Information on the real estate portfolio

Residential real estate

Residential real estate as at 31 December 2017

Ownership status1

 

Year
acquired

 

Year of
construction

 

Renovation2

Site area
in m2

Register of
suspected
contami-
nated
sites

Minergie

Habitable
area
in m2

1–11/2-
room
apart-
ments

2–21/2-
room
apart-
ments

3–31/2-
room
apart-
ments

4–41/2-
room
apart-
ments

≥ 5-
room
apart-
ments

Total
apart-
ments

Other
uses
in m2

Target rental
income in
CHF
 million
for 2017

 

Vacancy
rate
in %3

                                     

CO6

2004

2014

2 651

no

yes

6 087

0

17

27

6

1

51

0

2.6

 

1.4

 

3.70 / 3.20

CoO5

2003

1996

6 970

no

no

4 670

5

7

15

17

4

48

1 799

1.4

 

1.1

 

3.90 / 3.40

SO

1999

1984

903

no

no

2 747

4

36

0

0

0

40

212

0.8

 

0.8

 

3.60 / 3.10

SO

1993

2013

4 291

yes

yes

4 640

0

0

14

21

5

40

0

1.6

 

2.5

 

3.70 / 3.20

SO

2010

2016

1610

no

yes

2 333

0

3

16

3

1

23

1 002

1.3

 

4.1

 

3.70 / 3.20

SO

2008

1984

2017 TR

1 445

no

no

1 637

2

2

4

4

2

14

165

0.6

 

3.2

 

3.50 / 3.00

17 870

22 114

11

65

76

51

13

216

3 178

8.3

 

2.1

SO

2005

2011

13 901

no

yes

13 299

0

27

62

38

10

137

350

3.7

 

0.4

 

3.80 / 3.30

SO

1999

1979

2013 GR

8 412

no

no

3 850

0

9

16

18

6

49

50

1.0

 

1.4

 

3.90 / 3.40

SO

2003

2008

23 691

no

no

14 903

0

20

41

56

22

139

2 392

3.9

 

0.6

 

4.00 / 3.50

SO

1999

1990

2017 TR

29 639

no

no

14 654

18

30

71

41

0

160

659

3.1

 

1.5

 

3.90 / 3.40

SO

2001

1992

3 643

no

no

2 090

0

4

0

10

4

18

200

0.5

 

0.0

 

3.80 / 3.30

SO

2003

1974

2006/2007 TR

2 028

no

no

2 479

0

17

17

0

0

34

9

0.5

 

0.6

 

3.90 / 3.40

SO

1999

1984

8 907

no

no

5 100

0

18

24

12

0

54

286

0.9

 

3.4

 

3.80 / 3.30

CO6

2002

1988

2 543

no

no

3 332

0

0

24

16

0

40

354

0.8

 

1.5

 

3.80 / 3.30

SO

1999

1968

2002/2003 GR

20 110

no

no

12 236

0

0

48

60

40

148

110

2.4

 

0.7

 

3.90 / 3.40

SO

2002

2014

8 242

no

yes

13 856

1

18

75

22

2

118

1 208

4.0

 

2.9

 

3.80 / 3.30

121 116

85 799

19

143

378

273

84

897

5 618

20.8

 

1.3

SO

1999

1989

2010 TR

6 260

no

no

4 015

0

7

20

20

0

47

490

1.0

 

3.0

 

4.10 / 3.60

SO

2006

1969

2009 GR

2 420

no

no

5 954

28

24

28

24

0

104

1 040

1.6

 

2.0

 

3.70 / 3.20

SO

2006

1995

2 067

no

no

3 022

5

19

11

8

0

43

47

0.9

 

4.5

 

3.90 / 3.40

SO

2011

2014

1 173

no

yes

4 981

1

21

29

9

5

65

0

1.6

 

0.0

 

4.00 / 3.50

11 920

17 972

34

71

88

61

5

259

1 577

5.1

 

2.0

150 906

125 885

64

279

542

385

102

1 372

10 373

34.2

 

1.6

1 SO = sole ownership; CoO = co-ownership; CO = condominium ownership

2 TR = total renovation; PR = partial renovation

3 Cumulative vacancy rate as a percentage of target rental income for 2017

4 As per 31.12.2017 valuation (nominal rates)

5 60% co-ownership Allreal

6 Condominium property owned 100% by Allreal

Commercial real estate

Commercial real estate as at 31 December 2017

 

Ownership
status1

 

