COVID-19 has ‘no material impact' on portfolio to-date: FLCT

Near- to mid-term impact on retail components of the Singapore portfolio is expected.

The manager of Frasers Logistics & Commercial Trust (FLCT) said in a bourse filing that the COVID-19 pandemic had no material impact on its portfolio.

It added that the pandemic’s impact on the trust’s distributable income for Q1 FY2021 was approximately $0.7m, mainly including granted rental waivers and COVID-related provisions, which have not been material for the real estate investment trust (REIT).

However, a near- to mid-term impact on the retail components of the Singapore portfolio is expected.

FLCT's portfolio performance was "stable" in Q1 FY2021. New leases and renewals amounted to 63,546 sq m. of space or 2.9% of the REIT’s lettable area. It also recorded a portfolio rental revision of -6.9% during the same period.

Meanwhile, its occupancy rate is at 97.2%, with the weighted average lease expiry at 4.8 years.

The manager also said FLCT has a well spread-out lease expiry profile, with 5.5% of gross rental income due for renewal in FY2021.