Züblin Immobilien increases operating result
Devaluations and higher financing costs reduced Züblin Immobilien Holding's profit in the first half of the year. However, vacancy rates are falling and the portfolio is to be expanded.
Index increases and new lettings led to an increase in operating income of CHF 4.9% to CHF 4.3 million. In addition, the ratio of administrative expenses to rental income improved to 24.8% (previous year: 27.2%). At CHF 1.1 million, personnel and administrative expenses were slightly lower than in the previous year. The revaluation of the real estate portfolio led to a correction of CHF 2.2 million. This was based on an increase in the average nominal discount rate of 10 basis points. On the other hand, financial expenses rose from CHF 0.3 million to CHF 0.8 million as a result of the interest rate increases, while the average effective interest rate rose from 1.2TP3T to 2.6%. The higher financial expenses and the lower revaluations of CHF -2.7 million resulted in the profit generated falling from CHF 3.4 million to CHF 0.5 million.
The letting business developed positively: the average contractual lease term (WALT) rose from 2.9 to 6.3 years. The total asset value of the real estate portfolio, which still comprises six properties, amounted to CHF 225.9 million as at 30 September. "The predominantly index-linked rental agreements for our office space are expected to have a significant impact on operating income from rentals at the end of the current financial year as a result of inflation," Züblin wrote in a press release. The leases with two of the most important tenants have been extended until 2029 and at least 2035 respectively, and the vacancy rate of currently 8.9% is expected to fall further. For the remainder of the financial year, the aim remains to "substantially expand the portfolio further" through acquisitions. (aw)
