- CapitaLand Ascendas REIT reports 7.2% revenue growth in 1H 2024.
- Net Property Income rises 3.9% to S$528.4 million.
- Distribution Per Unit declines 2.5% to 7.524 cents.
CapitaLand Ascendas REIT shows strong growth despite high interest rates in the first half of 2024.
CapitaLand Ascendas REIT’s Financial Performance
In a press release by CapitaLand, CapitaLand Ascendas REIT (CLAR) shared its financial results for the first half of 2024.
CLAR’s gross revenue grew by 7.2% to S$770.1 million from 1 January to 30 June 2024.
The group’s Net Property Income (NPI) rose 3.9% to S$528.4 million.
However, the Distribution Per Unit (DPU) fell by 2.5% to 7.524 cents.
CLAR kept a healthy portfolio occupancy rate of 93.1% across its properties.
Here are some key highlights to note:
- CLAR’s portfolio is worth S$16.9 billion.
- The portfolio spans Singapore, Australia, the US, and the UK/Europe.
- CLAR has more than 1,780 tenants across its properties.
Notable Acquisitions and Investments
William Tay, CEO of CapitaLand Ascendas REIT Management Limited, said, “Our well-diversified portfolio and diverse tenant mix continues to deliver a solid financial and operational performance in 1H 2024.”
CLAR bought The Shugart, a high-spec R&D facility and business park in Singapore.
They also acquired The Chess Building, a Tier III colocation data centre in the UK.
CLAR started two new Asset Enhancement Initiatives (AEIs) in Singapore.
The total investment for these AEIs is S$24.2 million.
Take a look at this quick table for a clear overview:
| Region | Portfolio Percentage |
|---|---|
| Singapore | 64% |
| Australia | 14% |
| United States | 12% |
| UK/Europe | 10% |
Financial Stability and Future Outlook
CLAR’s aggregate leverage stands at 37.8%.
The cost of debt remains stable at 3.7%.
William Tay stated, “Despite the high interest rate environment, distributable income for 1H 2024 rose 1.0% year-on-year to S$330.8 million.”
The US market saw a decrease in occupancy rates to 87.7%.
CLAR’s diverse portfolio and ongoing investments show a focus on long-term growth and stability in the property market.
