Encouraged by the strong operational performance in the first nine months and given that we are approaching the final two months of the year, we can provide guidance that the expected direct result per share for 2022 is likely to be towards the upper end of the outlook range of between € 1.95 and € 2.05. In addition, we expect that the proposal for the total 2022 dividend will be at € 1.85 per share. At the same time, our eyes remain open to potential economic headwinds, and we are actively reducing risks where we can. So far, the economic uncertainty in Europe has had a very limited impact on our high street retail real estate business. The continued good traction with existing and new retail tenants demonstrates the strength of Vastned and our high-quality portfolio. We also believe that our organisation is ready to deal with potential changes in the marketplace, as proven in recent years."
The announced intention by the Dutch government to abolish the FBI regime for all direct real estate investments in the Netherlands came as a surprise to the sector, including Vastned. Together with most of our other listed peers, we believe there are strong arguments for an exemption for listed Dutch real estate companies before the finalisation of the government's 2024 tax plans next year.
We believe the intended abolishment of the FBI regime will hurt the competitive position of many REITs in the Netherlands in an indiscriminate way, putting the listed Dutch real estate sector on the back foot. This does not do justice to the overall contribution and accountability of listed real estate companies since the Dutch government first introduced this successful tax transparent regime in 1969.
Today, we have provided an estimation of the potential negative impact this change will have on the direct result of Vastned, estimating this to be between 5% and 10%. However, the negative impact cannot be fully assessed at this stage, and will depend on the outcome of a political process in Dutch parliament and possible flanking measures. It will also depend on the restructuring measures that Vastned may take in response to the proposed development.
In our view, this move by the Dutch Government will have consequences that reach far beyond the direct financial impact on Vastned, given that it puts the current level playing field for REITs in Europe at risk. Plans like this result in fiscal regimes that vary significantly in the way income from real estate investments is taxed, instead of enabling the widely desired and much-needed convergence of investment income tax treatment within the European community. Together with the announced increase of the property transfer tax from 8% to 10.4% in the Netherlands in 2023, the government budget plans send a negative message to investors regarding the attractiveness of the Dutch real estate market, at a time when significant investment is needed to support real estate transformations and the addition of new housing stock, and to improve the sustainability performance of property portfolios.
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VastNed Retail NV published this content on 26 October 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 26 October 2022 16:07:01 UTC.
Vastned Retail N.V. is a European listed property company focusing on the best retail property on the popular high streets of selected European cities with a historic city centre, also referred to as « core city assets ». The tenants of VastNed Retail N.V. include international and national department stores that are leading in their sector; major luxury, fashion and sports brands; supermarkets; and a wide range of other retailers.
By investing in historic city centres Vastned Retail N.V. contributes to the preservation of the cultural heritage in these city centres. Vastned Retail N.V. also provides a positive contribution to the liveability and safety in city centres by creating and renovating residential space above retail units. In this way, the company endeavours to create long-term value for its shareholders, tenants, employees and society as a whole.
At year-end 2023, the group's real estate portfolio amounted to EUR 1,373 million. Over 80% of the portfolio is comprised of property located in the historic centres of selected European cities. The remainder of the portfolio is mostly made up of Belgian retail parks, supermarkets and high-quality retail property in smaller cities in the Netherlands and Belgium.
VASTNED RETAIL N.V. 
