Pavilion – thestar
The largest retail REIT in the country offers premium of 12 sen
Pavilion Real Estate Investment Trust (REIT) made a commendable debut on the Main Market of Bursa Malaysia to close at RM1.02, offering a premium of 12 sen over its institutional price of 90 sen.
The largest retail REIT in the country was also the most traded counter yesterday with 197.3 million shares changing hands, while the FTSE Bursa Malaysia (FBM) KLCI was up 0.14% or 2.07 points to 1,482.99.
Pavilion REIT opened at RM1.03 with 15.7 million unit shares traded.Pavilion REIT Management Sdn Bhd
chief executive officer Philip Ho said he was quite happy with the opening price.
“Moving forward, we are committed to enhance unitholders’ return and value through the organic growth of our existing portfolio as well as visible growth via acquisition,” he told reporters after the company’s listing ceremony yesterday.
Currently, Pavilion REIT consists of Pavilion KL Mall – a retail mall with a net lettable area of 1.3 million sq ft and 450 retail tenants as well as the Pavilion Tower that contributed 96.4% to the group’s revenue.
Ho said the company would continue to focus on the retail sector and seek opportunities to expand assets in Penang, Johor and the Klang Valley to build up its portfolio.
“It’s hard to put a figure to our expansion but we will evaluate any financially viable investment opportunity that comes around,” he said.
Ho said expansion was on top of the company’s trustees that had signed three rights of first refusal (ROFR) to acquire Farenheit88, the Pavilion Mall’s extension, and also another mall in USJ, Subang Jaya.
On overseas expansion, he said the management would evaluate opportunities when presented, but presently the company’s focus was the local market.
The institutional offering of the Pavilion REIT initial public offering (IPO) was oversubscribed by 28 times and the retail offering was oversubscribed by 7.5 times.
Pavilion REIT IPO raised gross proceeds of RM710mil.
“We believe this listing exercise will provide investors with an opportunity to invest in a REIT that provides stable distribution of income and strong capital appreciation potential,” he said.
Pavilion REIT Management or the manager principle activity is to manage and administer Pavilion REIT. The manager is 51%-owned by Urusharta Cermerlang Development Sdn Bhd and the remaining 49% owned by Urusharta Cemerlang Project Corp Sdn Bhd.
Pavilion – BT
Pavilion REIT seeks expansion
PAVILION Real Estate Investment Trust (Pavilion REIT), the largest retail REIT in Malaysia, is eyeing more local assets to spur growth.
Pavilion REIT Management Sdn Bhd chief executive officer Philip Ho said the trust is seeking opportunities to expand its assets in Penang, Johor and the Klang Valley.
Ho said Pavillion REIT will evaluate any financially viable investment opportunity that comes around.
“As a retail real estate investment trust, our duty is to acquire malls and build up the portfolio,” he told reporters after its listing ceremony here.
Ho said the company’s trustees had signed three rights of first refusal (ROFR) to acquire Farenheit88, the Pavilion Mall’s extension, and a mall in USJ Subang Jaya.
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With an appraised value of RM3.54 billion, Pavilion REIT is currently made up of two assets – Pavilion Mall and Pavilion Tower.
The mall, which contributes 96.4 per cent to the appraised value, has 1.3 million sq ft of net lettable area.
It boasts of about 450 retail tenants, making it the largest premium retail fashion mall in Malaysia.
Pavilion REIT yesterday fetched a 13.3 per cent premium over its offer price on its debut on Bursa Malaysia.
It opened at RM1.03, 13 sen higher than its institutional price of 90 sen, with 15.7 million unit shares traded.
Ho said the listing provides the company with direct access to capital markets, thereby strengthening its financial capacity to seize new opportunities in the country.
“We are committed to enhance unitholders’ return and value, both through the organic growth of our existing portfolio as well as visible growth via acquisitions,” he added.
Hektar – BT
Hektar REIT said buying 2 malls for RM180m
Hektar REIT is buying two malls in Kedah for an estimated RM180 million, sources say.
The malls are believed to be Kulim Landmark Central and Central Square Sg Petani.
An announcement from the company is expected to be made as early as today.
Axis – BT
Axis REIT to buy property from DHL for RM48.5m
Axis Real Estate Investment Trust has proposed to buy a three-storey office and warehouse in Penang from DHL Properties (Malaysia) Sdn Bhd for RM48.5 million to expand its business.
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At the same time, Axis will lease the property back to DHL for five years. It will have an option to renew the lease for another five years.
“The acquisition is accretive with an unleveraged triple net yield of 8 per cent which will have a long term benefit to the Fund.
“Furthermore the lease has annual built in rental growth which will enhance earnings,” Stewart LaBrooy, chief executive officer of Axis REIT Managers Bhd, said in a statement.
The property, located in Bayan Lepas, has a gross built up of some 231,940 sq ft and comes with a 60 year leasehold title which will expire in 2062.
