Frasers Logistics & Commercial Trust leases 175,000 sq m in Q1, posts 94.3% occupancy rate
The weighted average lease expiry of its portfolio stands at 4.6 years overall
FRASERS Logistics & Commercial Trust (FLCT) leased 175,000 square metres of space across its portfolio in the first quarter ended Dec 31, with a portfolio occupancy rate of 94.3 per cent.
FLCT’s entire portfolio of 114 logistics and industrial, as well as commerical properties, has a portfolio value of S$6.8 billion, it said in a business update on Tuesday (Feb 4) evening.
For Q1, FLCT recorded positive rental reversions of 21.3 per cent on an incoming versus outgoing basis, and 41.8 per cent on an average versus average basis.
The weighted average lease expiry of its portfolio stands at 4.6 years overall; 4.6 years for logistics and industrial properties; and 4.5 years for commercial properties.
In terms of capital management, FLCT said it has more than S$750 million of undrawn facilities currently available. It has aggregate leverage of 36.2 per cent, with an interest coverage ratio of 4.9 times.
Looking ahead, FLCT noted that a preference for strategic locations continues to drive demand for modern logistics facilities. Positive population growth, particularly in Australia, also supports logistics and industrial demand.
Meanwhile, higher inventory levels and nearshoring will drive warehouse demand, it said, as seen by rental growth and high take-up rates for logistics and industrial facilities. Continued growth in e-commerce will also translate into demand for modern and warehousing solutions.
Units of FLCT closed flat at S$0.88 on Tuesday before the announcement.
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