Cromwell European REIT net property income up 11.4% to $102.49m

Its income was driven by higher revenue from freshly acquired assets in Italy, the Czech Republic, and Slovakia.

Cromwell European Real Investment Trust (CEREIT) announced a net property income of €64.3m (approximately $102.49m) for the first half (H1) of 2021.

This is 11.4% higher than the €57.72m (approximately $92m) for the same period last year.

Its income was driven by higher revenue from freshly acquired assets in Italy, the Czech Republic and Slovakia.

“CEREIT’s quality diversified portfolio has supported its income resilience, maintaining a high portfolio occupancy at 94.9%. The second quarter saw a substantial pick-up in leasing activities which resulted in +10% rent reversion, leading to an overall +5.9% rent reversion in H1 2021, partly reflecting the +13.7% year-on-year Eurozone gross domestic product growth for the second quarter 2021,” said CEREIT CEO Simon Garing in a bourse disclosure.

It expects rents to remain stable in the European office sector and logistics demand to continue to rise.

“The H1 2021 results reaffirm our positive outlook towards the continuing strength of the light industrial/logistics segment, based on the structural shift towards e-commerce and global trade soon to re-emerge. This supports CEREIT’s current pivot towards a 50% portfolio weighting to the light industrial/logistics sector. With high cash holdings and access to substantial funding, we look forward to securing further attractive acquisitions,” Garing said.