Today in addition to Keppel REIT releasing results, CCT also released the minutes of their AGM. Both events can help give investors an insight into what has happened in the office market and what we can expect going forward. This article will attempt to summarize some of the key points from the two releases.
- Slower leasing and a shift to renewals
The pace of leasing has been slower as marketing and property visits have been postponed. CCT also mentioned that it has seen more renewals coming in as tenants want to minimize capital expenditure. Both CCT and KREIT cited that their high tenant quality was important in keeping occupancies high and allowing them to collect rents on time. There have also been no significant requests to downsize.
During this period, CCT highlighted flex space operators as being more affected as their members defer or waive memberships. This is usually highlighted as the