APAC REIT Daily: Lendlease Global REIT wins Singapore redevelopment tender

By Benn Dorrington

Here’s how listed real estate investment trusts (REITs) performed across Asia Pacific on Friday, 12 June 2020. 

Singapore

The FTSE ST Real Estate Investment Trusts index declined 1.19% to 823.64, while the Straits Times index closed 0.72% lower at 2,684.63. 

After the markets closed on Friday, Lendlease Global REIT (JYEU) announced it had won a tender to redevelop the 48,200 sq.ft. Grange Road car park site in Singapore into a new multi-functional event space. 

The S$10m project will expand Lendlease’s 313@somerset complex, growing its net lettable area to approximately 330,000 sq.ft.

After the bell on Thursday, Starhill Global REIT (P40U) told shareholders in a statement that its upcoming distribution for the half-year period ending June would be below 90% of taxable income this year due to COVID-19. Starhill shares closed 1.83% lower at S$0.54 on Friday. 

The biggest S-REIT movers on Friday were IREIT Global (UD1U) shares, which gained 2.10% to S$0.73, and BHG Retail REIT (BMGU) stocks, which fell 5.47% to S$0.61.

Australia

The S&P/ASX 200 A-REIT index dipped 1.80% to 1,252.70, in line with the S&P/ASX 200 index, which fell 1.89% to 5,847.80.

Centuria Industrial REIT (CIP) was included in the S&P/ASX 200 index, driving its share price up 1.00% to A$3.04. 

The industrial REIT was among a handful of A-REIT stocks that finished trading higher, joined by Ingenia Communities Group (INA) and Waypoint REIT (WPR), which gained 1.67% and 0.75%, respectively.

Unibail-Rodamco-Westfield (URW) shares sank 8.82% to A$4.55, followed by Australian Unity Office Fund (AOF), which 6.09% to A$2.16. 

Japan

The Tokyo Stock Exchange REIT index edged 0.47% higher to 1,716.68, while the Nikkei 225 index slipped 0.74% to 22,305.48.

Shares in Industrial & Infrastructure Fund Investment Corp. (3249) surged 3.60% to JPY 164,000 after announcing plans to acquire a 3% interest in IIF Shonan Health Innovation Park in Fujisawa-shi for JPY 1.16bn. 

The asset is one of Takeda Pharmaceutical’s largest research and development facilities in Japan. The sale-leaseback deal with Takeda Pharmaceutical features a 6.5% NOI yield, or a 6.2% yield after additional capex, the company said. 

Among the biggest swings of the day was Nippon Prologis REIT Inc. (3283), with shares up 3.75% to JPY 295,700, and Hulic REIT Inc. (3295), which sank 4.41% to JPY 140,900.

Hong Kong 

The Hang Seng REIT index fell 0.64% to 5,688.73, and the Hang Seng index finished trading 0.73% lower at 24,301.38.

The biggest changes were Sunlight REIT (435) shares, which rose 2.88% to HK$3.93, and Yuexiu REIT (405) stocks, which closed 1.92% lower at HK$3.57.

Other markets 

In New Zealand, most REITs closed lower, with Kiwi Property Group Ltd. (KPG) shares shedding 4.65% to NZ$1.03.

In Malaysia, YTL Hospitality REIT (5109) shares soared 6.48% to RM 1.15, while AmFIRST REIT (5120) stocks sank 2.27% to RM 0.43.

In South Korea, most listed REITs finished trading in the red, with Shinhan Alpha REIT Co. Ltd. (293940) shares closing 2.03% lower at KRW 6,750.

Learn more about Asia Pacific REITs:

REITS in AustraliaREITs in Thailand
REITs in JapanREITs in Taiwan
REITs in SingaporeREITs in Korea
REITs in Hong KongREITs in New Zealand
REITs in MalaysiaREITs in India
Disclaimer: APAC Real Estate accepts no responsibility for any claim, loss or damage as a result of information provided or its accuracy. Your personal objectives, financial situation or needs have not been taken into consideration. The information provided on this site is general in nature, not financial product advice, so you should see a financial expert before making any investment decision. Conflicts of interest may be present within commercial arrangements with companies and/or stock held.
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Benn is a freelance journalist and the publisher of APAC Real Estate. He has reported for the Herald Sun, REFI Europe, S&P Global Market Intelligence, Leader Newspapers, and more.