Sunday, January 6, 2019

Starhill Global Reit - Should See Better Days Ahead

SPH Reit's recent Q1FY19 results show something promising for the retail rent sector as they managed to negotiate for a 10.1% positive rental reversion for the renewed leases that expire in Q1FY19 for the Paragon properties.

The Orchard central area continues to bounce back strongly on the back of strong high occupancy and the low supply pipeline for the next upcoming 5 years.

This is the latest I have extracted from the URA website.


The office space is doing well from what we see on the price and rental index, but that only takes up 5% of the total NPI for Starhill, so that isn't very significant.

The biggest move would need to come from the Singapore retail from their Wisma Atria and Ngee Ann City properties, which takes up 50% of the total NPI.

If this moves, the share price will move accordingly, usually in the same correlation.

Thus, my turnaround play would have to depend on this one.


Starhill has a next Toshin rental review in Jun 2019, which I think will be the key for a positive rental reversion that follows that to SPH Reit.

I think we should see better days ahead for Starhill performance.

This is just a quick update but an incomplete analysis of the stock.

And I think at 6.6% yield currently, it is an opportunity for investors to keep accumulating.

*Vested and will continue to accumulate

Thanks for reading.

If you like our articles, you may follow our Facebook Page here


27 comments:

  1. Hi! Completely agree. I hold SPH and plan to add more under 1$, hoping it will happen anytime soon. I hold SGR as well and plan to buy more under 65-66 and hold Long term. Seletar Mall is waiting in the wings and we need to see the Rail mall contribution for SPH Reit at the next result. SPH Reit has a very Low under 30% gearing when i last checked and this will help. Of course the yield is under 5.6% or so. This will increase only with more bold acquisitions but the current retail climate us far from friendly! SGR might benefit from central area office space demand as well. Fingers crossed but hoping to gain from both these. Thanks for posting!

    ReplyDelete
    Replies
    1. Wah you have both sph reit and also starhill.

      I used to have fct for a long time last time too and it never fails to disappoint... I blame it on my itchy hands to sell it away.

      Delete
    2. I partially divested FCT at 2.19 last year. I will add more at 2.15 and below with next pullback. Let us see what happens!

      Delete
    3. Are you seeking for an urgent loan? Have you be denied of a loan from your bank or any Financial Firm? Do you need financial assistance Do you need a loan to pay off your bills or buy a home, or Consolidate your debt and be debt free? Do you want to have a Business of your own and you need Financial Loan Help? Contact (Globalfinance861@gmail.com) for your fast reliable loan at a low interest rate of 3%. They are willing to help you out on either Business or Personal Loans, affordable repayment plan with good credit record. They Offer loan at affordable interest rate. if so contact Global finance loan Firm for more information by Email:(globalfinance861@gmail.com).

      Delete
  2. Not really. Despite positive rental reversion, SPHR occupancy and profit dropped. SPHR had to increase payout ratio to maintain the same DPU. The situation is not optimistic at all.

    ReplyDelete
    Replies
    1. I assumed you are talking about the overall Sph Reit portfolio on the occupancy.

      For me I'm only interested in the rental reversion info and occupancy from Paragon asset.

      Delete
  3. Will wait and see this quarters results that are due anytime now and decide. The Low hearing is still s major plus for future acquisitions as the interest cycle will turn down. Paragon Rents are up only recently, so next few quarters will reflect NPI- let us see!

    ReplyDelete
    Replies
    1. Yes agree. The next rent review won't be u til Jun 19 so we will still at least 2 quarters of under performance results which might define things.

      Delete
  4. Hi , do you still hold Sasseur Reit ?

    ReplyDelete
    Replies
    1. Hi I sold sasseur at a 8% loss.

      Will update my latest portfolio from this month onwards.

