APAC REIT Daily: GPT reveals 8.8% retail revaluation, as A-REIT shares surge

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Here’s how listed real estate investment trusts (REITs) performed across Asia Pacific on Tuesday, 9 June 2020. 

Australia

A-REIT shares posted strong gains, with the S&P/ASX 200 A-REIT Index up 3.87% to 1,351.60, and the S&P/ASX 200 Index gaining 2.44% to 6,144.90.

Shares in GPT Group (GPT) soared 7.53% to A$4.57 despite announcing that its retail portfolio valuation fell 8.8%, or A$476.7m, to A$4,297.8m in May compared to December 2019.

GPT CEO Bob Johnston said there had been a significant increase in activity at their retail assets in recent weeks, with foot traffic at their regional malls back at 85% of where they were at the same time last year.

Unibail-Rodamco-Westfield (URW) shares jumped 8.87% to A$5.77. The retail REIT told the market that it had received a high score in ESG practices from ISS (Institutional Shareholder Services group of companies).

Scentre Group (SCG) stocks also surged, rising 8.76% to A$2.73, while Arena REIT (ARF) was among the several A-REITs to close lower, down 1.23% at A$2.41. 

Japan

The Tokyo Stock Exchange REIT Index gained 0.30% to 1,758.66, while the Nikkei 225 Index finished 0.38% lower at 23,091.03. 

Premier Investment Corp. (8956) secured two loans totalling JPY 3.2bn to partially fund its Otemachi Financial City Grand Cube acquisition, according to a company statement. 

The financing is comprised of a one-year JPY 2.2bn loan from Sumitomo Mitsui Trust Bank on a floating rate of 1-month TIBOR + 0.14000%, and a one-year JPY 1bn loan from Mizuho Bank and Sumitomo Mitsui Banking Corporation on a floating rate of 1-month TIBOR + 0.18000%. Premier shares closed 1.38% higher at JPY 125,100. 

Frontier Real Estate Investment Corp. (8964) shares grew 4.47% to JPY 385,500 in one of the biggest gains of the day, while Orix JREIT Inc. (8954) sank 3.41% to JPY 164,500. 

Singapore

The FTSE ST Real Estate Investment Trusts Index edged 0.30% lower to 864.91, in line with the Straits Times Index, which was down 0.10% at 2,794.17.

Shares in CapitaLand Mall Trust (C38U) rose 2.29% to S$2.23 after its parent company, CapitaLand, announced yesterday that it would waive and potentially defer rent for eligible tenants, in line with the COVID-19 (Temporary Measures) Bill in Singapore. 

Prime US REIT (OXMU) stocks grew 3.11% to S$0.83 in one of the biggest moves of the day, while Keppel Pacific Oak US REIT (CMOU) declined 2.74% to S$0.71.

Hong Kong

Link REIT (823) shares jumped 3.63% to HK$68.55, as the Hang Seng REIT Index rose 2.34% to 5,886.91.

Champion REIT (2778) posted the strongest gains, up 4.27% to HK$4.15, as the rest of the Hong Kong REITs closed higher or flat. The Hang Seng Index gained 1.13% to finish at 25,057.22.