German financier Westimmo reported that its commercial property financing grew to EUR 6.2 bn last year, 13% above the previous year' s result. Only 12.5% of total new business related to loan extensions.
German financier Westimmo reported that its commercial property financing grew to EUR 6.2 bn last year, 13% above the previous year' s result. Only 12.5% of total new business related to loan extensions.
Westimmo said the wide regional spread of the new business strengthened the resilience of the lending portfolio. Some 50% of the 2009 new business volume was for property financing in Europe, excluding Germany. The business grew strongly in Central Europe, 12% compared to 12% in 2008, and the UK (16% compared to 7% in 2008.)
The volume of commercial property financed in Germany totalled EUR 1.6 bn, accounting for 26% of the new business volume (2008: 22%).
Referring to 2009 as a year 'overshadowed by the global economic crisis', Westimmo said it achieved a consolidated IFRS surplus for the year of about EUR 83.4 mln compared to EUR 96.7 mln in 2008.
The bank's operating profit reached a record high after several years of continuous growth to EUR 147.7 mln (2008: EUR 141.8 mln). Trading profit fell to EUR 4.3 mln from EUR 17.4 mln in the previous year due to reduced profit from the valuation of financial instruments and interest rate hedging derivatives.
'We have achieved good results that I am happy with, particularly in view of the difficult market situation in 2009. Above all, the growth in our operating income reflects our greater acquisition power,' said Peter Knopp, chairman of Westimmo board, at the annual accounts press conference.
'Our working business model and our conservative risk policy enable us to concentrate fully on our customer business, which is a great advantage on the markets at this particular time.'
