Property fund Equites says collection rate remains high

Logistics real estate investment trust Equites Property Fund has recorded solid results, remained disciplined in capital allocation and protected its balance sheet during the six months ended August 31, despite the challenging macroeconomic challenges in the UK and South Africa.

Equites on Tuesday reported a 0.4% increase to R17.44 in its net asset value per share for the interim period.

Distribution remained relatively flat at 74.44c a share, compared with 74.43c a share for the previous comparable period.

Equites’ average collection rate was more than 99% over the six-month reporting period, across South Africa and the UK.

The company has granted short-term cash flow relief and longer term cash flow relief to tenants in the form of rent deferral, as part of its efforts to ensure sustainability and that tenants remain operational and continue paying rent in the future.

Looking ahead, Equites said that while the effects of the pandemic were still unfolding, it was confident that is had effectively managed the first round impacts.

With collections remaining robust, the board expected the company to achieve full year distribution per share growth of 2% to 4%.