CacheLog Updated Target Price following Q3 2010 result release

CacheLog Updated Target Price following Q3 2010 result release.

CIMB	OUTPERFORM	S$1.30	29/10/10
DBS	BUY	S$1.11	29/10/10

Latest updates at Stock Target Price.

Related Posts
Cache Logistics Q3 2010 Quarterly Earnings Report

AIMSAMPI Reit Q3 2010 Quarterly Earnings Report

Q3 2010 results for AIMSAMPI Reit:

• Press Release
• Financial Statements 
• Presentation Slides

Key Points

• DPU for the reporting quarter is 0.3968 cents.
• DPU is lower for the quarter due to the issue of 513,309,781 rights units on 14 October 2010 and 7,165,109 Units to the Manager on 19 October 2010 for payment of the acquisition fee in relation to the acquisition of 27 Penjuru Lane. If the new Units issued in October 2010 were excluded, the adjusted DPU would have been 0.5376 cents.
  
• Gross revenue for the quarter increased by 42.1% year-on-year to S$16.8 million.
• Net property income for the quarter increased by 33.0% year-on-year to S$12.0 million.
• Distributable income increased by 56.8% year-on-year to S$8.1 million.
• Unitholder approval for the acquisition of 27 Penjuru Lane Singapore for S$161 million.
• Launched fully underwritten S$79.6 million renounceable rights issue.
• Accepted a letter of commitment for a S$280 million new loan with a significantly lower all in cost of debt and a weighted debt term to maturity of 3.9 years.
• The acquisition of the high quality ramp up warehouse at 27 Penjuru Lane for S$161 million has resulted in a significant increase in the asset base to S$803.9 million as at 28 Oct 2010.
• Gearing level of 28.9% as at 30 Sep 2010, and 34.8% post acquisition of 27 Penjuru Lane.
• Net asset value per unit of S$0.31 as at 30 September 2010, and S$0.26 post acquisition of 27 Penjuru Lane.
• The Books will close from 5pm on 9 Nov 2010 for the purpose of determining Unitholders’ entitlement to the distribution. 
• The distribution will be paid on 17 Dec 2010. 

Author's Note
The DPU of 0.3968 cents will be paid on 17 Dec 2010. Books closure is on 9 Nov 2010.

DPU was 0.538 cents in the previous quarter. DPU is lower for the reporting quarter because of the issue of 513,309,781 rights units on 14 October 2010 and 7,165,109 Units to the Manager on 19 October 2010 for payment of the acquisition fee in relation to the acquisition of 27 Penjuru Lane.

FCT Updated Target Price following Q3 2010 result release

FCT Updated Target Price following Q3 2010 result release.

OCBC	HOLD	S$1.55	26/10/10
DMG	BUY	S$1.66	27/10/10
DBS Vickers	BUY	S$1.74	27/10/10

Latest updates at Stock Target Price.

Related Posts
FCT Q3 2010 Quarterly Earnings Report

SUNTEC Reit Updated Target Price following Q3 2010 result release

SUNTEC Reit Updated Target Price following Q3 2010 result release and announcement of acquisition of one third interest in MBFC.

Phillip Securities	HOLD	S$1.34	27/10/10
CIMB	OUTPERFORM	S$1.63	27/10/10
DBS Vickers	BUY	S$1.66	27/10/10
OCBC	BUY	S$1.63	28/10/10
DMG	BUY	S$1.71	28/10/10

Latest updates at Stock Target Price.

Related Posts

• SUNTEC Reit proposed acquisition of a one-third interest in Marina Bay Financial Centre Towers 1 and 2 and the Marina Bay Link Mall - 26 OCT 2010 
• SUNTEC Reit Q3 2010 Quarterly Earnings Report

Starhill Global Updated Target Price following Q3 2010 result release

Starhill Global Updated Target Price following Q3 2010 result release.

DBS Vickers	BUY	S$0.76	27/10/10
OCBC	BUY	S$0.66	27/10/10

 
Latest updates at Stock Target Price.

Related Posts
Starhill Global Q3 2010 Quarterly Earnings Report

CDL H-Trust Q3 2010 Quarterly Earnings Report

Q3 2010 results for CDL H-Trust:

• Press Release
• Financial Statements 
• Presentation Slides

Key Points

• DPU for the reporting quarter is 2.54 cents after deducting income retained for working capital. Before deducting the retained income the DPU for the period is 2.81 cents.  
• Highest ever quarterly occupancy rate of 91.6% since IPO.
• RevPAR growth for Singapore Hotels up 31.2% to S$199 for 3Q 2010.
• Gearing level of 21.1% as at 30 September 2010.
• NAV per unit of S$1.46 as at 30 September 2010.
• Fitch Rating of BBB-.

Author's Note
The DPU for the reporting quarter is 2.54 cents after deducting income retained for working capital. Note that the reit is paying less than 100% of its distributable income, which is 2.81 cents per unit. There will not be any distribution this quarter as the reit has a semi-annual distribution policy.

DPU available for distribution for the previous quarter 2.87 cents. DPU that was actually paid out for the previous quarter was 2.57 cents.

Cache Logistics Q3 2010 Quarterly Earnings Report

Q3 2010 results for Cache Logistics:

• Press Release
• Financial Statements
• Presentation Slides

Key Points

• DPU for the reporting quarter is 1.94 cents.
• DPU of 3.65 cents for the period 12 April 2010 to 30 September 2010.
• Annualised DPU of 7.75 cents exceeds forecast by 1.4%.
• Strong balance sheet with aggregate leverage of 23.4%.
• On track to deliver forecast DPU for 2010.
• Annualised Distribution Yield of 7.8% based on 27 Oct 2010 closing price of S$0.99.
• The Cache portfolio was valued by Knight Frank on 30 September 2010 at S$741.2 million compared to the S$729.9 million recorded on 31 October 2009.
• The six properties that make up the Cache portfolio are 100% leased under the Master Lease Agreements.
• Excluding income available for distribution, adjusted NAV per unit is S$0.88.
• Cache will pay out a maiden distribution of 3.65 cents per unit for the period 12 April 2010 to 30 September 2010. 
• The Books will close from 5pm on 8 November 2010 for the purpose of determining Unitholders’ entitlement to the distribution.
• The distribution will be paid to unitholders on 29 November 2010.

Author's Note
The DPU of 3.65 cents will be paid on 29 Nov 2010. Books closure is on 8 Nov 2010. This is the first time the reit is distributing dividend. The distribution is for the period from 12 Apr 2010 (Date of Listing) to 30 September 2010. The reit will distribute quarterly from the next quarterly earnings report onwards.

In the previous quarter, the reit has reported a DPU of 1.71 cents for the period from 12 Apr 2010 (Date of Listing) to 30 Jun 2010, which is not a full quarter.

Snapshot of Cache Logistics:

Saizen Reit, Fortune Reit - Date of Result Release for Q3 2010

Updated date of Result Release for Q3 2010:
Fortune Reit   NOV 8  
Saizen Reit   NOV 10 (AM)  


Latest Update at Results Release.

Ascott Reit - Updated Target Price following Q3 2010 result release

Updated Target Price for Ascott Reit following Q3 2010 result release:

DBS Vickers	BUY	S$1.38	25/10/10
OCBC	BUY	S$1.38	25/10/10
CIMB	UNDERPERFORM	S$1.24	25/10/10
Kim Eng	BUY	S$1.38	26/10/10

 
Latest updates at Stock Target Price.

