Wereldhave confirms Dirk Anbeek as new CEO

Amsterdam-listed real estate company Wereldhave has confirmed Dirk Anbeek as its CEO and announced the departure of the country heads of its US and UK businesses.

Anbeek, a board member, was initially named temporary CEO on 24 July when Hans Pars stepped down from the top job as Wereldhave signalled its results for the second quarter would be disappointing.

Wereldhave released its official H1 figures on 2 August, showing the direct result was 14.6% negative at EUR 49 mln (H1 2011: EUR 57.4 mln).

The indirect result came to negative EUR 172.8 mln (H1 2011: negative EUR 4.8 mln) primarily due to a EUR 173 mln lower property valuations during the first half of 2012.

Wereldhave said it was taking immediate action to address the issues, and stressed that compared to the previous year, like-for-like rental income for the first six months of 2012 had increased in all its countries, with the exception of the UK and US.

'In the UK the decrease of rental income can be fully attributed to the Poole shopping centre. This shopping centre faces a relatively large number of tenants in administration. The branch mix and lay out of the centre need adjustment,' the company said.
UK country director Andrew Turton has been let go and John Laker of Laker Developments has been appointed interim country manager.

The UK non-core portfolio is to be further reduced and the company will focus on rental growth at Poole shopping centre, and improving the tenant mix at Ealing Broadway mall, which Wereldhave acquired for EUR 180 mln in November 2011. There will be no new acquisitions of shopping centres in the UK before end-2013.

Wereldhave said the difficulties in the US centred on the slower than expected letting pace of the apartments during the second quarter and the delay in completion and that the continuing start-up costs of the hotel element have caused a negative revaluation of the Eilan development project.

'In addition, Wereldhave has recently received offers for individual properties of its US portfolio which are below the book value. The US property portfolio was re-valued negatively by EUR 130.8 mln, of which EUR 128 mln during the second quarter.'

In response, Werldhave has cancelled the employment contract of US country manager Carmen Cruz and installed a new management team headed by CEO Anbeek. The company is now seeking to sell its US assets as one portfolio or in large packages rather than piecemeal.