SPH REIT NPI increased 23.3% to $56.5m in Q2 2020

The improvement came from 98.9% occupancy rate in their assets.

SPH REIT's net property income (NPI) rose to $56.5 m in Q2 2020, the company announced. An increase of 23.3% to $10.6m compared to the same quarter last year was also seen.

SPH REIT will distribute 0.30 cent per unit for its second quarter ended 29 February 2020, according to an announcement. This represents a 78.7% YoY decline in its distribution per unit, from 1.41 cents a year ago.

REIT’s revenue improved due to the 98.9% occupancy rate in their portfolio. Singapore assets registered a 99.5% occupancy rate whilst their Australian properties, Figtree Grove and Westfield Marion achieved an occupancy rate of 99.2% and 98.4%, respectively.

The company’s management said the distribution was modest considering circumstances that may arise due to the COVID-19 pandemic in the next months. They will also extend its assistance scheme until April and May, granting rebates of up to 50% of base rent, depending on the tenants’ needs.

SPH REIT is still evaluating the need for a support package to help tenants in its two Australian assets.