Strong operating performance allows to propose dividend of PLN 0.27 per share

2016 HIGHLIGHTS

  • Total investment of €255m (including €162m of acquisitions)
  • Revaluation gain of €85m (€26m in 2015) driven by projects under construction includes also modest 3% revaluation gain on income generating properties on improved performance
  • EPRA NAV increased to €897m (€779m as of 31 December 2015)
  • EPRA NAV / share increased 20% to PLN 8.62 from PLN 7.21 as of 31 December 2015
  • Gross margin from rental activity increased by 10% to €86m (€79m in 2015)
  • 13% FFO I improvement to €43m (€38m in 2015)
  • FFO I / share at PLN 0.39 (PLN 0.38[1] in 2015) and FFO I yield of 5%
  • Profit after tax at €160m (€44m in 2015)
  • Earnings per share up by 183% to €0.34 (€0.12 in 2015)

[1] Based on GTC’s 59% share in FFO I of City Gate to present GTC’s fair economical interest in generated funds from operations

PORTFOLIO UPDATE

  • Acquisition of income generating assets of €140m and land for development of €22m (total acquisitions in 2015 of €53m)
  • Investment in assets under construction of €93m (€34m in 2015)
  • 23% growth in total property value to €1,624m (€1,324m as of 31 December 2015)
  • 20% growth in income generating portfolio to €1,261m (€1,052m as of 31 December 2015)
  • 139,000 sq. m NLA under construction in five projects with over 83,000 sq. m to be completed in 2017
  • 181,000 sq. m NLA in planning stage
  • 144,000 sq. m of new lettings and lease renewals for office and retail space in 2016
  • Occupancy rate at 94%

GTC delivered solid results in 2016, several value accretive acquisitions and completions of office projects contributed significant to NAV and NOI growth. We will deliver a strong performance over the next years to come as our income-generating portfolio will expand and boost rent income through further accretive acquisitions and completion of development projects. Over 139,000 sq. m GLA of retail and office space under construction and an additional 181,000 sq. m at planning stages supported by a strong cash position are the ingredients of a substantial NAV growth to come.”– Thomas Kurzmann, GTC’s CEO said.

“Thanks to the growth achieved in 2016, the board recommended dividend distribution from 2016 profits of PLN 0.27 per share. Recognizing profit distribution to shareholders as one of management’s goals, we are committed to execute appropriate, performance-based dividend payments, whilst continuing to pursue our NAV and FFO I growth strategy. The dividend policy is therefore guided by our cash resources, planned investment and expected FFO I growth.”commented Erez Boniel, GTC’s CFO.

We are confident that we will generate a double-digit dividend and NAV growth in years to come as we deliver on our total return investment strategy.”– added Thomas Kurzmann.

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2016_Q4_Wyniki_Informacja prasowa

GTC lays cornerstone for Ada Mall

  • The cornerstone ceremony took place on 6 March
  • Ada Mall will have 34,000 sq m of modern, well designed retail space
  • Project is scheduled for completion in Q3 2018

The ceremonial laying of the cornerstone for Ada Mall, GTC’s latest retail investment in Belgrade, was held on 6 March 2017. It was attended by representatives of the investor, its partners and city authorities.

GTC received the final building permit for Ada Mall in mid-February 2017. The plot for the retail project stretches along Radnička Street, opposite the popular Ada Ciganlija recreational zone.

At GTC, we strongly believe that with its great location, the state-of-the-art design concept and it’s very attractive leisure offer Ada Mall will become the preferred shopping destination in Belgrade” commented Thomas Kurzmann, GTC’s CEO.

Last year, GTC celebrated 15th anniversary of successful operations in Serbia and it doesn’t slow down the pace.

“We are more than satisfied with the performance of our existing office portfolio in Belgrade, however it is always a pleasure to launch another project. Additionally, as Ada Mall is our first retail investment in Serbia, it marks an important milestone of our operations in the country” commented Peđja Petronijević, GTC General Manager in Serbia.

Ada Mall will have approximately 34,000 sq m of gross lettable area (GLA) with 1,000 designated parking places and will be designed and built according to the highest international standards. The development is located in Cukarica, directly opposite Ada Ciganlija. The opening of the mall is scheduled for autumn 2018.

GTC_Cornerstone at Ada Mall_Siniša Mali, Mayor of Belgrade and Thomas Kurzmann, GTC CEO

GTC supports Children’s Hospitals in Warsaw

  • GTC donated PLN 40 thousand to The Friends of Children’s Hospitals of Warsaw Foundation at the CEE Retail Real Estate Awards Gala
  • The donations will be used to acquire special medical equipment for Medical University of Warsaw

GTC, one of the leading commercial real estate companies in Central, Eastern and Southern Europe, received an official title of “A friend of the Children’s Hospitals of Warsaw” by donating PLN 40 thousand  at this year’s CEE Retail Real Estate Awards gala.

At the ninth annual Europa Property CEE Retail Real Estate Awards Gala, the developer and asset manager donated PLN 40 thousand to the Friends of the Children’s Hospitals in Warsaw Foundation, which will be dedicated to acquire special medical equipment. The Foundation’s current project is to purchase an endoscope and a videostroboscope for laryngeal treatment for the Medical University of Warsaw.

At GTC, we pay a lot of attention to being a caring member of the society and we feel a great responsibility to share and to make good deeds towards the needy, especially when the cause concerns children. We endeavor to take every opportunity we can to support such admirable organizations as the Friends of the Children’s Hospitals in Warsaw Foundation and we plan on doing so in the future” commented Jacek Wachowicz, GTC’s CIO.

Founded in 1993 with the support of USAID, the Friends of the Children’s Hospitals in Warsaw Foundation was one of the first non-governmental organizations in Poland. Its mission is to make the best care available for children by investing in Warsaw hospitals for children through donations of state-of-the-art medical equipment and funds for facility renovations.

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