Prime REIT’s H1 2022 Distributable Income Up 16.7%

August 8, 2022 – Prime US REIT published its financial results for the half year ended 30 June 2022.

PRIME’s gross revenue and net property income for 1H2022 increased 13.5% and 9.7% year- on-year to US$81.8 million and US$50.8 million, respectively. Distributable income increased 16.7% YoY to US$41.3 million.

The notable performance was mainly attributable to Sorrento Towers and One Tower Center, both of which were acquired in July 2021. Distributions per Unit for 1H2022 of US 3.52 cents translated to an attractive annualised distribution yield of 10.5% per annum based on closing unit price as at 30 June 2022.

PRIME’s diversified portfolio and proactive lease management continues to demonstrate resilience with eight consecutive quarters of positive rental reversion despite the COVID- impacted environment.

Lease renewal and executing new leases continue to be a key focus of management. During the quarter, 85,733 sq ft of leases were executed at a positive rental reversion of 11.2% (excluding leases with less than one year term, 10.9% including short term leases).

New leases constituted 47% of leases signed in the quarter, with new tenants diversified across finance, professional services and health care tenants. In place rents continue to be below asking rents by 5.3%, providing potential for future rental reversions.

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