Keppel REIT’s 1HFY2025 property income and net property income (NPI) increased 9.1% and 11.8% y-o-y to $136.5 million and $108.3 million respectively. The increase was mainly due to contribution from 255 George Street, which was acquired in May 2024, and higher occupancy at 2 Blue Street.
Additionally, the share of results of associates increased 13.6% y-o-y to $49.3 million, driven mainly by higher rentals achieved by the Singapore CBD properties and lower borrowing costs.
As at June 30, Keppel REIT’s aggregate leverage stood at 41.7%, with 63% of total borrowings on fixed rates. The weighted average cost of debt was 3.51% per annum for 1HFY2025, and the interest coverage ratio was 2.6 times.
The debt maturity profile remained well-staggered, with a weighted average term to maturity of 3.0 years.
Sustainability-focused funding increased to 84% of total borrowings as at end-June. There are no significant borrowings maturing for the rest of this year.
The weighted average signing rent of Keppel REIT’s Singapore CBD office leases was approximately $12.77 psf pm in 1HFY2025, while the average rent of leases expiring in the remainder of 2025 is $11.37 psf pm. The portfolio WALE remained long at approximately 4.8 years, with the top 10 tenants’ WALE at around 9.0 years
