Park Street A/S – Annual Report 2023

Park Street A/S – Annual Report 2023

Copenhagen, 4 April 2024

Park Street result analysis primarily uses the term EBVAT (Earnings before value adjustments and tax) to measure the Group’s operating results.

The Group achieved in 2023 an EBVAT (profit excluding value adjustments and tax) of DKK 41.4 million (2022:DKK 42.9 million), as compared to expectations of DKK 45-50 million (published in the Park Street Interim Report Half Year 2023 results announcement in Aug 2023), primarily driven due to a combination of reduction in number of assets from sale of properties, leading to lower income, combined with an increase in financial expenses due to changes in interest rates. Furthermore, there was an increase in new leasing adding to costs for marketing activity, and an increase in energy costs related to vacant units. 

We expect the EBVAT for 2024 to be DKK 30-40 million in view of potential new leases in the pipeline and an expected reduction in costs. This outlook takes note of sale of 3 further properties subsequently in 2024. This could change with any significant further sales or additions to the property portfolio. 

The evolution of the EBVAT is influenced by the following factors:

  • Gross profit in 2023 is DKK 121.9 million (2022: DKK 104.7 million), equivalent to a increase of DKK 17.2 million. The increase in gross profit is primarily due to rental income (DKK 9.2 million).
  • The Group's overheads were DKK 28.1 million in 2023 against DKK 31.8 million in 2022. The decrease of DKK 3.7 million is caused by savings in employee costs and depreciation.
  • Net financial items amount to DKK –52.4 million in 2023 against DKK -29.9 million in 2022, representing a negative change of DKK 22.5 million driven by an increase in the interest costs.

The decrease in the Net Result for the period from DKK 55 million in 2022 to DKK –24.2 million in 2023 is due to the following effects:

  • Fair value adjustment in 2023 with a net of DKK –73.8 million against DKK 36.6 million in 2022. In both periods an evaluation of the domicile and investment properties have been made adjusting the yield and the estimated profit and loss for the entire portfolio of Park Street A/S and subsidiaries.

The Group's equity as at 31 December 2023 was DKK 1,060 million, compared to DKK 1,087 million as at 31 December 2022. The decline in equity is due to the loss during the year.

Subsequent events after 31 December 2023

Park Street has sold three assets (Project NV), viz., Hejrevej 26-28 (Copenhagen NV), Hejrevej 30, (Copenhagen NV), and Svanevej 12, (Copenhagen NV).

From the balance sheet date until the date of presentation of this Annual Report no additional events have occurred other than the above-mentioned which significantly affect the assessment of the annual report.

Management comments on the Annual report

“2023 has been a challenging year for the Real Estate sector across Europe – impacted by significant increases in interest rates and declining investment and occupational activity. Denmark, however, has witnessed positive occupational activity across office and residential sector. In particular, Pulse strategy fits well the inflow of global professionals and students to Denmark. There have been delays in delivery of Pulse N which impacted on our timing expectations for its launch. This along with higher finance costs is reflected in our overall EBVAT of DKK 41 million, being lower than expectations. However, we expect a fully occupied Pulse N and Pulse O along with increased leasing activity across the commercial assets should lend itself to a stable performance in 2024 and refinancing of the development loan with traditional mortgage financing.

Having taken charge of running Park Street A/S 7 years today in April 2017, I am immensely proud of turning a platform (previously named Nordicom) with negative equity (in 2016) and DKK 20 million equity in Q2 2017 towards a company with DKK 1060 million equity at the end of 2023, while paying down over DKK 700 million of debt to credit institutions during this period. There are several current and previous members of the team, external partners, mortgage banks and investors who have contributed towards this success – I am sincerely grateful to their positive support and contributions. While the task was immense and several positives to note, there were also gaps and challenges in our approach which need improvements.

As we enter a new phase of real estate cycle and also Park Street’s next leg of journey – we will aim to commit to the core principles of simplicity, honesty and efforts to create positive value to all true stakeholders. A focus on positive engagement with our tenants, steady improvements to our properties within a tangible ESG framework, and a happy, dynamic environment for a committed team & external partners will form the core of our priorities for the future. A design and technology led approach for achieving these goals will be the ambition of our team.”

The company expects EBVAT for the year 2024 to be in the range of DKK 30 – 40 million.

Attached Files

The Annual Report 2023 and the Statement of the mandatory review of Corporate Governance, cf. section 107b of the Danish Financial Statement Act, is attached to this announcement.


Anita Nassar - Chairman

Pradeep Pattem - CEO

Further information

For further information please contact Pradeep Pattem, CEO at

Company Website:

Telephone Number: +45 33 33 93 03



Park Street Annual Report 2023 Park Street Corporate Governance Statement - Annual Report 2023 213800VGJC18MRKMZC33-2023-12-31-en

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