Mapletree Commercial Trust reported on Wednesday that its fiscal third quarter net property income rose 2.2 percent on-year to S$87.87 million, largely on higher contributions from the VivoCity mall.
Gross revenue for the quarter ended 31 December rose 2.6 percent on-year to S$112.54 million, it said in a filing to SGX after the market close on Wednesday.
VivoCity’s gross revenue and net property income rose 4.6 percent and 3.9 percent, respectively, on-year, mainly on higher rental income from new and renewed leases, the filing said; occupancy at the mall was 99.9 percent, it said.
The office properties, the PSA Building, Mapletree Anson and Bank of America Merrill Lynch HarbourFront (MLHF), collectively saw gross revenue and net property income rise 2.7 percent and 2.8 percent respectively on-year in the quarter, it said.
That was on full occupancy at MLHF and higher occupancy and step-up rents in existing leases at Mapletree Anson as well as step-up rents in existing leases at the PSA Building, it said.
The distribution per unit (DPU) was 2.33 Singapore cents, up 1.3 percent on-year from 2.30 Singapore cents in the year-ago quarter, it said.
For the nine-month period, net property income was up 2.2 percent on-year at S$260.07 million, on gross revenue of S$330.99 million, up 2.0 percent on-year, it said. DPU for the nine-month period was 6.83 Singapore cents, up 0.9 percent on-year from 6.77 Singapore cents in the year-ago period, it reported.
That compares with a full-year forecast from JPMorgan for net property income of S$347 million on revenue of S$442 million, with a full-year DPU forecast of 9 Singapore cents.
Earlier this month, Singapore’s largest library in a shopping mall, library@harbourfront at VivoCity, opened as part of the completion of a major asset enhancement initiative which also extended Basement 1 by 24,000 square feet, it said.
Sharon Lim, CEO of Mapletree Commercial Trust Management (MCTM), the REIT’s manager, said that VivoCity has been put through a series of changes, including “some rigorous management of tenant mix,” particularly in the fiscal third quarter.
“As a result, there was a transitory impact on VivoCity’s tenant sales. These changes, however, will strengthen VivoCity’s appeal and long-term positioning. Momentum will pick up once the changes are completed,” she said, adding the library is expected to encourage repeated visitorship to the mall.