CENTRAL REIT Investment Corporation [3488.T]
TOKYO, Apr 17 (Pulse News Wire) – CENTRAL REIT Investment Corporation (3488.T) reported its fiscal year ended February 2026, achieving higher operating profit and net income compared to the previous period. Revenue increased by 9.3%, driven primarily by growth in rental income and recovery revenues from properties such as Saint Seiki Sakura Hill.
Operating expenses rose due to higher repair costs but were partially offset by reduced general meeting fees. In March 2026, the company executed its first external growth action through acquisitions facilitated by new sponsor Meitetsu Urban Development and support from regional financial institutions. Key assets acquired included Enishio Nihonbashi Station and Upchun KD Building, valued at approximately ¥10 million and ¥11 million respectively. Financing was secured via loans from various banks, including Mizuho Bank, totaling ¥252 billion.
The acquisition strategy aligns with Central REIT's mid-term growth plan aimed at doubling asset size to reach ¥1 trillion within two to three years. The portfolio now includes properties across diverse locations such as Sendai, Hakusan, and Kita-Kyoto, enhancing geographical diversification and operational flexibility. Central REIT also improved its leverage position by recruiting additional lenders and adopting variable interest rates, reducing borrowing costs while maintaining a balanced capital structure. The total debt-to-assets ratio stood at 40.5%, down slightly from the previous period, ensuring sustainable financial health and supporting future distribution growth.
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