CapitaLand Mall Trust posts 1.1% rise in Q2 DPU on higher property income

Artist's impression of Funan DigitaLife Mall.
Artist's impression of Funan DigitaLife Mall. PHOTO: CAPITALAND MALL TRUST

SINGAPORE - CapitaLand Mall Trust (CMT) reported on Friday (July 22) a 1.1 per cent increase in distribution per unit (DPU) to 2.74 Singapore cents for the second quarter ended June 30, from 2.71 cents for the year-ago period.

Distributable income rose 3.3 per cent for the quarter to S$97.1 million from S$94.0 million for the same period last year.

This came on the back of a 6 per cent increase in net property income to S$116.1 million from S$109.5 million a year ago.

For the first half-year, DPU was 1.5 per cent higher at 5.47 cents from 5.39 cents a year ago, while distributable income was S$193.9 million, a 3.7 per cent increase over the S$186.9 million for the same period last year.

Said Mr Wilson Tan, CEO of CMT's manager: "Despite a soft retail market, CMT continued to produce steady operational results in the first half of 2016. Backed by our portfolio of well-located shopping malls and extensive network of retailers, CMT registered year-on-year increases of 3.6 per cent and 2.3 per cent in shopper traffic and tenants' sales per square foot respectively. As at 30 June 2016, portfolio occupancy remained high at 97.9 per cent."

CMT said Funan DigitaLife Mall, which closed from July 1, will embark on three years of redevelopment works slated to be completed in the fourth quarter of 2019.

The new integrated development will comprise retail, office and serviced residence units totalling 887,000 square feet in total gross floor area, almost double its current size.

CMT said unitholders can expect to receive their DPU for the secod quarter on Aug 29.