VGP will receive its first issuer credit rating by Fitch which assigned a long-term investment grade rating of BBB- with a stable outlook

Download Press Release

Press Release

Regulated Information

  

26 March 2021, 7:00 am, Antwerp (Berchem), Belgium: VGP NV (‘VGP’ or ‘the Group’), a European provider of high-quality logistics and semi-industrial real estate, today announces that the Group will receive its first issuer credit rating by Fitch which assigned a long-term investment grade rating of BBB- with a stable outlook.

VGP has engaged in a financial rating process in order to benefit from an enhanced access to debt capital markets when needed, including broader investor base and tighter spreads.

This rating reflects the strength of VGP's balance sheet as well as quality rental income base through a virtually fully occupied portfolio, leased to a blue-chip customer base. Prudent financial policy together with a well-managed development approach allowed VGP to receive an investment grade rating with a stable outlook.

VGP has continued to perform strongly throughout the first months of 2021. The VGP activities since 31 December 2020 can be summarised as follows:

  • The increase in demand of lettable area resulted in in the signing of new lease contracts increasing the annualised committed leases (including the Joint Ventures at 100%) with € 8.9 million
    to € 194.1 million (of which € 145.5 million related to the Joint Ventures).
  • Launch of 8 new construction projects after year-end, representing 208,000 m² of future and 2 buildings completed.
  • There are currently 40 buildings under construction representing 1,064,000 m² of lettable area of which 11 buildings (269,000 m²) were being constructed for the Joint Ventures. The new buildings under construction, which are already pre-let for 81%[1], represent €66.1 million of annualised rental income when fully built and let.
  • The occupancy rate (own and Joint Ventures) reached 99.1%[2] at 26th of March 2021 compared to 98.5% as at 31 December 2020.
  • Finally, the land bank continued to expand with the acquisition of new land plots for a total amount of € 22.1 million.

 

[1]    Calculated based on the contracted rent and estimated market rent for the vacant space.

[2]    Of which own portfolio: 100% and Joint Ventures: 99.0%