MORE than half, or 24 Singapore real estate investment trusts (S-Reits) have confirmed that they will unveil financial results or business updates starting this week for their respective periods ended Dec 31, 2024.
Among them, 17 S-Reits will report full-year financial results, five will report first half or third-quarter financial year results, and another two will provide quarterly business updates.
Both Sabana Industrial Reit (Sabana) and Mapletree Logistics Trust (MLT) will kick off the current financial reporting season on Tuesday for S-Reits with the release of its full financial year results and third-quarter financial year results respectively.
In Sabana’s earlier third-quarter business updates, portfolio occupancy increased from 78.8 per cent to 84.9 per cent as at Sep 30, 2024.
New leases covered 313,953 square feet (sq ft), and renewed leases covered 15,974 sq ft – resulting in a positive 9.7 per cent rental reversion for renewals.
Sabana has maintained positive quarterly rental reversions since Q1 2021.
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MLT reported lower distribution per unit of 4.095 Singapore cents for the first half of FY24/25 in its earlier financial results.
Nevertheless, MLT observed stable operational performance with a portfolio occupancy rate of 96 per cent and recorded positive rental reversions across most markets.
S-Reits have recorded gains of 0.8 per cent over the first 12 trading days of 2025.
Potential tailwinds for the sector include forecasts for interest rate cuts from the US Federal Reserve, moderate improvement in core inflation in December’s consumer price index data, and stronger earnings previews this earnings season.
US Federal Reserve governor Christopher Waller indicated recently that the central bank could lower interest rates multiple times this year if inflation eases.
He anticipates the first cut to come in the first half of the year, with others to follow “as long as the data comes in good on inflation or continues on that path”.
According to the CME Fed Watch Tool, the market anticipates nearly a 50 per cent probability of an interest rate cut in May and over a 70 per cent likelihood of such a cut in June. SGX RESEARCH
The writer is a research analyst at SGX. For more research and information on Singapore’s Reit sector, visit sgx.com/research-education/sectors for the monthly S-Reits & Property Trusts Chartbook.
