SINGAPORE - ESR-Logos Reit’s net property income (NPI) fell 10.8 per cent year on year to $62.9 million, while gross revenue dropped 8.9 per cent to $89.9 million for the first quarter of the fiscal year.

This was in the absence of contributions from 10 non-core assets divested in financial year 2023, said its manager on April 23.

If not for the divestments, NPI would have inched down 0.2 per cent to $63.1 million. Gross revenue increased 1.3 per cent to $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 31.1 cents, down from 32 cents 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 for the same period in 2023. Occupancy rate for the quarter was 91.7 per cent, down from the 92.1 per cent recorded in the first quarter of 2023.

Its gearing stood at 36.3 per cent on a pro forma basis, assuming the divestment of 182-189 Maidstone Street in Altona, Australia, was completed on March 31 and net proceeds were used to repay debt fully.

It also assumes the A$160 million (S$140.7 million) interest rate swaps entered into on April 18 and 19 were effective on March 31.

ESR-Logos Reit units closed unchanged at 29 cents on April 23. THE BUSINESS TIMES