24.5 C
June 28, 2022

Sonae Sierra recorded a Total Net Profit of €59.0 million in the 1st half of 2016. ParkLake’s opening in Bucharest confirmed for September 1st

Sonae Sierra, the international property company dedicated to serving the needs of retail real estate investors, recorded a Net Profit of €59.0 million in the first half of 2016, with increased tenant sales in Europe and an uplift in the global occupancy rate reinforcing the continued recovery trend.

Tenant sales in the European portfolio grew by 3.9% on a like-for-like basis, compared to the same period of 2015, with an 11.1% growth in Spain and 4.5% in Italy. The Portuguese market maintained a positive performance, with a 3.2% like-for-like increase in tenant sales, compared to the first semester of 2015. Tenant sales in Brazil remained stable (0.0% in Brazilian Real LfL).

The global occupancy rate of the portfolio reached 96.1%, a 0.3% increase compared to the same period of 2015. This reflects the good management of the company’s shopping centres, particularly in Europe, where occupancy was up to 97.1%.

According to Fernando Guedes de Oliveira, Sonae Sierra’s CEO, “the first six months of 2016 have confirmed the recovery trend, particularly in Europe, where tenant sales rose 3.9% and occupancy rates reached 97.1%. We have continued to boost our third party service provision, launched a fund with CBRE GIP to maintain our business positions in Spain and Portugal, and confirmed the opening of ParkLake, in Romania, for September 1st.”

In the first semester of this year, the Direct Result was stable at €26.8 million, the same as in the first half of 2015. This reflects the ongoing economic recovery and increased occupancy rates in Europe, in spite of the asset sales executed by the Company and the Brazilian Real devaluation during this period.

The Indirect Result was €32.2 million, €20 million below the previous year, as a result of a lower yield compression than the one experienced in the same period of last year.

Sonae Sierra operates from corporate offices in 15 countries providing services to clients in geographies as diverse as Portugal, Algeria, Azerbaijan, Brazil, Colombia, Germany, Greece, Italy, Morocco, Romania, Russia, Slovakia, Spain, Tunisia and Turkey. Sonae Sierra owns 44 shopping centres with a market value of €6 billion euros, and manages and/or lets 78 Shopping Centres with a Gross Lettable Area of 2.3 million m2 and about 9,000 tenants. In 2015, the Company welcomed more than 430 million visits to the shopping centres it manages. Currently, Sonae Sierra has 11 projects under development, including 4 for clients, and 7 n w projects in pipeline.

According to Sonae Sierra and Caelum Development, ParkLake’s opening  on September 1st will mark the debut of several new brands and retail concepts in Romania. More than 97% let as of end of June, the highly sustainable shopping centre represents a €180 million investment with over 200 shops on 70,000 m2 of GLA.

Related posts

Cheap energy for large companies

Nine O' Clock

New CEO at Hidroelectrica

Nine O' Clock

SECOM and Botanical Garden invites you to visit “The Garden with Remedies”