Parkway Life REIT announced on 22 April that its gross revenue for 1Q 2020 rose 5.2% year-on-year to SGD29.9 million.

The growth is largely attributed to revenue contribution from the three Japan properties acquired in 4Q 2019, an upward revision of the minimum guaranteed rent for Singapore hospitals by 1.61%, and appreciation of the Japanese Yen.

Consequently, the REIT’s net property income for 1Q 2020 grew 4.5% to SGD27.7 million.

Amount available for distribution in 1Q 2020 increased by 5.7% to SGD20.9 million, as compared with SGD19.8 million in the previous corresponding period.

Amid the COVID-19 outbreak, the REIT will set aside SGD1.7 million to provide targeted assistance and support measures for affected tenants as needed.

SGD850,000 of the COVID-19 related relief measures will be retained in 1Q 2020, said the REIT.

Notwithstanding this, the REIT’s distribution per unit (DPU) in 1Q 2020 grew by 1.4% to 3.32 Singapore cents, from 3.28 Singapore cents in 1Q 2019.

The REIT’s effective all-in cost of debt has been reduced from 0.80% to 0.63% mainly due to the extension of JPY interest rate hedge at lower cost and overall drop in interest rates.

As at 31 March 2020, the REIT’s gearing was at 38.5%.

Parkway Life REIT was last done on the Singapore Exchange at SGD3.33.