CEE-focused retail specialist Atrium Group saw its net rental income in its main markets grow by 1% in the first quarter as it rebalanced its portfolio to focus on shopping centres in prime locations.
Like-for-like net income excluding Russia increased by 1.4% from €19.8 mln to €20.1 mln, while total income was up from €36.6 mln to €36.9 mln. Including Russia, net rental income fell by 1.2% to €46.2 mln.
Atrium said its results reflected a higher quality cash flow from recent acquisitions and the opening of three extensions in Warsaw, together with disposals including the exit from Hungary and Romania. The company also completed a €28 mln land disposal in Gdansk, Poland.
The company's income in Russia decreased by 2.9% mainly as a result of tenants exiting the market.
Last October Atrium concluded the acquisition of Wars Sawa Junior in Warsaw for €301.5 mln, taking the share of its portfolio in Poland and the Czech Republic to 84%. The company owns four major shopping centres in the Polish capital with a total GLA of 55,000 m2.
CEO Liad Barzilai said: 'During the first quarter we began to see the new high quality income flowing through from the extensions we opened at Atrium’s three prime retail destinations in Warsaw at the end of last year which, coupled with the income from acquisitions, helped to offset the loss of income from our disposal programme.
'We continue to work on strengthening our portfolio through redevelopments and asset rotation and have a strong balance sheet to support the execution of our strategy.'
