MIT to resume distribution reinvestment plan for Q2

Mapletree Industrial Trust's (MIT) distribution reinvestment plan will resume and apply to the payout for the second quarter.

This means investors can choose to receive distributions in the form of units or cash or a combination of both. This lets them buy new units without incurring additional costs.

Unit holders can expect to receive their quarterly payment by Dec 6, the trust announced last night.

It also announced that distribution per unit (DPU) for the three months to Sept 30 edged up to 3.01 cents from three cents in the same period last year, while income available for distribution grew 4.9 per cent to $56.7 million.

Gross revenue dipped 0.4 per cent to $92.2 million due to pre-termination compensation in the same quarter last year. Without this, gross revenue would have been 3.1 per cent higher this quarter.

Revenue was still helped by contribution from Phase 2 of the build-to-suit project for HP Singapore and recently completed developments.

Net property income dipped 0.1 per cent to $70.6 million from the previous year.

Distributable income was helped by contributions from development projects and MIT's 40 per cent interest in the portfolio of 14 data centres in the United States.

Its portfolio also includes 86 industrial properties in Singapore.

DPU for the half-year edged up from 5.92 cents a year earlier to 6.01 cents, while income available for distribution expanded 6.2 per cent to $113.6 million.

Gross revenue rose 1.3 per cent to $183.7 million in the six months, with net property income 0.8 per cent ahead at $140 million.

Net asset value per unit as of Sept 30 was flat at $1.48, compared with June 30.

Average portfolio occupancy fell to 86.7 per cent in the second quarter from 88.3 per cent in the first.

"The imminent supply of new competing industrial space is expected to moderate both the market rents and occupancy rates," MIT said.

Its units ended unchanged at $1.95 yesterday.

A version of this article appeared in the print edition of The Straits Times on October 24, 2018, with the headline 'MIT to resume distribution reinvestment plan for Q2'. Print Edition | Subscribe