Star Residence Invest sells assets from its portfolio

Star Residence Invest (REIT), a company established as a real estate investment vehicle aimed at distributing dividends obtained from rentals, concluded last week two transactions for the sale of assets in its portfolio, namely an apartment and three parking lots, the total price being 184,758 euros plus VAT under the reverse charge regime, according to a company report published on the website of the Bucharest Stock Exchange (BVB).

"We will continue the steps to capitalize on the real estate assets owned, seeking to identify the best solutions in this regard," the report states.

In mid-August, the company announced that it was in the process of liquidating its assets, as it does not record income from the rental of the properties it owns. In September last year, RCTI Company had unilaterally terminated the rental contract for the 14 apartments and 26 parking lots in the Star Residence Invest portfolio.

At the end of July and the beginning of August, Star Residence Invest concluded five hunting transactions for assets in its portfolio, namely four apartments and seven parking lots, the total price being 733,000 euros, VAT included.

For the first six months, Star Residence Invest reported revenues of about 93,000 lei, well below the 612,000 lei in the first half of last year and a loss of almost 66,200 lei, compared to a profit of 376,000 lei, in the period January-June 2023. For this year, Star Residence Invest budgeted revenues from the sale of real estate of about six million lei and a net profit of 1.7 million lei.

At the middle of the year, Momentum Capital from Bucharest had 35.7% of the company while Ion-Gheorghe Manea owned almost 20% of Star Residence Invest, a company whose stock market valuation is about nine million lei.