CFS Retail Property Trust has recorded a strong result in the September quarter driven by redevelopments and sales growth across its portfolio.
CFX’s fund manager Michael Gorman said the trust is providing high quality earnings free from foreign currency risk.
The trust’s portfolio generated strong retail sales for the 12 months ended September 30 2007.
Over the period, the trust’s portfolio of 25 retail assets recorded sales of $6.0 billion, up $380 million from the previous corresponding period. Sales growth was 6.7% on a MAT actual basis and 3.9% on a comparable basis, excluding centres under development.
Comparable sales for centres not affected by development grew by 3.9%, led by specialty shops, department stores and mini-majors which showed growth in MAT of 6.0%, 4.8% and 4.6% respectively. Total sales on an actual basis grew by 6.7%.
Meanwhile, the development pipeline has grown to $1.7 billion, from $1.1 billion at June 30 2007.
The trust has made strong progress on a number of key developments currently under construction, while
“The significant growth in the development pipeline, coupled with the positive progress being made on existing projects, should provide long term benefits to CFX unitholders,” he added.
Gorman said looking forward CFX remains focused on investing in high quality Australian retail assets.
“We will continue to look for centres that feature attractive asset and income growth prospects for investors,” he concluded.
Australian Property Journal
