ANNUAL FINANCIAL REPORT Home Invest Belgium
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Home 2012 T R Invest Belgium Home Invest Belgium is a residential Sicafi, created in June 1999 and listed on the continuous market L REPO A of NYSE Euronext Brussels. Housing life ANNUAL NCI At 31 December 2012, its operating portfolio consisted of 73 buildings on 42 sites with a total A surface area of +/- 125 000 m² and a fair value of € 242 million, excluding development projects FINANCIAL and properties for sale. L FIN A REPORT Its activities are controlled by the Financial Services and Markets Authority (FSMA). At 31 December 2012, the total market capitalisation of Home Invest Belgium amounted to € 217 million. www.homeinvestbelgium.be ANNU 2012 Home Invest Belgium SA Belgian Sicafi Boulevard de la Woluwe 60/4, B -1200 Brussels T +32 2 740 14 50 - F +32 2 740 14 59 [email protected] www.homeinvestbelgium.be RPM : 0420.767.885 | ISIN BE 003760742 SUMMARY SHAREHOLDERS’ cALENDAR 2013 3 Profile Annual statement for the 2012 financial year Friday 1 March 2013 4 Background Posting of the annual report on the website Tuesday 2 April 2013 Ordinary General Meeting of the 2012 financial year Tuesday 7 May 2013 8 Risk Factors Interim statement: results on 31 March 2013 Tuesday 7 May 2013 Payment of the dividend for the 2012 financial year Friday 17 May 2013 18 Letter to Shareholders Half-yearly report: results on 30 June 2013 Friday 30 August 2013 22 Key Figures Interim statement: results on 30 September 2013 Friday 15 November 2013 26 Management Report 2014 26 Strategy 30 Highlights of the financial year 33 Overview of the consolidated financial statements Annual statement for the 2013 financial year Friday 28 February 2014 41 Events after the closure of the financial year Posting of the annual report on the website Thursday 3 April 2014 42 Outlook 2013 Ordinary General Meeting of the 2013 financial year Tuesday 6 May 2014 43 Corporate governance statement Interim statement: results on 31 March 2014 Tuesday 6 May 2014 61 Corporate responsibility Payment of the dividend for the 2013 financial year Friday 16 May 2014 64 Home Invest Belgium on the Stock Exchange 64 Development of the stock price 67 Key figures of the share on 31 December 2012 67 Dividend 68 Return 70 Shareholding structure on 31 December 2012 71 Profile of investors in Home Invest Belgium shares This annual report is a registered document in the sense of article 28 71 Shareholders’ calendar of the law of 16 June 2006 on public offers of investment instruments and on the admission of investment instruments to trading on regulated markets. 74 Property Report 74 State of the Belgian residential property market It has been approved by the FSMA, in accordance with article 23 of 90 Real estate expert’s report for the 2012 financial year the above-mentioned law on 18 March 2013. 91 The consolidated property portfolio of Home Invest Belgium Home Invest Belgium having opted for the French as official language, the annual financial report in French is the sole official version. 104 Financial Statements 104 Consolidated financial statements The Dutch and English versions are translations established under 111 Notes to the consolidated financial statements Home Invest Belgium’s responsibility. 132 Statutory accounts 134 Auditor’s reports Le rapport financier annuel en français est disponible au siège de la société. 140 Permanent Document Het financieel jaarverslag in het Nederlands is beschikbaar op de zetel 140 General information van de vennootschap. 141 Company capital 141 Coordinated articles of association - extracts The annual financial report in English is available at the head office of 147 The sicafi and its tax regime the company. 150 Statements Design and layout: www.comfi.be 154 Glossary GIOTTO (EVERE) PHOTO COVER ADAGIO ACCESS BRUSSELS EUROPE (BRUSSELS) “For the shareholder, investing in a residential ‘sicafi’ such as Home Invest Belgium offers the advantage of liquidity, diversification and fiscal optimisation compared with a direct property investment” PROFILE Home Invest Belgium is a fixed capital real estate investment Since its creation in 1999, Home Invest Belgium has trust (sicafi) specialising in investments in residential housing. succeeded in increasing by six-fold its initial property portfolio. Its property portfolio is spread over town centres in Belgium (72% of which in Brussels and 14% both in Flanders and Wallonia). Investment value In € of portfolio On 31 December 2012, the property portfolio held by Home Invest Belgium includes 73 buildings on 42 sites, representing 31/12/2012 285 889 000 a total surface area of +/- 125 000 m². The fair value of this 31/12/2011 272 247 567 31/12/2010 246 558 323 portfolio (excluding projects under development and assets 31/12/2009 229 001 892 1 held for sale) amounts to € 242 million , 77% of which consists 31/12/2008 218 821 398 of residential properties. 