In a trading update ahead of H124 results to be published in November, LXi REIT said that it expects to report EPRA net tangible assets (NTA) of 112p (FY23: 121p) having accrued the Q2 DPS of 1.65p that was paid in October. LXi continues to target a DPS of 6.6p (+4.8%) for the year, fully covered by cash earnings. The NTA decline was driven by a c 4% like-for-like reduction in the portfolio during the period and with rental growth continuing (completed rent reviews generated a 3.4% pa uplift) the valuation reflects a yield of 5.7% (FY23: 5.35%). As a result of the valuation movement, LTV has increased slightly to 38% (FY23: 37%), within the company’s target range of 30–40% and well within covenants. Debt costs are fixed with a maturity of more than five years at 4.7%. Near term, LXi remains focused on capital recycling through further assets sales and accretive lease regearing.