Globalworth Real Estate Investments (GWI) made strategic and financial progress in FY15. The portfolio grew strongly through acquisitions and development progress, with construction of the flagship Globalworth Tower completed by year-end and the property delivered in Q116. NOI and cash flow both increased significantly and we forecast further strong growth as acquisitions fully contribute and remaining developments complete. EPRA NAV per share grew 12.2% during the year despite share issuance and the pro forma year-end LTV was 44.3% (43.5% reported for Q116). Meanwhile the Romanian economy and the Bucharest commercial real estate market remain supportive. Against this backdrop and our forecasts for growing cash flow, the failure of the NAV discount to narrow seems unwarranted.
