The TrustStone real estate SICAV (TrustStone) experienced significant growth during its second financial year, spanning from April 1, 2022, to March 31, 2023. Earnings for the year reached CHF 1,181,501, a substantial increase from the previous year’s CHF 3,421, enabling the distribution of a dividend of CHF 1.14 per unit. Additionally, the net asset value (NAV) per unit rose to CHF 76.25 (as of March 31, 2022, it was CHF 74.68).
The SICAV concluded its 2022/2023 financial year with a remarkable 62.4% increase in rental income compared to the average annualized income of the preceding 18-month financial year. This growth can be attributed primarily to the full receipt of rental income from acquisitions made in the previous year, as well as higher income from the Etoy (VD) commercial property.
During the year under review, TrustStone acquired properties worth CHF 7,740,000.00, resulting in a total market value increase of CHF 10,421,000. This calculation accounts for the appreciation in the value of building permits, which will enable the elevation of buildings and the implementation of energy-efficient renovations.
As of March 31, 2023, in accordance with FINMA criteria, TrustStone’s real estate portfolio consisted of 5 residential properties (31.6% of the market value), 2 mixed-use properties (17.9%), and 4 commercial properties (50.5%). The total market value of the portfolio at year-end was CHF 105.7 million, and an additional CHF 2 million loan was secured by a building permit.
In the medium term, one of the commercial properties (Muttenz BL) is slated for redevelopment into a mixed-use district. This strategic decision aims to reduce the fund’s exposure to commercial real estate.
The funds raised from the capital increase in September 2022 were allocated to repay a portion of the mortgages used for property acquisitions. Currently, the debt ratio stands at 27% (as of March 31, 2022, it was 28%), and the average interest rate remains stable at 1.67%.
The Annual General Meeting, scheduled for July 19, 2023, at 11:00 a.m. in Crissier, will feature the presentation of the annual report and accounts for the year ended March 31, 2023, accompanied by the auditors’ report. Moreover, a decision regarding the appropriation of earnings as dividends will be made. Shareholders interested in attending the AGM must register with the fund management company (secretariat@solutionsandfunds.com) by July 7, 2023.
The annual report is available here (“Documents” section).