Real estate fund increases income
The fund increased rental income by 3.4%, but generated slightly lower net income due to higher interest costs. The announced capital increase will begin soon.
The real estate fund increased its income by 3.8% to CHF 86.6 million in the 2023/24 financial year. Rental income increased by 3.4%, mainly due to reference interest rate adjustments, the acquisitions of the last two years and the completion of projects. However, net income fell by 2.4% to CHF 46.3 million, mainly due to higher interest costs. As the valuation result improved by CHF 75.4% to CHF 65.6 million compared to the previous year, total income increased significantly by CHF 28.5% to around CHF 112 million.
At the end of June, the market value of the property portfolio was CHF 2.32 billion, up CHF 7.0% on the previous year. The only additional purchase was the acquisition of the property at Mooswiesenweg 23 in Winterthur for CHF 7.0 million. The existing portfolio was revalued by 4.7%. The distribution yield in relation to the market price is 2.5%. Compared to the previous financial year, the performance fell from 6.5TP3T to 1.5%.
Capital increase in September
To finance further growth, the fund management company announced a capital increase of CHF 150 million in June (IB reported). It is now certain that the issue will be launched on September 17. The additional funds are primarily earmarked for the second construction phase of the major Wankdorfcity 3 project in Bern. The funds will also be used to implement already planned ESG measures and other smaller construction projects in the portfolio as well as to reduce external debt. (aw)
