Singapore’s REIT sector heads into January 2026 with investors seeking clarity on their future. In particular, there are three Straits Times Index (SGX: ^STI) REITs that are set to release earnings updates that could signal turning points in their respective growth trajectories. From a logistics REIT showing signs of stabilisation in a challenging China market, to an industrial REIT navigating North American headwinds, to a data centre specialist riding acquisition-driven momentum, each offers distinct cata ...

The Buy Thesis - Gladstone Commercial (GOOD) is undervalued at a 9X multiple, which suggests low-quality earnings or high risk, despite its durable cash flows [1] - The market is overlooking two key aspects of GOOD's transition from a predominantly office portfolio to 70% industrial [1] Valuation - A fair value estimate for GOOD is $15.25 per share, representing a 14X multiple on forward AFFO [2] - GOOD's portfolio and balance sheet are in healthy shape, positioning the company for growth in AFFO/share [44] Portfolio Transition - The transition from office to industrial assets is critical, with GOOD managing to reduce its office holdings to 28% over the past decade [55] - GOOD's approach to transitioning was gradual and opportunistic, allowing for better management of AFFO/share losses compared to peers [25][43] Performance Comparison - GOOD lost only 9% of its AFFO/share from 2015 to 2026, while peers LXP and SLG lost 20% and 56%, respectively [23][21] - The company maintained a higher quality of earnings through strategic tenant relationships and selective asset sales [25][26] Tenant and Property Quality - More than half of GOOD's tenants are investment-grade or equivalent, which is higher than most triple net REITs [38] - Industrial leases have embedded escalators of approximately 3%, providing a stable income stream [58] Market Sentiment - The market has been punishing GOOD for historical AFFO/share weakness due to the pandemic, despite its strong fundamentals [39][42] - The current trading multiple does not reflect GOOD's forward prospects, indicating substantial undervaluation [65][71] Debt and Financial Health - GOOD has modestly reduced its leverage and has a mix of property-level mortgage debt and company-level credit facilities [45][48] - The company is expected to benefit from potential interest rate cuts, which could lower its cost of variable rate debt [50][54]

The Buy Thesis - Gladstone Commercial (GOOD) is undervalued at a 9X multiple, which suggests low-quality earnings or high risk, despite its durable cash flows [1] - The market is overlooking two key aspects of GOOD's performance, particularly its transition from a predominantly office portfolio to 70% industrial [1] Valuation - A fair value estimate for GOOD is $15.25 per share, representing a 14X multiple on forward AFFO, indicating significant upside potential [2][68] - GOOD's portfolio and balance sheet are in healthy condition, positioning the company for future AFFO/share growth [44] Portfolio Transition - GOOD has transitioned from 52% office assets in 2015 to only 28% office currently, focusing on industrial properties [18][55] - The transition strategy involved a gradual approach, allowing GOOD to maintain tenant relationships and minimize AFFO/share losses [25][26] Performance Comparison - GOOD lost only 9% of its AFFO/share from 2015 to 2026, compared to LXP's 20% and SLG's 56% losses, showcasing its relative fundamental outperformance [23][43] - The company managed to renew or extend leases on a significant portion of its office assets, reducing the need for large-scale asset sales [26] Tenant Quality and Leasing Costs - More than half of GOOD's tenants are investment-grade or equivalent, which is higher than most triple net REITs [38] - GOOD's leasing costs are favorable, with an expense ratio of 7.14% compared to typical office leasing costs of up to 20% [61] Market Sentiment - The market has been punishing GOOD for historical AFFO/share weakness due to the pandemic, despite its strong fundamentals and recovery potential [39][42] - The current trading behavior of REITs reflects a backward-looking judgment, which has led to GOOD being undervalued relative to its forward prospects [42] Debt and Interest Rate Environment - GOOD has modestly reduced its leverage and has a mix of property-level mortgage debt and company-level credit facilities [45][48] - The company is positioned to benefit from potential interest rate cuts in 2026, which could lower its cost of variable rate debt [50][54]

OAKVILLE, Ontario, Dec. 19, 2025 (GLOBE NEWSWIRE) -- Nexus Industrial REIT (“Nexus” or the "REIT") (TSX: NXR.UN) is pleased to announce the release of its Sustainability Plan. The Sustainability Plan outlines Nexus’ integration between sustainability and strategic objectives. “Through a structured program, proactive engagement, and portfolio-level oversight, we are working in partnership with our tenants and other stakeholders to achieve measurable sustainability goals” said Kelly Hanczyk, CEO of Nexus Indu ...

These investments combine high yields and low volatility.Volatile market swings can rattle investors who focus on growth stocks, but there's a type of stock whose prices don't tend to swing as widely as shares do in the broader market: real estate investment trusts (REITs).REITs give investors exposure to various types of real estate holdings. Some exclusively invest in data centers, while others focus on multifamily housing or triple-net retail properties. And most offer relatively high yields.Not all REIT ...

Company Overview - STAG Industrial, Inc. (NYSE:STAG) is a real estate investment trust (REIT) that focuses on purchasing, developing, and managing industrial properties across the United States [3]. Financial Performance - For Q3 2025, STAG reported a net income attributable to shareholders of $48.6 million, an increase from $41.8 million in the same quarter of the previous year [2]. - The company purchased two buildings in the September quarter, covering an area of 1 million square feet, with a total value of $101.5 million [2]. - STAG's total portfolio had an occupancy rate of 95.8% [2]. - The retention rate for leases expiring in the third quarter, covering 2.5 million square feet, was 63.4% [2]. Stock Performance and Analyst Ratings - As of December 1, the average price target for STAG suggests an upside of nearly 1%, while the highest target indicates a potential upside of 17% [1]. - Analyst Nick Joseph from Citi affirmed a Neutral rating on STAG and raised the price target from $35 to $40 [1]. Dividend Information - STAG will distribute a monthly dividend of $0.124167 per share on December 15 to shareholders on record as of November 28 [2].

CapitaLand Ascendas REIT (CLAR) - CLAR is executing a S$381.5 million divestment program to enhance its portfolio by selling older properties and reinvesting in newer, higher-yielding assets [2][4] - The sale of 30 Tampines Industrial Avenue 3 was completed for S$23.0 million, achieving a 5% premium to valuation, with additional properties expected to fetch S$306.0 million at a 6% premium [3][4] - The divestment program is expected to yield an average 7% premium to valuation and 17% above acquisition cost, with proceeds reinvested into five new properties worth S$1.3 billion, offering yields of 6-7% [4][6] - CLAR's portfolio occupancy remains stable at 91.3%, with rental reversions of 7.6% in Q3 2025 indicating sustained demand [7] Keppel Ltd - Keppel Ltd has unlocked S$14 billion in asset monetization since 2020, with S$2.4 billion in assets monetized during the first nine months of 2025 [8][9] - The company plans to divest M1's telco business for S$1.3 billion, expected to release close to S$1 billion in cash, while retaining M1's ICT services arm [9] - Keppel's Real Estate division has monetized around S$830 million worth of assets in 2025, with expectations for additional deals exceeding S$500 million [10] - Since 2022, Keppel has returned S$6.6 billion to shareholders, achieving an annualized total shareholder return of 38% [11][12] Mapletree Logistics Trust (MLT) - MLT is pursuing a portfolio rejuvenation strategy, identifying S$1.0 billion worth of older assets for divestment, with a target of S$100 million to S$150 million in divestments for the current financial year [13][14] - The DPU for Q2 FY26 fell 10.5% year on year to S$0.01815, primarily due to the absence of one-off divestment gains [15] - MLT's strategy involves selling assets with limited redevelopment potential and reinvesting in modern logistics facilities to improve long-term demand and rental growth [17] Overall Market Insights - Singapore's blue-chip stocks, including CLAR, Keppel, and MLT, are adapting through capital recycling and portfolio reshaping to prepare for long-term growth [18]

