[SINGAPORE] The manager of Elite UK real estate investment trust (Reit), announced a 10.2 per cent year-on-year increase in distributable income to £4.8 million (S$8.4 million) in Q1 2025, from £4.4 million.
Revenue for the quarter inched up 0.6 per cent to £9.3 million, from £9.2 million in Q1 2024, said the manager in a bourse filing on Wednesday (Apr 30).
Net property income in Q1 2025 rose 24.4 per cent to £10.4 million, from £8.3 million in the corresponding period of the previous year. The distribution per unit for the quarter grew to £0.0076, from £0.0069 in Q1 2024.
The improved financial performance was driven by better cash efficiency, lower interest expenses, higher rentals from positive rental reversions, as well as dilapidation settlement and lease surrender premiums totalling £1.6 million.
As at Mar 31, 2025, net gearing ratio fell to 42.2 per cent, from 42.5 per cent as at Dec 31, 2024.
With all of Elite UK Reit’s debt in sustainability-linked loans, improvements in assets energy performance will help to optimise borrowing costs, the manager noted.
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The weighted average lease expiry for the Reit’s portfolio as at Mar 31 came in at 3.1 years.
The manager has submitted a planning application for the Lindsay House property in Dundee, Scotland, to be converted into a 168-bed purpose-built student accommodation. The property is situated within walking distances of universities and transport nodes.
A planning application has also been submitted for a potential data centre development site in Blackpool, UK. The manager has secured a 120 mega volt-ampere power supply for the potential hyperscale data centre, with ongoing discussions to tap the nearby wind power infrastructure.
“We are pleased that despite an uncertain macro environment, our asset and capital management initiatives as well as treasury strategies have strengthened the defensiveness of cashflow generated from the Reit’s non-discretionary and counter-cyclical portfolio,” said Joshua Liaw, CEO of the manager.
Units of Elite UK Reit closed up 3.5 per cent or £0.01 at £0.295 on Wednesday, before the announcement.