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Axis-REIT will use existing bank loans to fund the deal. This will raise its gearing level to 40 per cent.
The latest purchase will boost the fund’s asset under management to over RM1.39 billion, upon completion by December 31, 2011.
AmFirst – thestar
AmFIRST REIT closes deals in Cyberjaya
Am ARA REIT Managers Sdn Bhd, the manager of AmFIRST Real Estate Investment Trust (AmFIRST REIT), has completed its acquisition of Prima 9 and Prima 10 in Cyberjaya for RM133mil cash.
It told Bursa Malaysia that it was AmFIRST REIT’s first investment in Cyberjaya, capitalising on the economic growth and vibrancy of Cyberjaya’s commercial office segment. The properties were tenanted by multinationals secured against long leases, it said.
Before the acquisition, AmFIRST REIT had six properties, namely Bangunan AmBank Group, Menara AmBank and AmBank Group Leadership Centre in Kuala Lumpur as well as Menara AmFIRST in Petaling Jaya, Kelana Brem Towers in Kelana Jaya and The Summit Subang USJ in Subang Jaya with total net lettable area (NLA) of 2,311,489 sq ft as at Sept 30.
“The new acquisition will boost the total investment portfolio to eight properties and add a further 211,496 sq ft to the portfolio, representing an increase of 9% of the total NLA,” it said, adding that the acquisition posted remarkable growth in the assets under management of AmFIRST REIT by 13% from RM1.028bil as at Sept 30 to RM1.163bil.
and the gearing ratio would increase to 46.5%.
The group said these two new properties are expected to contribute an additional distributable income of 68 sen per unit on an annual basis.
Axis – BT
Axis REIT to buy property from DHL for RM48.5m
Axis Real Estate Investment Trust has proposed to buy a three-storey office and warehouse in Penang from DHL Properties (Malaysia) Sdn Bhd for RM48.5 million to expand its business.
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At the same time, Axis will lease the property back to DHL for five years. It will have an option to renew the lease for another five years.
“The acquisition is accretive with an unleveraged triple net yield of 8 per cent which will have a long term benefit to the Fund.
“Furthermore the lease has annual built in rental growth which will enhance earnings,” Stewart LaBrooy, chief executive officer of Axis REIT Managers Bhd, said in a statement.
The property, located in Bayan Lepas, has a gross built up of some 231,940 sq ft and comes with a 60 year leasehold title which will expire in 2062.
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Axis-REIT will use existing bank loans to fund the deal. This will raise its gearing level to 40 per cent.
The latest purchase will boost the fund’s asset under management to over RM1.39 billion, upon completion by December 31, 2011.
November 2011
Results Announcement
- 1 Nov 11 : Sunway – DPU 1.75 sen
- 3 Nov 11 : QCT – No DPU Declared
- 4 Nov 11 : UOA – DPU 2.24 sen
- 4 Nov 11 : Hektar – DPU 2.5 sen
- 15 Nov 11 : Tower – No DPU Declared
- 16 Nov 11 : Al-Hadharah – No DPU Declared
- 17 Nov 11 : StarHill – No DPU Declared
- 25 Nov 11 : AmanahRaya – DPU 1.72 sen
Average Yield = 7.083%
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REIT |
Period |
DPU (sen) |
Price (RM) |
Yield (%) |
NAV (RM) |
Assets Type |
|
Tower |
1H – Jun11 |
5.15 |
1.270 |
8.110 |
1.6526 |
Office |
|
Atrium |
Q3 – Sep11 |
2.10 |
1.060 |
7.925 |
1.0499 |
Industrial |
|
AmFirst |
1H – Sep11 |
4.48 |
1.160 |
7.724 |
1.4073 |
Office |
|
Hektar |
FY10 – Dec |
10.3 |
1.350 |
7.630 |
1.3300 |
Retail |
|
Al-AQAR KPJ |
1H – Jun11 |
5.17 |
1.130 |
7.496 |
1.0800 |
Plantation |
|
AmanahRaya |
Q3 – Sep11 |
1.72 |
0.920 |
7.478 |
0.9754 |
Retail |
|
Quill Capita |
1H – Jun11 |
4.00 |
1.090 |
7.339 |
1.2798 |
Office |
|
StarHill |
2H – Jun11 |
3.199 |
0.880 |
7.270 |
1.1508 |
Diversified |
|
Axis |
Q3 – Sep11 |
4.30 |
2.590 |
6.641 |
1.9984 |
Office |
|
Al-Hadharah |
1H – Jun11 |
4.00 |
1.550 |
6.581 |
1.4253 |
Diversified |
|
UOA |
Q3 – Sep11 |
2.24 |
1.420 |
6.310 |
1.4266 |
Office |
|
Sunway |
Q1 – Sep11 |
1.75 |
1.170 |
5.983 |
1.0140 |
Diversified |
|
CMMT |
2H – Dec11 |
2.83 |
1.400 |
5.590 |
1.0627 |
Malls |
Last Updated : 30-Nov-11
Notes
- CMMT : Advance DPU = 2.83sen (1-Jul-11 to 10-Nov-11)
- Al-Aqar KPJ : Yield Uses 2H10 DPU = 5.17 sen + 1H11 DPU = 3.3 sen as it is Observed that 2H DPU > 1H DPU
- Al-Hadharah : Yield Uses 2H10 DPU = 6.2 sen + 1H11 DPU = 4 sen as it is Observed that 2H DPU > 1H DPU
- Hektar : Yield Table Uses Full Year DPU 10.3 sen to Compute Yield as Hektar Pays DPU = 2.5 sen for Q1,Q2,Q3 and the Balance in Q4
Withholding tax
- Resident Individual = 10%
- Non Resident Individual = 10%
- Resident Institutional Investors = 10%
- Non-Resident Institutional Investors = 10%
- Resident Companies = 0% ; Subject to Corporate Tax at Prevailing Rate
- Non-Resident Companies = 25% for Year of Assessment 2009
Pavillion – BT Singapore
Pavilion Reit raising RM710m in IPO
(KUALA LUMPUR) Pavilion Real Estate Investment Trust, a Malaysian shopping mall trust part-owned by Qatar Investment Authority, is raising RM710 million (S$291 million) in an initial public offering, two people with knowledge of the matter said.
