20. Property, plant and equipment

As of 30 September 2017, property, plant and equipment totalling €6,822 million (30/9/2016: €6,979 million) was recorded. The development of property, plant and equipment is shown in the following table.

The decline in property, plant and equipment by €158 million mainly results from disposals of properties in the amount of €77 million, which mainly relates to buildings. In addition, currency effects in the amount of €39 million (2015/16: €−6 million) and impairments in the amount of €46 million (2015/16: €21 million) resulted in a reduction in property, plant and equipment.

Restrictions on titles in the form of liens and encumbrances for items of property, plant and equipment amounted to €22 million (30/9/2016: €30 million).

Contractual commitments for the acquisition of property, plant and equipment in the amount of €128 million (30/9/2016: €124 million) were recorded.

Leases

Assets available to METRO under the terms of finance leases were recognised at €825 million (30/9/2016: €886 million); they essentially relate to leased buildings.

Finance leases generally have terms of 15 to 25 years with options under expiration to extend them at least once for 5 years. The interest rates in the leases vary by market and date of signing between 1.61 and 7.20%.

In addition to finance leases, METRO also signed other types of leases classified as operating leases based on their economic value. Operating leases also essentially concern leased buildings and generally have an initial term of up to 15 years. The interest rates in the leases are based partly on variable and partly on fixed rents.

Payments due under finance and operating leases in subsequent periods are shown as follows:

Future payments due on finance leases contain purchase payments amounting to €19 million (30/9/2016: €19 million) required for the exercise of more favourable purchase options.

The nominal value of future lease payments due to METRO from the subleasing of assets held under finance leases amounts to €245 million (30/9/2016: €262 million).

The nominal value of future lease payments due to METRO from the subleasing of assets held under operating leases amounts to €437 million (30/9/2016: €539 million).

Profit or loss for the period includes expenses from leases totalling €696 million (2015/16: €688 million) and income from tenancy agreements totalling €257 million (2015/16: €271 million).

Contingent lease payments from finance leases recognised as expenses during the period amount to €4 million (2015/16: €4 million). Contingent lease payments from operating leases recognised as expenses during the period amount to €12 million (2015/16: €15 million).

Lease payments due in subsequent periods from entities outside METRO for the rental of properties that are legally owned by METRO (METRO as lessor) are shown below: