Yeah...think even without the tenant replacement, the yield will still be rather attractive at 63.5 cents at the time.

SREITS are showing strength.
Many are making short term highs

AIMS, Croseus, SoilBuild, First, etc.......quite impressive

Irony

This is similar to the carry trades in forex.

Borrow in low interest Yen and invest in other higher yirlding currencies

Pearls of wisdom

Yeah

Gold spiked to $1265

Updates on these 3

NRZ is now $17.14 ex div 48 cents

ECC is $20.02 20 cents div coming 12th April

CCP is $27.31

All in all, a good 2 months . Made around 15%

Actually ECC is $22.02

These stocks are running too fast. Looks like many chasing for Yields like US!

Not so soon....intending to milk the US markets. Haha!

If there is with holding taxes, then I may let go the lower yield stocks sooner than later since they have run up so much.

0.01489 if priced in Loyang, annualized at stock price of 68 cents is 8.76%. Not so bad?

Rich man. But Rm500k do not pay for 4 years in Aus.

Rm500k at 3.1 buys Aud160k. May be just adequate for 4 years depending on the course.

Are fees paid to REIT managers really the problem?
By:
Goola Warden
SINGAPORE (April 13): The extraordinary general meeting requisitioned by 66 disgruntled unitholders of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (Sabana REIT) that has been scheduled for April 28 could see a lively debate about the fees that the beleaguered REIT has been paying its manager.

Jerry Low Chin Yee, the de facto leader of the dissident unitholders, says his main gripe is that Sabana REIT’s distributions per unit (DPUs) have dropped from 9.38 cents in 2013 to 5.01 cents in 2016. During this period, however, fees paid to Sabana REIT’s manager remained largely intact.

Sabana REIT’s manager has defended the fees payable by the REIT, stating in the EGM circular to unitholders that they are “within the range of all the fees charged by other property managers of Singapore-focused industrial and logistics REITs with [assets under management (AUM)] of between $1 billion and $2 billion”.

It specifically compared Sabana REIT’s fee structure to those of AIMS AMP Capital Industrial REIT (AA REIT), Cache Logistics Trust, Soilbuild Business Space REIT and Viva Industrial Trust (VIT).

Yet, this misses the point. REITs that have comparable fee structures do not necessarily deliver similar results. And, there are other avenues for REIT managers to boost their overall fees besides driving operational performance.

In the case of Sabana REIT, the dissatisfaction among unitholders stems not just from the fees that the manager has been collecting, but from the fact that it has been doing so even as unitholders have been losing money.

Unitholders paid fees of $8.51 million in 2013, $9.68 million in 2014, $9.29 million in 2015 and $8.63 million in 2016.

For all the criticism that Sabana REIT’s manager has faced, analysts say fees are not the first thing they consider when sizing up a REIT.

What else do analysts look for, and how have standards shifted for REITs over the years? Find out how the unitholder revolt at Sabana REIT could catalyse further changes in Singapore’s REIT sector in this week’s cover story for The Edge Singapore, (Issue 775, week of April 17), available at newsstands today.

Uncertainties remain for Soilbuild REIT
By:
Jude Chan
SINGAPORE (April 13): OCBC Investment Research is keeping its “hold” call on Soilbuild Business Space REIT with an unchanged fair value estimate of 64 cents.

Soilbuild REIT on Wednesday announced a 4.4% decline in distribution per unit (DPU) to 1.489 cents for the first quarter ended March 31, despite a 6.6% increase in distributable income to $15.6 million.

“The dip was attributed to an enlarged unit base from its preferential offering exercise last year and management’s decision to pay the property management fee and receive its lease management fee in cash instead of units,” says OCBC lead analyst Andy Wong Teck Ching.

Wong notes that the 1Q17 DPU was within expectations, accounting for 26.0% of the research house’s full-year projection.

(See: Soilbuild REIT 1Q DPU falls 4.4% to 1.489 cents)

“There were some positive takeaways from Soilbuild REIT’s 1Q17 results,” Wong says.

Despite Soilbuild REIT’s 72 Loyang Way property currently only 9.9% occupied due to the termination of the lease agreement with Technics Offshore Engineering in Dec 2016, portfolio occupancy rose to 91.8%, from 89.6% as at end-FY16.

According to Wong, Soilbuild REIT has obtained approval from JTC to lease out up to 30% of the property’s gross floor area to non-oil and gas related tenants, and has managed to secure tenancies from the Construction and Precision Engineering trade sectors.

However, he adds that “uncertainties remain”.

A big question mark hangs over how quickly Soilbuild REIT will be able to find a new anchor tenant for 72 Loyang Way.

(See also: Soilbuild REIT sues Technics Oil & Gas over default on rent payment)

In addition, Wong opines that rental reversions are likely to remain soft even though the leasing environment has improved.

“Rental reversions for the quarter came in mixed, with positive rental uplifts of 3.6% for renewal leases, but forward renewal leases clocked in negative rental reversions of 6.0%,” he says.

Units of Soilbuild REIT closed at 68.5 cents.

Good thing I hedged my assets in gold.
It is MYR5800 per oz today!
Stoopid MYR is back above 4.4 to the USD!

ALL the above!

Yeah

I think it is good to go and observe the proceedings. It will become a benchmark for SReits in the future for governance, fees, etc

hehe

Wah....kaya you with Nestlè and PBB...

Some Sreits hitting short term highs..