BtR Momentum Helps Propel Record First Half for Qualitas
Qualitas has hailed a “standout” first half of the year, highlighting build-to-rent momentum and the increased scale of opportunities in the real estate private credit market.
With about $10.9 billion of committed funds under management, Qualitas reported to the Australian Securities Exchange (ASX) that investment activity had reached “unprecedented levels”.
It deployed $3.7 billion during the six months to December 31, 2025, a 57 per cent increase on the corresponding period in its 2025 financial year.
The asset manager focuses on real estate private credit, “opportunistic” real estate private equity, income-producing commercial real estate and the build-to-rent sector, launching a $2-billion platform alongside Gurner Group in 2023.
It tipped build-to-rent as a growth area with early signs of momentum, Qualitas group managing director Andrew Schwartz said.
“Over the past six months, that momentum has accelerated meaningfully,” Schwartz said.
“We expect this trend to persist as demand increasingly shifts to more affordable segments of the housing market in a higher cost of living environment.”
Qualitas reported that opportunities were shifting towards larger investments, with 78 per cent of its year-to-date complete and pipeline deals valued at over $100 million.
Seven are above $200 million, and it has teamed up with Gurner on the $3.75-billion revamp of Melbourne Jam Factory (pictured at top).
This trend boosted investment efficiency and sustainable growth, Schwartz said.
“Deployment reached record levels despite more market entrants, highlighting the structural barriers to scale and sustainable profitability in the sector,” he said.
He said that towards the end of the six months, “more attractive income credit opportunities emerged” as regulatory scrutiny reshaped the competitive landscape.
“Looking ahead, we are well positioned to capitalise on growing global investor demand for private credit in Australia, supported by attractive credit margins and a stabilising interest rate outlook,” Schwartz said.
ASX results: Stockland
Elsewhere, listed developer Stockland reported a strong performance underpinned by masterplanned communities and logistics.
Post-tax funds from operations grew 29.5 per cent, to $325 million, and statutory profits rose 9.3 per cent in the half year to December 31, 2025.
Funds from investment management operations were in line with the comparable period the prior year, at $296 million.
Its logistics operations funds grew 7 per cent with 96.8 per cent occupancy across the board.
Meanwhile, town centre operational funds grew 3.2 per cent with 99 per cent occupancy.
Other highlights included expanding into land lease and progressing a data centre partnership with EdgeConneX.
Moody’s Ratings analyst Mariano Ferreyra said that residential development earnings from Stockland reflected project completions as well as higher settlements and margins for masterplanned communities.
Solid funds from operations growth, however, was offset by “rental income forgone following asset sales and transfers into partnerships,” Ferreyra said.
“Stockland’s EBITDA-to-interest expense remains close to our 3.0x downgrade trigger, constraining its capacity to fund growth on balance sheet.”
Despite this, Moody’s expected Stockland to generate solid earnings in the next 12 months with a focus on partnerships with third party capital and a lower dividend payout target to preserve liquidity.
ASX results: GPT
GPT—the first property trust to list on the ASX—also hailed a solid year in its annual results, with 6.3 per cent like-for-like net property income growth across its portfolio.
Higher office occupancy was tipped as a high point, with 93.2 per cent occupancy and a weighted lease expiry of 4.8 years.
Increased assets under management and contributions from acquisitions such as the deal for the $1.72-billion Grosvenor Place in collaboration with Commonwealth Superannuation Corporation were also positives.
“These factors more than offset the impact of retail and logistics asset divestments and lower trading profits,” Ferreyra said.
GPT’s logistics arm reported a 7 per cent decrease in investment income, to $174.4 million.
Net debt to assets also increased during the period, “reflecting funding for growth initiatives and acquisitions”.
GPT said its $200-million redevelopment of Rouse Hill Town Centre was expected to complete in late 2026, with its Melbourne Central plans going ahead later this year also.
ASX results: Charter Hall
Charter Hall reported half-yearly statutory profit after tax of $272.8 million, more than double the $110 million it made in the corresponding period in 2024.
Funds under management revenue declined slightly from $281.9 million to $272.2 million.
But group funds under management increased by $7.9 billion to $92.2 billion, it said, consisting of $73.6 billion of property funds under management, following an influx of high-volume capital.
It has a development pipeline of $17.9 billion, it said.
Charter Hall managing director and group chief executive David Harrison said it continued to deliver strong results.
“A landscape of ongoing uncertainty and volatility in global capital markets is contributing to increased institutional demand for the relative stability of Australian property, reflected in the $4.8 billion of gross equity inflows during the half,” he said.
ASX six-month results: Dexus
Dexus group chief executive officer Ross Du Vernet said, in reporting the asset manager and developer’s six-month results, that underlying real asset markets were “past the point of inflection and continue to improve”.
Revenue from ordinary activities declined 17.2 per cent in the first half of its 2025-26 financial year, to $360 million.
Location and quality remained key performance drivers, he said, which was “reflected in our office portfolio occupancy exceeding the Australian market average, strengthening office leasing volumes and strong industrial like-for-like growth”.
Leasing volumes of 95,300sq m were almost double that of its 2025 first half, and its Waterfront Brisbane development is now 71 per cent pre-leased, Dexus said.
Annual results: MA Financial
MA Financial reported record assets under management of $15.3 billion, up 49 per cent for the 12 months to December 31, 2025.
While underlying EBITDA was up 30 per cent to $113 million, expenses were up 23 per cent, reflecting the group's “investment into strategic growth initiatives, increased headcount and broad inflationary impacts”.
MA Financial joint chief executives Julian Biggins and Christopher Wyke said that the group was in “great shape”.
“Our private credit funds continue to deliver solid performance and our core real estate business has materially increased in scale following the acquisition of IP Generation,” they said in the report to the ASX.
MA Financial bought IP Generation for $90.4 million in May 2025 to expand the scale, breadth and capability of its real estate asset management business.
ASX half-year results: Mirvac
Revenues stayed steady for Mirvac at $301 million for the half-year ended December 31, 2025.
But it is now back in the black with profits before income tax of $286 million compared to a loss of $47 million in the corresponding period for the prior year.
Ferreyra said that the strong performance and earnings growth was driven by 4.4 per cent like-for-like rental growth across its investment portfolio, development completions in the living and industrial segments and higher funds management fees.
“These factors were partly offset by foregone rental income from non-core asset disposals undertaken as part of the group’s ongoing portfolio repositioning,” Ferreyra said.
Moody’s expects earnings growth to continue for Mirvac in the second half of 2026.
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