Distributable income at Keppel Reit rises to $52.8 million for the second quarter

Keppel Reit posted a higher distributable income of $52.8 million for the three months ended Jun 30, up 6.1 per cent from the same period last year.

Net property income rose 3.1 per cent to $32.2 million.

Keppel Reit said that the increase was mainly due to higher property income from its Ocean Financial Centre (OFC).

Distribution per unit (DPU) for the second quarter was 1.97 cents, up from 1.94 cents in the same period last year.

For the six months to Jun 30, distributable income rose 6.8 per cent to $105 million from the same period last year.

Net property income also rose by 11.5 per cent to $66.7 million for the same period, underpinned by higher property income from both OFC and its property at 77 King Street in Sydney.

Keppel Reit said that the average portfolio occupancy of its local assets increased from 98.7 per cent for the three months to Mar 31, to 99.2 per cent for the three months to Jun 30.

Last month, the firm announced that it had acquired a 50 per cent stake in a freehold office building at 8 Exhibition Street, Melbourne, for $192.4 million.

It said that the commercial property has a total net lettable area of about 480,309 sq ft, and has been fully-leased.

Keppel Reit's unit price rose by one cent to close at $1.36 today.

ocheryl@sph.com.sg