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Baltic Sea Properties

Quarterly Report Feb 21, 2022

3552_rns_2022-02-21_50a30186-33f6-4a20-a093-c8d49c40f10a.pdf

Quarterly Report

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Quarterly report

Baltic Sea Properties AS

About us

The company is among the Baltics' leading real estate investors and developers – owning a portfolio of logistics, industrial and retail assets. Per 31.12.2021 the company generated a total rent income of apx. MEUR 6.28.

In addition to refining the current portfolio Baltic Sea Properties has ambitions to strenghten the portfolio with new cash flow and development projects which will increase shareholder values and the company's dividend capacity.

The property management is conducted through fully-owned subsidiaries by a professional management team with deep knowledge of the Baltic real estate market.

Highlights

Interim report - Q4 2021

Increased top line, solid return and appetite for growth

Profit from property management increased year-on-year, to a level of MEUR 2.35 in 2021 (MEUR 1.91). It was nevertheless a year of restructuring and preparing the company for the future, in which the resources we now have at our disposal were not yet fully utilised to operate at optimal capacity. Entering the new year, we have high growth ambitions and see significant unrealised potential in increasing our scale to maximise the profitability of our operations.

The period January - December 2021

  • In March, Baltic Sea Properties signed a significant improved group financing with Luminor Bank. Loan agreements were signed in March and June. The refinancing gave an interest rate margin of 2.05 % + 3-months Euribor and a 20-year amortisation schedule, and further made available a total of MEUR 5.2 in cash for future investments.
  • Over the 2nd quarter, the company repaid a total of MEUR 3.7 to Ambolt Mezzanine Sub-Fund. The remaining loan (MEUR 1.4) was extended for one year, with maturity in May 2022.
  • In the period from March to July, the company made several strategic divestments:
March: 5 retail properties (MEUR 1.3)
May: Shares in EECP (MEUR 1.1)
June: Industrial property in Panevėžys (MEUR 5.3)
July: Retail property in Kursenai (MEUR 1.3)
July: Shopping center in Utena (MEUR 3.7)
  • In April, the company acquired Klaipėda Business Park, the development land plot "Liepų parkas", and the management company BNTP for a total asset value of MEUR 17.1.
  • In June, the company distributed a dividend of NOK 1.5 (EUR 0.15) per share to the shareholders.

Expansion project | Rhenus terminal (visualisation)

  • In July, the company signed an expansion agreement with the tenant Delamode for 4 780 m2, with scheduled delivery for the summer of 2022. As part of the agreement, a new 12.5-year lease term from the completion of the expansion was agreed.
  • In August, the company signed development agreements with DPDgroup for construction and lease of two distribution centers (apx. 4 000 m2 combined), with scheduled delivery for the summer of 2022. The lease agreements are with a 15-years & 20-year unbreakable lease term on triple net terms, respectively.

Key events during the fourth quarter

  • In December, the company paid the final instalment (MEUR 2.3 + interest) of the acquisition price for the assets in Klaipėda.
  • Strategic decisons on technical upgrades for BREEAM certification of the portfolio and solar panel investments.

Key events after the end of the period

  • Rhenus expansion project announced
  • Oribalt expansion project announced
Company 2021
Jan - Dec
2020
Jan - Dec
Rental income (mEUR) 6.28 5.77
Income from Property management (IFPM) 2.53 2.43
Return on Equity inc. dividend (NAV) 21.1% 15.5%
Investment properties value (EUR) 75.44 64.70
Loan to Value investment portfolio (LTV) 53.9% 54.7%

Strategically located land and new clients.

Development land | Visualisation of Oribalt terminal + A1 Industrial Park – Gateway to Vilnius

Contents

About us 2
Highlights 3
CEO's comment 6
Key figures 8
Quarterly financials 12
Profit & loss statement
Balance sheet
Financing
Eearnings & Net Asset Value
13
14
15
16
Property portfolio 18
Tenant mix
Presentation of our properties
Land bank
20
22
30
Euronext Growth Oslo 33
Contact 34

Disclaimer:

This report has been prepared by Baltic Sea Properties AS in good faith and to our best ability with the purpose to give the company's shareholders updated information about the company's operations and status. This document must not be understood as an offer or encouragement to invest in the company. The financial figures presented are unadited and may thus include discrepancies. Baltic Sea Properties AS further makes reservations that errors may have occurred in its calculations of key figures or in the development of the report which may contribute to an inaccurate impression of the company's status and/or operations. The report also includes descriptions and comments which are based on subjective assumptions and considerations, and thus must not be understood as a guarantee of future events or future profits.