Core Viewpoint - Industrial real estate investment trusts (REITs) are favored by investors due to their resilient performance and exposure to growth trends like e-commerce and AI, with Mapletree Industrial Trust (MIT) and Mapletree Logistics Trust (MLT) being key players in this sector [1]. Mapletree Industrial Trust (MIT) - MIT has a portfolio valued at S$8.5 billion, focusing on industrial properties and data centers in Singapore and North America as of September 30, 2025 [2]. - For 2Q FY25/26, MIT's distribution per unit (DPU) decreased by 5.6% year-on-year to S$0.0318, attributed to exchange rate headwinds, reduced rental income, and property divestments [3]. - The overall occupancy rate for MIT is stable at 91.3%, with a positive rental reversion of 6.2% for its Singapore portfolio, which constitutes 45.2% of its total portfolio [4]. - MIT reported a lower leverage of 37.3% in 2Q FY25/26 compared to 40.1% in 1Q, with a cost of debt of 3.0% and 92.9% of its debt hedged or fixed [5]. Mapletree Logistics Trust (MLT) - MLT's portfolio is valued at S$13.0 billion, focusing on logistics assets across nine Asia-Pacific markets [6]. - In 2Q FY25/26, MLT's DPU fell by 10.5% year-on-year to S$0.01815 due to forex impacts and the absence of divestment gains [6]. - MLT's occupancy rate improved to 96.1%, up from 95.7% in the previous quarter, indicating strong demand for its assets, with a positive rental reversion of 0.6% [6]. - MLT has an aggregate leverage ratio of 41.1% and a cost of debt of 2.6%, with 84% of its borrowings hedged or fixed [7]. Comparative Analysis - MIT has a trailing twelve-month (TTM) yield of approximately 6.0%, while MLT has a TTM yield of about 5.6% [10]. - Both REITs are expected to maintain distribution growth due to their exposure to data centers and e-commerce, although they face risks from foreign exchange fluctuations [10]. - MIT is positioned for growth in AI and digitalization through its data centers, while MLT benefits from regional e-commerce growth through its logistics properties [12].

Core Insights - LXP Industrial Trust is a real estate investment trust (REIT) focusing on industrial properties in the U.S., particularly logistics and distribution facilities, which are vital in the supply chain sector [1] - The company competes with other industrial REITs like Prologis and Duke Realty, making its performance metrics and growth potential significant [1] Performance Summary - LXP has shown a modest gain of 1.54% over the past 30 days, indicating positive momentum for investors seeking stable growth [2][6] - Despite a 1.70% decline over the last 10 days, this dip may present a buying opportunity, as the overall positive trend suggests resilience and potential for recovery [2][6] Growth Potential - The stock has an estimated growth potential of 12.74%, indicating that LXP is currently undervalued and has room for appreciation [3][6] - This growth potential aligns with LXP's strategic positioning in the industrial real estate market, making it attractive for investors seeking growth opportunities [3] Financial Health - LXP's financial health is robust, evidenced by a Piotroski Score of 8, reflecting strong fundamentals in profitability, leverage, liquidity, and operating efficiency [4][6] - A high Piotroski Score is a positive indicator for investors, suggesting that LXP is financially sound and well-managed [4] Target Price - The target price for LXP is set at $10.75, which is realistic and achievable based on the stock's recent performance and financial health [5] - This target price may be viewed as a compelling opportunity for investors looking for stocks with solid growth prospects and strong fundamentals [5]

Portfolio Composition - As of September 30, 2025, the total portfolio comprised 417 properties, including 414 in service, 3 completed developments not in service, and 6 properties under construction[32] - The in-service portfolio's gross leasable area (GLA) totaled 68,526,496 square feet with an occupancy rate of 940%[32] - The company's same-store pool consisted of 395 properties, representing 63,390,096 square feet, which is 93% of the in-service square footage[34] Financial Performance - For the three months ended September 30, 2025, lease revenue was $179424 thousand, compared to $165909 thousand for the same period in 2024[15] - Net income available to common stockholders for the three months ended September 30, 2025, was $65306 thousand, compared to $99363 thousand for the same period in 2024[15] - Funds From Operations (FFO) for the three months ended September 30, 2025, was $103514 thousand, compared to $92479 thousand for the same period in 2024[16] - Same Store Revenues increased by 82% for the three months ended September 30, 2025, reaching $165101 thousand[34] Debt Analysis - As of September 30, 2025, total debt outstanding was $2412834 thousand, with a weighted average maturity of 38 years[21,22] - The weighted average interest rate on total debt was 411% for the three months ended September 30, 2025[22] Acquisitions and Dispositions - Total property acquisitions in 2025 amounted to $1463 million, including the purchase of Camelback 303 Buildings A & B in Phoenix for $1200 million[48] - Property sales in 2025 totaled $269 million, including the sale of 28435 Automation Blvd & 47711 Clipper Street in Detroit for $119 million[62]