General S-REITs Discussion Thread

[peppermint7]

All big name reits already recovering.
Now eyeing small reits

Now only hope no 2nd outbreak. Otherwise all back to 0

 

[peppermint7]

I scoop some CDL yesterday also. Hope the rise sustain. CDL dividend has been impressive. But like what all are aware. The risk forward is there. Buy at own risk.

Btw CDL is under hospitality. Not reits

CDL yesterday i chased from 94 cents all the way to 98.5 cents. Lol
I have been eyeing on it since 90c but procastinated. Hope the rise stays

 

[wutawa]

I bought starhill global and Mapletree NAC. I may or may not keep them for dividend as due to current situation I'm not sure if they are worth keeping for dividends. Probably I'll look at capital gain. Will see how it goes

By the way, I'm not expert here. U should b the one to give me tips instead since your major portion are in reits

I only have 15% on reits, and aiming to increase it. I got 2 reits, 1 red 1 green. The green 1 is mapletree industrial trust, div yield 4.5%.

 

[peppermint7]

Btw i also have some OUE. It's a slow and boring stock. Scooped some back in april. Will sell it for capital gain cos dividend not impressive

 

[peppermint7]

I only have 15% on reits, and aiming to increase it. I got 2 reits, 1 red 1 green. The green 1 is mapletree industrial trust.

Thanks to mapletree industrial being included into mcsi. That's how my NAC gotten a rise too

Oops! Mixed up between logistics and industrial

 

[wutawa]

Haha, is mapletree logistics got in and pull up our reits. Heng heng

 

[Andrew833]

I only have 15% on reits, and aiming to increase it. I got 2 reits, 1 red 1 green. The green 1 is mapletree industrial trust, div yield 4.5%.

I have MCT green now.
Suntec sold at $1.45 cos 1 stupid technical analysis say sell
Now want to add ESR reit but price went up liao, bid $0.39
Keppel DC sold at $2.53

Holding UMS for dividend 3.75%

 

[Andrew833]

Now only hope no 2nd outbreak. Otherwise all back to 0

I don't think so, correction bah.

 

[Tool18]

Vested in HMN 0.98 , whiz procrastinated at .92 last week

 

[Sadisticnoob]

I have about 14.5 K in 7 reits.

as of now , total gain is about 1.4K which is amazing.

I have 3 reds, Ascott/ Asian pay and mnact.

 

[peppermint7]

I have about 14.5 K in 7 reits.

as of now , total gain is about 1.4K which is amazing.

I have 3 reds, Ascott/ Asian pay and mnact.

Wow! Close to 10% gain. Well done

 

[Sadisticnoob]

Wow! Close to 10% gain. Well done �

80% of that is due to keppel dc reit. My cost for that is super low

Sent from HUAWEI INE-LX2R using GAGT

 

[wutawa]

I have about 14.5 K in 7 reits.

as of now , total gain is about 1.4K which is amazing.

I have 3 reds, Ascott/ Asian pay and mnact.

Sry i have to ask the period.

 

[SBC]

Reits etf is also recovering well.

 

[Shion]

Industrial REITs to be the fastest to recover post Covid-19 on healthy operational metrics, governme

Industrial REITs to be the fastest to recover post Covid-19 on healthy operational metrics, government assistance: DBS

https://www.theedgesingapore.com/ca...ver-post-covid-19-healthy-operational-metrics

SINGAPORE (June 2): With the Singapore economy set to gradually re-open over three phases from this month, DBS Group Research analyst Derek Tan believes the manufacturing sector will be the fastest to recover from the virus.

In a Tuesday report, Tan says industrial REITs are likely to tap on a recovery in global economies from 2021 onwards, and will also benefit from various government assistance schemes that have been doled out to cushion the impact of the virus.

For a start, Tan identifies how the operational metrics of these REITs remains “healthy” with resilient occupancies across major industrial subsectors.

“While the Circuit Breaker during April-May 2020 has resulted in landlords making provisions for rental deferments to assist tenants in their cashflow needs, the impact is marginal at 2%-7% of portfolio rental revenue,” says Tan.

“Impact to industrial tenants have been more contained as majority of them are operating as they are considered part of essential services that were exempted from the shutdown,” he adds, noting that property tax rebates from the government will also be fully passed on to tenants as a form of rental relief.

