Arcona turns 2016 losses into 2017 profits

Arcona Property Fund turned in a profit of €5.56m in 2017, a significant improvement over its net loss of €292,000 in 2016. The fund expects further profits in 2018 and plans to grow in volume to €500m by 2022. Arcona director Guy Barker said that the fund's underlying operational performance gained speed over the course of last year. "The value of the Fund´s existing portfolio increased, the total volume grew from €83m to €99m, the vacancy level fell and profit growth accelerated. Results overall were positively influenced by the integration of the office building and eleven shopping centres recently acquired in Poland.” Barker said the fund was reaping the rewards of recent expansion and that the fund was targeting a dividend yield of 8 percent on the prevailing share price. For 2018, the managing board expects the fund to achieve an operational result of €2.4m from the existing portfolio. The aim is to distribute 35 percent of this result to shareholders.