To view the PDF file, sign up for a MySharenet subscription.


Release Date: 11/04/2024 08:00
Code(s): SCD     PDF:  
Wrap Text
Property Portfolio Valuation

Schroder European Real Estate Investment Trust PLC
(Incorporated in England and Wales)
Registration number: 09382477
JSE Share Code: SCD
LSE Ticker: SERE
ISIN number: GB00BY7R8K77

                           PROPERTY PORTFOLIO VALUATION

Schroder European Real Estate Investment Trust plc ("SERE" or the "Company"), the
company investing in real estate in European growth cities, today provides an update on
the independent valuation of the property portfolio as at 31 March 2024:

-   The direct property portfolio was independently valued at €208.1 million. The
    marginal like-for-like decrease over the quarter of -1.0% (31 December 2023 -1.8%),
    or -€2.2 million (see footnote 1 below), was driven by continued outward yield
    movement, particularly for offices and select retail. The rental income has remained
    stable with a continuing high level of rent collection and the portfolio benefiting
    from indexation and high occupancy of 96%

-   The portfolio office assets (33% - see footnote 2 below) witnessed a valuation decline
    of -€0.9 million, or -1.1%, comprising:

     o    Stuttgart (-€1.0m/-5.0%) and Hamburg (-€0.3m/-1.4%), reflecting 25 basis
          points and 15 basis points of outward yield movement respectively.

     o    The St Cloud, Paris valuation increased €0.4 million, or 1.1%, driven by indexed-
          led income growth and a new 6/9/12 year lease for 540 sqm of office space.

-   The portfolio industrial assets (30%-see footnote 2 below) witnessed a valuation
    increase of €0.3 million, or 0.4%, driven by index-linked income growth in Rennes,
    France, as well as estimated rental value ("ERV") growth in Venray, the Netherlands.

-   The German retail portfolio (17% -see footnote 2 below) valuation declined -€0.9
    million, or -2.3%, due to 15 basis points of outward yield movement in the Berlin DIY
    investment, whilst the Frankfurt grocery asset valuation remained unchanged.

-   The valuation of the two alternative investments (9% - see footnote 2 below) declined
    marginally to €0.7 million, or -3.2%, as a result of c.15-35 basis points of outward
    yield shift.
-   Based on 31 March 2024 values and following the recent Rennes logistics loan
    refinancing, the portfolio LTV is approximately 33% based on gross asset value and
    24% net of cash (31 December 2023 LTV 33% gross and 24% net of cash).

-   The Company remains well positioned with significant cash reserves and is
    continuing to review select sustainability-led capex initiatives in the portfolio, which
    should optimise earnings growth and asset liquidity.

    Footnote 1: In addition, the Company has a 50% interest in a joint venture in Seville which continues to be recognised
    at nil value.

    Footnote 2: Including available cash.


Jeff O'Dwyer

Schroder Real Estate Investment Management Limited                                     Tel: 020 7658 6000

Shilla Pindoria

Schroder Investment Management Limited                                                 Tel: 020 7658 6000

Dido Laurimore/Richard Gotla/Ollie Parsons

FTI Consulting                                                                         Tel: 020 3727 1000

The Company has a primary listing on the London Stock Exchange and a secondary
listing on the JSE Limited.

11 April 2024

JSE Sponsor:
PSG Capital

Date: 11-04-2024 08:00:00
Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
 the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, 
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
 information disseminated through SENS.

Share This Story