CapitaCommercial Integrated Trust (CICT) reported total revenue and net property income (NPI) for its office asset portfolio grew by 29.6% and 27.7% year-on-year in 3Q2022, respectively.
Its Singapore office assets recorded a 7.9% renewal rent-adjusted growth in the first nine months of 2022, with the portfolio occupancy rate rebounding from 92.9% in the second quarter of 2022 to a current 96%.
CapitaLand Integrated Business Trust said it expects to close the gap between actual and committed occupancy rates and increase distributable income at four of its properties (Asia Square Tower 1, 6 Battery Road, CapitaLand Center and Capital Tower) by the second quarter of 2023.
Plenty Tree Commercial City (MBC), a subsidiary of Plenty Tree Pan Asia Commercial Trust (MPACT), recorded year-over-year growth in total revenue and net property income in the first half of FY2023.
The committed occupancy rate also improved slightly to 98.4%. This asset, together with VivoCity, contributed approximately 63% of Fung Shu Pan Asia Business Trust's total revenue and net property income, underscoring their status as the Trust's royalty.
Suntec REIT's net property income and joint venture income increased by 3.8% and 7.2% year-on-year in 3Q2022 respectively, as the Singapore office portfolio continued to strengthen, thanks to growth in occupancy and rental rates at Suntec City Offices, One Raffles Quay and Marina Bay Financial Centre.
The committed occupancy rate performed strongly, remaining at 99.4%, exceeding the core CBD occupancy rate of 94.8%.
The Trust's Singapore office assets also recorded 17 quarters of positive renewal rental adjustments and grew by 5.7% in the first nine months of 2022.
Suntec Industrial Trust expects the revenue contribution from this arm to strengthen further amidst constrained office supply.
Keppel REIT's distributable income increased by 3.4% y-o-y in the first 9 months of 2022, thanks to the acquisition of Keppel Bay Tower in Singapore.
Committed occupancy rose to 96.8% and the average contracted rent for office leasing in Singapore continued to rise to S$11.47 per square foot per month (psf pm).
To celebrate its 20th anniversary in 2026, the trust will distribute S$100 million as an annual dividend to unit holders over the next five years.
OUE Commercial Reit reported that all of its Singapore office assets recorded positive renewal rent adjustments and improved committed occupancy rates in the third quarter of 2022.
Renewal rent adjustments ranged from 1.6% to 9.2%.
The trust expects core CBD Grade A office rents to remain positive for the remainder of 2022 and 2023, barring a sustained economic downturn, due to supply constraints.
Lendlease Global Commercial Real Estate Investment Trust (LREIT) reported that office rents rose about 4 percent in the first quarter of fiscal 2023 and that its asset JEM Mall will continue to be well positioned along with the completion of the Jurong Gateway renovation and upgrade.
Its Grade A office space is leased to the Ministry of National Development until 2044, with rent reviews every five years.
Singapore is one of the REIT hubs in Asia.
Currently, there are 42 REITs and REITs* listed on the Singapore Exchange with a total market capitalisation of over S$100 billion, representing approximately 12% of the total market capitalisation in Singapore, of which 90% (37) have overseas assets covering a wide range of categories such as industrial, hotel, diversified, retail, office, specialized and healthcare.
As of September 30, 2022, the average dividend yield of these 42 REITs and Real Estate Business Trusts is 7.2%, the 10-year total return of the FTSE Singapore REIT Index is 74.7%, and the 10-year compound annual growth rate of market capitalization is 13%.
