RHB Group Research’s Vijay Natarajan has maintained his “buy” rating and target price of 80 US cents on Keppel Pacific Oak US REIT (KORE), citing a “strong set of 3Q numbers with healthy double digit rent reversions.”

Natarajan said KORE’s management shared that despite a prolonged COVID-19 pandemic, it expects its US office portfolio to stay resilient, backed by “good fundamentals in its submarkets, a diversified tenant base and low expiring rents.”

He added that valuations are attractive with a FY2020 yield of 8.7%, higher by more than 300 basis points than the yield for office S-REITs.

To continue reading,

Sign in to access this Premium article.

Subscription entitlements:

Less than $9 per month
3 Simultaneous logins across all devices
Unlimited access to latest and premium articles
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)

Stay updated with Singapore corporate news stories for FREE

Follow our Telegram | Facebook