Emirates REIT announces net profits for first half

Emirates REIT (CEIC) Limited (Emirates REIT or the REIT), the first Shari'a compliant regulated real estate investment trust incorporated in the Dubai International Financial Centre (DIFC), yesterday announces its interim results for the six month period ended 30 June 2014.
Net Profit for the 6 month up +194% to US$ 34.15 million from US$ 11.61 million for the same period in 2013.
Portfolio value increased by +73%, to US$ 559.65 million (Dh 2.06 billion) from US$ 323.13 million (Dh 1.19 billion) at the end of 2013.
Net asset value per share rose to US$ 1.3939. This represents a total return of +6.8% for the first six months of 2014 which equates to an annualised total return of +13.6%.
Reduction in ongoing borrowing rates by 42%, from 5.5% to a current rate of 3.21%.
During the first half of 2014, Emirates REIT's ordinary shares were admitted to the Official List of Securities of the Dubai Financial Services Authority (DFSA) and to trading on NASDAQ Dubai Limited under the ticker symbol 'REIT'. The admission followed a successful international IPO, which was 3.5 times over-subscribed, raising US$ 201 million.
Abdulla Al Hamli, Chairman of the REIT Manager, said:"Since Emirates REIT became a public listed entity in April, I am pleased to report strong progress at both a financial and operational level. In just a few months we delivered what we have promised our shareholders; using the net proceeds to increase the size of the portfolio. The two acquisitions demonstrate that there are still significant opportunities within the Dubai market to invest at attractive prices in prime buildings, which offer substantial growth. We will continue to work on our sizeable acquisition pipeline, located mainly in Dubai and across all commercial sectors."