News Article CEE GTC investment office retail
by Property Forum | Report

Real estate investor and developer GTC has recorded a like-for-like rental revenue growth of 6% in the first nine months of 2023 compared to the same period of last year. At the same time, the gross margin from rental activity slightly rose to €92 million.

The group recorded a loss of €57 million in the first nine months of 2023 compared to a profit of €12 million in the first nine months of 2022. This is mainly due to a decrease in the fair value of completed assets, mostly offices in Poland and Hungary. On top of it, there was a slight increase in equivalent yield combined with higher vacancy rates and changes in ERV.

The group’s total investments, including non-current financial assets, stood at €2.4 billion as of September 2023. In this period, GTC sold Forest Offices Debrecen for €49 million, partially offset by an investment of €65 million mostly into assets under construction and €13 million to acquire new projects.

Meanwhile, GTC’s cash balance reached €91 million as of September 2023, compared to €115 million at the end of 2022. Its total debt stood at €1.3 billion.

In the first three quarters, the leasing activity reached 71,100 sqm in the office sector, while in the retail segment, it totalled 27,200 sqm.

GTC manages a commercial real estate portfolio of 46 commercial buildings providing ca. 753,000 sqm of lettable office and retail space in Poland, Hungary, Bucharest, Belgrade, Zagreb and Sofia. In addition, the company has a development pipeline of around 500,000 sqm of retail and office properties in capital cities of Central and Eastern Europe, with 51,000 sqm under construction.