The group has set new growth in its net recurring income as its objective in 2010. It is maintaining an active distribution policy, and for 2009 is proposing up to €6.9 per share, with €3.3 available in cash, plus six shares of Italian unit Beni Stabili. Describing the scheme as exceptional, it said it has should cut the direct holding by FdR to 52.5% from the current 68%.
CEO Christophe Kullmann says FdR has set new growth in its net recurring income as its objective in 2010. "After 10 years of growth and the good resistance of its business model in 2009, Foncière des Régions wishes to consolidate its real estate position focused on commercial real estate and large clients," he says.
FdR was caught at the start of the global crisis with a comparatively high debt load. It noted that it cut debt last year by €1bn to reduce loan to value to 55.6% from 58.8% at end-2008.
"The objectives of the FdR 2010 plan, a plan initiated on January 2009 to respond to a deteriorated economic and financial environment, have been exceeded," it says. At the same time, it conducted active asset management, investing €457 million in office in Ile-de-France last year, and making €751 million in asset sales - against a target of €500 million. It held average lease duration at over six years.
The company said its main indicators are now stable. Net asset value rose 10% from June to €4.01 billion - 1.3% over 12 months - for a total group share portfolio of €9.3 billion. NAV per share, excluding transfer taxes and financial instruments, was stable at €79.2. Its stock was trading after the announcement around €75. FdR total assets fell last year to just under €14 billion from €17.4 billion at end-2008.
Allan Saundersonis a managing editor of Property Finance Europe and a contributor to GlobeSt.com.Want to continue reading?
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