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R8 Property ASA first half report 2021: Good momentum for lease contracts

Photo: Ida Bjørvik.

Photo: Ida Bjørvik.

Porsgrunn, Norway, 2 September 2021: Following a successful private placement and subsequent listing on Euronext Growth Oslo in June, R8 Property reports a 9 per cent increase in rental income for the first half-year. Valuation of the property portfolio increased by NOK 57 million year-on-year in the period. The progress was driven by an attractive property portfolio and supportive market trends.

During the second quarter, R8 Property exercised an option to acquire Inkognito Park 33 in Oslo. A 10-year lease contract with 24Sevenoffice was secured in May, which makes this property 100 per cent pre-let when refurbishment is completed in the second quarter 2022.

Acquisitions of Fornebuveien 1-3 and Slottsfjell Park in the first quarter 2021 had a positive contribution on rental income in the second quarter. Properties Henrik Ibsensgate 40-42 in Oslo and Rådhusgata 2 in Skien were sold during the second quarter which affected rental income and associated operating and administrative costs as from May.

Equity per share at 30 June 2021 was NOK 47.6 based on the EPRA NRV standard, which is an improvement from NOK 41.9 at the end of the first half-year of 2020.

CEO and founder of R8 Property Emil Eriksrød comments on the performance in the second quarter 2021:

“Environmental footprint, innovation and technology are ever more important features for tenants’ decision-making process. With our attractive portfolio of sustainable commercial properties centrally located in urban areas and city hubs in Norway, R8 Property is well positioned to meet market demand.

Covid-19 has accelerated the shifts in employees’ preferences when it comes to location and digital solutions for a more flexible and efficient working day with less commute. R8 Property acted on this trend early by acquiring and enhancing the coworking company Evolve and establishing Orbit, which offers technology solutions that enable office sharing at scale.

The attractiveness of our property portfolio has been confirmed through several new lease contracts which were signed or extended during the second quarter, and the good momentum has continued going into the third quarter. We are actively looking into new projects, both new constructions and existing buildings, in line with our ambition to surpass NOK 5 billion in property value at the end of 2023,” says Emil Eriksrød.

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Please find enclosed the report and presentation of the first half and second quarter of 2021.

About R8 Property
R8 Property ASA is a full-service real estate company focused on the development, ownership and management of centrally located and sustainable commercial properties. Visit the company's website at www.r8property.no.

The information included in this announcement is defined as inside information pursuant to MAR article 7 and is publicly disclosed in accordance with MAR article 17 and section 5 -12 of the Norwegian Securities Trading Act. This stock exchange announcement was published by Eirik Engaas, CFO at R8 Property ASA on 2 September 2021 at 07:00 am CEST.