Real estate fund increases portfolio value and net income
The Immofonds increased its net income by almost 11% to CHF 24.7 million in the first half of 2020/21. The market value of the portfolio increased by 3%.
According to the fund management of the Immofonds, the first half of the 2020/21 fiscal year has been "encouraging" for the fund "despite the ongoing Corona pandemic. The fund's focus on residential properties, which account for a share of over 80%, has provided stable returns, it said.
Rental income reportedly increased by 2.2% to CHF 38.9 million in the reporting period. The increase was mainly due to the new properties acquired in 2020 and the commissioning of a refurbished property in Cham, it says. Letting vacant commercial and office space, on the other hand, has been challenging. The rent default rate - taking into account accruals for corona-related defaults - increased year-on-year from 3.9% to 4.2%.
Total expenses were slightly lower than in the previous year, and the net income of the real estate fund increased by 10.7% to 24.7 million, it continues. The gain of 3.3 million from the sale of a property on Via Nova in Domat/Ems had a positive impact on the fund's overall performance. It increased by 20.8% to 28.5 million, according to the statement. As of December 31, 2020, the portfolio included 129 properties with a market value of about 1.74 billion; this is 3% more than the previous year. (ah)
