MAPLETREE Commercial Trust (MCT) posted a distribution per unit (DPU) of 2.08 Singapore cents for the third quarter ended Dec 31, 2015, unchanged from a year ago.
This came on the back of a 3.5 per cent increase in net property income to S$56.6 million. Gross revenue grew 1.2 per cent to S$73.77 million due mainly to positive contributions from VivoCity, partially offset by lower revenue from Mapletree Anson and PSA Building.
But net finance expenses for the quarter were 14.7 per cent higher due mainly to higher interest rates on the floating rate borrowings and the refinancing of the debts into longer term borrowings. The average term-to-maturity of debt was 3.6 years as at end-2015 compared to three years as at end-2014.
"In an environment of rising headwinds in both the retail and office sectors, our focus on active asset management and cost management have yielded good results," said Sharon Lim, CEO of the Reit manager Mapletree Commercial Trust Management.
Ms Lim noted that VivoCity's performance is notable, with tenant sales and net property income growing 2.5 per cent and 8.1 per cent respectively during the three quarters compared to a year-ago period. "To further enhance VivoCity's appeal to shoppers, we are planning an asset enhancement initiative to strengthen the mall's F&B offerings. The AEI is expected to commence in Q4 FY16 and will complete progressively in H1 FY17."
The third-quarter distribution will be paid out on March 10, with the book closure date being Feb 4.