Analysts see short-term DPU pain for CCT unitholders post-disposals

Singapore

ANALYSTS worry that there may be some short-term pain on CapitaLand Commercial Trust's (CCT) distribution per unit (DPU) to unitholders in the wake of a series of property disposals, even as the long-term gain is clear.

The latest asset to be sold off is Golden Shoe Carpark, but CCT is selling it to a joint venture (JV) in which it has a 45 per cent stake. Its parent CapitaLand has another 45 per cent stake and Mitsubishi Estate holds the remainder. The trio have plans to turn it into a mixed-use project.

Prior to this, CCT also recently sold a 50 per cent stake in One George Street as well as Wilkie Edge, an integrated development near Little India. In his report, Religare analyst Pang Ti Wee said: "CCT's redevelo…