Q1 2016 Trading update
Premium city high street shops show good results
HIGHLIGHTS:
- Acquisitions in Le Marais, Paris, and Utrecht totalling € 24 million and divestments of € 11 million
- Vastned attracts Repeat cashmere and Scalpers as new tenants
- Good results premium city high street shops compensate decline of high street and non-high street
shops, which confirms the continuing polarisation in the retail market
- Occupancy rate of premium city high street shops remained high at 99.5%
- 13.5% rent increase on leases concluded for premium city high street shops
- Forecast for 2016 direct result maintained at € 2.30 - € 2.40 per share
Vastned, the listed European property company focusing on venues for premium shopping, has made good progress on its strategy in the first quarter of 2016.
In the first three months of this year we have made good progress in the execution of the strategy, with acquisitions in Paris and Utrecht totalling € 24 million and divestments of properties in a number of smaller cities in the Netherlands and a retail warehouse in Castellón de la Plana in Spain for € 11 million in total. The effectiveness of the organisation was improved further by hiring a commercial director and introducing dedicated management for Vastned Retail Belgium.
The polarisation in the retail landscape continued in the first quarter. Top locations are still in demand with high-profile retailers. Our results bear this out. Rents on leases concluded for premium city high street shops rose by 13.5%, while the occupancy rate remained high at 99.5%.
We remain focused on the best retail property in popular shopping streets in Europe, and will continue to advance our strategy. Our forecast for the 2016 direct result of € 2.30 - € 2.40 per share remains unchanged.
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About Vastned
Vastned is a listed (Euronext Amsterdam) European retail property company focusing on venues for premium shopping. Vastned invests in selected cities in Europe and Turkey, 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 € 1.7 billion.
