[Edaily, Reporter Kwon Oh Seok ] NH INVESTMENT & SECURITIES announced on the 28th that it is maintaining its “Buy” rating and target price of 7,300 won for SK REIT(395400).

Lee Eun-sang, an analyst at NH INVESTMENT & SECURITIES, said, “We view positively the company’s ability to secure favorable funding rates based on its top-tier credit rating in the industry, as well as the increased predictability of dividends following the completion of capital injections.” Regarding the target price, he explained, “We are maintaining the target price because the rise in the cost of equity due to rising interest rates is offset by an upward revision to the perpetual growth rate, driven by the company’s competitive funding advantage based on its credit rating.”
He elaborated, “Amid heightened credit risk in the domestic REIT market following JR GLOBAL REIT’s filing for rehabilitation proceedings at the end of April, the stable funding capabilities of sponsor-backed REITs are being reevaluated,” adding, “Key factors in domestic REIT credit rating assessments include the presence of anchor tenants, AUM (assets under management), and LTV (loan-to-value ratio).”
He went on to emphasize, “SK REIT demonstrates excellent lease stability, with the SK Group accounting for 96% of its tenants, and its AUM of 5.3 trillion won is among the highest in the industry. Based on these factors, its bond credit rating of AA- is the highest in the industry.”
The analyst noted, “Dividend predictability has improved due to capital injections and lease extensions. Capital injections concluded with the transfer of share premium reserves as of the September 2025 fiscal year-end. This stems from the inclusion of the SK-P Tower and improved profit resilience through refinancing,” he explained. “In July, the lease term for the SK Seorin Building was extended by an additional five years, enhancing rental stability. The projected dividend yield for 2027 is 5%, and this estimate could be raised further if a special dividend related to the sale of gas stations is factored in,” he added.