(AOF) – The multi-regional development property CBO Territoria succeeded in limiting the decline in its turnover in the first half of 2022: the decline stood at 4.5% to 33.3 million euros, against 34.8 million euros a year ago. CBo Territoria’s gross rental income increased by 6.3% to 11.8 million euros.
At June 30, 2022, revenue from Residential development (+19.5%) was driven by the sale of 55 building plots, revenue for which more than doubled compared to the first half of 2021, at 9.6 million euros.
After two years of strong activity, the turnover of Tertiary development, an opportunistic activity, amounts to 2.6 million euros and mainly concerns the progress of the VEFA of the EPSMR offices (Public Establishment of Mental Health of La Réunion ) in La Mare (Sainte-Marie) which will be delivered in early 2023.
Continuing the development of tertiary real estate, CBo Territoria currently has a project pipeline of 52 million euros by 2025, including the Combani warehouse in Mayotte (fully marketed) delivered at the end of September 2022 and the shopping center Ylang Ylang of nearly 6,700 m2 under construction for delivery at the end of 2023 and whose marketing is progressing at a good pace (83% of the surface area to date).
On July 6, CBo Territoria announced the signing of an agreement with Ilop Réunion, represented by Stéphane André, aimed at the acquisition by the latter of 40% of the Group’s Outdoor activities (Jardin d’Eden, Golf du Bassin Bleu and Beauséjour SportClub), to accelerate their development and focus the Group’s efforts on its core real estate activities.
The Outdoor division will now be accounted for using the equity method in the accounts of June 30, 2022 with effect from January 1, 2022.
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Property companies facing a less buoyant office market
In 2021, take-up (areas rented or purchased by users) in Ile-de-France remained 22% below its pre-health crisis level (2.38 million in 2019), despite the rebound (+ 32% , to 1.85 million) committed in the second half. It fell back to its 2013 level, far from the 2017 record (2.63 million). On the other hand, in the last quarter of 2021, the immediate supply (stock of empty offices) was at its highest in seven years, at 4 million square meters. The impact of teleworking is difficult to assess and it will be spread over several years, as leases expire (firm terms of three, six or nine years) and companies decide to move. This asset class nevertheless has the advantage of offering rents protected from inflation by indexation. In France, the ILAT index (Index of Rents for Tertiary Activities) takes into account inflation (50%), construction costs (25%) and GDP.