Diversified property company and mall operator Kiwi Property has reported “robust rental growth” and “record sales” in its full-year results.
For the year to March 31, the group’s net rental income rose 13.9 per cent to $203.7 million while operating tax-paid profits grew 11.3 per cent to $129.6 million.
Adjusted funds from operations grew 16.1 per cent to $116.5 million with rent reviews increasing 5.3 per cent and new leasing up 4.4 per cent.
In the company’s asset portfolio, The Sylvia Park Precinct and The Base proved the “most resistant” to macroeconomic headwinds with valuation decreases of only 1 per cent and 2 per cent, respectively.
Kiwi Property CEO, Clive Mackenzie, said the company’s strong operating result demonstrated the “merits” of its mixed-use strategy.
“The relative resilience of our key mixed-use assets highlights the strength and performance of these flagship properties.
“While the decline in the value of our investment portfolio is disappointing, it is not unexpected given the stage of the property cycle and current economic headwinds.”
During the year, the company sold its Northlands Shopping Centre, 44 The Terrace and Westgate Lifestyle Shopping Centre for $85.7 million, as part of its capital recycling program.
