SPH REIT malls remain healthy at 98.8% occupancy rate

The Australia portfolio performed better than that of Singapore.

For Singapore assets, occupancy improved to 98.8%, whilst tenants' sales recovered to 97% of its first-quarter (Q1) financial year (FY) 2021 levels for Paragon and The Clementi Mall, SPH REIT announced on its Q1 2022 business update.

Compared to the pre-pandemic levels, tenants' sales improved to around 70% and over 90% for Paragon and The Clementi Mall, respectively. The performance of the Clementi Mall remained more resilient, benefitting from its suburban location, strengthened tenant mix from new food and beverage concepts and new sports retailer, Decathlon. Conversely, Paragon's recovery was slower due to its higher reliance on tourists. Whilst rising vaccination rates and the launch of Vaccinated Travel Lanes (VTL) should support recovery for Paragon, the daily quota for the VTL scheme remained significantly lower than pre-pandemic levels.

Moreover, the performance of its Australia portfolio was better than Singapore due to its strategic, suburban locations and tenant mix.

Westfield Marion continued to demonstrate its dominance in Adelaide, South Australia, with tenants' sales increasing 6% year-on-year, surpassing its pre-pandemic levels. Whilst Figtree Grove was impacted by the lockdown for around 1.5 months during Q1 FY22, its tenants' sales had recovered to close to pre-COVID levels in November 2021 after the lockdown was lifted in October 2021.

OCBC's equity research remarked SPH REIT's human capital development and management practices continue to trail its peers, notably in offering comprehensive benefits, staff engagement, and development opportunities. In addition, its corporate governance structure falls into the average scoring range, which is weaker than its global peers, most notably on executive compensation practices. However, the REIT ranks higher than the industry average in terms of environment score, with a higher proportion of green-certified buildings in its portfolio relative to peers.

Follow the links for more news on

Join Singapore Business Review community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Top News

Singapore net inflows hit $263.18m in 3Q23
Equity and fixed-income funds reported inflows during the quarter.
OCBC enables customers to lock money in their accounts
Locked funds cannot be used for payments, investments, and ATM withdrawals.


Italy brings its strong suits to Singapore’s fintech expo
Italian trade executive says 9 firms at the Singapore Fintech Festival 2023 exemplify the diverse range of products and expertise Italy can bring to the table.
Trust Bank sets the bar for digital banking in Asia Pacific
The digital bank targets to be Singapore's fourth largest retail bank, CEO Dwaipayan Sadhu said.
How brands can avoid inauthentic nostalgia marketing
A GlobalData expert flag inauthenticity in using throwback marketing and cite brand campaigns that are winning hearts.