- Digital Core REIT (SGX:DCRU) reported distributable income of US$10.9m (-13.7% y-o-y) for 1Q23, which was in line with our expectations.
- Successful backfilling of vacant space at Toronto data centre. Portfolio occupancy was 97% as of Mar 23. Digital Core REIT has signed three colocation leases for its newly acquired Frankfurt data centre, which improved occupancy by 0.9ppt q-o-q to 92.0%. It has signed one short-term lease with an investment grade cloud service provider in Dec 22 that backfilled half of the data centre space vacated by Sungard Availability Service. To date, two thirds of the vacant space at its Toronto data centre at 371 Gough Road has been backfilled.
- - Read this at SGinvestors.io -
Supply constraints drive higher rents.
- - Read this at SGinvestors.io -
- Rising rents and tightening vacancies augur well for Digital Core REIT and Mapletree Industrial Trust (SGX:ME8U)’s efforts to backfill potential vacant data centre space.
Potential negative impact should Cyxtera file for chapter 11 bankruptcy protection.
- Read more at SGinvestors.io.
Above is the excerpt from report by UOB Kay Hian Research.
Clients of UOB Kay Hian may be the first to access the full report in PDF @ https://www.utrade.com.sg/.
Jonathan KOH CFA UOB Kay Hian Research | https://research.uobkayhian.com/ 2023-04-27
Read also UOB's most recent report:
2024-02-21 Digital Core REIT - Scaling Up Presence Overseas While Lowering Leverage.
Previous report by UOB:
2023-11-03 Digital Core REIT - Rising From The Ashes.
Price targets by other brokers at Digital Core REIT Target Prices.
Listing of research reports at Digital Core REIT Analyst Reports.
Relevant links:
Digital Core REIT Share Price History,
Digital Core REIT Announcements,
Digital Core REIT Dividends & Corporate Actions,
Digital Core REIT News Articles
