The company has acquired four office assets for $520.9m, funded by a capital raising and new debt. The assets are underpinned by 90% fixed rental reviews averaging 3.7% per annum.
Morgans highlights Centuria Metropolitan is one of the few remaining pure office A-REITs and offers an attractive distribution yield. The broker maintains an Add rating and reduces the target to $2.52 from $2.59.
Sector: Real Estate.
Target price is $2.52.Current Price is $2.41. Difference: $0.11 – (brackets indicate current price is over target). If CMA meets the Morgans target it will return approximately 4% (excluding dividends, fees and charges – negative figures indicate an expected loss).