Ascott Residence Trust (ART)

Slowing tourist arrivals for now but new attractions, limited rooms to benefit hospitality REITs ultimately

SINGAPORE (Aug 28): In 1Q19 ended March, Singapore saw international visitor arrivals grow 1% to 4.7 million visitors while tourism receipts fell 4.8% y-o-y to $6.5 billion, according to data from the Singapore Tourism Board (STB). Meanwhile, gazetted hotel room revenue grew 4.3% to $1 billion.

Across the different components of tourism receipt, Accommodation, Food & Beverage, Shopping and Sightseeing, Entertainment & Gaming fell by 12%, 7%, 7% and 3% respectively.

Attractive yields, Ascendas merger and healthy gearing make ART attractive

SINGAPORE (Aug 2): Ascott Residence Trust, the provider of serviced residences, rental housing properties and other hospitality assets, reported improved 2Q19 results that came in line with the forecasts of most research houses.

In 2Q19, ART reported an 8% rise in both distribution income of $43.1 million and DPU of 1.98 cents from a year ago, which included a one-off realised exchange gain of $3.1 million compared to a realised exchange loss of $6.5 million a year ago. On a half-year basis, ART reported a DPU of 3.43 cents, up 8.0% from a year ago.

GDP slowdown and trade war take their toll on local hospitality sector

SINGAPORE (Aug 5): On July 30, CDL Hospitality Trusts, Far East Hospitality Trust, Ascott Residence Trust and ARA US Hospitality Trust released their 2QFY2019 results before the market opened. Performance was varied (see Table 1), with CDLHT’s distribution per stapled security (DPS) for 2QFY2019 falling 3.3% y-o-y to 2.07 cents, and FEHT’s DPS for the same period declining 9.9% y-o-y to 0.91 cents. All four have difference focuses.

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New business structure enables CapitaLand to deploy capital more effectively

SINGAPORE (July 16): CapitaLand completed its merger with Ascendas-Singbridge (ASB) on June 30. The group acquired all the shares in two ASB subsidiaries from Temasek for $6 billion, to create the largest diversified property group in Asia.

See: Singbridge in $11 bil deal to create Asia’s largest diversified real estate group

Third REIT merger in a year in Singapore creates Asia-Pacific's largest hospitality trust

(July 8): No sooner had CapitaLand and Ascendas Singbridge completed an $11 billion merger on July 1 than the enlarged group announced the merger between CapitaLand’s two hospitality trusts — Ascott Residence Trust (ART) and Ascendas Hospitality Trust (AHT) — on July 3. The combined real estate investment trust will own 88 properties with 16,000 units in 39 cities in 15 countries valued at $7.6 billion.

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Ascott Residence Trust gets bigger appetite for growth from merger

SINGAPORE (July 4): CapitaLand has wasted no time in merging Ascott Residence Trust (ART) with Ascendas Hospitality Trust (AHT) following the completion of the acquisition of Ascendas-Singbridge last week.

Ascott Residence Trust and Ascendas Hospitality Trust combining to form $7.6 bil behemoth

Ascott Residence Trust and Ascendas Hospitality Trust combining to form $7.6 bil behemoth

SINGAPORE (July 3): Ascott Residence Trust (ART) and Ascendas Hospitality Trust (AHT), both members of the CapitaLand group after its acquisition of Ascendas-Singbridge, are proposing a deal which will result in the combination of both entities into one.

See: CapitaLand and Ascendas-Singbridge in $11 bil deal to create Asia’s largest diversified real estate group

SGX explains why Singapore is Asia's largest global REIT platform

(May 6): On March 27, during Manulife US Real Estate Investment Trust’s Investor Day event, Ronald Tan, director of Equity Capital Market at the Singapore Exchange, asked the audience a few questions. It was to gauge the public’s reception to various asset classes. Who would want another office REIT, Tan asked. Almost the entire audience of 400 raised their hands. MUST is an office REIT and the audience comprised MUST unitholders.

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Ascott Residence Trust's 1Q DPU rises 7% to 1.45 cents on improved operating performance

SINGAPORE (April 30): The manager of Ascott Residence Trust (ART) has declared a 1Q19 distribution per unit (DPU) of 1.45 cents, rising 7% on-year from the 1.35 cents it posted a year ago due to better operating performance, lower financing costs and a one-off realised exchange gain.

Revenue for 1Q grew 3% y-o-y to $115.9 million from $112.8 million previously on improved performance from properties across Singapore, Philippines and the UK.

Ascendas Hospitality Trust rejigs portfolio to weather Aussie downdraft

SINGAPORE (Apr 29): Now that the shareholders have approved CapitaLand’s proposed merger with Ascendas-Singbridge, attention may turn to synergies and overlaps in the two companies. In particular, ASB’s hospitality arm, Ascendas Hospitality Trust (AHT), is likely to come under the microscope. The clear overlap in the merged company is ASB’s hospitality business and CapitaLand’s lodging business under The Ascott Ltd and Ascott Residence Trust (ART).

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