Office REITs

RHB anticipates companies to downsize office space by 20-30%.

Prime grade office rents in the Raffles Place and Marina Bay precincts shrank about 10% in 2020.

This could especially be the case for industrial and office REITs, notes DBS Group Research.

The impact of the novel coronavirus (Covid-19) pandemic on the local real estate investment trust (REIT) sector is expected to bottom out in 2Q, according to RHB Securities.

“Post 2Q20, we believe office net demand can start to recover when GDP bottoms and drive the re-rating of office REITs,” say DBS analysts Rachel Tan and Derek Tan.

SINGAPORE (Nov 29): DBS Vickers Securities is reiterating its “buy” call on Manulife US REIT with a lower target price of 99 US cents ($1.33) compared to US$1.07 cum rights.

SINGAPORE (Sept 26): OCBC Investment Research is keeping its “hold” recommendation on CapitaLand Commercial Trust (CCT) with a lower fair value estimate of $1.65 from $1.69 previously.

SINGAPORE (Aug 18): One way to play the synchronised global recovery — assuming it is not derailed by a nuclear or trade war — is through office real estate investment trusts (REITs), be they US- or Singapore-focused.

SINGAPORE (Aug 1): DBS Group Research says there are multiple catalyst for Singapore residential prices to head higher in the next two years.

SINGAPORE (June 22): OCBC is maintaining its “overweight” status on Singapore’s office sector, on the belief that investor scepticism over the value of Singapore’s grade ‘A’ office buildings is unwarranted.