PORTFOLIO – FOCUS

The portfolio was valued at CHF 1,508 million as at 31 December 2022 and mainly consists of  2,445 middle-income residential units in 149 buildings. These residential properties are made up of apartments in the mid-price segment located in the Lake Geneva region. Its focus on this region and on that particular segment is the Group’s USP.

Detailed information on the properties is available on the Company website and in the property list in this Annual Report.

In 2022, eleven investment properties were sold very successfully at a premium of 20% over their carrying amount. This successful sale and further significant revaluation effects underline the quality of the portfolio.

Rue Charles-Cusin 10, Geneva

Investis has developed its Properties business line for over 25 years. It generated revenues of CHF 57.8 million and operating profit (EBIT) of CHF 167.3 million in 2022.

Rental income fell slightly by 3.7% due to the successful sale of properties in the course of the year (total sales prices CHF 376 million).

Continued higher cash flows from properties and a decrease in the average real-term discount rate to 2.74% (2.84% as of 31.12.2021) underline the quality of the portfolio and led to revaluation gains of CHF 67.2 million.

INVESTMENT PROPERTIES – MAINLY RESIDENTIAL

Based on market value and main use, 93% of the properties are used for residential and 7% for commercial purposes. With such a high proportion of residential properties in the portfolio, the risk of vacancies is low. The concentration on the residential market in the Lake Geneva region is the Investis Group’s USP. Lively demand is still expected thanks to the continuing strongly positive demographic trend. With population growth of over 1%, Switzerland is one of the fastest-growing developed economies, while the cantons of Geneva and Vaud are benefiting disproportionately strongly.

The following graphs depict the geographical distribution and main use of the investment properties:

RENT DEVELOPMENT

Over the years, Investis aims to achieve 1–2% annual like-for-like rental growth. Based on CBRE’s valuation report as at the end of 2022, the rent potential was estimated at +10%.

Gross rental income as of 31.12.2022 stood at CHF 53.9 million.