Granegatan 10, etc. 1,442 1,265 Karlstad Domherren 10 Grindstugegatan 8 403 386 Karlstad Fogden 23 Fogdegatan 29 A-D 252 252 Karlstad Freja 4 Tingvallagatan 7 1,174 828 Karlstad Glasberget 23-24 Karlagatan 3-11 11,205 11,205 Karlstad Höder 5 Sveagatan 11 1,451 1,281 Karlstad Lejonet 22-24 Herrhagsgatan 38 5,635 4,800 Karlstad Karmen 2 Peterbergsgatan 31 4,398 4,398 A-C Karlstad Karmen 5 Karmgatan 1-57 13,991 13,914 Karlstad Liljan 9, 10 Mariebergsvägen 26 1,677 1,286 Karlstad Liljan 11 Frykdalsgatan 5 776 669 Karlstad Loke 13 Herrhagsgatan 44 A- 884 884 B Karlstad Länsmannen 16 Fogdegatan 11-13 600 600 Karlstad Muttern 8 Engholmsgatan 12-16 2,627 2,394 Karlstad Måsen 8 Styrmansgatan 3 622 552 Karlstad Pilen 4 Drottning Kristinas 1,159 1,116 Väg 12 Karlstad Staren 7 Malmtorgsgatan 12 1,390 1,390 Karlstad Strålen 1 Vikengatan 16 1,123 942 Karlstad Tornet 1 Vasalunden 1 1,023 866 Karlstad Triton 2 Ringgatan 38 367 261 Karlstad Trätälja 12 Hamngatan 34, etc. 2,909 2,586 Karlstad Tärnan 9 Jungmansgatan 6 1,010 892 Karlstad Uttern 1 Mariedalsgatan 4 A- 2,114 2,003 B Karlstad Uttern 16 Hagagatan 8A, etc. 1,326 1,326 Karlstad Uttern 21 Hagagatan 1-3 14,464 9,910 Lomma Lomma 31:30 Industrigatan 21 1,387 - Munkedal Foss 7:17 Strömstadsvägen 7 1,232 - Munkedal Foss 7:41 Centrumvägen 533 - Vellinge Ingelstad 10:5 Byvägen 16 - - Vänersborg Näckrosen 1 Edsgatan 27 2,585 632 Vänersborg Penséen 22 Edsgatan 7-9 2,912 1,217 Strömstad Mekanikern 1 Prästängsvägen 30 4,915 - Uddevalla Bagge 7 Kungsgatan 10, etc. 2,719 - Total 146,47 107,316 2 Municipality Acquired property Address Rentable - Of which, area residential Gothenburg Nordstaden 24:11 Kronhusgatan 16 3,322 136 ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2001/10/29/20011029BIT00360/bit0002.doc http://www.waymaker.net/bitonline/2001/10/29/20011029BIT00360/bit0002.pdf