SF Sustainable Property Fund depreciates by 1.1%
The SF Sustainable Property Fund was able to increase its rental income in the first half of the year, but recorded lower net income and an overall result in the red at CHF -8.3 million.
The market value of the SF Sustainable Property Fund's property portfolio fell slightly from CHF 1.54 billion to CHF 1.52 billion in the first half of the year, and the portfolio was reduced by one property in Bonaduz (GR) to 113 properties. By contrast, total income rose from CHF 25.9 million to CHF 26.8 million, while rental income improved by 3.6% to CHF 26.8 million. Total expenses climbed from CHF 10.7 million to CHF 14.7 million, mainly due to higher interest rates, while net income fell from CHF 15.2 million to CHF 12.4 million. "Cost management, a lower tax burden and the implementation of the reference interest rate adjustment lead us to expect a significantly better result in the second half of the year," according to a statement. The portfolio was devalued by 1.1% in the first half of the year. The unrealized capital losses of CHF 20.7 million in total (previous year: CHF +13.9 million) led to the period ending with a negative overall result of CHF 8.3 million, compared to an overall result of CHF +29.0 million in the same period of the previous year.
The fund management company has announced the sale of the Bazenheid (SG) property and further divestments for the second half of the year. The portfolio is to be further upgraded in terms of quality and the debt ratio reduced. The aim is also to further reduce the vacancy rate, increase income and implement the planned renovations. (aw)
