Singapore-listed office REIT CapitaCommercial Trust (CCT) ( SGX:C61U) has reported a distribution per unit (DPU) of 2.10 Singapore cents for its 3Q 2014, an increase of 2.9% as compared to the 2.04 Singapore cents paid in 3Q 2013.
Gross revenue climbed by 8.4% to SGD66.4 million while net property income (NPI) saw an 8.6% increase to SGD51.9 million.
The REIT has attributed the quarter's results to its high committed portfolio occupancy of 99.4% and a monthly average office rent increment of 4.9% for its properties in the last 12 months.
CCT also revealed that it has secured additional leases at its upcoming property CapitaGreen, bringing the building's aggregate leasing commitment to 40% of its net lettable area.
"We are in advanced stages of negotiation for another 75,000 square feet of space, positioning is well to achieve our 50% target leasing commitment by the end of the year", said Lynette Leong, CEO for the REIT's manager.
The REIT remains optimistic on the quarters ahead, adding that there would be a tight supply for office space in Singapore's core CBD area through to the first half of 2016.
CCT also highlighted its relatively low gearing ratio of 30.2% as potential flexibility to "execute growth opportunities " but stopped short of indicating if a possible acquisition is in the pipeline.
With 18% of its office leases due for renewal in 2015, CCT expects potential rental upside in the coming quarters.
Units of CCT are currently listed on the Singapore Exchange at SGD1.62.