Trastor is aiming to strengthen its portfolio to 1.2 billion euros following the recent share capital increase of the REIC, which is turning increasingly toward property development due to the lack of available properties suitable for investment.
In a conference call held yesterday on the occasion of the presentation of the financial results for the first half, Tasos Kazinos, CEO of Trastοr, estimated that “we have the required capacity, through a combination of equity and possible leverage, for the platform to grow and reach a size of approximately 1.2 billion euros”.
“The path toward this goal will also depend on financing conditions and the cost of borrowing. We estimate that by the end of 2027 we will have reached or slightly exceeded 1 billion euros in GAV (gross asset value)”, he added.
Trastor received significant financial support in May when it proceeded with a capital increase of 150 million euros in a move that also broadened its shareholder base. It is noted that the company’s free float increased to 16.1% from 1.4% previously.
For the first half, the REIC posted strong financial performance, with net profit after taxes amounting to 30.5 million euros, up by 146.7%, while its portfolio is valued at 867 million euros (GAV).
The new environment
As regards the challenges facing Trastοr and the sector in the coming period, the CEO stressed that “the biggest concern for everyone is, of course, the macroeconomic environment, not only in Greece but also internationally”.
“I believe that Greece is in a much better position compared with many other European markets. However, energy costs and inflation, combined with rising interest rates, are factors that are difficult to assess with certainty”, the CEO underlined.
“We believe that we are in a very strong position, with lower LTV and secured revenue streams from reliable and creditworthy tenants”, he added.
Lack of available properties
Another significant challenge facing the market is the lack of available high-quality properties.
“In several cases, especially in the locations and in the office market that interest us, there is no ready product for acquisition. That is why our strategy has shifted, in practice, more toward value-added opportunities in the office sector, where we develop the product that the market needs”, according to Mr. Kazinos.
“We take selective risk in these redevelopments, but at the same time we gain the capital gains arising from them. As for the logistics sector, we are currently examining certain opportunities”, he added.
For the immediate period ahead, Trastor has new investments on its radar, while it is close to a significant deal, Mr. Kazinos said, stressing, however, that we are not in a position to report more details.