Business
Custodian Property Income REIT plc: Continued...
Custodian Property Income REIT plc: Continued....
About this update from Custodian Property Income Reit Plc
[{"type":"text","content":"\n \n \n \n\n\t\n\n\n\n\n\n\n\n\n\n\n\nCustodian Property Income REIT plc (CREI)\n\n\n\n\n\n\nCustodian Property Income REIT plc: Continued strong leasing supporting a c. 8% dividend yield 08-Aug-2024 / 07:00 GMT/BST\n\n\n \n\n \n\n \n\n8 August 2024\n\n \n\nCustodian Property Income REIT plc\n\n \n\n(“Custodian Property Income REIT” or “the Company”)\n\n \n\nContinued strong leasing supporting a c. 8% dividend yield\n\n \n\nCustodian Property Income REIT (LSE: CREI), which seeks to deliver an enhanced income return by investing in a diversified portfolio of smaller, regional properties with strong income characteristics across the UK, today provides a trading update for the quarter ended 30 June 2024 (“Q1” or the “Quarter”).\n\n \n\nStrong leasing activity continues to support rental growth and underpins fully covered dividend\n \n\n1.5p dividend per share approved for the Quarter, fully covered by unaudited European Public Real Estate Association (“EPRA”) earnings per share[1], in line with target of at least 6.0p for the year ending 31 March 2025 (FY24: 5.8p). This target dividend represents a 7.7% yield based on the prevailing 78p share price[2]\n EPRA earnings per share of 1.5p for the Quarter (FY24 Q4: 1.5p)\n During the Quarter, 1.2% increase in like-for-like[3] passing rent and 1.0% increase in like-for-like estimated rental value (“ERV”), driven by rental growth in the industrial sector, with all other sectors showing stable ERVs\n Portfolio ERV (£49.4m) exceeds passing rent (£43.6m) by 13% (31 Mar 2024: 15%) reflecting the reversion captured and sales undertaken during the Quarter. There remains significant potential to grow rental income by capturing reversion typically at five-yearly rent reviews or on re-letting, in addition to continuing to drive rental growth through asset management\n Leasing activity during the Quarter added £0.7m of new annual rent, comprising: \n Three rent reviews on industrial assets at an aggregate 11% ahead of ERV and 41% above previous passing rent;\n Two renewals agreed in aggregate in line with previous passing rent and at a 6% premium to ERV; and\n Seven new leases across various sectors adding £0.3m of new rent, in line with ERV.\n \n EPRA occupancy[4] has remained stable at 92% (31 Mar 2024: 92%) and is expected to rise towards...