Real estate fund HB Reavis CE REIF reported a 29.6% drop in asset value
Real estate fund HB Reavis CE REIF, which owns four office buildings in Bratislava and a shopping mall in Czechia, reported a 29.6% drop in asset value to €340m last year and stopped paying dividends. It blames lower occupancy and thus valuations as well as rising interest rates. The fund believes that the value of assets will pick up later. After accounting for last year's slump, the fund has generated a cumulative return of 5.9% since its inception in 2011. HB Reavis (Ivan Chrenko) is reportedly selling the fund manager.
This is the first real estate fund in Slovakia to admit the problems of commercial real estate.
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