This result translates into a net asset value of 13.72 euros per share, which, together with the 27 million euros of distributed dividends, gives a 27% profit for the Hispania shareholder in 2016.
Sale of all assets before March 2020
At the same time as the publication of the results from the 2016 financial year, Hispania communicated through a relevant fact that Azra, the manager of Hispania, has decided to continue with its prepared plan at the moment of its exit from the stock exchange, consistent with the sale of all the company assets, individually, in portfolios or by means of the sale or exchange of control in the company, before the 14th March 2020. At the same time, the company has indicated that it is going to seek approval to extend Hispania’s period of investment, which is to expire on 14th March 2017, until 31st December 2017, with the aim of being able to fulfil the investment capacity that the company still possesses, and which is estimated to be approximately 230 million euros.
Concha Osacar, managing director of Hispania, comments: “We are convinced that we have a unique opportunity to generate a high yield for our shareholders in all our assets. Our plan is now moving on to our hotel strategy by means of the execution of investment opportunities within our portfolio, complete the plans for repositioning on hotels as in the rest of our assets, and to continue optimising options in our portfolio”.
Leading owner among hotel operators
With 38 hotels and a total of more than 10,775 rooms, Hispania has become the main proprietor among hotel operators in Spain. Additionally, Hispania has 25 office buildings with a total surface area of more than 153,000m2 and a plot where two further office blocks are to be built, with an area of more than 33,000 m2. Also, the company has five residential properties with more than 750 homes for rent.
Hispania has continued to profit from the positive development in tourism in 2016, a year in which Spain received 76 million tourists. The socimi informs us that the average occupancy of their hotels during the past year was 84% and the total average income per home (RevPar) has risen by 15% compared to 2015, resulting in comparable rent increases (like-for-like) in the hotel portfolio of 18%.
The company has also experienced important improvements in its remaining assets., with comparable rents increasing in the office portfolio by 6%, and an occupancy rate of 85% at the close of 2016 after the completion of the last rental contracts. In respect of the residential portfolio, the occupancy level is 95% and average rents grew by 12%.
Another important aspect of these results has been the high increase in value obtained by the Hispania assets, according to third party assessments, a 17% increase in value during 2016, bringing to the portfolio, together with the new acquisitions, up to 2,008 million euros.