Industrial REIT AME Real Estate Investment Trust (AME REIT) declared a dividend of 1.80 sen for the second quarter ended 30 September 2023 (2Q24)
In a statement today (Nov 8), AME REIT said for the firsf will reward unitholders by distributing 99.8% of its RM9.4 million distributable income for 2Q24.
“During 2Q24, AME REIT recorded net property income (NPI) of RM10.8 million, on revenue of RM11.8 million. For the first half of the FY2024, we achieved NPI of RM21.5 million from revenue of RM23.2 million.
“The 2Q24 distribution is payable on 18 December 2023 to unitholders whose names appear in the record of depositors of AME REIT at the close of business on 24 November 2023,” it said.
It added as the group was listed on the Main Market of Bursa Malaysia Securities Berhad on 20 September 2022, the financial results for the previous corresponding quarter covered the period from 20 September 2022 to 30 September 2022 only and is therefore not comparable.
Chan Wai Leo, chief and executive director of I REIT Managers Sdn Bhd, the management company of AME REIT said the renewals for expiring tenancies and rental commencement of newly-acquired Plot 16 at i-Park @ Indahpura bode well for FY2024.
“We have recently concluded the third and final acquisition of Plot 16 Indahpura, marking the successful culmination of our maiden post-listing acquisition exercise of 3 industrial properties in Iskandar Malaysia.
“The rental commencement of Plot 16 Indahpura will be reflected in our financial performance from the third quarter ending 31 December 2023 onwards.
“This, along with the positive development on the tenancy renewals, enables us to generate healthy distributable income which we can distribute to unitholders,” it said.
Chan said the management company of AME REIT said the group is optimistic on the prospects for the rest of FY2024, as is in the midst of finalising the remaining renewals with the 4 existing tenants that will be expiring in the current financial year.
“Of the 12 tenancies expiring in the current financial year, we successfully renewed 7 existing tenants and obtained 1 replacement tenant representing about 66% of the total space up for renewal for the industrial properties segment.
“Maintaining the current 100% occupancy rates across all industrial properties, with longer term tenancies, is a testament to the quality of service and properties we delivered to our customers,” he said.
The group added AME REIT acquired 3 industrial properties from AME REIT’s Sponsor, AME Elite Consortium Berhad for RM69.3 million.
“Consequently, AME REIT’s properties under management has risen to RM668.0 million, consisting of 34 industrial properties with agreed lettable area of approximately 1.9 million sq ft and 3 industrial-related properties of workers’ dormitories.”
The group’s properties are mainly situated across 3 industrial parks of AME Group in Iskandar Malaysia, namely i-Park @ Indahpura in Kulai, i-Park @ Senai Airport City in Senai, and i-Park @ SILC in Iskandar Puteri.
