3rd TRIMESTRE ACTIVITY 2016
GROSS RENTS UP 22.1% TO 30.8 MILLION EUROS
During the
third quarter of 2016, total gross rents in the real estate portfolio increased by 22.1% compared to the same period last year, to reach 30.8 million euros.
| In millions of euros – 9 months |
|
Q3 2016 |
Q3 2015 |
Variation |
% |
| Constant perimeter |
|
23.7 |
24,2 |
(0.6) |
-2,3% |
| Recent acquisitions |
|
7.1 |
0.9 |
$6.2 |
N/A |
| Total gross rents |
|
30,8 |
25.2 |
+ 5.6 |
22.1% |
This strong increase can be explained by:
- acquisitions and deliveries of new projects in the previous year, including La Ville-du-Bois (91), Epagny (74), La Rochelle (17) and Ecully (69);
- renting projects delivered at the beginning of 2016: Salon-de-Provence (13), the first tranche of Cognac (16) and Champniers (16); as well as
- acquisitions for the first half of 2016: Clermont-Ferrand Lempdes (63), Loches (37) and Provins (77).
The slight decrease in rent on a like-for-like basis is mainly due to the departure of 5 tenants scattered over different assets in the portfolio. Three of these cells have already been re-rented and their rents will fully re-enter the turnover from the 4t
h quarter of 2016.
Latest acquisitions
Heritage – Commerce continues its development and strengthens in areas where land is already present, notably in Poitiers (86), in the immediate vicinity of the Retail Park Poitiers Sud, which it already operates. Thus, in parallel with the development of a project already marketed in Lapeyre and Electro Depot, whose VEFA was signed in June 2016, it has just acquired in September a retail park fully leased, notably in Aubade, Joué Club and V-B.
In addition, Heritage and Commerce is also consolidating its positioning in Limoges-Le Vigen (87), where it already holds several assets, with the acquisition of a commercial building, in the "Bas Faure" ZAC, leased to the Caisse d'Epargne and La Table de Limoges.
The total amount of these last two investments amounted to 5.9 million euros.
Dividend distribution 2015 in shares widely acclaimed at 70%
Shareholders confirmed their confidence in the strategy implemented by the management of the group by subscribing more than 70% to the payment of the dividend in shares.
Perspectives
Eric Duval, Managing Director and Founder of Heritage – Commerce said: "In line with our recent presentation of the half-year results of the 2016 financial year, Heritage and Commerce continues its development momentum and strengthens its position as the leading real estate company of Retail Parks lowcost in France. We have also decided to evolve our logo to support our development."
Q3 2016 RESULTS
Gross rent of '30.8m, up 22.1%
During the third quarter of 2016, the total gross rental income of the operating property portfolio amounted to '30.8m, up 22.1% compared to the same period last year.
| in m – year to date |
|
Q3 2016 |
Q3 2015 |
Variation |
% |
| Like-for-like |
|
23.7 |
24.2 |
(0.6) |
-2.3% |
| Recent acquisitions |
|
7.1 |
0.9 |
$6.2 |
N/A |
| Total gross rental income |
|
30.8 |
25.2 |
$5.6 |
22.1% |
This strong increase can be explained by:
- The acquisitions and the projects delivered during the previous year especially Ville-du-Bois (Essonne), Epagny (Haute-Savoie), La Rochelle Puilboreau (Charente-Maritime) and Ecully (Rhône);
- The rental income from projects recently delivered: Salon-de-Provence (Bouches-du-Rhône), the 1st part of Cognac (Charente), and Champniers (Charente);
- The acquisitions of the 1st semester of 2016: Clermont-Ferrand Lempdes (Puy-de-Dôme), Loches (Indre-et-Loire), and Provins (Seine-et-Marne).
The like-for-like light decrease is mostly due to 5 tenants leaving among several assets of the portfolio. Lease signatures recently occurred for three cells and their rental income will fully be part of the global turnover by the 4
th trimester 2016.
Latest acquisitions
Heritage – Commerce continues its development in places where it is already established. While developing a new project fully rented to Lapeyre and Electro Depot in front of the Retail Park in Poitiers Sud (Vienna) owned by Heritage – Commerce, the latter has just acquired a Retail Park of which tenants are notably Aubade, Joué Club and V-B.
Moreover, Heritage – Commerce strengthens its position in Limoges-Le-Vigen (High-Vienna), with the acquisition of an asset rented to Caisse d'Epargne and La Table de Limoges.
The global investment of these two last assets amounts to 5.9m.
2015 stock dividend payment approved by 70% of shareholders
Shareholders confirmed their wisdom in the management development strategy, by subscribing the stock dividend payment up to 70%.
Eric Duval, founder and managing director of Heritage – Commerce declared: "In accordance with our 2016 first half results, Heritage – Commerce continues its dynamic development, strengthening its profile as a growth and yield retail real estate specialist in France. Besides, we decided to change our logo to support our development.