News Article CTP Czech Republic industrial Remon Vos
by Property Forum | Industrial

Industrial and logistics developer CTP reported like-for-like rental growth of 4.8% in the first quarter across its investment portfolio in European markets.

The company’s net rental income rose 37% to €107.2 million in Q1, compared with the same period of last year. Its investment property portfolio grew to 9.3 million sqm following the integration of Deutsche Industrie REIT-AG in CTP’s financial statements.

“Looking forward, we remain confident the European industrial and logistics sector will continue to benefit from positive tailwinds as occupiers seek to enhance the resilience of their regional and national supply chains, through nearshoring operations as well as maintaining higher levels of stocks close to their main markets, which will underpin demand for space. This durable demand for high-quality assets from a diverse range of occupiers, combined with historically low vacancy rates in supply-constrained markets, is now translating into meaningful rental growth across the CTP portfolio. Equally, we believe the European industrial and logistics sector continues to offer significant development potential, with structurally higher rates of long-term economic growth projected for our core CEE markets in particular," said CTP’s CEO Remon Vos.

At the end of Q1, CTP had 1.14 million sqm under development, of which 44% are pre-let, while another 47,000 sqm were completed in the first three months.

Throughout 2022, the developer’s sustainability efforts will focus on the build-out of its solar capacity, bolstering its ‘carbon-negative’ operations and improving its transparency and disclosure by enhancing sustainability performance reporting and obtaining key ESG ratings.

By the end of March 2022, CTP’s cash position grew to €1.14 billion, while its net loan-to-value reached 44.1%.