Source: CapitaLand Retail China Trust 2020 AGM presentation slides
CRCT’s shareholders are naturally concerned about the REIT’s outlook given that the COVID-19 pandemic originated in Wuhan, China before spreading throughout the country. This sent the entire country into lockdown and ghost towns emerged. However, as restrictions are being gradually lifted in China, I was interested to see if CRCT has recovered as well and how they are dealing with the slowdown in retail traffic. Having attended the AGM, I am personally quite bullish about CRCT’s medium-term prospects and believe they are well-placed to tide through this crisis....CapitaLand Retail China Trust (CRCT) is a pure-play retail REIT with its properties located entirely in China spread over nine cities. It derives about 95% of its net property income (NPI) from its properties located in Tier 1 and 2 Chinese cities.
CRCT also has a well-diversified tenant base across more than 14 trade sectors (figures correct as of 31 March 2020):