Kojamo’s investor newsletter is primarily published after an Interim Report and the subsequent roadshow, before the beginning of the silent period. The purpose of the newsletter is to discuss topical issues and themes related to Kojamo as an investment that are relevant for investors. It does not contain new, unpublished information. The newsletter is available on Kojamo’s investor pages and can be subscribed to the e-mail.
Q1/2024
The Interim Report for January-March 2024 was published on 8 May 2024.
The publications, webcast recording from the results news conference as well as transcript of the event are available at Kojamo’s Investors website.
Roadshows and investor meetings
We met investors in May-June via seminars and conference calls. In May, we participated in Van Lanschot Kempen’s European Real Estate Seminar in Amsterdam, and we met with an investor group in Helsinki as a part of their ABG Sundal Collier’s Nordic Property Tour.
The demand and supply situation in the Finnish rental market has been discussed a lot. There is still a lot of supply in the market, although the number of residential start-ups has been at a record low for a longer time while population growth has continued to be strong in the growth centres. Previously started projects have still been completed this year, so the supply of rental apartments has remained high. The normal seasonality of renting has been evident this year as well, and the demand for rental apartments is expected to pick up in the summer.
Several investors have asked if we already consider starting new development projects or acquisitions. We have emphasised that the most important thing for us now is to keep the company’s financial situation strong and, in accordance with the saving programme, we will not start new investments yet. The decision to start new development projects is impacted by several factors such as the construction costs, financing costs and the expectations on future rent increase opportunities. Our last ongoing project was just completed at the end of June. The transaction market has remained very quiet, but the general sentiment has improved. A couple of smaller portfolios have been up for sale, but the volumes have been muted so far. We are not in a hurry to start buying new properties as we believe that there will be good buying opportunities later.
We have also discussed the price of new financing and our future financing needs. After the financial arrangements made at the beginning of the year, our liquidity situation has been good. The bond market has been active this year, and the prices of bonds in the real estate sector have tightened. The pricing of our bonds has also dropped significantly, close to the price of bank financing. In the future, we want to return to the bond market, and therefore, we see the development in the early part of the year as a very positive thing for the company. The refinancing needs for this and next year have been covered, and we don’t have to make new financing at this moment.
Other topics
We continue our work to reduce the carbon footprint together with the residents. In April, we announced that our annual carbon dioxide emissions reduction target per apartment has been four per cent previously, and, as of 2024, is five per cent. The carbon footprint per apartment decreased by up to 16.9% in 2023 compared to the previous year, being 0.8 tCO2e per apartment. All Lumo buildings have used carbon-neutral property electricity for several years. We will continue to develop the energy efficiency of our properties and increase the share of renewable energy – and we want to involve also residents in climate action.
In May, we took yet another significant step towards a sustainable future by entering into a strategic cooperation agreement with EG, a leader in energy management. Thanks to the analytics of EG’s energy management solution, we can more easily identify savings measures that are significant for both business and sustainable development.
We told in June that nearly 41,000 apartment seekers have found suitable homes in the Lumo webstore. Up to 100 per cent of webstore renters recommend the service to others as well. Our webstore was launched in its original form in 2015, and it has been popular for several years due to its clarity and ease of use. Statistics show that customers who have utilised of the newest features of our webstore rent an apartment from us more often than others.
We develop our operations by listening to our residents’ wishes. Lumo homes have had smoke-free buildings since 2017, but from June 2024 onwards, all new tenancy agreements will be smoke-free.
Future events
Kojamo’s silent period starts on Tuesday, 16 July 2024, and the Half-Year Report for January-June 2024 will be published on Thursday, 15 August 2024. You can find information about future events and roadshows in Kojamo’s investor calendar.
Niina Saarto, Director, Treasury & Investor Relations, Kojamo plc, tel. 020 508 3283, niina.saarto@kojamo.fi
Kojamo is Finland’s largest private residential real estate company and one of the biggest investors in Finland. Our mission is to create better urban housing. Lumo offers environmentally friendly housing and services for the city dweller who appreciates quality and effortlessness. We actively develop the value of our investment properties by developing new properties and our existing property portfolio. We want to be the property market frontrunner and the number one choice for our customers. Kojamo’s shares are listed on the official list of Nasdaq Helsinki. For more information, please visit https://kojamo.fi/en/