CIT Distributable Income For Q4 Surges 59%

Source : The Business Times, January 30, 2008

Distributable income for full year 31.7% more than forecast

CAMBRIDGE Industrial Trust (CIT) has posted distributable income of $11.59 million - 59 per cent higher year on year - for its fourth quarter ended Dec 31, 2007.

The figure comprised $1.6 million distributed to unit holders for the period Oct 1-17, just ahead of an equity fund-raising exercise completed on Oct 18, and distributable income of almost $10 million for the rest of the quarter.

The $10 million reflects distribution per unit (DPU) of 1.258 cents, which works out to an annualised figure of 6.122 cents and a resulting distribution yield of 9.2 per cent based on CIT's closing price of 66.5 cents yesterday. The counter ended the day half a cent lower.

Net property income for Q4 rose 46.3 per cent year on year to $13.9 million on a 49.1 per cent rise in gross revenue to $16.1 million.

For the year ended Dec 31, 2007, CIT posted distributable income of $35.7 million, which was 31.7 per cent higher than forecast by the trust's manager, Cambridge Industrial Trust Management.

Net property income of $45.8 million was 28.3 per cent above forecast, while gross revenue of $53 million surpassed the forecast by 22.7 per cent.

CIT's portfolio comprised 40 properties at end-December 2007, up from 27 assets a year earlier. The 40 properties, valued at $927.8 million at end-2007, were fully occupied as of that time.

The trust's manager said it 'believes the demand for quasi-offices will spill into demand for light industrial space resulting from current rental pressure on prime office space in the Central Business District'.

The latest DPU of 1.258 cents for the period Oct 18-Dec 31, 2007 will be paid on Feb 29.