Custodian REIT PLC raises dividend by 19% as rent collections hold firm
Increases in the value of its industrial properties were offset by declines in retail, office and other sectors
PLC () has raised its latest quarterly dividend by 19% as rental collections including deferrals totalled 96% in the three months to end-December 2020.
The property investor said the higher dividend payout is fully covered by net cash receipts and reflected continuing levels of rent collection seen since the onset of the coronavirus (COVID-19) pandemic.
Richard Shepherd-Cross, the trust’s managing director, said recent levels of commercial property investment activity had also demonstrated that investors are looking beyond the pandemic.
The value of Custodian’s portfolio rose to £545.8mln (£532.2mln end-September 2020) during the three month period, while NAV per share was 96.4p per share (95.2p).
Most of this rise was down to increases in the value of its industrial properties offset by declines in retail, office and other sectors, said Custodian.
For the year to end March 2022, the REIT added that it expects to pay a dividend of not less than 5p per share.
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