Keppel DC REIT Set to Benefit from Rent Escalation at New Data Centers
Dow Jones09-07 10:15
0215 GMT - Keppel DC REIT stands to benefit from rental escalation at two new data centers in Japan which it plans to acquire, UOB Kay Hian's Jonathan Koh says in a research report. The data centers offer attractive built-in contractual rental escalation of 2.8%, the analyst notes. Also, the REIT continues to build scale in hyperscale data centers, with potential acquisitions from its sponsor's pipeline likely to materialize in 2028. The brokerage lifts its 2027 and 2028 distribution-per-unit forecasts for the REIT by 1.3% and 1.7%, respectively. It raises the unit's target price to 2.99 Singapore dollars from S$2.95 with an unchanged buy rating. Units are 1.4% higher at S$2.22.
At the request of the copyright holder, you need to log in to view this content
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Comments