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ORES predicts that 64% of its rents will not be impacted
20 April 2020 |


REIT ORES maintains most of its rents guaranteed during the current Covid-19 pandemic crisis since 64% of those rents are from super and hyper-markets which remain fully or partially operational.

There are 21 assets of this type within Bankinter’s REIT’s 37 asset portfolio, according to Ores’ latest report concerning the first quarter, released last Friday. With these rents alone, the REIT receives approximately 14 million euro, which «covers by a wide margin all the company’s recurrent annual expenses (operational and financial) ».

On the other hand, the occupants of the REIT’s retail spaces were «forced to shut down their activity temporarily», and so the REIT set in motion a strategy to find «alternatives to the rent payments until normality returns», which include «extensions, moratoriums and rental allowances instead of waivers».

Given the uncertainty of the current situation, the company’s Board decided to postpone the proposal to distribute dividends, as well as the date for the General Shareholders’ Meeting.

Ores currently has a 382.3 million euro portfolio, consisting of several types of retail assets, spread across Spain (57.8%) and Portugal (42.2%). At the end of last month, the gross revenues reached 22.2 million euro, «which represents a yield higher than 5% over the investment», it can be read in the document. Amongst the main tenants are Continente, Eroski, Carrefour, Mercadona, Forum Sport, Media Markt and Stradivarius.