Luxembourg-based commercial real estate group Aroundtown SA reported first-half 2026 results on Monday, highlighting stable net rental income of €591 million and a 4% year-over-year decline in Funds from Operations I to €144 million.
The company attributed the FFO I decrease primarily to higher financing costs, partially offset by an increased stake in Grand City Properties and lower perpetual note coupons. Like-for-like rental growth of 2.7% helped mitigate the impact of asset disposals, which totaled €350 million during the period.
Aroundtown’s adjusted EBITDA remained flat at €500 million, while period profit reached €218 million. Basic and diluted earnings per share were €0.08, matching the dividend declared for the first half of 2026. The company also confirmed its full-year 2026 guidance.
Shareholders approved a €0.08 per share dividend at the annual general meeting on June 24, 2026, with payment made on July 6, 2026. This marked the first dividend since 2022.
Aroundtown increased its stake in Grand City Properties from 62.5% to 84% year-to-date through a voluntary exchange offer and subsequent market purchases. Portfolio valuations remained stable following a full external revaluation, with EPRA net tangible assets at €9.1 billion, or €8.0 per share, a 3% increase from December 2025.
The group’s loan-to-value ratio rose to 43% as of June 2026 from 41% at the end of 2025. Debt management included €550 million in new bond issuance and €475 million in amortization during the first half, bringing year-to-date gross issuance to €1.6 billion and amortization to €2.3 billion.
Aroundtown’s commercial real estate portfolio continues to reflect disciplined capital allocation amid a stable operating environment.