CEO's comment

Profitable year - focus on sustainable operations & growth

We have increased our total earnings in 2021, with the additional income from our acquisition of Klaipeda Business Park, despite also having made several strategic divestments of non-core assets during the year. We achieved a considerable total return on our investments and increased our Net Asset Value (in EUR approx. 18 % year-on-year, 21 % including dividend), partly driven by higher values for our assets. The world-wide consumer driven demand for logistics and the real estate investor demand for logistics and industrial assets has also created significant yield compression in the Baltics, which is reflected in the current increased value of assets in our portfolio.

Unease in the east

The World's eyes have been on Ukraine over the last few weeks as fears of a Russian invasion have increased. Although we don't expect such an event to affect the NATO member countries of the Baltics directly, it has the potential to become a large military conflict with implications to the safety, stability and prosperity of the entire region and beyond.

Also Lithuania specifically, has on-going diplomatic tensions with the governments of Belarus and recently China (related with Taiwan). Although restricted trade with Belarus and China is affecting some parts of the economy, BSP has not received any additional concerns from our clients related to these events.

As part of our risk management strategy, we constantly monitor and assess how circumstances and potential events may affect our client's business and our business, while considering our risk mitigation measures and possibilities.

Inflation on the rise

Rising inflation has been another topic of concern worldwide in the early months of 2022. The annual consumer price index (CPI) in Lithuania for 2021 was 4,7%. The ECB may increase key interest rates to counter the trend, which coupled with increasing interest rates in the US would increase borrowing costs across the global financial market. Increased borrowing cost would impact our bottom line, however this is somewhat mitigated by rent increases from our inflation indexed lease agreements with all clients.

Development projects

By year-end 2021, we were already well on our way with three development projects; one expansion project for Delamode and two new developments for DPD group. In these early weeks of 2022 we are shifting gears, officially:

On 17 February we had the great pleasure of announcing that we had agreed on the main terms with our largest tenant, Rhenus Logistics, for an expansion project of approx. 16,000 m2 for the terminal by A4 highway at the gateway to Vilnius. Rhenus is one of the absolute heavyweights in global logistics and I see it as a great tribute to the professionalism and quality of our work that such an organisation trusts us with the responsibility to create and deliver the space they need for

their further expansion in the Baltic region.

Another of our valued clients, Oribalt - who carries the responsibility of transporting pharmaceuticals that thousands of people rely on in their daily lives, have also requested an expansion of their existing Vilnius terminal. It is at the core of our business strategy to build long-term relationships with our clients and to grow with them as their space requirements develop.

With Oribalt's request for expansion, 100 % of our recent development project clients have requested expansions and decided to trust us with these projects. This indicates that we have succeeded in establishing Baltic Sea Properties (BSP) as a real estate partner in the Baltic market that is known for reliability, integrity and a progressive approach to business partnership.

Environmental and sustainability initiatives in our developments

With the movement of the EU Commission to align the rules for the energy performance of buildings with the European Green Deal and decarbonise the EU's building stock by 2050, and together with investor and client expectations, increased sustainability has become essential in our industry.

We are happy to report that our environmental & sustainability initiatives are included in our development and expansion projects. The properties will be BREEAM- certified and with roof mounted solar (photovoltaic) panels. Our clients have welcomed these initiatives as an integral part of our value proposition and we feel enthusiastic about further collaboration with our partners. This is just the start.

Growth ambitions – increasing pipeline

We worked hard through 2021 to increase our potential project pipeline, some of which has already materialised in the abovementioned committed development projects and with many more quality pipeline projects in negotiations to be delivered in the next years . We have a very capable management team, who are ready and eager to take on the challenge of making 2022 yet another great year to be a shareholder in this company.