Related Posts
Ascott Reit Q3 2010 Quarterly Earnings Report

SUNTEC Reit proposed acquisition of a one-third interest in Marina Bay Financial Centre Towers 1 and 2 and the Marina Bay Link Mall - 26 OCT 2010

SUNTEC Reit proposed acquisition of a one-third interest in Marina Bay Financial Centre Towers 1 and 2 and the Marina Bay Link Mall.

• Press Release 
• Announcement 
• Presentation Slides

Key Points

• Suntec REIT, has entered into a conditional share purchase agreement with Choicewide Group Limited, Cavell Limited and Hutchison Whampoa Properties Limited to acquire a one-third interest in Marina Bay Financial Centre Towers 1 and 2, the Marina Bay Link Mall and 695 car park lots (the “MBFC Property”) through the acquisition of one-third of the issued share capital of BFC Development Pte. Ltd.
• The agreed consideration for the one-third interest in the MBFC Property is S$1,495.8 million, inclusive of income support of S$113.9 million (inclusive of GST) payable over 60 months to be provided by the Vendor.
• Acquisition will increase Suntec REIT’s office portfolio net lettable area from approximately 1.9 million sq ft to approximately 2.4 million sq ft.
• The Manager is currently reviewing various financing options for the Acquisition to determine an optimal capital structure for the Acquisition.
• The Acquisition is expected to improve the earnings and distributions for Unitholders, and is targeted for completion by the last quarter of FY 2010. 
• Upon completion, Suntec REIT’s total assets under management would increase to approximately S$6.821billion.
  
  
  

SUNTEC Reit Q3 2010 Quarterly Earnings Report

Q3 2010 results for SUNTEC Reit:

• Press Release
• Financial Statements
• Presentation Slides

Key Points

• DPU for the reporting quarter is 2.502 cents.
• This is an annualised yield of 6.6% based on closing unit price of S$1.51 on 30 September 2010.
• The committed occupancy for the overall office portfolio strengthened further to 98.5%.
• Gearing level of 32.9% as at 30 September 2010.
• Net asset value per unit of S$1.828 as at 30 September 2010.
• The Books will close from 5pm on 3 November 2010 for the purpose of determining Unitholders’ entitlement to the distribution. 
• The distribution will be paid on 29 November 2010. 

Author's Note
The DPU of 2.502 cents will be paid on 29 Nov 2010. Books closure is on 3 Nov 2010.

DPU was 2.528 cents in the previous quarter.

Starhill Global Q3 2010 Quarterly Earnings Report

Q3 2010 results for Starhill Global:

• Press Release
• Financial Statements
• Presentation Slides

Key Points

• DPU for the reporting quarter is 1.00 cents. 
• Strong performance primarily due to first quarterly contribution from Starhill Gallery and Lot 10.
• On an annualized basis, 3Q 2010 DPU represents a yield of 6.84% based on closing unit price of S$0.58 on 30 September 2010.
• Prudent gearing level of 31% with a post refinancing weighted average debt maturity of 3.4 years.
• Starhill Global REIT’s portfolio now includes 13 prime properties across five countries valued at approximately S$2.6 billion. 
• The geographic breakdown of the portfolio by asset value as at 30 September 2010 was as follows: Singapore 66.3%, Malaysia 17.2%, Japan 7.4%, Australia 6.0%, and China 3.1%.
• The Singapore portfolio’s committed occupancy improved from 95.8% in 30 June 2010 to 96.1% in 30 September 2010.
• NAV per unit was $0.90 as at 30 September 2010.
• The Books will close from 5pm on 3 November 2010 for the purpose of determining Unitholders’ entitlement to the distribution. 
• The distribution will be paid on 29 November 2010. 

Author's Note
The DPU of 1.00 cents will be paid on 29 Nov 2010. Books closure is on 3 Nov 2010.

DPU was 0.91 cents in the previous quarter.

Smaller REITs more attractive on price-to-book ratio: analysts - 25 OCT 2010

Source

SINGAPORE : Singapore's real estate investment trusts (REITs) have risen more than 140 per cent since March 2009 and their value could go up by another 60 per cent, according to analysts.

REITs are currently offering juicy yields, which may start looking less attractive to investors when Singapore government bond yields start to climb higher.

Even then, analysts said there still are some standout performers among REITs that are offering value at current prices.

Singapore REITs are gearing up to acquire more properties.

Leverage ratios - which measure how indebted a REIT is in relation to its assets - have continued to fall this year.

Leverage is now at an average 28 per cent. This shows the REITs are well capitalised and in a better position to buy new properties with debt.

Loy Wee Khim, associate director, Corporate & Infrastructure Ratings, Standard & Poor's, said: "Most of the REITs are also thinking of where they are coming from - a low position because of the recapitalisation during the downturn.

"I think they are ready to acquire new assets to enhance their portfolio, so we find that most of them have the appetite to increase their gearing to below 40 per cent or 40 per cent level."

But OCBC Research said valuations of some REITs are now a tad too rich.

OCBC analysts said investors should shy away from the bigger REITs that are trading at premiums to their book value and focus on some of the smaller ones which are trading at a discount.

Meenal Kumar, an investment analyst at OCBC Investment Research, said: "From the perspective of long-term investors, we're actually calling to avoid the first tier large-cap REITs and instead, focus on what we call the forgotten, but still credible REITs.

"And by credible, I mean strong balance sheets, strong sponsors and of course importantly, high absolute yields. And also they should be trading at most, at parity to book value, but ideally at a discount to book value. And in terms of some of our top picks, we like Starhill Global REIT and Ascott Residence Trust."

Similarly, CIMB has recommended smaller REITs in the industrial space, such as Cache Logistics, as bigger players such as A-REIT are trading at a 30 per cent premium to book value.

MapletreeLog Completes Acquisition of 51st Property in Singapore for S$18.3 million - 25 OCT 2010

Completion of Acquisition of 51st Property in Singapore for S$18.3 million. See press release.

Key Points

• Further to its press release dated 21 September 2010 on the acquisition of AW Centre located at 73 Tuas South Avenue 1, Singapore 637600 (the “Property”) for a purchase price of S$18.3 million, Mapletree Logistics Trust Management Ltd., as manager of Mapletree Logistics Trust (“MapletreeLog”) is pleased to announce that the acquisition has been completed on 25 OCT 2010.
• The purchase price and other acquisition related costs of the Property were fully funded by proceeds raised in the latest equity fund raising exercise announced also on 21 September 2010 (the “EFR Announcement”).
• MapletreeLog’s total book value of investment properties as at 30 September 2010 (not including this acquisition) was approximately $3.36 billion. 
• With this acquisition, MapletreeLog has 92 properties comprising 51 properties in Singapore, 8 in Hong Kong, 6 in China, 11 in Malaysia, 13 in Japan, 2 in South Korea and 1 in Vietnam.

