Unibail Rodamco: UBS worried about sector in France
(CercleFinance.com) - In a report on real estate companies specialising in commercial property, UBS takes a particular look at the sector giant Unibail Rodamco.
While analysts predict the shopping centre vacancy rate to nearly double in France in five years, the broker sticks to its neutral rating and target price of 215 euros.
According to UBS, France will be hit by the phenomenon of "dead malls": "We forecast vacancy will reach new highs in France, the European shopping centre REITs' largest market," the Anglo-Saxon equivalent of French SIIC stocks, a research report laments.
In this respect, it is often accepted that France enjoys good ratios: between 4,000 euros and 7,000 euros of revenues per square metre, "a high level in the current context," and a "modest" density of 277 euros per square metre for 1,000 inhabitants, UBS says, quoting C&W.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
While analysts predict the shopping centre vacancy rate to nearly double in France in five years, the broker sticks to its neutral rating and target price of 215 euros.
According to UBS, France will be hit by the phenomenon of "dead malls": "We forecast vacancy will reach new highs in France, the European shopping centre REITs' largest market," the Anglo-Saxon equivalent of French SIIC stocks, a research report laments.
In this respect, it is often accepted that France enjoys good ratios: between 4,000 euros and 7,000 euros of revenues per square metre, "a high level in the current context," and a "modest" density of 277 euros per square metre for 1,000 inhabitants, UBS says, quoting C&W.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.