Positive results from further execution of premium city high street strategy
High lights 2014:
- Direct result of € 2.44 per share exceeded the forecast of € 2.35 per share due to one-off gain
- Execution of premium city high street strategy resulted in increase of occupancy rate to 97.6% at year-end 2014 from 94.0% at year-end 2013
- Value growth of premium city high street shops of 5.1%
- Value total portfolio stable (+0,3%)
- Share of non-bank loans at 49% well above target of at least 25%
- Proposed dividend 2014 of € 2.00 per share confirmed
- Anticipated direct result 2015: € 2.10 - € 2.30 per share
Vastned, the listed European retail property company focusing on ‘venues for premium shopping’, has realised positive results and an increase of the occupancy rate to 97.6% at yearend 2014 through the further execution of its premium city high street strategy. In 2015, the company will focus on further growth of the portfolio in premium city high street shops in Europe.
The 2014 results show that the focus on premium city high street shops is bearing fruit. These best shops in Europe’s most attractive cities with a solid occupancy rate of over 99% realised a 5% value increase and a like-for-like gross rent growth of almost 3%. We notice that interest from retailers for the right property in the right street and in the right city remains very high, even in the present challenging retail climate. On the other hand, particularly in the Netherlands, retailers running shops in less attractive locations are struggling. Over the past year we bought high street shops for a total of € 103 million and divested non-core assets totalling € 257 million, bringing the share of premium city high street shops to 60%. In 2015, we will focus on further growth of the portfolio in premium city high street shops in Europe. We will roll out our strategy step by tep, striving to realise more stable and predictable results. For 2015, we anticipate a direct result of between € 2.10 and
€ 2.30 per share, which is equal to the 2014 initial estimate.
Vastned is a listed (Euronext Amsterdam) European retail property fund focusing on venues for premium shopping. Vastned invests in selected cities in Europe and in Istanbul, with a clear focus on the best retail property in the most popular shopping streets in the bigger cities (high streets). Vastned's tenants are strong and leading international and national retail brands. The property portfolio has a size of approximately € 1.5 billion.