NOTES OF THE BOARD OF DIRECTORS ON Q1 2023
Brussels, 15 May 2023
• Result: net result was €9.8 M or €0.98 per share.
• Strong investment portfolio: rental income increased by € 0.4 M in the first quarter of 2023 compared to the first quarter of 2022, despite the sales of several buildings in 2022. In particular, rental income in Belgium increased significantly and primarily due to the resumption of events at the Tour & Taxis site. The like-for-like rental growth of +10% (+ €1.7 M) is also realized by the indexation that is being felt in Belgium, Luxembourg and Austria. This increase is expected to continue during 2023, with the signing of several new leases in Belgium and Luxembourg.
• Active financial management: the rising interest rates are largely tempered by the hedging strategy (hedge ratio of 70% at 31/03/2023) and by the continued implementation of the strategy to reduce the debt position through well-targeted sales. By reducing the debt ratio, rising interest rates have less negative impact on results.
• Successful portfolio rotation with nice capital gains: The Treesquare building located on the de Meeûssquare in the European district of Brussels was sold in early Q2 to the German KGAL Investment Management for a net price of €43.7 million, representing a capital gain of €2M and a yield of 4.23%. This gain will be recognized in Q2 2023.
• Innovative developments: The operating result of the development projects amounts to €5.6 M, being €1.1 M higher compared to Q1 2022. Nearly half of the second phase of Park Lane, comprising 346 apartments, has been reserved or sold. Nextensa has also announced its intention to start the Lake Side project, the final phase of the urban transformation on the Tour & Taxis site, from 2025. Nextensa submitted the permit at the end of Q1 for the development of some 140,000 square meters, with a largely residential program. The new district will be completely free of fossil fuels while also striving to minimize its ecological footprint through a well-founded choice of building materials.
• Nextensa share: The accounting net asset value was €84.9 per share at the end of Q1 while the share price has fluctuated between €40 and €50 per share in recent weeks.
Nextensa NV is a mixed-use real estate investor and developer.
The company’s investment portfolio is divided between the Grand Duchy of Luxembourg (41%), Belgium (44%) and Austria (15%); its total value as of 31/03/2023 was approximately € 1.29 billion.
As a developer, Nextensa is primarily active in shaping large urban developments. At Tour & Taxis (development of over 350,000 sqm) in Brussels, Nextensa is building a mixed real estate portfolio consisting of a revaluation of iconic buildings and new constructions. In Luxembourg (Cloche d’Or), it is working in partnership on a major urban extension of more than 400,000 sqm consisting of offices, retail and residential buildings. The company is listed on Euronext Brussels and has a market capitalization of €519.1 million (value 31/12/2022).
FOR MORE INFORMATION
Michel Van Geyte | Chief Executive Officer
Gare Maritime, Picardstraat 11, B505, 1000 Brussels
+32 2 882 10 08 | firstname.lastname@example.org