Mapletree Greater China Commercial Trust (RW0U.SG) may rise on its trading debut thanks to strong investor demand amid a positive clip on the local stock market, which has contributed to the successful conclusion of Singapore’s largest IPO since 2011, and the city-state’s biggest-ever REIT flotation.

The REIT, the fourth sponsored by Mapletree Investments, offered to institutional and retail buyers about 776.6 million units -- subject to an overallotment option -- at $0.93 each, the top of its pricing range. Its institutional and retail offerings were about 29.5x subscribed. T

ravis Seah, investment analyst Phillip Securities, says in a note that Mapletree Greater China’s projected yield is “a tad higher” than those of Fortune REIT and CapitaRetail China Trust, which has a forward yield of 5.3%.

“The management fee structure is based on distributable income and DPU growth which will greatly align investors’ interest especially when acquiring good quality property assets,” Seah says, but adds that the REIT’s “relative high gearing of 43% could however be the only bugbear for the trust as inorganic growth will be limited over the next few years.” The REIT begins trading at 2 pm.