Singapore S‑REIT Pulse #01 — SORA Outlook & REIT Impact
Good day, kopi kakis! ☕️
While enjoying my daily brew (thanks to recent dividends received Frasers Centrepoint Trust $738 NetLink NBN Trust $777.2 Mapletree Industrial Trust $396.05), I took a quick pulse check on the Singapore S-REIT Sector and the 3‑month SORA futures, my go‑to gauge for where funding costs might head in the weeks ahead.
Since I began investing back in 2008 (with more “buy‑high‑sell‑low” scars than I care to count), I have learnt that patience plus dividends beats adrenaline trades every time (at least for me). Walking thorough my suburban‑mall favorites like Frasers Centrepoint Trust (FCT) and CapitaLand Integrated Commercial Trust (CICT ) and seeing the crowds reminds me that those steady rents will soon pay for more kopi!
Let us see what this week’s numbers are telling us.
(SORA) Futures
We can see 3‑month SORA futures slid to around 2.17 % while the iEdge S‑REIT index inched up back towards the resistance region of 995. This narrows funding costs and widens yield spreads, historically a tail‑wind for REIT total returns.
In simple terms, this means REITs may have an easier time borrowing money while still paying out attractive dividends to investors. When borrowing gets cheaper and payouts stay strong, it is often a good environment for REIT prices to go up.
A key point to look out for is either the iEdge S‑REIT index successfully breaks above the resistance region and if the 3‑month SORA futures will continue to slide. If both happen, we may see stronger momentum for REITs in the short term.
Dividends-for-Kopi Portfolio Spotlight – CICT
CapitaLand Integrated Commercial Trust (CICT – C38U)
Singapore’s largest retail-office REIT, CICT owns over 20 malls and commercial buildings, including Plaza Singapura, Raffles City, and Asia Square Tower 2.
In 1Q 2025, like-for-like revenue grew +1.1% YoY to S$395 million, with NPI up +1.4%, even after the 21 Collyer Quay divestment. Office rental reversions remained healthy at +5.4%.
About 78% of debt is fixed-rate hence a 25 bp drop in SORA trims annual interest by roughly S$6 million. At S$2.13 per unit, CICT yields approximately 5.5%, while S&P assigned an ‘A–’ issue rating to its recent S$150 million, 7-year 3.088% notes.
Watch-list item: Post-acquisition footfall and tenant-sales lift from the new 50% stake in ION Orchard — data due with 2Q updates in late July.
My Kopi Stats (as of 16 Jun 2025):
Invested: S$33,296.74
Current Value: S$36,861.78
Unrealized Gain: S$3,565.04 (+10.71%)
Dividends Collected: S$3,653.30 (10.97% yield on cost)
Total ROI: S$7,218.34 (+21.68%)
CICT remains a steady cup in my kopi portfolio, no fireworks but enough to refill the pot year after year. You can see my entire portfolio here.
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