A Strong Financial Standing
High credit ratings
A credit rating is an indicator of a borrower's ability to pay its debts.
JLF enjoys a high credit rating compared to its peers and is considered by third-party experts to have strong creditworthiness.
Issuer’s rating
- Rating and Investment Information, Inc. (R&I)
- Issuer rating
AA-(Stable)
- Japan Credit Rating Agency, Ltd. (JCR)
- Long term issuer rating
AA(Stable)
Solid financial operations
JLF maintains an appropriate level of loan to value (LTV) and strives to extend debt maturities longer at the same time it lowers borrowing costs.
It also executes solid financial operations aware of the need for liquidity on hand by establishing a commitment line, for example.
- LTV (based on appraisal value) as of end of the latest FP
- 29.1%
- LTV (based on book value) as of end of the latest FP
- 43.7%
- Commitment line
- 31.9billion yen
Changes in interest-bearing debt procurement period and interest-bearing debt cost
Flexible cash management
In principle, JLF does not pay out distributions in excess of earnings (distributions equivalent to depreciation paid out as a reversal of capital), a practice employed by many logistics REITs. That puts JLF in a position to make flexible use of much of the funds equivalent to depreciation.
JLF studies making flexible use of cash on hand, for example, through the stabilization and growth of DPU and cash flows, as well as unitholder returns.
Cash Management Policy
Stabilization of DPU and cash flows | |
---|---|
Growth of DPU and cash flows | |
Unitholder returns |