Year
acquired

 

Year of
construction

 

Renovation2

 

Site area
in m2

 

Register of
suspected
conta-
minated
sites

 

Minergie

 

Floor
space
in m2

 

Percen-
tage
 of office
space

 

Percen-
tage
 of retail
 space

 

Percen-
tage
 of resi-
dential
space

 

Percen-
tage
 of other
 uses

 

Target
 rental
income in
CHF
million
for 2017

 

Vacancy rate
in %3

 

Discount/
capitali-
sation
rate
in %4

SO

2005

1995

9 254

no

no

18 642

90.8

0.0

0.0

9.2

7.0

0.0

4.50 / 4.00

SO

2004

1986

2017 GR

2 316

no

no

3 078

94.7

0.0

0.0

5.3

1.4

0.0

4.10 / 3.60

SO

2004

1974

2009/2010 TR

10 494

no

no

11 950

73.6

0.0

0.0

26.4

5.6

0.1

4.10 / 3.60

SO

2005

2001

11 712

no

no

26 139

7.8

54.6

32.7

4.9

7.0

3.0

4.30 / 3.80

SO

2000

1983

2007/2008 GR

1 254

no

no

4 743

74.5

3.0

10.5

12.0

1.4

0.5

4.30 / 3.80

SO

2001

1992

2013 TR

1 402

no

no

4 856

33.8

0.0

19.3

46.9

1.9

10.8

4.30 / 3.80

SO

2007

1977/2014

24 477

no

yes

87 004

87.2

0.0

12.8

0.0

20.7

1.4

4.20 / 3.80

SO

2002

1925

2006/2007 TR

7 870

yes

no

12 847

16.5

7.6

32.8

43.1

3.2

4.2

4.08 / 3.58

SO

2002

1945/2010

40 350

yes

no

50 432

32.3

0.0

0.0

67.7

10.4

0.8

–/–

SO

2010

2014

4 027

no

yes

11 256

95.8

0.0

0.0

4.2

3.6

0.0

4.50 / 4.00

SO

2001

1986

2006/2012 GR

2 894

no

no

10 190

91.0

0.0

0.0

9.0

4.3

0.0

4.40 / 3.90

SO

2000

1976

2014/2015 GR

3 101

no

no

6 244

45.8

0.0

6.0

48.2

1.5

0.0

4.70 / 4.20

LO

2004

2006

3 333

no

no

1 628

95.7

0.0

0.0

4.3

1.0

0.0

4.00 / 3.50

SO

1999

1966

2001 TR

1 389

no

no

1 729

77.1

0.0

0.0

22.9

0.5

0.0

4.50 / 4.00

SO

2002

2017

9 338

yes

yes

13 141

81.5

5.7

0.0

12.8

1.2

0.0

4.20 / 3.70

SO

2002

2005

12 295

no

yes

36 311

95.1

0.0

0.0

4.9

11.3

0.0

4.50 / 4.00

SO

1996

1995

1 482

no

no

3 277

33.5

0.0

55.3

11.2

0.8

1.9

4.10 / 3.60

SO

2008

1984

2007 TR

3 371

no

no

2 777

81.7

0.0

0.0

18.3

1.2

0.0

4.40 / 3.90

SO

1993/2006

1997

2017 TR

4 201

no

no

10 703

56.9

3.3

29.8

9.9

4.2

3.2

4.20 / 3.70

 

154 560

   

