On Apr, 23 2026, Parkway Life Real Estate Investment Trust (C2PU) released written responses to substantial questions from unitholders and the Securities Investors Association (Singapore) ahead of its annual general meeting scheduled for Apr, 30 2026.

For the 12 months ended Dec, 31 2025, the healthcare-focused REIT reported gross revenue of 156.3 million Singapore dollars, up 7.6% year on year, while net property income rose 8.0% to 147.5 million Singapore dollars. Distribution per unit increased 2.5% to 15.29 Singapore cents, extending the trust’s record to 18 consecutive years of DPU growth. The effective all-in cost of debt remained low at 1.59%, with more than 90% of interest exposure hedged.

Management reiterated its plan to rebalance the portfolio by divesting 10%–15% of its Japan assets and redeploying capital into higher-growth markets. Singapore is the top priority, with potential acquisitions in ambulatory care, rehabilitation and day-surgery centres under evaluation. Europe, where the trust added 11 nursing homes in France in Dec, 20 2024, is the third focus market. The French assets, comprising 850 beds, have performed in line with expectations and are expected to deliver about 1.7 million Singapore dollars of annual tax savings following approvals obtained in 2025.

In Singapore, minimum guaranteed rent from the REIT’s hospital portfolio will increase to 99.1 million Singapore dollars in FY2026, 19.3 million Singapore dollars (24.3%) above FY2025 levels. Management expects a “meaningful” contribution to distributable income after factoring in funding costs, taxes and other variables.

In Japan, the REIT plans to incorporate fixed or consumer price index-linked rental escalation clauses as the market transitions to an inflationary environment, while continuing asset recycling and rejuvenation initiatives.

At the treasury level, Parkway Life REIT has income hedges on Japanese yen and euro cash flows until 1Q 2029 and 1Q 2030, respectively. The French acquisition was funded with Singapore-dollar equity proceeds swapped into euros via a cross-currency swap.

The manager also highlighted the recent launch of a Sustainable Financing Framework, under which it secured a 10-year social loan and a 5-year green bond. The framework is expected to diversify funding sources and potentially lower future borrowing costs as demand for environmental, social and governance-linked financing grows.