QUALITAS REAL ESTATE INCOME FUND (QRI)
Share Price Analysis and Chart

18/09/2026

1

Buy

$1.60

5.26%

Citi remains cautiously constructive on selected Australian REITs despite rising bond yields and expectations for one to two further RBA rate hikes. REITs offering organic growth, pricing power and favourable supply-demand dynamics are favoured.

The August reporting season demonstrated resilient fundamentals, according to the analysts, with valuations improving across retail and industrial property and remaining stable in office.

Commentary notes strong rental growth is supporting asset values despite the challenging interest-rate environment, while transaction activity remains robust.

The broker's preferred exposures include Goodman Group ((GMG)), Charter Hall, GPT Group ((GPT)), Scentre Group ((SCG)) and Stockland ((SGP)).

Among land lease operators, the analysts like Gemlife Communities ((GLF)), Aspen Group ((APZ)) and Ingenia Communities ((INA)).

Citi considers Qualitas Real Estate Income Fund's senior-secured, floating-rate structure better positioned in the current environment than peers with higher leverage or greater equity-style exposure.

The broker notes reduced competition from retail-reliant managers is supporting margin expansion of 25bps-50bps, providing a meaningful tailwind for future distributions. Unchanged $1.60 target and Buy rating.

FORECAST
Citi forecasts a full year FY27 EPS of 12.00 cents.
Citi forecasts a full year FY28 EPS of 12.00 cents.