The real estate group Grand City Properties has returned to profit at the start of the year.

The Group reported a profit of 44 million euros in the first quarter, partly thanks to rent increases, as the Group announced on Thursday. In the previous year, a loss of twelve million euros was recorded as a result of impairments. "We started 2024 with a strong operating result, which was supported by solid rental growth," said CEO Refael Zamir. The operating result (FFO I), which is crucial for the industry, fell by four percent to EUR 45 million, which was reportedly mainly due to adjustments to interest-bearing bonds. The Management Board believes that the company is well positioned to weather the difficult market conditions.

(Report by Philipp Krach, edited by Thomas Seythal. If you have any questions, please contact our editorial team at frankfurt.newsroom@thomsonreuters.com)