We would not have achieved the success of 2021 and the future potential without the excellent people in our team, and I want to thank each and every one of them for the professionalism and dedication they put into their work every single day.

Up, up and away!

Lars Christian Berger CEO, Baltic Sea Properties AS

Delamode terminal | Highway A1, near Vilnius

Key figures Q4 2021

  • Key figures properties
  • Key figures group
  • Net Asset Value

Please note:

  • The figures in this report are unaudited.
  • Baltic Sea Properties AS follows Norwegian accounting standards (NGAAP).

Properties

Rent roll

Contracted rent roll 2022

Company Segment Tenant Budget rent
(EUR)
Property
NOI*
% income GLA (sqm) % GLA Maturity
BSP LP Logistics Girteka 964 450 878 636 16,5% 17 149 16,9% 2026
BSP LP II Logistics Vinge 1 098 948 1 027 187 17,9% 21 929 21,6% 2038
BSP LP IV Logistics Rhenus 1 092 511 1 027 234 18,5% 18 226 18,0% 2035
BSP LP V Logistics Delamode 543 807 488 967 9,2% 8 329 8,2% 2035
BSP LP VI Logistics Oribalt 441 965 403 362 7,6% 6 807 6,7% 2035
KVP Industrial Multiple 1 440 157 1 284 442 24,3% 24 500 24,2% 2022-2027
BSP RP I Retail Multiple 76 519 58 557 1,3% 1 337 1,3% 2022
BSP RP V Retail Maxima 271 859 243 581 4,7% 3 021 3,0% 2034
Total ** 5 930 215 5 411 967 100% 101 298 100%

* Property NOI also includes internal management expenses in addition to other direct property cost.

** Numbers are not final CPI-adjusted.

** Including expansion of Delamode and handover of the two DPD terminals in Q3, budgeted rent for 2022 is total mEUR 6.1

Terms/abbreviations used in the table above:

  • Property NOI: Net rent income after direct ownership expenses incl. management.
  • GLA: Leasable area.

Projects under development

Company Segment Tenant Contracted rent
annulised (EUR)
Budgeted rent in
2022
GLA (sqm) Handover
(est.)
BSP LP V Logistics Delamode 316 550 105 985 4 780 Q3 2022
BSP LP VII Logistics DPD - Telsiai 113 724 28 412 1 458 Q3 2022
BSP LP VIII Logistics DPD - Siauliai 180 180 45 026 2 310 Q3 2022
Total 610 456 8 548

rental income

Portfolio based on

Key figures group

4th quarter report 2021 (unaudited)

Per share (NOK) 31/12/2021 31/12/2020 Balance sheet* (MNOK) 31/12/2021 31/12/2020
Net Asset Value (NAV)* 54.10 48.12 Investment Properties 754 677
NAV in EUR 5.42 4.60 Other assets 58 52
Accumulated pay-outs 23.50 22.00 - of which cash 53 39
Last transaction price per date 50.50 50.00 Total Assets 812 730
Number of shares issued 6 688 232 6 688 232 Debt 429 398
Deferrex tax liability 21 11
Net Asset Value (Equity) 361 321
Property portfolio (MNOK) 31/12/2021 31/12/2020 Profit & loss (MNOK) 31/12/2021 31/12/2020
Market value portfolio 753.6 677.4 Operating income 68.4 63,4
Value of equity based on NAV 361.0 320.9 Operating expenses excl.
depreciations and impairments
21.7 17,2
Gross rent income per date 63.8 61.9 EBITDA (Operating profit/loss excl.
depreciations and impairments)
46.7 46,2
NOI yield (investment projects) 7.60 % 8.02% Income From Property Management
(IFPM)
25.7 26.0
IFPM yield 7.00 % 8.13 % EBIT 35.8 43,3
Shortest contract length (years) 2.6 yrs 0 yrs Profit/Loss before tax 30.2 20,4
Longest contract length (years) 17.0 yrs 17.8 yrs
WAULT (years) 10.1 yrs 12.1 yrs
IBD (incl. mezzanine loan) 406 371
LTV (incl. mezzanine loan) 53.90 % 54.69 %
depreciations and impairments 21.7 17,2
depreciations and impairments) 46.7 46,2
(IFPM) 25.7 26.0

