CCT to set aside some divestment gains to shore up H2 DPU

This will make up for the loss of distributable income in H2 this year from Wilkie Edge, One George St sales

Kalpana Rashiwala

Published Wed, Jul 19, 2017 · 09:50 PM

Singapore

THE manager of CapitaLand Commercial Trust (CCT) has said that it will use some of the gains from its recent divestments to make up for the loss of distributable income contributions in H2 this year following the sale of Wilkie Edge and 50 per cent of One George Street (OGS).

The group posted improvements in distribution per unit (DPU) for Q2 and H1 ended June 30, 2017, over the corresponding year-ago periods, on the back of a better performance and higher contribution from CapitaGreen. This mitigated negative rent reversions experienced by other assets in the portfolio.

CCT completed its acquisition of the remaining 60 per cent stake in CapitaGreen on Aug 31 last year, giving the trust full ownership of the 40-storey Grade A office tower in Market Street. The trust, the portfolio of which also includes Capital Tower, Six Battery Road and a 60 per cent stake in the Raffles City Singapore, has posted an estimated DPU of 2.27…

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