CapitaLand Investment reports 1Q22 revenue rose 16 percent

In March 2022, CapitaLand Investment's lodging unit The Ascott entered a deal to acquire the 206-unit serviced residence Somerset Hangzhou Bay Ningbo via private equity fund the Ascott Serviced Residence Global Fund (ASRGF). Credit: AscottIn March 2022, CapitaLand Investment's lodging unit The Ascott entered a deal to acquire the 206-unit serviced residence Somerset Hangzhou Bay Ningbo via private equity fund the Ascott Serviced Residence Global Fund (ASRGF). Credit: Ascott

CapitaLand Investment (CLI) reported Thursday its first quarter revenue rose 16 percent on-year to S$598 million on growth in fee-related earnings (FRE) from fund management and lodging management.

Against a backdrop of macro-economic and geopolitical uncertainties, CLI’s diversified portfolio had benefitted from the significant reopening of the global economy and travel in the first quarter of 2022 as more countries treat Covid-19 as endemic,” the real estate investment manager said in a statement filed to SGX

First quarter fund management FRE increased 28 percent on-year to S$132 million, with 64 percent recurring income, the filing said.

FRE from private fund management jumped 127 percent on-year to S$59 million, with deals including the exit from CLI-managed CapitaLand Vietnam Commercial Value-added Fund (CVCVF), with an internal rate of return of 34 percent, the filing said.

Lodging management FRE for the first quarter increased 31 percent on-year to S$55 million, CapitaLand Investment said. Revenue per available room (RevPAR) increased 34 percent on-year to S$71, the filing said.

Lodging occupancy was around 57 percent in the quarter, up from 48 percent in the year-ago period, CLI said.

Total transacted value for the quarter was around S$3.5 billion via eight listed and private fund vehicles, CLI said.