Sabana REIT’s distributable income slipped 25% to $9.8m in Q1

Blame it on lower rents.

Sabana REIT's distributable income contracted by 25% year-on-year to $9.8 million in the first quarter, on back of negative rental revisions and the non-renewal of a master lease at 218 Pandan Loop.

The REIT's net property income declined by 18.4% to $15.1 million, while DPU slipped 25.3% to 1.33 Singapore cents.

The group was also negatively impacted by higher property expenses arising from higher service, repairs, maintenance, property tax, land rent, utilities and marketing expenses from three properties due to the conversion into multi-tenanted properties.

In addition, there were higher property tax and land rent expenses for another three properties from the conversion into non-triple net master lease tenancies