Valuation of D. Carnegie & Co's property portfolio will have positive impact on Q2 2018 earnings
D. Carnegie & Co has, in line with its approach historically, had Savills perform a market valuation of 100% of the company’s property portfolio as per 30 June 2018. D. Carnegie & Co's continued comprehensive, value-creating investment program, progress on its building rights, and the increasingly strong investor interest in Swedish residential assets, have resulted in an increased valuation of D. Carnegie & Co's property portfolio. This has led to a positive impact of approximately SEK 1.8 billion on the pre-tax profit in the second quarter of 2018.
“The valuation increase is a result of the strong investor interest in Swedish residential properties from both domestic and international investors, our continued focus on securing building rights across our portfolio, and our proven renovation model and capital spend leading to the company’s third-party valuer increasingly recognising the value-accretive nature of these investments.
As the value gain is significant, we choose to inform the market of this positive effect prior to the release of the second quarter report on 13 July”, says D. Carnegie & Co’s VD Svein-Erik Lilleland.
For more information, please contact:
Svein Erik Lilleland, CEO, Telephone: +46 (0) 8 121 317 25, E-mail: firstname.lastname@example.org
This information is information that D. Carnegie & Co AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 8.30 p.m. CEST on 11 July 2018.
About D. Carnegie & Co
D. Carnegie & Co is a property company focusing on residential properties in the Greater Stockholm region and other growth areas. The company’s business concept is to own property portfolios slated for a gradual renovation of apartments in conjunction with the natural turnover of tenants. This can take place quickly and cost-efficiently thanks to extensive experience from the company's renovation method which, among other things, means that no evacuation needs to take place. In addition to this, the company creates value through the development of building rights in existing portfolios. The market value of the company’s properties amounted to SEK 21,952 million on 31 March 2018. The total rental value amounted to SEK 1,569 million annually on 31 March 2018. The economic occupancy rate is high – vacancies are virtually non-existent. D. Carnegie & Co is listed on Nasdaq Stockholm.