Keppel DC Reit’s net property income increases by 3.3% in H1

Its NPI grew to $127.3m in H1 2023.]

Property firm, Keppel DC Reit, revealed that its distribution per unit went up 5.051 cents in H1 2023 from 5.049 cents in H1 2022.

In a bourse filing, Keppel DC Reit also announced that its distributable income went up 0.2% to $91.3m in H1 2023 from $91.2m in H1 2022.

It attributed its DI growth to the acquisitions of Guangdong Data Centre 2 and “building shell of Guangdong Data Centre 3, reversions from contract renewals and escalations, as well as tax savings from approvals obtained for the NetCo Bonds to be qualified as Qualifying Project Debt Securities.”

Some key highlights are maintaining its high portfolio occupancy of 98.5% with a long portfolio WALE of eight years by lettable area.

Moving forward, Keppel DC Reit is focusing on data centre investments because demand for such property is resilient amidst slow economic growth.

Moreover, the data centre demand will be backed by growth in AI, cloud computing, machine learning, and hyperscalers expansions.