Terms/abbreviations used in this report:

  • NOI = Net Operating Income
  • NOI yield = Annualised budget net operating income from property portfolio (incl. all salary expenses) / Market value of the portfolio. Yield is adjusted for land bank value.
  • IFPM (Income From Property Management) = Profit/loss before tax excluding depreciations, profit/loss/value movements on properties, realised investments, currency and other financial instruments.
  • IFPM yield = Income From Property Management / Net Asset Value (NAV)
  • PFPM (Profit From Property Management) = Profit/loss after tax excluding depreciations, profit/loss/value movements on properties, realised investments, currency and other financial instruments
  • PFPM yield = Profit from Property Management/ Net Asset Value (NAV)
  • IBD = Interest-Bearing Debt all outstanding debt to credit institutions and/or other credit facilities
  • LTV = Loan to Value ratio
  • EBITDA = Earnings before interest, tax, depreciation and amortisation
  • Surplus ratio = Net Operating Income related to rental income
  • WAULT = Weighted contract length (income/year)
  • BREEAM = BRE Environmental Assessment Method) is an environmental assessment standard developed by the Building Research Establishment (BRE) for rating the sustainability of buildings.
  • EECP = Emerging Europe Commercial Properties AS (Norwegian investment company owning a grocery retail portfolio in Lithuania).

Net Asset Value (NAV)

Net Asset Value (NAV) is a measure of the fair value of the company's net assets on an on-going long-term basis, calculated as the total value of the company's assets minus the total value of its liabilities, with certain adjustments.

Public and private real estate companies and real estate funds use slightly different adjustment principles when calculating their NAV. Below is therefore an explanation of how NAV is calculated in Baltic Sea Properties.

Assets
valuation and
adjustments
for NAV:

Investment (income generating) property and development land is valued and included
using the most recent market value established by independent valuers (based principally
on the discounted cash flow method.)

External financial investments are valued and included at their most recently published/
recorded NAV (alternatively most recent transaction price if NAV is not available.)

Development property, unfinished construction and other assets are valued and included
at book value (cost price less depreciation)
Liabilities
adjustments
for NAV:

Financial liabilities are valued and included at book value.

Deferred tax liabilities are valued and included at 50 % of the deferred profit tax calculated
on the difference between the current property market value and tax book value. (This
adjustment principle is based on market practice and a deemed fair value basis)

Interest rate swaps are valued and included at book value.

• Other liabilities are valued and included at book value.

Please note:

Since the 3rd quarter of 2020, the company has used a new principle for estimating latent tax liabilities in its NAV calculations. The change increases the group's latent tax with apx. MNOK 12.2 relative to the booked net deferred tax liability per 31.12.2021.

Q4 2021 Quarterly financials

  • P&L
  • Balance sheet
  • Financing

Please note:

  • The figures in this report are unaudited.
  • Baltic Sea Properties AS follows Norwegian accounting standards (NGAAP).

Profit & loss

Q4 report 2021 (unaudited)

(Figures in parentheses are comparable figures for same quarter in the previous year)

Total operating income per 31st of December 2021 was MNOK 68.4 (MNOK 63.4). Of this MNOK 63.8 was rental income from the property portfolio (MNOK 61.9). Measured in EUR the rental income per 31st of December 2021 had increased by EUR 509 329 compared to the same period in the previous year, due to new revenue streams from the properties acquired in Q2 2021.

Direct ownership costs per 31st of December 2021 were MNOK 10.9 (MNOK 8.7). The increase is largely due to an increase in organization size since the acquisition of the management company UAB BNTP in Q2 2021.

Net rental income per 31st of December 2021 was MNOK 52.9 (MNOK 53.1).

Other operating income per 31st of December 2021 was MNOK 4.6 (MNOK 1.5). The increase is mainly profit from the sale of one retail property in the RP5 portfolio, while income from management service deliveries amounted to MNOK 2.0.

Other operating expenses per 31st of December 2021 were MNOK 10.9 (MNOK 8.5). The increase is mainly due to extraordinary expenses during a period of high transaction activity, related to legal expenses, advisory services, and travel, as well as employee incentive expenses in an organization that increased in size within the year.

