**Summary of Alternative Income REIT PLC Half-Year Financial Report (March 2026)**
**Overview**
Alternative Income REIT PLC (AIRE) released its half-year financial report for the period ended 31 December 2025, highlighting resilient performance and strategic progress. The report emphasizes the companys focus on delivering secure, index-linked income with potential for capital growth.
**Financial Highlights**
**Net Asset Value (NAV)** Increased by 1.0% to £68.0 million (84.48 pence per share), driven by a £0.4 million rise in investment property fair value.
**Share Price Total Return** +2.7% for the period.
**Unaudited NAV Total Return** +3.8%, including interim dividends of 2.95 pence per share.
**Dividend Target** On track to deliver an annual dividend of no less than 5.6 pence per share for the financial year ending 30 June 2026, fully covered by earnings.
**Portfolio Value** 19 properties valued at £103.5 million, down from £107.4 million at 30 June 2025, due to the sale of the Crawley petrol filling station.
**Debt Refinancing** Completed new long-term debt facilities with HSBC UK Bank plc, totaling £41 million, comprising a £31 million term loan and a £10 million revolving credit facility.
**Operational Performance**
**Contracted Rent Growth** 0.7% on a like-for-like basis, primarily due to index-linked rent reviews in Salford, Brough, and Solihull.
**Index-Linked Leases** 92.1% of leases are index-linked, with 38.0% of rental income reviewed annually.
**Rent Collection** 100% of rent due during the period was collected.
**Weighted Average Unexpired Lease Term (WAULT):** 15.4 years to the earlier of break and expiry, and 17.1 years to expiry.
**Post-Period Highlights**
**Interim Dividend** Declared 1.40 pence per share for the quarter ended 31 December 2025, paid on 27 February 2026.
**Future Rent Reviews** 22% of income will be reviewed in the next six months, including four annual index-linked rent reviews and one periodic review.
**Chairman’s Statement**
Simon Bennett, Non-Executive Chair, expressed confidence in the company’s positioning, highlighting the portfolio’s ability to deliver secure income and potential capital growth. The dividend target reset to 5.6 pence per share reflects increased financing costs from new debt facilities.
**Market Outlook**
The UK real estate market showed resilience in H2 2025, with record investment volumes in Q4 2025, particularly in the living and industrial sectors. AIRE’s share price remained relatively stable, reflecting income resilience despite rate sensitivity.
**Conclusion**
Alternative Income REIT PLC demonstrated robust financial and operational performance in the first half of its financial year, supported by a diversified portfolio and strategic debt refinancing. The company remains well-positioned to meet its dividend targets and capitalize on market opportunities.