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

1^st 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

 

Read the press release

 

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([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.

([9]) Incl. development.

([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.

 

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