Phoenix Spree Deutschland Limited (LSE:PSDL) reported a return to valuation growth across its Berlin residential portfolio in 2025, with like-for-like values per square metre rising 1.5% to €540.1m. The improvement reflects stabilisation within the Private Rented Sector portfolio, alongside stronger value gains from the company’s condominium assets.
The group’s condominium strategy delivered a record year, with 122 units notarised for €36m, exceeding its 2025 target by 20%. Sales were achieved at an average 3.9% premium to book value, with vacant units performing particularly strongly. All 40 homes in the existing condominium sales pool are now being marketed. Following the completion of a full debt refinancing in late 2025, Phoenix Spree plans to expand its condominium pipeline further in 2026 by adding 11 additional properties and widening its broker network to support transaction volumes.
Looking ahead, the company intends to return capital to shareholders through compulsory share redemptions, funded by ongoing asset disposals. This approach highlights a continued strategic shift away from long-term rental ownership toward portfolio realisation and cash returns. While recent free cash flow has been positive, the overall outlook remains constrained by several years of losses, uneven revenues, and a gradually weakening balance sheet. Share price technicals show a mild upward trend with neutral momentum, but valuation remains difficult to assess due to the absence of meaningful earnings and dividend metrics.
More about Phoenix Spree Deutschland Ltd
Phoenix Spree Deutschland Limited is a UK-listed investment company focused on residential real estate in Berlin. The group invests primarily in multifamily rental buildings and condominiums, seeking to create value through active asset management, targeted capital expenditure, and the selective conversion and sale of units as condominiums to benefit from strong owner-occupier demand in a supply-constrained market.
Leave a Reply