ARA US Hospitality Trust has priced its initial public offering (IPO) at USD0.88 per stapled security.
This translates to an annualised distribution yield of 8.0% for its 2019 forecast period, which runs from 1 May to 31 December that year.
The trust is also projecting a distribution yield growth of 2.1% in 2020, which adds up to a total return of 10.1%, according to media statements sent to REITsWeek on 2 May.
REITsWeek reported on 25 April that the manager for ARA US Hospitality Trust has filed its preliminary prospectus with Singapore’s market regulators, with a view on listing on the Singapore Exchange (SGX).
ARA US Hospitality Trust is positioning itself as the first pure-play US upscale hospitality portfolio to be listed on the SGX.
It will be a hospitality stapled group comprising of ARA US Hospitality Property Trust, and ARA US Hospitality REIT.