FCT Q3 2010 Quarterly Earnings Report

Q3 2010 results for FCT:

• Press Release
• Financial Statements
• Presentation Slides

Key Points

• DPU for the reporting quarter is 2.16 cents. 
• FY2010 gross revenue grew 32% y-on-y to a record high of $114.7 million. Gross revenue was boosted by the accretive acquisitions of Northpoint 2 and YewTee Point, and the successful revamp of Northpoint 1.
• Portfolio occupancy level remained high at 98.1% as at 30 September 2010, in spite of the on-going refurbishment of Causeway Point.
• Total assets grew 30% y-on-y to $1,516 million as at 30 September 2010, driven largely by new acquisitions. 
• FCT recognised revaluation surplus of $42.5 million in FY2010, with all properties recording higher valuations.
• Gearing ratio was 30.3% as at 30 September 2010.
• NAV per unit was $1.293 as at 30 September 2010.
• The Books will close from 5pm on 1 November 2010 for the purpose of determining Unitholders’ entitlement to the distribution. 
• The distribution will be paid on 29 November 2010. 

Author's Note
The DPU of 2.16 cents will be paid on 29 Nov 2010. Books closure is on 1 Nov 2010.

DPU was 2.07 cents in the previous quarter.

Cambridge - Updated Target Price following Q3 2010 result release

Updated Target Price for Cambridge following Q3 2010 result release:

DMG	BUY	S$0.62	21/10/10
DBS Vickers	BUY	S$0.58	25/10/10
Phillip Securities	HOLD	S$0.61	25/10/10

 
Latest updates at Stock Target Price.

Related Posts
Cambridge Q3 2010 Quarterly Earnings Report

CMT - Updated Target Price following Q3 2010 result release

Updated Target Price for CMT following Q3 2010 result release:

DMG	NEUTRAL	S$2.05	21/10/10
DBS Vickers	BUY	S$2.09	25/10/10
OCBC	HOLD	S$2.05	25/10/10
Kim Eng	BUY	S$2.27	25/10/10
CIMB	UNDERPERFORM	S$1.98	25/10/10

Latest updates at Stock Target Price.

Related Posts
CMT Q3 2010 Quarterly Earnings Report

MapletreeLog - Updated Target Price following Q3 2010 result release

Updated Target Price for MapletreeLog following Q3 2010 result release:

OCBC	BUY	S$0.97	22/10/10
DBS Vickers	BUY	S$1.01	22/10/10
CIMB	OUTPERFORM	S$1.01	22/10/10

 
Latest updates at Stock Target Price.

Related Posts
MapletreeLog Q3 2010 Quarterly Earnings Report

CCT - Updated Target Price following Q3 2010 result release

Updated Target Price for CCT following Q3 2010 result release:

CIMB	NEUTRAL	S$1.41	21/10/10
OCBC	HOLD	S$1.52	22/10/10
DBS	HOLD	S$1.47	22/10/10
DMG	NEUTRAL	S$1.55	22/10/10

 
Latest updates at Stock Target Price.

Related Posts
CCT Q3 2010 Quarterly Earnings Report

Ascott Reit Q3 2010 Quarterly Earnings Report

Q3 2010 results for Ascott Reit:

• Press Release
• Financial Statements
• Presentation Slides

Key Points

• DPU for the reporting quarter is 1.85 cents. 
• On 1 October 2010, Ascott Reit completed the acquisition of 3,347 apartment units in 28 properties in Singapore, Vietnam, France, United Kingdom (UK), Germany, Belgium and Spain. Ascott Reit’s enlarged portfolio now comprises 65 properties with 6,681 apartment units in 12 countries and 23 cities across Asia Pacific and Europe.
• On 13 September 2010, ARTML launched an equity fund raising by way of a private placement and non-renounceable preferential offering. In order to ensure fairness to holders of Ascott Reit units prior to the issuance of the private placement new units, the Manager declares, in lieu of the scheduled distribution, an advanced distribution of the distributable income for the period from 1 July 2010 up to 21 September 2010, the day immediately prior to the date on which the private placement new units are issued. 
• The advanced distribution for the period from 1 July 2010 up to 21 September 2010 will be 1.74 cents per unit.
• Books closure for the advanced distribution was on 21 September 2010 and will be paid on 19 November 2010.
• The next distribution will comprise the distributable income from 22 September 2010 to 31 December 2010. Semi-annual distributions will resume thereafter.
• Gearing of 32.2% as at 30 September 2010. Excluding the proceeds from the private placement tranche of the equity fund raising in September 2010, which was used to part fund the acquisition of properties in October 2010, the Group’s gearing was 41.1%.
• The net asset value (“NAV”) per Unit was S$1.22 as at 30 September 2010.

Author's Note
The advanced DPU of 1.74 cents from the period from 1 July 2010 up to 21 September 2010 will be paid on 19 Nov 2010. Books closure was on 21 Sep 2010, which is already over at the time of this report. The DPU will be paid on 19 Nov 2010.

The next distribution will comprise the distributable income from 22 September 2010 to 31 December 2010. Semi-annual distributions will resume thereafter. Normally the reit will distribute the semi-annual DPU for the period from 1 Jun to 31 Dec after the quarterly earnings report for the last quarter of the year.

DPU for the reporting quarter is 1.85 cents. On 22 September 2010, 419,660,000 new units were issued under the private placement tranche of the equity fund raising to part fund the acquisition of the 28 properties, which was completed on 1 October 2010. Excluding the private placement new units, the DPU for 3Q 2010 would be 1.93 cents, representing an increase of 1% as compared to 3Q 2009.

DPU was 1.87 cents in the previous quarter.

Related Posts  
Ascott Reit Completes Target Acquisitions and Divestment & Use Of Proceeds - 1 OCT 2010
Ascott Reit issues 67,858,000 preferential offering new units - 7 OCT 2010
REIT Financial News - 20 AUG 2010: Ascott REIT buying 28 serviced residences for S$970m

FrasersComm Q3 2010 Quarterly Earnings Report

Q3 2010 results for FrasersComm:

• Press Release
• Financial Statements
• Note
• Presentation Slides
• Presentation Slides for Property Statistics

Key Points

• DPU for the reporting quarter is 0.31 cents. 
• Gross revenue for the financial year grew by 21% to S$117.9 million. 
• The growth was driven mainly by the full year contribution from Alexandra Technopark, and the strengthening of the Australian Dollar. 
• Net property income rose 25% to S$93.0 million in line with the strong revenue growth.
• Distribution Per Unit (“DPU”) for the full financial year was 1.12 cents, up by 29% from a year earlier. Based on the last closing price of the Units of S$0.165 on 21 October 2010, this represents a yield of 6.8%. 
• A total distribution of 0.5549 cents per Unit and 2.7575 cents per CPPU for the second half FY10 will be paid on 29 November 2010. 
• The distribution books closure date for both the Units and CPPUs is 2 November 2010.
• Higher average occupancy rates have been achieved for the Singapore and Australia properties which increased from 95.5% to 96.1% and 96.3% to 98.8% respectively.
• The net asset value (“NAV”) per Unit was S$0.27 as at 30 September 2010 up from S$0.26 a quarter ago.
• As at 30 SEP 2010, Total Assets is S$2,094,108m, Total Debt is S$828,461m, and gearing is at 39.6%.

Author's Note
The DPU of 0.5549 cents will be paid on 29 Nov 2010. Books closure is on 2 Nov 2010. This distribution includes DPU of 0.31 cents for the current reporting quarter and the DPU of 0.25 cents for the previous quarter.

