Excerpts from OCBC Investment Research report

CapitaLand China Trust (SGX: AU8U)

Rental reversion for the Retail portfolio turned positive to 4.9% 9M22 shopper traffic and tenants’ sales recovered to 61% and 77% of pre-Covid levels Performance of the New Economy portfolio remained resilient

Retail segment: sequential recovery in 3Q22 led by Beijing malls

Capitaland China Trust (CLCT)’s retail segment showed sequential improvement in 3Q22 after the lockdowns in 2Q22 which saw the largest impact to the portfolio since the onset of Covid-19. Shopper traffic and tenants’ sales improved sequentially by 37.5% and 33.7% QoQ respectively in 3Q22. For 9M22, shopper traffic and tenants’ sales recovered to 61% and 77% of pre-Covid levels. As of 30 Sep 2022, portfolio occupancy for CLCT’s retail segment dipped marginally by 0.4 percentage points (ppt) to 96.7%. Retail portfolio posted its first positive rental reversion of 4.9% since the start of Covid-19, boosted...