The profit from operations before financial items, depreciations, and impairments (EBITDA) per 31st of December 2021 was MNOK 46.7 (MNOK 46.2).

Net financial items per 31st of December 2021 were MNOK -5.6 (MNOK -22.8). Net interest of MNOK -15.2 (MNOK -20.1) was largely outweighed by a profit of MNOK 8.2 from realizing the investment in EECP. The Group's interest expenses were significantly reduced compared to the 4th quarter of 2020, but the result also benefitted from gains from currency differences and interest rate hedging agreements. The effects from the latter were however outweighed to a certain extent by bank fees paid to refinance the portfolio.

The Group had per 31st of December 2021 booked MNOK 11.7 (MNOK 23.5) in reversal of previous impairments. MNOK 4.2 of this reversal follows from a net accounting profit of previously impaired properties that were sold during the second quarter of 2021. The remaining amount stems from adjustment of properties' book value according to valuations and booked depreciations. Booked depreciations per 31st of December 2021 were MNOK -22.6 (MNOK -26.4).

Profit before tax per 31st of December 2021 was MNOK 30.2 (MNOK 20.4).

P&L Group (NOK) 31/12/2021 31/12/2020
NOK (YTD)
Rental income 63 803 275 61 871 388
Real estate tax, land tax, etc. -1 481 549 -1 181 456
Maintenance and fit-out -72 322 -246 189
Other direct ownership costs* -9 307 705 -7 308 090
Sum direct ownership costs -10 861 576 -8 735 736
Net rental income 52 941 699 53 135 652
Other operating income 4 580 233 1 523 050
Other operating expenses* -10 852 237 -8 507 854
EBITDA 46 669 694 46 150 848
Depreciations -22 551 238 -26 374 178
Impairments (-)/ Reversal of 11 677 098 23 476 554
previous impairments (+) **
EBIT 35 795 555 43 253 224
Net interest -15 182 614 -20 077 504
Other finance 9 554 955 -2 745 234
Profit/loss before tax 30 167 896 20 430 486

* Employee bonuses have been reclassified from "Other direct ownership costs" to "Other operating expenses" compared to the presentation in previous quarters' reports in 2021. This is done to give a more accurate presentation of annualised net rental income which in our calculations include ordinary salary expenses.

** Accounting profits from property sales less than accumulated impairments from previous periods are here presented as reversal of previous impairments.

Balance sheet

Q4 report 2021 (unaudited)

Valuation of properties

Valuations of the properties have been conducted by two independent valuators, based on discounted cash flow (DCF) analyses, which is standard method and our normal practice. The portfolio was valued at a total of MEUR 75.4 in the NAV calculation per 31st of December 2021, based on valuations from Newsec and Oberhaus, adjusted for additional investments not included in the valuations.

Balance sheet

Per the 31st of December 2021 the Group had a total cash balance of MNOK 53 (31.12.2020: MNOK 39). The increase in 2021 is mainly due to the refinancing process and divestments which made significant funds available.

During the 2nd quarter of 2021, NOK 1.50 per share was distributed as dividend to the shareholders.

In accordance with the agreed terms for the assets in Klaipėda, acquired in April, the final instalment of MEUR 2.3 + accumulated interest (MEUR 0.07) was settled in December 2021.

The book value of equity per the 31st of December 2021 was MNOK 213 (31.12.2020: MNOK 207). The equity (NAV) return per share measured in EUR during 2021 was +17.8 % and 21,1% including this years dividend.

Total amount of shares issued per 31.12.2021 was 6 688 232, of which the company itself held 15 000.

