Gross revenue increased 3% y-o-y to $147.4 million for 1HFY2024, while net property income was up 4.5% y-o-y to $110.8 million.
The REIT’s occupancy as at June 30 is maintained at 98% across the portfolio. Rental reversion improved to 19.1% for 1HFY2024 compared to 6.9% for 1HFY2023.
The portfolio has a weighted average lease expiry (WALE) of 4.9 years by net lettable area and 2.9 years by gross rental income.
Total borrowings stood at $1.3 billion, translating to a gearing of approximately 29% as at June 30. Fixed debt remained at 85% to mitigate against the impact of rising interest rates, while debt maturity profile stood at a weighted average term to maturity of 1.6 years. Average cost of debt was 4.6% for 1H FY2024.
See also: MAS net profit rises to $19.7 bil in FY2024/25 with investment gains more than doubling y-o-y
“With tourist arrivals expected to continue its recovery for the rest of 2024, we remain cautiously optimistic that we will continue delivering sustainable long-term value for all our unitholders,” says the REIT chairman Dr Leong Horn Kee.
Units in Paragon REIT closed 1.5 cents lower on Aug 5 or 1.7% down at 85.5 cents.
