The strategy the SOCIMI has followed since its creation has begun to bear its fruits. Right from the start Quonia, with its CEO, Enric Pérez, at the helm, set a strategy of identifying the economic activities that would best resist business cycles. It decided to divide its portfolio into three activities: tourism, education and retail, allocating approximately a third of its investments to each one.
According to the latest review of Quonia’s real estate portfolio, performed by Ernst & Young, the SOCIMI has succeeded in increasing the value of its assets by 31% in respect to the net book value. This is due to the wide experience of the real estate management team, as regards both renovation and asset management.
The property portfolio includes the premises in Barcelona located at numbers 166 and 45 of C/ Balmes, which have been totally refurbished, whereas the renovation work of the building at Paseo Joan de Borbó 60 will start and finish this year. The entry into effect of the new lease agreements of these assets will mean that Quonia’s income will grow by 150%, a percentage that the company foresees will represent an annual income of about €3.0 million at the close of 2017.
Quonia closed 2016 with a net financial debt of €22.3 million, an LTV of 36% and own funds of €33 million. According to internal evaluations, the value of the company shares is between €1.83 and €1.93. In 2017, the SOCIMI expects to continue growing, taking advantage of all the mechanisms offered by the MAB and thus increase its real estate portfolio.