The NAV value of the CREDITAS Nemovitostní I sub-fund continues to grow
Although the economy is still recovering from the effects of the pandemic, the special real estate fund CREDITAS Nemovitostní I, sub-fund SICAV, has already managed to erase the decline in the NAV value that occurred a year ago as a result of the measures taken against COVID-19.
In the first quarter of last year, the world was hit by a coronavirus pandemic, which was reflected in asset prices on a global scale. This also affected our fund, which was more impacted by COVID-19 than other real estate funds on the market. This was due to a combination of several unfavourable factors: overvaluation of assets, lack of historical data for the newly established fund and insufficient diversification of the portfolio, which contained only one property.
During the following months, it turned out that tenants were not too damaged by the coronavirus crisis, and the fundamental valuation of the property also increased over time, which, among other things, positively reflected the active steps taken in favour of tenant stabilisation.
Even in difficult conditions, the extensive reconstruction of building no. 132 in Business Park Čestlice, which is an acquisition of the sub-fund, was completed. The successful investment clearly showed that financially secured companies do not have to fold their hands in their laps and passively wait for the state support or future economic recovery even in the unfavourable conditions of the coronavirus pandemic.
The NAV value of the CREDITAS Nemovitostní I sub-fund continued to rise in the following months and reached CZK 1.0069 per one investment share in March 2021, thus completely erasing the almost seven percent drop from the beginning of the COVID-19 pandemic. The fund's performance over the last twelve months is 7.64%, so it can be assumed that this favourable trend shows the realistic target returns of the fund around 5% per year.
The special real estate fund CREDITAS Nemovitostní I, sub-fund SICAV, directs its investments in the real estate market, primarily in functional properties that are capable of generating immediate cash flow. These are primarily commercial properties such as office buildings, shopping and multifunctional centres, warehouse and logistics parks and industrial buildings. The sub-fund is also accessible to small investors, the minimum amount of one-time investment is CZK 50,000 and in case of regular investments it can be made from CZK 500 per month. The fee policy of the sub-fund is also favorably set, when entry and exit fees are zero.
More detailed information is available on the page CREDITAS Nemovitostní I.