Is CapitaLand Mall Trust still the preferred retail REIT over Frasers Centrepoint Trust?

By Frugal Youth Invests • March 28, 2020

This is another installment of REITs analysis where I analyse the REITs that I have in my watchlist. This is the second time I have analysed CapitaMall Trust (CMT) and Frasers Centrepoint Trust (FCT). You may refer to the previous article over here. In my previous analysis on these two, I favoured CMT due to its diversified portfolio than FCT. In 2019 when I wrote the analysis, 76% of FCT’s bigger malls contributed 76% of its property income. More than 1 year has passed, FCT has done some acquisition – Acquisition of 40% of Waterway Point and invested in PGIM Real Estate Retail Fund. In this analysis, we will completely ignore the merger between CapitaMall Trust and CapitaCommercial Trust and just focus on the retail aspect of the REITs.

There is no doubt that the management of CMT and FCT have excellent track record of increasing its DPU per unit every year as shown. However, is CMT still a better buy than FCT?...