Hektar Asset Management Sdn Bhd, the Manager of Hektar Real Estate Investment Trust (“Hektar REIT”), is pleased to announce the financial results for the third quarter ended 30 September 2026 (“Q3 2026”), with NPI continuing to grow on the back of improved property-level operating performance, ongoing cost optimisation and the first full-quarter contribution from its newly acquired industrial asset in Penang.
For Q3 2026, Hektar REIT recorded revenue of RM32.0 million, an increase of 3.2% YoY compared to the corresponding quarter last year. As a result, 9M 2026 NPI widens to 50.6% from 48.7% in the corresponding period last year. On the other hand, net realised income remained stable at RM3.5 million, compared to the preceding quarter.
The portfolio’s leasing performance remained steady during the quarter. As at 30 September 2026, overall portfolio occupancy stood at 89.2%, while Hektar REIT recorded an overall rental reversion of 4.4% in Q3 2026 over previous contracted rents, mainly driven by Subang Parade in Subang Jaya and Kulim Central in Kulim, Kedah. This quarter saw the introduction of new brands such as Brownie Munch and CC Roasters & Paolo Paolo Gelato in Subang Parade; Skechers in Kulim Central; and Sopoong, Kopihut and AE Cinemas in Mahkota Parade. Meanwhile, Segamat Central’s occupancy shot up to 83.9% with BingXue, Cendol Express and newly opened AE Cinemas. The REIT also welcomed local fashion brands Tresno, Furedo and RHKL, in support for homegrown creative brands. These results reflect the success of targeted tenancy remixing in driving both rental growth and occupancy.
“The brand mix we have been building is paying off,” said Zainal Iskandar Bin Ismail, Executive Director and Chief Executive Officer of Hektar Asset Management. “Our third-quarter results reflect the continued strengthening of our core portfolio. NPI grew for another quarter and our year-to-date NPI margin has improved to 50.6%, underpinned by higher occupancy, active tenant remixing and disciplined cost management across our assets.”
He added, “The quarter also marked the first full-quarter contribution from our newly acquired industrial asset in Penang, a tangible step in diversifying Hektar REIT’s income base beyond retail. We expect our enlarged non-retail income engine to support more resilient and sustainable earnings over the medium to long term.”
For the nine-month period ended 30 September 2026 (“9M 2026”), revenue increased to RM95.0 million, while NPI grew 5.0% YoY to RM48.1 million, driven by higher occupancy rates, successful tenancy remixing and continued cost optimisation across the retail assets, as well as the new contribution from the Bayan Lepas industrial asset.
The completed acquisition of the industrial asset in Bayan Lepas Free Industrial Zone, Penang, contributed NPI of RM0.514 million during the quarter under a Triple Net Lease structure. Together with its education asset, non-retail assets contribution accounted for 17.0% of Hektar REIT’s total NPI for 9M 2026, reflecting the REIT’s ongoing efforts to diversify its income base beyond retail properties.
As at 30 September 2026, Hektar REIT’s total assets stood at RM1.53 billion, compared with RM1.46 billion as at 31 December 2025, while NAV per unit improved to RM1.0586 from RM1.0497.
Looking ahead, the Manager remains optimistic on the operating environment on the backdrop of generally resilient household financial positions, supported by stable labour market conditions and policy measures that help sustain consumer spending. The Manager will continue to focus on enhancing occupancy through strategic tenant remixing, optimising rental reversions, implementing targeted asset enhancement initiatives, and pursuing value-accretive acquisition opportunities, while maintaining disciplined cost management to mitigate rising operating and tax-related costs.
