Renovations at Suntec City mall have come up roses for Suntec Real Estate Investment Trust (Reit) in the second quarter.
Gross revenue grew by 19.6 per cent year-on-year, from $68.1 million to $81.4 million, while net property income rose from $46.1 million to $56.9 million, an increase of 23.5 per cent.
The completion of the second phase of the mall's renewal accounted for a large part of the boost in the Reit's performance in the three months to June 30, said Mr Yeo See Kiat, who is the chief executive of the Reit's manager, ARA Trust Management (Suntec).
Occupancy at the mall was at 95.3 per cent as at June 30.
AT A GLANCE
GROSS REVENUE: $81.4 million (+19.6%)
NET PROPERTY INCOME: $56.9 million (+23.5%)
DISTRIBUTION PER UNIT: 2.5 cents (+10.3%)
The distribution per unit rose 10.3 per cent, from 2.266 cents last year to 2.5 cents, on the back of an 11.1 per cent increase in total distributable income to $62.9 million.
Office revenue made up $34.6 million of the total revenue for Suntec Reit, with a 99 per cent committed occupancy as at the end of June.
Suntec Reit announced last month that it would divest Park Mall for $411.8 million. It acquired the mall for $245.1 million in 2005.
It has set up a joint venture company - in which it holds a 30 per cent stake - that will redevelop Park Mall into two office blocks.
Gross revenue for the six months was up as well, rising 16.3 per cent to $155.9 million, compared with the same period last year, while net property income rose 20.5 per cent to $108.3 million. Total distributable income grew by 10.6 per cent to $118.9 million.