      Delete
  5. Wow it is really wonderful and awesome thus it is very much useful for me to understand many concepts and helped me a lot. it is really explainable very well and i got more information from your blog.


    singapore stock tips

    ReplyDelete
  6. My name is Mrs.Aisha Mohamed, I am a Citizen Of Qatar.Have you been looking for a loan?Do you need an urgent personal loan or business loan?contact Dr James Eric Finance Home he help me with a loan of $42,000 some days ago after been scammed of $2,800 from a woman claiming to been a loan lender but i thank God today that i got my loan worth $42,000.Feel free to contact the company for a genuine financial service. Email:(jameseric42@aol.com) Contact Number +918929509036

    ReplyDelete
  7. My name is Mrs.Aisha Mohamed, I am a Citizen Of Qatar.Have you been looking for a loan?Do you need an urgent personal loan or business loan?contact Dr James Eric Finance Home he help me with a loan of $42,000 some days ago after been scammed of $2,800 from a woman claiming to been a loan lender but i thank God today that i got my loan worth $42,000.Feel free to contact the company for a genuine financial service. Email:(jameseric42@aol.com) Contact Number +918929509036

    ReplyDelete
  8. My name is Mrs.Aisha Mohamed, I am a Citizen Of Qatar.Have you been looking for a loan?Do you need an urgent personal loan or business loan?contact Dr James Eric Finance Home he help me with a loan of $42,000 some days ago after been scammed of $2,800 from a woman claiming to been a loan lender but i thank God today that i got my loan worth $42,000.Feel free to contact the company for a genuine financial service. Email:(jameseric42@aol.com) Contact Number +918929509036

    ReplyDelete
  9. Hi was looking through the top 10 contribution to gross rent and saw that YTL group contributed to 15%. What is your opinion on this since YTL manages Starhill Global REIT also?

    ReplyDelete
  10. Hello, i am also vested in Starhill, albeit only a small fraction of my portfolio.

    My concern with SG Reit is that footfall is falling in orchard. And there is nothing to suggest that this trend would reverse in the long run. Traditional retail is dying a slow death. Hence, I am not as optimistic about this counter.

    Paragon is also not directly comparable with Wistma because Paragon has a niche set of tenants specializing in medical/aesthetics, which would continue to ensure human traffic having SES at the high end of the spectrum. There is no such niche play with Wistma.

    https://theunnecessaryjob.blogspot.com/

    ReplyDelete
  11. Hi Edwin

    I saw that you have 20,000 shares of starhill in your portfolio, not small at all :)

    Actually I think traditional retail is slowly evolving. If we see what retailers are up these days with experiential shopping like what cmt did with their plaza singapura concept then I think it might just revive.

    HK retail is a good example how they can innovate and brand themselves as a mall which gives a very good rental reversion to their malls.

    I agree Paragon may be a little different with Wisma but given the closest comparison, Paragon and Plaza Sing are probably the easiest to compare to with public information. I still think starhill will play a good catch up to the current valuation of cmt though.

    ReplyDelete
  12. I agree with you regarding Starhill. Further, Wisma and premium Orchard properties will command real estate value and are a buffer to shore up book value plus potentially fetch good prices if need to be sold. However, the entry price for SGR needs a bigger margin of safety. The overseas assets are facing an unfavourable currency exchange situation as well. I am waiting in the rings to add more but will do only at around 65 cents or so. It is still slightly risky but worth it!

    ReplyDelete
  13. We Offers Financial Consulting To Client, Companies Seeking Debt / Loan Financing And Seeking For Working Capital To Start A New Business Or To Expand Existing Business. Interested Parties Should Contact Us For More Information Through Via E-mail: susan.credit@hotmail.com

    Do You Need A Loan To Consolidate Your Debt At 1.0%? Or A Personal Loans * Business Loans etc. Interested Parties Should Contact Us For More Information Through Via E-mail: susan.credit@hotmail.com

    We Have Loan Programs Tailored For Any Profile And You've Come To The Right Place To Satisfy Your Business Needs. If Your Company Or You Know Of Any Company With Viable Projects / Proposals That Needs Financing, Kindly Write Us With The Loan Requirement. Please, Contact Us For More Information: susan.credit@hotmail.com

    Do You Need A Loan To Consolidate Your Debt At 1.0%? Or A Personal Loans * Business Loans etc. Interested Parties Should Contact Us For More Information Through Via E-mail: susan.credit@hotmail.com

