In the Commentary to the Annual Financial Statements for the year ended 31 March 2018, published on 7 June 2018, as well as in the Financial Review included in the Integrated Annual Report published on 27 July 2018, Stenprop disclosed that it expected to earn a performance fee following the exchange of contracts by a managed syndicate in relation to the sale of its interests in the WestendGate property in Frankfurt.
No accrual was made in Stenprop’s Annual Financial Statements in expectation of receiving the fee. Stenprop is pleased to announce that the managed syndicate has completed the sale of its property interests and the company has realised a net performance fee of €4.1 million in relation to the transaction.
Henceforth, management fee income is expected to decline to insignificant levels as Stenprop continues to actively withdraw from involvement in its historic fund management business and focus on its transition into a multi-let industrial property specialist.
Distribution of non-property related earnings will continue to be evaluated from time to time, but there is no current intention to distribute all or part of the performance fee and it is more likely to be used for additional investment in multi-let industrial assets.