It leased two properties and sold another two in Australia.
Frasers Logistics & Industrial Trust (FLT) saw its net property income (NPI) climb 52.6% YoY to $49.31m in Q4 FY18, an announcement revealed. Revenue also jumped 43.2% YoY to $60.44m.
The firm revealed that its distributable income grew 35.6% YoY to $35.96m whilst its distribution per unit (DPU) inched up 0.6% to $0.178.
In Australia, two leases were signed including a 10-year lease agreement for a gross lettable area (GLA) of 2,879 sq ma and a 5-year agreement for a 13,250 sq m lease extension. The REIT manager also sold two properties in Australia, with capital redeployed towards the acquisition of two quality modern industrial facilities that are strategically located within key industrial estates in Sydney and Brisbane.
As of end September, the REIT’s portfolio saw an occupancy rate that hit 99.6%, with a weighted average lease expiry (WALE) by gross rental income (GRI) of 6.87 years. The total value of FLT’s portfolio hit about $2.97b as of end September.
“The fundamentals for our key markets of Australia, Germany and the Netherlands are expected to remain positive, underpinned by healthy economic data and a burgeoning e-commerce sector, which has driven demand for industrial and logistics properties,” FLT asset management CEO Robert Wallace said.
He noted that Australia sees high levels of public infrastructure spending, population and consumption growth which could ramp up demand for industrial and logistics space. He added that the German and Dutch markets are similarly in an upswing with growing demand for industrial and logistics space set against a backdrop of limited supply.
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