Singapore-listed industrial REIT Sabana Shari'ah Compliant REIT (Sabana) (SGX:M1GU) posted a 22.5% drop in distribution per unit (DPU) for the financial period ending 30 June 2014.
Distribution for the period stands at 1.86 Singapore cents compared to the 2.4 Singapore cents from the corresponding quarter in 2013. Accordingly income available for distribution took a 16.6% tumble to SGD13 million from SGD15.5 million in the previous quarter.
The fall in numbers were recorded despite a 17.6% rise in gross revenue which came in at SGD25.3 million from SGD21.5 million a year ago.
A statement released by the manager of Sabana REIT indicated that it expects market conditions ahead to remain challenging although the REIT has reported successes in securing 6 new leases and twelve lease renewals in the quarter.
Portfolio occupancy for the REIT stands at 90.8% as compared to 90.6% in the previous quarter with a tenant base of 151 across its 22 properties.
Units of Sabana REIT fell by about 0.5% at the close of the trading day to end at SGD1.04.