Realstone Development Fund increases fund assets

The total assets of the Realstone Development Fund increased by 7.82 % to CHF 1.04 billion in fiscal 2020, according to the fund management company. The growth was mainly due to investments in development projects in Horgen Oberdorf (ZH), Avenue de Sévelin 15 in Lausanne, A7/La Combaz on Rue de la Paix in Gland (VD) and the acquisition of a building to be demolished and reconstructed at Rue de Savoie 4 in Gland (VD), it said.

The investment return of 4.68% reportedly resulted mainly from the appreciation of sustainable construction projects and the revaluation of existing properties. Net asset value (NAV) per unit was CHF138.84 (+1.77% or CHF2.41/unit). The leverage ratio of the fund is 28.47% (prev. year: 25.03%). The total annual result of the Realstone Development Fund is CHF 31.40 million. A dividend of CHF 3.80 per unit will be distributed for the 2020 financial year.

Rents will increase slightly by 0.85%. In this context, the handover of Les Arsenaux in Fribourg at the end of 2019 and the increase in income from the Octagon complex in Grand-Saconnex (GE) compensate for the sale of the buildings on Chemin de Vassin in La Tour-de-Peilz (VD) in 2019 and the release of space in Building B "Fabrik" in Horgen Oberdorf (ZH) in view of its upcoming development, according to the fund management.

The fund management of the Realstone Development Fund looks "with great confidence" into the future. The recent marketing of Part A "Park" in Horgen Oberdorf (ZH) is running successfully, the handover of the Halle-15 building at Avenue de Sévelin 15 in Lausanne is scheduled for August, and the other projects are developing according to plan. With the upcoming merger of Realstone Development Fund and Realstone Swiss Property, the new Realstone fund will become one of the leading players in the Swiss residential real estate market. (ah)