This article was written with reference to KDC's 1H FY2026 earnings release available at https://www.keppeldcreit.com/en/investor-relations/financials/financial-results/ as well as SGX Announcements. Keppel DC REIT owns and invests in real estate assets used for data centers. It operates as a pure-play data center trust, renting space out to tech and cloud companies. In a macroeconomic regime defined by higher-for-longer interest rates and sticky global inflation, KDC represents a rare combination: double-digit distribution growth (+11.3% DPU YoY) paired with an unusually strong balance sheet (6.9x Interest Coverage Ratio, 34% Aggregate Leverage). At the same time, KDC's share price dropped from $2.34 on July 22 down to $2.24–$2.25 on July 27, right after releasing an apparently stellar 1H 2026 report, presenting an interesting market disconnect that's worth taking a look at. What Powered Double Digit Growth? KDC's Gross Revenue climbed +14.5% YoY to $242.0M, while Net Property Income surged +15.1% YoY to $210.4M. Outperformance was anchored by full-period contributions from Tokyo DC 3 (acquired in late 2025), higher variable rents from positive reversions/escalations,...