The property arm of Portuguese retail company Sonae has recorded a 31 per cent net profit growth in Q1 2016.
Sonae Sierra, its international retail properties business, recorded a net profit of €16.6 million in the first three months of the year, compared to €12.6 million in the same period in 2015.
Occupancy rates for the group's portfolio reached 95 per cent, a slight decrease on the 95.8 per cent registered in the same period of last year. The drop was mainly due to adverse conditions in Brazil, however in Europe occupancy rates increased slightly.
"The positive performance of our portfolio and a continuing focus on our third party services business has driven a significant increase in net profits," said Fernando Guedes de Oliveira, Sonae Sierra's chief executive.
"Shopping Centres under development are progressing well, including ParkLake, which reached over 95% occupancy six months ahead of its opening.”
Sonae Sierra is owned by the Portuguese retail company along with British property group Grosvenor; each owning a 50 per cent share in the company.
© 2016 European Supermarket Magazine – your source for the latest retail news. Article by John Golden. To subscribe to ESM: The European Supermarket Magazine, click here.
