PETALING JAYA: A growing industrial and logistics segment, improved retail momentum, and refreshed offerings at The Mines are expected to support Capitaland Malaysia Trust
’s (CLMT) growth outlook.
“The real estate investment trust’s (REIT) recently released results for the third quarter ended Sept 30, 2026 (3Q26) largely fell in line with expectations,” TA Research said.
CLMT’s distribution per unit (DPU) for the first nine months of the financial year 2026 (9M26) rose by 12% year-on-year (y-o-y) to four sen, despite the enlarged unit base after the Aug 2025 private placement.
“This implies an annualised DPU of 5.35 sen and an attractive yield of circa 9.5% based on the last closing price of 56 sen.”
CLMT reported a RM136.8mil realised net profit for 9M26, up 27.6% y-o-y.
Its 9M26 net property income (NPI) also saw a 14.1% y-o-y increase to RM237.2mil, underpinned by positive rental reversions and rental step-ups, coupled with higher contributions from its industrial and logistics assets acquired in 2025.
Notably, the industrial and logistics segment’s contribution to total portfolio NPI expanded to 9.4% in 9M26 compared to 5.1% in financial year 2025 (FY25).
It noted that retail spending is expected to remain supported by year-end festive demand as well as tourism activity from Visit Malaysia Year 2026.
In 3Q26, shopper traffic and tenant sales per sq ft had increased y-o-y by 8.2% and 4.5%, respectively, and by 7% and 0.6% in 9M26.
“The REIT’s portfolio fundamentals remained resilient, with retail occupancy at 93.1% and overall portfolio occupancy at 94.3% as at end-Sept 2026,” TA Research said.
Retail rental reversion stayed healthy at 11.3%. CLMT’s management expects The Mines’ new offerings – including Jaya Grocer and MR DIY which have commenced operations, and the 27,000 sq ft Nation Bowl scheduled to open in December – to gradually enhance footfall, occupancy and rents.
Occupancy at The Mines had notably slipped to 79.5% from 83.6% a quarter ago amid tenant remixing and new tenant openings.
Elsewhere, construction of the five forward-purchase i-TechValley facilities reportedly remains on track, with the first two units at 87% to 91% completion and the first unit expected for handover in March 2027.
The remaining three units are scheduled to complete from the second half of FY27, according to TA Research.
In addition, CLMT is actively evaluating acquisition opportunities, with industrial and logistics as a key area of interest.
The research house has maintained a “buy” call on the stock with an unchanged target price of 81 sen.
