Proactive analyst Ed Stacey examines Sirius Real Estate (LON:SRE) after the firm published a trading update for the year ended March 31, 2021, which he says confirmed the robust performance of the business. The company reported occupancy of 87.0% (2020: 85.3%) and cash collection of rent remaining strong at 98.2%.
Encouragingly the company also reported the annualised rent roll grew by 7.6% (5.2% like-for-like) despite COVID. Stacey believes this reflects the company’s flexible internal operating platform, which has allowed Sirius to react quickly to changing occupier demands.
Rental income growth is also used as a determinant for valuation uplifts and we expect this to be reflected in the year-end portfolio valuation, to be released alongside full-year results on June 7.