CDLHT reports 1% YoY rise in net property income for Q1, 2021
This is despite sharp declines in revenue per available room at many of its hotels.
CDL Hospitality Trusts (CDLHT) reported a 1% rise in net property income (NPI) in Q1 2021 to $19.8m. This was up from $19.6m a year ago and comes despite ‘sharp declines’ revenue per available room (RevPAR) for those hotels which are either closed on a temporary basis or are operating at very low occupancies.
The group said that the substantive contributions to portfolio revenue from its Singapore, New Zealand and Maldives hotels, amounting to $27.6m which includes the $9.3m fixed rent, partially insulated it from the severe impact of the pandemic.
RevPAR for the Singapore hotels (including W Hotel) fell by 34.3% YoY, largely due to lower average room rates. The group’s hotels in the UK and Germany saw the most decrease in RevPAR with a recorded 87.6% and 86.6% drop, respectively.
Market demand for its Singapore hotels are largely from government contracts for isolation purposes.
“Four of CDLHT’s six Singapore Hotels continue to operate as facilities used for isolation purposes and the demand for such facilities should continue to support the occupancy into 2Q 2021. For the other two hotels, staycation, project groups, essential foreign worker demand and travel arrangements will be the key to supporting occupancies,” the group said.