Is United Hampshire US REIT A Good Buy In 2025? [Fundamental Analysis]

In this article, we'll conduct a fundamental analysis and review of United Hampshire US REIT and its suitability to achieve the following investment objective: To deliver a stable dividend yield of 5% to 6% per year while having high capital preservation ability.

Information Is Accurate Up To April 2025

Business Description

US Hampshire US REIT is a retail REIT that was listed in 2020 and owns retail properties and self-storage spaces across the United States.

What I Like About :

Operations have been stable since the listing (2020), and the dividend yield is very attractive, given how beaten down the counter is.
Though unproven, the management's recent capital recycling effort has been rather successful (Figure 11)
Properties are leased to tenants who are largely grocery and necessity service providers, which will provide higher stability in rental income which is seen in the high tenant retention rate (FY24: 92%) (Figure 13)
Leases are substantially on a Triple Net Lease basis with build-in rental escalation and no early termination rights.

What I Do Not Like About

The properties are mostly quite aged (completed from 1970 to 1990), which may require more asset enhancement initiatives to ensure that they remain competitive with similar properties that are “newer.”

Updates From Recent Performance (FY 2024)

General Comments:

FY2024 gross revenue grew by 1.4% due to robust leasing momentum and proactive portfolio management. Net property income was 1.7% lower due to the absence of contribution from the divested properties.
DPU from operations decreased by 12.57% at the back of lower NPI and a higher borrowing cost. Reported DPU decreased by 17.36% due to the above-mentioned factors combined with the fact that the managers elected to receive their fees in cash instead of units.

Positive Headwinds:

The cost of borrowing is expected to remain stable in FY2025 before coming back down in FY2026 due to the low refinancing requirements this year.
The Strip Center sector is expected to continue to benefit from favorable market conditions – including limited new supply and robust retailer demand for existing space.

Negative Headwinds:

Ongoing trade war may result in severe disruption in consumer confidence and patterns. This may result in additional headwinds for Hampshire even though their tenants are largely defensive in nature. On the flip side, higher prices might also translate to higher tenants’ sales and better performances depending on demand elasticity for Hampshire’s tenants.

Download Full Report On Telegram

and continue reading my independent analyst report which will provide you with a detailed look at the fundamentals of the stock and a range of price targets to help you out with your investment decision for United Hampshire US REIT:

*Join the channel → click on the channel name → under files → download the report you want!

If you would like to learn about REIT investing, you can find my entire methodology in my eBook: Retire With REITs here:

If you are looking for personalized financial advice, I offer a 1-to-1, fee-only consultation where you will receive personalized strategies to design, implement and manage a profitable REIT portfolio. You can find out more about it here: