Total yield on real estate has decreased from 9% in the second quarter 2002 to 8.2% during the third quarter. The management portfolio decreased from 8.8% to 8%. Retail investments score best with a yield of 9.1%. Offices and housing are more and more fallen back with yields of 6.1% and 7.8% respectively.
These are the main rsults of the ROZ/IPD Real Estate Index covering the third quarter 2002. The figures reflect the performance of Dutch direct real estate owned by real estate funds and institutional investors.
Compared to the second quarter total yield has improved marginally from 1.6% to 1.9%, mainly due to the divestments of housing complexes. Total yield in the management portfolio has remained almost stable: an increase from 1.7% to 1.8%.
Rental revenues were the same due to long lease contracts. Industrial estates score reasonably well (8.9%), but also retail outlets (7.3%) and offices (7.5%) perform acceptable.
Value increase was negative for offices (-1.3%). Retail outlets increased in value by 1.8% and houses by 3.2%. Rental value increase was positive for offices and housing (due to indexation), but negative for retail outlets. Rental value increase for management porfolios was 1% and, on an annual basis, remained stable at 3.2%.