Suntec – BT

Suntec Reit DPU for Q2 edges up

Income available for distribution jumps 22.3% to $56.2m

SUNTEC Real Estate Investment Trust’s income available for distribution rose 22.3 per cent to $56.2 million for the second quarter ended June 30.

However, distribution per unit (DPU) for Q2 2011 came in only marginally higher at 2.532 cents as compared with the 2.528 cents recorded during the same period a year ago. This gives an annualised yield of 6.6 per cent based on yesterday’s closing price of $1.535.

Coupled with distributions in the first quarter of 2011, Suntec Reit’s H1 2011 DPU now stands at 4.92 cents.

ARA Trust Management (Suntec) Ltd, the manager of Suntec Reit, said yesterday that the gross revenue for the second quarter of $61.3 million came in 1.8 per cent lower year on year due to weaker office and retail revenues.

Gross revenue for H1 2011 stands at $122.3 million, down about 2 per cent year on year.

Correspondingly, Q2 2011 and H1 2011 net property income for the Reit came in 1.1 per cent and 1.7 per cent lower year on year at $46.9 million and $93.6 million respectively.

But overall committed occupancy remains stellar as at end June. The committed occupancy of Suntec City Office Towers stood at a high of 99.5 per cent while the Park Mall office maintained full occupancy take-up.

Similarly, amongst the Reit’s retail properties, committed occupancy stayed stable at 97.1 per cent for Suntec City Mall and 100 per cent for both Park Mall and Chijmes.

For jointly controlled properties, One Raffles Quay attained full occupancy status while MBFC Properties’ committed occupancy numbers came in at 97.4 per cent.

The overall committed occupancy for Suntec Reit’s office and retail portfolio stood at 99.1 per cent and 97.7 per cent respectively as at June 30.

Suntec Reit’s shares were last traded at $1.535.