Manulife US Reit's Q1 DPU flat; net property income up

Manulife US Real Estate Investment Trust (Reit) reported a restated distribution per unit (DPU) of 1.51 US cents for its first quarter ended March 31, down 0.7 per cent from 1.52 US cents a year ago.

Manulife US Reit said the DPU has been restated to account for a rights issue, through which 299.3 million units were issued on Oct 25 last year.

The Reit added that the decline of 0.7 per cent in DPU is due to lower income from two of its properties - Figueroa and Michelson - which saw lower occupancy, as well as higher income taxes.

This was offset by strong earnings from the Plaza and Exchange properties, which were acquired last year on July 19and Oct 31 respectively, said the Reit.

Net property income rose 54 per cent to US$19.65 million (S$26 million) for the quarter, on higher contribution from Plaza and Exchange.

Net income for the period went up by 35.6 per cent to US$11.5 million, while gross revenue increased by 57 per cent to US$31.15 million.

"In line with the overall improved performance, distributable income increased by 50.1 per cent to US$15.6 million in Q1 2018, which translates to a DPU of 1.51 US cents for the enlarged unit base," the Reit manager said.

A version of this article appeared in the print edition of The Straits Times on May 01, 2018, with the headline 'Manulife US Reit's Q1 DPU flat; net property income up'. Print Edition | Subscribe