Hankyu REIT
Home Press Releases Distribution Financial Results Information Unit Price Information
Top Message

Yoshiaki Shiraki Executive Director, Hankyu REIT, Inc. President and Representative Director, Hankyu REIT Asset Management, Inc.

To All Readers:

Hankyu REIT is pleased to have been able to make progress in all aspects of external growth, internal growth as well as finance over the past year.

First to note is the enhancement of portfolio quality. With transfer of two properties generating low yields and new acquisition of two properties, the average yield improved and depreciated properties decreased. Out of the properties acquired, one had been developed by the sponsor and the other was acquired on a negotiation basis, enabling us to pursue acquisition emphasizing fair value without being fanned by ongoing rather heated real estate market trends.

In terms of internal growth, the occupancy rate of Sphere Tower Tennozu, which had been our concern, has improved to 88.1%. We are also continuing to implement tenant replacement and upward rent revisions for other properties that we own.

In terms of finance, we have realized a more stable financial standing through reduction of fund procurement costs, extension of borrowing periods and diversification of debt repayment dates.

Unpredictable movements, such as BREXIT (the U.K. withdrawal from the EU) and the U.S. presidential election, are seen throughout the world.
We once again recognize that bearing in mind sustainable growth without being engulfed by biased expectations or assumptions and ensuring to steadily do what we can when we can is the way to fulfill unitholders' interests.

We announced the financial results for the 23rd fiscal period (fiscal period ended November 2016) on January 24. Distribution per unit of 2,626 yen (up 0.2% from the forecast) was posted as an actual amount.
This, together with the distribution in the previous fiscal period (fiscal period ended May 2016), brings the annual distribution to 5,401 yen.
Distribution is scheduled to begin on February 15.
The distribution per unit forecasts are 2,630 yen for the 24th fiscal period (fiscal period ending May 2017) and 2,800 for the 25th fiscal period (fiscal period ending November 2017).

We will strive to meet the expectations of our unitholders.

January 2017