SFL – Third-Quarter 2017 Financial Information
Regulatory News:
SFL (Paris:FLY):
Rental income: €147.8 million, up 3.3% like-for-like
Consolidated revenue by business segment (€000’s) | ||||||
2017
(9 months) |
2016
(9 months) |
|||||
Rental income | 147,819 | 150,139 | ||||
o/w | Paris Central Business District | 114,326 | 114,003 | |||
Paris Other | 21,526 | 23,022 | ||||
Western Crescent | 11,967 | 13,114 | ||||
Other revenue | 0 | 0 | ||||
Total consolidated revenue | 147,819 | 150,139 | ||||
Rental income amounted to €147.8 million in the nine months to 30 September 2017 versus €150.1 million in the same period in 2016, down slightly by €2.3 million.
- On a like-for-like basis (excluding all changes in the portfolio affecting period-on-period comparisons), rental income was €4.5 million higher, a 3.3% increase that was attributable to new leases signed in 2016 and 2017, mainly for the Cézanne Saint-Honoré, 9 Percier and 103 Grenelle properties.
- Changes in assets under redevelopment between the two periods had a €5.1 million negative impact on rental income, with several floors of offices taken off the market for extensive renovation after tenants moved out.
- The impact of lease termination penalties received from tenants added a net €0.5 million to rental income in the first nine months of 2017 compared with €2.2 million in the year-earlier period.
SFL signed leases on some 15,000 sq.m. in the first nine months of the year, including nearly 12,000 sq.m. of offices on very good terms. The new leases were signed at an average nominal rent of €693 per square metre, corresponding to an effective rent of €595 per square metre. The average incentive ratio is 14% and the average firm lease maturity is 6.3 years.
The occupancy rate for revenue-generating properties remained high, standing at 96.4% as of 30 September 2017 compared with 97.0% as of 31 December 2016. The remaining vacant units are located mainly in the Cézanne Saint-Honoré, Washington Plaza and Le Vaisseau (Issy-les-Moulineaux) properties.
On 13 January 2017, SFL entered into a €165-million deal to acquire SMA’s historical headquarters building on Avenue Emile Zola in the 15th arrondissement of Paris. The 21,000-sq.m. property will be redeveloped to create a major new business centre in the west of the capital. Contracts will be exchanged when SMA moves to its new headquarters in the fourth quarter of 2017 (for more details, see the press release dated 16 January 2017).
Following the signature of a sale agreement in July 2017, the In/Out property was sold to Primonial as planned on 29 September 2017. Located in Boulogne-Billancourt and let to the Organisation for Economic Co-operation and Development (OECD), this approximately 35,000-sq.m. property was sold for the net sale price of €445 million, representing a yield of 3.7% including transfer costs (for more details, see the press release dated 2 October 2017).
Taking this sale into account, net debt declined to €1,483 million at 30 September 2017, compared with €1,931 million at 31 December 2016, representing a loan-to-value ratio of 24.4%. At 30 September 2017, the average cost of debt after hedging was 2.0% and the average maturity was 3.9 years. In addition, as of the same date, SFL had €785 million in undrawn lines of credit.
In the interest of simplification, SFL’s Board of Directors has decided to reinstate the principle of an annual dividend payment. As a result, the Company will not pay an interim dividend in 2017.
About SFL
Leader on the prime segment of the Parisian tertiary real estate market, Société Foncière Lyonnaise stands out for the quality of its property portfolio, which is valued at €5.7 billion and is concentrated on the Central Business District of Paris (#cloud.paris, Edouard VII, Washington Plaza, etc.), and for the quality of its client portfolio, which is composed of prestigious companies in the consulting, media, digital, luxury, finance and insurance sectors.
Stock market: Euronext Paris Compartment A – Euronext Paris ISIN FR0000033409 – Bloomberg: FLY FP – Reuters: FLYP PA
S&P rating: BBB with a positive outlook
To view this piece of content from cts.businesswire.com, please give your consent at the top of this page.
View source version on businesswire.com: http://www.businesswire.com/news/home/20171019006154/en/
Contact information
SFL
Thomas Fareng, +33 (0)1 42 97 27 00
t.fareng@fonciere-lyonnaise.com
About Business Wire
(c) 2018 Business Wire, Inc., All rights reserved.
Business Wire, a Berkshire Hathaway company, is the global leader in multiplatform press release distribution.
Subscribe to releases from Business Wire
Subscribe to all the latest releases from Business Wire by registering your e-mail address below. You can unsubscribe at any time.
