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CapitaLand Mall Trust’s (CMT) distribution per unit for the fourth quarter of 2016 remained stable from the previous year at 2.88 cents, while net property income (NPI) fell 7.8 percent to S$116.2 million.
Gross revenue also dropped 6.1 percent to S$169.3 million.
For the 2016 financial year, the trust saw its NPI and gross income increase 2.9 percent and 3.1 percent to S$479.7 million and S$689.7 million respectively.
CMT attributed the increase to the acquisition of Bedok Mall on 1 October 2015, and higher rental achieved for Tampines Mall, Bukit Panjang Plaza and IMM Building, following asset enhancement works. This was, however, offset by the divestment of Rivervale Mall on 15 December 2015 and lower gross revenue from Funan, as the mall ceased operations for redevelopment.
The trust’s DPU for the full year eased 1.1 percent to 11.13 cents.
Based on CMT’s closing price of S$1.970 per unit on 19 January 2017, the distribution yield is 5.82 percent. Unitholders can expect to receive their DPU for Q4 2016 on 28 February 2017.
“Amidst the challenges of softening economic conditions and ongoing business restructuring, CMT has delivered a steady set of results in 2016. As of 31 December 2016, our malls registered a high occupancy rate of 98.5 percent. For FY 2016, tenants’ sales per square foot and shopper traffic increased 0.9 percent and 2.3 percent respectively year-on-year,” said Wilson Tan, CEO of the trust’s manager.
He revealed that the asset enhancement works at Plaza Singapura and Tampines Mall have been completed in Q4 2016.
As such, Plaza Singapura now boasts new nursing rooms, new shoppers’ lounge on Level 1, refurbished mall interior as well as refreshed lift lobbies and escalator landings, while Tampines Mall’s interior and Level 4 Garden Plaza have been upgraded, said Tan.
“Ongoing efforts to refresh the tenant mix at Clarke Quay are progressing well and new tenants added in recent months include Zouk, Red Tail, VLV and Red House. Looking ahead, we will continue to focus on the interior rejuvenation works at Raffles City Singapore and the development of a new live-work-play paradigm in Funan.”
Christopher Chitty, Senior Content Specialist at PropertyGuru, edited this story. To contact him about this or other stories, email christopher@propertyguru.com.sg
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