Swiss real estate: Work from home not as big of a threat -UBS
04/09/2020 10:30
** UBS says work from home is less of a risk to Swiss real
estate and Zurich office market, expecting this model to spread
at a lower rate in Switzerland
** The broker estimates Zurich office market rents to go
down by 10% over the next two years -- less than the rental
decline it expects for other European office markets
** The brokerage still advises to be selective in the sector
and pick those companies whose stock is underperforming but
whose operational performance has been sound and should remain
so going forward
** UBS raises PSP Swiss Property PSPN.S to "buy" from
"neutral" citing the stock's "unusual underperformance" which it
views as an opportunity to gain exposure
** The broker keeps "neutral" rating on Swiss Prime Site
SPSN.S due to its higher LTV, and exposure to the more
disrupted retail sector
((marta.frackowiak@thomsonreuters.com))