Note that part of the distributable income of the reit needs to be distributed to unit holders of the CPPU (Convertible Perpetual Preferred Units), which is 2.7575 cents per unit for the latest distribution for second half FY10.

Related Posts  
REIT Financial News - 1 FEB 2010: FCOT Offer for Sale of 116,789,400 Series A CPPUs

IPO of Mapletree Industrial Trust

MIT started trading on 21 OCT 2010 2:00 PM. I was taken by surprise by its huge surge soon after trading begins to as high as S$1.20 intraday. Considering the IPO price of S$0.93, this is a rise of about 29%!

I have finally found some time to briefly go through the IPO prospectus of MIT a couple of days back, and would just like to present some figures which I think are important to the evaluation of the Reit.

The Sponsor
The sponsor of the reit is Mapletree Investments Pte Ltd, a fully-owned subsidiary of Temasek Holdings. This is definitely a positive factor to the value of the reit.

Yield
With reference to page 14 of the prospectus, under the section "Stable distributions", the projected yield based on the IPO offer price of S$0.93 is as follows:

	Distribution Yield (based on the Offering Price)
From the Listing Date to 31 March 2011	7.6% (annualised)
Projection Year 2011/2012	8.0%

So for 2010/2011, the annualised DPU is expected to be about 7.068 cents. For 2011/2012, it is expected to be 7.440 cents.

Based on the closing price of S$1.160 on the first day of trading, the expected yield is 6.09% for 2010/2011 and 6.41% for 2011/2012.

Distribution Policy
With reference to page 14 of the prospectus, under the section "Stable distributions":
"MIT’s distribution policy is to distribute 100.0% of its Adjusted Taxable Income (as defined herein) for the period from the Listing Date to 31 March 2012 and thereafter to distribute at least 90.0% of its Adjusted Taxable Income."

Distribution Frequency
With reference to page 64 of the prospectus, under the section on "Distributions", MIT’s first distribution after the Listing Date will be for the period from the Listing Date to 31 December 2010 and will be paid by the Manager on or before 1 March 2011. Subsequent distributions will take place on a quarterly basis.

We should be expecting the first distribution announcement sometime in Jan 2011 when the reit reports its quarterly results for the first time. The distribution will be for earnings for the period from 21 OCT 2010 to 31 DEC 2010, which is actually not a complete quarter.

Debt
With reference to page 66 of the prospectus, under the section on "Capitalization", the reit will fully draw upon a New Debt Facility on the Listing Date in an amount of S$837.0 million. There is an existing debt of S$977.8 million which was used to part refinance the acquisition of the MIT Private Trust Portfolio. This existing debt will be repaid on the Listing Date using proceeds from the IPO.


Asset Value & NAV
With reference to page 71 of the prospectus, under the section on "UNAUDITED PRO FORMA BALANCE SHEETS AS AT 31 MARCH 2010 AND THE LISTING DATE", the value of the Total assets on listing is about S$2164 million. The NAV per unit is S$0.86.

The IPO price of S$0.93 is 1.08 times above NAV per unit.
The first day closing price of S$1.160 is 1.35 times above NAV per unit. 

Gearing
We take the debt upon listing to be S$837 million. With the initial total assets of S$2164 million, the gearing will be about 38.6%. 

Some Thoughts
One obvious positive factor for this reit is having Mapletree as its sponsor. In one of my previous posts about Sponsors, I have mentioned that the sponsor has the unofficial role of supporting the reit in times of trouble. Mapletree is definitely capable of doing that. I would say at the IPO price of S$0.93, the yield above 7% is quite attractive. At S$1.160, the yield is still above 6% and is still on par with other reits with big name sponsors like Ascendas Reit, Capital Mall Trust, etc. But in terms of price over NAV per unit, at S$1.160, the ratio 1.35 times is definitely too high compared to most of the other S-Reits. One of the main negative factor about this reit, in my opinion, will be the gearing of 38.6%, which is towards the high side compared to other S-Reits. The reit was given a rating of BBB+ by Fitch on its listing day, meaning it can potentially gear up to 60%. Though there is still some debt headroom at 38.6% before it reaches 60%, in recent times it is not uncommon to see reits raising funds by equity (private placement or rights issue or both together) when the gearing is near or above 40%. When that happens, we will have to look out for potential dilution of the yield.

Related Posts
MIT assigned a final rating of BBB+ by Fitch - 21 OCT 2010
Mapletree Industrial Trust Final Ballotting Announcement - 20 OCT 2010
All about REIT - The Basics Part 5: Sponsors

First Reit Q3 2010 Quarterly Earnings Report

Q3 2010 results for First Reit:

• Press Release
• Financial Statements
• Presentation Slides

Key Points

• DPU for the reporting quarter is 1.94 cents. 
• Based on its annualised DPU of 7.70 Singapore cents and the closing
  price of S$0.95 on 20 October 2010, First REIT achieved a distribution yield of 8.1%.
• Continued focus on asset enhancements to drive revenue and growth.
• Acquisition growth is expected to gain momentum.
• The Books will close from 5pm on 1 November 2010 for the purpose of determining Unitholders’ entitlement to the distribution. 
• The distribution will be paid on 29 November 2010. 
• The ex-dividend date will be on 28 October 2010 at 9.00am.

Author's Note
The DPU of 1.94 cents will be paid on 29 Nov 2010. Books closure is on 1 Nov 2010.

DPU was 1.92 cents in the previous quarter.

CMT Q3 2010 Quarterly Earnings Report

Q3 2010 results for CMT:

• Press Release
• Financial Statements
• Presentation Slides

Key Points

• DPU for the reporting quarter is 2.36 cents. 
• Gross revenue grew 6.3% year-on-year to S$148.2 million in 3Q 2010 while net property income was higher by 7.1% over that of 3Q 2009. 
• CMT continued to register strong portfolio occupancy of 99.6% as at 30 September 2010. 
• With the issuances of the four-year and seven-year medium term notes, CMT’s average cost of debt was 3.7% and gearing ratio was 37.2% as at 30 September 2010. 
• Interest cover remained strong at approximately 3.7 times.
• Book closure is at 5.00 pm on 1 Nov 2010 for the purpose of determining unitholders’ entitlements to distribution.
• The distribution that will be paid on 29 Nov 2010. 

Author's Note
The DPU of 2.36 cents will be paid on 29 Nov 2010. Books closure is on 1 Nov 2010. Note that the DPU is computed on the basis that none of the outstanding S$550.0 million in principal amount of the S$650.0 million convertible bonds due in 2013 are converted into Units before the books closure date (BCD). The actual quantum of DPU may differ if any of the outstanding CBs are converted into Units before the BCD.

DPU was 2.29 cents in the previous quarter.

