Richard Shepherd-Cross, managing director of Custodian Capital, discusses the recent FY17 results, which showed a 2% increase in NAV and a 48% rise in earnings. Richard discusses the main drivers of the increases in earnings and NAV during the year. He looks at how the 25 acquisitions in the year have maintained the geographical and sectoral focus of the portfolio. He goes on to talk about whether there are still opportunities to acquire properties at yields in line with its targets and the financial resources the company has to continue building the portfolio. He then discusses the potential for rental growth across the regions over the next two years. Finally, he covers dividend growth and the aim to maintain a covered dividend this year and beyond.
Custodian REIT is an income-orientated REIT focused on UK commercial property outside London. CREI is managed by Custodian Capital, a subsidiary of Mattioli Woods, which holds 8% of CREI on behalf of its clients, through its discretionary portfolio management service.