Following from my portfolio update, I am now stuck in a dilemma.
On one hand, while I am thinking to add UnitedHampshire US REIT (at 9% yield), I have come across a local REIT called Lend Lease Commercial REIT, it is a mid cap REIT which owns 02 Grade A buildings in Jem and 313@Somerset. Its occupancy in Singapore is a solid 99.9% with the Ministry of National Development being on a long term lease with rental escalations of about 2.5-2.6% annually.
Lendlease Commercial REIT is currently at 51 cents with a dividend of 3.6 cents, giving it a 7% yield.
Why am I torn over it, Compared to my Current Holdings
Lendlease has a good 7% yield with very good assets in Singapore. In a way, barring recession, Lendlease is a dividend stock with growing dividends, its cost of debt is falling due to the falling Singapore SORA rate. I believe this stock will give 4 cents dividend in a few years time as interet...