Suntec REIT’s first-quarter 2022 results showed some good signs of recovery, in line with our expectations. Notably, Suntec City Mall clocked in higher occupancy rates and reversed seven consecutive quarters of negative rental reversions to register a flat 0% rental reversion, while its Singapore office portfolio registered its 15th consecutive positive rental reversion of 5.3%. In addition, no rental rebate was provided to any tenants for the quarter and management does not expect to provide rebates for the rest of the year. Following the substantial easing of COVID-19 restrictions by the end of April 2022, we think that the returning workforce and higher group sizes will boost shopper traffic and tenant sales for the rest of the year. As we think that the worst is over for the mall, we have removed our one-off rental rebate assumption and estimate a low positive rental reversion (from negative rental reversion previously) for the rest of the year. Management also decided to reward its unitholders for riding out the COVID-19 pandemic together with the resumption of its capital distribution, now that it sees less uncertainty from the pandemic going forward. This higher distribution is offset by a shift toward receiving 50% of its management fees in cash as opposed to 74% historically based on our calculation. After updating our model to reflect these changes, our estimated fiscal 2022 distribution per unit, or DPU, is raised by 12.3% to SGD 0.0979, implying a forward dividend yield of 5.3% at current prices.