Merlin Properties’s Net Benefit Posts €29 Mn in Nine-Month Period

14/11/2014 – El Economista

Floated last June 30th, Merlin Properties gained €29 million in the first nine months of 2014, and its Ebitda showed €23.7 million.

According to its balance report provided to the National Stock Exchange Commission, the REIT’s revenues amounted to €27.8 million, and the gross income to €25.8 million with large majority (€22.1 million) proceeding from the business acquired from Tree Inversiones Inmobiliarias.

In the third quarter of the year only, Merlin sealed 5 deals for a total amount of nearly €1.92 billion, of which a bit more than €1.9 billion corresponded to the asset purchase cost and €9.3 million to general transaction expenses.

On all of the purchases, Merlin spent almost €1.08 billion from its own funds, with the remaining €837.9 million representing current liability of Tree Inversiones, gathering 880 banking branches and 5 buildings fully leased to BBVA and located in various places in Spain.

The real estate assets’ gross value totals at over 1.99 billion, whereas their par value at €1.35 billion (10.49 euros a share). At the end of the period, the indebtness of the Socimi showed €631 million.

In the fourth quarter of 2014, Merlin Properties branched down its business and created three affiliates: Merlin Retail, Merlin Oficinas and Merlin Logistica, responsible for purchase and management of corresponding assets. Additionally, it maintains a division grouping assets of Tree Inversiones.


Original article: El Economista

Translation: AURA REE