Peach Property increases rental income
Peach Property Group increased its rental income to CHF 27.4 million in the first half of the year. Pre-tax profit, however, declined.
Germany-focused residential real estate investor Peach Property reported that rental income in the first half of 2020 increased by about 42% year-on-year to 27.4 million as last year's acquisitions were integrated. Like for like rental growth reached 5.4%.
In the first six months of the year, the vacancy rate also fell by almost 12%. Currently, 8.2% of the company's apartments are vacant. The market value of the portfolio properties increased by 4.6% compared with the end of 2019 to just over 1.1 billion.
Peach Property put pre-tax profit for the period at 17.1 million, down from 25.4 million in the first half of 2019.
The NAV according to IFRS increased byTP2T 2.61 toTP399.5 million at the half-year 2020 compared to the value at the end of the year. The increase compared to the previous period was 28.5%. NAV IFRS per share increased from CHF 35.10 in the previous period and CHF 43.30 at year-end to CHF 44.00 oer the end of June 2020. For the full year, Peach Property Group expects a further increase in NAV per share.
Through the integration of the recently acquired portfolio of 5,450 apartments the existing portfolio will increase to around 1.5 billion. The new real estate portfolio will generate annual actual rental income of around 22 million. In the short to medium term the existing portfolio is to be increased to around 2 billion, which according to the company will correspond to around 25,000 apartments. (ah)
