SPA Real Estate Switzerland yields 1.66%
The SPA Real Estate Switzerland investment group of Swiss Prime Investment Foundation reports an investor return of 1.66% for the first half of 2020.
According to the Swiss Prime Investment Foundation, the first half of the year for the SPA Immobilien Schweiz investment group was dominated by the Corona crisis, the shutdown lasting several weeks and the associated tenant complaints and threatened construction site closures. However, the vacancy rate remained stable at 4.17% despite the pandemic.
In the first two quarters, the investment group achieved an investment return of 1.66%, and for the second half of 2020, it expects to achieve an investment return within the target return of 3% to 4%.
Borrowing costs, after a short-term increase in March 2020, returned to normal at the end of the second quarter, it adds. The average interest rate is reportedly 0.41% (March 2020: 0.46%).
In the first half of the year, the investment group recorded an appreciation gain after investments at total portfolio level of CHF 13.8 million. Measured against the fair value as of June 30, 2020, this was approximately 0.6%. (ah)
