SPSS IFC: Fund exceeds forecast in the first half of the year
The Swiss Prime Site Solutions Investment Fund Commercial has already earned 60% of the targeted dividend in the first six months, but has to report a significantly lower total income due to devaluations.
The Swiss Prime Site Solutions Investment Fund Commercial (SPSS IFC) generated a cash flow yield of 2.75% in the first half of the 2023/2024 financial year reporting period, exceeding the forecast of 1.75%-2.0%. Over 60% of the targeted dividend per unit has thus already been generated by the end of the first half of the year, according to the fund management company.
Total profit of CHF 2.7 million
The fund has almost halved the vacancy rate in the last twelve months from 3.2 to 1.7%. The full letting of the "Centro Lugano Sud" property contributed to this. The rent loss rate fell from 3.7 to 1.6%. Meanwhile, net income improved by 2% to around CHF 6.4 million. The increase was due, among other things, to the high indexation rate of around 95% and the further reduction in vacancies. Total income fell from CHF 6.5 million to CHF 2.7 million as a result of devaluations (-3.0 million). Total fund assets fell from around CHF 448 million to CHF 437 million. There were no purchases or sales.
"Attractive off-market purchase opportunities"
For future acquisitions, the fund is focusing on SMEs - "in order to obtain interesting off-market acquisition opportunities", as it says. The aim is to further increase the proportion of properties in German-speaking Switzerland. The pipeline includes acquisition opportunities with a net yield of over 4.5%. (aw)
