Mapletree Industrial Trust posts 1.4% rise in Q2 DPU

SINGAPORE - Mapletree Industrial Trust announced on Tuesday (Oct 25) a 1.4 per cent rise in distribution per unit (DPU) to 2.83 Singapore cents for the three months ended Sept 30 from 2.79 cents in the year-ago quarter.

Net property income increased 4.3 per cent to S$63.6 million on higher rental rates secured across all property segments and higher occupancy achieved at high-tech buildings.

The first of two high-tech buildings for Hewlett-Packard obtained its temporary occupation permit on Oct 21. The second building is on track for completion in the second quarter of 2017. Hewlett-Packard has committed to lease the entire facility, which has a total gross floor area of 824,500 sq ft, for an initial period of 10.5 years, with an option to renew for two additional five-year terms.

Mr Tham Kuo Wei, chief executive officer of the trust's manager, said revenue contribution from this facility, the trust's largest tenant, will help to mitigate the negative impact of the weak Singapore industrial market on the portfolio.

For the fiscal first half-year, distributable income and DPU rose 5.1 per cent and 2.9 per cent respectively to S$102.1 million and 5.68 cents.