    We Offers Financial Consulting To Client, Companies Seeking Debt / Loan Financing And Seeking For Working Capital To Start A New Business Or To Expand Existing Business. Interested Parties Should Contact Us For More Information Through Via E-mail: susan.credit@hotmail.com

    Kindly write us back with the loan information;
    - Complete Name:
    - Loan amount needed:
    - Loan Duration:
    - Purpose of loan:
    - City / Country:
    - Telephone:
    - How Did You Hear About Us:

    Do You Need A Loan To Consolidate Your Debt At 1.0%? Or A Personal Loans * Business Loans etc. Interested Parties Should Contact Us For More Information Through Via E-mail: susan.credit@hotmail.com

    We Offers Financial Consulting To Client, Companies Seeking Debt / Loan Financing And Seeking For Working Capital To Start A New Business Or To Expand Existing Business. Interested Parties Should Contact Us For More Information Through Via E-mail: susan.credit@hotmail.com

    ReplyDelete
  14. Hello Everybody,
    My name is Mrs Sharon Sim. I live in Singapore and i am a happy woman today? and i told my self that any lender that rescue my family from our poor situation, i will refer any person that is looking for loan to him, he gave me happiness to me and my family, i was in need of a loan of $250,000.00 to start my life all over as i am a single mother with 3 kids I met this honest and GOD fearing man loan lender that help me with a loan of $250,000.00 SG. Dollar, he is a GOD fearing man, if you are in need of loan and you will pay back the loan please contact him tell him that is Mrs Sharon, that refer you to him. contact Dr Purva Pius, call/whats-App Contact Number +918929509036 via email:(urgentloan22@gmail.com) Thank you.

    ReplyDelete
  15. COLLINS GUZMAN FUNDINGS

    We offer a variety of Financial packages at a very low interest rate, We stand apart from other lenders because we believe in customer service, We offer the right solution to your financial needs.In general we are FINANCE COMPANY, We offer loan at 3% interest rate, Commercial loans, business loans, home loans, car loans and debt consolidation loan are available for you. Contact us for more information via E-MAIL: collinsguzmanfundings@gmail.com

    Names:
    Occupation:
    Loan Amount Needed:
    Loan Duration:
    Your Country:
    Mobile NO:
    Purpose Of Loan:
    Email Address:
    monthly income:
    Sex:
    Age:

    Thanks and best regards
    Mr Collins Guzman
    WhatsApp: +1 (786) 598-8751

    ReplyDelete
  16. Are you looking for a loan ?We help individuals and companies to obtain loan for business expansion and to setup a new business ranging any amount. Get a loan at affordable interest rate. Do you need this cash/loan for business and to clear your bills? Then send us an email now for more information contact us now via Email:allrisefinancial@gmail.com

    ReplyDelete
  17. COLLINS GUZMAN FUNDINGS

    We offer a variety of Financial packages at a very low interest rate, We stand apart from other lenders because we believe in customer service, We offer the right solution to your financial needs.In general we are FINANCE COMPANY, We offer loan at 3% interest rate, Commercial loans, business loans, home loans, car loans and debt consolidation loan are available for you. Contact us for more information via E-MAIL: collinsguzmanfundings@gmail.com

    Names:
    Occupation:
    Loan Amount Needed:
    Loan Duration:
    Your Country:
    Mobile NO:
    Purpose Of Loan:
    Email Address:
    monthly income:
    Sex:
    Age:

    Thanks and best regards
    Mr Collins Guzman
    WhatsApp: +1 (786) 598-8751

    ReplyDelete
  18. Treg Finance Limited provides personal loans/business loans/trade finance/import & export loans/project loans to companies of all sizes ranging from individuals, companies and trader's globally. Just one simple process, We make financing the growth of your business simple, transparent, and fair.


