As at 30 September 2018, the real estate portfolio of Patrimonium Swiss Real Estate Fund consisted of 49 rental properties, 7 mixed properties, 4 commercial properties and 3 construction projects with a total market value of CHF 804 million (30.09.2017: CHF 771 million). The net asset value increased from CHF 129.01 (after distribution) to CHF 130.51. After repayment of mortgages worth CHF 95.5 million, the debt ratio as at 30 September 2018 was 17.88% (30.09.2017: 28.32%) with an average interest rate of 1.52%. Rental income for the first six months amounted to CHF 20.46 million.
The optimisation of the existing portfolio and the complete renovation of the properties, ensuring an increase in rental income, are part of the fund’s growth strategy. On 31 July 2018, part of the Oassis construction project in Crissier was acquired for CHF 1.7 million (land and construction costs approximately CHF 8.8 million). The interior and exterior renovations of the buildings on Avenue des Communes-Réunies 70 in Grand-Lancy/GE and Avenue des Alpes 71-73 in La Tour-de-Peilz/VD are planned for spring 2019.
With the construction project in Montreux/VD, the building projects in Oassis in Crissier and the development potential of the site of the former “Lorze” spinning mill in Baar/ZG, the fund has interesting growth potential. The land in Baar/ZG, which has so far been used for commercial purposes, has now been converted into land with a mixed use, which will eventually allow the construction of apartments as well. A building permit is expected at the beginning of 2021.
Projects to raise the height of buildings in the cantons of Vaud, Geneva and Fribourg are continuing.
Building permits have been obtained for the raising of the Rue St-Denis 66 building in Bulle/FR and the Rue Hugo-de-Senger 7 in Geneva. Work can begin in the first quarter of 2019. The raising of the building on Rue Virginio-Malnati 59-63 in Meyrin/GE was completed at the end of September 2018. 7 of the 9 new apartments are already rented. Work to raise the height of the building on Rue du Couchant 25 in Lausanne/VD began at the beginning of November and will last approximately 11 months.
More information on the half-year report can be found on the fund’s page.