Earnings Release • Nov 14, 2013
Earnings Release
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La Hulpe, 14 November 2013
In general, ATENOR GROUP is continuing the development of its portfolio, which currently includes 12 projects and represents a total of 660,000 m² to be developed on prime locations. In the absence of major unforeseeable events specific to ATENOR GROUP or of a macroeconomic order, the 2013 annual results should approach the annual results for 2012.
The UP-site project is progressing in a satisfactory manner. The structural work on the tower was finished in early July, the building now measuring 140 meters. The provisional acceptance of the B2 office building, sold to PMV to be occupied by GO, was granted on 28th August. The acceptance of building B1 is scheduled for January 2014.
On the residential side, in the course of the last six months we have noted the sustained interest in this unique project, increasing the reservation rate (including closed sales) to more than two-thirds for the tower and the Terrace buildings. The first provisional acceptances for the apartments of the Terrace buildings were signed in June 2013.
The demolition work in progress will be completed by the end of November, the date on which the foundation work could start. It should not be forgotten that this building was the subject of a provisional sale agreement with the European Parliament and will contribute to the Atenor results for 2013 and the next three 3 financial years.
The winner of the competition organised by the Brussels-Capital Region for the development of a master plan for the Midi district is at work. As a reminder, the application procedure for the VICTOR permit is punctuated by the development of the master plan for the whole of the Midi district. This objective of this project is the successful integration of the VICTOR project into the district with possible adaptations of the project as a result. The permit will therefore be obtained after the definition of the master plan in March 2014.
The enactment of the RRUZ (Règlement Régional d'Urbanisme Zoné, Regional Regulation for Zoned Urban Development) by the Government, an urban planning tool indispensable to the completion of the EUROPA project, is expected this November. Moreover, the impact study relating to the permit application lodged in December 2012 is continuing. We hope that the permit will be issued in Q3 2014, possibly amended on the basis of the results of the impact study in progress.
The PRAS (Regional Land Use Plan) which must assign the ZEMU (Corporate Zones in Urban Areas), a planning tool required for the execution of CITY DOCKS, was approved by the Government on 26th September at the same time as the order concerning the new urban planning charges. We will submit a permit application for an initial phase (offices, management, housing) before the end of this year.
The ex-tenant is also continuing with the clean-up works.
The actual construction of the first block of 46 apartments has started. The marketing of the apartments is progressing satisfactorily, with close to 40% having already been reserved.
As a reminder, in Mons, the permit for the development of the first of the two housing blocks (Le Préambule and Le Prélude (making a total of 78 apartments) of the "AU FIL DES GRANDS PRÉS" was obtained in June under the existing PCA. The permit application procedure for the clean-up (new legislation) is under way and it should be granted by January 2014. A permit application was submitted for the construction of 3 blocks of housing (134 units) on the site alongside La Haine. We are preparing an application for permits for the remainder of the project, linking the shopping arcade to the new station.
1 This intermediate press release in intended to inform our shareholders, the financial markets and more generally the public within the context of the Edict of 14 November 2007 relating to the obligations of securities issuers, especially in the matter of periodic information.
The renovation permit for the La Sucrerie building in Ath (phase one of the project) was obtained in early May. The single permit application for the entire site should be obtained during the first quarter of 2014, as well as the permits for the clean-up.
The pre-commercialization of the LES BRASSERIES DE NEUDORF project was initiated at the end of September with remarkable success. Out of a total of 87 housing units, reservations have already been signed for more than a third of the apartments. Demolition work on the site is continuing and a call for tenders for the construction work will be published soon. The planning permission should be issued in early December.
It will be recalled that ATENOR GROUP has concluded the acquisition of their head office at the Cloche d'Or in Luxembourg with ING. This building currently consisting of 6,500 m² of offices and four levels of basement parking will be the subject of a major renovation and an extension increasing the office area to about 10,000 m².
In parallel with this acquisition, ATENOR has signed an agreement with BDO Luxembourg for leasing the entire building after renovation in early 2016. The application for planning permission will be submitted in December for expected issue in April 2014.
The construction work on the first block of offices is continuing. Provisional acceptance of the entire building is scheduled for 1st March, 2014. As a reminder, we have signed three lease agreements for a total of 2,900 m² of a total of 17,000 m² in a rental market that is active and yet unwilling to "pre-lease". Several contacts are in progress.
The provisional acceptance of the first block of offices (15,700 m²) at VACI GREENS is scheduled for the end of November. In view of the leases and on-going contacts, it is likely that the building will have a rental rate of over 80% at the time of provisional acceptance, which reinforces its proper positioning in a rental market that is still very competitive.
Following its press release on 3rd October, ATENOR GROUP indicates that all of the parties concerned, including ATENOR and its Managing Director, have entered appeals for annulment against the judgment of the Brussels Criminal Division (Chambre des Mises en accusation) pronounced on 2nd October in the Erasmonde case.
In addition, the Ameno case, which should have been heard at the end of October by the Brussels Court of Appeal, has been postponed until March 2014.
ATENOR GROUP did not acquire any own shares during the third quarter of 2013.
Publication of annual results 2013: 10 March 2014 General Meeting of Shareholders 2013: 25 April 2014 Intermediate declaration for first quarter 2014: 16 May 2014
For more detailed information, please contact Stéphan Sonneville SA, CEO or Sidney D. Bens, CFO. +32-2-387.22.99 - e-mail: [email protected] - www.atenor.be
ATENOR GROUP is a real estate property promotion company quoted on NYSE Euronext Brussels. Its mission aims at providing, through its urban planning and architectural approach, appropriate responses to the new requirements imposed by the development of urban and professional life. Within this framework, ATENOR GROUP is investing in large scale property projects meeting strict criteria in terms of location, economic efficiency and respect for the environment.
Reuters: ATE0.BR - Bloomberg: ATEB BB
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