Frasers Property Limited reports FY24 full year results

Frasers Property Limited (FPL) has announced its results for the full year ended 30 September 2024 (“FY24").  

Strong leasing momentum, strategically positioned landbanks and a consistent development pipeline underpin solid performance.

Frasers Property Industrial reports profit before interest and tax of S$409.3 million (A$460.7 million and EUR 286.0 million) for FY24, with assets under management of S$12.0 billion (A$13.5 billion & EUR 8.4 billion).

Key performance highlights as at 30 September 2024:

• Frasers Property Industrial’s assets under management valued at S$12.0 billion (A$13.5 billion and EUR 8.4 billion)
• Frasers Property Industrial’s total assets under management comprises 175 completed properties across five countries, equating to 4.6 million sqm of net lettable area (NLA):
  • Australia: 
    • Non-REIT portfolio consisting of 45 completed assets with a total value of S$2.8 billion (A$3.2 billion & EUR 2.0 billion)
  • Europe: 
    • Non-REIT portfolio consisting of 18 completed assets with a total value of S$0.6 billion (A$0.7 billion & EUR 0.4 billion)
• Frasers Property Industrial’s multinational network and expertise supports customers across geographies, with continuing high-quality tenant demand driving a stable pipeline of development projects: 
  • Strategic land bank totalling 2.9 million sqm located in prime areas secures robust development pipeline 
  • Strengthened pipeline with 12 assets under development totalling ~372,000 sqm planned for completion in FY25 (11 assets) and FY26 (1 assets).
    • VIC totalling ~96,000 sqm across three projects at Rubix Connect in Dandenong South
    • NSW totalling ~99,000 sqm across four projects at ‘The YARDS’ development in Kemps Creek
    • QLD totalling ~16,000 sqm across two projects at Vantage Yatala, Stapylton
    • The Netherlands totalling ~83,000 across two projects at The Anchor, Lelystad and Citylog Campus Breda, Breda
    • Germany totalling ~78,000 sqm in The Tube, Dusseldorf
  • Acquired four greenfield development sites totalling ~585,000 sqm in Australia and the Netherlands in FY24. 
    • Including partnering in a 50:50 joint venture to secure ~500,000 sqm in Melbourne’s southeast in 2Q FY24
  • Completed 12 development projects ~352,000 sqm across Australia and the Netherlands in FY24. 
    • Five assets in NSW totalling 168,000 sqm
    • Four assets in VIC totalling 83,000 sqm
    • Two assets in QLD totalling 68,000 sqm
    • One asset in The Netherlands totalling 33,000 sqm

• Realised strong leasing activity with renewals and new leases in FY24 totalling ~669,800 sqm, comprising ~447,200 sqm in Australia and 222,600 sqm in Europe.
• Australian portfolio is 97.9% occupied with a weighted average lease expiry (WALE) of 5.2 years, and 96.9% occupancy in Europe with 4.8 years WALE.  
• The solid FY24 performance by Frasers Property Industrial reflects Frasers Property Group’s continued strategy to leverage its multinational expertise in the industrial property sector with capabilities in development management, asset management and investment management, and a network positioned to support customers’ businesses across geographies. 
• Sustainability continues to be a core focus for the Group. For the fourth consecutive year, Frasers Property Industrial achieved Regional Sector Leader Status in the 2024 Global Real Estate Sustainability Benchmark (GRESB). 

Market overview and CEO commentary: 

Reini Otter, Chief Executive Officer, Frasers Property Industrial says the company is well-placed to continue capitalising on the current industrial and logistics market conditions. 

“Our landbanks, located in prime core markets with robust rental growth, have delivered strong momentum in lease renewals and new lease signings, and while yields have softened, our business remains resilient, with the majority of capital invested in income-producing assets supplemented by a significant development pipeline.

Mr Otter added that the business is committed to ensuring that its assets remain innovative, cost-efficient, and future-proofed, striving towards positive environmental outcomes for the company and its customers. “Our premium industrial and logistics assets are developed to not only enhance business productivity but also prioritise the well-being of the people who work in them, incorporating architectural and design concepts that provide outdoor space, natural light, and high-quality finishes with best-in-class sustainability and technology at their core.”  

“As part of our commitment to achieving sustainability outcomes, we have invested in the installation of 27.9 MW of solar power across our portfolio.”

Read the full announcement from Frasers Property Limited here: FY24