European retail property specialist Redevco plans to scale down its investment activity on balance in the coming year, CEO Jaap Blokhuis told the annual PropertyNL forum in Amsterdam on Tuesday. 'We are seeking to sell a few hundred million worth of assets and to buy a similar amount of new property. Overall, we will probably see zero growth.' Redevco's EUR 7.6 bn property portfolio will also be hit by downward valuations, Blokhuis added.
European retail property specialist Redevco plans to scale down its investment activity on balance in the coming year, CEO Jaap Blokhuis told the annual PropertyNL forum in Amsterdam on Tuesday. 'We are seeking to sell a few hundred million worth of assets and to buy a similar amount of new property. Overall, we will probably see zero growth.' Redevco's EUR 7.6 bn property portfolio will also be hit by downward valuations, Blokhuis added.
The Amsterdam-based investor/developer has been very active in both Europe and Asia in recent years. In June the company announced plans to build a EUR 3-4bn portfolio in Asia by 2013. In 2007, the last year for which figures are available, it acquired new assets in Europe worth some EUR 700 mln and sold off another EUR 100 mln.
Redevco has also been very active in recent years as a developer, but Blokhuis denied that the development division would be hit hard by the current crisis. 'We have a very flexible development unit. We don't have a staff of 300, but only six people in our management and a big team of 30 that we can deploy at various places and projects.'
Redevco is the investment vehicle of the Brenninkmeijer family, owner of the C&A clothing chain. Blokhuis said the company was working with various recovery scenarios in its bid to come to terms with the global financial crisis. 'Even the cleverest economists don't know how long the recession will last. Some think it will last two or three years, others believe it may last between five and 10 years.'
