Lendlease Global Commercial REIT - UOB Kay Hian 2023-09-28: Deleveraging With Acceptable Trade-Offs

• Buoyant tenant sales and a limited new supply of retail space are supportive of continued positive rental reversions at 313@Somerset and Jem.
• Lendlease REIT has the option of divesting the office block at Jem combined with a private placement to redeem perpetual securities of S$400m and deleverage. We estimate the negative impact to be manageable at 3.8% for DPU and 2.3% for NAV per unit.
• - Read this at SGinvestors.io -

Higher occupancies reflect improving confidence for retailers.

• Lendlease Global Commercial REIT (SGX:JYEU)’s retail properties, which accounted for 75% of its portfolio valuation (Orchard Road: 28%, suburban: 47%) as of Jun 23, are resilient and benefitting from the buoyant retail scene in Singapore. 313@Somerset and Jem had maintained high committed occupancies of 99% and 100% respectively as of Jun 23.
• - Read this at SGinvestors.io -
• Management expects the positive momentum for rental reversion from its retail properties to be maintained in FY24.

Buoyant tenant sales support positive rental reversion.

• Read more at SGinvestors.io.

Above is an excerpt from a report by UOB Kay Hian Research.
Clients of UOB Kay Hian may be the first to access the full PDF report @ https://www.utrade.com.sg/.

Read also UOB's most recent report:
2025-02-07 Lendlease Global Commercial REIT 1HFY25 - Resilient Contributions From Singapore; Upside From Office Block At Jem.

Previous report by UOB:
2024-11-13 Lendlease Global Commercial REIT 1QFY25 - Resiliency From Singapore; Progressively Backfilling Building 3 In Milan.

Price targets by other brokers at Lendlease REIT Target Prices.

Listing of research reports at Lendlease REIT Analyst Reports.

Relevant links:
Lendlease REIT Share Price History,
Lendlease REIT Announcements,
Lendlease REIT Dividend Payout Dates & Corporate Actions,
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