Alternative Income REIT has posted a slight decrease in portfolio value on a quarterly basis, with the fall spread across the residential, leisure and care sectors.
Simon Bennett, non-executive chair at Alternative Income, said transaction levels were “low across the real estate market as a whole, but [those] sectors, in particular, have seen the most liquidity evidencing value levels”.
The group’s 19-asset portfolio was valued at £102.6m in March, down 0.7% on December’s value. The net initial yield on the portfolio was 7%, up from 6.9% in December.
NAV per share nudged down by 1.2% to 80.6p at the end of March, compared with 31 December last year.
Bennett said the group’s portfolio was “relatively insulated from market fluctuations”, since it is fully let and has collected 100% of rent due. It also has a 95.8% index-linked rent review profile and low borrowing costs, fixed at a weighted average interest rate of 3.19% until October 2025.
The board is also seeking to invest the remaining £2.2m proceeds from the sale of a hotel in Glasgow.
Send feedback to Pui-Guan Man
Follow Estates Gazette
