UOB is also anticipating positive rental reversions for Capita Tower, Raffles City and CapitaGreen in the latter half of the year, especially CapitaGreen given its net lettable area (NLA) of 158,900 sf up for renewal with average rent of expiring leases at $11.07 psf in 2H19.
SINGAPORE (Jan 14): UOB Kay Hian is maintaining its “buy” call on CapitaLand Commercial Trust (CCT), while raising its target price to $2.11 from $2 previously after fine-tuning 2018-20F DPU by –3 to 1% upon adjusting rental assumptions.
This comes as the research house now expects positive rental reversions for Asia Square Tower 2 in 1H19 with improved occupancy due to The Work Project Kingdom (TWPK) – a 50:50 co-working joint venture between CCT’s sponsor CapitaLand and The Work Project – leasing 41,000 sf at the property, with contributions estimated to kick in from Jan 2019.
