For example in 2018, it was reported that Keppel reduced its rental support for Keppel Reit and its DPU fell.
The recent headlines about Mapletree Logistics Trust acquiring 13 China properties and 3 Vietnam properties through issuing rights must have gotten little attention due to many new Reits having IPOs lately, Daiwa House Logistics and Digital Realty.
Headline figures for the China and Vietnam properties paint a very rosy picture of a forecasted rise in DPU, post acquisition of 1.2% .
Sounds good right?
But take note that this includes rental support for 1 year post acquisition by the sponsor.
Stripping out the rental support, the DPU remains unchanged....