3 Blue-Chip S-REITs Raising Their DPU Before 2026

Core Insights - Three blue-chip Singapore REITs are increasing their distributions for 2025, but each is following a distinct strategy that reflects varying market conditions and operational focuses [1][14]. Keppel DC REIT - Keppel DC REIT reported a 55.5% year-on-year increase in distributable income to S$195.3 million for the first nine months of 2025, with a DPU of S$0.0767, up 8.8% [3][4]. - The growth was driven by data centre acquisitions, including Keppel DC Singapore 7 & 8 and Tokyo Data Centre 1, leading to a 37.7% increase in gross revenue to S$322.4 million [3][4]. - Net property income rose 42.2% to S$280.2 million, with occupancy at 95.8% and a weighted average lease expiry of 6.7 years [4]. - The REIT is divesting non-core assets to focus on data centres, positioning itself to benefit from the AI infrastructure boom [5]. Frasers Centrepoint Trust - Frasers Centrepoint Trust achieved gross revenue of S$389.6 million for FY2025, a 10.8% increase year-on-year, while net property income rose 9.7% to S$278.0 million [5][6]. - The DPU increased only 0.6% to S$0.12113 due to dilution from a S$1.1 billion acquisition of Northpoint City South Wing [6][7]. - Despite dilution, operational metrics remained strong, with rental reversion at 7.8% and portfolio committed occupancy at 98.1% [7][8]. - The REIT is actively recycling its portfolio, including the divestment of Yishun 10 Retail Podium [9]. Mapletree Pan Asia Commercial Trust - Mapletree Pan Asia Commercial Trust reported a 3.2% decline in gross revenue to S$218.5 million for 2Q'FY5/26, while net property income fell 2.2% to S$163.9 million [10][12]. - Despite revenue decline, DPU increased by 1.5% to S$0.0201, supported by cost savings from lower operating expenses and finance costs [10][11]. - Committed occupancy was at 88.9%, with rental reversion flat at negative 0.1% for the first half [11][12]. - The REIT's revenue decline was influenced by divestments, indicating a defensive rather than growth-oriented strategy [12][13]. Comparative Analysis - All three REITs are increasing distributions, but through different mechanisms: Keppel DC REIT benefits from structural tailwinds in the data centre sector, Frasers Centrepoint Trust is focused on long-term growth despite short-term dilution, and Mapletree Pan Asia Commercial Trust is emphasizing financial discipline amid revenue challenges [14][15].