This report is published on an annual basis and covers information from 1 January 2020 until 31 December 2020. Our previous Annual Report was published on 8 April 2020. The aim of this report is to inform Vesteda’s most important stakeholders. By identifying the parties that Vesteda influences and the parties that exert influence on Vesteda, the company has defined the following key stakeholders: tenants, participants, employees, lenders/debt investors, partners/business partners, advisors/real estate experts and local authorities.
Financial and non-financial information
The financial information included in this report is derived from or in line with the financial statements. The Vesteda annual report is drawn up in accordance with IFRS accounting policies, unless otherwise stated. However, for transparency purposes, Vesteda deems it important to provide investors with insight into the fund’s net asset value and metrics on the basis of the INREV principles. For that reason, Vesteda has included an additional segment to this report on the INREV NAV and metrics. Please see the section ‘Vesteda Residential Fund FGR financial overviews in accordance with INREV valuation principles’ of this report. The non-financial information relates to areas such as market developments, portfolio and organisational developments, our tenants, CSSR, Corporate governance, Compliance and Integrity and Risk management. These data are the result of Vesteda’s own analyses and systems, market research and legislation and regulations, such as MG circulars (residential rental market rules and regulations). There are no significant restatements regarding non-financial information.
This report has been prepared in accordance with the GRI Standards: Core Option. A key requirement for conforming with GRI guidelines is the execution of a materiality analysis and the translation of the outcomes of this in the annual reporting. Vesteda executed a new materiality analysis in 2020. The differences between the new and the previous materiality assessment is that certain topics were merged and new topics were added, creating a list of 12 instead of 25 topics. As a result, the number of material topics decreased from 11 to 8. The topics Affordable housing, Sustainable business operations and Circularity were newly added to our material topics, whereas the topic Responsible supply chain seemed less relevant to our stakeholders. Nontheless, we are still including this topic in our reporting.
All Vesteda’s entities are within scope for all material topics and their indicators. Vesteda reports quantitatively on the eight most material topics. Whenever possible, these topics have been combined with and linked to (GRI) aspects included in the previous year’s reporting. The results of the materiality analysis are shown in the following matrix. The GRI table in Annex 4 of this report shows the link between the material topics and the so-called GRI aspects and indicators.
Dialogue with stakeholders
The table below gives an overview of the structural dialogue between Vesteda and its key stakeholders.
Impact dialogue on policy Vesteda
• Questionnaire (HPO)
• Employee satisfaction and employee experience, Vesteda Improves project
• Identification of integral improvement programmes
• General Meeting of Participants (at least twice a year)
• Business Plan 2021-2025
• Voluntarily cap the annual average rent increase of free market rental homes to inflation +1% (on the condition that the mid-rental market will not be regulated)
• Annual credit review meetings
• Transparent reporting standards; improved reporting
Partners/business partners and local authorities
• Through membership and meetings of IVBN, INREV, ULI, NeVaP, NEPROM, DGBC, NRP and GBC-Z.
• Increasing mid-rental market supply in the urban environment / affordable housing
• Sector effort to realise more affordable housing in urban environments
Advisors/real estate experts
• Regular meetings with Vesteda Advisory Committee
• Sustainability, re-development of existing properties
• Research into CSSR and continued embedding in policy
INREV Guidelines Compliance Statement
INREV is the European Association for Investors in Non-Listed Real Estate Vehicles. Its goal is to improve transparency, professionalism and best practices across the sector, making the asset class more accessible and attractive to investors. INREV provides practical guidelines that create consistency, enable benchmarking and foster transparency for the industry. Vesteda deems it important to adhere to these guidelines and seeks to comply wherever this is possible or practical for a fund with the open-ended, internally-managed structure characteristics of Vesteda.
In 2020, Vesteda performed a self-assessment with regard to the level of compliance with the INREV Guidelines. INREV published the revised INREV Guidelines in 2014, incorporating industry standards in the fields of Reporting, Fee and Expense Metrics, Property Valuation, INREV NAV, Liquidity, Corporate Governance, and Sustainability Reporting.
The overall INREV Guidelines Compliance Rate of the Vesteda Residential Fund is 95%, based on seven out of seven assessments. The table below shows the compliance rate for each completed module of this self-assessment. We have not set quantitative targets on transparency and corporate governance. The results of the self-assessment are evaluated internally. A next step would be to evaluate whether there are possibilities to increase the level of compliance.
Compliance with the INREV Guidelines Assessment Results
Level of adoption or compliance
The manager has complied with all the requirements of the Reporting module.
Fee and Expense Metrics (with TER) (83%)
The manager has to a large extent complied with all the requirements of the Fee and Expense Metrics (with TER) module.
Property Valuation (100%)
The manager has complied with all the requirements of the Property Valuation module.
INREV NAV (100%)
The manager has complied with all the requirements of the INREV NAV module.
The manager has to a large extent complied with all the requirements of the Liquidity module.
Corporate Governance (94%)
The manager has to a large extent complied with all the requirements of the Corporate Governance module.
The manager has complied with all the requirements of the Sustainability Reporting guidelines.
This report has been provided with external assurance. You will find the assurance report of the independent auditor and their conclusion in the section Assurance report of the independent auditor of this report. Vesteda believes this assurance is important as it provides additional certainty regarding the accuracy of the information included.