Profit from disposals rose to €533m from €296m as the company pursued its strategy of taking capital gains from mature assets and using these funds to make acquisitions.

Icade, a subsidiary of state-controlled Caisse des Dépots, began the sale of its housing portfolio last year, with the aim of reinvesting in commercial property at the bottom of the cycle, and by the end of 2010 will have sold more than €2 billion of housing units for a yield of about 4%. Disposals were a key factor in a 49% rise in operating profit to €665 million, while rents rose 3.4% on a like-for-like basis. EBITDA fell 10% to €302 million, with the decline in the contribution of property development only partly offset by improved property investment.

Icade's portfolio value declined to €5.80 billion from €6.95 billion, an overall fall of 16.5% and 10.3% like-for-like. But the impact on 2009 earnings was limited, with net charges for the impairment narrowing to €52.6 million from €61.2 million. Net asset value per share fell €17.10 to €84.50 on a liquidation basis and €18.80 to €91 on a replacement basis, compared with a current share price around €72. New acquisition Compagnie la Lucette will also be consolidated into accounts this year. Its assets mainly consist of offices in the Paris Ile-de-France region, and the acquisition means Icade has the second-largest office portfolio in the French listed property investment sector.