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InterRent REIT Reports Results for the Third Quarter of 2018 and a 7.4% Increase in the Monthly Distribution
Not for Distribution to United States Newswire Services or for Dissemination in the United S...
About this update from Interrent Real Estate Investment Trust
[{"type":"text","content":"InterRent REIT Reports Results for the Third Quarter of 2018 and a 7.4% Increase in the Monthly DistributionNot for Distribution to United States Newswire Services or for Dissemination in the United StatesOTTAWA, ONTARIO / ACCESSWIRE / October 30, 2018 / InterRent Real Estate Investment Trust (TSX-IIP.UN) (\"InterRent\" or the \"REIT\") today reported financial results for the third quarter ended September 30, 2018. With InterRent's portfolio demonstrating strong sustainable results and with the REIT applying its disciplined approach to growing the portfolio, the Board of Trustees has approved a 7.4% increase to the distribution. The annualized distribution increases to $0.29 per unit from $0.27 per unit. The increase will be effective for the November 2018 distribution that is to be paid in December 2018.Highlights Monthly distribution has been increased by 7.4% effective with the November distribution that is to be paid in December 2018. This is the seventh consecutive year that the REIT has grown its distribution by 5% or more. Gross rental revenue for the quarter increased by $4.6 million, or 16.6%, over Q3 2017. Average monthly rent per suite for the entire portfolio increased to $1,176 (September 2018) from $1,099 (September 2017), an increase of 7.0%. The same property portfolio increased to $1,177 (September 2018) from $1,093 (September 2017), an increase of 7.7%. Occupancy for the overall portfolio was 95.8%, a decrease of 150 basis points (September 2018 compared to September 2017). Occupancy for the same property portfolio was 96.8%, a decrease of 30 basis points (September 2018 compared to September 2017). Net Operating Income (NOI) for the quarter was $21.6 million, an increase of $4.0 million, or 23.0%, over Q3 2017. NOI margin for the quarter was 67.1%, up 410 basis points over Q3 2017. Same property NOI for the quarter was $18.3 million, an increase of $2.0 million, or 12.4%, over Q3 2017. Same property NOI margin for the quarter was 68.2%, up 300 basis points over Q3 2017. Fair value gain on investment properties in the quarter of $75.8 million was driven by property level operating improvements as well as a reduction in the overall weighted average capitalization rate to 4.41% from 4.46% at Q2 2018. Net income for the quarter was $81.4 million, compared to $111.1 million for Q3 2017. The decrease of $29.7 milli...