BWP Trust managing director Michael Wedgwood said dipping into profits from previous years to maintain distributions filled a "short term income hole" as the large-format retail landlord redevelops an increasing number of sites vacated by its primary tenant, DIY hardware chain Bunnings.

The $2.5 billion landlord reported a 3.5 per cent dip in total income to $76.2 for the half-year to December 30 due to rent foregone from divestments and redevelopments.