Emirates REIT, managed by Equitativa, reported a 20% increase in net property income for FY25, citing higher occupancy, lower financing costs, and robust dividends.
The firm revealed that funds from operations, excluding gains from divested properties in 2024, surged to a record USD $25M. This marks a substantial turnaround from the negative USD $5M recorded in FY24.
Net property income rose to USD $71M, up from $59M YoY, while occupancy rates jumped 2% from 94% to 96%.
LTV declined from 24% to 20% YoY. This drop was supported by a 61% reduction in net finance costs, which fell by $31M to just USD $19M.
Despite the disposal of two properties in FY24, revaluation gains contributed USD $191M to lift total asset value to USD $1.25B. The net asset value also saw a marked increase of 27% to USD 896 million. The REIT distributed dividends totalled USD $14.5M during FY25.
Operational efficiencies improved as property operating expenses decreased by 16% to USD $9.7M. This was bolstered by the successful refinancing of Sukuk II, leading to a marked reduction in financing costs.
In November 2025, an existing USD $50.1M Islamic financing facility was refinanced on more advantageous terms, reinforcing the REIT’s financial position.
Thierry Delvaux, CEO of Equitativa, highlighted the positive performance of Emirates REIT in a statement: “we have delivered record funds from operations, achieved occupancy levels of 96% and strengthened our balance sheet through significantly lower financing costs.”
Looking forward, the firm remains vigilant regarding regional uncertainties while ensuring prudent capital management and portfolio oversight.
Stay Up to Date with the Latest Updates at Finance ME
HSBC Appoints Jack Yang as CFO of Asia, Middle East
Post-War Realities: Why Saudi Arabia Will Accelerate Localisation
Presight Director: AI is Becoming Core Financial Infrastructure
