“We believe that the ability for the S-REITs to maintain fairly healthy financial metrics through the depth of the recession in 1H20, could have led to improved confidence on the financing/re-financing ability of these S-REITs,” DBS analysts Derek Tan, Rachel Tan and Dale Tan, and the research team, write in a note dated Sept 15.
DBS Group Research has taken a view that the issuance of three perpetual securities by Singapore real estate investment trusts (S-REITs) in 3Q20 marks the return of demand for such securities.
This will over time infuse confidence in investors on the viability of the perpetuals market over time, the brokerage says.
