DJ Grand City Properties S.A. announces 9M 2026 strong operational results with increased guidance for FY 2026
Grand City Properties S.A. (N/A)
Grand City Properties S.A. announces 9M 2026 strong operational results with increased guidance for FY 2026
11-Nov-2026 / 06:45 CET/CEST
The issuer is solely responsible for the content of this announcement.
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THIS ANNOUNCEMENT IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED
STATES, CANADA, AUSTRALIA, JAPAN, SOUTH AFRICA OR ANY OTHER JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF
APPLICABLE LAWS OR REGULATIONS
GRAND CITY PROPERTIES S.A. ANNOUNCES 9M 2026 STRONG OPERATIONAL RESULTS WITH INCREASED GUIDANCE FOR FY 2026
-- Net rental income for 9M 2026 amounted to EUR331 million, increasing by 4% compared to EUR320 million in 9M
2025.
-- Strong like-for-like rental growth continued at 3.3% as of September 2026. Vacancy remains low at 3.6%.
-- Adjusted EBITDA in the amount of EUR265 million in 9M 2026, higher by 4% from EUR253 million in 9M 2025.
-- FFO I totalled EUR136 million in 9M 2026, lower by 4% compared to EUR141 million in 9M 2025. FFO I per share
amounted to EUR0.77 per share in 9M 2026, compared to EUR0.80 in 9M 2025.
-- Profit for the period amounted to EUR182 million, with basic earnings per share of EUR0.69, compared to EUR410
million and EUR1.84 in 9M 2025, which benefited from higher revaluation gains and one-off deferred tax income.
-- In 9M 2026 GCP completed acquisitions of ca. EUR200 million, mainly new build in London as well as a stable
portfolio in Germany, and disposals of EUR39 million, comprising mainly condominiums and properties in non-core
locations.
-- As of September 2026, the LTV ratio amounts to 34%, ICR ratio amounts to 4.7x, and EUR7.0 billion in
unencumbered assets, amounting to 74% of total portfolio value.
-- GCP continues to maintain a strong liquidity position of EUR613 million as of September 2026, further
supported by EUR215 million of undrawn revolving credit facilities and an undrawn 2-year EUR600 million bridge loan
facility signed after the reporting period in connection with the financial investment in LEG. 2027 debt maturities
remain fully covered, with the next refinancing needs only in 2028.
-- EPRA NTA amounted to EUR4.6 billion, or EUR26.0 per share, as of September 2026, up 2% compared to EUR25.6 per
share as of December 2025.
-- After the reporting period, GCP acquired a 20.04% stake in LEG Immobilien SE, a highly accretive
financial investment expected to deliver ca. 30% annualized FFO I accretion on a pro-rata basis after financing
costs, with the Company maintaining strong liquidity and conservative financial profile. Following the LEG
transaction, S&P has affirmed both the group and standalone credit rating.
-- FY 2026 FFO I guidance increased to a range of EUR185 million to EUR195 million (previously EUR175 million to
EUR185 million), or EUR1.05 to EUR1.11 per share, supported by the financial investment in LEG. The full year impact of
the LEG transaction to be seen in 2027.
Luxembourg, November 11, 2026 - Grand City Properties S.A. ("GCP" or the "Company") announces its results for the
nine-month period of 2026 (9M 2026), underpinned by continued strong operational performance. GCP reported net rental
income of EUR331 million, a 4% increase compared with EUR320 million in 9M 2025, supported by like-for-like rental growth
of 3.3%. Adjusted EBITDA increased by 4% to EUR265 million, reflecting higher net rental income while net operating
expenses remained broadly stable. FFO I amounted to EUR136 million, a decrease of 4% year-on-year, mainly resulting from
higher finance expenses, an increased perpetual notes attribution and a higher minority contribution. FFO I per share
amounted to EUR0.77, compared to EUR0.80 in 9M 2025.
Profit for the period amounted to EUR182 million, with basic earnings per share of EUR0.69, compared to EUR410 million and
EUR1.84 in 9M 2025. The decrease was mainly attributable to lower revaluation gains in H1 2026 compared to H1 2025, and
to the one-off deferred tax income recorded in Q3 2025. The Company did not revalue its portfolio in Q3 2026, and a
full revaluation will be conducted as part of the FY 2026 results.
In 9M 2026, GCP continued to execute on its capital recycling strategy, completing acquisitions of ca. EUR200 million,
mainly in London and Germany, and disposals of EUR39 million, comprising mainly condominiums and properties in non-core
locations. The disposals were completed at a 13% premium to book value and 36% margin over total costs including capex.
