3. Real estate expense
In the first half of the financial year 2013/2014 eight investment properties were sold (previous year six sales), of which four were non-strategic (two one each in Germany and in the Netherlands) and four were strategic (three in Switzerland, one in France). For three of the investment properties the selling price was equal to or slightly above market value. Three were sold at a profit of CHF 16.6 million, two at a loss of CHF 6.6 million. Net of all selling costs there was a profit of CHF 10.0 million on the sales.
|in CHF thousand||1.4.2013|
|External property management fees||–149||–106|
|Non recoverable service charges||–2 397||–3 038|
|Temporary relocation cost||–1 056||0|
|Other property-related expense||–722||–602|
|Total real estate expense||–4 746||–4 425|
The increase in real estate expenses stems mainly from non-recurring expenses relating to various renovations in France.