Ambitions and outlook for 2005
48 Rabobank Group Annual Report 2004
Core activities
For 2005, Rabobank Group is moderately optimistic about the real estate
market. This is a dynamic market even in times of economic recession,
as is visible in all its subsegments. Demand for high-quality real estate
will remain high and it far outruns supply. As a result, relatively few
transactions are closed, putting investment financing under pressure.
The same holds for the real estate funds, which also generate a demand
for high-quality real estate. Construction activities should pick up in the
second half of 2005 thanks to the expected economic recovery, which
might provide a boost to project financing as well. Despite the stable
house prices, further growth is expected in the housing market. That is
why FGH Bank intends to focus more on housing corporations in 2005.
Rabobank Group aims at strengthening its market position in real estate
in 2005, with a target growth in results of 15%.
www.rabovastgoed.com and www.fghbank.nl
Results (in EUR millions) 2004 2003 change
Interest
110
23
Other income
7
9
Total income
117
32
Staff costs
20
4
Other operating expenses
12
5
Total expenses
32
9
Gross profit
85
23
Value adjustments to receivables
Operating profit before taxation
85
23
Other data
Loans portfolio (in EUR billions)
6.5
4.1
58%
Land portfolio (in hectares)
1,790
1,694
6%
FTEs
291 225 29%
