HELVETICA PROPERTY EQS-Adhoc: HSL Fund portfolio grows to over 500 apartments

Directive transparence : information réglementée

16/12/2020 07:00

EQS Group-Ad-hoc: Helvetica Property / Key word(s): Real Estate
HSL Fund portfolio grows to over 500 apartments

16-Dec-2020 / 07:00 CET/CEST
Release of an ad hoc announcement pursuant to Art. 53 KR
The issuer is solely responsible for the content of this announcement.

Press release 16 December 2020

Zurich, 16 December 2020 - The Helvetica Swiss Living Fund acquires eight high-quality residential properties with 220 apartments. The high-quality apartment buildings are in good locations in five cantons.

HSL Fund continues to grow, adding eight properties, 220 apartments and rental income of around CHF 4.2 million per year to its portfolio. The market value amounts to approximately CHF 96 million. The properties are all in good to very good condition, well-let and located in areas that are easily accessible by public transport.

"The fact that we have built up a residential real estate portfolio with over 500 apartments in just under a year and have also been able to significantly increase the occupancy rate makes me very proud. We are thinking long-term and are planning further growth steps for the HSL Fund in the new year" states Michael Müller, CEO Switzerland.

Portfolio with over 500 apartments
The acquisition increases the number of rental apartments in the portfolio from 290 to 510 apartments. The market value of the new residential portfolio is around CHF 220 million. The portfolio is spread over 24 residential properties in Switzerland's growth regions, and the target rental income is now around CHF 9.7 million per year. In addition, there is potential for rental increases in various properties.

"With our growth prospects, an attractive distribution as well as a possible listing in sight, I consider the HSL Fund a very interesting alternative to listed residential real estate funds, which are currently trading at average premiums of over 30% to net asset value" comments Salman Baday, Head Sales Switzerland.

Review and Outlook
The HSL Fund has mastered the Corona crisis very well so far. At present, the fund management company does not expect any need for provisions for tenant leases as a result of the COVID-19 situation. The strategic decision to purchase residential properties in good locations with potential for rent increases has proven to be correct. Due to the attractive interest rate environment, we expect residential real estate to remain attractive.

The investment pipeline is well filled and the fund management company Helvetica Property Investors AG plans to further expand the HSL Fund portfolio. A further capital increase is planned in the course of 2021, and a listing of the HSL Fund on the SIX Swiss Exchange is also planned for 2021 or 2022.

From today's perspective, a distribution in the region of CHF 3.00 per share can be expected for the current financial year.

Hans R. Holdener to become new Head ad interim of the Investment Team 
As of 1 January 2021, Hans R. Holdener will assume the tasks and responsibilities of Chief Investment Officer and Head of the Investment Management Team on an ad interim basis. He has more than 20 years of successful experience in the Swiss real estate and financial markets and, as former head of the fund management company Helvetica Property Investors AG, also broad management experience. He is one of the co-founders of Helvetica and was its CEO from 2006 to 2019. He also remains a member of the Investment Committee and the Board of Directors of Helvetica Property Investors AG.

Media contact

Michael Müller
Chief Executive Officer (Switzerland)
T +41 43 544 70 80

Salman Baday
Head Sales (Switzerland)
+41 43 544 70 95

About Helvetica
Helvetica Property Investors AG is a leading real estate fund management company and asset management firm. We deliver sustainable value to our clients through active, long-term ownership of safe and stable real estate investments. With a fully integrated real estate investment platform, we are able to provide both standardized investment products and customized investment plans. We are proud of our longstanding reputation for outstanding client service and dedication to responsible ownership. Our firm is approved and regulated by the Swiss Financial Market Supervisory Authority FINMA

About Helvetica Swiss Living Fund
The HSL Fund is a Swiss real estate fund open exclusively to qualified investors. The HSL Fund invests in residential real estate throughout Switzerland, primarily where regional and national economic centers are easily accessible. The investment focus of the fund is on older and newer properties with stable and sustainable revenues. The investment objective is primarily to preserve the fund's long-term value and to distribute reasonable profits. The fund share units can be traded over-the-counter. The HSL Fund is approved by the Swiss Financial Market Supervisory Authority, FINMA

Ticker Symbol HSL; Valor 49 527 566; ISIN CH0495275668

End of ad hoc announcement
Language: English
Company: Helvetica Property
Brandschenkestrasse 47
8002 Zürich
Phone: +41 43 544 7080
E-mail: office@helvetica.com
Internet: www.Helvetica.com
ISIN: CH0495275668
Valor: 49527566
EQS News ID: 1155526

End of Announcement EQS Group News Service

1155526  16-Dec-2020 CET/CEST