Listed industrial property landlord Property For Industry
(PFI) has announced a 7.5% drop in distributable profit for
the year ended December 2012, which it has attributed to
sales of properties in the previous year and vacancy during
PFI yesterday also announced its portfolio revaluation which,
at $12.3 million, equated to a 3.3% increase in the value of
the company's property portfolio to $382.2 million.
That would increase further to $397.2 million on settlement
of the acquisition in property in Mt Wellington during the
first quarter of 2013.
After-tax profit for the 2012 year increased to $10.6
million, or 64.7%, to $26.9 million up from $16.3 million in
2011. The rise was a result of a $15 million increase in
non-operating income and expenses, which includes the
revaluation uplift, offset by a $2.3 million increase in
deferred taxation and a $2 million fall in operating
General manager Nick Cobham said there was ''considerably
more'' optimism evident in the industrial property market in
2012 than had been in the previous three to four years.
''Whilst leasing activity may have been quieter in the last
quarter of 2012 than the first three quarters, there was
noticeably increased investor activity in the second half of
the year, resulting in transactional evidence of lower yields
achieved for prime industrial property,'' Mr Cobham said.
Progress had been made repositioning the portfolio during
2012; the acquisition of three significant industrial
properties and disposal of selected non-core properties was
complemented by more than 50 leasing transactions.
That activity provided a foundation from which to build
future earnings growth, Mr Cobham said.
The company will pay a fourth quarter final dividend of 1.85c
per share, bringing total dividends for the year to 6.60c per
The 50 industrial properties in PFI's portfolio, in Auckland,
Wellington and Christchurch are leased to 86 tenants.