risques financiers

• decreasing property values
• lower rental income

• residential properties
• stable countries
• growing metropolitan cities
• attractive locations

• liquidity
• leverage
• interest payments

• stable income supports interest payments
• stable property values stabilize leverage
• attractive properties in liquid property markets support liquidity
• lenders prefer stable assets

mitigate liquidity and re-financing risks

Akelius has a policy to mitigate liquidity and re-financing risks.

• a liquidity of at least EUR 500 million
• liquidity sources larger than liquidity uses

Akelius prioritizes long-term loans to mitigate
re-financing risks. 
The average debt maturity is 2.9 years.
Short-term loans amount to 40 percent of total loans.

loan-to-value sensitivity

Akelius' policy is to be able to withstand a 25 percent decrease in property values.
Such a decrease would increase loan-to-value from 35 to 50 percent.

Akelius' bond terms stipulate that the company cannot take on additional debt or pay any net dividends if the loan-to-value exceeds sixty percent. 

interest coverage sensitivity

Akelius' policy is to be able to withstand a five percentage point increase in interest rates. 
Akelius secures interest rates for long periods. 
This reduces the effect of sudden interest rate increases.

Akelius' bond terms stipulate that the company cannot take on additional debt or pay any net dividends if the interest coverage ratio is below 1.5.

The risk for not being able to pay interest is mitigated by high liquidity and low leverage.

In the period July 2022 to September 2023, net interest expenses were positive, hence interest coverage ratio can not be calculated.

property fair value sensitivity

To mitigate negative effects of the change in capitalization rate,
property holdings are diversified across countries.

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