2018 was another successful year in our 100+ year history as a Bel- gian real estate development com- pany. A key reason for Extensa’s success this year was our enduring strategic focus on a limited number of relatively large area develop- ments. It’s a strategy that continues to bear fruit for the company.
Our two key projects – Tour & Taxis in Brussels and Cloche d’Or in Luxembourg – have been recog- nized as creating attractive new city districts and have become international reference projects. Favourable market conditions made it possible to realise the im- plementation of these projects at a rapid pace during the year.
In the Tour & Taxis district of Brussels, the focus during 2018 was mainly on the preparation of new apartment buildings and the conversion of the Gare Maritime into a new multi-modal attraction for the city. The Riva Residence alongside the canal on the Tour & Taxis site has been a remarkable commercial success this year.
At Cloche d’Or in Luxembourg, two new office buildings were completed in 2018 and five projects are in preparation. The four phases of the first residential project were completed smoothly; more than 900 apartments and retail units are under construction and are selling well. Another apartment building has already been launched.
In the years to come, Extensa will continue developing the potential of these two exceptional sites.
Real estate project development is a complex process involving the smooth integration and efficient cooperation of many people with different skill sets and experience. During 2018, the Extensa family was further strengthened and diversified. We thank all our em- ployees – from the longest serving to the most recent recruits – for their enthusiasm and dedication. Without them, Extensa’s favoura- ble results would not have been possible.■
Sale of 50% interest in Alto 1 SARL (Alter Domus building): valuation of the building in excess of € 85 million
Sale of 50% interest in TMT Energy Institution Network (Slovakia): € 4.8 million
Advance sale of 50% interest in new office headquarters of Intesa Sanpaolo in Luxembourg
in Gare Maritime Development ongoing with first deliveries foreseen end 2019
Renovation of Hôtel de la Poste to be completed by end of 2019
92 aparments of Riva residential project were sold: €8.5 million. (sold out in March 2019)
In 2018 Extensa Group achieved a net profit of 27 million euros, compared to 75 million euros in 2017, mainly thanks to its two major projects, namely, Tour & Taxis and Cloche d’Or. Extensa’s exceptional 2017 net result is due to the sale of the Group’s stake in Leasinvest Real Estate.
Tour & Taxis contributed 2 million euros, mainly from asset manage- ment (Entrepôt Royal, Hôtel de la Poste, car parks, events and services).
The Cloche d’Or project (Extensa Group 50%) in Luxembourg added 34 million euros to the net profit through the sale of apartments and two office projects.
The balance sheet total increased slightly from 412 million euros at the end of 2017 to 442 million euros at the end of 2018, mainly as a result of additional investments in Tour & Taxis. Total shareholders’ equity increased from 164 million euros to 191 million euros.
Both the underground 900-space car park under construction, and the renovated upper floors of Hôtel de la Poste, will contribute to the 2019 results.
In November 2018, Extensa re- ceived the building permit for the Gare Maritime at the Tour & Taxis site in Brussels. This allowed the renovation of this former railway station to proceed according to plan. The construction of the ten wooden modules inside the renovated shell started, and the planning and mar- keting of this 50,000 square metre project are well underway.
Approximately half of the office area is already pre-let. The mixed-use area on the ground floor, which includes restaurants and bars, theme shops, cultural and entertainment facilities, will open in 2021.
Building permits have also been received for the construction of an underground 900-space car park, and for various residential buildings next to the Gare Mari- time, including a residential care home, and approximately 330 apartments. Construction of the car park has already begun.
The construction work and the sale of the Riva Residence, which com- prises 139 apartments overlooking the canal and the Entrepôt Royal, are progressing smoothly. By the end of 2018, almost half of the construc- tion work was completed, and only ten units were unsold. Beliris has started the preparatory demolition work for the construction of the new Picard Bridge, which is to be inaugurated in 2021. In December 2018, the Brussels government decided to carry out a study into a new tram line connecting the Belgica metro station with the North Station, alongside Tour & Taxis and across this new Picard Bridge.
While the ballroom and foyer on the ground floor of the Hôtel de la
Poste remained in use, the upper floors are being restored to their former glory. They now host a pri- vate cinema, meeting and conference rooms,
while a bar and a restaurant are still planned. The conference centre will be in use from the second quarter of 2019.
Extensa has applied for a building permit to convert the former customs building Hôtel des Douanes into a 100-room hotel. Work is anticipated to commence in 2020, with the hotel scheduled to open in 2022. The heritage buildings on the Tour & Taxis site are taking on a strategic position in the light of the further develop- ment of the site. In addition to the remaining plots of land to be de- veloped, the overall status consists of buildings in operation (Entrepôt Royal, car park, etc.) and projects under development.
A view of ongoing construction works at the Gare Maritime at Tour & Taxis.