The net asset value in USD increased by 6.98% in April. Attached is B&I Capital’s Asian Market Outlook. While the article was written earlier this week, and as things continue to evolve (e.g., tariffs), our commentary remains as attached, and we will continue to update monthly. The outlook is summarized as follows:

Overall: We still believe that the interest rate tailwind of slower global growth will support REITs in Asia especially Australia, Singapore and even Hong Kong (see fall in HIBOR). CPI in our region outside of Japan has been trending very much in the right direction.

• – Japan (+7% in USD in April): The major developers will publish their annual results in May. After that it will be quiet until October and we see only limited upside potential. We have therefore added to REITs and bought Japan Real Estate Investment Corp.
• – Australia (+9%): We continue to favor names like Stockland and Mirvac as we anticipate residential volumes to recover as the RBA cuts throughout the year. We are positive on self-storage due to continued population growth, and potential for more consolidation of unlisted, smaller players.
• – Hong Kong (+2.3%): Money market rates continue to fall, the 1M HIBOR is below 2% now. For the short-term refinanced companies in Hong Kong a strong tailwind.
• – Singapore (1.7%): We see continued drops in funding costs which will help earnings and fuel acquisition growth for some names that have strong costs of capital. With 1Q updates behind us, we see limited negative catalysts for the sector.