Since Mapletree North Asia Commercial Trust’s (MNACT) IPO in March 2013, Festival Walk has been MNACT’s star performer with double-digit rental reversions year after year. However, the upscale mall situated in Kowloon Tong, Hong Kong, was heavily damaged by anti-government protestors in November 2019. Festival walk contributed about 62% of MNACT’s net property income in FY2019.

As a concerned unitholder of MNACT, I attended the 2020 MNACT EGM to find out what happened at Festival Walk and what the management is doing to lower the concentration risk vis-à-vis Festival Walk.

Here are eight things I learned from the 2020 Mapletree North Asia Commercial Trust EGM:

1. To accelerate the diversification of MNACT’s income streams, unitholders have agreed to the acquisition of two office towers in Greater Tokyo area. To demonstrate their support for portfolio diversification, the managers have voluntarily waived their acquisition fee for the purchase of the mBay Point