- Rental income decreased by 8.9% to USD 25.7 million (Q1 2024: USD 28.1 million), due to a reduction in property count; on a like for like basis, rental income increased by 3.9% to USD 25.1 million
- Occupancy rate was slightly higher at 94.5% (end of 2024: 93.7%)
- Two properties with a fair value of USD 49 million in total were sold in Q1 2025
Manuel Leuthold, Chairman of the Board of Directors of Varia US Properties, says: “While market conditions remain complex, Varia US is taking deliberate steps to strengthen its portfolio, optimize performance, and lay the groundwork for long-term value creation. With a disciplined approach and clear priorities, we are confident in our ability to adapt and emerge stronger.”
The volatile inflationary and interest rate environment was a tailwind for the performance of the rental housing market in the U.S during Q1 2025. Increased interest rates have continued to create difficulty for home sales as elevated mortgage costs push individuals towards rental options versus purchases. However, just as the multifamily sector began its rebound, the U.S. presidential administration announced new trade policies introducing additional uncertainty to the market. Despite this uncertainty, multifamily fundamentals were gaining strength as peak apartment supply continued to absorb, demand persists, and meaningful rent growth is returning in some markets.