Tenants’ sales in Q1 2021 was 4.6% higher compared to a year ago.
CapitaLand’s operational performance continued to improve from 2H 2020 into Q1 2021, with recovery for its retail segment heading towards pre-pandemic levels.
In China, its retail business posted a hike in shopper traffic and tenants’ sales during the quarter under review, mainly due to improved consumer optimism with the rapid roll-out of COVID-19 vaccine and a series of initiatives by the Chinese government, which include the distribution of shopping coupons to stimulate domestic consumption.
Singapore also posted an improvement in retail shopper traffic and tenants’ sales in Q1 2021 compared to a year ago at 26.6% and 4.6% respectively, while Malaysia saw shopper traffic and tenants’ sales remain steady even as it faces downward pressure from continued movement control order (MCO).
CapitaLand’s Singapore and Malaysia retail portfolio recorded a committed occupancy rate of 97.2% and 87.6% as of 31 March 2021, respectively.
“Notwithstanding the gradual improvement in shoppers traffic and tenant sales, rental reversions have remained largely muted across our retail markets,” said CapitaLand in a business update on Wednesday (12 May).
The property giant revealed that committed occupancy for its office, business, industrial and logistics assets have remained resilient.
Its office assets in Singapore had a committed occupancy rate of 91.1% as of 31 March 2021, while its business park, industrial and logistics assets in the city-state had an occupancy rate of 87.2%
CapitaLand noted that average rental reversion for its workspace assets were mostly positive across geographies during Q1 2021, even in India, where there is a severe resurgence of COVID-19 cases.
For its lodging business, the property giant shared that while overall revenue per available unit (RevPAU) declined 28% year-on-year, it remained relatively stable quarter-on-quarter (q-o-q).
In Singapore, RevPAU remained stable q-o-q, while its Southeast Asia and Australasia lodging portfolio posted a 5% q-o-q increase.
China and North Asia saw RevPAU drop 11% and 16% q-o-q, respectively. RevPau in Europe also declined 9%, while Gulf Region and India registered a 7% hike.