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Frasers Commercial Trust’s Annual General Meeting: 3 Slides to Help You Understand The REIT

Yesterday, Frasers Commercial Trust (SGX: ND8U) hosted its annual general meeting for its fiscal year ended 30 September 2016 (FY2016).

As part of its AGM, the real estate investment trust had prepared a presentation. There were three slides from the deck that caught my eye.

A bird’s eye view

2017-01-23 Fraser Commercial Trust Portfolio
Source: Frasers Commercial Trust’s presentation

The slide above gives you a snapshot of Frasers Commercial Trust’s portfolio as of 30 September 2016. The REIT’s portfolio was worth $2 billion and consists of six properties located in Singapore and Australia.

Singapore accounted for around 61% of the portfolio’s total value with the rest coming from Australia. China Square Central and Alexandra Technopark are the largest properties, contributing about 28% and 26%, respectively, to the portfolio’s value.

The long and winding road

2017-01-23 Frasers Commercial Trust History
Source: Frasers Commercial Trust’s presentation

Frasers Commercial Trust was listed on 30 March 2006. That’s nearly 11 years ago.

One of the key events in the REIT’s history is the recapitalisation exercise it undertook in 2009. As part of the exercise, Alexandra Technopark was added to the line-up. Frasers Commercial Trust also sold Keypoint in April 2012 to reshape its portfolio.

A decade of growth

2017-01-23 Frasers Commercial Trust Growth
Source: Frasers Commercial Trust’s presentation

The recapitalization exercise had left a mark on Frasers Commercial Trust.

Its distribution per unit fell from 7.65 cents in FY2008 to 2.80 cents in FY2009. Since the recapitalization exercise, however, Frasers Commercial Trust has recorded 174% in total unitholders’ returns. The REIT’s DPU has also grown in each year and at an annual rate of 9.8% since the exercise.

Foolish takeaway

Like most investor presentations, Frasers Commercial Trust will be attempting to put its best foot forward in presenting itself to investors. The slides above are a representation of the REIT manager’s efforts to provide its perspective on Frasers Commercial Trust.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Chin Hui Leong doesn’t own shares in any companies mentioned.