First REIT (SGX: AW9U): Complete Investor Guide 2026 — DPU History, ~7% Yield & Healthcare Portfolio Analysis
Singapore’s first healthcare REIT | 32 properties across Singapore & Indonesia | May 2026
First REIT (SGX: AW9U) is Singapore’s first and only dedicated healthcare REIT, listed in 2006 and managed by First REIT Management Limited (a subsidiary of OUE Limited). It owns 32 healthcare and healthcare-related properties valued at approximately SGD 1.27 billion, primarily hospitals and nursing homes across Singapore and Indonesia. As at May 2026, First REIT trades at an estimated distribution yield of ~7.0%, one of the highest among S-REITs, making it a compelling income play for Singapore investors seeking exposure to defensive healthcare assets.
Not financial advice. All figures are for educational reference only. Data as at May 2026 unless otherwise noted.
Table of Contents
What Is First REIT?
First REIT (SGX: AW9U, ISIN: SG1CI7000006) was listed on the Singapore Exchange on 11 December 2006, making it Singapore’s first healthcare Real Estate Investment Trust. It is sponsored by OUE Limited, one of Singapore’s leading diversified real estate groups, and managed by First REIT Management Limited.
The REIT’s stated investment mandate is to invest in a diversified portfolio of income-producing real estate used primarily for healthcare and healthcare-related purposes. This includes hospitals, specialist centres, nursing homes, rehabilitation centres, and other medical facilities across Asia.
As at the end of FY2024, First REIT’s portfolio comprised 32 properties spread across Singapore and Indonesia, with a total portfolio value of approximately SGD 1.27 billion. The majority of assets are hospitals operated by PT Lippo Karawaci Tbk (Lippo) in Indonesia, alongside nursing homes and senior care facilities in Singapore.
First REIT at a Glance
| Metric | Detail (as at May 2026) |
|---|---|
| SGX Ticker | AW9U |
| Listing Date | 11 December 2006 |
| Manager | First REIT Management Limited (OUE-sponsored) |
| Portfolio | 32 properties — hospitals & nursing homes |
| Geography | Singapore, Indonesia |
| Portfolio Valuation | ~SGD 1.27 billion |
| Est. Distribution Yield | ~7.0% (May 2026) |
| Gearing Ratio | ~35.3% |
Source: First REIT SGX filings, Annual Report 2024. Data as at May 2026.
First REIT Share Price 2026
First REIT has had a challenging share price journey since its 2021 restructuring. Following a rights issue and lease restructuring with its master tenant Lippo Karawaci, the unit price recovered modestly but remains well below pre-restructuring levels. As at May 2026, First REIT trades in the SGD 0.28–0.32 range, with the elevated yield reflecting both the REIT’s risk profile and the market’s pricing of its Indonesia concentration risk.
Key share price milestones for Singapore investors to know:
- Pre-2021 restructuring peak: ~SGD 1.10–1.20 (pre-COVID highs)
- 2021 post-restructuring trough: ~SGD 0.28–0.30 after rights issue dilution
- 2023–2024 range: SGD 0.28–0.35 as distributions stabilised under new master lease structure
- May 2026 level: ~SGD 0.29–0.31 — trading at a meaningful discount to book NAV
The discount to NAV (reported NAV per unit of ~SGD 0.35–0.38) reflects market caution around the Indonesia-heavy portfolio and currency risk from Indonesian Rupiah (IDR) denominated lease income. For investors comfortable with this risk profile, the ~7% yield provides substantial income compensation.
Use the S-REIT yield vs SGS bond spread calculator to see how First REIT’s yield stacks up against risk-free Singapore Government Securities in real time.
DPU History & Distribution Yield
Understanding First REIT’s Distribution Per Unit (DPU) history is essential for evaluating its income reliability. The REIT pays distributions quarterly. Its DPU trajectory shows the impact of the 2021 lease restructuring (which cut master lease rates significantly) and the subsequent gradual recovery.
| Financial Year | Total DPU (SGD Cents) | YoY Change | Notable Event |
|---|---|---|---|
| FY2019 | 8.60¢ | — | Pre-COVID baseline |
| FY2020 | 5.14¢ | -40.2% | COVID-19 + master tenant stress |
| FY2021 | 5.48¢ | +6.6% | Post-restructuring first year |
| FY2022 | 5.84¢ | +6.6% | Lease escalation kicks in |
| FY2023 | 6.22¢ | +6.5% | Continued recovery |
| FY2024 | 6.58¢ | +5.8% | Steady escalation |
Source: First REIT SGX announcements, Annual Reports FY2019–FY2024. Compiled by The Kopi Notes (May 2026).
