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A-Reit explores investment opportunities in mature developed markets

THE manager of Ascendas Reit (A-Reit) said on Thursday it is "actively exploring" investment opportunities in mature developed markets such as Australia and Germany.

That said, the Reit's portfolio will remain predominantly Singapore-based in the foreseeable future. The manager targets for new mature developed markets to make up about 20-30 per cent of the Reit's portfolio.

A-Reit is Singapore's first and largest listed industrial Reit, with a portfolio of 103 properties in Singapore, comprising business and science parks and various types of industrial properties. Overseas, it also has two business parks in China.

Since its inception in November 2002, it has grown the value of its portfolio from S$636 million to S$8.2 billion as at end-June 2015.

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"Such diversification will help to strengthen the portfolio. The manager will persist in its disciplined evaluation of all potential investments. It seeks long-term sustainable yield accretive returns for unitholders and will continue to seek a balance between risk and growth," the manager said.

Two weeks ago, the Reit reported improved earnings for its first quarter ended June 30, thanks to better occupancy rates and positive rental reversions. Its distribution per unit rose 5.5 per cent to 3.841 cents.

Its units added one cent to S$2.41 on the stock market on Thursday.