MapletreeLog Q3 2010 Quarterly Earnings Report

Q3 2010 results for MapletreeLog:

• Press Release
• Presentation Slides

Key Points

• The DPU for the reporting quarter is 1.54 cents. 
• Pursuant to the Equity Fund Raising, the Manager will declare, in lieu of the scheduled distribution in respect of the period from 1 July 2010 to 30 September 2010, a distribution of the amount distributable for the period from 1 July 2010 to 14 October 2010, being the day immediately prior to the date on which the new units are issued and listed pursuant to the Equity Fund Raising. 
• MapletreeLog will announce the cumulative DPU for the period of 1 July 2010 to 14 October 2010 at later date.
• Amount distributable increased by 9.5% year-on-year to S$31.5 million for the three months ended 30 September 2010 (“3Q 2010”).
• Improvement driven substantially by acquisitions of 10 properties in the past 12 months in Singapore, Japan, South Korea and Vietnam.
• The occupancy rate in Hong Kong and Malaysia increased from 92% to 97% and 95% respectively.
• Positive rental reversion and organic growth from existing portfolio of properties.
• As at 30 September 2010, the Trust’s portfolio consists of 91 properties. Of the 91 properties, 50 are in Singapore, 13 in Japan, 11 in Malaysia, 8 in Hong Kong, 6 in China, 2 in South Korea and 1 in Vietnam.
• Equity Fund Raising (EFR) exercise on 21 September 2010 comprising a private placement tranche and a preferential offering tranche to raise gross proceeds of S$305 million.
• Leverage ratio rose slightly to 39.9% as at 30 September 2010. With the full deployment of the EFR proceeds towards the paring down of debt, the leverage ratio will decline to 36%. Thereafter, assuming completion of the potential acquisitions, the leverage ratio is expected to be approximately 38%.

Author's Note
The DPU for the reporting quarter is 1.540 cents. This is for the period from 1 July 2010 to 30 September 2010. Because of the Equity Fund Raising, in which the new units are issued and listed on 15 OCT 2010, the distribution for this quarter will also include the advance distribution for the period from 1 OCT 2010 to 14 October 2010, just a day before the new units are issued. The total DPU for the period of 1 July 2010 to 14 October 2010 will be announced at later date.

DPU was 1.500 cents for the previous quarter.

Related Posts
MapletreeLog's Launch of Equity Fund Raising to raise approximately S$300 million in Capital to Fuel Growth - 21 SEP 2010

Saizen Divests Kamei Five from the property portfolio of YK Shintoku - 21 OCT 2010

Saizen Divests Kamei Five from the property portfolio of YK Shintoku.
See press release.

Key Points

• YK Shintoku has, on 21 October 2010, entered into a conditional sale and purchase agreement for the divestment of Kamei Five to an independent private investor for a cash consideration of JPY 70,401,250 (S$1.1 million).
• Kamei Five, located in Hiroshima, was built in July 1989 and comprises 22 residential units, 2 commercial units and 2 car parking units. It contributed about 0.2% (or approximately JPY 9.8 million) of Saizen REIT’s annual revenue in the financial year ended 30 June 2010.

Related Posts
Saizen divests 3 properties - 14 OCT 2010
Saizen Reit divests Villa Kaigancho - 8 OCT 2010
Saizen completes divestment of Patios Ohashi - 30 SEP 2010
Saizen divests four properties - 29 SEP 2010

MIT assigned a final rating of BBB+ by Fitch - 21 OCT 2010

Mapletree Industrial Trust gets final rating of BBB+; outlook stable from Fitch Inc. See press release.
 
Key Points

• Fitch has today assigned MIT a final rating of BBB+; outlook stable.

Author's Note
With this corporate rating by Fitch, MIT can now gear up to 60%, up from the 35% without rating.

Related Posts
All About REIT - The Basics Part 4: Gearing Limit

Cambridge to Launch Equity Fund Raising to raise up to S$50.4m for the acquisitions of 4 properties - 21 OCT 2010

Launch of Equity Fund Raising to raise up to S$50.4 m for the acquisitions of 4 properties:

• Press Release
• Presentation Slides

Key Points

• Acquisition of 25 Tai Seng Avenue, 511 & 513 Yishun Industrial Park a and potential acquisitions of two properties in the western part of singapore.
• Equity fund raising to raise up to S$50.4 million.
• Equity Fund Raising to comprise:  
• Private Placement of 56,498,000 new units in Cambridge Industrial Trust to raise gross proceeds of approximately S$30.0 million
• Preferential Offering of up to 38,483,354 new units in CIT to raise gross proceeds of up to approximately S$20.4 million 
• New units to be offered at a price of S$0.531 for the Private Placement and S$0.531 for the Preferential Offering. 
• Retail Offering to be made on the basis of each unitholder having a preferential offer of one (1)  Preferential Unit for every twenty five (25) existing units in CIT held by entitled unitholders as at 5.00 p.m. on 29 October 2010, plus the opportunity to apply for additional units.
• Net proceeds to be used to part‐finance two (2) announced properties and two (2) potential acquisitions, all located in Singapore, with aggregate cost of approximately S$74.3 million.  
• Expected benefits to CIT from the addition of these properties:
• Improvement in asset quality through an enlarged portfolio; 
• Improved portfolio and tenant diversification; and  
• Positive impact on weighted average lease tenure and weighted average lease expiry 
• Post‐completion of the Equity Fund Raising, CIT’s gearing level is estimated to fall from 39.2% to 38.6%, strengthening CIT’s capital structure. 

CRCT - Updated Target Price following Q3 2010 result release

Updated Target Price for CRCT following Q3 2010 result release:

DBS Vickers

HOLD

S$1.30

21/10/10

Latest updates at Stock Target Price.

Related Posts
CRCT Q3 2010 Quarterly Earnings Report

CCT Q3 2010 Quarterly Earnings Report

Q3 2010 results for CCT:

• Press Release
• Financial Statements
• Presentation Slides

Key Points

• The DPU for the reporting quarter is 1.99 cents.
• For the financial period from 1 July 2010 to 30 September 2010 (3Q 2010), distributable income is S$56.2 million, a year-on-year increase of 7.9% from S$52.1 million.
• Distribution yield is 5.5% based on 3Q 2010 DPU and the closing price of S$1.44 per unit on 20 October 2010.
• Grade A offices registered near 100% occupancy, and overall portfolio achieved a rate of 98.2%.
• Standard & Poor's Ratings Services assigned to the Trust a long-term global corporate credit rating of ‘BBB+’ with a stable outlook. Currently, the Trust has a corporate family rating of ‘Baa2’ with a positive outlook from Moody’s. 
• Total assets at about S$6 billion.
• The adjusted NAV per Unit is S$1 40, assuming the distributable income has been paid out to the unitholders.
• Gearing ratio at 31.5%.

Author's Note
The DPU for the reporting quarter is 1.99 cents. There will not be any distribution this quarter as the reit has a semi-annual distribution policy. DPU was 1.97 cents for the previous quarter.

