EfTEN Tähesaju tee OÜ, a subsidiary of EfTEN Real Estate Fund AS, sold a property on Tähesaju Road 5 in Tallinn in September. The property sold for €4,675,000, which was €452,000 below book value. The sale generated cash proceeds of €1.9 million after loan repayments. The fund invested the proceeds from the sale in the prepayment of a logistics center on Helgmeestrasse. 8 / Pimamehe Street Tallinn no. 7 and Paemuru Street No. 3.
EfTEN Real Estate Fund AS generated consolidated rental income of 2,551 thousand euros in September, which was a decrease of 26 thousand euros compared to August. The decrease in rental income was primarily due to the sale of Tehesaju Real Estate. The fund’s consolidated EBITDA in September was €2,191,000, an increase of €26,000 compared to the previous month.
In the first nine months of this year, the EfTEN Real Estate Fund’s consolidated rental income amounted to EUR 23,045 thousand, an increase of 1.2% year-on-year. The fund’s investment properties generated a net operating income (NOI) of EUR 22,252 thousand in the nine-month period, an increase of 0.2% compared to the same period last year. The fund’s EBITDA for the first nine months of this year totaled 19,653 thousand euros, down 0.2% year-on-year.
In the nine months of 2024, EfTEN Real Estate Fund AS generated a consolidated free cash flow (EBITDA minus interest on loan repayments) of €8,006 thousand, which was €897 thousand lower than in the same period last year. The decrease in cash flow is associated with an increase in EURIBOR. Based on results for the first nine months of this year, the potential total dividend would be 59.19 cents per share, down 9.9% year over year. Due to the active banking market, the Fund’s management sees an opportunity to increase dividend payments in spring 2025 through the refinancing of some bank loans.
The weighted average interest rate on bank loans of the fund’s subsidiaries was 5.35% at the end of September, down 0.18 percentage points from the previous month and 0.56 percentage points from the EURIBOR peak at the beginning of the year.
As of September 30, 2024, the net asset value per share of EfTEN Real Estate Fund AS was EUR 20.1467 and EPRA NRV was EUR 20.9623. Net asset value per share increased by 0.5% in September. Excluding the extraordinary loss from the sale of the Tehesaju property, the fund’s net asset value per share would have increased by 0.7% in September.
Marilyn Hine
CFO
Phone +372 6559 515
Email: marilin.hein@eften.ee
EREF_reports_monthly_09.2024
