Singapore-listed Manulife US REIT has reported a DPU of 2.01 Singapore cents for its maiden financial reporting period that spanned 20 May to 30 September 2016, beating the forecast of 1.90 cents by 5.8%.

However gross revenue for the period came in at USD28.2 million, missing forecast of USD28.5 million by 1.1%, although distributable income of USD12.6 million also outperformed by 5.8%.

Net property income was USD17.6 million, beating expectations by 1.5%.

“The higher distributable income was mainly due to higher net property income, lower interest expenses and other trust expense savings”, said the REIT in its statement on 7 November.

Manulife US REIT listed on the Singapore Exchange in May 2016 as the only US-focused office REIT, with an initial portfolio of three office properties.

These are namely 865 South Figueroa Street in Los Angeles, California, 3161 Michelson Drive in Irvine, California and 1100 Peachtree Street in Atlanta, Georgia.

“Despite the gloomy global macroeconomic outlook, the US real estate market remains a bright spot, attracting investors seeking yield and growth”, said Jill Smith, CEO of the REIT’s manager.

The office REIT’s aggregate portfolio occupancy as at 30 September 2016 was at 97% with a weighted average lease expiry (WALE) of 6.1 years, and registered positive rental reversions of 8.5% for the period 1 January 2016 to 30 September 2016.

The REIT’s manager has indicated that it remains optimistic on prospects for the quarters ahead given current economic figures in the US.

“The US commercial real estate market continues to experience strong demand as investors world-wide seek yield-generative investments”, said the REIT

Units of Manulife US REIT last changed hands on the Singapore Exchange at SGD0.845.