HSL Fund expands the portfolio
The Helvetica Swiss Living Fund, which focuses on residential real estate, acquired 19 properties in the past financial year, followed by six more in January of this year.
According to the fund management company Helvetica Property Investors, the portfolio of the Helvetica Swiss Living Fund (HSL Fund) comprises 41 properties with 1,176 residential units at the end of the financial year. The focus is on growth regions in German-speaking Switzerland, with the residential portion, with associated ancillary uses and parking, accounting for 93% of the target rental income.
The 19 properties acquired had a positive impact on the occupancy rate, which rose from 89.2% to 95.2% at the end of 2021. The fair value of the portfolio grew from CHF 204.3 million to CHF 500.8 million within the year, Helvetica added. Annual rental income increased from 4.6 million to 11.4 million thanks to the acquisitions, it said, adding that the fund also recorded appreciation of 9.1 million. Total income reportedly reached 19.7 million, up from 9.0 million a year earlier.
The net asset value per fund unit increased by 4.62% to CHF 113.31 during the reporting period, corresponding to an investment return of 7.7% when adjusted for the distribution. The performance reached 11.59%. For fiscal 2021, the distribution is expected to increase from CHF 3.10 to CHF 3.40 per unit; the distribution yield is 2.9%.
In the current fiscal year, the HSL Fund intends to further expand its portfolio. The goal is a portfolio size of at least 800 million, according to the fund management. To achieve this, a capital increase is to be carried out in the first half of the year. In January, the transfer of ownership of six residential properties with 170 apartments in Zweidlen and Wattwil has already taken place; the properties have a market value of CHF 74 million. (ah)
