Our specialist subsidiaries
Real estate
The Dutch property market was still in poor condition in 2013. In the course
of the year, it became clear that a market recovery, especially in the Dutch
property markets, would take longer than originally expected.This was
shown by heavy impairments on land holdings, revaluations of land
operations at Bouwfonds Property Development and the large increase
in value adjustments to receivables at the property financier FGH Bank.
The net result of Rabo Real Estate Group fell from a loss of EUR 113 million in
2012toa loss of EUR817 million in 2013.The focus was on risk management
and management of the loan portfolio, and there was also much attention
devoted to cost reduction.The Collective Labour Agreement was tightened,
and no variable remuneration will be paid. It was also decided to phase out
the commercial property development activities of MAB Development.
Bouwfonds Property Development realised a total of 5,169 housing
transactions, a decline of 18% compared to 2012. Housing transactions
were down especially in the Netherlands, and to a lesser extent in France.
By comparison the market in Germany was positive, even though here too
there was a slight fall in the number of housing transactions. Bouwfonds
Property Development suffered a heavy loss as a result of revaluations and
impairments.The loan portfolio of FGH Bank was more or less unchanged at
EUR 19.4 billion. Bad debt costs amounted to 278 basis points of average
lending, putting FGH Bank in the red. Several funds of Bouwfonds Investment
Management were expanded and a few new funds were launched in the
market, increasing assets under management by EUR 0.4 billion to EUR 5.9
billion.The year closed with a positive result.
www.rabovastaoedaroep.nl Still no recovery in the Netherlands; heavy decline in the result
Strategy for Rabo Real Estate Group
Rabo Real Estate Group is Rabobank Group's centre of expertise in real estate, and operates in
property and area development, property finance, investment management and community
fund management. Rabo Real Estate Group is one of the largest real estate companies in Europe
and strives to achieve a healthy balance between the social, economic and ecological effects of
its operations. Its ambition is to rank amongst the most sustainable companies in the real estate
sector. Rabo Real Estate Group's mission is to help clients achieve their ambitions for living,
working, shopping and leisure. Its activities are carried out by:
Bouwfonds Property Development - realises comprehensive residential areas;
MAB Development - commercial property developer;
FGH Bank - specialist in property finance;
Bouwfonds Investment Management - real estate fund manager;
Fondsenbeheer Nederland - independent manager of community funds with the aim of
increasing the quality of the living environment.
89 Our specialised subsidiaries
