New Delhi: Nexus Select Trust, a REIT listed on the stock market and supported by retail property, revealed a 7 per cent rise in net operating income to Rs 412.7 crore for the June quarter. They also disclosed intentions to secure up to Rs 1,700 crore by releasing commercial papers and debentures.
The company reported in a regulatory filing that it saw an 8 percent increase in retail Net Operating Income (NOI) to Rs 371.9 crore in the April-June period compared to the same period last year. Nexus Select Trust announced a Rs 325.3 crore distribution, equivalent to Rs 2.147 per unit, for the initial quarter of 2024-25.
Agreed to acquire 0.8 million square feet of retail assets with two term sheets signed; started due diligence process. The company stated that a total of 5 assets are currently being acquired, including those that were announced previously.
The board of Nexus Select Trust has authorized the raising of funds through the issuance of listed, rated, redeemable commercial papers up to Rs 500 crore and non-convertible debentures up to Rs 1,200 crore in multiple transactions, series, or tranches. Executive Director and CEO of Nexus Select Trust, Dalip Sehgal, mentioned that they observed strong retail net operating income growth of 8 pc year-over-year despite soft macro consumption growth caused by factors like varying weather patterns and general elections.
Regarding the expansion through acquisitions, he stated that "Our strategy remains unchanged." We aim to double our retail portfolio's net operating income in the next 5 years and have signed term sheets to acquire 2 retail assets totaling 0.8 million square feet in the quarter. This will be financed with borrowing and is anticipated to be finalized within the coming months. Nexus Select Trust's collection consists of 17 shopping centers.
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