Fitch Reaffirms Sirius' Bbb Credit Rating

LSE (GBP) Share Code: SRE

Sirius Real Estate Limited

(“Sirius Real Estate”, “Sirius”, the “Group” or the “Company”)

FITCH REAFFIRMS SIRIUS' BBB INVESTMENT GRADE CREDIT RATING AND STABLE OUTLOOK

Sirius Real Estate, the leading owner and operator of branded business and industrial parks providing conventional space and flexible workspace in Germany and the U.K., announces that Fitch Ratings has reaffirmed the Company's Long-Term Issuer Default Rating (“IDR”) and senior unsecured rating at BBB, with a Stable Outlook.

In its rating rationale, Fitch cited Sirius’ disciplined approach to maintaining stable occupancy and moderate leverage during a period of portfolio growth. It also praised the resilience of the Group’s operating platform, noting that like-for-like rental growth continues to outpace inflation and recognised Sirius’ active approach to optimising assets through targeted capital investment, as well as its in-house digital platform’s ability to attract tenants and improving occupancy.

Fitch highlighted the strength of the Group’s credit metrics, with EBITDA net interest cover of around 7x in FY26 and net debt to EBITDA around 6x throughout the forecast period, further demonstrating the strength of Sirius’ balance sheet. It also expects the Group to maintain leverage at or below its long term loan-to-value policy.

Fitch also recognised the opportunity presented by Sirius’ growing exposure to defence-related occupiers, particularly in Germany. Following the acquisitions in Kiel and Fulda, the value of the Group’s defence-related assets is approximately €200 million, with Fitch expecting increased defence spending to support tenant retention and demand across this part of the portfolio.

Chris Bowman, Chief Financial Officer at Sirius Real Estate, said: “Fitch’s decision to reaffirm Sirius’ investment grade BBB credit rating and Stable Outlook is a further endorsement of the resilience of our business model, the strength of our operating platform and credit metrics, as well as our disciplined approach to growth and capital allocation.

“Strong support from the listed bond market enabled us to bring our two euro-denominated bonds up to benchmark €500 million size each in June, providing attractive financial leverage at a cost well below the yields generated by our portfolio. This further demonstrates the strength of our financial model and its ability to deliver double-digit returns to shareholders.

“We continue to deliver strong organic rental growth and invest selectively in assets where our active management capabilities can create value. We remain focused on maintaining a strong balance sheet and operating within our stated leverage parameters while pursuing further growth opportunities across Germany and the UK.”