Realstone Swiss Property Fund issues new units
The real estate fund Realstone Swiss Property announces a new capital issue in the volume of CHF 70 million for December 2017.
With the capital expenditure, the fund management wants to achieve value creation goals through densification and renovation of the existing properties, Realstone says. In addition, the proceeds are to be used to reduce the fund's leverage ratio.
The subscription period runs from November 27 to December 7, 2017, and the payment date has been set for December 14, 2017. For each tranche of ten shares, one new share can be subscribed at a price of CHF 124.84. The subscription rights will be listed on the stock exchange.
The value creation strategy of Realstone Swiss Property is to increase the energy efficiency of the fund's properties and to make the properties more attractive to tenants. There are projects to densify and renovate the properties and to optimize property operating costs, thereby increasing rental income and consolidating the asset value of the real estate portfolio.
According to Realstone, 43 percent of the total assets of the open-ended real estate investment fund are currently made up of properties with value creation potential. The portfolio comprises a total of 57 properties, more than half of which are located in German-speaking Switzerland. The total assets of the Realstone Swiss Property fund amount to around CHF one billion.
