While the Straits Times Index (SGX: ^STI) is commonly seen as the primary gauge for Singapore's market, April 2026 presented a contrasting performance landscape.
On one side, the benchmark index declined 2% amid broader macroeconomic pressures. Conversely, a select group of real estate investment trusts (REITs) achieved robust returns in the high single digits, bucking the overall downtrend.
Frasers Logistics & Commercial Trust (SGX: BUOU) posted a total return of 7.9% for the month. Keppel DC REIT (SGX: AJBU) and Frasers Centrepoint Trust (SGX: J69U) followed with returns of 7.8% and 6.8%, respectively.
Each of these REITs outperformed the STI by approximately 9 percentage points or more.
The market's positive reception can be attributed to three shared characteristics evident in their April updates: clear operational growth, demonstrated pricing power, and prudent balance sheet management.
Frasers Logistics & Commercial Trust (SGX: BUOU), or FLCT
FLCT holds a portfolio of 113 logistics, industrial, business park, and office properties across Australia, Germany, Singapore, the United Kingdom, and the Netherlands.
Logistics and industrial assets constitute 75.1% of its S$7.0 billion portfolio.
For the first half of the fiscal year ending 30 September 2026 (1HFY2026), gross revenue increased 2.8% year-on-year to S$238.9 million. Adjusted net property income (NPI) rose 3.6% to S$167.0 million.
Headline distribution per unit (DPU) saw a slight decline of 1.7% year-on-year to S$0.02950.
However, a deeper analysis reveals stronger underlying performance. Excluding capital distributions from divestment gains, the DPU before such top-ups surged 11.9% year-on-year to S$0.02820, indicating solid operational momentum.
Occupancy for its logistics and industrial assets reached 99.8%. Rental reversions were strong, at +9.8% on an incoming-versus-outgoing basis and a notable +26.2% on an average-versus-average basis.
FLCT also announced the acquisition of Diamantweg 26 in Hapert, Netherlands—a freehold logistics facility purchased at a 3.3% discount to valuation. The property is fully leased to DSV with a weighted average lease expiry of 9.5 years.
Aggregate leverage improved to 33.7%, providing capacity for further strategic acquisitions.
Keppel DC REIT (SGX: AJBU)
Keppel DC REIT owns 25 data centres across 10 countries, with assets under management (AUM) of approximately S$6.3 billion as of 31 March 2026.
Its first-quarter 2026 (1Q2026) operational update showcased robust figures.
Gross revenue grew 18.4% year-on-year to S$121.0 million, while NPI increased 19.4% to S$105.2 million.
Distributable income rose 20.7% to S$74.6 million, resulting in a DPU of S$0.02833—a 13.2% increase year-on-year.
A standout metric was the rental reversion of approximately 51% on contracts renewed during the quarter, highlighting significant pricing power driven by structural demand from artificial intelligence workloads.
Contributions from the acquisition of Tokyo Data Centre 3, along with the remaining stakes in Keppel DC Singapore 3 & 4, provided further growth.
On the balance sheet, aggregate leverage decreased by 20 basis points quarter-on-quarter to 35.1%. The average cost of debt improved by 40 basis points year-on-year to 2.6%.
Approximately 84.8% of borrowings are on fixed rates, offering protection in a volatile interest rate environment.
Frasers Centrepoint Trust (SGX: J69U), or FCT
As Singapore's largest suburban retail mall owner, FCT's portfolio includes nine retail malls and an office property, totaling roughly 3.0 million square feet of net lettable area and an AUM of S$8.4 billion.
For 1HFY2026, gross revenue surged 20.3% year-on-year to S$221.9 million, while NPI climbed 20.2% to S$160.8 million.
DPU increased modestly by 1.4% year-on-year to S$0.06136.
Retail portfolio committed occupancy stood at 99.8%, up 1.7 percentage points from the end of December 2025.
Rental reversion was positive at +6.5%, with tenant retention at 87%. Shopper traffic and tenant sales grew 1.8% and 3.2% year-on-year, respectively.
The significant revenue growth was largely driven by the acquisition of Northpoint City South Wing and higher passing rents across most malls.
Regarding its development pipeline, the asset enhancement initiative (AEI) at Hougang Mall is on schedule for completion by September 2026, targeting a 7% return on investment.
The AEI at NEX is set to commence in May 2026, adding 44,000 square feet of net lettable area with a capital expenditure of S$90 million.
The cost of debt improved to 3.2%, while aggregate leverage remained stable at 40.0%.
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