Suisse Romande Property Fund: Realized profit down in 2024
Including valuations, the fund can increase its overall performance. However, the realized success is affected by sales losses.
JSS Real Estate Management SA, the fund management company of the Suisse Romande Property Fund (SRPF), reports like-for-like growth in net income of CHF 9.7 % to CHF 8.2 million. Taking sales into account, however, net income fell slightly (previous year: CHF 9.3 million), and realized capital losses of CHF -7.2 million (previous year: CHF -4.2 million) meant that realized income of CHF 1.1 million was significantly lower than in the previous year (CHF 5.0 million). The year was characterized by the completion of the portfolio restructuring - commercial properties were sold -, a falling vacancy rate and an equity market performance of 18.75 %, the fund management summarizes the financial year.
Rental income increased by 1.1%, while expenses fell by 5.0%. The portfolio's weighted average interest rate fell from 1.73TP3T to 1.24% and the vacancy rate decreased from 7.80% in 2023 to 5.62% in 2024. The market value of the 31 properties in the portfolio amounted to CHF 400.3 million as at 31 December. With a constant portfolio, the market value increased by 1.1%. As the portfolio had been devalued by CHF 27.3 million in the previous year and a valuation gain of CHF 6.4 million was now recognized, the overall result increased from CHF -21.3 million to CHF +7.2 million.
"The gradual, even stronger accentuation of the residential component in the portfolio remains a priority," writes the fund management company.
Three sales and one acquisition
The properties sold were Rue des Moulins 28 in Delsberg (for CHF 10.0 million), Rue des Tilleuls 31-33 in Pruntrut (CHF 4.6 million) and Route de l'Aérodrome 73-75 in Prangins (CHF 3.0 million). This was offset by a purchase in Morges (Chemin de la Brume 7-9) for CHF 11.0 million. (aw)