Net Asset Value
(NAV) per share
31/12/2021 31/12/2020
NOK 54.10 48.12
EUR 5.42 4.60
Applied EURNOK
conversion rate
9.99 10.47
Value movements (MEUR) 31.12.2021
Investment property valuation year start 64.70
Acquistions & developments 17.81
Divestments 10.61
Unrealised value movements 3.54
Investment property valuation year end 75.44
Property portfolio
(MNOK)
31/12/2021 31/12/2020
Market value portfolio 753.6 677.4
Value of equity based on
NAV
361.0 320.9
Gross rent income per
date
63.8 61.9
NOI yield
(investment projects)
7.60 % 8.02 %
IFPM yield 7.00 % 7.94 %
Shortest contract length
(years)
0.6 yrs 0 yrs
Longest contract length
(years)
16.8 yrs 17.8 yrs
WAULT (years) 10.1 yrs 12.1 yrs
IBD (incl. mezzanine loan) 406 371
LTV (incl. mezzanine loan) 53.9 % 54.7 %
IBD (excl. mezzanine loan) 391 318
LTV (excl. mezzanine loan) 51.9 % 47.0 %
Balance sheet* (MNOK) 31/12/2021 31/12/2020
Fixed assets 595 571
Current assets 57 41
- of which is cash 53 39
Assets 652 611
Equity 213 207
Debt 438 405

* Booked values according to Norwegian accounting standards (NGAAP).

Financing

Q4 report 2021 (unaudited)

Debt maturity Interest Swap maturity
Year EUR Share % Interest
including margin
EUR Share % Interest
including
margin
0-1 year - 0.00 % 2.20 % 0.00 % 0.00 %
1-3 years - - - 21 440 943 100.00 % 0.58 %
4-5 years 39 168 263 96.32 % 2.05 %
Total funding real estate portfolio 39 168 263 96.32 % 2.05 % 21 440 943 100.00 % 0.58 %
Mezzanine - maturing 14.5.2022* 1 494 944 3.68 % 10.70 %
Sum loan 40 663 207 100 % 2.20 % 21 440 943 100.00 % 0.58 %

* Loan terms overview of 12-month rolling from 31.12.21 figures

* All-in weighted interest including IRS is 2.57%

* Weighted interest margin ex. IRS & Mezzanine is 2,05%

Refinancing and partial down payment of mezzanine loan

During the 2nd quarter of 2021 Baltic Sea Properties completed its refinancing for the total portfolio with Luminor.

In April and May, the company repaid a total of MNOK 38 (MEUR 3.7) of the mezzanine loan. The maturity for the remainder of the loan's principal amount (MNOK 14.2) was extended for one year, until May 2022.

Loan financing 31/12/2021 31/12/2020
Interest-bearing debt incl. mezzanine
loan (MEUR)
40.7 35,39
LTV incl. mezzanine loan 53.90 % 54.69 %
Interest-bearing debt excl. mezzanine
loan (MEUR)
39.2 30.4
LTV excl. mezzanine loan 51.92 % 47.0 %
Average interest rate (incl. margin and
IRS*) excl. mezzanine loan
2.65% 3.30 %
Interest rate hedging ratio 52 % 100.0 %
Time until maturity interest-bearing
debt (weighted)
4.1 yrs 2.2 yrs
Time until maturity interest hedging
contracts (weighted)
2.7 yrs 3.5 yrs

*Interest Rate Swaps

Rhenus Logistics terminal | Highway A4, Vilnius

Earnings & Net Asset Value

Q4 report 2021 (unaudited)

