Grand City Properties' Resilient Growth and Strategic Moves

First Berlin Equity Research has reaffirmed its "Buy" recommendation for Grand City Properties S.A., setting a target price of €14.80. The 2025 annual report highlights Grand City Properties' (GCP) resilience, driven by consistent internal growth and a stronger balance sheet. The performance is underpinned by a 3.5% increase in like-for-like rental growth and a record low vacancy rate. GCP remains committed to its capital recycling strategy, which will continue in 2026.

Thanks to its strong liquidity and conservative debt profile, GCP is well positioned to capitalize on emerging opportunities in the European real estate market. A proposed share exchange offer from Aroundtown is part of a broader strategic plan to enhance NAV potential on a larger, liquid MDAX platform, offering a 6.6% premium over the March 3rd closing price. Analysts continue to evaluate fair value using a DCF model, considering long-term cash flow and growth potential.