Despite Recent Appreciation Hotel Property Investments Still Looks Attractive

Following on from Hotel Property Investments' release of statutory accounts in late August, the trust released a post-result briefing with further details on its performance. There is no change to our view that the trust is performing well, slightly ahead of proforma prospectus guidance. Distributions were ahead of original guidance, largely a result of a looser hedging policy, which allowed the benefits of lower interest rates to flow through to distributable earnings. Net property income beat prospectus guidance as the trust listed nine days ahead of the time frame captured in prospectus estimates.