REIT Oracle

Your data source for Singapore's REITs.
Top 5 YielderLastYieldDisc. to NAVGearing
Lippo Malls Indonesia Retail Trust0.19912.76%27.8%37.1%
Keppel-KBS US REIT0.57010.53%34.5%33.3%
Cromwell European REIT0.4459.71%17.9%34.9%
Sasseur Real Estate Investment Trust0.6659.28%13.8%32.5%
EC World REIT0.6908.86%20.7%30.7%
All Singapore REITsAll Malaysian REITs
Opinion —

Reits' Asset Injections: A Little Less Action a Little More Discretion, Please

The Business Times publishes an editorial regarding the recent wave of rights-issue that has dismayed Singapore's REIT shareholders.

Recent cash calls by OUE Commercial Reit, Keppel-KBS US Reit and Cromwell European Reit have all drawn negative market reactions. As one market watcher whispered in passing: You never know who's next.

Indeed, Reits have always relied on equity dilution or new debt to fund acquisitions, since the law requires them to distribute at least 90 per cent of income to enjoy tax benefits.

News about Keppel-KBS US REIT

Keppel-KBS Acquires Another Florida Office Building

Keppel-KBS US REIT continues its buying spree with the purchase for US$48.5 million of an office property in Maitland, near Orlando, Florida. Named Maitland Promenade I, the asset is adjacent to Maitland Promenade II that the trust already owns. With a net lettable area of 230,371 m², the property has a 98.1% committed occupancy rate.

As financing is expected to be done by debt, the manager expects the transaction to increase DPU.

News about First REIT

Lippo Related REITs Fall Sharply on Sponsor's Woes

Both Lippo Malls Indonesia REIT and First REIT are falling sharply today as investors worry about their sponsor and parent Lippo Karawaci debt situation. The Indonesian group has seen debt downgrades by rating agencies, with Fitch lowering the group recently from B to CCC+. Investors are concerned some its assets could be offloaded to both trusts, which would then be forced to make diluting capital increase. Lippo Karawaci is also a key tenant of First REIT, creating an extra amount of uncertainty for the trust shareholders.

Market news —

Ascendas-Singbridge Considering New REIT IPO

Ascendas-Singbridge Group, jointly owned by sovereign funds Temasek and public company JTC Corp, is considering floating a new REIT comprised of 33 office properties in the USA. The IPO could raise US$500M and start as early as the first quarter of 2019.

News about Mapletree Logistics Trust

Mapletree Logistics Acquires South-Korean Property

Mapletree Logistics Trust has announced the acquisition of Wonjin Logistics Centre, in Gyeonggi-do, South Korea, for KRW37.85 billion.

Located near Seoul, the two blocks property built in 2007 and 2018 has a gross floor area of 29,325 m². It is fully leased with a WALE of 4.3 year (by Net Lettable Area) and a Net Property Income yield of about 6.5% based on the transaction price.

The purchase will be funded by debt, which upon completion of the transaction will set the gearing ratio to about 39.2%.

News about BHG Retail REIT

BHG Retail Plans to Acquire Mall

BHG Retail REIT has agreed to purchase Hefei Changjiangxilu Mall in China for 328.3 million Yuan, or S$ 65.2 million. The leasehold property, completed in 2010, has a Net Lettable Area of 27,221 m² and an occupancy rate of 99.4%. Anchor tenants include BHG Supermarket, KFC, Pizza Hut as well as a movie theater.

The manager, which expects the purchase to be DPU and NAV accretive, plans to finance the acquisition through debt, increasing the leverage to 37% by the end of the year. The approval of unitholders will be required for the transaction to go through.

Market Averages

7.1% yield (using last quarter)
5.5% discount to NAV