Custodian REIT is to link its dividend payments to rent collection levels as it experiences “inevitable disruption” in the face of the coronavirus pandemic.
The landlord, which has a mixed portfolio of 161 assets spread across the UK, said that it would pay its dividend for the quarter ended 31 March 2020 as it had collected all rent for that period but that the current level of dividend was not expected to be supported going forward.
It said: “The company intends to continue to pay quarterly dividends at a level broadly linked to net rental receipts, with support from prior years’ undistributed reserves if required, of no less than an aggregate 1.5p per share for the first half of the financial year ending 31 March 2021, until deferred rents can be collected and the dividend can return towards the target level.”
