Yes. And because we have combined two large real estate portfolios as part of this restructuring, Berlin Hyp will now operate with a real estate portfolio that is twice as large as before. Our total exposure is now close to 63 billion euros. We have also added new geographical regions to our business.

We are now combining our large German franchise with Benelux, France, Poland, the UK, the US, and Canada. Berlin Hyp has thus added the UK and North America to its large continental European platform.

I wouldn't rule out expansion out of hand. But we're doing well with the current structure for now. Our current focus is clearly on growing together.

Today, we are by far the largest commercial real estate financier in Germany operating under a single brand, and we are also one of the largest platforms in Europe. Our competitors are primarily traditional banks, which also have large commercial financing portfolios. Unlike them, however, we can now combine the advantages of a specialist financier, with its specific value chain and cost synergies, with the strength of a universal bank.

Not completely. The legal merger took place on August 1. However, we are currently still in the process of carrying out the technical migration. This should be completed by the end of the year if possible.

The new structure will further simplify processes and the management of business activities. At the same time, synergies will arise on both the income and cost sides, for example through the reduction of duplicate structures. We will leverage these synergies over the next few years, with the majority being realised by the end of 2027.

On the one hand, it's about technical synergies, because we can integrate our IT systems and then shut down any parts that are no longer needed. On the other hand, we assume that we will be able to leverage synergies on the personnel side through demographic developments and growth initiatives within the group. This means that vacant positions will not be refilled or that employees will transfer within the group.

Yes, these are the synergies described in terms of material and personnel costs. Take the regulatory side, for example: there is a very significant simplification here. By establishing Berlin Hyp within the LBBW Group as a so-called institution within an institution (AidA), there is now uniform risk control. Finance, compliance, and auditing are now also organised uniformly. The AidA structure, which is possible in the public banking sector, brings us significantly more advantages than a carve-out or full integration would have done.

Over the years, Berlin Hyp has established itself as a very strong brand, for example in areas such as ESG and digitalization. We are also the Savings Banks Finance Group's center of excellence for commercial real estate financing. The red colour in our company name already shows our strong connection to the savings banks – and now, with a blue foundation bar, it also shows our affiliation with LBBW.

As I mentioned, our portfolio is now twice as large. The consolidation will also create new business opportunities for the savings banks. We want to expand our business volume with the savings banks.

In addition to real estate financing, my department also covers infrastructure financing, a dynamic and rapidly growing business area. Infrastructure expansion is currently very important, especially in Germany. I could imagine that we could also offer the savings banks financing in this business area. This is a good example of the advantages of integrating Berlin Hyp into the LBBW Group. As a center of excellence for commercial real estate, we now have access to the entire product range of a large universal bank. This has advantages for our real estate customers, but also for the savings banks in the financing business.

Absolutely. The money from the special fund is also a boost for the private sector. As the LBBW Group, we want to help finance the expansion of infrastructure, as well as the transformation of the economy, digital infrastructure, and the energy transition. There is great interest in Germany – both nationally and internationally – from developers and institutional investors.

That is difficult to predict at the moment because the markets are still very cautious. We do expect the real estate markets to recover, but it will be a rather slow recovery. All we can say is that we can expect significant growth in savings bank business in the medium term. Our goal is to be the number one partner for savings banks in commercial real estate financing.

The recovery in 2025 is definitely slower than most industry experts had predicted. There is still a great deal of uncertainty in the market. New construction continues to weaken. The number of project developments remains very low. And overall, the transaction volume is still at a low level.

The real estate market is currently diverging – between the various asset classes, but also within these classes. In the office sector, for example, there is a very clear differentiation between prime locations and highly sustainable buildings, which are in high demand and where rents are rising, and other office properties, which are subject to valuation discounts. However, there are already some rays of hope in the market.

We are already seeing isolated new construction developments, even if the level is still low. Some investors are also moving into new asset classes to balance their portfolios. And in the residential sector, we are already seeing a recovery in prices. We have probably already passed the bottom here.

Perhaps in general terms: real estate financing has been a significant source of income for the group in the past and will remain so in the future. Berlin Hyp will once again make a significant contribution to earnings in 2025. Our company stands on a solid and broad foundation. And then, of course, we want to continue to expand the business in a risk-conscious manner while at the same time achieving earnings synergies within the group.