Prime US REIT (OXMU) announced that it will increase its distributable income payout ratio to a minimum of 50% starting in the second half of 2025, up from the 10% level maintained since Jul, 01 2023.
The change follows stronger leasing activity and clearer visibility on future cash flows. Committed occupancy rose to 80.7% as at Sep, 30 2025 after 92,000 sq ft of space was leased in the third quarter, bringing year-to-date signings to 492,000 sq ft with an average rental reversion of 6.4%. The portfolio’s weighted average lease expiry lengthened to 4.9 years.
Recent large leases include an 11-year deal for at least 120,000 sq ft with X-Energy at Waterfront at Washingtonian, and a 20-year, 61,000 sq ft lease with the U.S. Attorney’s Office at 222 Main in Salt Lake City.
To support capital expenditure and tenant incentives, the trust raised about 34 million Singapore dollars through a private placement completed on Oct, 06 2025. Approximately 32 million Singapore dollars of the gross proceeds have been temporarily applied to debt repayment and related expenses pending deployment to activate more than 450,000 sq ft of recently signed leases.
The manager expects property cash income to rise further as most newly signed leases commence through 2026.
