Lendlease Global Commercial REIT's NPI hit $16.18m in Q2 FY2020

Leases at 313@somerset boosted its revenue.

Lendlease Global Commercial REIT's (LREIT) net property income (NPI) hit $16.18m in its inaugural Q2 FY2020, the company announced. Gross revenue reached $21.41m over the same period.

The trust outperformed its initial public offering (IPO) forecast of $15.68m for NPI and $21.2m for gross revenue. The higher revenue was mainly attributed to leases at 313@somerset, although partly offset by lower revenue from Sky Complex due to weaker Euro.

Meanwhile, its property operating expenses was 5.3% lower mainly due to lower repair and maintenance expenses, property taxes, and operating expenses. Finance costs were also 9.2% smaller, mainly attributed to lower effective interest cost achieved through hedging.

The amount distributable to Unitholders hit $15m, translating to a distribution per unit (DPU) of 1.29 cents or 3.1% higher than its forecast.

As disclosed in a prospectus, SGX-ST granted LREIT a waiver from announcing its Q1 results as it was a private trust that time and its properties had not been acquired. Further, the REIT was dormant from its date of constitution on January 2019 to its listing date.