Rise In Office Rentals Lifts K-REIT's Q3 Distributable Income By 31%

Source : Channel NewsAsia, 10 October 2007

The surge in office rentals has lifted the third quarter distributable income of K-REIT Asia by 31 percent from a year ago.

The commercial property trust has booked an income of S$5.4 million for the three months to September.

This will work out to a distribution per unit of 2.23 cents for the period.

Property income rose 18 percent to over S$10 million.

As for its outlook, K-REIT says it expects demand for prime office space to remain strong.

This is because of the continued economic growth, sound business prospects and further expansion of the financial services sector.

K-REIT projects prime office rents to increase further over the next two to three years.

It adds that the buoyant prime office market will continue to augur well for its portfolio of office buildings in the CBD and the new downtown at Marina Bay. - CNA/ch