ESR-LOGOS Reit : J91U 0%’s net property income (NPI) fell 10.8 per cent year on year to S$62.9 million, while gross revenue dropped 8.9 per cent to S$89 million for the first quarter of the fiscal year.

This was in the absence of contributions from 10 non-core assets divested in FY2023, said its manager on Tuesday (Apr 23).

If not for the divestments, NPI would have inched down 0.2 per cent to S$63.1 million, while gross revenue increased 1.3 per cent to S$88.4 million on a same-store basis.

The results represent the first quarter of financial results after the real estate investment trust (Reit) conducted its capital recycling strategy in 2023. Its net asset value per unit for the quarter stood at S$0.311, down from S$0.32 as at end-2023.

It registered a positive rental reversion of 10.8 per cent for the quarter, compared with a rental reversion of 7.3 per cent in the same period last year. The occupancy rate for the quarter was 91.7 per cent, down from the 92.1 per cent recorded in Q1 2023.

Its gearing stood at 36.3 per cent on a pro forma basis, assuming the divestment of 182-189 Maidstone Street was completed on Mar 31, 2024, and net proceeds were used to repay debt fully. It also assumes the A$160 million (S$140.6 million) interest rate swaps entered into on Apr 18 and 19 were effective on Mar 31, 2024.

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ESR-Logos Reit units closed unchanged at S$0.29 on Monday.