by admin
The Dubai real estate fund manager Equitativa reported a 59.3% increase in net profit for Emirates REIT, totaling $63 million this year alone! The general lift of property values and assets across the city played their part to make up these numbers – more than enough compensated what was lost last time around with losses incurred at about similar levels as before when it came down again too ($242).
Cumulative net income was $68.6 million, up 3.9 % year over year, thanks to higher occupancy. The occupancy rate was 71.8 percent at the end of last year, and it had risen to 81 percent by the end of March. Funds from Operations, a crucial success indicator, were at $18.4 million, 36 above the 2020 figure.
“We are excited about the opportunities in our portfolio that will continue to be part of this positive market trend,” stated Sylvain Vieujot, Executive Deputy Chairman at Equitativa. “The company also made considerable progress tackling legacy issues during their year-long investigation process including winning an award from DIFC for outstanding rent payments by The Jebel Ali School.”
The REIT saw a $44.7 million net equity value on revaluation in 2021, compared to a $243.4 million loss in 2020, as its quantity surveyors, CBRE & Cushman & Wakefield took into account the improving market mood in the UAE’s commercial & retail real estate industries. As of the end of 2021, the REIT’s portfolio was worth $762.1 million, up 7.5 percent. During the same time period, the net asset value (NAV) was $289.8 million, corresponding to $0.95 per share, or a 28.3 percent increase.
“2022 will be a key year for Emirates REIT,” said Thierry Leleu, Equitativa’s newly appointed CEO. In my new job as CEO, I will be focusing on enhancing the REIT’s operational efficiencies and engaging with stakeholders to improve its capital structure, all with the goal of delivering long-term income & value to our stockholders.
“We are well-positioned to take advantage of the current upturn in the Dubai housing market, thanks to our solid investor base and well-balanced portfolio of really high-quality assets.”
