Züblin significantly reduces vacancy rate

From the company's perspective, the 2021/22 financial year was a successful one for Züblin Immobilien Holding. Successful lettings and an increase in the value of the property portfolio contributed to this.

Since acquisitions were not feasible due to the challenging market environment, the focus was on optimizing the space on offer, says Züblin. On the one hand, modular space concepts were created to increase workplace flexibility, and on the other hand, the sustainability of the existing properties was improved.

Upgrading thanks to leasing successes

The portfolio, consisting of six properties, had a total value of CHF 225.1 million (+2.9%) as of March 31, 2022. Among other things, successful lettings contributed to the appreciation, which is reflected in a lower vacancy rate: While the vacancy rate was 15.7% in the previous year, it was now 7.9%. The weighted average lease term (WALT) was 3.5 years (previous year 3.8). Rental income rose to CHF 9.1 million, an increase of 10% compared with the previous year, for which the re-letting of the entire Holbeinstrasse 22 property in Zurich was mainly responsible.

According to Züblin, the marketing of the space shows that the home office trend is continuing and that forms of workplaces are becoming increasingly hybrid. From the tenant's point of view, the quality of the location and the flexibility of the space on offer are decisive for the leasing of new office space. In this respect, the real estate company continues to see its portfolio well positioned.

For the financial year 2021/22, Züblin reports a profit of CFH 6.0 million compared to CHF 4.0 million in the previous year. Return on equity increased from 3.0% to 4.4%. Net income 2021/22 corresponds to earnings per share of CHF 1.80 (previous year CHF 1.21). Loan-to-value ratio (LTV) was 29.7% as of the reporting date (previous year 30.6%). A dividend of CHF 1.00 per share is to be distributed. (ah)