Earnings season is shining a light on the contrasting fortunes across Singapore’s REIT landscape — from data centres powering the digital economy to prime offices adapting to shifting work trends.
From resilient demand for data infrastructure to the gradual return of business travel and persistent financing pressures, each segment tells a different story about where growth and risks lie today.
For investors, the latest results offer valuable clues on how to position their portfolios in a market still shaped by interest rate expectations and shifting property trends.
Here’s what investors need to know from the latest REIT earnings.
Keppel DC REIT: Acquisition-Driven Growth Masks Dilution Impact
Keppel DC REIT delivered strong headline growth for the first nine months of 2025 (9M2025), though unitholders should note the dilutive effect of recent capital raising on per-unit returns.
Distribution per unit (DPU) rose 8.8% year on year (YoY) to S$0.0767.
Gross revenue jumped 37.7% YoY to S$322.4 million in 9M2025, driven by acquisitions of Keppel DC Singapore 7 & 8 and Tokyo Data Centre 1, along with contract renewals and escalations.
However, the REIT’s adjusted DPU, which excludes the dilutive impact of the Preferential Offering, only rose by 11.7% YoY to S$0.07872.
This gap highlights how the September 2025 capital raising of S$404.5 million created unit dilution that partially offset operational gains.
Portfolio occupancy remained healthy at 95.8% with a weighted average lease expiry (WALE) of 6.7 years.
The 10% portfolio rental reversion with no major contract renewals in 3Q2025 suggests upside potential as leases renew.
The REIT is actively reshaping its portfolio, with Tokyo Data Centre 3 acquisition expected by year-end and divestments of NetCo bonds, preference shares and Basis Bay Data Centre in progress.
An asset enhancement initiative (AEI) at Keppel DC Singapore 8 to convert unutilised space into a data hall should provide incremental income once completed.
OUE REIT: Like-For-Like Gains Provide Relief Amid Divestment Impact
OUE REIT delivered results that showcased portfolio resilience beneath headline declines, with like-for-like growth demonstrating that its remaining assets continue performing despite the loss of Lippo Plaza Shanghai.
For the third quarter of 2025, revenue fell 5.8% YoY to S$70.5 million while NPI declined 5.6% to S$57.0 million, entirely due to the December 2024 Shanghai divestment.
On a like-for-like basis, revenue and net property income increased 1.2% and 2.0% YoY respectively; while modest, this signals the Singapore portfolio continues extracting value.
The REIT reported first-half 2025 DPU of S$0.010, up 5.4% from a year before, though third quarter DPU was not disclosed.
OUE REIT’s Singapore office portfolio maintained committed occupancy of 95.3% with strong rental reversion of 9.3% for the third quarter.
Retail asset Mandarin Gallery saw 97.4% occupancy with 5.6% rental reversion.
The hospitality segment’s revenue per available room of S$279 fell 5.7% YoY due to the F1 Grand Prix timing shift from September to October, which should reverse in fourth quarter results.
Finance costs declined significantly by 19.7% to S$21.6 million, supported by active capital management.
The REIT refinanced OUE Bayfront with S$830 million in credit facilities (including a S$600 million Green Loan) in August 2025, and issued S$150 million of seven-year Green Notes at 2.75% on 8 October 2025.
Suntec REIT: Cost Control Drives DPU Growth, But Revenue Challenges Linger
Demonstrating the power of effective cost management in its 3Q2025 results, Suntec REIT delivered strong DPU growth despite essentially flat revenue, though the sustainability of this strategy warrants scrutiny.
For the third quarter ended 30 September 2025, gross revenue fell marginally by 0.2% to S$117.5 million compared to the prior year, while NPI dropped 1.6% to S$78.5 million.
Yet, DPU climbed 12.5% YoY to S$0.018 due to stronger Singapore portfolio performance, lower financing costs of S$6.0 million and a S$2.0 million reversal of withholding tax provisions.
However, the reliance on cost savings and one-off tax reversals raises questions about sustainability without revenue acceleration.
Committed occupancy remained robust at 98.5% for its Singapore offices and 99.3% for retail.
The international portfolio saw 87.3% occupancy for Australia and 92.5% for the UK.
Rental reversion remained solidly positive at 8.5% for the REIT’s Singapore offices, 8.6% for retail and 11.9% for Australia, suggesting landlord pricing power remains intact.
Management is planning asset enhancement works at Suntec City Mall in the second half of 2025.
If executed successfully, this could provide meaningful income uplift and help offset revenue pressures, making execution critical to maintaining growth momentum.
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