Cambridge Q3 2010 Quarterly Earnings Report

Q3 2010 results for Cambridge:

• Press Release
• Financial Statements
• Presentation Slides

Key Points

• Successfully acquired new assets worth S$37.1 million, supported by a S$40.0 million Private Placement in August 2010.
• Reduced gearing from 42.3% to 39.2%, following loan prepayment of S$32.0 million. Further repayment is planned.
• Improved financial flexibility with a new three-year Acquisition Term Loan and Revolving Credit Facility totalling S$70.0 million.
• Delivered distributable income in 3Q2010 of S$10.8 million, which translated to a distribution per unit (“DPU”) of 1.187 cents.
• Successfully completed an asset enhancement initiative, with three others in the pipeline, plus leases re-negotiated.
• An advanced distribution of 0.680 cents per unit was paid on 16 September 2010 in conjunction with the private placement exercise carried out in August 2010. The balance of 0.507 cents DPU will be payable on 30 November 2010.
• The Trust holds S$86.2 million in cash as at 30 September 2010, including approximately S$35.0 million relating to divestment proceeds. It is committed to use these proceeds to repay the syndicated term loan facility on 17 November 2010. This is expected to further reduce gearing to approximately 36.8%.
• The carrying value of the property portfolio increased by S$7.3 million during the quarter to S$838.5 million as at 30 September 2010.
• The 3Q2010 occupancy rate for CIT of 99.97%, remains higher than the national average of 92.3%.
• Book closure at 5.00 pm on 28 Oct 2010 for the purpose of determining unitholders’ entitlements to distribution.  
• The distribution that will be paid on 30 Nov 2010.

Author's Note
The DPU for the reporting quarter is 1.187 cents. This includes the advanced distribution of 0.680 cents per unit paid on 16 September 2010 for the period 1 July 2010 to 22 August 2010 because of the private placement exercise, and the balance of 0.507 cents per unit to be paid on 30 November 2010. The Manager has determined that the Distribution Reinvestment Plan (DRP) will not apply to the remainder distribution of 0.507 cents for 3Q2010.

DPU was 1.238 cents for the previous quarter.

K-Reit - Updated Target Price following Q3 2010 result release

K-Reit Updated Target Price following Q3 2010 result release:

DBS Vickers	HOLD	S$1.20	19/10/10
CIMB	UNDERPERFORM	S$1.26	19/10/10

Latest updates at Stock Target Price.

A-Reit - Updated Target Price following Q3 2010 result release

A-Reit Updated Target Price following its Q3 2010 result release:

DMG	NEUTRAL	S$2.11	19/10/10
OCBC	HOLD	S$2.11	19/10/10
CIMB	NEUTRAL	S$2.13	19/10/10
DBS Vickers	HOLD	S$2.19	19/10/10
Kim Eng	HOLD	S$2.30	20/10/10

Latest updates at Stock Target Price.

Mapletree Industrial Trust Final Ballotting Announcement - 20 OCT 2010

Mapletree Industrial Trust Final Ballotting Announcement. See press release.

Key Points

• Tranche and applications received for the Public Offer and the Reserved Units as at the close of the Offering (as defined in the Prospectus) are as follows:
• The Placement Tranche - Indications of interest were received for approximately 19.4 billion Units under the Placement Tranche, resulting in the Placement Tranche being approximately 39.6 times subscribed based on the 488,768,000 Units available under the Placement Tranche.
• The Public Offer - As at the close of the Public Offer at 8:00 a.m. on 18 October 2010, there were more than 86,000 valid applications for 80,645,000 Units (excluding the 25,500,000 Reserved Units which have been applied for by the Eligible Applicants) available to the public for subscription. In total, these applicants applied for approximately 2.2 billion Units. Based on the aforesaid, the Public Offer was approximately 27.7 times subscribed (based on 80,645,000 Units, which excludes the 25,500,000 Reserved Units).
• Reserved Units - As at the closing date for the application of the Reserved Units at 12:00 pm on 14 October 2010, valid acceptances were received for a total of 27,316,000 Reserved Units, and as a result, all 25,500,000 Reserved Units were allocated.
• It is expected that the Units will be credited to the securities accounts of the successful applicants with The Central Depository (Pte) Limited ("CDP") by 2.00 p.m. on 21 October 2010.
• The Units are expected to commence trading on a “ready” basis at 2.00 p.m. on 21 October 2010, subject to the SGX-ST being satisfied that all conditions necessary for the commencement of trading in the Units on a “ready” basis have been fulfilled. 

Author's Note
As per the announcement, the Reit is expected to commence trading in SGX at 2 PM on OCT 21 (Thur). The counter name and code is already available in the SGX website:
MapletreeInd  ME8U

CRCT Q3 2010 Quarterly Earnings Report

Q3 2010 results for CRCT:

• Press Release
• Financial Statements
• Presentation Slides

Key Points

• DPU for the quarter ended 30 September 2010 is 2.08 Singapore cents. 
• CRCT has achieved net property income (NPI) of RMB94.2 million for 3Q 2010, up 9.1% against the same period last year. 
• Income available for distribution is S$13.0 million.
• As at 30 September 2010, CRCT’s total borrowing was S$413.7 million, with gearing at 33.7% and healthy interest cover of 6.2 times. 
• CRCT has secured the refinancing of the S$200.5 million loans maturing in November 2010. The debt maturity will be extended to 2013 and 2014. With this completed, there will be no major refinancing needs in 2011.

Author's Note
The DPU for the reporting quarter is 2.08 cents. There will not be any distribution this quarter as the reit has a semi-annual distribution policy. DPU was 2.07 cents for the previous quarter.

CCT, AIMSAMPIReit,SUNTEC - Date of Result Release for Q3 2010

Updated date of Result Release for Q3 2010:
SUNTEC    OCT 26
CCT    OCT 21 (AM)  
AIMSAMPIReit  OCT 29

Latest Update at Results Release.

Cambridge - Change to Date of Result Release for Q3 2010

Change to Date of Result Release for Q3 2010 for Cambridge from OCT 19 to OCT 20. See press release.

Latest Update at Results Release.

Mapletreelog signs sale & leaseback agreement with Hamakyorex for Distribution Centre worth JPY 1.05 billion

Mapletreelog signs sale & leaseback agreement with Hamakyorex for Distribution Centre worth JPY 1.05 billion. See:

• Press Release
• Presentation Slides 

Key Points

• Mapletreelog has signed a sale and purchase agreement to acquire Toki Logistics Centre, a warehouse facility in Japan, for JPY 1.05 billion (approximately S$ 16.2 million) from Hamakyorex Co., Ltd, a reputable third-party logistics company (“3PL”) in Japan. 
• This acquisition provides an attractive and accretive yield of 8.6% which is comparatively higher than the implied property yield of the existing Japan portfolio which is at about 5.5%.
• The vendor, Hamakyorex, will enter into a 10-year lease agreement with MapletreeLog.
• With the addition of this acquisition, MapletreeLog’s total portfolio will increase to 92 properties and the book value of the asset portfolio would be approximately $3.4 billion upon completion of this transaction. 
• The acquisition is expected to be completed by 4Q 2010.
• With respect to funding, this Acquisition is one of the potential acquisitions identified in the recent Equity Fund Raising exercise that was launched on 21 September 2010. As such, this Acquisition will be funded with the EFR proceeds.

Related News

• MapletreeLog's Launch of Equity Fund Raising to raise approximately S$300 million in Capital to Fuel Growth - 21 SEP 2010

K-Reit Q3 2010 Quarterly Earnings Report

Q3 2010 results for K-Reit:

• Press Release
• Financial Statements
• Presentation Slides

Key Points

• The DPU for the reporting quarter is 1.69 cents.
• Distributable income rose 22.2% year-on-year to $62.5 million due mainly to higher net property income (NPI) and lower interest expense.
• NPI increased 40.5% year-on-year to $49.8 million due mainly to income contribution from the 50% interest in 275 George Street and additional 29% interest in Prudential Tower.
• Distribution Per Unit (DPU) for January to September 2010 amounted to 4.65 cents.
• Singapore property portfolio committed occupancy of 99.1% as at 30 September 2010 is higher than Singapore core CBD occupancy of 95.2%.

