KUALA LUMPUR: Sentral REIT
posted a 0.4% increase in realised net income to RM39.9mil for the first half ended June 30, 2026 (1H26), supported by higher rental rates, improved occupancy and contributions from the acquisition of Arcoris Mont' Kiara.
The real estate investment trust's realised revenue rose 3.3% year-on-year to RM97.4mil from RM94.3mil previously.
“The improved performance was underpinned by full-half year contribution from the acquisition of Arcoris Mont’ Kiara, alongside higher rental rates across the property portfolio and new tenancies secured at Menara Shell,” Sentral REIT said in a statement.
Sentral REIT declared a total distribution of RM37.9mil for 1H26, equivalent to a distribution per unit (DPU) of 3.17 sen, up 0.3% from 3.16 sen a year earlier.
The distribution will be paid on Sept 18, with the book closure date fixed for Aug 21.
Sentral REIT said its portfolio occupancy improved to 89% as at June 30, compared with 85% a year ago, driven by new tenancies at Menara Shell and stronger rental rates across its portfolio.
As at the end of June, Sentral REIT had renewed about 88,000 sq ft of leases out of approximately 451,000 sq ft, or 21% of its total net lettable area, due for renewal this year. Negotiations for the remaining leases are ongoing.
Its financial position also strengthened, with its gearing ratio improving to 44.9% from 45.3% at the end of March, while interest coverage increased to 2.61 times from 2.58 times.
Chairman Tan Sri Saw Choo Boon said the Sentral REIT’s portfolio had remained resilient despite ongoing supply pressures in the Klang Valley office market, adding that the REIT would continue to reposition and grow its portfolio.
Meanwhile, chief executive officer Tay Hui Ling said higher occupancy, improved rental rates and disciplined cost management supported earnings growth and enabled the REIT to declare a higher distribution, while the manager remains focused on proactive asset and capital management to deliver sustainable returns to unitholders.
“Looking ahead, the manager remains cautiously optimistic and will continue to prioritise proactive asset management and prudent capital management to deliver sustainable returns to unitholders,” it said.
