Solvalor 61: Fund assets rise to over 1.2 billion
The Solvalor 61 real estate fund, which focuses on residential properties in western Switzerland, reported an investment return of 5.03% for the 2020/21 financial year. The net income increased by over 11%.
The market value of Solvalor 61's properties rose from CHF1.13bn to CHF1.23bn in the 2020/21 financial year (ended 30 June), an increase of 8.55%, according to Realstone. Fund assets grew by 8.45% to 1.23 billion. Reasons for this increase were mainly investments in development projects as well as in properties completed in the reporting year and the increase in value of the properties in the real estate portfolio, Realstone says.
Net fund assets increased by TP1T 15.071 to TP1T 1.05 billion in the year under review, and the net asset value (NAV) per unit climbed from CHF 203.34 in the previous year to CHF 208.00, resulting in an investment return of TP1T 5.031 (previous year: TP1T 5.41).
Income from Solvalor 61 reportedly rose byTP1T8.741, or 4.77m, to a total of 59.36m in the year under review. The increase was largely the result of higher rental income following the delivery of new buildings in Nyon, as well as proceeds from the May capital increase, Realstone said. Meanwhile, rent defaults increased from 1.62% to 3.19%, which the fund management company said was due to the delivery and commencement of letting of the 127 apartments in Nyon, as well as the ten apartments created by adding more floors to the buildings at 1-7 Rue Guye in Geneva. Once the properties in Nyon are fully let, the rental default rate should decrease again, Realstone writes.
The net result of Solvalor 61 increased by 11.18% to 27.92 million in the year under review and, as Realstone reports, an unchanged dividend of CHF 5.30 per unit is to be distributed compared to the previous year. Based on the stock market price on 30 June 2021, this would result in a distribution yield of 1.68% (previous year: 1.77%). (ah)
