Varia US Properties, whose asset manager is Stoneweg, announces strong half year 2017 results.
The resulting portfolio, as of 30 June 2017, consisted of 47 properties totalizing 7,289 units, representing USD 508.1 million of real estate value. The occupancy rate stood at 95.3%. In the first six months 2017, the portfolio generated a rental income of USD 26.2 million, compared to USD 17.4 million during the period from 28 September 2015 through 30 June 2016, and a total income of 43.3 million (previous year USD 33.0 million). The gross potential income as of 30 June 2017 increased to up to USD 71.1 million.
The net gain from fair value adjustment on investment property amounted to USD 14.9 million and reflects the execution of the value-add strategy of Varia US Properties.
Total operating expenses were USD 18.2 million (previous year USD 19.8 million), which results in an operating profit of USD 25.1 million (previous year USD 13.2 million). After deduction of the finance cost and the income tax provision, the profit for the period is USD 15.0 million (previous year USD 6.5 million), of which USD 12.2 million (previous year USD 2.9 million) are attributable to Varia.
With regard to the realized operating results, the effective gross income is USD 28.4 million and the total operating expenses is USD 14.9 million which give a net operating income of USD 13.5 million.
See Varia US Properties half year 2017 results media release here