Varia US Properties AG closed on 3 December 2020 the sale of the Cardinal portfolio. The portfolio of 1’209 units spread across 10 assets in Central and North Florida was acquired in December 2015. The successful implementation of the value-add strategy, by remodeling units with modern amenities and enhancing landscaping, increased occupancy and overall market value of the portfolio throughout the five-year holding period. All the work done converted this investment into a net Internal Rate of Return (IRR) of 26% for Varia US.
“The Cardinal disposal really solidifies our ability to accomplish sizeable transactions on both ends of the spectrum and underpins our capabilities to develop properties efficiently,” said Patrick Richard, Executive Member of the Board of Directors. “Being able to deliver an impressive 26% net IRR to our investors, while navigating this year’s tumultuous market, is a testament to our value-add strategy and provides us with great momentum as we gear up for 2021.”