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 It does not contain new, unpublished information.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.
H1/2024
The Half-Year Financial Report for January-June 2024 was published on 15 August 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 have met investors in August-September via meetings and conference calls. In September, we also attended DNB Nordic Real Estate & Construction conference in Oslo and Goldman Sachs European Real Estate Equity and Debt Conference in London.
The main topic of discussion has been the balancing of the demand and supply situation in the Finnish rental market. At the beginning of the year, we expected the oversupply of apartments start to decrease which is why we made higher rent increases than in previous years. However, the turn in the supply situation was delayed when many new apartments were completed on the market in the early part of the year. We have said that since the summer, we have continued with more moderate rent increases as the competitive situation is still intense. Renting in the summer months was brisk as in previous years, and the number of rental ads on the market has decreased. Expectations for the correction of the oversupply situation in the longer term have not changed, because the number of new residential start-ups is at a record low and the population of the Helsinki region in particular is growing.
The number of transactions made in the market has still been low. However, the market sentiment has improved, and the yield requirements appear to have stabilized. The transactions made in the beginning of the year were taken into account in our latest valuation, even though some of the transactions were not directly comparable with our portfolio. Investors’ interest in the Finnish housing market seems to have increased, and the decline in interest rates supports the recovery of the transaction market.
Our financial situation has remained strong, and the loans maturing in 2024 and 2025 have already been covered. Our next financing need is for loans maturing in 2026. Activity in the bond market has remained very strong, and interest in the real estate sector has increased. The cost of bond financing has continued to decrease, and the indications we have received suggest that it is competitive with bank financing. Our goal is that the next financing arrangement will be an unsecured bond.
Other topics
We published the dates for our financial reporting and Annual General Meeting for 2025.
In September, we also published the composition of our Shareholders’ Nomination Board which consists of Christian Fladeland, Co-CEO, Heimstaden AB, Jouko Pölönen, CEO, Ilmarinen Mutual Pension Insurance Company, and Risto Murto, CEO, Varma Mutual Pension Insurance Company.
Our brand Lumo homes turned 10 years old. Lumo homes was established to provide new-age services for rental living. From the beginning, the goal has been to make living in Lumo easy and effortless as well as to be the number choice for our customers.
EPRA awarded Kojamo’s Financial Statements and Sustainability Report with a gold award.
As part of Kojamo’s sustainability programme and sponsorship and grants programme, we launched the autumn grant application. The Lumo homes has supported children’s and youth’s hobbies since 2012. We also launched the application for Lumo sponsorship programme which supports top Finnish sports at individual and team level.
Lumo homes automated key management of 2,200 apartments in Oulu. Digitalised key management has made the collection and return of keys smoother than before. The key management service has received praise from the Lumo residents.
Future events
Kojamo’s silent period starts on Tuesday, 8 October 2024, and the Interim Report for January-September 2024 will be published on Thursday, 7 November 2024. You can find information about future events and roadshows in Kojamo’s investor calendar.
Niina Saarto, Director, Treasury & Investor Relations, Kojamo plc, tel. +358 20 508 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/