The assumed share of future development profit figures for the New Town, Lakeview and Timisoara residential projects and Cubic Center have led to a 11.4 percent increase in development profit net asset value (DPNAV) per share over the second quarter of the year, and a 38.6 percent increase this year to date. “Growth in DPNAV was driven by a EUR 4.2 million first-time contribution from the Cubic Center forward purchase valued at 7.15 percent yield and an uplift of EUR 3.4 million in the valuation of the Lakeview office joint venture based on a 6.8 percent yield,” the fund reported.
Fabian Romanian Limited, the vehicle through which the fund operates in Romania, is listed on the London Stock Exchange. Following the fund's investments in Romania and a re-evaluation of its portfolio, Fabian's net asset value (NAV) per share increased by 3.8 percent on this year's second quarter and by 18.5 percent year to date.
Thus, the New Town residential project will bring Fabian EUR 8.8 million profit, according to estimations by DTZ Echinox. Lakeview project, the Timisoara residential project, and Cubic Center are expected to bring the fund EUR 9.4 million, EUR 4.8 million and EUR 4.2 million in profits respectively. Three of the projects are expected to be completed in 2009, while the Timisoara residences are scheduled for delivery in 2010. The market value of seven of the properties owned by Fabian in Romania increased by 43 percent on the initial investment by the end of September this year, according to the fund's most recent report. The seven properties value EUR 105 million, compared to the initial EUR 73.4 million invested.
The report covered Cascade, Cubic Center, Baneasa Business Center and Banu Antonache office buildings in Bucharest, residential compounds New Town and Lakeview in Bucharest, and a residential compound in Timisoara. EvoCenter office building was not included in the evaluation.