NSI sells last remaining retail asset to complete non-core disposal program

NSI has signed an unconditional agreement for the disposal of ‘t Loon shopping center in Heerlen on December 15, 2021. The transfer of the asset is scheduled in January 2022. The disposal price reflects a modest discount to the June 2021 appraisal value.

Including ‘t Loon shopping center in 2021 NSI has sold a total of 13 assets, for total proceeds of € 115m, at an average 11% premium to book value.

These 2021 disposals conclude the non-core disposal program initiated in 2016. Back then, the portfolio consisted of 165 assets in 72 cities, a 21% vacancy rate, an average asset value of € 7m, with retail making up 34% of the portfolio and Amsterdam only representing a modest 21% of assets. By the end of 2021 the pro-forma investment portfolio will comprise 51 assets, with 60% of the portfolio by value in Amsterdam, an average asset value of € 25m, and significant value-add/development opportunities in offices and residential to generate future shareholder value. The vacancy rate of the portfolio at year-end 2021 is likely to end up below 6.5%.

Over the five-year period (2017-2021) NSI has generated a 9.6% unlevered IRR on the entire portfolio. Please see the attached slide deck for more details on NSI’s asset rotation track record and the transition the business has made over the period.

Bernd Stahli, CEO: “Having completed the non-core disposal programme in full, we are looking to the future with confidence. NSI is firmly on the front foot to pursue future growth, with a portfolio focused on the main growth clusters in The Netherlands, a significant Amsterdam-centered development programme and a clear focus on sustainability and customer experience, all underpinned by a strong balance sheet and an excellent in-house team.”