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
SCHRODER EUROPEAN REAL ESTATE INVESTMENT TRUST
PLC
("SEREIT"/ the "Company" / "Group")
PROPERTY
PORTFOLIO VALUATION
Stabilisation of values supported by income
growth
Schroder European Real Estate
Investment Trust plc, the company investing in real estate in
European growth cities, today provides an update on the independent
valuation of the property portfolio as at 30 June 2024:
- The direct property portfolio was independently valued
at €208.3 million, reflecting a marginal increase of 0.1% (31
March 2024 -1.0%), or €0.2 million, over the quarter (see footnote
1 below). This signals a stabilisation in values, particularly for
the industrial and retail sectors, which offset the continued
outward yield movement for offices. In addition, the portfolio's
income profile remains robust, benefitting from rental growth,
indexation and high occupancy (96%), which is diversified across
c.50 tenants.
- The retail assets portfolio witnessed a valuation increase of
€0.8 million, or 1.9%, attributed to the Frankfurt grocery asset
(€0.8m / 6.8%) following the successful completion of a new 15-year
lease extension with anchor tenant Lidl, whilst the Berlin DIY
store valuation remained unchanged.
- The industrial
portfolio valuation increased €0.6 million, or 0.8%, driven
by estimated rental value ("ERV") growth in
Houten (4.0%) and Venray II (5.3%), the
Netherlands, as well as index-linked income growth in Nantes
(1.7%), France.
-
The office portfolio valuation declined -€0.7
million, or -0.8% (Hamburg -0.9%; Stuttgart -0.8%; and Paris
-0.8%), predominantly due to c.10 basis points of outward yield
shift in Germany, as well as the valuers adjusting their letting
assumptions in Paris.
-
The alternative assets portfolio valuation
comprised a -€0.5 million, or -3.1%, decline for the mixed-used
data centre in Apeldoorn due to the declining remaining lease term,
whilst the Cannes car room valuation remained unchanged.
- Based on 30 June 2024 values, the portfolio LTV is
approximately 33% based on gross asset value and 24% net of cash
providing significant flexibility.
Footnote
1: In addition, the Company has a 50% interest in a joint venture
in Seville which continues to be recognised at nil
value.
Enquiries:
Jeff
O'Dwyer
Schroder
Real Estate Investment Management Limited
Tel: 020 7658
6000
Natalia de
Sousa
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.
London
11 July
2024
JSE
Sponsor:
PSG
Capital