Assets under management
Assets under management is defined as the net asset value of the funds, as per the chosen valuation principles of the funds, that Bouwinvest manages as investment manager.
Capital growth
Capital growth as a percentage is equal to the net result (INREV) less the distributable result, divided by the INREV NAV at the beginning of the period, plus any capital calls (time-weighted) and less any distributed dividends/capital distributions (time-weighted).
Direct property return
Direct property return as a percentage is equal to the net rental income of investment properties divided by the value of the investment properties, including purchaser’s transaction costs, on a monthly basis (IPD methodology).
Distributable result
Distributable result is the total rental income and other income net of all expenses, costs, fees (including management fee), financing costs and taxes borne by the Fund available for distribution to the shareholders.
Estimated rental value
The estimated rent at which space within a property could reasonably be expected to be let given current market conditions.
Financial occupancy rate
This is the average occupancy rate of the portfolio over the year calculated on the basis of rental revenue according to contracts as at the reporting date, as a percentage of the theoretical rent.
Gross Asset Value (GAV)
The total property portfolio plus the value of any further assets at market value as per the chosen valuation principles.
Gross initial yield (passing)
Passing rent divided by the gross capital value of the investment property including purchaser's transaction costs as per end of period.
Gross initial yield (market)
Theoretical rent (market) divided by the gross capital value of the investment property including purchaser's transaction costs as per end of period.
Gross rental income
The gross rental income is the total contractual rental income over the reporting period from let properties reported under IFRS, including the net effects of straight-lining for lease incentives, including rent-free periods.
Income return
Income return as a percentage is equal to the distributable result, divided by the INREV NAV at the beginning of the period, plus any capital calls (time-weighted) and less any distributed dividends/capital distributions (time-weighted).
Indirect property return
Indirect property return as a percentage is equal to the increase/decrease in the value of a property or group of properties net of capital expenditure divided by the value of the investment properties including purchaser’s transaction costs, on a monthly basis (IPD methodology).
INREV NAV
INREV NAV is based on the fair value of the underlying assets and liabilities, as at the financial position date, and adjusted for the spreading of costs that will benefit different generations of investors.
Investment property
Property that is fully operational on the reporting date
Investment property under construction
Property that is being built or developed for future use as investment property.
Lease incentive
Any consideration or expense borne by the property company, in order to secure a lease.
Like-for-like gross rental income
Like-for-like gross rental income compares the increase/decrease of the gross rental income of the portfolio that has been consistently in operation, during two full preceding periods that are described.
Net asset value (NAV)
The net asset value is equal to the shareholders’ equity of the Fund.
Net initial yield
Net rental income divided by the gross capital value of the investment property including purchaser's transaction costs as per end of period.
Net rental income
Net rental income is gross rental income for the period less ground rents payable, service charge expenses and other non-recoverable property operating expenses such as insurance, real estate taxes, marketing and other vacant property costs.
Passing rent
The annualised cash rental income being received as at a certain date, excluding the net effects of straight-lining for lease incentives. For the avoidance of doubt, where no rent is currently being paid due to operation of a rent-free period, the passing rent will be shown as zero.
Pay-out ratio of distributable earnings
This is the distributed dividend in the reporting period divided by the distributable result in the reporting period.
Real Estate Expense Ratio (REER)
Annual vehicle-level and property-specific costs over a 12-month period as a proportion of average vehicle assets (average GAV and average NAV).
Theoretical rent
Passing rent over the reporting period plus estimated rental value of vacant units.
Total Expense Ratio (TER)
The total expense ratio reflects the total fund expenses of the current reporting period as a percentage of the weighted average Net Asset Value (NAV) over the period. The TER is backward looking and includes the management fee, administrative expenses and valuation fees.
Total fund return (INREV)
Total fund return (INREV) as a percentage is equal to the net result (INREV) divided by the INREV NAV at the beginning of the period, plus any capital calls (time-weighted) and less any distributed dividends/capital distributions (time-weighted).
Transactions
Transactions are contractual obligations for the purchase of investment properties, where such property is not generating income for the benefit of the Fund as of the reporting date.