CDL Hospitality Trust's net property income up 11.4% to $34.9m

It was boosted by the contribution from The Lowry Hotel in the UK.

It was a healthy quarter for CDL Hospitality Trust (CDLHT) as it reported an improvement in its net property income (NPI), up 11.4% to $34.9m.

According to the group, this growth was underpinned by the inorganic contribution from The Lowry Hotel in Manchester, United Kingdom, which it acquired in May. The trust's strong property income growth from the New Zealand Hotel also contributed to the trust's stellar performance. 

The group were also able to record good gains from the Singapore Hotels and Claymore Connect.

However, the growth in NPI was partially offset by a softer trading performance from the Japan Hotels and Maldives Resorts, as well as lower contribution from Hilton Cambridge City Centre due to the weakened GBP and one-off expenses including the re-launch costs in relation to its newly repositioned restaurant.

Looking at the group's outlook for its Singapore portfolio, CLDHT noted that the hospitality market continued to experience downside pressure with the absence of the biennial Food & Hotel Asia event this year.

Despite this, the trust's Singapore Hotels achieved higher occupancies and consequently, overall RevPAR decreased marginally by 1.4% in the quarter.

"Looking ahead, Singapore’s growth outlook is expected to be more positive with improving growth prospects for the global economy," the trust said.

It also noted that the tourism board's Singapore MICE Advantage Programme would help draw business events in the city-state that can benefit the trust's hotel properties.