MLT – BT

MapletreeLog Q2 net up 25%

MAPLETREE Logistics Trust has achieved net property income of $57 million for the second quarter ended June 30, up 24.6 per cent from a year ago. Distribution per unit (DPU) came in at 1.6 cents, against 1.5 cents a year earlier.

Gross revenue for the latest quarter rose 26.6 per cent to $65.8 million on the back of contributions from completed acquisitions in Singapore, Japan and South Korea. This was further boosted by positive rental reversion and higher occupancy of 98.9 per cent, said Mapletree Logistics Trust Management Ltd (MLTM), manager of the trust.

Said MLTM CEO Richard Lai: ‘Despite the continued uncertain economic environment experienced in Q2 2011, MapletreeLog’s portfolio has demonstrated its resilience and robustness, delivering a strong set of results. Organic growth was also achieved through proactive asset management initiative which saw the conversion of a property in Singapore from single-user asset to multi-tenanted building in Q1 2011. Overall, the portfolio experienced organic growth of 5.1 per cent in Q2 2011 against Q2 2010.’

Following the recent crises in Japan, MapletreeLog said it has commenced its repair efforts for the affected properties. Except for Sendai Centre, the other properties suffered limited damage, and minor repairs have been carried out. Total repair cost to be expensed as a result of the damage is estimated to be about $1 million, of which $0.5 million was recognised in Q2. The balance will be accounted for in Q3.

Sendai Centre has been declared structurally sound and repair works are underway to restore the chilled facility to full operational effectiveness.

As at June 30, MapletreeLog’s portfolio comprised 99 properties with a book value of approximately $3.6 billion.

MapletreeLog said it continues to pursue its growth strategy with inroads having been made into South Korea. Besides South Korea, it said it continues to see acquisition opportunities in Singapore, Japan, China and Malaysia. It will also broaden its investment horizon to new markets.