The company plans to sell units at 90 sen apiece to institutions and at 88 sen to retail investors, said the people, who asked not to be identified as pricing details are private.
Pavilion Reit had marketed the units at 88 sen to 90 sen. Demand exceeded supply by more than 26 times, one of the people said.
The IPO will be the South-east Asian nation’s fourth biggest this year, after share sales by Bumi Armada, UOA Development and MSM Malaysia. Investor demand for shares exceeded supply by more than 40 times for Bumi Armada and MSM’s offerings.
‘It’s probably due to the scarcity factor for big, good-quality IPOs and an appetite for new stock in Malaysia, which seems to be a defensive market,’ said Christopher Wong, a Singapore-based senior investment manager at Aberdeen Asset Management Asia Ltd, which oversees more than US$90 billion of regional equities.
Kuala Lumpur-based Pavilion Reit, which is expected to list next month, has a distribution yield forecast of as much as 6.73 per cent based on the fiscal 2012 earnings estimate, according to a note to investors.
The company owns the Pavilion mall and an adjacent office tower in the capital’s Bukit Bintang area, which Malaysia is developing to rival Singapore’s Orchard Road.
The mall, with a gross floor area of 2.2 million square feet, has an appraised value of RM3.4 billion as of June 1, according to its prospectus, and houses luxury retailers including Bulgari SpA and Prada SpA. — Bloomberg
Pavilion – BT
Pavilion Reit to market IPO at 90 sen/unit
Pavilion Real Estate Investment Trust, a Malaysian retail property trust, is marketing its initial public offering to institutions at 88 sen to 90 sen per unit, according to a note sent to investors.
The company expects a distribution yield of as much as 6.73 percent based on its 2012 earnings estimates, the note said. — Bloomberg
Sunway – BT
Sunway REIT property income up 27.2pc
Sunway Real Estate Investment Trust (Sunway REIT) recorded a 27.2 per cent jump in its net property income to RM70.3 million for the quarter ending Sept 30, 2011 over that of the previous corresponding period, said its manager Sunway REIT Management Sdn Bhd.
The company attributed the strong performance to the higher contributions from the initial portfolio of eight assets and Sunway Putra Place of RM9.7 million and RM5.3 million respectively.
Sunway REIT’s net realised income rose by 15.1 per cent to RM44.2 million in the same period from that of the previous corresponding period.
Overall, Sunway REIT has performed better by RM5.8 million after taking into account the net loss of RM1.8 million by Sunway Putra Place due to no income contribution from Sunway Putra Hotel in the first quarter of its current financial year.
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Sunway REIT secured full control and possession of Sunway Putra Place including the hotel on Sept 28 2011, and the manager expects positive contribution for the financial year ending June 2012.
The manager announced distribution per unit of 1.75 sen for the first quarter of its current financial year, representing an increase of 15.9 per cent compared to the previous corresponding period. This translates into an annualised distribution yield of 6.3 per cent based on Sunway REIT’s closing price of RM1.11 on Sept 30, 2011.
Sunway REIT Management chief executive officer Datuk Jeffrey Ng said: “We are positive on the prospect of the portfolio for this financial year amidst headwinds in the external environment. With the full possession and control of Sunway Putra Place, the focus now is to turn around the property and reposition the property into a must-visit destination for local visitors and foreign tourists.”
“We are confident that upon the completion of the refurbishment exercise, the asset will enjoy a quantum leap in income as well as capital appreciation in the asset value,” he added. – Bernama