Author's Note
The DPU for the reporting quarter is 1.69 cents. There will not be any distribution this quarter as the reit has a semi-annual distribution policy. DPU was 1.64 cents for the previous quarter.

A-Reit Q3 2010 Quarterly Earnings Report

Q3 2010 results for A-Reit:

• Press Release
• Financial Statements
• Presentation Slides Part 1
• Presentation Slides Part 2

Key Points

• DPU for the quarter is 3.30 cents.
• Net Property Income increased 3.5% year-on-year to S$83.9million.
• Positive rental reversion of between 0.6% and 11.6% on lease renewals across most sub-sectors.
• Upgrade in corporate family rating to “A3” by Moody’s Investors Services.
• Occupancy rate moderated slightly to 95.3% for the portfolio and 90.5% for the multi-tenanted buildings. 
• The Manager has identified three asset enhancement opportunities within the portfolio to capitalize on underutilized plot ratio or to enhance the attractiveness of the properties.
• Redevelopment of 1 Senoko Avenue
• Asset Enhancement Planned for 10 Toh Guan Road
• Asset Enhancement for Techview
• These asset enhancement initiatives are expected to deliver a weighted average yield in excess of 8.5%.
• Diversified portfolio comprising 92 properties in Singapore with a total asset value of about S$4.9b.
• As at 30 September 2010, A-REIT’s aggregate leverage was 34.3% with a weighted average cost of funding of 3.92% and an average term of debt maturity of 3.4 years. All of A-REIT’s floating interest rate exposure is hedged into fixed rate for the next 2.9 years.
• The  Transfer  Books  and  Register  of  Unitholders will be closed at 5.00 pm on 26 Oct 2010 for the purpose of determining unitholders’ entitlements to distribution.  
• The distribution that will be paid on 26 Nov 2010. 

Author's Note
The DPU of 3.30 cents will be paid on 26 Nov 2010. The DPU was 3.37 cents in the previous quarter.

Plife - Date of Result Release for Q3 2010

Updated date of Result Release for Q3 2010:

Plife    Nov 8  

Latest Update at Results Release.

AIMSAMPReit Completes acquisition of 27 Penjuru lane - 15 OCT 2010

Completion of the acquisition of 27 Penjuru lane by AIMS AMP Capital Industrial Reit, drawdown of new loan and use of proceeds of the rights issue. See press release.

Key Points

• The acquisition of 27 Penjuru Lane by AIMS AMP Capital Industrial REIT has been completed today.
• The total cost of the Acquisition is approximately S$163.1 million, comprising:
• the purchase consideration of S$161.0 million
• the acquisition fee payable to the Manager for the Acquisition which amounts to S$1.6 milliion
• the estimated professional and other fees and expenses incurred or to be incurred in connection with the Acquisition which amount to approximately S$0.5 million.
• The Manager has paid the Purchase Consideration from a combination of debt financing and proceeds from the Rights Issue.
• Further to the acceptance of a letter of commitment for a new debt facility of S$280.0 million by the trustee on 20 August 2010 from Standard Chartered Bank (“SCB”), the Commonwealth Bank of Australia (“CBA”), and United Overseas Bank Limited (“UOB”), the Manager has drawn down S$272.0 million of the New Loan:
• S$97.0 million has been used to part finance the Purchase Consideration.
• S$175.0 million has been used to fully refinance the loan of S$175.0 million owing under the facility agreement dated 5 November 2009 and made between, inter alia, the Trustee, SCB, CBA and National Australia Bank Limited.
  
  
  

FrasersComm - Date of Result Release for Q3 2010

Updated date of Result Release for Q3 2010:

FrasersComm    Oct 22 

Latest Update at Results Release.

Cache Logistics Trust gains new long-term end-user for CWT Commodity Hub - 15 OCT 2010

Cache Logistics Trust gains new long-term end-user for CWT Commodity Hub. See press release.

Key Points

• CWT Commodity Hub has gained a new long-term multinational corporation end-user from the publishing sector which will provide certainty and growth in future cash flow beyond the current master lease period and diversify the tenant mix of the Cache portfolio.
• CWT Commodity Hub, located along Penjuru Road, is the largest warehouse in Singapore and also the largest asset in the Cache portfolio of six properties. 
• The property is currently leased to CWT Limited (“CWT”) as the master lessee for an initial lease term of five years till April 2015 plus an option to renew for another five years.
• CWT’s new end-user has committed to occupy 61,000 sq ft at CWT Commodity Hub for nine years from January 2011 till December 2019. 
• As the long tenure extends beyond CWT’s current 5-year master lease commitment to Cache, CWT has extended the lease for the 61,000 sq ft of space through December 2019. 
• The new lease is structured with locked-in annual rental escalation providing growth in future revenue for Cache beyond the present master lease period.
  
   

CacheLog, First Reit - Date of Result Release for Q3 2010

Updated date of Result Release for Q3 2010:
CacheLog    Oct 28
First Reit    Oct 22 

Latest Update at Results Release.

Saizen divests 3 properties - 14 OCT 2010

Saizen divests 3 properties. See press release.

Key Points

• The manager of Saizen REIT wishes to announce the divestment of the following properties from the property portfolio of Yugen Kaisha (“YK”) Shintoku:
• Higashi Hakushima Y Building 
• Otemachi Y Building
• Kinyacho Y Building

Related News

• Saizen Reit divests Villa Kaigancho - 8 OCT 2010 
• Saizen completes divestment of Patios Ohashi - 30 SEP 2010 
• Saizen divests four properties - 29 SEP 2010

 

Updated Target Price for Ascott Reit

Updated Target Price for Ascott:

OCBC

BUY

S$1.38

12/10/10

Latest updates at Stock Target Price.

Starhill Global, FCT - Date of Result Release for Q3 2010

Updated date of Result Release for Q3 2010:
Starhill Global    Oct 26
FCT      Oct 26 (AM)

Latest Update at Results Release.

K-Reit's proposed acquisition of a one-third stake in MBFC phase 1 and proposed divestment of KTGE - 11 OCT 2010

Proposed acquisition of a one-third stake in MBFC phase 1 and proposed divestment of KTGE. See:

• Press release and Presentation Slides
• Report

Key Points

•  
• K-REIT Asia has entered into a conditional share purchase agreement with Bayfront Development Pte. Ltd., a wholly-owned subsidiary of Keppel Land Limited (Keppel Land), for the acquisition of a one-third interest in Phase One of Marina Bay Financial Centre (MBFC Phase One) at an agreed value of approximately S$1,426.8 million (inclusive of rental support).
• At the same time, as part of the asset swap, K-REIT Asia has signed a conditional sale and purchase agreement with Mansfield Developments Pte Ltd, a wholly-owned subsidiary of Keppel Land, for the divestment of Keppel Towers and GE Tower (KTGE) at an agreed value of S$573.0 million, which is above the valuation of S$540.7 million as at 31 December 2009, according to a Keppel Land report.
• MBFC Phase One comprises two office towers, Marina Bay Financial Centre Towers 1 & 2, with a total net lettable area (NLA) of about 1.65 million sf, Marina Bay Link Mall with a retail NLA of about 94,500 sf and 684 carpark spaces. Fully committed, major tenants at MBFC Towers 1 & 2 include Standard Chartered Bank, Barclays Capital, BHP Billiton, Nomura, Macquarie, American Express and Prudential.
• After the asset swap, K-REIT Asia's portfolio asset size will increase from S$2.5 billion to approximately S$3.4 billion. The asset swap is expected to be completed no later than 31 December 2010.
• The acquisition of the one-third interest in MBFC Phase One will be funded by a combination of the sale proceeds from the divestment of KTGE, new borrowings and part of the proceeds from K-REIT Asia's November 2009 rights issue.

