Brief Introduction:
Originally listed as CapitaLand Mall Trust in July 2002, it was the first REIT to be listed on the Singapore Exchange.
At the time of its listing, its portfolio comprised 3 retail properties – Tampines Mall, Junction 8, and Funan The IT Mall. In November 2020, it merged with CapitaLand Commercial Trust, which owned office properties in Singapore and Germany, and was subsequently renamed CapitaLand Integrated Commercial Trust (SGX: C38U), or CICT.
Today, CICT has evolved into a diversified integrated commercial REIT with a portfolio spanning retail malls, office buildings, and integrated developments. As at 31 December 2025, the REIT owned 26 properties across Singapore, Frankfurt, Germany, and Sydney, Australia, comprising 21 properties in Singapore, 2 in Frankfurt, and 3 in Sydney. Based on its proportionate ownership interests, and adjusted for the divestment of Bukit Panjang Plaza completed on 27 February 2026 and the acquisition of Paragon completed on 1 July 2026 at its agreed property value, CICT’s portfolio is valued at approximately S$30.9 billion.
Financial Figures (1H FY2025 vs. 1H FY2026):
| 1H FY2025 | 1H FY2026 | % Variance | |
| Gross Revenue (S$’mil) | $787.6m | $846.8m | +7.5% |
| Property Operating Expenses (S$’mil) | $207.8m | $216.3m | +4.1% |
| Net Property Income (S$’mil) | $579.9m | $630.5m | +8.7% |
| Distributable Income to Unitholders (S$’mil) | $411.9m | $466.7m | +13.3% |
Overall, CICT delivered a stable set of financial results for 1H FY2026, with gross revenue and net property income increasing by high-single-digit percentages, while distributable income to unitholders recorded a double-digit year-on-year growth.
The 7.5% and 8.7% year-on-year growth in gross revenue and net property income respectively was mainly driven by contributions from CapitaSpring following the step-up acquisition completed in August 2025, as well as the commencement of leases at Gallileo. This was partially offset by the absence of contributions from Bukit Panjang Plaza following its divestment in February 2026.
Property operating expenses rose 4.1% year on year, largely due to higher expenses from CapitaSpring and Gallileo, although this was partly mitigated by lower operating expenses following the divestment of Bukit Panjang Plaza.
Meanwhile, CICT’s distributable income to unitholders increased 13.3% year on year, supported by contributions from CapitaSpring and Gallileo, alongside lower interest expenses, but partially offset by the impact of the Bukit Panjang Plaza divestment.
Financial Figures (2Q FY2025 vs. 2Q FY2026):
| 2Q FY2025 | 2Q FY2026 | % Variance | |
| Gross Revenue (S$’mil) | $392.3m | $420.1m | +7.1% |
| Property Operating Expenses (S$’mil) | $104.0m | $104.0m | – |
| Net Property Income (S$’mil) | $288.4m | $316.1m | +9.6% |
CICT’s financial performance in 2Q FY2026 remained largely consistent with its year-on-year growth achieved in the first quarter, with both gross revenue and net property income increasing by 7.9% year on year.
The growth in 2Q FY2026 was primarily driven by the step-up acquisition of a 100% interest in CapitaSpring and strong contributions from Gallileo, although this was partially offset by the divestment of Bukit Panjang Plaza.
Portfolio Occupancy Profile (1Q FY2026 vs. 2Q FY2026):
| 1Q FY2026 | 2Q FY2026 | |
| Occupancy (Retail) (%) | 97.8% | 97.7% |
| WALE (Retail) (years) | 1.9 years | 2.0 years |
| Rental Reversion (Retail) (%) | +4.4% | +4.0% |
| Occupancy (Office) (%) | 93.7% | 94.4% |
| WALE (Office) (years) | 3.1 years | 3.0 years |
| Rental Reversion (Office) (%) | +6.1% | +6.5% |
| Occupancy (Integrated Development) (%) | 96.0% | 95.5% |
| WALE (Integrated Development) (years) | 4.3 years | 4.4 years |
Slight declines were recorded in the occupancy rates of CICT’s retail properties, which eased by 0.1 percentage point (pp) from 97.8% in 1Q FY2026 to 97.7% in 2Q FY2026. Occupancy for its integrated development properties also declined by 0.5pp, from 96.0% to 95.5% over the same period. Despite the marginal dips, occupancy levels remain healthy, with all asset classes maintaining rates comfortably above 90%.
The REIT continued to achieve positive rental reversions during the quarter, with retail properties recording a +4.0% increase and office properties achieving a +6.5% uplift. These positive rental adjustments are expected to provide further support for CICT’s financial performance in the coming quarters.
