Emphasizing the successful management of the portfolio of apartments and business premises, the company also reported on last year's total revenues of 20.8 million euros, with an increase of 19 percent on an annual basis, while the net profit was around four million euros.
They state that the increase in income is the result of the increase in the efficiency of management of receivables and collection, the increased portfolio and the recognition of part of the income from investments in real estate through EU funds.
In 2023, the company realized record current and investment investments of 8.6 million euros, which significantly improved the value of real estate, they point out. The aforementioned investments, including the renovation and equipping of 125 apartments for the temporary care of citizens affected by the earthquake, at the same time had an impact on a 40 percent increase in total expenditures compared to 2022, together with the effects of inflation on the costs of services and utilities and a significant increase in the number of real estate on management, they say from State Properties.
More than 12 thousand properties under state management
During the last year, the company concluded 337 contracts for the lease of office space and the lease of apartments. The number of tenders and business premises offered to the market has increased, i.e. nine tenders for lease have been announced and 201 business premises have been offered to the market throughout Croatia. The total value of all active lease contracts at the end of 2023 amounted to more than 75 million euros, the State Real Estate reported.
They also note that the company's real estate portfolio grew significantly after the entry into force of the Law on the Management of Real Estate and Movable Property in the Ownership of the Republic of Croatia, and the company was currently managing more than 12,000 properties in June.
In addition to a 45 percent increase in the real estate portfolio, the law also brought an expansion of work tasks in terms of sales and disposals, and the company took on more than three thousand new cases. All of this was preceded by the reorganization and systematization of the company, personnel reinforcements and the definition of new business processes, all in order to start with new tasks as early as 2024, the State Real Estate reported.
- We successfully managed real estate in 2023, and supported by those results and our previous work, we entered 2024 optimistically and quickly, considering the new requirements of the legal provisions according to which, in addition to our previous work, we also do sales and disposals. We expect that in addition to the planned 200 or so business premises that we offer for lease this year, we will also prepare the first 50 or so properties for sale and demolition - said board member and director of State Real Estate Mirela Habijanec in a statement that is transmitted in the press release.
