Frasers Centrepoint Trust (FCT) - OCBC Maintains BUY

Frasers Centrepoint Trust which owns Causeway Point, North Point, Anchor Point, Yew Tee Point and Bedok Point has just reported its 3QFY12 results which have exceeded some analysts' expectations.  Net Property Income (NPI) was up 32.1% year-on-year.  The strong performance was achieved by a 60% rise in NPI for Causeway Point. as well as $2.0mil income from Bedok Point which was newly acquired. Total NPI was S$24.6mil.


The asset enhancement initiative is also at its final phase in Causeway Point.   There has also been positive rental reversions and reflects that there is still continued strong demand for suburban retail space in Singapore.  OCBC retains a BUY call on this REIT with fair value raised to S$1.89