Where OUE Commercial REIT is looking for acquisitions

The OUE Downtown 2 building in Singapore’s Central Business District. Credit: Shenton WireThe OUE Downtown 2 building in Singapore’s Central Business District. Credit: Shenton Wire

OUE Commercial REIT is “keen” on getting further exposure to the office sector or mixed developments with significant office components in key gateway cities, the REIT said in a filing to SGX Thursday with answers to shareholders’ questions before its annual general meeting (AGM).

“In terms of geographies, developed markets such as Australia and London are attractive locations due to their deep, liquid markets which offer high potential for growth and scalability,” OUE Commercial REIT said.

“With clear and strong rule of law, high levels of governance and transparent legal and investment frameworks, these markets also possess strong real estate fundamentals and stable growth potential,” the REIT said.

When asked about the impact of work-from-home arrangements on office demand, the REIT said it has seen an improvement in office leasing momentum since January, with the government allowing more employees to return to the office.

“While Covid-19 has prompted occupiers to rethink their office footprint and the way they conduct business, we observed that an office environment remains relevant for our tenants even as more companies implement hybrid working arrangements,” OUE Commercial REIT said.