EfTEN United Property Fund's Net Asset Value Report
In the latest report from EfTEN United Property Fund, the net asset value (NAV) per unit stands at 11.27 euros as of the close of February. This represents a modest increase of 0.4% for the month, signaling a steady growth trajectory for the fund. During February, the fund achieved a net profit of 117 thousand euros, contributing to a total of 525 thousand euros in profit for the first two months of the year, compared to 113 thousand euros during the same period the prior year.
Influences on the Fund's Performance
The performance of EfTEN United Property Fund in February was influenced negatively by its investment in shares of EfTEN Real Estate Fund AS, which saw a decline of 0.3% on the stock exchange from the previous month. Notably, if this investment had been assessed based on its net asset value, the NAV for EfTEN United Property Fund could have reached 11.33 euros, reflecting a 0.5% rise for the month.
Impact of Other Investments
Despite the setback from EfTEN Real Estate Fund, positive results from EfTEN Kinnisvarafond II AS helped balance the scale. Particularly, in February, this fund sold its Lithuanian subsidiary holding a logistics building in Kaunas, achieving a sale price that was 4% higher than its recorded book value. Consequently, the net asset value of the EfTEN Kinnisvarafond II AS shares picked up by 1% during this period.
Key Investments and Developments
Among its investments, the largest segment involves EfTEN Real Estate Fund 5, which recorded a 0.6% increase in February. Much of this growth can be attributed to the Kristiine shopping center, acquired in December. Remarkably, this center had no vacancies at the end of February, with the equity of the company overseeing the center, EfTEN Kristiine OÜ, rising by 1.1% over the month.
Housing Developments
In development news, the Uus-Järveküla residential area marked a significant milestone with the completion of 8 terraced and semi-detached houses in its second development phase, officially delivered to customers by signing the real right agreements. The development company, Uus-Järveüla OÜ, reported a monthly turnover of 2.27 million euros, yielding a profit of 236 thousand euros. It is crucial to note that this development's profits were recognized in prior accounting periods, as the fund values all equity investments at fair market rates. Overall, 30 houses were completed in this phase, with more slated for delivery in the upcoming months.
Financial Adjustments and Future Outlook
This February also saw the maturity of a term deposit worth 120 thousand euros, offering an interest rate of 4%. The fund utilized this capital to alleviate an overdraft taken earlier in December, which had partially funded the Kristiine shopping center investment, reducing the overdraft to 282 thousand euros by the end of February.
Conclusion
The performance of EfTEN United Property Fund showcases a blend of resilience and opportunity within the real estate market. With strategic investments contributing to a steady rise in net asset value and promising developments on the horizon, the fund is well-placed for continued success.
Frequently Asked Questions
What is the current net asset value of EfTEN United Property Fund?
The net asset value is reported at 11.27 euros per unit as of the end of February.
How much profit did the fund earn in February?
The fund recorded a net profit of 117 thousand euros for February.
What impacted the fund's profits during February?
The decline in shares of EfTEN Real Estate Fund AS negatively affected the fund's profit margins.
What key investment contributed positively to the fund in February?
The sale of a logistics property by EfTEN Kinnisvarafond II AS was a notable contributor to the overall performance.
Who can I contact for more information about the fund?
You can reach out to Kristjan Tamla, the Managing Director, at 655 9515, or email him directly at kristjan.tamla@eften.ee.
