Mapletree Commercial Trust property, ARC, in Singapore (Photo: REITsWeek)

Singapore office and retail REIT Mapletree Commercial Trust (MCT) (SGX:N2IU) has reported a distribution per unit (DPU) of 2.08 Singapore cents for its 3Q FY14/15, representing an increase of 11.5% from the corresponding period in FY13/14.

Gross revenue and net property income (NPI) also increased 6.5% and 10.7% respectively from the corresponding period a year ago, buoyed by strong Singapore retail and office occupancy figures.

The REIT highlighted performance of its largest retail property, VivoCity, in an announcement of its results."VivoCity maintained sound growth, with gross revenue and net property income for FY14/15 rising 7.8% and 12.1% year-on-year respectively", it said, adding that shopper traffic and tenant sales at the mall have grown by 0.7% and 0.5% respectively for the year.

Besides healthy retail numbers, MCT is also seen to be benefitting from the strong demand for office space in Singapore.

The REIT's gross revenue and net property income for the year rose 6.2% and 8.9% year-on-year respectively, driven largely by positive rental reversions from the office leases.

Overall for the financial year, MCT’s DPU for FY14/15 stands at 6.0 Singapore cents, 10.7% higher than what was paid out in the previous year.

MCT's aggregate leverage ratio as at 31 December 2014 is 37.9% with 74% of the REIT's total gross debt fixed by way of fixed rate debt, interest rate swaps or caps. Weighted average all-in interest cost for YTD FY14/15 is 2.18% p.a.

Units of MCT last changed hands on the Singapore Exchange at SGD1.47.

Mapletree Commercial Trust
Mapletree Commercial Trust property, ARC, Singapore

By Ridzwan Rahmat

Ridzwan has been analysing REITs and business trusts since 2008, and personally manages a portfolio comprising mainly of SGX-listed REITs. He founded REITsWeek in 2013.