See what drove Frasers Commercial Trust's "laudable" results

Portfolio remained resilient with growth seen ahead.

Frasers Commercial Trust may have suffered a 17.4% YoY decline in net property income due to currency weakness and divestments, but realized gains from currency hedges, among others, offset this resulting in a distributable income to unitholders juming 20.9% to S$13.7m.

OCBC cited the direct management and rejuvenation works at China Square Central (CSC) as a notable "great success, as it saw a robust YoY growth in NPI of 26.8% amid higher rental and occupancy rates."

55 Market Street also delivered 10.8% growth in NPI over the quarter. Combined, these helped to cushion the lower translated income from the Australia properties, said OCBC.

"Looking ahead, we maintain our view that FCOT will continue to perform as its transformation initiatives over the past year are likely to underpin growth. We also understand that the Telok Ayer MRT station, which is just at the doorstep of CSC, is expected to open in Dec 2013. Coupled with the completion of enhancement initiatives around CSC, this is likely to boost its competitive position and growth potential," it added.

"In addition, management noted that FCOT is receiving a net rent of S$1.80 psf pm at Alexandra Technopark, significantly lower than the underlying passing gross rent of S$3.50. As such, income uplift is expected upon the expiry of the master lease in Aug 2014," it said further.