Poor performance from properties cut its income by 2.9%.
Sabana REIT is grappling with lower gains after it reported a 7.4% drop in net property income (NPI) for this year's Q2. The company's distribution per unit (DPU) also crashed by 24.3% to 81 S cents.
According to Sabana REIT's financial statement, company gross revenue fell by 2.9% to $22.0m for the second quarter this year.
Lower contribution from its five multi-tenant properties and the conversion of 39 Ubi Road 1 to multi-tenant lease arrangements in Q4 last year pushed the REIT's income down, the company said.
The company also had to increase its property expenses by 4.5% from last quarter due to higher maintenance expenses and higher impairment losses for properties in 6 Woodlands Loop.
The income decline was offset by lower operating expenses from its other multi-tenant and non-triple-net master tenant properties.
Sabana REIT currently has 21 properties mainly in the industrial sector.
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