Fortune REIT’s net property income rises by 14.7% to HK$339.1m

Solid organic growth led to the surge.

The property reaps the gains from its cultivated properties this month, as it saw modest organic growth stemming from positive rental reversions, and additional income contribution from Laguna Plaza acquired earlier this year.

According to analysts from OCBC, Fortune REIT’s occupancy rate was stellar at 98%, despite frictional vacancies from its ongoing asset enhancement initiatives.

“Average rental reversion of 21.8% was achieved, bringing its average portfolio passing rent up from HK$38.40 psf per month to HK$39.70 psf per month. In terms of financial position, Fortune REIT had a low gearing ratio of 30.4%, as at end 3Q15, with 69% of its debt hedged to mitigate interest rate volatility,” OCBC said.