- Main Sector(s): Retail & Logistics (Self-Storage)
- Country(s) with Assets: United States
- No. of Properties (exclude development/associate/fund): 23
Key Indicators
Development
Related Parties Shareholding
- REIT Sponsor's Shareholding: Below median by 20% or more
- REIT Manager's Shareholding: ± 10% from median
- Directors of REIT Manager's Shareholding: Above median by 20% or more
Lease Profile
- Occupancy: ± 5% from median
- WALE: Above median by 20% or more
- Highest Lease Expiry within 5 Years: Below median by 20% or more; Falls in 2027
- Weighted Average Land Lease Expiry: Above median by 20% or more
Debt Profile
- Gearing Ratio: Above median by 10% or more
- Cost of Debt: Below median by 10% or more
- Fixed Rate Debt %: ± 10% from median
- Unsecured Debt %: 0%
- WADM: Above median by 10% or more
- Highest Debt Maturity within 5 Years: ± 10% from median; Falls in 2026
- Interest Coverage Ratio: Below median by 10% or more
Diversification Profile
- Top Geographical Contribution: Below median by 20% or more
- Top Property Contribution: Below median by 20% or more
- Top 5 Properties' Contribution: Below median by 20% or more
- Top Tenant Contribution: ± 10% from median
- Top 10 Tenants' Contribution: Above median by 20% or more
Key Financial Metrics
- Property Yield: Above median by 20% or more
- Management Fees over Operating Distributable Income: Below median by 20% or more; $9.09 distribution for every dollar paid
- Operating Distributable Income on Capital: Above median by 20% or more
- Operating Distributable Income Margin: ± 10% from median
- Operating Distribution Proportion: ± 5% from median
- TTM DPU Breakdown:
- 89.8% from Operation
- 9.9% from Management Fees Paid in Units
- 0.3% from Income Support
Trends
- Uptrend: DPU from Operation, Occupancy
- Flat: NAV per Unit, Property Yield, Operating Distributable Income Margin, Operating Distributable Income Margin
- Downtrend: Interest Coverage Ratio
Relative Valuation
- P/NAV: Below -1SD for 1y, 3y & 5y
- Dividend Yield: Above +1SD for 1y; Above +2SD for 3y & 5y
Author's Opinion
| Favorable | Less Favorable |
|---|---|
| High Directors of REIT Manager's Shareholding | Low REIT Sponsor's Shareholding |
| Long WALE | High Gearing Ratio |
| Well Spread Lease Expiry | 0% Unsecured Debt |
| Long Weighted Average Land Lease Expiry | Low Interest Coverage Ratio |
| Low Cost of Debt | High Top 10 Tenants' Contribution |
| Long WADM | Interest Coverage Ratio Downtrend |
| Low Top Geographical Contribution | |
| Low Top Property & Top 5 Properties' Contributions | |
| High Property Yield | |
| Competitive Management Fees | |
| High Operating Distributable Income on Capital | |
| DPU from Operation Uptrend | |
| Occupancy Uptrend |
Despite a decline in gross revenue, NPI improved in the current quarter compared to the previous one. Additionally, there is no debt refinancing requirement in 2023, and the fixed-rate debt proportion of 80.2% is slightly higher than the median level for SREITs. Although the DPU has remained flat since the IPO, the DPU from operation has been steadily improving. Overall, its performance and fundamentals remain resilient.
For more information, check out:
SREITs Dashboard - Detailed information on individual Singapore REIT
SREITs Data - Overview and details of Singapore REIT
REIT Review - List of previous REIT review posts
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*Disclaimer: The information presented on this blog is for educational and informational purposes only. The materials, including research and opinions, are based solely on my findings and should not be considered professional financial advice or a definitive statement of fact. I cannot guarantee the accuracy, completeness, or reliability of the information provided. I shall not be held liable for any errors, omissions, or losses that may occur as a result of using the information presented on this blog. It should be noted that the information presented on this blog does not constitute a buy, sell, or hold recommendation for any security. It is crucial to conduct your own thorough research and due diligence before making any investment decisions.
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