Link REIT property income higher at HK$8.2b

Link Real Estate Investment Trust (0823) said revenue and net property income increased by 6.8 percent and 6.9 percent year-on-year to HK$10.72 billion and HK$8.22 billion respectively, in the financial year 2019-2020.

As of the end of March, on a like-for-like basis, revenue and net property income increased by 5.6 percent and 6.3 percent year-on-year, respectively.

The final distribution per unit was 145.72 HK cents, up by 3.7 percent, as compared to a year earlier. Distribution per unit for the year increased by 5.9 percent to 287.19 HK cents. The total distributable amount, after adjustments and a discretionary distribution of HK$291 million, amounted to HK$5,965 million, 4.2 percent more than that of last year.

The occupancy rate for the portfolio remained stable at 96.5 percent as at March 31, 2020. Lease negotiations were susceptible to weak sentiment and as a result, the reversion rate for the overall portfolio slowed to 12.6 percent during the year.

The average monthly unit rent improved mildly by 3.4 percent year-on-year to HK$70.3 per square foot.

The retail rentals of mall merchandising fell the most, with a drop of 5.6 percent. The company said 2019/2020 was a challenging year with several unprecedented events including the social incidents in Hong Kong, the global coronavirus outbreak, and the US-China trade war.