Alpha Integrated REIT (SGX:M1GU
) (AIR), which just completed its internalisation process, has reported a 20.4% y-o-y rise in distribution per unit (DPU) to 1.83 cents for 2HFY2025, ended Dec 31, 2025.
On a full year basis (FY2025), AIR’s DPU up 23.4% y-o-y to 3.53 cents.
Gross revenue for FY2025 was up by 6.0% y-o-y to $120.1 million and net property income (NPI) surged by nearly 18% y-o-y to $67.7 million. The higher NPI growth was a result of positive rental reversions and an overall increase in portfolio occupancy.
Finance cost declined by 4.5% y-o-y to $17.1 million due to reduced overall interest rates, while partially offset by higher borrowings.
As at Dec 31, 2025, AIR’s committed portfolio occupancy rate improved to 90.3% from 85.0% as at Dec 31, 2024. The higher occupancy rate was attributed mainly to the successful leasing of 30/32 Tuas Avenue 8.
Average portfolio rental reversion for FY2025 was at 11.8%, down significantly from 20.6% recorded back in FY2024.
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On the leasing front, AIR has secured renewals for more than 45% of leases expiring in FY2026, while a further 48% of the expiring leases are currently under active discussions.
Weighted average lease expiry (“WALE”) of AIR’s portfolio remained at 2.5 years as at Dec 31, 2025.
Meanwhile, AIR’s portfolio valuation as at Dec 31, 2025 was at $948.9 million, up by 3.6% y-o-y.
AIR’s gearing ratio was lowered to 35.8% from 37.4% while all-in financing costs was reduced to 4.36% from 4.42% a year ago. With the lower financing cost, interest coverage ratio improved to 3.6 times.
AIR explained that the recent refinancing of the $75.0 million loan due in March will contribute to lower financing costs ahead.
“We continue to leverage on AIR’s solid portfolio fundamentals, robust financial position and the team’s strong asset management capabilities to generate sustainable returns for unitholders,” says Karen Lee, CEO of the manager.
As at 9.45m, units in AIR are trading 0.5 cents higher, or 1.03% higher at 49 cents.
