Good result for PHN

The company’s leasing revenue for 2016 came to PLN 153.5 mln up by 20.5 pct from PLN 127.4 mln in 2015. The adjusted EBITDA was PLN 50.3 mln, up by 55.7 pct y-o-y. Operating costs came to PLN 31.1 mln, compared to PLN 38.4 mln in 2015. “Given that 2016 was a difficult year for the commercial property business, particularly in regard to the continuing oversupply on the market and the massive downward pressure on rents, we are more than happy with our improved financial results. The result of our work is also a decreasing vacancy rate in our buildings, which fell by over 20 pct for the properties in our portfolio in comparison to 2015,” commented Maciej Jankiewicz, the CEO of Polski Holding Nieruchomości. In 2016, PHN Capital Group bought one of the buildings in the Alchemia complex in Gdańsk on al. Grunwaldzka and gained a number of tenants including Operator Logistyczny Paliw Płynnych, PERN, City Security and Falck Medycyna. In July 2016, PHN signed a letter of intent with KGHM TFI to jointly develop a project in the centre of Wrocław: two office buildings with retail and service space with a total leasable area of 33,000 sqm. Last October the Office of Competition and Consumer Protection [UOKiK] approved the formation of the joint venture company.

Last year also saw an agreement signed between PHN and Enea for the purchase of electricity for all PHN properties. The contract covers a period of over three years until December 31st 2019 and PHN estimates that it will save around PLN 5.5 mln as a result of the deal.
In December 2016 PHN was granted a final building permit for the luxury Yacht Park residential complex in Gdynia. A modern marina and a pedestrian walkway with boutiques and restaurants is also to be constructed as part of the project. The construction works is to start this year and project completion is planned in 2019.