Fundamenta expands portfolio

Fundamenta Real Estate has acquired two existing properties in Allschwil and Therwil near Basel as well as a property in a central location in the city of Lucerne. The company puts the market value of the properties at 36 million.

In addition, Fundamenta has acquired a property in Zurich-Schlieren, where a replacement building is planned as a project development. The project value is estimated at 17 million.

According to the company, the repositioning and renovation of a property on Zentralstrasse in Zurich is currently in the realization phase and is expected to be completed before the end of the current year. Also in the city of Zurich (Rosengartenstrasse), Fundamenta is seeking a building permit for a development project with planned rental apartments.

Value of total portfolio reaches 561 million

The current new construction projects in Winterthur (36 residential units) and Hinwil (38 residential units) can be taken over into the portfolio earlier than planned in June 2017 and August 2017 respectively, Fundamenta reports. The occupancy rate for both new buildings is around 90 percent.

Rental income from residential use currently amounts to over 90 percent of the portfolio. The Fundamenta Real Estate portfolio, excluding further transactions, is expected to reach a market value of approximately 504 million as of June 30, 2017 (existing properties excluding any value adjustments as of June 30, 2017). Including ongoing development and construction projects, the market value (excluding any value adjustments as of June 30, 2017) is expected to be around 561 million, according to the company.

In order to continue its growth course, Fundamenta intends to carry out a capital increase. The company intends to communicate detailed information at a later date, once the relevant decisions on the implementation and conditions have been taken. Zürcher Kantonalbank is intended to act as lead manager and Fundamenta Group (Schweiz) AG as sole selling agent for this transaction.