2022 annual results - FREY: the sustainable retail REIT executes its strategic plan and posts strong growth for all of its indicators
An “entreprise à mission”with the B Corp™ certification and very ambitious ESG commitments
- FREY “B Corp Best for the World™ 2022”
- 4 major ESG commitments to “restore retail as a service for the common good”
- A climate strategy aligned with the SBT (Science Based Targets) initiative
- Target to reduce GHG emissions by 42% in scopes 1&2 and halve the carbon intensity of the construction and operation components of scope 3 ([1])
- Solar energy production potential: 40,000 MWh on 100% of the portfolio ([2]) by 2028
- FoREY® 1,667 ha in exploitation: 48% of 2030 target achieved
1st multi-country open-air shopping platform with solid fundamentals
- Economic portfolio: €1.7 billion (+16.9%)
- Internationalisation of the portfolio ([3]) : 35%
- Financial occupancy rate([4]): 98.0% (stable)
- Annualised rents Group share: €100.1 million (+24.2%)
- 2022 collection rate ([5]): 98.1%
- Tenants’ sales ([6]): +10.4% (vs. 2019)
- Group OCR ratio ([7]): 8.4% (8.7% vs. 2021)
- Cap rate ([8]): 6.0% (5.7% vs. 2021)
The leading French operator specialised in urban renewal of commercial zones at city entrances
- An innovative partnership serving the Territories: FREY, Banque des Territoires and CDC Habitat are creating a real estate bridge financing vehicle
- “New VITAM”: new project secured in a JV with Migros France at the heart of the Genevois region
- Development pipeline ([9]): €732 million in investments
An excellent operating performance
- Rental income: €91.5 million (+25.6%)
- Profit from recurring operations: €65.0 million (+22.5%)
- Net income Group share: €129.4 million (+97.7%)
- Net income Group share excluding MTM valuation: €68.3 million (+19.6%)
A solid financial structure
- EPRA NAV NDV ([10]): €35.0/share (+9.3%)
- LTV ratio (incl. transfer tax): 38.9%
- Available liquidity ([11]): €277 million
- Proposed 2022 dividend ([12]): €1.70/share (+6.2%) fully in cash
([1]) Excluding visitor movement.
([2]) Portfolio comprising assets more than 50% owned by FREY (excluding Finestrelles Shopping Centre) and with more than 3 cells.
([3]) Calculated on the basis of annualised rents, including Finestrelles Shopping Centre and Parque Mediterráneo.
([4]) At 31 December 2022, the vacancy rate calculated in accordance with the EPRA Best Practices Recommendations stood at 2.0%.
([5]) Charged rents collected relative to charged rents invoiced.
([6]) Tenants’ sales from January to December 2022, changes versus comparable periods in 2019 for FREY data.
([7]) Rolling 12 months/FREY Group scope (France, Spain, and Portugal). France scope: 8.4%.
([8]) Potential annualised rents relative to the value incl. transfer tax on delivery of works remaining to be disbursed – scope of operating assets.
([10]) Calculated according to the standard developed and published by the European Public Real Estate Association (EPRA).
([11]) €72m in cash and €205m in corporate credit lines.
([12]) As proposed to the General Meeting to be held on 9 May 2023.