The net asset value (NAV) of Baltic Horizon Fund (the Fund) unit at the end of December 2022 amounted to EUR 1.1172 per unit. Compared to the previous month, NAV per unit decreased by -2.1%. The total net asset value of the Fund amounted to EUR 133.7 million over the month. The NAV decrease was mainly affected by the year-end revaluation of investment properties and the sale of Europa SC parking. The EPRA NRV as of 31 December 2022 was EUR 1.1865 per unit, corresponding to a decrease of -2.6% over the last month.
At the end of December 2022, new portfolio valuations were conducted by an independent real estate appraiser Colliers. As of 31 December 2022, the fair value of the Baltic Horizon Fund portfolio decreased slightly to EUR 333.1 million (30 June 2022: 335.6 million). Compared to the previous valuations, the change in portfolio value was mainly driven by cash flow assumptions associated with high inflation across Europe and due to upward adjustments of the discount rates. The summary of property valuations will be published on the Fund`s webpage. More information will be provided in the quarterly report.
Unaudited consolidated net rental income for December 2022 amounted to EUR 1.5 million (EUR 1.4 million in November 2022). The positive change in property performance was mainly impacted by the turnover rent recognition and increased expense recharges to tenants. The Fund recognized an unaudited consolidated net loss of EUR 3.3 million in December 2022. For the entire year of 2022, the Fund achieved an unaudited consolidated net profit of EUR 4.0 million (2021: net profit of EUR 1.4 million).
At the end of December 2022, the Fund’s consolidated cash and cash equivalents amounted to EUR 5.3 million (31 December 2021: EUR 16.1 million). The Fund has invested an additional EUR 0.4 million into the ongoing refurbishment of Galerija Centrs Food hall. Operational costs are fully covered by cash flows generated by rental activities.
As of 31 December 2022, the total consolidated assets of the Fund were EUR 344.0 million (31 December 2021: EUR 346.3 million).
