- Prime US REIT (SGX:OXMU) has strengthened its balance sheet by completing refinancing for US$550m and divestment of One Town Center for US$82m, which lowers aggregate leverage to 46%.
- Leasing discussions underway for Park Tower in Sacramento, OWC in Washington DC and 101 South Hanley in St Louis could provide an uplift to portfolio occupancy over the next 12 months.
- - Read this at SGinvestors.io -
Maintain 1H24 payout ratio at 10%
- Prime US REIT reported DPU of 0.18 US cents for 1H24. It maintained payout ratio at 10%, similar to 2H23, so as to conserve capital to fund required capex, while maintaining gearing at a relatively healthy level. See Prime US REIT's distribution dates.
Cash revenue affected by lease expiry for Sodexo at OWC.
- - Read this at SGinvestors.io -
- Cash revenue declined by a smaller 5.8%. Cash revenue for the remaining 12 properties remained stable.
- Property operating expenses increased 1.9% y-o-y due to non-cash amortisation of lease commissions. Thus, NPI margin narrowed 0.4ppt y-o-y to 57.7% in 1H24 and finance expense rose 8.4% y-o-y.
Leasing momentum has picked up.
- Read more at SGinvestors.io.
Above is the excerpt from report by UOB Kay Hian Research.
Clients of UOB Kay Hian may be the first to access the full report in PDF @ https://www.utrade.com.sg/.
Jonathan KOH CFA UOB Kay Hian Research | https://research.uobkayhian.com/ 2024-08-15
Read also UOB's most recent report:
2024-11-18 Prime US REIT 3Q24 - Overcoming Transitional Downtime; Positive Leasing Momentum.
Price targets by 2 other brokers at Prime US REIT Target Prices.
Listing of research reports at Prime US REIT Analyst Reports.
Relevant links:
Prime US REIT Share Price History,
Prime US REIT Announcements,
Prime US REIT Dividends & Corporate Actions,
Prime US REIT News Articles
