Growthpoint Properties (ASX:GOZ) upgrades FY22 guidance

Company News

by Lauren Evans

Growthpoint Properties (ASX:GOZ) have upgraded their FY22 guidance following an active business period.

The real estate investment trust announced its funds from operations upgraded to at least 27 cents per security from 26.3 cents, while FY22 distribution guidance also upgraded to 20.8 cents per share from 20.6 cents.

“We’re pleased to upgrade our FFO and distribution guidance today to at least 27.0 cps and 20.8 cps, respectively, supported by strong leasing success across the portfolio, our additional investment in Dexus Industria REIT, the acquisition of 11 Murray Rose Avenue, Sydney Olympic Park, NSW, and the active management of our debt book,” said managing director Timothy Collyer.

“Growthpoint has had an active period across the business, during the first half of FY22. We are pleased to have exchanged contracts to acquire an A-grade office asset in the ACT, with high occupancy and a long WALE, increasing our investment in this market to $261 million.”

Growthpoint refinanced $715 million of debt and entered into two new debt facilities totaling $150 million at lowest pricing in group's history.

“We have also taken advantage of record-low pricing to extend $715 million of existing debt facilities, reducing our refinancing risk and lowering our average cost of debt by 23 basis points and extending our weighted average debt maturity by 2.6 years."
Shares in Growthpoint Properties Australia (ASX:GOZ) are trading 2 per cent higher at $4.26.

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