Ends March quarter with strong balance sheet and substantial liquidity of BDS$15.9 million

Despite the challenging operating environment in the region and the ongoing effects of the global pandemic, cross listed real estate outfit, Eppley Caribbean Property Fund maintained its profitability during the March quarter.

Eppley Caribbean Property Fund, which is listed on the stock exchanges of Jamaica, Trinidad and Barbados is reporting that net profit attributable to shareholders remained fairly steady at BD$1.62 million for the six-month period ended March 31,2021. This is compared to BD$1.68 million reported for the same period last year.

The Fund’s Jamaican properties and its recently acquired industrial and office assets, continue to offset much of the effects of the COVID-19 pandemic on its Barbados retail properties linked to tourism and travel. Net Operating Income (NOI) attributable to shareholders, a measure of the Fund’s share of rental income less its operating expenses, declined seven per cent to $1.9 million.

Rent relief was the main cause of the decline

The decrease is mostly reflective of rent relief provided to our tourism retail tenants in Barbados. Funds from operations attributable to shareholders, a metric that reflects the Fund’s NOI less its net cost of financing was BD$1.7 million for the half year period ended March 2021.

This is compared to BD$2 million reported in the corresponding period last year. This is similarly reflective of a decrease in the Fund’s NOI attributable to shareholders and changes in the Fund are financing structure.

At the end of the quarter, “the value Fund concluded the half year period with a strong balance sheet and substantial liquidity of BD$15.9 million. Our capital structure keeps us well-positioned to continue navigating this uncertain economic climate as we continue to execute our strategic initiatives, seeking high-quality acquisition opportunities to further scale and diversify our portfolio by asset type and geography”.

The acquisition of commercial properties in Trinidad & Tobago was in line with its initiative to further scale and diversifies its portfolio. The fund has announced that subsequent to the end of the quarter, it acquired two commercial properties in Trinidad & Tobago: 155-157 Tragarete Road, Port of Spain and 52 Valsayn Branch Road, Curepe.

Following the addition of these two properties, the Value Fund now owns and operates 16 high quality buildings, spanning over 775,000 square feet, in three of the largest English-speaking countries in the Caribbean, being Jamaica, Barbados and Trinidad & Tobago.

Interim dividend approved last week

Last week the board approved an interim dividend of 0.8 cents per share, in line with the Fund’s dividend policy. In conclusion, the Value Fund continues to maintain a strong balance sheet and core operating profitability.

The Fund’s resilient performance continues to justify its strategy of scale and diversification, as recently acquired properties have been critical in offsetting the impact of COVID-19 on its traditional Barbados retail properties.