Elite Commercial REIT reported on May 3 1QFY2024 revenue of GBP9.3 million, up 0.8% y-o-y, while net property income (NPI) dipped 3.7% y-o-y to GBP8.3 million as rental escalations were offset by higher holding costs from vacant assets.
The managers of Elite Commercial REIT are future-proofing the UK-focused REIT with a recently announced expanded investment mandate, say CGS International (CGSI) analysts Lock Mun Yee and Natalie Ong. For now, however, vacancies have weighed on the REIT, with its operating metrics for 1QFY2024 ended March impacted by such costs.
As such, Lock and Ong have kept their “add” call in a May 8 note, while trimming their target price to 33 pence from 38 pence previously.