31/12/2007 179 553 208 31/12/2006 154 250 086 Listed on Euronext Bruxelles, its market capitalisation stands 31/12/2005 128 939 823 31/12/2004 84 573 857 at € 217 million at the close of the 2012 financial year. 31/12/2003 66 927 850 31/12/2002 57 288 245 Set up 13 years ago, Home Invest Belgium pursues a coherent 31/12/2001 51 361 059 strategy hinged on the creation of value and the growth of the 31/12/2000 44 261 389 1/06/1999 43 181 416 dividend in the interest of all its shareholders, while contributing to one of the basic needs of the population: access to decent housing (art. 23 of the Belgian Constitution). Home Invest Belgium covers the 4 areas of the real-estate life cycle: • Acquisition • Development • Administrative, commercial and technical management • Sale 1 The fair value of the property portfolio, including projects under development, amounts to € 243 million. 3 Reception of the Giotto building Creation of Home (turnkey acquisition) Invest Belgium Merger with Les Résidences du Merger with Granted sicafi status Quartier Européen SA 205 rue Belliard SA Stock exchange Purchase of the Merger with listing Birch House building1 Patroonshuis SA 1999 2002 2005 BACKGROUNDHISTORIQUE HOME INVEST BELGIUM 2001 2003 2006 Merger with Contribution of Merger with Immobilière Mons Real Estate SA 3 buildings of Prince d’Orange SA AXA Belgium group Capital increase of € 31.6 million through the issue of new shares 1 The “Birch House” building is also known as “Cours Saint-Michel”. HOME INVEST BELGIUM ANNUAL FINANCIAL REPORT 4 2012 Partial demerger with Masada SA Merger with Investim SA Acquisition of Quai de Rome in Liège Merger with Immobilière van volxem SA Merger with Partial demerger ERIV Mechelen SPRL with vOP SA Reception of the Résidence Colombus Merger with Demerger with (turnkey acquisition) les Erables Invest SA Urbis SA 2007 2009 2011 BACKGROUNDHISTORIQUE HOMEHOME INvESt INVEST BElGIUM BELGIUM © Yvan Glavie © Yvan 2008 2010 2012 Partial demerger Merger with Alltherm SA Reception of the with vOP SA Odon Warland-Bulins building 4-phase redevelopment Merger with jBS SA of the City Gardens Reception of the Adagio Access Brussels complex over Europe hotel (turnkey acquisition) the 2010 and 2011 financial years Signing of the agreement for the acquisition of buildings held Reception of Jourdan 85 by the “louvain-la-Neuve 1976” building property certificate 5 RISK 1FACtORS HOME INvESt BElGIUM ANNUAl FINANCIAl REPORt 6 2012 ODON wARlAND - BUlINS (jEttE) Odon Warland-Bulins (Jette) 7 RISK FACTORS Home Invest Belgium conducts its business in an environment The objective of Home Invest Belgium is to manage these subject to permanent change, which leads to certain risks. risks as well as possible in order to generate a recurrent and stable rental income on the one hand, and a capital gains Should these risks materialize, they could have an adverse effect potential on the other hand. The risk factors with which the on the company, its business, its outlook, its financial situation sicafi is confronted are subject to regular monitoring by both the or its results. Executive Management and the Board of Directors. Cautious policies have been adopted to reduce the exposure of the sicafi these risks consequently need to be taken into account within and its shareholders to these factors. the framework of the company’s global management, its investment and divestment decisions, the funding cost of the The main risks are listed below, as well as the different factors investments and the optimum re-use of its available resources. and measures that make it possible to cushion the potentially negative impact of these risks. Market risks Potential corrective factors Description of the risk Potential negative effects and measures Risk of a downturn in 1. Negative impact on demand both on the Diversification of investments in different the economic situation rental market and on the acquisition market categories of buildings (top of the range, mid-range) and geographical locations 2. Drop in the occupancy rate (1,2,3,4,5,6) 3. Drop in the level of rent at which the surfaces Regular evaluation of the property portfolio can be re-rented and of the occupancy rate by the Sicafi’s Executive Management and Board of 4. Increase of unpaid rents directors (1,2,3,4,5,6) 5. Negative adjustment of the fair value Rigorous selection of tenants (4) of the property portfolio Rigorous selection of new investments (1,2,3,5,6) 6. Reduction in the sale price Arbitrage of the disinvestment opportunities (1,2,3,5,6) Contractual indexation of rents (3,5,6) HOME INvESt BElGIUM ANNUAl FINANCIAl REPORt 8 2012 GIOTTO (EVERE) SIPPElBERG (MOlENBEEK-SAINt-jEAN) Risks connected with the property portfolio Potential corrective factors Description of the risk Potential negative effects and measures Risk of obsolescence 1.