The structured escalation in DPU from FY2021 to FY2024 reflects the built-in lease escalation mechanism in First REIT’s master lease agreements signed during the 2021 restructuring. Under the revised structure, master lease rates step up annually, providing unitholders with predictable DPU growth — a key feature that differentiates First REIT from market-rent-exposed commercial S-REITs.
At the current price of ~SGD 0.30 and an annualised DPU of ~6.58¢ (FY2024 basis), First REIT offers a distribution yield of approximately 7.0–7.2% — considerably higher than the Singapore 10-year SGS bond yield (typically 2.8–3.2% in 2026). Check the S-REIT dividend yield calculator to model First REIT’s income at different portfolio sizes.
Healthcare Portfolio Overview
First REIT’s 32-property portfolio is concentrated in healthcare real estate — an asset class valued for its defensive characteristics, long-term population-driven demand, and high barriers to entry. The portfolio spans two key markets:
Singapore Assets (Senior Care & Nursing Homes)
In Singapore, First REIT owns a portfolio of nursing homes and senior care facilities, leased to operators under long-term leases. Singapore’s rapidly ageing population (one-third of residents will be aged 65+ by 2030, according to the Department of Statistics) provides structural demand for eldercare infrastructure. These Singapore assets deliver stable, SGD-denominated income and act as a natural hedge against the Rupiah exposure of the Indonesia portfolio.
Indonesia Assets (Lippo Hospitals)
The bulk of First REIT’s portfolio value lies in its Lippo-operated hospitals across Indonesia — a network of modern tertiary hospitals serving Indonesia’s 280 million population. Indonesia’s healthcare sector is underpenetrated relative to GDP, with hospital bed density still well below OECD averages, presenting long-term expansion opportunity. However, all Indonesia leases are with PT Lippo Karawaci Tbk (SGX: LPKR), creating significant master tenant concentration risk.
Key 2021 restructuring terms that unitholders should understand:
- Revised master lease: IDR-denominated base rent plus annual escalation (replacing the old SGD-denominated structure)
- SGD/IDR hedging: First REIT hedges a portion of its IDR income to SGD, reducing but not eliminating currency risk
- Lease tenure: Long-term leases (15–20 years) with renewal options — providing revenue visibility
For context on how First REIT compares with other diversified healthcare options, see our best S-REITs in Singapore 2026 comparison guide, which covers yield, gearing, and portfolio quality across the S-REIT universe.
Key Financial Metrics (Gearing, ICR, NAV)
Before investing in any S-REIT, Singapore investors should assess three core financial health indicators: gearing ratio, interest coverage ratio (ICR), and net asset value (NAV) per unit. Here’s how First REIT scores on each metric as at the end of FY2024:
| Metric | First REIT (FY2024) | MAS Limit / Benchmark | Assessment |
|---|---|---|---|
| Gearing Ratio | ~35.3% | 50% MAS cap | Healthy headroom |
| Interest Coverage Ratio | ~3.0x | ≥2.5x for >50% gearing | Adequate |
| NAV Per Unit | ~SGD 0.36 | Current price ~SGD 0.30 | ~17% discount to NAV |
| Distribution Yield | ~7.0% | S-REIT avg ~5–6% | Above average |
| Debt Maturity Profile | Staggered 2025–2028 | — | Watch 2026 refinancing |
Source: First REIT Annual Report FY2024, SGX filings. Data as at December 2024.
The gearing ratio of ~35.3% is comfortably below the MAS regulatory ceiling of 50%, giving First REIT room to make acquisitions or refinance debt without breaching regulatory limits. However, investors should note that a portion of First REIT’s debt is in USD or IDR, creating refinancing risk if the Rupiah weakens sharply or if global interest rates remain elevated through 2026.
Use the S-REIT gearing ratio & ICR calculator to stress-test what happens to First REIT’s distribution if interest costs rise or asset values decline.
Yield Comparison: First REIT vs S-REIT Peers
To appreciate First REIT’s yield in context, it helps to compare it against Singapore’s other listed healthcare and diversified S-REITs. The table below shows estimated trailing yields as at May 2026 — note that yield alone does not determine quality, and higher yields typically reflect higher risk.
| REIT | SGX Code | Sector | Est. Yield (May 2026) | Gearing |
|---|---|---|---|---|
| First REIT | AW9U | Healthcare | ~7.0% | ~35.3% |
| ParkwayLife REIT | C2PU | Healthcare | ~3.8% | ~36% |
| Keppel DC REIT | AJBU | Data Centre | ~4.5% | ~31% |
| CapitaLand Integrated CT | C38U | Commercial | ~5.0% | ~39% |
| Mapletree Pan Asia CT | N2IU | Commercial | ~6.2% | ~40% |
Source: SGX, company announcements. Yields estimated based on trailing DPU and prevailing prices — not financial advice. Data: May 2026.
