Schroder European Real Estate declares 2nd interim dividend

Schroder European Real Estate Investment Trust has announced its second interim dividend for the year ended 30 September, declaring a dividend of 0.9 euro cents per share. The company's focus on investing in European growth cities has yielded positive results, with Tony Smedley, the Head of Continental European Investment at Schroder Real Estate Investment Management, highlighting the strong performance of their investments. Smedley pointed out that the outcome of the Brexit vote in the UK could potentially benefit the company's assets in key cities by providing stability in the long term. The company's investment strategy revolves around long-term themes such as urbanization and demographics, positioning them well to weather the uncertainties in the political landscape of Continental Europe. Smedley emphasized that Schroder's assets, backed by long-term leases and a high dividend yield of five and a half per cent, are expected to remain resilient despite ongoing geopolitical challenges. Amidst discussions on industry consolidation, Smedley acknowledged the potential impact on the European property landscape. While NEPI and Rockcastle's merger confirmed a trend towards consolidation, Schroder remains unique in its focus on Western European growth cities. Smedley expressed confidence in Schroder's ability to sustain earnings growth in the short to medium term, citing rising rents in their target investment locations that are supply constrained. In a recent interview, Tony Smedley addressed questions regarding the sustainability of Schroder's impressive performance and outlined the company's growth prospects. With a strong focus on investments in key European cities, Schroder European Real Estate Investment Trust appears well-positioned to navigate the evolving real estate landscape in Europe and deliver value to its shareholders.