- Frasers Centrepoint Trust (SGX:J69U) provided its business update for 3QFY23:
Transitory vacancy at Changi City Point.
- Committed retail occupancy improved 1.6ppt y-o-y but receded 0.5ppt q-o-q to 98.7%. Occupancy for Tiong Bahru Plaza and White Sands increased 1.3ppt and 1.6ppt q-o-q respectively to 99.4% and 98.6%.
- - Read this at SGinvestors.io -
Retail market has picked up.
- Retailer sentiment has improved as Singapore transitions to the COVID-19 endemic phase. Frasers Centrepoint Trust’s suburban malls benefit as consumers prioritise their spending on essential goods and services. Shopper traffic is 9% below pre-pandemic levels, but tenants’ sales were 17% above pre-pandemic levels as of Jun 23. On a year-to-date basis, Frasers Centrepoint Trust’s tenant sales were 16% above pre-pandemic levels.
- - Read this at SGinvestors.io -
- According to CBRE, rents at suburban malls jumped by 3.1% y-o-y. CBRE expects a recovery of retail rents in 2023 due to continued tourism recovery and below-average new retail supply. Retailers are willing to pay higher rents to secure prime retail spaces.
Higher cost of debt.
- Read more at SGinvestors.io.
