Keppel DC REIT posts 20% growth
Published 26 January 2021
The Board of Keppel DC REIT Management Pte. Limited has reported a 20.5 per cent yearly growth for the second half and full year ended 31 December 2020.
The REIT has delivered a distributable income (DI) of $81.9 million for second half of 2020, an increase of 39.1 per cent when compared to the same period last year when it posted $58.9 million. For fiscal 2020, the DI came in at $156.9 million, an increase of 38.6 per cent over FY 2019’s $113.2 million.
Real estate investment trust or REITs is a company that owns, operates or finances income-producing real estate, thereby providing investors a chance to own valuable real estate, and an opportunity to access dividend-based income.
Accordingly, Keppel DC REIT has declared a DPU of 4.795 cents for 2H 2020, bringing the FY 2020 Distribution Per Unit (DPU) to 9.170 cents. This is 20.5 per cent above FY 2019’s 7.610 cents.
Keppel DC REIT delivered total Unitholder returns of 38.4 per cent for FY 2020, and 311.6 per cent since listing in December 2014, as at 31 December 2020, the company said. So far, Keppel DC has achieved total Unitholder returns of 38.4 per cent for FY 2020, which translates to 311.6 per cent growth, since listing.
The growth in DI was supported by full year contributions from Keppel DC Singapore 4 and DC1, as well as new acquisitions in Europe, the company said.
During the year, Keppel DC REIT strengthened its European presence with three DPU-accretive acquisitions. This included, the remaining 999-year leasehold land interest at Keppel DC Dublin 1 in Ireland and Kelsterbach Data Centre in Germany in first half of 2020, as well as Amsterdam Data Centre in end of December 2020.
Also, during the year, Keppel DC REIT was included in the benchmark Straits Times Index (STI) from October 2020. The REIT is also a constituent of the FTSE EPRA Nareit Global Developed Index, MSCI Singapore Small Cap Index and the GPR 250 Index Series. The inclusion in these globally-recognised indices further increased Keppel DC REIT’s visibility among global investors, and enhanced its trading liquidity.