Mapletree Industrial Trust (MIT) has reported a distribution per unit (DPU) of 3.27 cents for the 1QFY2025/2026 ended June 30, down 4.7% y-o-y, and down 2.7% q-o-q.
MIT’s distribution to unitholders for 1QFY2025/2026 was $93.3 million, 4.1% y-o-y lower due to lower cash distribution declared by the joint venture, Mapletree Rosewood Data Centre Trust because of higher borrowing costs from the repricing of matured interest rate swaps.
Correspondingly, DPU decreased due to the absence of the distribution of net divestment gain from the Tanglin Halt Cluster.
MIT’s gross revenue and net property income for the reporting period grew 0.3% and 0.8% y-o-y to $175.9 million and $133.6 million respectively.
The increase was mainly driven by revenue contributions from the freehold mixed-use facility in Tokyo acquired on Oct 29, 2024, the completion of the final phase of fitting-out works of the Osaka Data Centre on May 2, 2025, as well as new leases and renewals across various Singapore property clusters.
As at June 30, average overall portfolio occupancy was 91.4%, lower than the previous quarter of 91.6%.
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As at June 20, the weighted average lease to expiry (WALE) of the Overall Portfolio increased q-o-q to 4.5 years mainly due to the long-term renewal lease for 35 Tai Seng Street.
MIT’s average rental rate of its Singapore portfolio increased to $2.31 per square foot per month (psf/mth) in 1QFY2025/2026. Positive rental reversions for renewal leases were achieved across all property segments in Singapore with a weighted average rental reversion rate of about 8.2%.
Meanwhile, the average rental rate of the North American Portfolio increased to US$2.44 psf/mth in 1QFY2025/2026.
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About 79.7% of the gross borrowings (including MIT’s proportionate share of joint venture) had been hedged through interest rate swaps and fixed rate borrowings as at June 30.
Following the completion of the Proposed Singapore Portfolio Divestment, MIT’s aggregate leverage ratio is expected to decrease to about 37.0% from 40.1% as at June 30, 2025.
With effect from April 1, MIT’s property portfolio has been reclassified into Data Centres, Hi-Tech Buildings and Business Space, and General Industrial Buildings. The updated property segmentation is anchored in grouping assets with similar asset characteristics such as tenant activities and tenant profiles.
MIT says that this will better reflect the characteristics of its portfolio composition and sharpen the focus on growing Data Centres and Hi-Tech Buildings and Business Space.
Units in Mapletree Industrial Trust closed 1 cent higher or 0.485% up at $2.07 on July 28.
