LendLease Global Commercial REIT is going ahead with their IPO. However, the number of properties that will be injected into the IPO will only be 2, contrary to what I have speculated in my first article. The Australian based group LendLease will be looking to a placement and public offer of 387 million units. The IPO price is set at S$0.88. In total, there will be 1,167 million units outstanding. This will make the market capitalization of LendLease Global Commercial REIT to be close to S$1.56 billion. This IPO is a strange for the following reasons: I struggled to find what is the indicative dividend yield of LendLease Global Commercial REITIt is a mixture of office and retail REITLendLease Global Commercial REIT’s portfolio have a fair bit of concentration risk

Recently, I discussed three REITs that have the firepower to make yield-accretive acquisitions. Those REITs had low debt-to-asset ratios and could negotiate low interest rates on their borrowings. On the other end of the spectrum, some REITs have maxed out their ability to take on more debt. These REITs have a limited ability to make acquisitions that can help grow their distributions per unit. With that said, here are three REITs that will likely not be making debt-funded acquisitions to drive growth anytime soon. No. 1: ESR-REIT As of 30 June 2019, ESR-REIT (SGX: J91U) had a gearing ratio of 39% and a weighted average all-in cost of debt of 3.98%. The REIT managers were likely uncomfortable with such a high gearing and have raised funds through an equity offering that will be partially

One lesson I learnt through years of investing is to never invest simply due to an investment’s high yield. It is more important to look under the hood to find whether the yield is sustainable over time. With that said, here are two high-yield Singapore REITs that investors should stay away from. REIT #1 Don’t be seduced by ESR-REIT (SGX: J91U)’s high annualised yield of 7.7%. The REIT’s DPU looks very likely to fall over the next few quarters. For one, its DPU in the first half of 2019 was artificially propped up by the distribution of capital gains made from a disposal and ex-gratia payments from the Singapore Land Authority (SLA) (due to the compulsory acquisition of land).  Both the capital gains and the payments from the SLA are non-recurring. As such, in

As one of the most popular investments in Singapore, we keep a close eye on the performance of S-REITs. After the corporate earnings announcements each quarter, we compile a comprehensive summary on our REITs Report Card column. How Singapore REITs Share Prices Have Fared In 2019, So Far Before we look at how individual REIT prices have moved, let’s look at the broad S-REIT indices in Singapore. There are two main indices – the iEdge S-REIT Index and the iEdge S-REIT 20 Index. The iEdge S-REIT Index comprises all the REITs listed in Singapore, while the iEdge S-REIT 20 Index, as its name suggests, only comprise the 20 largest and more tradeable REITs on the iEdge S-REIT Index. Read Also: Complete Guide To Investing In Singapore REITs The chart below depicts the iEdge S-REIT Index fluc

With 14 companies in the midst of privatisation, it is safe to say that the M&A and privatisation wave is gaining momentum. Based on data from DBS, the number of M&A deals have exceeded the whole of 2018 and 2017 respectively. In privatisation deals over the last three years, shareholders could gain around 15 percent premium over the last transacted share price. DBS thinks that such opportunity continues to exist for investors to capitalize on. Screening Criteria For M&A Plays By DBS To screen for privatisation candidates, DBS uses three criteria: (1) Cash rich; (2) Low liquidity; and (3) Majority shareholder has more than 50 percent ownership. In this 3-part M&A series, we summarise six M&A investment themes from DBS for investors to consider as an alpha generating inv

1. SPH REIT  --  5th Apr 20192. SPH  --  9th Apr 20193. First REIT  --  10th Apr 20194. Kep Infra Trust  --  15th Apr 20195. Kep DC Reit  --  15th Apr 20196. Kep-KBS US Reit  --  16th Apr 20197. Kep Reit  --  17th Apr 20198. Soilbuild REIT  --  17th Apr 20199. Kep Corp  --  18th Apr 201910. CapitaComm Trust  --  18th Apr 201911. MapletreeInd Trust  --  22nd Apr 201912. MapletreeCom Trust  --  23rd Apr 201913. FrasersCom Trust  --  23rd Apr 201914. Suntec Reit  --  24th Apr 201915. CapitaMall Trust -- 24th Apr 201916. Frasers Cpt Trust  --  24th Apr 201917. CapitaR China Trust  --  24th Apr 201918. SGX  --  25th Apr 201919.