Much of the business updates for Frasers Centrepoint Trust (FCT) tend to be rather boring, and that is a good thing to me.
Whether you are a curious investor or just someone who loves a good mall trip, this Q3 FY2024 report by FCT has some interesting tidbits that might surprise you. From nearly full occupancy rates to upcoming tailwinds, FCT’s update paints a picture of resilience in the face of high interest rates.
You can view the presentation slides for the FCT Q3 FY2024 business updates here.
Table of ContentsThere Is Low New Retail Supply For Singapore
One new thing that I learnt from the presentation slides by Frasers Centrepoint Trust is that OCR refers to Outside Central Region.
Scrolling through the update, I chanced upon this term, which I knew nothing about.
A quick check here revealed that Singapore is made up of 28 districts divided into three market segments.
Instead of being geographically separated, these are based on their proximity to the central region.
Core Central Region (CCR) e.g. Orchard (District 9)Rest of Central Region (RCR) e.g. Tiong Bahru (District 3)Outside Central Region (OCR) e.g. Punggol (District 19)FCT’s Financial Position Is Healthy
I have already shared about the debt situation for FCT in a previous article.
FCT has not issued any hybrid securities, so its adjusted ICR and ICT are the same at 3.26x.
The leverage limit inched up slightly to 39.1%, but I think there is nothing to worry about at the moment.
Because it is higher than 2.5 times, FCT is able to increase its leverage limit beyond 45% (up to 50%) if necessary.
Almost 100% Committed Occupancy For FCT
More than 99% committed occupancy has been achieved at every mall in FCT’s portfolio, including Tampines 1, which is slated to
