Real estate fund increases rental income and overall success
Rental income of the Immofonds increased by 2.9% to 80.7 million CHF in fiscal year 2021/2022. Net income increased by 1.8% to 48.8 million CHF and total comprehensive income by 45% to 151.6 million CHF.
The reduction of vacancies contributed to the increase in rental income. Through conversions, floor plan adjustments, repositioning, renovations and additional marketing efforts, the rent default rate dropped from 4.0% to a record low 2.2%, the fund management says.
The first application for the early construction of a service and commercial building was submitted for the major Wankdorfcity 3 project. Major conversions and new buildings relate to the properties on Regensdorferstrasse and Konradstrasse in Zurich, on Blumenweg in Aarau, and on Vonwilstrasse and Rosenbergweg in St. Gallen. The fund management is also examining further opportunities for increasing the density of the portfolio, including at the Route de St-Maurice property in La Tour-de Peilz and the Avenue de Chantegrive property in Prilly.
As of the end of June 2022, the number of properties in the portfolio increased from 129 to 130 and the number of apartments from 3,728 to 3,771. The market value of the portfolio increased by 9.8% to CHF 1.988 billion. Of this, a quarter was attributable to projects and acquisitions, the remainder to the reduction in vacancy rates and market-related changes.
Distribution of CHF 13.50
The Immofonds will again distribute CHF 13.50 per unit to investors for the fiscal year on October 3. Based on the stock market price on June 30, the distribution yield is 2.6%. On the stock market, the share price fell by 11.9% to 520.00 for the fiscal year - less than the benchmark SWIIP index, which fell by 16.3%. Investors achieved a negative performance of -9.5% with real estate fund shares. The investment return increased from 8.8 to 12.2%.(aw)
