Poland Capitalising on the owner's market

The news that you are selling apartments across nine of your properties in Poland, suggests that you are gradually pulling out of the PRS sector. Why do you no longer wish to concentrate on apartment rental?

We still do so, as only a part of our total portfolio is identified as potential privatisations. As any real estate company, both investments and divestments are natural components. We have expanded our divestment strategy to include selling individual homes in the private market, which is a permanent part of our long-term business model. Our privatisation plan is a financial strategy designed to capitalise on attractive owners’ markets, delivering a premium to book value upon sale.

Is PRS still a high growth sector in Poland and across Europe?

PRS is still an attractive segment across European markets. We believe that growth improves our operational efficiency and quality. But we want to do it as the right opportunities arise in terms of assets and locations. We only want to grow to the extent that we can do it with financial support to maintain our credit metrics.

How long will it take to reposition your business?

The privatisation of our Polish portfolio will be a multi-year process, aligned with Heimstaden’s strategy across Europe. We will manage our portfolio optimally by selling units while maintaining the highest service standards for current tenants.