Latest releases from Business Wire
Saudi Arabia Highlights Investment Initiatives in Tourism at International Hospitality Investment Forum 17.4.2024 19:51:00 CEST | Press release
The Saudi Ministry of Tourism is currently taking a prominent stage at the International Hospitality Investment Forum (IHIF), presenting a unique opportunity for global investors to dive into the thriving tourism landscape of the Kingdom. With the spotlight on the Tourism Investment Enablers Program (TIEP), that was recently announced, Saudi Arabia is aggressively pushing towards its Vision 2030 goal of being a top global tourism destination for investors and tourists alike. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240417879947/en/ Mr. Mahmoud Abdullhadi, Deputy Minister of Destinations Enablement. (Photo: AETOSWire) This strategic presentation comes at a time when Saudi Arabia's tourism sector celebrates an incredible milestone of 100 million visitors in 2023, seven years ahead of schedule, marking a significant stride towards economic diversification and emphasizing the sector's growing contribution to the nationa
Kai Tak Sports Park Limited and ASM Global Begin Countdown to Unveiling of World’s Largest Sports Development in History17.4.2024 15:00:00 CEST | Press release
The Hong Kong Special Administrative Region Government, ASM Global and Kai Tak Sports Park Limited (KTSPL) — which is a subsidiary of New World Development — as part of a multiyear strategy, have announced a late winter testing period for Kai Tak marking the culmination of a near decade-long record $4 billion project creating the premiere sports, recreation, entertainment complex on Earth. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240417546819/en/ PLAY BALL – Kai Tak Sports Park, the largest and most ambitious sports-development and entertainment district in the world, is being managed by ASM Global. (Photo: Business Wire) ASM Global, as the lead operator, has been on the ground in Hong Kong working for over five years supporting the design, programming and construction of Kai Tak Sports Park, featuring many of the world’s most advanced state-of-the-art venues and is now prepping for pre-opening activities in advance of
Qualcomm Announces Quarterly Cash Dividend17.4.2024 15:00:00 CEST | Press release
Qualcomm Incorporated (NASDAQ: QCOM) today announced a quarterly cash dividend of $0.85 per common share, payable on June 20, 2024, to stockholders of record at the close of business on May 30, 2024. About Qualcomm Qualcomm relentlessly innovates to deliver intelligent computing everywhere, helping the world tackle some of its most important challenges. Our proven solutions drive transformation across major industries, and our Snapdragon® branded platforms power extraordinary consumer experiences. Building on our nearly 40-year leadership in setting industry standards and creating era-defining technology breakthroughs, we deliver leading edge AI, high-performance, low-power computing, and unrivaled connectivity. Together with our ecosystem partners, we enable next-generation digital transformation to enrich lives, improve businesses, and advance societies. At Qualcomm, we are engineering human progress. Qualcomm Incorporated includes our licensing business, QTL, and the vast majority o
Games Global Announces Filing of Registration Statement for Proposed Initial Public Offering17.4.2024 14:17:00 CEST | Press release
Games Global Limited (“Games Global”), a leading developer, distributor and marketer of innovative online casino-style gaming content and integrated business-to-business solutions to iGaming operators globally based on the size of its studio network, announced today that it has publicly filed a registration statement on Form F-1 with the U.S. Securities and Exchange Commission (“SEC”) relating to a proposed initial public offering of its ordinary shares. The timing of the offering, number of shares to be offered and the price range for the proposed offering have not yet been determined. Games Global has applied to list its ordinary shares on the New York Stock Exchange under the symbol "GGL". J.P. Morgan, Jefferies and Macquarie Capital are acting as joint book-running managers for the proposed offering. Barclays is acting as bookrunner for the proposed offering. The proposed offering will be made only by means of a prospectus. Copies of the preliminary prospectus relating to the propo
Alpega Group Recognized as a Challenger in the 2024 Gartner® Magic Quadrant™ for Transportation Management Systems17.4.2024 14:00:00 CEST | Press release
Alpega, a global leader in logistics SaaS software, announces its recognition as a Challenger in the 2024 Gartner Magic Quadrant for Transportation Management Systems (TMS). We believe this acknowledgment underscores Alpega’s unwavering commitment to delivering cutting-edge solutions tailored to meet the evolving demands of the transportation industry. The Gartner report evaluates vendors based on their completeness of vision and ability to execute. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240417652913/en/ (Photo: Alpega) Alpega serves global customers with deployments in all geographies, addressing diverse sectors such as automotive, retail, fast-moving consumer goods, and manufacturing, Alpega places significant emphasis on fostering collaboration with carriers, optimizing transportation procurement, and championing environmental, social, and governance (ESG) initiatives. Backed by a history of exceptional customer r