6th Apr 2020 13:22
(Alliance News) - Phoenix Spree Deutschland Ltd on Monday reported a rise in net asset value during 2019, as the property investor's portfolio valuation improved.
At December 31, the German residential real estate investor's NAV per share stood at 4.23 euro cents, up 5.5% from 4.05 cents at the same point the year before. In sterling terms, the firm's NAV per share slipped 1.6% over 2019 to end the year at 3.58 pence.
Phoenix's portfolio valuation stood at EUR730.2 million at the end of 2019, up 13% from the EUR645.7 million seen at the end of 2018. The portfolio valuation per square metre was up 6.1% to EUR3,741.
The firm's vacancy at the end of the year was 2.8%, unchanged from the year before. Phoenix ended 2019 with a loan-to-value ratio of 32.6%, up from 26.1% the year before.
Pretax profit was down 49% year on year to EUR28.6 million from EUR56.4 million. Gross rental income was flat year on year at EUR22.6 million.
In 2018, Phoenix made a EUR66.1 million gain in investment disposals, compared to a EUR41.5 million gain in 2019.
It declared a EUR5.15 dividend for 2019, unchanged on the year before.
Chair Robert Hingley said: "I am pleased to report another resilient performance with significant progress achieved in adapting our strategy in preparation for the new Berlin rent rules.
"As we await a successful challenge of this new regulation, we are well positioned to mitigate any short-term impact, supported by our strong balance sheet and good liquidity, all the while maintaining our strategic optionality in the event the rules are found illegal."
Looking ahead, Hingley added: "Despite the impact Covid-19 is having on the German economy, we continue to be confident, in the longer-term, in the strength of demand for rental housing in Berlin and in our ability to create value for all of our stakeholders through the continued active management of our portfolio."
Shares in Phoenix Spree Deutschland were 1.5% higher in London on Monday at 259.90 pence each.
By Paul McGowan; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
Phoenix Spree D