CAPE TOWN - UK-based and JSE-listed real estate investment trust Atlantic Leaf said Tuesday it was in a strong liquidity position with cash of cash and available facilities of GBP 29 million.
No debt would mature in the current financial year ending February 28, 2021 and scheduled debt amortisation payments for this year were about GBP 4 million.
The share price traded 5.65 percent lower at R11.03 on the JSE Tuesday morning.
“The company considers that it is well positioned, both financially and operationally, to navigate this period of uncertainty,” it said in a statement.
Forecasted operational cash outflows, including interest, but excluding capex and debt repayments for the financial year were about GBP 10m. Further investments in new investment properties had been put on hold.
The company collects rent quarterly in advance and had received 85 percent of rent due this quarter, of which a portion (10 percent), had been agreed to be collected monthly instead of quarterly.
A further 5 percent of the rent was due to be collected in the forthcoming week. The remaining 10 percent of the rent remained due and payment options were being discussed with tenants.
Atlantic Leaf benefits from a tenant base in a diverse range of industries, and it is not exposed to any direct consumer facing retail, with a majority of its properties in the industrial, distribution warehouse and office sectors.
The company is within its loan covenants and has “substantial headroom in our interest cover and debt service cover ratios” which provided the ability to withstand significant stresses on the timing of rental receipts.