HAMBORNER REIT AG looks backs on a successful nine months and again reiterates forecast for current 2019 financial year
- Positive development in operating activities (rental income up 2.0%, FFO up 2.7%)
- Vacancy rate 2.0%
- NAV per share EUR10.80
- Forecast for full year 2019 confirmed
- Upcoming property transfers ensure further growth in 2020
Duisburg, 7 November 2019 - HAMBORNER REIT AG has continued the positive business performance of the first half of the year in the third quarter of 2019 as well. Income from rents and leases for the first nine months rose by 2.0% on the previous year's level to EUR63.7 million. Funds from operations (FFO) climbed by 2.7% to EUR41.3 million. Including agreed rent guarantees, the vacancy rate was still at a very low level of 2.0% (previous year: 1.1%). The company's financial situation remains comfortable. The REIT equity ratio is 55.6% and the loan-to-value (LTV) ratio 43.1%. The company had a portfolio of 78 properties with a fair value of more than EUR1.5 billion as at 30 September 2019. Net asset value (NAV) per share was EUR10.80 (previous year: EUR10.15), up 6.4% on the figure as at 30 September 2018.
In light of the consistently positive business performance in the current year, the Management Board is reiterating its forecast for 2019 as a whole and confirming its assessment of future business performance. The Management Board is assuming an increase in income from rents and leases of around 2% and FFO to match the previous year's high level.
Ownership of two properties has already transferred to the company in the current financial year - the office and retail property in Bamberg and the small shopping centre in Lengerich, Westphalia. The combined investment volume was around EUR29 million. Furthermore, the purchase agreement for an office property under construction in Neu-Isenburg with an investment volume of EUR16.1 million was signed during the year. Ownership of the property is expected to transfer to the company as at the end of 2019. Two further project developments in Bonn and Aachen with a total investment volume of EUR 51.6 million were acquired in the previous year. These will be completed and transferred to the company in the first quarter of 2020.
In light of the currently positive business performance and the forthcoming property transfers, the company is assuming further growth in rental income and FFO in 2020. After the addition of the three properties, rental income will rise by around EUR3.6 million p.a. and the fair value of the HAMBORNER portfolio will increase to more than EUR1.6 billion.
On the basis of the expansion of the portfolio and the resulting growth forecasts, the company intends to continue its sustainable and dependable dividend policy in the coming year as well, raising its distribution to 47 cents per share. Based on the current share price, this would translate into a dividend yield of around 5%.
The quarterly financial report is available for download at
Key figures as at 30 September 2019
|Income from rents and leases
|Net profit for the period
|Funds from operations (FFO)
|Funds from operations (FFO) per share
||30 Sep 2019
||30 Sep 2018
|Net asset value (NAV) per share
|REIT equity ratio
|Loan to Value (LTV)
About HAMBORNER REIT AG
HAMBORNER REIT AG is a stock exchange-listed public limited company that exclusively operates in the property sector and is positioned as a portfolio holder for high-yielding commercial properties. The company has sustainable rental incomes, with a nationally-dispersed substantial property portfolio as its foundation. Attractive retail trade spaces in key town centre sites of German cities and intermediate centres form the focal point of the portfolio. In addition, the property portfolio includes highly-frequented specialist stores and profitable office buildings, as well as spaces for medical practices.
HAMBORNER REIT AG stands out due to its many years of experience in the property and capital market, its lean and transparent corporate structure as well as its special proximity to the tenants. Since February 18, 2010 HAMBORNER has been a registered Real Estate Investment Trust (REIT) and benefits at company level from exemption from corporation and trade tax.
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