Alternative Income REIT PLC
(the “Company” or “Group” or “AIRE“)
NET ASSET VALUE, DIVIDEND DECLARATION AND PORTFOLIO VALUATION UPDATE
TO 31 DECEMBER 2024
Declares an interim dividend of 1.55 pence per share (“pps”) for the quarter ended 31 December 2024
The target annual dividend remains at 6.2pps for the year ending 30 June 2025†, an increase of 5.1% on the prior year’s target of 5.9pps
Dividend cover of 110.3% for the quarter
Unaudited NAV total return for the quarter of 2.7%
Resilient portfolio well-placed to continue to provide secure, index-linked income with the potential for capital growth
The Board of Directors of Alternative Income REIT PLC (ticker: AIRE), the owner of a diversified portfolio of UK commercial property assets, predominantly let on long leases with index-linked rent reviews, provides a trading and business update and declares an interim dividend for the quarter ended 31 December 2024.
Simon Bennett, Non-Executive Chair of Alternative Income REIT plc, comments:
“The Company continues to pay a fully covered dividend in line with the 2025 annual dividend target of 6.2pps†. The dividend cover for the quarter was 110.3%. The annual dividend target of 6.2pps is an increase of 5.1% over the previous year’s dividend of 5.9pps. The target is subject to the continued collection of rent from the Group’s portfolio as it falls due.
At 31 December 2024, the Group’s unaudited NAV was £66.0 million, 81.9pps, representing a 0.8% increase over the previous quarter. When combined with the 1.55pps dividend paid in the quarter, this produces an unaudited NAV total return for the quarter of 2.7%.
The Group’s portfolio remains relatively insulated from market fluctuations, benefiting from being 100% let, achieving 100% collection of rent due, and a 91.5% index-linked rent review profile.
The Group’s track record demonstrates a secure and increasing income stream. The valuation of the portfolio has risen this quarter by £0.6 million or 1% on a like-for-like basis. The Group continues to benefit from low borrowing costs until October 2025, when the current Canada Life senior loan matures. The Board has appointed a debt adviser to assist with the refinancing and is confident that the requisite financing will be achieved prior to October 2025,albeit at an increased interest rate as compared to the current rate. I look forward to reporting on AIRE’s continued progress in the coming months.”
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