The purchase of new logistics property has not hurt WDP. Despite the bankruptcy of customer V&D, the real estate company saw its net result rise by 13 per cent in the first half of 2016 to an amount of 48.7 million euros.
WDP bought seven distribution centres in the Netherlands last summer for €100 million. New logistics halls were also bought in Belgium, increasing rental income by 18.5 per cent to 65 million euros. With the same number of properties, rental income fell slightly. However, the bankruptcy of department store chain V&D caused vacancy in WDP's warehouses to rise, as V&D rented a large distribution centre in Nieuwegein. This caused the occupancy rate to drop from 97.5 per cent to 95.9 per cent over the past six months.
WDP has been listed and listed on Euronext Brussels since 1999. Since 2015, it has had an additional listing on Euronext Amsterdam in order to become more visible to Dutch investors. The Belgian real estate company saw net earnings per share rise from €5.20 to €5.30 over the past six months.
Logistics property on the rise
WDP's results are in line with national figures. Real estate consultant CBRE reported last month that the vacancy rate of logistics real estate currently stands at 4.5 per cent. The vacancy rate had not been this low before. This is said to be mainly due to the popularity of e-commerce. NVM's 'Property Market in View 2015' report also states that demand for logistics property will continue to rise this year. "More is being withdrawn from the stock and due to the lack of new construction, more of the existing supply is being absorbed. As in 2015, the commercial property market will see growth in take-up in 2016, mainly caused by the growth of the logistics sector. Supply will continue to decline."
Editorial LogistiekProfs
Image: WDP
