Suntec REIT announces its results for 3QFY15 on 22nd October 2015. DPU rises 8.3% to 2.522 cents as compared to the same period last year.
Suntec REIT portfolio includes
- Suntec City
- Park mall (in the midst of divesting, to be completed by end FY2015)
- One Raffles Quay (one-third)
- MBFC Properties (one-third)
- 177 Pacific Highway, an iconic landmark office development in North Sydney (100% by early 2016)
Key Financial Indicators
- Office revenue contributed approximately 40.0% of the Total Gross Revenue for 3Q FY15.
- Retail revenue contributed approximately 41.0% of the Total Gross Revenue for 3Q FY15.
- Convention revenue contributed approximately 19% of the Total Gross Revenue for 3Q FY15.
Debt to asset ratio stood at 35.8%.
Debt Maturity Profile
Suntec City retail occupancy stood healthy at 96.5%.
Suntec City office occupancy remains healthy at 99.5%. This is above the Singapore average Central Business District (CBD) Grade A office occupancy of 93.9%.
1.4% of the office leases is expiring in FY2015. We may have to continue to monitor the office lease renewal in FY2016 whereby 21.4% of the office leases are expiring.
1.6% of the retail leases is expiring in FY2015. We may have to continue to monitor the retail leases renewal in FY2016 whereby 27.7% of the retail leases are expiring.
Asset Enhancement Initiative (AEI)
Suntec City has completed its 3 year asset enhancement initiative. Retail footprint was increased from approximately 855,000 sq ft to approximately 960,000 sq ft. Net property income increase 20.3% given the contribution from phase 2 and 3 of Suntec City.