Covivio has shared its operational and financial results for the first quarter of 2025, showing growth in its key sectors: hotels, offices and residences. With solid progress in sustainability and a focus on strategic investments, Covivio is optimistic about the future.

Revenue growth and solid performance

At the end of March 2025, Covivio recorded a 5.4% increase in revenues over the previous year, reaching 162 million euros (Group share). This growth is the result of solid performances in various sectors, notably hotels and residences. The office portfolio also continued to show positive results, with occupancy up to 95.7%.

“Thanks to our strategic focus and asset management efforts, we continue to outperform market trends,” officials said. The strong growth in the first quarter is attributed to increased rental income, particularly in offices and residences. In particular, residential rents in Germany saw an increase of 24% on re-lettings, with strong performance in cities such as Berlin.

Hotel investments and expansions

In the hotel sector, Covivio has launched several calls for tender to select the best hotel brands for ten properties located in France and Belgium. These recently acquired hotels are currently being renovated at a cost of 52 million euros, which should generate a return of over 20% by 2026. Covivio shared its operating and financial results for the first quarter of 2025, showing growth in its key sectors: hotels, offices and residences. With solid progress in sustainability and a focus on strategic investments, Covivio displays optimism for the future.

“We are determined to maximize the potential of these properties through strategic partnerships with leading hotel operators,” the executives added. This focus on hotels is part of Covivio's wider strategy to continue developing its portfolio of diversified assets.

Office and residential markets continue to thrive

The office sector showed steady growth, with rental income up 5.1% on a like-for-like basis. Covivio's focus on central locations, particularly in key business districts, contributed to an occupancy rate of 95.7%, up 20 basis points on the end of 2024. 

In residential property, Covivio continued to capitalize on the housing shortage in Germany, with rents up 4.8% for new properties. The company also reported a 24% increase in rental income from re-rentals, particularly in Berlin. “The German residential market continues to offer significant growth opportunities, particularly in cities such as Berlin,” officials said.

Progress in sustainability

Covivio has also made significant progress in its environmental, social and governance (ESG) initiatives. The company achieved a 28% reduction in its carbon footprint by the end of 2024, as part of its target of a 40% reduction by 2030.

In addition, the Group has increased its use of green energy, with 86% of its managed assets now benefiting from green electricity contracts. The company's sustainability efforts are also underpinned by its recent success as the first European property company to issue EU green bonds. 

Outlook for 2025

Looking ahead, Covivio remains confident in its growth prospects. The company has confirmed an EPRA Earnings target of €495 million for 2025, an increase of 4% on 2024.

Covivio also announced a proposed dividend of €3.50 per share, up 6% on the previous year. “We are well positioned for sustainable growth, with a strong portfolio and a commitment to continuous innovation,” the executives concluded.

The group also announced the proposed appointment of Micaela Le Divelec as an independent board member, bringing her expertise in finance and in-depth experience of the Italian market.