Property group GTC faces loss amid Covid-19 pressure

Poland-based real-estate group Globe Trade Centre (GTC), which develops and manages properties in Eastern Europe, has swung into a first-half loss after hefty writedowns of its portfolio.

The group slumped to a €33.8m (R696.28m) loss from profit of €42.8m previously, having written down its property investments by €67m.

As of the six months to end-June, the group had a property portfolio with a book value worth about €1.88bn, but its valuations are under pressure from market volatility, and other effects of Covid-19, such as visitor numbers to shopping centres.

In morning trade on Wednesday, GTC’s little-traded share was unchanged at R19.99, having fallen 44.47% so far in 2020.