Soilbuild Reit's Q3 DPU of 1.546 Singapore cents beats forecast by 2%

SOILBUILD Business Space Reit reported a distribution per unit (DPU) of 1.546 Singapore cents for the third quarter ended Sept 30, beating its forecast by 2 per cent.

This came on the back of net property income of S$14.2 million for the quarter, which exceeded its forecast by 1.7 per cent, thanks to income from the recently acquired Tellus Marine and lower property expenses due to lower maintenance costs for multi-tenanted properties.

Soilbuild Reit also separately announced on Tuesday that it is buying two adjacent detached purpose-built factories located along Tuas Bay Drive for S$55 million.

The trust-manager said that it believes it is well-placed to deliver on its forecast distribution for the full financial year, given that the majority of its portfolio is focused in the business parks and high-specifications sector.

It had projected a DPU of 5.97 Singapore cents for fiscal 2014, which would translate to 7.7 per cent distribution yield based on the IPO price.