Business Model of Viva Industrial Trust (‘VIT’)
Viva Industrial Trust is a business-park focussed REIT listed on the SGX since November 2013. It manages a portfolio of 9 properties (2 Integrated Business Parks, 3 Warehouses and 4 Light Industrial Factories) in Singapore. It collects rent from the tenants and after netting operating expenses, the rents are then paid out to unitholders as dividends. As a REIT operating in the industrial sector, it is very much tethered to the manufacturing sector of Singapore.
Investment Merits of Viva Industrial Trust
1. Business-Park Focused REIT
Viva Industrial REIT has the highest concentration of Business Parks among the REITs listed on SGX. Indeed, it represents 54.2% of Viva Industrial REIT’s Asset Under Management (‘AUM’) and thus forms the core of its portfolio. Business Park is the only sub-sector that faces the least headwinds …