Logicor Announces Results for Year Ended 31 December 2018. Logicor announces strong financial performance for the year ended 31 December
Through a combination of the bond proceeds, €300 million drawn under the RCF and €207 million of cash, Logicor repaid a portion of the secured, floating-rate facility, allowing us to move to a more flexible, diversified capital structure and increasing our weighted average maturity to 4.4 years.
Development and Expansion
In 2018 we invested €80 million in developing and expanding new logistics space for our customers, with four development projects completing in Italy, Finland, Germany and Romania with a total project cost of €74 million and an average yield on cost of 11%. We have eight further projects under way in Germany (4), Finland (2), UK (1) and Poland (1), with total projected costs of €79 million and a projected average yield on cost of 8%. All of these projects were 100% fully pre-leased before commencement.
Additionally, we have client-led development opportunities consisting of 18 projects that are primarily located in our core markets of Germany and France. These projects would deliver approximately 390,000 sqm of additional GLA with a total projected cost of €292 million.
Commenting on the results, Mo Barzegar, CEO & Chairman said:
“2018 was a great year for Logicor where we made excellent progress across a range of strategic initiatives including overall portfolio occupancy increases, capturing market rental growth and selective portfolio expansion based on strong customer demand.
With the high-quality of the assets that we own and operate and the continued excellence demonstrated by our customer-facing asset management teams across all of our markets, I am confident that the business is in excellent shape to continue to deliver strong performance in 2019.”
Simon Clinton, CFO added:
“Our successful debut capital markets issuance provides us with a more flexible and diversified capital structure and demonstrates strong investor support for our high-quality assets. Additionally, our strong operational results, which were driven by the combination of our deep customer relationships and well-located assets, exhibit our ability to generate stable cash flow.”
31 December 2018
31 December 2017
12,106NOI (€ million) 639 n/a LTV 51% 52%
1 Northern Europe includes Austria, Belgium, Germany and Netherlands.
Logicor is the largest owner and operator of modern logistics and distribution properties in Europe. As at 31 December 2018 we own a portfolio of 621 high-quality properties with a lettable area of approximately 13.6 million square metres located in key European logistics markets. Logicor is headquartered in London and Luxembourg.