Real estate giant Vonovia, Europe’s largest, sells assets worth €1.7 billion in first nine months of year


Singular Bank: Europe’s largest real estate company has presented its results for the first nine months of the year, where the highlight is the sale of assets for a total of €1.7 billion, such as 30% of its northern German portfolio to Apollo for €1 billion, a portfolio to CBRE for €357 million at a discount of 4% and other small sales at an average discount of 7% to fair value. Organic rental growth accumulated 3.8% with a vacancy rate of 2.1%, although group Ebitda fell by 4.7%, and LTV (loan-to-value) declined to 45%. By end 2023, rental growth of 3.7% is expected, FFO (funds from operations) of €1.85 billion constrained by the higher cost of debt, and by 2024, revenue and Ebitda would be flat, but organic rental growth could reach 5%.

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