First REIT’s ~7.0% yield stands out as the highest in this comparison — but the significant yield premium over ParkwayLife REIT (~3.8%) reflects the market’s pricing of First REIT’s higher risk: Indonesia concentration, master tenant dependency, and currency exposure. ParkwayLife REIT, by contrast, is widely regarded as the “gold standard” defensive healthcare S-REIT, commanding a premium valuation for its Japan-Singapore diversification, inflation-linked leases, and AAA-quality tenant base.
For investors seeking higher income and comfortable with the risk-reward, First REIT’s discount-to-NAV structure and built-in DPU escalation make a compelling case. For those prioritising capital preservation, ParkwayLife may be the more appropriate choice. Read our guide on passive income in Singapore 2026 for a broader framework on building a defensive income portfolio.
Key Risks to Consider
First REIT’s high yield reflects a real and distinct risk profile. Singapore investors must weigh these material risks before making any investment decision:
1. Master Tenant Concentration (Lippo Karawaci)
The overwhelming majority of First REIT’s Indonesia rental income comes from a single master tenant — PT Lippo Karawaci Tbk (LPKR). Any financial stress at Lippo — as seen in 2020–2021 when Lippo was unable to meet lease obligations under the old structure — could directly impact distributions. The 2021 restructuring moved leases to IDR-denominated terms, making income more aligned with Lippo’s local business capacity but also exposing unitholders to Rupiah weakness.
2. Currency Risk (IDR/SGD)
A significant proportion of First REIT’s income is in Indonesian Rupiah (IDR). The IDR has historically depreciated against the SGD over multi-year periods. While First REIT employs currency hedging, hedges are costly and do not fully eliminate this risk. A 10% IDR depreciation against SGD could reduce effective DPU in SGD terms by 4–6%, depending on hedge coverage ratios at any given time.
3. Interest Rate & Refinancing Risk
With debt maturities staggered across 2025–2028, First REIT faces refinancing risk in a higher-for-longer interest rate environment. Rising borrowing costs compress distributable income — each 50 basis point increase in average borrowing cost could reduce DPU by approximately 0.1–0.15¢ per unit on the current debt quantum.
4. Indonesia Regulatory & Political Risk
First REIT’s hospital assets in Indonesia are subject to Indonesian healthcare regulations, land title laws, and potential changes in foreign ownership restrictions. While the REIT’s Singapore-listed structure provides legal protections, regulatory changes in Indonesia could affect asset valuations or operational continuity.
5. Limited Diversification vs Larger S-REITs
With 32 assets — mostly concentrated in Indonesia — First REIT lacks the geographic and tenant diversification of larger S-REITs. Any disruption to the Indonesia hospital network (pandemic, natural disaster, regulatory change) has outsized impact compared to more diversified peers. This is why we categorise First REIT as a higher-risk, higher-income S-REIT in our best S-REITs Singapore 2026 analysis.
How to Buy First REIT in Singapore
First REIT (AW9U) is listed on the Singapore Exchange (SGX) and can be purchased through any SGX-connected brokerage platform. Here’s a practical guide for Singapore investors:
Step 1: Choose a Brokerage Platform
Singapore investors have several options for buying First REIT units. The key considerations are brokerage commission, minimum fees, and platform usability:
| Broker | Commission | Min. Fee | Best For |
|---|---|---|---|
| IBKR (Interactive Brokers) | 0.05% or USD 1.5 | USD 1.50 | Active, cost-conscious investors |
| moomoo (Futu) | 0.03%+ | SGD 0.99 | Mobile-first traders |
| FSMOne | 0.08% | SGD 10 | Regular savers with RSP plans |
| Syfe | 0.35% platform fee | None | Beginner-friendly managed portfolios |
| CDP-linked banks (DBS/OCBC/UOB) | 0.18–0.28% | SGD 25 | CDP custody, familiar interface |
Fees as at May 2026. Always verify current fees on broker websites before trading.
Step 2: Open & Fund Your Account
If you’re using FSMOne, you can get an account credit bonus via the FSMOne referral code — useful for offsetting your first few transaction fees. For robo-advisor exposure to S-REITs including healthcare REITs, consider Syfe’s REIT+ portfolio — see the Syfe referral code and sign-up bonus for current offers.
Step 3: Can You Use CPF to Buy First REIT?
Yes — First REIT is approved under the CPF Investment Scheme (CPFIS-OA), meaning Singapore investors can use CPF Ordinary Account (OA) funds to purchase First REIT units, subject to the standard CPFIS risk classification rules. However, given First REIT’s higher-risk profile (Indonesia concentration, currency risk), investors should carefully consider whether CPF funds — which earn a risk-free 2.5% OA base rate — are appropriate for this investment. Read our CPF investment strategy guide before committing CPF savings to any S-REIT.