EURNOK rate — Balance date
9,9888
10,4703
EURNOK rate — YTD average
10,1633
10,7258
NOK
EUR
NOK
EUR
P&L
Rental income
63 803 275
6 277 811
61 871 388
5 768 464
Property expenses ex. mng.
-2 164 003
-212 923
-2 599 674
-242 376
NOI
61 639 272
6 064 888
59 271 714
5 526 088
Surplus ratio
97 %
96%
Other operating income
2 026 958
199 439
1 523 050
141 999
Administration cost
-11 069 543
-1 089 168
-8 171 975
-761 899
Other operating cost
-8 480 267
-834 401
-6 471 941
-603 399
Net realised interest cost & finance expenses
-18 413 022
-1 811 717
-20 080 624
-1 872 180
Income from property management (IFPM)
25 703 397
2 529 040
26 070 225
2 430 609
Tax for the period
-1 806 329
-177 731
-5 630 431
-524 943
Profit from property managemenet (PFPM)
23 897 068
2 351 310
20 439 794
1 905 666
Realised changes in value of investment properties
6 743 675
663 532
13 477 377
1 256 538
Unrealised changes in value of investment properties
7 486 698
736 640
9 999 178
932 255
Realised changes in value of investments (JV, equity investm., etc.)
8 182 408
805 094
0
0
Changes in values of derivatives
3 778 935
371 822
-2 325 828
-216 844
Other financial income
293
29
842 041
78 506
Currency
823 726
81 049
-1 258 328
-117 318
Depreciation
-22 551 238
-2 218 889
-26 374 178
-2 458 947
Profit before tax
30 167 895
2 968 317
20 430 486
1 904 798
Tax for the period
-1 806 329
-177 731
-5 630 431
-524 943
Profit
28 361 566
2 790 586
14 800 055
1 379 856
BALANCE
Assets
Investment properties (market value)
753 561 528
75 440 646
677 428 410
Other financial assets (market value)
-
-
8 182 403
Other fixed assets
1 098 006
109 924
3 407 580
325 452
Total fixed assets
754 659 535
75 550 570
689 018 393
65 806 939
Current receiveable & assets
3 821 853
382 614
1 877 028
179 272
Bank deposits
52 790 600
5 284 979
38 887 807
Total current assets
56 612 453
5 667 593
40 764 835
Total assets
811 271 988
81 218 163
729 783 228
Liabilities
Deferred tax liabilites*
21 450 911
2 147 496
10 808 910
1 032 340
Long-term liabilities
374 308 247
37 472 794
151 346 621
Short-term liabilities
54 489 177
5 455 027
247 053 111
Total liabilites
450 248 335
45 075 318
409 208 642
Net Asset Value (NAV)
361 023 652
36 142 845
320 574 586
Jan - Dec 2021 Jan - Dec 2020
64 700 000
781 487
3 714 106
3 893 378
69 700 317
14 454 851
23 595 610
39 082 800
30 617 517

* Net Asset Value calculation

Rhenus Logistics terminal | Illustration of expansion project (approx.16,000 sqm)

Property portfolio Q4 2021

  • Tenant mix
  • Presentation of our properties
  • Land bank

Oribalt terminal | Highway A1, near Vilnius

Delamode terminal | Highway A1, near Vilnius

Tenant mix

Distribution of budgeted rent income in 2022

Oribalt terminal | Highway A1, near Vilnius

Rhenus | Logistics

Company name: BSP Logistic Property 4 Tenant: Rhenus Logistics GLA: 18 226 m2 Maturity lease contract: 2035

Location: Highway A4, Vilnius, Lithuania

The property was finalised in June 2017 and further expanded in 2020. It is currently leased by UAB Rhenus Logistics, a subsidiary of the Rhenus Group. The parties have reached a MOU concerning an additional approx. 16 000 m2 expansion with estimated handover Q3 2023.

The Rhenus Group is one of Europe's biggest transportation groups, and UAB Rhenus Logistics covers the group's operations in the Baltics and Belarus.

Vingės Terminalas | Logistics

Company name: BSP Logistic Property 2 Tenant: Vingės Terminalas GLA: 21 929 m2 Maturity lease contract: 2038

Plassering: Highway A3, Vilnius, Lithuania

The property is strategically located along the highway between Vilnius og Minsk in Belarus.

Vingės Terminalas is a local logistics company within the the Vingės Logistics Group, operating within export, transit, order processing and goods transport. The company has a wide spectre of clients in Europe and Russia.

Girteka | Logistics

Company name: BSP Logistic Property Tenant: Girteka Logistics GLA: 17 149 m2 Maturity lease contract: 2026

Location: Highway A3, Vilnius, Lithuania

The property is leased by Girteka Logistics, one of Europe's leading transportation companies, strategically located by Vilnius International Airport.

The property has a land area of 42 907 m2 with 11 458 m2 storage, 2 014 m2 frozen storage, 3 348 m2 cold storage and 1 134 m2 office.

Delamode | Logistics

Company name: BSP Logistic Property 5 Tenant: Delamode Baltics GLA: 8 329 m2 Maturity lease contract: 2033

Location: Highway A1, Vilnius, Lithuania

The property was finalized in August 2020 and is currently leased by Delamode Baltics, a dynamic supplier of freight forwarding-solutions to the global market.

