Key developments 2016

Result

  • Realised result increased to € 142 million in 2016 from € 122 million in 2015.

  • Total comprehensive income amounted to € 537 million in 2016, compared with € 316 million in 2015.

  • Total return as a percentage of opening equity came in at 20.4% in 2016 (2015: 14.0%), which is the sum of a realised return of 5.4% (2015: 5.4%), an unrealised return of 14.9% (2015: 7.5%) and a positive revaluation of derivatives of 0.1% (2015: 1.1%).

Portfolio

  • Like-for-like rent increase of 2.4% versus inflation of 1.0% (December y-o-y).

  • Average occupancy rate increased to 97.9% in 2016, compared with 97.3% over 2015. Occupancy rate was 97.8% at year-end 2016.

  • 1,147 residential units acquired in 2016: 880 new build units added to the committed pipeline and 267 existing units added directly to the investment portfolio. Committed pipeline stood at 1,751 residential units at year-end 2016, representing an indicative market value at completion of nearly € 425 million.

  • 570 individual residential units sold, generating net proceeds of € 14 million (net margin of 15.9%).

  • 598 residential units added to the investment portfolio.

  • Positive revaluation of 10.1%; third consecutive year of positive revaluations after six years of negative revaluations.

Organisation

  • Management expenses amounted to € 22 million in 2016 and were significantly higher than in 2015 (€ 16 million). This increase was due to an exceptional charge for a reorganisation provision of € 7 million taken in connection with the restructuring programme and relocation of the offices to a single centralised location in Amsterdam.

  • IT infrastructure outsourced.

  • Frits Vervoort appointed as CFO as per 1 November 2016.

  • Kees de Boo and Maarten de Groof stepped down as members of the Supervisory Committee. Peter Kok appointed Chairman of the Supervisory Committee as per 25 January 2017.

Funding

  • S&P credit rating upgraded to BBB+.

  • Leverage ratio of 28.3% at year-end 2016 (target <30%).

  • Reduction of overall interest costs to 2.8%.

  • New 10-year € 100 million Private Placement transaction.

Corporate Sustainability and Social Responsibility (CSSR)

  • CSSR fully integrated into business.

  • Significant improvement of the average energy label of our investment portfolio.

  • GRESB Green Star classification (2015: Green Talker); ranking increased to 5th out of 10 from 11th out of 11 in 2015.

  • GRI-G4 compliant.