MPACT raises DPU 2.5% as VivoCity boom masks overseas revenue slide

The mall offset weaker revenue after Mapletree divested China and Japan assets.

Mapletree Pan Asia Commercial Trust (MPACT) reported a 2.5% year-on-year increase in its distribution per unit (DPU) to 2.05 cents for the third quarter ended 31 December, according to its filing with the Singapore Exchange (SGX) dated 30 January.

Gross revenue for the quarter fell 1.9% to $219.4m, and net property income declined 1.2% to $164.9m, the trust disclosed in the same filing.

The amount available for distribution rose 3.3% to $108.2m, which it attributed to lower financing costs and improved cost efficiency.

For the nine months ended December, DPU was unchanged at 6.07 cents, according to the SGX filing.

Higher net property income was also recorded for the trust’s Singapore assets during the quarter, driven by stronger occupancy and positive rental reversions at properties including VivoCity and Mapletree Business City.

Contributions from overseas properties declined following asset divestments and currency translation effects, particularly in Japan and China, according to the report.

Portfolio occupancy stood at approximately 88%, according to figures disclosed in the results presentation.

The trust also noted that leasing conditions remained stable in Singapore but were more competitive in selected overseas markets.

As at 31 December, aggregate leverage was approximately 37%, with no near-term refinancing requirements.

Net asset value per unit was $1.75, down from the previous quarter, which the trust attributed mainly to foreign exchange movements.

The trust said it continues to prioritise balance sheet resilience and portfolio optimisation amid uneven regional property conditions.