UBS real estate funds increase rental income
In the Sima, Foncipars and Swissreal funds, rental income in the first half of the year was higher than in the previous year. The Residentia residential fund kept income practically constant.
The UBS "Sima" fund further reduced its rental loss rate in the first half of the year. As at June 30, it stood at 3.6%. Rental income rose by around CHF 7 million year-on-year to CHF 219.9 million and expenses increased from CHF 96.8 million to CHF 106.4 million. This primarily reflects higher interest costs. Realized income fell slightly from CHF 119.8 million to CHF 118.2 million and total income fell from CHF 117.7 million to CHF 113.6 million. This was due to slightly higher devaluations (CHF -4.7 million after CHF -2.1 million in the previous year). At 1.8%, the fund's stock market performance over the first six months of the year was below the benchmark of the SXI Real Estate Funds TR (4.9%).
Foncipars with performance of eleven percent
The UBS "Foncipars" fund increased rental income by 5.4% compared to the previous year and kept the rental loss rate at a low level of currently 1.7% (previous year: 1.3%). At 11.0%, the performance is well above the benchmark of 4.9%. Rental income rose by CHF 2.4 million to around CHF 47 million in the first half of the year. By contrast, expenses rose by CHF 2.9 million to CHF 23.6 million - partly due to higher financing costs - and net income fell only slightly by CHF 0.4 million to CHF 23.5 million. Because the valuation result deteriorated by CHF 2.2 million, total income fell from CHF 25.1 million to CHF 22.5 million.
"Swissreal" keeps net income stable
UBS "Swissreal" reduced the rental loss rate to 3.8% in the first half of the year. Rental income rose by CHF 1.5 million to CHF 54.4 million. Higher financing costs and higher property expenses led to an increase in total expenses of CHF 1.5 million to CHF 23.4 million. Overall, net income remained virtually unchanged at CHF 31.3 million and total income fell only slightly by CHF 0.9 million to CHF 30.9 million. The valuation result, which had an impact, was only slightly negative at CHF 0.8 million. At 10.4%, performance was well above the relevant market average.
Residentia lowers rent default rate
UBS Residentia achieved a performance of 3.1% in the first half of the year. Although this was below the benchmark, it represents a significant improvement on the previous year (-2.0%). The fund reduced the rental loss rate slightly from 12.8TP3T to 11.6%. Rental income remained virtually unchanged at CHF 5.8 million, while expenses increased slightly by CHF 0.2 million to CHF 3.3 million. Net income fell slightly by CHF 0.3 million to CHF 2.5 million and total income also fell by CHF 0.3 million to CHF 2.4 million. (aw)
