Festival Walk continued to perform well, with full occupancy and an average rental reversion of 14% for retail leases that expired within 1Q18. However, due to the lower average rate of HKD during 1Q18 compared to 1Q17, gross revenue and NPI for 1Q18 declined by 1.5% and 1.1% respectively.
For Gateway Plaza, gross revenue and NPI for 1Q18 rose 4.6% and 6.2% respectively compared to the same quarter last year mainly due to an improved average rental rate and a higher average rate of RMB.
Sandhill Plaza’s gross revenue and NPI for 1Q18 grew 6.9% and 7.7% respectively as compared to 1Q17 mainly due to a higher average rental rate, an improved average occupancy rate and a higher average rate of RMB.
Distributable income for 1Q18 increased 9.3% to $56.7 million, compared to 1Q17, mainly due to higher NPI and the lower translated average cost of debt post re-financing.
The Japanese properties contributed gross revenue of $5.1 million and NPI of $3.9 million for the period from May 25 upon completion of acquisition to June 30.
The enlarged portfolio remains resilient with a high portfolio occupancy rate of 99.6% as well as healthy average rental reversions3 across all assets. As of June 30, 72% of the expired/expiring leases (by lettable area) in FY18 at the portfolio level have been renewed or re-let.
Units in MNACT closed $1.15 on Monday.
