SFL – Third-Quarter 2017 Financial Information
October 19 2017 - 11:30AM
Business Wire
Regulatory News:
SFL (Paris:FLY):
Rental income: €147.8 million, up 3.3%
like-for-like
Consolidated revenue by business segment
(€000’s)
2017 (9
months) 2016 (9 months) Rental
income 147,819 150,139 o/w Paris
Central Business District 114,326 114,003 Paris Other 21,526 23,022
Western Crescent 11,967 13,114 Other
revenue 0 0 Total consolidated revenue 147,819
150,139
Rental income amounted to €147.8 million in the nine months to
30 September 2017 versus €150.1 million in the same period in
2016, down slightly by €2.3 million.
- On a like-for-like basis (excluding all
changes in the portfolio affecting period-on-period comparisons),
rental income was €4.5 million higher, a 3.3% increase that was
attributable to new leases signed in 2016 and 2017, mainly for the
Cézanne Saint-Honoré, 9 Percier and 103 Grenelle properties.
- Changes in assets under redevelopment
between the two periods had a €5.1 million negative impact on
rental income, with several floors of offices taken off the market
for extensive renovation after tenants moved out.
- The impact of lease termination
penalties received from tenants added a net €0.5 million to rental
income in the first nine months of 2017 compared with €2.2 million
in the year-earlier period.
SFL signed leases on some 15,000 sq.m. in the first nine months
of the year, including nearly 12,000 sq.m. of offices on very
good terms. The new leases were signed at an average nominal rent
of €693 per square metre, corresponding to an effective rent of
€595 per square metre. The average incentive ratio is 14% and the
average firm lease maturity is 6.3 years.
The occupancy rate for revenue-generating properties remained
high, standing at 96.4% as of 30 September 2017 compared
with 97.0% as of 31 December 2016. The remaining vacant units are
located mainly in the Cézanne Saint-Honoré, Washington Plaza and Le
Vaisseau (Issy-les-Moulineaux) properties.
On 13 January 2017, SFL entered into a €165-million deal to
acquire SMA’s historical headquarters building on Avenue Emile Zola
in the 15th arrondissement of Paris. The 21,000-sq.m. property will
be redeveloped to create a major new business centre in the west of
the capital. Contracts will be exchanged when SMA moves to its new
headquarters in the fourth quarter of 2017 (for more details, see
the press release dated 16 January 2017).
Following the signature of a sale agreement in July 2017, the
In/Out property was sold to Primonial as planned on 29 September
2017. Located in Boulogne-Billancourt and let to the Organisation
for Economic Co-operation and Development (OECD), this
approximately 35,000-sq.m. property was sold for the net sale price
of €445 million, representing a yield of 3.7% including transfer
costs (for more details, see the press release dated 2 October
2017).
Taking this sale into account, net debt declined to €1,483
million at 30 September 2017, compared with €1,931 million at 31
December 2016, representing a loan-to-value ratio of 24.4%. At
30 September 2017, the average cost of debt after hedging was
2.0% and the average maturity was 3.9 years. In addition, as of the
same date, SFL had €785 million in undrawn lines of credit.
In the interest of simplification, SFL’s Board of Directors has
decided to reinstate the principle of an annual dividend payment.
As a result, the Company will not pay an interim dividend in
2017.
About SFL
Leader on the prime segment of the Parisian tertiary real estate
market, Société Foncière Lyonnaise stands out for the quality of
its property portfolio, which is valued at €5.7 billion and is
concentrated on the Central Business District of Paris
(#cloud.paris, Edouard VII, Washington Plaza, etc.), and
for the quality of its client portfolio, which is composed of
prestigious companies in the consulting, media, digital, luxury,
finance and insurance sectors.
Stock market: Euronext Paris Compartment A – Euronext Paris ISIN
FR0000033409 – Bloomberg: FLY FP – Reuters: FLYP PA
S&P rating: BBB with a positive outlook
View source
version on businesswire.com: http://www.businesswire.com/news/home/20171019006154/en/
SFLThomas Fareng, +33 (0)1 42 97 27
00t.fareng@fonciere-lyonnaise.com
Fly Leasing (NYSE:FLY)
Historical Stock Chart
From Apr 2024 to May 2024
Fly Leasing (NYSE:FLY)
Historical Stock Chart
From May 2023 to May 2024