CICT’s lease expiry profile remains well-staggered, reducing near-term renewal risks. In 2H FY2026, approximately 5.3% of retail leases and 3.5% of office leases are due for renewal. Over the following 3 years (FY2027 to FY2029), an average of 14% of retail space and 9% of office space will come up for renewal annually, while only a smaller portion of its portfolio, comprising 6.5% of retail space, 11.1% of office space, and 4.5% of hospitality space, is due for renewal from FY2029 onwards.
Debt Profile (1Q FY2026 vs. 2Q FY2026):
| 1Q FY2026 | 2Q FY2026 | |
| Aggregate Leverage (%) | 38.5% | 37.4% |
| Interest Coverage Ratio (times) | 3.8x | 3.9x |
| Average Cost of Debt (%) | 2.9% | 2.9% |
| Average Term to Debt Maturity (years) | 4.0 years | 4.1 years |
| % of Borrowings Hedged at Fixed Rates (%) | 76.0% | 78.0% |
CICT continues to maintain a strong and healthy balance sheet, with its aggregate leverage ratio improving by 1.1pp from the previous quarter to 37.4%. This was mainly due to the temporary repayment of loans using proceeds from its private placement completed in April 2026.
Meanwhile, its average cost of debt remained relatively low at 2.9%, supported by a well-managed interest rate profile, with 78% of its borrowings hedged at fixed rates.
CICT’s debt maturity profile also remains well-staggered, helping to mitigate refinancing risks. Approximately 9% of its borrowings are due for refinancing between 2H FY2026 and FY2027, followed by an average of around 15% of borrowings maturing annually over the subsequent 5 years from FY2028 to FY2032. The remaining 13% of borrowings will only mature from FY2032 onwards.
Distribution Payout to Unitholders (1H FY2025 vs. 1H FY2026):
CICT distributes its income to unitholders on a half-yearly basis. Below is a comparison of the distribution declared for 1H FY2026 against the payout declared in the corresponding period last year:
| 1H FY2025 | 1H FY2026 | % Variance | |
| Distribution Per Unit (S$’cents) | 5.62 cents | 6.02 cents | +7.1% |
Out of the total distribution of 6.02 cents per unit, an advance distribution of 3.98 cents (for the period from 1 January to 28 April 2026) was paid to unitholders on 8 June 2026 ahead of the private placement undertaken to fund the acquisition of Paragon. Therefore, unitholders will receive the remaining 2.04 cents per unit, for the period between 29 April and 30 June 2026.
If you are a unitholder of CICT, do take note of the following dates on its distribution payout:
Ex-Date: 19 August 2026
Record Date: 20 August 2026
Payout Date: 25 September 2026
CEO Mr Tan Choon Siang’s Comments & Outlook (from the REIT’s Press Release):
“CICT delivered a robust set of results for the first half of 2026 despite a challenging macroeconomic environment. Healthy leasing demand across our retail and office portfolios translated into positive rental reversions and high portfolio occupancy, while the acquisition of CapitaSpring in August 2025 and proactive asset management enabled us to capture new opportunities and support sustainable income growth.
CICT’s growth trajectory remains firmly on track. Key income drivers, including lease commencement at Gallileo, the acquisition of Paragon, and the continued flow-through of positive rental reversions will continue to drive CICT’s growth. Together with lower financing costs, these provide greater income visibility and support a strong growth outlook. Backed by a strong balance sheet and a diversified portfolio of high-quality assets, we remain well-positioned to navigate market uncertainties and deliver sustainable returns and long-term value for our unitholders.”
Closing Thoughts:
In my personal view, CICT delivered a strong set of results, with its gross revenue and net property income registering steady mid-single-digit growth for both 2Q FY2026 and 1H FY2026. Distribution per unit (DPU) also increased at a similar pace, rising 7.1% year on year for the first half of the year.
The REIT’s balance sheet remains in a healthy position, with aggregate leverage at 37.4%, comfortably below the regulatory ceiling of 50%. In addition, 78% of its borrowings are hedged at fixed rates, providing greater stability and some protection against potential fluctuations in interest rates.
The only minor weakness was the slight decline in occupancy rates for its retail and integrated development properties, which fell by 0.1pp and 0.5pp respectively. However, this should not be a major concern as occupancy levels remain very strong, at 97.7% for retail properties and 95.5% for integrated developments.
Furthermore, CICT continued to achieve positive rental reversions for its retail and office properties, recording growth of +4.0% and +6.5% respectively for new and renewed leases. These healthy leasing trends should continue to support the REIT’s financial performance in the coming quarters.
Related Documents:
Press Release
Financial Statements
Presentation Slides
Results Posted by the Other CapitaLand REITs and Business Trusts:
CapitaLand Ascendas REIT (SGX: A17U): 1H FY2026 Results Review
CapitaLand India Trust (SGX: CY6U): 2Q & 1H FY2026 Results Review
Disclaimer: At the time of writing, I am a unitholder of CapitaLand Integrated Commercial Trust.
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