Fortress's GAGFAH first quarter FFO slightly lower

Fortress Investment's German housing company GAGFAH reported first quarter funds from investments of e0.22 per share or e48.7m, slightly down from 1Q08's e0.23 or e52m. Net asset value was e13.57 per share. GAGFAH shares have been a star performer in the German listed segment in recent weeks, soaring to over e5.50 from below e2 in February. Gross asset value averaged e860 per sq.m. as of 31 March. Profit from leasing was virtually unaltered at e127.2m on a weighted average of 3,500 fewer housing units. Total portfolio was 170,000 at end-2008, making it by far Germany's largest housing company. GAGFAH is now headed by Fortress executive William Brennan after the sudden March resignation of CEO Burkhard Drescher reportedly amid management disagreements. Its share price rise has also helped spark a partial revival in the stock of Eurocastle, the New York group's listed German commercial real estate vehicle. (Full story to be published in Property Finance Europe 121 on Monday 18 May)