Growthpoint Properties Group has improved its interim statutory profit by 123.4 per cent to $141.8 million after booking positive revaluations on its office and industrial portfolio.
The property trust’s distributable income increased 34.2 per cent to $56.4 million.
Majority-owned by South Africa’s Growthpoint Properties, the Australian trust brought to book a $95.2 million revaluation of its portfolio. That upgrade represents a 4.5 per cent increase on a like-for-like basis.
The revaluation follows a sharpening in the average capitalisation rate from 7.9 per cent to 7.6 per cent, as well as leasing across the portfolio.
Growthpoint has confirmed guidance for distributable income at the upper end of its previous guidance range.
“Recent leasing and debt cost reductions have meant that directors are now indicating that the financial year 2015 distributable income will be not less than 20.6 cents per stapled security,” it said.
Its previous full year guidance for distributable income was for between 20.3 to 20.6 cents per stapled security, with distributon guidance of 19.7 cents per stapled security.
The $1.6 billion property trust said it would continue to diversify its property portfolio through merger and acquisition activity, direct property acquisitions and developments.