Q1 2021 Trading Update
Resilient operating results
- A resilient first quarter of 2021, despite the challenging circumstances
- Occupancy rate of portfolio remains high at 95.2% as at 31 March 2021
- Relatively high collection rate of 84.1% in Q1 2021 (87% adjusted for waivers), due to tailored arrangements with tenants
- 25 new leases and lease renewals signed in Q1 2021, with 2.8% rent decrease
- Non-strategic assets in Spain and France sold at book value
- Due to continuing uncertainty resulting from the COVID-19 pandemic and the government measures to control it, Vastned does not issue any outlook for the direct result for 2021 at this time
Download the full press release on your right.
Our portfolio delivered resilient results, although during this first quarter Vastned was the most heavily impacted since the outbreak of COVID-19, as the Netherlands was in lockdown during the entire quarter and the government measures were stepped up again in Belgium and France. These solid results continue to be driven by the high quality of our portfolio and the tailored arrangements we have with our tenants as a result of a proactive approach and intensive contacts by our commercial team. The occupancy rate remains high at 95.2% and the collection rate of 84% is relatively strong. The arrangements with our tenants give Vastned, especially in these uncertain times, more control on the stability of the rental income and on maintaining the high occupancy rate. It is comforting to see that even during these challenging times, retailers continue to look ahead. Leasing activity remained high during this quarter and we were able to sign 25 new leases and lease renewals for in total 4.1% of the total theoretical rent with a small decrease of 2.8% in rents. We sold non-strategic assets in Spain and France during the first quarter at book value, evidencing the solid valuation of our high quality portfolio.
We will continue to focus on maintaining the high occupancy rate, collection rate and controlling our costs. Due to the remaining uncertainty around the timing and scope of government restrictions, Vastned does not provide a forecast yet for its 2021 direct results. However, with the vaccination programme ongoing and the prospects of governments gradually lifting restrictions in the coming months, we believe that the worst might be behind us. The summer of 2020 has illustrated that the footfall increased in the streets where our properties are located once restrictions were lifted. Our portfolio is well positioned to benefit from a recovery.
Vastned is a European publicly listed property company (Euronext Amsterdam: VASTN) focusing on the best property in the popular shopping areas of selected European cities with a historic city centre where shopping, living, working and leisure meet. Vastned's property clusters have a strong tenant mix of international and national retailers, food & beverage entrepreneurs, residential tenants, and office tenants. The property portfolio had a size of approximately € 1.5 billion as at year-end 2020.