APAC REIT Daily: Aventus Group shares jump on Melbourne development deal

Australia

A-REITs gained ground today, with the S&P/ASX 200 A-REIT index growing 2.60% to 1,304.80, while the S&P/ASX 200 index rose 0.83% to 5,991.80. 

Aventus Group (AVN) acquired a 31,470 sq.m. development site in Melbourne from Kaufland Australia for A$11.5m, according to a statement. Aventus Group shares jumped 4.09% to A$2.29. 

The deal is funded through the group’s existing debt facilities, and grows its land holdings to more than 1.2 sq.m. across 20 locations. 

GDI Property Group (GDI) set its distribution at A$0.03875 for the half-year period to end-June 2020, the REIT announced. GDI shares closed 2.61% higher at A$1.18. 

The biggest share price moves included Elanor Retail Property Fund (ERF) stocks, which soared 9.94% to A$0.94, and Home Consortium (HMC) shares, which retreated 3.45% to A$2.80.

Singapore

The FTSE ST Real Estate Investment Trusts index rose 0.67% to 848.01, while the Straits Times Index edged 0.10% higher to 2,669.62. 

The trustee of Frasers Logistics & Commercial Trust (BUOU) secured a A$120m loan facility from DBS Bank and Oversea-Chinese Banking Corporation, according to an announcement made on Tuesday night. FLCT’s shares closed 2.59% higher at S$1.19 today.

The biggest S-REIT moves included ARA LOGOS Logistics Trust (K2LU) shares, which gained 2.68% to S$0.58, and Far East Hospitality Trust (Q5T) stocks, which slipped 1.83% to S$0.54.

Japan

The Tokyo Stock Exchange REIT index finished trading 0.75% higher at 1,721.36, while the Nikkei 225 index dipped 0.56% to 22,455.76.

Orix JREIT Inc. (8954) secured JPY 3.5bn in new financing to repay an existing long-term debt, the company said

The new financing included a five-year, JPY 1.5bn loan and a 10-year, JPY 1bn loan from Sumitomo Mitsui Banking Corporation, as well as an eight-year, JPY 1bn loan from Taiyo Life Insurance Company. Orix REIT shares finished 1.29% lower at JPY 153,600. 

Hoshino Resorts REIT Inc. (3287) reported a 1% increase in ordinary profit to JPY 2.95bn for the six months to end-April 2020, according to its earnings.

The REIT set its end-April distribution at JPY 13,302 per share, and projected a 4.1% decrease in ordinary profit to JPY 2.83bn for the half-year period ending October 2020. 

Industrial & Infrastructure Fund Investment Corp. (3249) shares jumped 3.71% to JPY 170,700 in one of the biggest gains of the day, while Ichigo Office REIT Investment Corp. (8975) stocks fell 4.11% to JPY 76,900.

Hong Kong 

The Hang Seng REIT Index closed 0.94% higher at 5,714.29, slightly ahead of the Hang Seng Index, which grew 0.56% to 24,481.41.  

The manager of Sunlight REIT (435) said it would collect half of its base and variable fees in shares and the other half in cash for the financial year ending June 2021, according to a statement. The REIT’s shares closed 0.51% lower at HK$3.93.

After trading finished, Link REIT (823) put forward plans to remove restrictions on the scope of its investment policy in a move that would allow the REIT to invest in all real estate classes. 

The REIT’s manager expects the move, which is subject to shareholder approval, to provide greater investment opportunities and potential synergies within mixed-use assets.

Learn more about Asia Pacific REITs:

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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.