On March 17, Shunfeng real estate trust (02191. HK), China’s first listed company of logistics real estate trust, announced its final performance from April 29, 2021 (date of establishment) to December 31, 2021, with revenue of about HK $244.3 million, net property income of about HK $195 million and total distributable income of about HK $138 million. There were 800 million fund units, with distribution of HK $0.17 per unit and distribution ratio of 100%.
distribution ratio 100% annualized income 7.9%
It is reported that SF real estate trust is a Hong Kong collective investment plan in the form of unit trust fund, which is 100% owned by S.F.Holding Co.Ltd(002352) and chaired by Wang Wei, chairman of S.F.Holding Co.Ltd(002352) , which was officially listed on the Hong Kong Stock Exchange on May 17, 2021.
As of December 31, 2021, the total assets were about HK $7 billion, including investment properties of about HK $6.54 billion, cash and cash equivalents of HK $390 million and other assets of HK $70.3 million. The valuation of investment properties increased by 1.5% compared with the valuation on June 30, 2021. The annualized distribution income calculated at the closing price of HK $3.48 per share on December 31, 2021 is 7.9%.
“SF real estate trust adopts a 100% dividend ratio for the first distribution after listing, which is relatively attractive, which is higher than the 90% dividend ratio in the industry guidelines. Under the epidemic, the increase of online shopping will increase the demand for the logistics industry, which is expected to help the business development of the company.” CEN Zhiyong, strategist of bailihao securities, told the reporter of Securities Daily.
CEN Zhiyong introduced that real estate investment trusts (REITs) are a collective investment plan composed of trusts and mainly invested in real estate projects (accounting for at least 75% of the total assets of the fund), which aims to provide investors with returns from regular rental income from real estate projects, such as shopping centers, office buildings, hotels, logistics parks and so on.
“Thanks to the rapid development of e-commerce, logistics real estate has become one of the property properties with the fastest development and the highest income quality in recent years. It has the characteristics of large scale and high rental yield. SF real estate trust has found a relatively clear positioning based on this situation.” Huang Weihong, general manager of derivatives of the capital Department of Daxin Bank (China) head office, told reporters.
“The group benefits from the continued strong demand for modern logistics facilities in Hong Kong and China. Even under the epidemic, SF REIT still shows high resilience. SF REIT adopts an active asset management strategy and works closely with tenants to enable SF REIT to achieve stable rental rate and income.” SF real estate trust stakeholders told reporters.
including logistics property portfolio in mainland China and Hong Kong
According to the company’s 2021 annual report, SF REIT’s portfolio includes three modern logistics properties, which are located in Qingyi, Hong Kong and strategic areas in Foshan and Wuhu, Guangdong. The three properties are modern logistics properties, with a total rentable area of about 307000 square meters on December 31, 2021, and equipped with automatic sorting and supply chain system as the distribution center of supporting facilities. In essence, the facilities were originally developed to support S.F.Holding Co.Ltd(002352) logistics operation.
According to relevant sources of SF real estate trust, the average rental rate of SF real estate trust portfolio is 95.8%, and the tenants of S.F.Holding Co.Ltd(002352) group account for 80% of the rentable area, which has contributed 76.6% to the total income in the reporting period.
\u3000\u3000 Due to the increasing interest rate and geopolitical uncertainty in the mainland, Shunfeng group will continue to take the initiative to purchase more real estate projects, which will be full of caution The group acquires modern logistics properties that can increase revenue and looks for development opportunities. ” The relevant person of SF Real Estate Trust said.
\u3000\u3000 “Compared with the United States, Australia, Singapore and other countries with relatively mature REITs, China’s REITs is still in its infancy. However, in the long run, with the further development of China’s economy, investment and improvement of infrastructure, relatively low risk and relatively stable return, REITs will also provide better investment channels for individual and institutional investors. I believe the future can be expected. On March 18, the CSRC also publicly said to further promote the foundation To further promote the virtuous cycle of public investment and financing of res and its infrastructure. ” Huang Weihong thinks.
