Mapletree Pan Asia Commercial Trust’s Q3 Fiscal 2023 in Line; China Reopening to Drive Growth

Mapletree Pan Asia Commercial Trust’s, or MPACT’s, merger with Mapletree North Asia Commercial Trust continues to drive its near-term performance, pushing third-quarter fiscal 2023 (ending March) property income 76.8% higher year on year to SGD 179 million, in line with our expectations. With China and Hong Kong joining the rest of the world to substantially ease travel restrictions, we expect the trust’s retail assets in Hong Kong and office properties in China to benefit from the recovering travel and business outlook and to register improving leasing and rental performances. Having said that, we think the positive outlook has been largely priced in and the trust is fairly valued at current prices.