SINGAPORE (Jan 24): Naysayers who expect Mapletree Commercial Trust (MCT) to be de-rated given the threat of e-commerce hurting earnings at its key asset VivoCity should be made to eat their own words, say analysts.
This is because they have underestimated management’s ability to undertake asset enhancement initiatives (AEIs) to compete against other competing malls as well as online retailers.
According to a Thursday DBS Group Research report, the Temasek-owned mall operator and manager managed to achieve an ROI of over 10% from its recent asset enhancement initiatives (AEIs) and bonus 24,000 sf of GFA obtained by adding a library to the mall.
For more insights on corporate trends...
Sign In or Create an account to access our premium content.
Subscription Entitlements:
Less than $9 per month
Unlimited access to latest and premium articles
3 Simultaneous logins across all devices
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)