Efficient portfolio financing

Citycon focuses on having a strong capital base with an appropriate gearing level, low cost of debt and flexible access to debt financing supported by investment-grade credit ratings. Sufficient and attractively priced financing gives us the capacity and flexibility to deliver on our strategy and to buy, sell or develop when opportunities arise. Long-term joint venture partnerships extend our capital base, spread the risk and leverage the expertise.

Long-term financing targets
Loan-To-Value (LTV): 40-45%
Debt portfolio's hedge ratio: 70-90%
Average loan maturity: >5 years

 Key financing figures  
31 Dec 2020

31 Dec 2019
Fair value of debt MEUR 2,098.0 1,830.7
Available liquidity MEUR 447.0 562.1
Average loan maturity years 3.8 4.6
Loan to Value (LTV)  % 46.9 42.4
Interest cover ratio (financial covenant > 1.8) x 4.1 4.2
Net debt to total assets
(financial covenant < 0.60)
x 0.45 -
Solvency ratio (financial covenant < 0.65 )  x 0.46 0.42
Secured solvency ratio
(financial covenant < 0.25) 
x 0.02 0.02
Average interest-rate fixing period years 3.7 4.6
Interest rate hedging ratio % 83.5 88.8

Citycon Breakdown of loans and Debt maturities, dated 31 December 2020
 

Updated

03.03.2021