HomeCo Daily Needs REIT posts $311M valuation increase
- HomeCo Daily Needs REIT recorded a gross asset valuation increase of $311 million for the 2026 financial year.
- The real estate trust reported funds from operations of 9 cents per unit and maintained 99% occupancy.
- The company stated that ongoing asset recycling and a $650 million development pipeline are expected to support balance sheet flexibility.
HomeCo Daily Needs REIT (ASX:HDN) reported a $311 million gross portfolio valuation increase for the 2026 financial year.
Funds from operations reached 9.0 cents per unit, rising from 8.8 cents in the previous year.
The company executed $81 million in acquisitions and completed $168 million in asset disposals during the period.
"HDN expects continued topline revenue growth, strong operational execution, and market-leading leasing outcomes to underpin FY27 FFO per unit guidance," said HMC Capital Managing Director, Real Estate & HDN CEO, Sid Sharma.
Management stated that its $650 million development pipeline is targeted to achieve a 7% return on invested capital. The firm stated its new debt facility will support flexibility.
Following the announcement, the HomeCo Daily Needs REIT share price was unchanged at $1.28.
The property portfolio continues to perform well, with comparable property NOI growth of 4.0% forecast for FY27.
The trust focuses on metropolitan properties and has maintained a 99% occupancy rate since its initial public offering.
The business ended the financial year with a 35.7% gearing ratio, sitting at the midpoint of its target range.
