Dubai – Mubasher: Emirates REIT, a global Sharia-compliant real estate investment trust managed by Equitativa, on Monday posted a 14.2% increase in the value of its portfolio, reaching $860 million, according to an official statement.
In December 2017, the UAE-based fund’s outstanding bank debt was fully repaid, while the gearing ratio stood at 41.9%, compared to a regulatory cap of 50%.
Rental income surged 19% year-on-year in 2017 to $53.9 million, while the total property income soared 19.6%, recording $60.6 million, compared to $50.7 million in 2016, Emirates REIT revealed.
“During 2017, Funds from Operations, adjusted for non-recurring Sukuk transaction costs, increased by 63.7% to $18.6 million from $11.3 million in 2016. Net income was $ 52.2 million, a year-on-year increase of 9.1%,” the trust added.
Emirates REIT issued a five-year $400 million sukuk with an annual profit rate of 5.125% in December, in order to fund the REIT’s existing debt and replace amortising loans with fixed-rate bullet funding.
“We actively explore further acquisition opportunities in both commercial and education sectors and remain confident about the upside potential of Index Tower and Mall,” Equitativa Dubai’s CEO Sylvain Vieujot concluded.
