DIGITAL Core real estate investment trust : DCRU 0% (Reit) on Wednesday (Apr 24) posted distributable income of US$10.6 million for its first quarter ended Mar 31, 2024, down 2.4 per cent from US$10.9 million a year ago.
Gross revenue was down 8.2 per cent to US$24.6 million for the quarter, from US$26.8 million a year ago, the manager said in a quarterly business update.
Net property income fell 9.5 per cent on year to US$15.8 million for the quarter, from US$17.5 million. This was even as property expenses dropped 5.7 per cent to US$8.8 million, from US$9.3 million a year ago.
The weighted average lease expiry for Digital Core stands at 2.8 years as at Mar 31, 2024, with occupancy rates at 95 per cent. The weighted average debt maturity is at 2.7 years while its aggregate leverage stood at 35.1 per cent.
As a dedicated core data centre Reit, Digital Core has a portfolio of data centres across the United States, Canada, Germany and Japan.
Among its key investments in Q1 include the acquisition of an additional 10 per cent interest in a data centre in Osaka, as well as the acquisition of an additional 24.9 per cent interest in a Frankfurt facility. From this, the manager expects the Reit to generate a combined 5.6 per cent distribution per unit (DPU) accretion.
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The Reit also repurchased 7.9 million units at an average price of US$0.579 during the quarter, which delivered 0.6 per cent DPU accretion.
Units of the Reit closed flat at $0.610 on Wednesday before the results were released.