Step 4: Decide on Position Sizing
First REIT trades in board lots of 100 units. At ~SGD 0.30 per unit, a minimum board lot investment is approximately SGD 30. Most investors would size First REIT as a satellite position — perhaps 3–8% of a diversified S-REIT portfolio — rather than a core holding, given its concentration risks. Use the Singapore retirement calculator to model how a First REIT position might contribute to your projected passive income stream over time.
Frequently Asked Questions: First REIT (AW9U)
What is First REIT's current dividend yield?
Based on First REIT’s FY2024 DPU of 6.58 Singapore cents and a current price of approximately SGD 0.30, the estimated trailing distribution yield is approximately 7.0–7.2% as at May 2026. This is one of the highest yields among Singapore-listed S-REITs and reflects the REIT’s higher-risk profile, including Indonesia concentration and master tenant dependency on PT Lippo Karawaci. Not financial advice — please verify current DPU and price before making any investment decision.
Is First REIT safe to invest in?
First REIT carries above-average risk compared to many S-REITs. Key risks include: (1) dependence on a single master tenant (Lippo Karawaci) for the majority of Indonesia income; (2) currency risk from IDR/SGD exposure; (3) Indonesia regulatory and political risk; and (4) refinancing risk in a high-interest-rate environment. The 2021 lease restructuring stabilised the DPU trajectory, but the elevated yield (~7%) reflects genuine risk — it is not a free lunch. Conservative investors may prefer ParkwayLife REIT or larger diversified S-REITs with more tenant diversification. This is not financial advice.
Can I use CPF to buy First REIT?
Yes. First REIT (AW9U) is a CPF Investment Scheme (CPFIS-OA) approved investment. Singapore investors can use their CPF Ordinary Account funds to buy First REIT units through a CPFIS-linked brokerage. However, CPF OA funds earn a guaranteed 2.5% base rate, and using them for higher-risk S-REITs like First REIT is a decision that requires careful consideration. Consult a licensed financial adviser before investing CPF savings in First REIT.
How often does First REIT pay distributions?
First REIT pays distributions quarterly — four times per year. The quarterly payment schedule makes it attractive for Singapore investors seeking regular cash flow. Distribution amounts vary each quarter depending on net property income, foreign exchange movements, and financing costs. Always check the latest SGX announcement for confirmed DPU per quarter.
What happened to First REIT in 2020–2021?
In 2020, First REIT’s master tenant PT Lippo Karawaci faced severe financial stress due to COVID-19 impacts on its Indonesian hospital operations. Lippo was unable to sustain lease payments under the original SGD-denominated master lease structure. In 2021, First REIT underwent a major restructuring: a rights issue raised approximately SGD 158 million; leases were converted to IDR-denominated terms better aligned with Lippo’s local revenue; and lease escalation mechanisms were built in to provide gradual DPU recovery. This restructuring caused significant unit price dilution and reduced DPU from 8.60¢ (FY2019) to 5.14¢ (FY2020), before the gradual recovery to 6.58¢ in FY2024.
What is First REIT's NAV per unit?
First REIT’s reported Net Asset Value (NAV) per unit as at the end of FY2024 was approximately SGD 0.35–0.38. With the current market price at approximately SGD 0.29–0.31, First REIT trades at a discount of roughly 15–20% to its book NAV. This discount reflects market pricing of the Indonesia risk premium and currency uncertainty rather than an immediate asset write-down. Investors should note that IDR depreciation can reduce SGD-equivalent asset values over time, compressing NAV even without any fundamental change in property quality.
How does First REIT compare to ParkwayLife REIT?
Both are Singapore-listed healthcare REITs, but they have very different risk-return profiles. ParkwayLife REIT (C2PU) owns hospitals and nursing homes in Singapore and Japan, leased to Parkway Pantai (part of IHH Healthcare, one of Asia’s largest hospital groups). It is widely considered the highest-quality healthcare S-REIT — commanding a premium valuation with a lower yield of ~3.8%. First REIT (AW9U) has a higher yield of ~7% but significantly more risk: Indonesia concentration, IDR exposure, and a master tenant (Lippo) with a more volatile financial history. ParkwayLife suits conservative income investors; First REIT suits investors seeking higher income with a higher risk tolerance and a longer investment horizon.
This article is for educational and informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any security. Past distributions are not indicative of future performance. All data is sourced from publicly available SGX filings and company announcements as at May 2026. The Kopi Notes may earn referral fees from broker links on this page. Please consult a licensed financial adviser before making investment decisions. © The Kopi Notes 2026.