Lendlease REIT properties enjoy near-perfect occupancy

Tenant sales recovered by 94% to end the first quarter at near pre-pandemic levels.

Lendlease Global Commercial REIT (LREIT) has announced that its portfolio stood at 99.7% occupancy as of 31 March, with a long weighted average lease expiry (WALE) of 9.0 years by net lettable area (NLA) and 4.6 years by rental income (GRI).

Tenant sales grew by 94% to $46m whilst visitation recovered by 77% to 6.6 million compared to the same period last year.

“With the recent spike of COVID-19 cases in the community, the Manager will continue to remain vigilant and work together with the authorities and tenants to ensure a COVID-safe environment,” said LREIT manager, Lendlease Global Commercial Trust Management Pte. Ltd.

Meanwhile, 313@somerset maintained a healthy occupancy rate of 98.6%. Tenant retention rate stood at approximately 62%4 as the company continued its efforts to rejuvenate and inject vibrancy to the mall.

The company also plans to adopt the government’s Code of Conduct (CoC) for leasing of retail premises on 1 June.

“While the Manager does not foresee significant impact on the expiring leases due in the coming quarter, it will continue to maintain open communication with the tenants and conduct lease negotiations in a collaborative landlord-tenant approach. As at 31 March 2021, the remaining expiring leases to complete by FY2021 accounts for approximately 3% by portfolio GRI,” Lendlease said.

In the coming quarters, the LREIT said it will focus on targeted campaigns to boost sales and visitation; prioritise maintaining occupancy; and, collaborate with tenants amid the dynamic retail environment. It also aims to solidify the position of 313@somerset as the focal point of the Somerset youth precinct through the redevelopment of a multifunctional event space.