Three stock market-listed property companies will enter the leading global index for listed real estate, confirming a vibrant and growing sector and ensuring them greater investor and analyst attention.
Hamborner REIT AG (Germany), ANF Immobilier (France) and Fastighets AB Balder (Sweden) will be added to the FTSE EPRA/NAREIT Developed Europe Index as of March 19, 2012. The companies each successfully passed the required eligibility criteria during the Index's March Quarterly Review.
Together, they add approx. 1.0 billion of free-float market capitalization to the index, representing a combined real estate portfolio that includes office, retail, hotel and residential assets valued at over 4.2 billion (as at the end of 2011). Their combined rental revenues over 2011 amounted to approx. 281 million.
Besides displaying sufficient levels of liquidity and size, clear reporting was recognized including the provision of English language Annual Reports allowing these companies to reach a global investor base. This exposure will be reinforced by their inclusion to the EPRA Index.
Philip Charls, EPRA CEO commented: "They have each demonstrated that by increasing transparency together with liquidity they can bring growth to the European listed real estate sector and increase the European offer of investible-grade real estate to global real estate investors. We look forward to welcoming other companies which meet the index ground rules."
Further to the additions to the Developed Europe Index, IMMOFINANZ AG, Orco Property Group and Atrium European Real Estate all three will be added to the FTSE EPRA/NAREIT Emerging Europe Index, the Index which covers European listed real estate companies with the majority of their exposure to Emerging markets.
The EPRA index is the leading global benchmark and most widely used investment index for listed real estate. After the three inclusions, the index stands at 84 constituents and includes the leading property companies of 16 European economies. These represent a free-float market capitalization of approx. 90 billion and a combined real estate portfolio of over 275 billion. The ground rules for index inclusion are publicly available on the EPRA website.
Source: Bellier Financial