On the back of improved occupancy numbers, Singapore-listed industrial REIT, Mapletree Industrial Trust (MIT) (SGX:ME8U) announced on 21 July that it has achieved distributable income of SGD48.2 million for its 1QFY15/16, a year-on-year increase of 12.8% from SGD42.8 million posted in 2014.

Distribution per unit (DPU) for the quarter is 2.73 Singapore cents, an increase of 8.8% from 2.51 Singapore cents for 1QFY14/15.

“The growths in distributable income and DPU were also boosted by contribution from the build-to-suit data centre for Equinix”, said Tham Kuo Wei, CEO of the REIT’s manager. He added that the REIT will focus on growing its hi-tech buildings segment to improve portfolio profile.

Average portfolio occupancy for the quarter improved to 93.5% from 90.2% previously while average portfolio passing rent increased to SGD1.86 per square foot per month from SGD1.84 in the preceding quarter.

“The increase was driven by positive rental revisions for renewal leases and higher rental rates secured for new leases during the quarter”, said the REIT. Portfolio weighted average lease expiry (WALE) by rental income stands at 3.2 years.

“About 88% of MIT’s gross borrowings as at 30 June 2015 had been hedged through interest rate swaps and fixed rate borrowings”, said the REIT, adding that its aggregate leverage of 30.0% provides ample debt headroom to seize investment opportunities.

Units of MIT last changed hands on the Singapore Exchange at SGD1.56.