HSC Fund increases revenues
Helvetica Swiss Commercial Fund increased its rental income by over 8% in the 2021 financial year. This was due to the acquisitions made in the previous year, according to the fund management.
Rental income of the Helvetica Swiss Commercial Fund (HSC Fund) amounted to CHF 42.0 million, which is 8.2% more than in the previous year (38.7 million). The increase is mainly explained by the fact that the acquisitions made in 2020 were recognized in income for the full year period for the first time, Helvetica, the fund management company, wrote in a statement. The occupancy rate is 93.1% (previous year: 94.6%), but the HSC Fund signed new leases for about 5,600 sqm with an average of five years fixed term during the reporting period.
The portfolio is composed of 35 properties with a market value of 749.8 million. The increase of 5.9 million or 0.8% compared to the previous year (743.9 million) is due to investments, the reduction of discount rates and leasing successes, Helvetica said. The bottom line is a total income of 25.9 million, down from 32.4 million a year earlier. The reason for the decline was unrealized capital and securities gains of 2.0 million (previous year: 8.7 million).
At the end of 2021, net fund assets were slightly above the previous year's level of 500.2 million at 503.9 million. The net asset value per fund unit also increased slightly from 115.17 CHF to 116.04 CHF. Adjusted for the distribution, this corresponds to an investment return of 5.4%. The performance of the HSC Fund in 2021 was 10.38%. The distribution per fund unit is expected to increase from CHF 5.10 to CHF 5.30, with a distribution yield of 4.6%.
In the current financial year, the fund management company intends to continue the measures in asset management, which should have a positive impact on the occupancy rate and the remaining term of the leases. Selective acquisitions are also reportedly planned. (ah)
