MGCCT’s Q1 income spikes 11.2% to $69.4m

Boosted by Festival Walk, Sandhill Plaza contributions.

Thanks to increased earnings across its properties, Mapletree Greater China Commercial Trust’s (MGCCT) net property income for 1QFY17 jumped 11.2% YoY to $69.4m.

According to a report by OCBC, MGCCT’s earnings also enjoyed additional contribution from Sandhill Plaza (SP), which was acquired on 17 June 2015. Festival Walk (FW) also registered higher revenue for the quarter

Meanwhile, revenue spiked 11.2% YoY to $85m in Q1, with DPU climbing 9.1% YoY to 1.85 S cents.

On the flip side, MGCCT saw moderation in its operating metrics in Q1.

“During the quarter, management secured positive rental uplifts of 13% at FW (retail) and 11% at FW (office), while rental reversions of 6% and 28% were achieved for Gateway Plaza (GP) and SP, respectively,” OCBC revealed.

“Overall portfolio occupancy stood at 97.8%, as at 30 Jun 2016, which was relatively stable versus the 98.6% level at end 4QFY16. Both FW and SP were fully leased, but GP’s vacancy rate increased slightly from 3.2% to 5%,” it added.