In 2024, CTP delivered 1,286,000 sqm at a Yield on Cost (“YoC”) of 10.1% with 92% let at completion, bringing the Group’s standing portfolio to 13.3 million sqm of GLA, while the Gross Asset Value (“GAV”) increased by 17.2% to €16.0 billion. EPRA NTA per share increased by 13.6% to €18.08.
Company specific adjusted EPRA earnings increased by 12.5% y-o-y to €364.0 million. CTP’s Company-specific adjusted EPRA EPS amounted to €0.80, an increase of 9.9%, in line with guidance. The Group sets a €0.86 – €0.88 Company-specific adjusted EPRA EPS guidance for 2025.
As at 31 December 2024, projects under construction totalled 1.8 million sqm, with a potential rental income of €142 million when fully leased and an expected YoC of 10.3%.
The Group’s landbank increased to 26.4 million sqm, of which 21.7 million sqm is owned and on-balance sheet. This landbank secures substantial future growth potential for CTP, mostly around the existing business parks. Combined with its industry-leading YoC, CTP expects to continue to generate double-digit NTA growth in the years to come.
During 2024, CTP also successfully completed its first accelerated bookbuild – several times oversubscribed – after the IPO, raising €300 million of equity, giving the firepower to accelerate developments and do acquisitions, like the 830,000 sqm brownfield redevelopment down-town Dusseldorf.
Remon Vos, CEO, comments:
“We leased a record 2.1 million sqm in 2024, 7% more than last year. This illustrated the continued strong demand in CEE and the robust growth potential of the business-smart region in Europe. As the supply–demand balance remains healthy, we realised robust rental growth in the year. Looking ahead, we also signed more HoTs than last year and with that we have a strong lead-list for leasing into 2025. Those leasing levels allow us to continue to develop over 10% of new GLA per year and continue to win market-share across CEE.
The annualised rental income amounted to €743 million, illustrating the strong cash flow generation of our standing portfolio with a rent collection rate of 99.8%. While the next growth phase is already locked in with our 1.8 million sqm of GLA under construction and a landbank of over 26.4 million sqm, we will continue to generate double-digit NTA growth. In addition to the pre-letting for the current pipeline, we have another 80,000 sqm of leases signed for future projects, which we plan to start shortly.
Demand for industrial and logistics real estate in the CEE region is driven by structural demand drivers, such as the professionalisation of supply chains by 3PLs, ongoing growth in e-commerce, and occupiers nearshoring and friend-shoring. As the CEE region offers the best-cost location in Europe, we benefit particularly from the nearshoring trend, which is shown by the growth with Asian manufacturing tenants producing in Europe for Europe, who made up around 20% of our overall leasing activity in 2024, compared to a 10% share of our overall portfolio.”
Continued strong tenant demand drives rental growth
During 2024, CTP signed leases for 2,113,000 sqm, an increase of 7% compared to 2023, with contracted annual rental income of €144.0 million, and an average monthly rent per sqm of €5.68 (2023: €5.69). Adjusting for the differences among the country mix, rents increased on average by 3%.
Around two-thirds of leases signed were with existing tenants, in line with CTP’s business model of growing with existing tenants in existing parks.
Cashflow generation through standing portfolio and acquisitions
CTP’s average market share in the Czech Republic, Romania, Hungary, and Slovakia increased to 28.8% as at 31 December 2024 and it remains the largest owner and developer of industrial and logistics real estate assets in those markets. The Group is also the market leader in Serbia and Bulgaria.
With nearly 1,500 clients, CTP has a wide and diversified international tenant base, consisting of blue-chip companies with strong credit ratings. CTP’s tenants represent a broad range of industries, including manufacturing, high-tech/IT, automotive, e-commerce, retail, wholesale, and third-party logistics. The tenant base is highly diversified, with no single tenant accounting for more than 2.5% of the Company’s annual rent roll, which leads to a stable income stream. CTP’s top 50 tenants only account for 35.2% of its rent roll and most rent space in multiple CTParks.