316 947

66.9

5.2

9.3

18.6

88.2

1.2

1 SO = sole ownership; LO = leasehold owned 100% by Allreal

2 TR = total renovation; PR = partial renovation

3 Cumulative vacancy rate as a percentage of target rental income for 2017

4 As per 31.12.2017 valuation (nominal rates)

5 Valuation as at 31.12.2017 according to IFRS 13

6 Rental income from 01.10.2017

Commercial real estate as at 31 December 2017

Ownership
status1

Year
acquired

Year of
construction

Renovation2

Site area
in m2

Register of
suspected
contami-
nated
sites

Minergie

Floor space
in m2

Percen-
tage
 of office
 space

Percen-
tage
 of retail
 space

Percen-
tage
 of residen-
tial
 space

Percen-
tage
 of other
 uses

Target rental
income in
CHF million
for 2017

Vacancy rate
in %3

Discount/
capitalisation
rate in %4

SO

2017

1989/90

2016 PR

24 834

no

no

38 933

77.4

5.6

1.6

15.3

1.3

0.0

4.00 / 3.50

SO

2015

1974

2006 PR

16 621

no

no

26 006

25.9

1.5

0.5

72.1

2.5

0.0

4.90 / 4.40

SO

1997

1969

1995 PR

4 086

no

no

7 417

9.0

74.7

0.0

16.3

1.8

19.6

5.40 / 4.90

SO

2001

1992

4 000

no

no

4 343

97.5

0.0

0.0

2.5

1.0

1.2

4.90 / 4.40

SO

2007

2014

5 167

no

yes

13 414

93.2

0.0

0.0

6.8

3.9

4.2

4.80 / 4.30

SO

1987

2007

5 241

no

yes

13 314

90.8

0.0

0.0

9.2

4.4

0.0

4.82 / 4.32

SO

2003

2003

7 089

no

no

10 193

88.2

0.0

0.0

11.8

2.1

2.2

4.80 / 4.30

SO

2002

1988

2012 TR

4 724

no

no

2 705

35.5

43.1

0.0

21.4

0.9

0.0

5.20 / 4.70

SO

2000

1993

4 667

yes

no

9 456

74.1

0.0

0.0

25.9

1.6

44.4

5.70 / 5.20

SO

2002

2013

13 078

no

yes

50 819

74.7

12.9

0.0

12.4

13.1

1.5

4.70 / 4.20

SO

2002

2014

16 875

no

yes

25 525

77.8

16.2

0.0

6.0

9.5

5.6

4.70 / 4.20

SO

2002

1928/53/86

2016/2017 PR

18 386

no

no

24 319

82.1

0.0

0.0

17.9

5.3

9.6

4.78 / 4.28

124 768

226 444

71.0

8.9

0.4

19.7

47.4

4.6

SO

2002

1981

17 960

no

no

10 112

76.4

0.0

0.0

23.6

2.7

18.9

4.50 / 4.00

SO

1999

1972

2014 TR

1 811

no

no

3 985

81.8

0.0

8.0

10.2

1.2

0.3

4.60 / 4.10

SO

2007

1972

2014 TR

1 658

no

no

2 829

71.9

0.0

3.4

24.7

0.6

0.4

4.60 / 4.10

SO

1999

1982

2012/2013 PR

718

no

no

4 292

37.5

27.8

30.3

4.4

1.5

2.5

4.50 / 4.00

SO

2009

1998

5 454

no

no

20 213

61.8

20.2

0.0

18.0

5.3

1.3

4.40 / 3.90

SO

2011

2004

8 442

no

no

5 498

92.8

0.0

0.0

7.2

3.2

14.5

4.70 / 4.20

SO

2017

2006

6 451

no

no

15 172

77.6

10.1

0.0

12.3

0.8

0.0

4.20 / 3.70

SO

2008

2010

1 417

yes

yes

5 516

91.8

0.0

0.0

8.2

2.2

0.0

4.40 / 3.90

43 911

67 617

72.6

10.1

2.5

14.8

17.5

6.2

323 239

611 008

69.0

7.1

5.3

18.6

153.1

2.8

1 SO = sole ownership

2 TR = total renovation; PR = partial renovation

3 Cumulative vacancy rate as a percentage of target rental income for 2017

4 As per 31.12.2017 valuation (nominal rates)

5 Lightcube office building and co-ownership rights to the TMC Galleria car park

6 Allianz office building with retail space in Konradhof and Escherhof

7 UPC office building with retail space and peripheral plots

8 Three properties

9 Rental income from 01.11.2017

Leasehold properties

   

Length of agreement

   

20 October 2086

Allreal is the ground lessee of this yield-producing property, but no ground rent is due.

Largest tenants, commercial real estate

Share in total rental income from commercial real estate:

2016

2015

18%

19%

8%

8%

7%

7%

6%

6%

6%

5%

45%

45%

The five largest tenants’ share of total rental income from all yield-producing properties (residential and commercial) in 2017 amounted to around 34.8% (Canton of Zurich 13.9%, Allianz Suisse Insurance Company Ltd 6.3%, MAN Diesel & Turbo Switzerland Ltd 5.3%, IBM Switzerland Ltd 4.8% and UPC Switzerland GmbH 4.6%).

Profile of terms

The weighted remaining term of fixed-term rental contracts is 6.8 years (31.12.2016: 7.1 years).

