CapitaLand Ascendas REIT faces dip in overall occupancy to 93.3%

In Singapore, the occupancy rate slipped by 0.4% QoQ.

CapitaLand Ascendas REIT’s (CLAR) portfolio occupancy slightly dipped in 1Q24, dropping 0.9% QoQ to 93.3% from 94.2% in 4Q23.

The REIT saw a dip in occupancy across all its markets, led by Australia, which recorded a 2.1% QOQ drop. In Singapore, occupancy slipped by 0.4% QoQ.

On the flip side, CLAR recorded a rental reversion of 16.9% for leases renewed in 1Q24, up from the 15.2% recorded in the previous quarter. In Singapore, the REIT recorded a 16% change in renewal rates for multi-tenant buildings. 

For FY24, the REIT expects its rental reversion to be in the positive mid-single-digit range.

Meanwhile, portfolio weighted average lease expiry (WALE) remained stable at 3.9 years.