AmFirst – BT

AmFIRST REIT nets RM25 revenue in Q1

AmFIRST Real Estate Investment Trust (AmFIRST) has registered a revenue of RM25.11 million for its first quarter ended June 30, 2010, up by 6.17 per cent from RM23.65 million in the same quarter last year.

Its net property income rose 15.94 per cent to RM17.66 million from RM15.23 million previously. However, the company’s income after tax declined marginally to RM9.94 million from RM10.58 million previously due to higher interest expense that resulted from the overnight policy rate (OPR) hike and provision for doubtful debt, AmFIRST said in a filing to Bursa Malaysia today.

“Despite a marginal slip in income after tax for the first quarter period, we are pleased to report a positive start to the year with a fair performance of all six AmFIRST’s assets during the three-month period,” said Lim Yoon Peng, chief executive officer of Am ARA REIT Managers Sdn Bhd, the manager of AmFIRST.

During the three-month period under review, the overall occupancy rate of AmFIRST’s property portfolio recorded a slight increase to 82.92 per cent from 82.36 per cent.

“Our asset management team, together with the appointed property managers are actively promoting the existing vacant space at Menara Merais, Kelana Brem Towers and The Summit Subang USJ,” Lim said.

“Judging from the feedback and enquiries received from potential tenants, we hope to seal a few tenancies within the second quarter period ended September 30, 2010,” he said, adding that a more aggressive leasing effort will be undertaken amid the growing competition and supply of office and retail space.

AmFIRST, which earlier this year completed the refurbishment of Menara Merais, has lined up asset enhancement works on its other properties to make it attractive to potential and existing tenants. — Bernama