inside industrial building
Photo – Canva. The pure plau industrial REIT settles three acquisitions made earlier this year.
  • Settlement covers the three properties acquired at the beginning of 2021
  • Follows a strong acquisition strategy, boosting portfolio value from $1.6B to $2.4B
  • Recent half-yearly announcement included $99.6M in statutory profit

Pure play industrial REIT Centuria (ASX: CIP) announced three settlements to the ASX today.

The company has been hitting sixes since starting 2021, the company seeing resounding wins across the board.

The Property Tribune reported on Centuria’s multiple acquisitions earlier this year, including Visy Glass Plant in New Zealand only two days ago.

Centuria’s half-yearly results were also “solid”, The Property Tribune reported in early February, with 96.7% average rent collection for the half-year reporting period.

Large profits were welcome news to investors, CIP reported statutory profits of $99.6M, and expansions which increased portfolio values to $2.4B, up from $1.636B in the previous corresponding period.

It indicates Centuria’s strong confidence in the industrial property market, and with governments around Australia either pushing for more local manufacturing or touting the benefits of “Made in Australia”, the aggressive acquisition strategy certainly seems to line up with what industrial property could be expecting in the years to come.

Funds from operations (FFO) were also up, $42.8M from $30M in the previous corresponding period; figures were down looking at FFO in per unit terms, however, 8.8, down from 9.9.

Return on equity was also down, 11.9% from 13.4%, but NTA was up by 17 cents, now $2.99 per unit.

This mornings settlement announcement covers the first three property acquisitions for the year, namely 513 Mount Derrimut Road, 179 Studley Court (both in Derrimut, Victoria), and 8 Lexington Drive in Bella Vista, New South Wales.

The properties total $63.5M, the original Derrmiut acquisition announcements were made in late January, Bella Vista in late February.

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