Charter Hall Long WALE Valuations increase 7.6%

7 June 2021

Charter Hall Long WALE REIT (CLW) has announced a 7.6% increase in valuations for its portfolio following ongoing compression in cap rates for well tenanted investments.

CLW had 458 properties, or 92% of the portfolio by gross asset value independently valued as at 30 June 20211. The valuations resulted in a $373.4 million, or 7.6% uplift on prior book values. The overall portfolio value has increased from $4.9bn to $5.3bn and the portfolio average cap rate has compressed 38bps from 5.14% to 4.76%.

Avi Anger, Fund Manager of CLW commented: “The valuations announced today highlight the quality of the CLW portfolio and the benefits of properties with long leases to strong tenants. All our sectors reported improvements in valuations, with particular strength in our long WALE retail, industrial and agri-logistics assets. Collectively, our NNN portfolio saw a 9.7% uplift from prior book values. Charter Hall has carefully curated the CLW portfolio and it is pleasing to see the results of our asset and sector selection being rewarded with strong valuation gains.”

The unaudited impact of the valuations announced today is an increase to the pro-forma NTA per security from $4.65 to $5.24, a $0.59 or 12.8% increase on the December 2020 NTA. CLW will report the REIT’s Financial Year 2021 Results on 9th August 2021