The Patrimonium Swiss Real Estate Fund grew in the 2017/18 financial year. A withholding-tax-exempt dividend of CHF 3.50 per share will be paid, representing a 7.7% increase on the previous year’s dividend of CHF 3.25. Rental income increased from CHF 38.1 million to CHF 39.6 million. The post-dividend net asset value rose from CHF 126.09 to CHF 129.62 per share, for a return on investment of 5.6%. A capital increase of CHF 100 million is planned for July 2018.
The Patrimonium Swiss Real Estate Fund’s rental income increased by 3.91%, or around CHF 1.5 million, to over CHF 39.6 million. The year-on-year rise was a result of additional income from the rooftop extension to the property at Chemin de Mallieu 13 in Pully, Vaud, and from the acquisition of the property at Route de Villars-Vert 23 in Villars-sur-Glâne, Fribourg, as well as increases in rent following renovation work. According to Wüest Partner, the average potential rent increase of the Fund’s properties is around CHF 37/m2 per year.
At 31 March 2018, the Fund’s portfolio consisted of 49 residential properties, seven mixed properties, four commercial properties and two new construction projects, for a total value of CHF 790 million, up from CHF 740 million in the previous year. The net asset value (after the dividend payment) rose from CHF 126.09 to CHF 129.62 per share. The financing ratio was 27.6% at 31 March 2018 (25.5% a year earlier), with an average interest rate of 1.58%.
The Fund continues to focus its growth strategy on optimising its property portfolio and renovating properties in order to increase rental income over the long term.
Acquisitions during the period included a residential property in Villars-sur-Glâne, Fribourg, on 11 May 2017 for CHF 8.9 million, and part of a new construction project in Crissier, Lausanne, on 28 July 2017 for CHF 5.5 million. The property in Busswil, Bern, was sold on 29 March 2018 for CHF 3.8 million.
The Fund expects to see further profitable growth in the year to come, thanks to the new construction projects in Montreux and Crissier, the rooftop extension projects in Lausanne, Geneva and Bulle, and the development potential of the “Lorze-Areal” area in Baar.
Withholding-tax-exempt dividend per share of CHF 3.50 on 15 June 2018 (ex-date: 13 June / value date: 15 June)
The Fund is able to maintain its stable dividend strategy thanks to its buy-and-hold investment strategy and its proactive approach to portfolio management, which involves conducting renovations, adding floors to existing properties and embarking on new construction projects. As a result, the dividend will increase by 7.7% from CHF 3.25 to CHF 3.50 (payout ratio: 94.6%).
The Fund is planning a capital increase, with a subscription period from 21 June to 3 July. More detailed information about the issue price and subscription ratio will be provided prior to the transaction.