SINGAPORE (Aug 22): Phillip Securities Research is keeping its “equal weight” rating on the industrial REITs sub-sector amid prolonged negative reversions.
“Our previous view was for rents to bottom in 2017. We now believe rents to bottom only by the end of 2018,” says analyst Richard Leow in a report on Friday.
Mapletree Industrial Trust (MINT), Soilbuild Business Space REIT, Cache Logistics Trust all reported negative reversions in the last quarter. Excluding the one-off effect from first-cycle renewals at Aperia, Ascendas REIT (A-REIT) would have also posted negative rental reversion for its Singapore portfolio.