Portfolio 

Commentary on the Portfolio

Divest­ment from the Ger­man port­fo­lio, the Group suc­cess­ful­ly com­plet­ed in August 2017, allowed the com­pa­ny to con­cen­trate in rebuild­ing the Swiss port­fo­lio and capa­bil­i­ties. The Group renewed hir­ing, to rebuild the team and is on the way to set up an oper­at­ing part­ner­ship with a mar­ket leader for prop­er­ty management.

As at report­ing date the Groupʼs port­fo­lio com­pris­es of five invest­ment prop­er­ties in Switzer­land. The over­all val­ue of the Swiss port­fo­lio amounts to CHF 200.1 mil­lion as of 31 March 2018. This rep­re­sents an increase of CHF 1.5 mil­lion com­pared with 31 March 2017, main­ly derived from long term exten­sion of big­ger con­tracts in place, includ­ing with a major ten­ant, and prompt lease up of vacat­ed premis­es. Enhanced sus­tain­abil­i­ty of rental income result­ed in low­er­ing dis­count rates for some properties.

Annu­al rental income was CHF 8.1 mil­lion as of 31 March 2018. The vacan­cy rate for the Swiss port­fo­lio improved slight­ly from 10.6% to 10.5% dur­ing the report­ing peri­od. Weight­ed aver­age lease term (WALT) keeps sta­ble at 5.2 years.

Mar­ket val­ue of
over­all port­fo­lio increased
by CHF 1.5 million

Portfolio Overview

Major tenants

Over­all port­fo­lio
WALT 5.2 years

Lease contract analysis

Portfolio Details

Strategy

Dur­ing the finan­cial year 2015/16 Züblin launched a strate­gic devel­op­ment ini­tia­tive: the return to core mar­kets, sta­bi­liza­tion of the finan­cial and oper­a­tional busi­ness and final­ly growth. In the year under review the com­pa­ny con­tin­ued work­ing on imple­ment­ing the nec­es­sary mea­sures to sup­port the strategy.

With the sale of the Ger­man port­fo­lio, Züblin took advan­tage of the favor­able mar­ket con­di­tions in Germany. 

The pro­ceeds from the trans­ac­tion enable the com­pa­ny to pur­sue its invest­ment pol­i­cy and grow through acquis­tions in Europeʼs sta­ble Ger­man-speak­ing real estate markets.