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MANAGEMENT REPORT /
Strategy
Cofinimmo responds to its clients’ specific needs in each sector in which it operates.
Special attention is paid to the healthy management of risks, whether in respect of
market risks or financial risks. This policy ensures that Cofinimmo provides a quality
investment and an attractive and sustainable return for its shareholders.
Strategy
Offices
As part of the optimisation of its overall portfolio, Cofinimmo’s objective consists in a medium-term
reduction of the share of offices in its overall portfolio, either by dilution or asset arbitrage, while
ensuring it retains a critical size in this sector.
This arbitrage allows Cofinimmo to develop or acquire office buildings which configuration and
facilities have the flexibility, sustainability and connectivity to satisfy the demands posed by
new styles of working, particularly among the younger generations.
The main themes in the office portfolio management are:
•
Long-term leases;
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High-quality tenants;
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Optimisation of the land;
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Own-account redevelopment of properties with the possibility of residential reconversion;
•
Improvement of the energy efficiency of the property portfolio;
•
Adaptation of buildings to user needs and new standards of occupation.
Healthcare real
estate
Cofinimmo’s healthcare real estate strategy involves expanding the
healthcare portfolio by combining diversification by country, by operator
and by care speciality (geriatrics, psychiatry, rehabilitation, people with
disabilities and acute care).
The main advantages of the expanding healthcare real estate are:
•
Long-term leases with operators: an initial fixed term of 27 years in Belgium, 12
years in France, 15 years in the Netherlands and 25 years in Germany;
•
The large majority of the leases stating that maintenance costs, including structural
maintenance, are the responsibility of the tenant;
•
Rental levels that reflect the economic potential of each project;
•
Favourable locations making it easier to redevelop the properties: if the leases are not extended,
Cofinimmo can tap the redevelopment potential of these properties to the full, mainly as residential
accommodation.
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