SINGAPORE - The addition of Changi City Point to the portfolio of Frasers Centrepoint Trust (FCT) from June 2014 boosted earnings for the second quarter, the trust's manager announced yesterday.
Distributable income of FCT rose 14.1 per cent year on year to $27.2 million for the quarter, on the back of a 15.9 per cent rise in gross revenue to $47.5 million.
This was attributed to the addition of Changi City Point and organic growth from other malls in the portfolio from step-up rents and positive rental reversions, its manager said.
Portfolio occupancy improved to 97.1 per cent at March 31, higher than 96.8 per cent a year back.
For example, Northpoint's occupancy rose to 99.1 per cent from 96.3 per cent after a new food court was opened in February. Bedok Point's occupancy rose to 94.2 per cent from 90.8 per cent as several new restaurants and shops opened during the quarter.
Distribution per unit rose to 2.963 cents from 2.88 cents a year back.
"While concerns persist over manpower shortage and slowing retail sales growth, the rising average household income and low unemployment rate will continue to underpin consumer spending, which will benefit FCT's well-located suburban malls," Dr Chew Tuan Chiong, chief executive officer of Frasers Centrepoint Asset Management said in a statement.
FCT's performance is expected to remain "sustainable," he added. Net asset value per unit was $1.86 at March 31, up from $1.85 at Sept 30.