ENBD REIT, the Shariah compliant real estate investment trust managed by Emirates NBD Asset Management Limited, has announced said its Net Asset Value (NAV) stood at $254.7 million, equivalent to $1.02 per share for the financial year ended 31st March 2026, representing a 16.5% increase year-on-year from $218.6 million.
The increase was driven by valuation uplifts across the portfolio, supported by continued leasing activity and favourable conditions across Dubai's commercial real estate market, the company said.
The office portfolio remained the primary engine of performance across the year. Improving market rents and strong occupier demand sustained momentum across the REIT's core commercial assets. The Dubai International Financial Center (DIFC) continues to attract regional and international occupiers, keeping vacancy low and supporting valuations. At The Edge in Dubai Internet City, the year saw two notable leasing milestones, with an existing tenant expanding by an additional 15,000 sq ft and a 30,000 sq ft lease renewal secured, bringing the asset to 99% occupancy at year end. Offices now account for 72% of total portfolio value, consistent with the REIT's strategic focus on prime, income-generating locations.
The property portfolio closed the year at $430 million, up 8.6% year-on-year from $395 million, with gains recorded across office assets and stable contributions from the residential and alternative segments. Overall occupancy held at record levels of 95%, unchanged from the prior year and reflecting a disciplined approach to leasing and tenant retention throughout the portfolio.
Funds from Operations (FFO) for the full year reached $12.5 million, up 11.7% from $11.2 million, supported by higher portfolio income and a reduction in finance costs. Finance costs fell to $11.9 million from $13.2 million in the prior year. Rental income grew to $37.7 million from $36.9 million. Net income for the year, including unrealised valuation gains, amounted to $45.5 million, a 35% increase from $33.7 million in FY2025. The LTV ratio stood at 42% at year end.
Jonathan McGloin, Head of Real Estate at Emirates NBD Asset Management, commented: "This has been a strong year for ENBD REIT. NAV grew meaningfully, FFO improved, and occupancy remained at its highest recorded level, a reflection of the quality of the portfolio and the leasing work done throughout the year. DIFC in particular continued to perform well, with sustained demand and take up holding firm providing upward pressure on rentals since the start of the financial year. We go into the new financial year with a well-occupied, well-managed portfolio and a balance sheet that gives us room to continue delivering for shareholders."
ENBD REIT's Board has proposed a final dividend of $5 million, or $0.02 per share, for the financial year ending 31st March 2026. This brings the total dividend for the year to $10.1 million, or $0.0404 per share, consistent with the prior year. -TradeArabia News Service
