The manager of Elite Commercial REIT has reported distribution per unit (DPU) of 1.28 pence in the 1QFY2022 ended March, 4.9% higher than the DPU of 1.22 pence (2.11 cents) in the same period the year before.
Distributable income during the quarter surged 36.2% y-o-y to GBP6.14 million. The higher figures were due to the full quarter’s worth of contribution from its maiden acquisition of 58 properties on March 9, 2021. The better performance was also attributed to the tax savings from admission of Elite UK Commercial Holdings (ECHL) as a UK REIT group.
The lower DPU growth was due to a “slightly enlarged equity base”.
Revenue during the quarter grew 39.4% y-o-y to GBP9.21 million.
As at March 31, the REIT’s portfolio remains 100% occupied with almost 100% of rent collected in advance and within seven days of the due date for the three-month period from April to June.
“The team has done well in securing lease stability through the removal of lease break options for 109 of our properties, which further enhances the income visibility for the REIT. These leases will also benefit from the upcoming rental escalations in April 2023,” says Shaldine Wang, CEO of the manager.
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“Our proactive asset management approach continues to put us in a good stead as we intensify our efforts. We continue to proactively engage our occupiers and tenants to explore suitable opportunities and formulate the best outcome for our properties in maximising and augmenting long-term value of the REIT,” she adds.
The REIT says it expects to continue providing a stable income to its unitholders as it continues to collect close to 100% of the rent in advance.
As at 9.15am, units in Elite Commercial REIT are trading 0.5 cent higher or 0.78% up at 65 pence.