Ascendas Reit, CDL H-Trust - Date of Result Release for Q3 2010

Updated date of Result Release for Q3 2010:
Ascendas Reit   Oct 18
CDL H-Trust      Oct 29

Latest Update at Results Release.

Updated Target Price for CCT

Updated Target Price for CCT:

OCBC

HOLD

S$1.50

07/10/10

Latest updates at Stock Target Price.

Ascott Reit - Date of Result Release for Q3 2010

Updated date of Result Release for Q3 2010:
Ascott Reit   Oct 22

Latest Update at Results Release.

Saizen Reit divests Villa Kaigancho - 8 OCT 2010

Saizen Reit divests Villa Kaigancho. See press release.

Key Points

• The manager Saizen REIT wishes to announce the divestment of Villa Kaigancho (the “Current Divestment”) from the property portfolio of YK Shintoku.
• YK Shintoku has, on 8 October 2010, entered into a sale and purchase agreement for the divestment of Villa Kaigancho (“VK”) to an independent private investor (the “VK Buyer”) for a cash consideration of JPY 250,710,000 (S$3.9 million1) (the “VK Sale Price”). The divestment of VK was completed on the same day upon the payment of the full amount of the VK Sale Price by the VK Buyer.
• VK, located in Hakodate, was built in November 1990 and comprises 50 residential units, 1 commercial unit and 24 car parking units. It contributed about 1.0% (or approximately JPY 41.4 million) of Saizen REIT’s annual revenue in the financial year ended 30 June 2010.
• Given the small size of VK relative to the entire portfolio of Saizen REIT, the Current Divestment is not expected to have any material impact on the financial position of Saizen REIT.
  
  

Date of Result Release for Q3 2010 for CMT

Updated date of Result Release for Q3 2010:
CMT   Oct 22 (AM)


Latest Update at Results Release.

Ascott Reit issues 67,858,000 preferential offering new units - 7 OCT 2010

Ascott Reit issues 67,858,000 preferential offering new units. See press release.

Key Points

• Further to the earlier announcement on 4 October 2010 on the results of the Preferential Offering, the Manager wishes to announce that 67,858,000 Preferential Offering New Units were allotted and issued today. The total number of Units in issue of Ascott REIT as of 7 October 2010 (including the Preferential Offering New Units) was 1,107,098,074.
• The Preferential Offering New Units issued will rank pari passu in all respects with the existing Units, including the right to Ascott REIT’s distributions for the period from 22 September 2010, being the date on which New Units were issued pursuant to the Private Placement, to 31 December 2010 as well as distributions thereafter.
• The 67,858,000 Preferential Offering New Units allotted and issued today will be listed for quotation on the Main Board of the SGX-ST at 9.00 a.m. on 8 October 2010.
• The entire amount of the proceeds of the Preferential Offering of approximately $72.6 million has been utilised and set aside as follows:
• $56.3 million has been utilised to part fund the Target Acquisitions;
• $8.5 million has been utilised and set aside for payment of underwriting expenses and professional and other fees and expenses; 
• $7.8 million has been set aside for other general corporate and working capital purposes.
  
  
  

Date of Result Release for Q3 2010 for MapletreeLog

Updated date of Result Release for Q3 2010:
MapletreeLog   Oct 21


Latest Update at Results Release.

The first distribution by Cache Logistics Trust since listing

The First Distribution Since Listing
Cache Logistics Trust commenced trading in SGX on 12 APR 2010. In its first and latest quarterly earnings report for Q2 2010, it has announced a DPU of 1.71 cents for the period 12 April 2010 (Listing Date) to 30 June 2010. This DPU will be distributed along with the DPU to be announced for Q3 2010. As mentioned in the Prospectus dated 1 April 2010, the first distribution will be for the period from the Listing Date to 30 September 2010, and will be paid on or before 29 November 2010.

Following is a rough calculation of the expected amount for the first distribution:

• Announced DPU from 12 Apr 2010 to 30 Jun 2010 = 1.71 cents
• Annualized DPU based on the above = 7.81 cents (this figure can be found in the Q2 2010 earnings report)
• DPU per quarter based on above annualized DPU = 7.81/4 = 1.9525 cents
• Estimated first distribution for the period from 12 Apr 2010 to 30 Sep 2010 = 1.71 + 1.9525 = 3.6625 cents

Stock Price Movement
The reit has been trading around 0.90 to 1.00 for the past few months, which is slightly above its IPO price of 0.88 and NAV per unit of 0.87. In Sep 2010, it has momentarily went above 1.00, but in recent weeks it has gradually went down to around 0.970 - 0.975. The weakening of its share price is contrary to the recent strengthening of the STI, which has went solidly above 3000, and is approaching 3200 at the time of this writing. A wild guess for the reason behind the weakening share price is that funds are selling out of this reit to go for the IPOs of Global Logistics Properties and Mapletree Industrial Trust, which are expected to take place in mid october. Like I say this is a wild guess and it is difficult to prove, but I would say it is a logical guess as both are similar in nature to Cache Logistics, but have much stronger parents. Global Logistics Properties is not a reit but it is also in the logistics sector, and its parent is GIC. Mapletree Industrial Trust is not really in the logistics sector (unlike its closely related cousin Mapletree Logistics Trust), but it is also an industrial reit. Its parent is Mapletree Investments Pte Ltd, which is a wholly-owned subsidiary of Temasek Holdings.

Opportunity OR Further Downside?
Let's look at some factors that should make the recent weakening of the share price a good buying opportunity:

• As mentioned above, the estimated DPU of 3.6625 cents is expected to be paid on or before 29 November 2010. The XD (Ex Dividend) should be around Oct to Nov period. At the latest price of around 0.975, this is an absolute return of around 3.756% within one to two months.
• Most of the S-Reits have went up in prices quite significantly recently, such that their dividend yield has gone down to levels around 4-6%. For Cache, based on the annualized DPU of 7.81 cents shown above, and the latest price of around 0.975, its dividend yield is around 8%, which is top among the S-Reits. 
• Its gearing of 25.5% is lower than most of the other S-Reits. It still have a comfortable debt headroom for acquisition, which can potentially boost its dividend yield further.

Of course while we can make logical analysis based on figures in the earnings report, sometimes the market just choose to behave unexpectedly. Cache may have a stagnant share price or even further downside if it is slow to attract buyers, especially institutional investors. This is possible with the competition coming from new counters like Global Logistics Properties and Mapletree Industrial Trust, and also older counters like Cambridge, etc. However, the imminent distribution of 3.6625 cents should be a good buffer against further downside.