Future income from fixed-term contracts

As a result of fixed-term rental contracts on yield-producing properties, the following nominal rental income will accrue in future:

2017

2016

1.8

1.6

5.8

5.6

1.5

1.9

9.1

9.1

146.0

127.8

508.5

436.1

320.8

282.1

975.3

846.0

984.4

855.1

89.8% of all rental income for commercial space is indexed, i.e. rents are adjusted for inflation in accordance with the Swiss Consumer Price Index (CPI) (2016: 84.6%).

94.8% of rental contracts for residential space are for an unlimited term (2016: 95.4%). The weighted remaining term of fixed-term rental contracts for residential property is 4.1 years (31.12.2016: 4.7 years). Rental prices are based, among other factors, on the development of the mortgage reference rate calculated quarterly by the Swiss National Bank and last published on 2 June 2017, when it was reduced to 1.50%.

As at 31 December 2017, 73.4% of all rental contracts contained index clauses corresponding to a target rental income of CHF 137.5 million (2016: 69.2%, CHF 128.3 million).

Investment real estate under construction as at 31 December 2017

   

Acquisition/
project start

 

Site area
in m2

 

Register of
suspected
contaminated
sites

 

Minergie

 

Market value
CHF
million1

 

Estimated
investment
volume
CHF million2

 

Target rental
income on
completion p.a.
CHF million

 

Expected
completion

   

2011

 

11 250

 

yes

 

yes

 

25.4

 

38.5

 

2.0

 

2018

     

25.4

 

38.5

 

2.0

  

1 As per 31.12.2017 valuation

2 Building and land costs

Fangletenstrasse, Bülach ZH

Four new-build apartment buildings with a total of 76 rental apartments to Minergie-Eco standard on the 11,250-square-metre plot on Fangletenstrasse in Bülach-Nord. The rentable area is 7,387 square metres. The project is being built by the Projects & Development division and, upon completion in 2018, will be reported under the portfolio of yield-producing properties. For the first-time market valuation as at the balance sheet cut-off date, nominal discount and capitalisation rates of 4.40% and 3.90% were applied.

The investment real estate property under construction is 100% solely owned by Allreal.

Yield-producing properties (CHF 3,931.2 million) and investment real estate under construction (CHF 25.4 million) are recognised as at 31 December 2017 at fair values according to category 3. No adjustments were made to valuation techniques or processes during the period under review.

Development real estate as at 31 December 2017

 

Acquisition/
project start

 

Site area
in m2

 

Register of
suspected
contaminated
sites

 

Book value
CHF million

 

Estimated
investment
volume
CHF million1

 

Project status

 

Expected
completion

   
 

2008

12 004

nein

19.32

80.0

in planning

 

open

 

2013

46 419

nein

35.42

175.0

in planning

 

open

 

1987

30 278

ja

16.02

100.0

in planning

 

open

 

2016

11 582

nein

2.43

55.0

in planning

 

open

 

2017

3 806

nein

5.32

17.0

in planning

 

open

78.3

427.0

   
 

2011

3 948

nein

10.5

16.0

under completion

 

2018

 

2011

18 586

ja

16.1

55.0

under completion

 

2018

29.9

71.0

   

20164

8.3

   

8.3

   

116.5

498.0

   

1 Land and building costs

2 Book value includes acquisition costs for the land 100% owned by Allreal and accrued project costs of third parties

3 Book value includes acquisition costs for prepayments made for land and accrued project costs of third parties (transfer of ownership for land pending)

4 Completion

Kirschblütenweg, Basel

New-build complex of 12 freehold row houses and 24 garage parking spaces to ­Minergie standard with lettable floor space (100% residential) of 1,967 square metres. It is being built by Allreal Generalunternehmung AG and is scheduled for completion in 2018. As at 31 December 2017, all residential units had been sold, 0 of which with transfer of ownership.

Solistrasse, Bülach ZH

Five new-build apartment buildings with a total of 73 condominiums and 78 underground parking spaces to Minergie-Eco standard with lettable floor space (100% residential) of 8,150 square metres. It is being built by Allreal Generalunternehmung AG and is scheduled for completion in 2019. As at 31 December 2017, no residential units had been sold and there had been no transfers of ownership.

Guggach, Zurich

Four new-build apartment buildings with a total of 197 condominiums and 219 underground parking spaces to Minergie standard with lettable floor space (100% residential) of 25,919 square metres. The project was built by Allreal General­unternehmung AG and completed in 2016. As at 31 December 2017, 196 out of 197 residential units had been sold, 192 of which with transfer of ownership. One apartment was still for sale.