In addition, Tan observes that various government assistance programmes are “positive” for the sector. In particular, the government has been quick to infuse impacted businesses with liquidity through various loans, subsidies and grants to support small and medium enterprises (SMEs), or the “lifeblood of the manufacturing sector.”

“While landlords may have to cough up one month of rental rebates to their SME tenants, the downside risks to earnings is likely one-off,” says Tan.

However, amid a period of volatility, Tan is paying special attention to rent arrears. This is especially crucial since some industrial REITs with Singapore-centric exposures have retained some income in 1Q2020 in light of potential rent deferments and rebates down the road.

“Amid structural changes in the economy, we note minimal deterioration in arrears ratios for now, but are mindful of any potential weakness in the medium term,” says Tan.

Apart from that, Tan is looking out for balance sheet recapitalisation risks especially since cashflows may be impacted in the near term, subsequently increasing the REITs’ gearing ratios which currently range between 34-42%.

“ A worse than anticipated drop in cashflows could lead to lower asset values,” shares Tan.

“A potential drop of 15% in asset values may see most of the S-REITS, especially the mid cap names, looking to recapitalise their balance sheets to keep gearing within 40%,” he adds.

In terms of valuations, Tan says large cap industrial S-REITs are trading at “wide premiums” to mid cap ones. However, the brokerage favours the industrial subsector over other ones amid the pandemic for its relative resilience in times of uncertainty and economic slowdown.

“Since falling to their multi-year lows in March 2020, the industrial REITs have rebounded with some of them trading close to levels seen in late 2019,” says Tan.

For instance, Tan notes that larger cap industrial REITs are trading at an average of 1.51 times price to net asset value (P/NAV), while the other mid-cap REITs are trading at 0.89 times P/NAV.

“The distinction between the large cap and mid cap S-REITs are now at the widest that we have seen as investors focus on the larger names for their liqudity, scale and ability to deliver stable earnings amid current market uncertainties,” adds Tan.

As far as 2020 and 2021 are concerned, Tan says acquisitions are set to be a growth driver for industrial REITs, and has factored in an estimated $1.6 billion to $2.0 billion worth of deals to be concluded close to the end of the respective financial years.

The brokerage’s top picks for the sector include Aims APAC REIT, Frasers Logistics and Commercial Trust and Ascendas REIT.

For Aims APAC REIT, Tan says rental contributions from its property at 3 Tuas Avenue 2 have commenced on Mar 1, while gearing has improved “marginally” to 34.8%. In addition, the REIT has retained some $2.9 million of its distributable income, and has fully committed its borrowings due this year to being refinanced,

Following the merger of Frasers Logistics and Industrial Trust and Frasers Commercial Trust, Tan notes that the behemoth has inked three leases in Australia and Germany while maintaining portfolio occupancy at 100%.

Meanwhile for Ascendas REIT, Tan says its portfolio occupancy has improved 0.8 ppt to 91.7%, with a positive rental reversion of 8.0% for its portfolio. The REIT also has minimal provisions for F&B and retail tenant rebates, with income retention being deemed unnecessary at this juncture.

DBS Group Research has reiterated its “buy” call on all three REITs with target prices of $1.40, $1.40 and $2.93 respectively.

 

[Andrew833]

I have about 14.5 K in 7 reits.

as of now , total gain is about 1.4K which is amazing.

I have 3 reds, Ascott/ Asian pay and mnact.

Mine 2 reits and UMS sold with profit 2.4K
From mid April to End of May.

June invest in UMS

 

[Tool18]

I have about 14.5 K in 7 reits.

as of now , total gain is about 1.4K which is amazing.

I have 3 reds, Ascott/ Asian pay and mnact.

When I told my friend I procrastinated , he scolded me as I’m too penny focused , he’s holding 10000 shares at 1.3 lol

 

[terence2112]

I holding on to a few Reits:

Starhill Global - 22000 units
First Reit - 9000 units
Cache - 10000 units
FCT - 2000 units
MIT - 9000 units
Suntec Reit - 5000 units

Overall, still in the red. Damm!

 

[wutawa]

I only have 15% on reits, and aiming to increase it. I got 2 reits, 1 red 1 green. The green 1 is mapletree industrial trust, div yield 4.5%.

Net 2% loss on the 2 reits (includes div) for 5 mths.

 

[Iyarash11]

after these 2 days most already green except CRCT