Custodian REIT Announces Strong Quarterly Growth and Upcoming Dividend Increase

Custodian Property Income REIT plc reported a robust performance for the fourth quarter ending March 31, 2024, underpinned by significant leasing activities and stable asset valuations, leading to an increased dividend forecast. The company announced a stable quarterly dividend and a special FY24 dividend, contributing to an aggregate dividend increase for the year. The Q4 dividend was maintained at 1.375p per share while the FY24 special dividend contributed an additional 0.3p per share, setting the total annual dividend to 5.8p, a rise backed by unaudited EPRA earnings.

For the fiscal year 2025, Custodian REIT sets a dividend target of 6.0p per share, marking a 9% increase from the previous year, reflective of a strong yield performance. The firm’s portfolio, largely focused on industrial and regional properties, showed a like-for-like rental growth, particularly within the industrial sector, driving an overall earnings increase. Valuations remained steady across its diversified property portfolio, valued at about £589.1 million, illustrating resilience in asset worth amidst ongoing management efforts.

The company also highlighted its strategic disposals which exceeded valuations and reduced borrowings, aligning with its prudent debt management. Looking forward, Custodian REIT aims to sustain dividend growth without compromising strategic flexibility, supported by secured rental income and effective cost management strategies.