Operational efficiency continued to improve in 2025
Equitativa (Dubai) Limited, Manager of Emirates REIT (Emirates Real Estate Investment Trust/s) or the recently reported FY2025 financial results for Emirates REIT for the period ending 31 December 2025, according to a press statement.
Focused portfolio management, disciplined balance sheet control and positive valuation gains combined to deliver record-setting results for Emirates REIT.
The REIT returned Funds from Operations of US$ 24.9mn for FY2025, supported by successful enhancement to the portfolio occupancy, increase of the rental rates and strong demand for high quality commercial property and a substantial reduction in financing costs.
Operational efficiency continued to improve in 2025, with a 16% reduction in property operating expenses to US$ 9.7mn.
Refinancing strategy
The REIT also benefited significantly from its refinancing strategy. Net finance costs fell sharply by 61% to US$ 19.3mn (FY2024: US$ 49.5mn) following the successful refinancing of Sukuk II with a substantially lower coupon rate, the press statement continued.
“In all, 2025 was an excellent year for Emirates REIT. We have delivered record funds from operations, achieved occupancy levels of 96% and strengthened our balance sheet through significantly lower financing costs. Stronger financials and consistent cash flow have enabled us to deliver dividend distributions of US$ 14.5mn to our shareholders during the year,” explained Thierry Delvaux, CEO, Equitativa.
Disciplined approach
“Emirates REIT remains focused on maintaining a disciplined approach to capital management and portfolio oversight. Equitativa continues to closely monitor developments and assess potential implications for the business and its operating environment,” he added.
Emirates REIT is a Dubai-based real estate investment trust investing principally in income-producing real estate in line with Shari’a principles.
Equitativa, as the founder of the UAE’s first Shari’a-compliant REIT, Emirates REIT, established in the DIFC, is today one of the largest REIT managers in the Gulf Cooperation Council.
