With the highest number of foreign REITs listing in the world, Singapore is the largest REITs market In Asia (ex Japan). Recognised as a global REITs hub, the REITs market is worth $113 billion and accounts for over 12% of Singapore’s overall stock market.
After taking a hit in 2020 from the pandemic, the Singapore REITs (S-REITs) market has seen a gradual recovery on the prospect of moving towards a vaccinated world. During the first half of 2021, S-REITs generated a total return of 8.9%.
For investors who want to invest in REITs for dividend income, there are multiple S-REITs that you can consider. Among them, Mapletree Investments Pte Ltd manages the most S-REITs listing – with a combined market capitalisation of $27 billion under four separate REIT listings.
In this week’s edition of 4 Stocks This Week, we look at these four Mapletree S-REITs, that represents over a fifth of Singapore’s REITs market, and their performance thus far.
#1 Mapletree North Asia Commercial Trust (SGX: RW0U)
MNACT (SGX: RW0U) was listed in 2013 and has a market capitalisation of $3.6 billion. It has a diversified retail and office property portfolio located in China, Hong Kong, Japan, and South Korea.
In the first half of 2021, we can see MNACT gradual recovery as China, Hong Kong, Japan, and South Korea COVID-19 situation improved. Lesser rental relief was given out to tenants this year due to the festive seasons in the first half of the year that boosted sales.
The strongest performing REIT in the Mapletree family, Mapletree NAC delivered a total return of 7.22% in 1H21. Currently, MNACT distributes its dividend semi-annually.
MNACT’s share price closed at $1.03 this week, having increased 6.2% in the year-to-date. According to its latest results announcement, MNACT provides a dividend yield of 7.1%
#2 Mapletree Logistics Trust (SGX: M44U)
With a market capitalisation of $8.9 billion, MLT (SGX: M44U) is the largest REIT in the Mapletree family of listed REITs. MLT’s property portfolio of logistics real estate in China, Hong Kong, Japan, South Korea, Australia, Singapore, Malaysia, Vietnam was largely shielded it from the worst of the COVID-19 market crash in early 2020. We found that it was one of the least affected REITs.
MLT has also actively added to its property portfolio in 2021, acquiring logistics assets in South Korea, India, Singapore, Australia and Malaysia.
MLT’s share price has declined 4.5% in the year-to-date, closing at $1.90. This was after a stellar 2020, where its share price soared 16.3% despite initially crashing nearly 46% from February to March. MLT currently provides a dividend yield of 4.6%.
#3 Mapletree Commercial Trust (SGX: N2IU)
Another office and retail REIT in the Mapletree family, MCT (SGX: N2IU) focuses on Singapore real estate. Listed in 2011, MCT is primarily known for owning VivoCity, as well as its four other prime properties – Mapletree Business City I, PSA Building, Mapletree Anson and Bank of America Merrill Lynch HarbourFront. The valuation of the five properties is about $8.7 billion.
Ending the week at $2.05, MCT’s shares has dipped nearly 3.8% in the year-to-date. This may be attributed to the ongoing COVID-19 uncertainties as its share price has fluctuated after safe management measures have been relaxed and tightened. Currently, MCT pays a dividend yield of 4.3%.
#4 Mapletree Industrial Trust (SGX: ME8U)
With 84 Singapore properties under its portfolio, MIT (SGX: ME8U) listed back in 2010. Having recently acquired 29 US data centres through a joint venture with Mapletree Industrial, MIT is no longer just a Singapore focused REIT.
In fact, 53% of MIT’s portfolio is now exposed to data centres. This comes after its acquisition of 29 U.S. data centres in May 2021.
In the year-to-date, MIT’s shares has declined nearly 6.6% to $2.70 – giving it a market capitalisation of $7.2 billion. Nevertheless, it continues to pay a dividend yield of 5.1%.
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4 Stocks This Week is not a recommendation from us to buy or sell any of these stocks. For investors who are keen to find out more, you should continue researching about them before making your investment decisions.