A DPU of 2.17c has been announced. This is a little lesser than my estimate of 2.2c. This is probably due to the fact that no rentals were collected for the property of 1 Tuas Avenue 4 in the months of November and December 2011. The manager is in advanced stage of negotiation with a party to rent the said property for a 10 year period. This, when completed, together with recent acquisitions should boost income and result in a higher DPU.

1, Tuas Avenue 4.

NAV per unit: $1.05. Gearing: 34.1%. Interest cover ratio: 7.4x Average land lease expiry: 40.2 years. (10.4% of the REIT's land leases will expire between 2032 and 2036 while 7.3% will expire between 2037 and 2041.) Sabana REIT managed to secure lower cost of funding for its newer loans at between 3.4% to 3.9% ......