Information about the share

Attractive rent structures provide stable, resilient cash flows Prisma Properties generates good, stable cash flows through property management. The long-term stability of the cash flow is founded on the structure of the rental contracts:

1. New agreements are generally signed for 10 years ahead for retail and 20 years ahead for fast food restaurants.
2. All rental contracts are double or triple net contracts. Put simply, this means that the tenants are responsible for most of their expenses, such as utilities, tax, insurance and maintenance.
3. Moreover, the majority of the rental contracts are index linked to inflation.

Prisma Properties focuses on market categories—discount stores, grocery stores, and fast-food restaurants—that have the potential to perform well regardless of economic conditions. A notable example is the upswing in the discount segment in 2022.

During periods of high inflation, consumers become more cost-conscious and tend to shop more frequently at discount stores and other low-price establishments.

Prisma Properties’ assets are distinguished by their prime locations in high-traffic areas near motorways and major roads, as well as in retail parks in rapidly growing suburbs.

Prisma Properties’ main success factor lies in its strong relationships and close dialogue with tenants. Our tenants include leading players in their market categories, such as Dollarstore, Jysk, and Willys. We work closely with our tenants to identify new sites, locations, and countries for their business expansion.

Prisma Properties has a proven track record of successful development projects. Since 2016, the Executive Management Team and the current principal owner, Alma Property Partners, have developed 70 percent of the current property portfolio, consistently working closely with tenants.

Prisma Properties has secured stable and long-term bank financing, ensuring independence from the more volatile bond market.

The Executive Management Team has extensive experience in the real estate sector and project development, collectively owning 6 percent of the shares in Prisma Properties.

Prisma Properties’ objective is to generate the highest possible long-term total return for its shareholders. When determining the dividend payouts, the company’s future investment requirements, general financial position and stage of development are taken into account. Prisma Properties shall continue to grow and, in the board’s opinion, the highest possible long-term total return is generated by reinvesting profits in the business to enable further growth through new development and acquisitions. As a result, there is a need for liquidity, which means that future dividends will be low or non-existent in the coming years.