Elite reported on May 3 its 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 manager of Elite UK REIT — formerly known as Elite Commercial REIT — is future-proofing the UK-focused REIT with an 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 31 impacted by such costs. Hence, Lock and Ong have kept their “add” call in a May 8 note, while trimming their target price to GBP0.33 ($0.56) from GBP0.38 previously.