In July 2021, BSP signed an agreement with Delamode to expand the facility with approximately 4 780 m2 (expected handover during the summer of 2022).

Oribalt | Logistics

Company name: BSP Logistic Property 6 Tenant: Oribalt GLA: 6 807 m2 Maturity lease contract: 2035

Location: Highway A1, Vilnius, Lithuania

The property was finalized in August 2020 and is currently leased by Oribalt.

The parties have agreed on an expansion project of approximately 2 800 sqm. Upon completion (est. Q3 2023), the terminal will be approx. 9 600 sqm.

Oribalt offers a wide spectre of logistics solutions for pharmaceutical producers , including storage, distribution, transportation and direct delivery.

Klaipėda Business Park (KVP) | Business park

Company name: Klaipėdos verslo parkas Tenants: Multiple (27) Location: Klaipeda, Lithuania GLA: 24 500 m2 Maturity lease contracts: 2022-2035

Klaipeda Business Park (KVP) offers its tenants industrial, commercial and office spaces within the Free Economic Zone of Klaipeda.

The property was acquired by BSP in April 2021.

RP 1/RP 5 | Retail portfolio

Location: Lithuania GLA: 4 358 m2 Maturity lease contract: 2022 - 2034

Company name: BSP Retail Properties 1 BSP Retail Properties 5

DPD | Development

Tenant: DPD GLA: Apx. 4 000 m2 Maturity lease contract: 2037 Handover: Q3 2022 Status: Under construction

Company name: BSP Logistic Property 7 BSP Logistic Property 8 Location: Šiauliai & Telšiai, Lithuania

Land bank | Development

Type: Land plots for development Locations: Vilnius and Klaipėda, Lithuania Areal: 17.9 hectare Zoning: Commercial Project: Technical project

Strategically located land plots along strategic road networks near Vilnius and Klaipėda.

Liepų Parkas (3.6 hectare) Liepų Street, Klaipėda

By Oribalt terminal (6.9 hectare) Highway A1, Vilnius

By Rhenus terminal reserved for expansion (4.1 hectare) Highway A4, Vilnius

Old Town | Vilnius

Rhenus Logistics terminal | Highway A4, Vilnius

Euronext Growth Oslo

Baltic Sea Properties AS has since 2017 been listed for trading on Merkur Market/Euronext Growth Oslo, a MTF under Oslo Stock Exchange.

Since Euronext's acquisition of Oslo Stock Exchange in June 2019, trading at Euronext Growth Oslo has been migrated to Euronext's trading system Optiq. The trading system gives all trading on

Euronext marketplaces in Europe access to trading on the marketplaces under Oslo Stock Exchange. Pricing data is available on live.euronext.com were trades are updateed in real-time.

Euronext Growth Oslo is subject to Euronext's rulebook regime.

On Monday the 30th of November 2020 most pages on oslobors.no were moved to Euronext's website.

For more information, please refer to the following links:

English: https://www.oslobors.no/ob_eng/Oslo-Boers/ About-Oslo-Boers/Web-pages-has-been-moved-to-Euronext

Norwegian: https://www.oslobors.no/Oslo-Boers/Om-Oslo-Boers/Nettsider-flyttes-til-Euronext

Useful info:

As Baltic Sea Properties (ticker: BALT) is listed for trading on Euronext Growth Oslo, the share may be traded through different channels. You may for instance place purchase or sales orders on different online trading platforms.

Contact your custodian, stock broker or bank for more information.

Contact

Lars Christian Berger

CEO [email protected]

+47 930 94 319

James Andrew Clarke

CIO & Chairman [email protected]

+370 612 37 515

Oslo

Apotekergata 10 0180 Oslo

Norway

Klaipėda

Pramones str. 8A LT-94102 Klaipėda

Lithuania

Sigitas Jautakis

Vilnius Director [email protected]

+370 652 47 287

Vilnius

Didzioiji str. 10A-29 LT-01128 Vilnius

Lithuania

www.balticsea.no

Baltic Sea Properties at the EUROPEAN REAL ESTATE BRAND AWARDS

"Strongest Brand Baltics Developers logistics"

1st place 2020 1st place 2021

www.balticsea.no

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