As of September 2026, the Company's liquidity position stood at EUR613 million in cash and liquid assets, complemented by
EUR215 million of undrawn revolving credit facilities. After the reporting period, the Company issued a EUR500 million
short-term bond and signed a 2-year EUR600 million bridge loan in connection with the LEG transaction. The Company's
existing liquidity covers its debt maturities into 2028. The Company's financial profile remained conservative, with an
LTV of 34%, compared to 31% as of December 2025, an interest coverage ratio of 4.7x, and EUR7.0 billion in unencumbered
assets, representing 74% of the total portfolio. The average cost of debt was 2.2%, with an average debt maturity of
4.1 years (4.8 years excluding debt covered by cash and liquid assets), and a hedging ratio of 94%.
Supported by the highly accretive investment in LEG, the Company increased its FY 2026 FFO I guidance by EUR10 million to
a range of EUR185 million to EUR195 million or EUR1.05 to EUR1.11 per share. The updated guidance includes the timing impact of
the transaction, with the first full-year impact expected in 2027.
ACQUISITION OF 20.04% STAKE IN LEG IMMOBILIEN SE
On October 20, 2026, GCP announced the acquisition of a 20.04% shareholding in LEG Immobilien SE ("LEG"), one of
Germany's largest residential real estate companies, with a portfolio concentrated in attractive German markets and a
focus on North Rhine-Westphalia. GCP regards the shareholding as a financial investment and views it as the best use of
capital in the current market environment, as the investment is expected to deliver ca. 30% annualized FFO I accretion
on a pro-rata basis after financing costs. Through the stake, GCP gains an indirect share of ca. EUR4 billion in LEG's
ca. EUR20 billion portfolio, increasing its exposure to markets in which it has longstanding operating experience and
deep local knowledge, primarily in North Rhine-Westphalia. GCP may, at its discretion, opportunistically increase its
stake up to 29.9% of LEG Immobilien's shares, use its right to reduce its shareholding significantly in a very short
term or sell all or part of its investment, at any time, depending on market conditions.
GCP's robust financial position and over EUR900 million disposals over the years 2023-2025 allowed it to fund the
accretive investment with its strong balance sheet, having a limited impact on leverage, with the LTV remaining well
below the Board's 45% guidance, while the Company ensures strong liquidity. In connection with LEG transaction, S&P has
affirmed both GCP's group and standalone credit ratings. As the transaction primarily occurred after the reporting
period, further information on the transaction will be provided as part of the FY 2026 report.
Refael Zamir, CEO of Grand City Properties: "The first nine months of 2026 demonstrate the strength of our business
model and our ability to create value across different market environments. Continued like-for-like rental growth and
strong operational execution are complemented by disciplined capital allocation, including our highly accretive
investment in LEG. We expect these drivers will translate into strong FFO growth in the coming periods, while we
continue to protect our liquidity, financial flexibility and credit profile."
Financial Statements for 9M 2026 are available on the Company's website: https://www.grandcityproperties.com/
investor-relations/publications/financial-reports/
For definitions of the alternative performance measures please see the relevant section in pages 32-36 of the financial
statements for 9M 2026, which you can find on the website under investor relations > publications > financial reports
or follow this link:
https://www.grandcityproperties.com/grandcityproperties.com/Data_Objects/Downloads/Financial_Reports/Q3_2026_Financials
/GCP_Q3_2026.pdf
About the Company
The Company is a specialist in residential real estate, value-add opportunities in densely populated areas primarily in
Germany and London. The Company's strategy is to improve its properties by repositioning and intensive tenant
management, and then create value by subsequently raising occupancy and rental levels. Further information:
www.grandcityproperties.com
Grand City Properties S.A. (ISIN: LU0775917882) is a public limited liability company (société anonyme) incorporated
under the laws of the Grand Duchy of Luxembourg, having its registered office at 37, Boulevard Joseph II, L-1840
Luxembourg, Grand Duchy of Luxembourg and being registered with the Luxembourg trade and companies register (Registre
de Commerce et des Sociétés Luxembourg) under number B 165 560. The shares of the Company are listed on the Prime
Standard segment of Frankfurt Stock Exchange.
Contact:
Grand City Properties S.A.
37, Boulevard Joseph II,
L-1840 Luxembourg
T: +352 28 77 87 86
E: info@grandcity.lu
www.grandcityproperties.com
Investor Relations Team:
Grand City Properties S.A.
E: gcp-ir@grandcity.lu
DISCLAIMER:
THIS ANNOUNCEMENT DOES NOT CONSTITUTE AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY ANY SECURITIES.
THE SECURITIES MENTIONED IN THIS ANNOUNCEMENT HAVE NOT BEEN, AND WILL NOT BE, REGISTERED UNDER THE UNITED STATES
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