The distribution of 25.29c for the final six months represents an in crease of 16.06% on the distribution for the final six months of the 2007 financial year.

Headline earnings per unit for the year were 44.62c versus 46.59c the previous year.

Looking ahead, the property fund said the industrial and commercial property markets are anticipated to weaken during the 2009 financial year.

Capital's tenant profile is, however, dominated by corporate tenants and expiring rentals are generally below current market rentals.

"Further upward reversion in rentals is expected in 2009 which places Capital in a strong position to achieve growth in distribution," it added.