He points out that distributable income only fell 1.2% y-o-y, in tandem with the slight dip in occupancy by 0.7 percentage points to 91.7%. Nonetheless, he highlights that management expects occupancy to pick-up in the coming quarters, while rent collection remains high at 99% and the REIT continues to enjoy strong positive rent reversion at 8.5% for the period.
Prime US REIT reported 1QFY2021 ended March results that were in line with analysts’ expectations, who see an improving outlook ahead as more people in the US return to offices.
Vijay Natarajan of RHB Group Research has kept his ‘buy’ call and target price of US$1 ($1.33), noting that the REIT showed a “resilient operating performance” for the 1QFY2021.