    No jargon, no hidden fees
    Simple approval process
    Fast business loans funded in just 2-3 business days
    Low Interest rate of 2%
    Companies can be profitable or have negative net income
    Prior bankruptcies accepted
    Zero credit checks required
    Individuals with Bad credit can apply
    Flexible repayment schedules
    CIS & KYC required for all loan applicant irrespective of location/country
    Loan Duration from 1 year - 20 years maximum
    Grace period of 12 - 24 months for large business loans/working capital
    Loan Funding/Financing is not limited to any geographical location or country whatsoever


    We build just the right financing for each client, with simple paperwork, quick approvals, and flexible payment schedules. For further details, Kindly contact us via email, telephone, Skype. Intermediaries/Consultants/Brokers are welcome to bring their clients and are 100% protected. In complete confidence, we will work together for the benefits of all parties involved, Looking forward to rendering the best of our services to all esteemed clientele globally.


    Treg Finance Company Limited
    Website: http://tregfinance.net/home.html
    Email: info@tregfinance.net
    Whatsapp: +44 7757-109446
    Skype id: treg.finance1@outlook.com
    201 Bishopsgate, London, EC2M 3AE
    Company Registration No. 02587815

    ReplyDelete
  19. Treg Finance Limited provides personal loans/business loans/trade finance/import & export loans/project loans to companies of all sizes ranging from individuals, companies and trader's globally. Just one simple process, We make financing the growth of your business simple, transparent, and fair.


    No jargon, no hidden fees
    Simple approval process
    Fast business loans funded in just 2-3 business days
    Low Interest rate of 2%
    Companies can be profitable or have negative net income
    Prior bankruptcies accepted
    Zero credit checks required
    Individuals with Bad credit can apply
    Flexible repayment schedules
    CIS & KYC required for all loan applicant irrespective of location/country
    Loan Duration from 1 year - 20 years maximum
    Grace period of 12 - 24 months for large business loans/working capital
    Loan Funding/Financing is not limited to any geographical location or country whatsoever


    We build just the right financing for each client, with simple paperwork, quick approvals, and flexible payment schedules. For further details, Kindly contact us via email, telephone, Skype. Intermediaries/Consultants/Brokers are welcome to bring their clients and are 100% protected. In complete confidence, we will work together for the benefits of all parties involved, Looking forward to rendering the best of our services to all esteemed clientele globally.


    Treg Finance Company Limited
    Website: http://tregfinance.net/home.html
    Email: info@tregfinance.net
    Whatsapp: +44 7757-109446
    Skype id: treg.finance1@outlook.com
    201 Bishopsgate, London, EC2M 3AE
    Company Registration No. 02587815

    ReplyDelete
  20. Treg Finance Limited provides personal loans/business loans/trade finance/import & export loans/project loans to companies of all sizes ranging from individuals, companies and trader's globally. Just one simple process, We make financing the growth of your business simple, transparent, and fair.


    No jargon, no hidden fees
    Simple approval process
    Fast business loans funded in just 2-3 business days
    Low Interest rate of 2%
    Companies can be profitable or have negative net income
    Prior bankruptcies accepted
    Zero credit checks required
    Individuals with Bad credit can apply
    Flexible repayment schedules
    CIS & KYC required for all loan applicant irrespective of location/country
    Loan Duration from 1 year - 20 years maximum
    Grace period of 12 - 24 months for large business loans/working capital
    Loan Funding/Financing is not limited to any geographical location or country whatsoever


    We build just the right financing for each client, with simple paperwork, quick approvals, and flexible payment schedules. For further details, Kindly contact us via email, telephone, Skype. Intermediaries/Consultants/Brokers are welcome to bring their clients and are 100% protected. In complete confidence, we will work together for the benefits of all parties involved, Looking forward to rendering the best of our services to all esteemed clientele globally.


    Treg Finance Company Limited
    Website: http://tregfinance.net/home.html
    Email: info@tregfinance.net
    Whatsapp: +44 7757-109446
    Skype id: treg.finance1@outlook.com
    201 Bishopsgate, London, EC2M 3AE
    Company Registration No. 02587815

    ReplyDelete
  21. Do you need a loan, Are you in Debts, Did your bank say no, We offer personal loans
    with good repayment plan of up to 20 years at 3% interest rate per annual. we offer
    you financial guide to help improve your business and offer debt solutions with over
    10 years experience to clients worldwide. Contact :abubakarloanservice@gmail.com
    Phone number :+91-9818603391 (Call/Whats app)

    ReplyDelete

UA-57154194-1