REIT Financial News - 27 AUG 2010: Moody’s upgrades A-REIT’s corporate family rating to A3

Moody’s upgrades A-REIT’s corporate family rating to A3. See:

• Moody's Press Release
• A-Reit Press Release

Key Points

• Moody’s Investors Services (“Moody’s”) has upgraded A-REIT’s corporate family rating to A3 with a stable outlook in a press release issued by Moody’s yesterday.
• This upgrade from Baa1 to A3 signifies the confidence Moody’s has in the quality and resilience of A-REIT’s portfolio as well as the prudent and proactive capital and risk management that the Manager has in place.
• As at 30 June 2010, A-REIT has a portfolio of 92 properties with total asset of S$4.9bn and portfolio occupancy of 95.6%. 
• On the investment front, the Manager is currently developing Phase 2 of Plot 8 Changi Business Park for S$37.4m, which is expected to be completed in 1Q 2011. 
• A-REIT has improved its financial flexibility and capital structure and currently has a weighted average term of debt of 3.5 years and diversified funding sources such that each funding source accounts for not more than 24% of A-REIT’s debt structure.