1QFY24: More Resilient Than Widely Perceived
- LREIT achieved strong positive rental reversion of 16.3% (313@Somerset: >20%, Jem: high single-digit) in 1QFY24. Committed occupancy for its retail properties is stable at 99.7%.
- Divestment of the office block at Jem is an available option should LREIT decide to deleverage.
- Maintain BUY. Target price: S$0.80. LREIT provides an attractive FY24 distribution yield of 8.0%.