Altus Holdings Limited · HKEX:8149
Altus — Saizen Real Estate Investment Trust — Investor Presentation (February 2016)
22 slides from Altus's investor presentation, February 2016
Slide 1: Presentation February 2016
Presentation February 2016 www.saizenreit.com.sg
Slide 2: Disclaimer
Disclaimer • The value of units (the “Units”) in Saizen Real Estate Investment Trust (“Saizen REIT”) and the income derived from them, if any, may fall or rise. Units are not obligations of, deposits in, or guaranteed by, Japan Residential Assets Manager Limited as manager of Saizen REIT (the “Manag
Slide 3: Saizen REIT in Brief
Saizen REIT in Brief Only Singapore-listed REIT to offer exclusive access to Japanese residential real estate Principal investment objective - Investing in diversified portfolio of income- producing real estate in Japan which is used primarily for residential and residential-related purposes, an
Slide 4: Proposed Transaction
Proposed Transaction EGM scheduled on 1 March 2016 to seek Unitholders’ approval of the Proposed Transaction for the disposal of Saizen REIT’s entire portfolio of real estate assets to Triangle TMK Conditional agreement entered into with Triangle TMK (a Japanese affiliate of Lone Star Funds) on
Slide 5: Portfolio Overview
Portfolio Overview Portfolio Region City distribution by revenue (%) Sapporo Kumamoto 17.5 Kitakyushu 10.3 Hakodate Fukuoka 7.0 Kyushu Kagoshima 3.2 Total number of Morioka Oita 0.9 properties: 136 38.9 Sendai Sapporo 25.0 Niigata Hokkaido Hakodate 0.7 Koriyama 25.7 Tokyo Sendai 9.1 Kurashiki Koriya
Slide 6: Distributions
Distributions Distribution per Unit 2.83 Singapore cents Distribution period 1 July 2015 to 31 December 2015 Payment date 29 March 2016 Distribution for 1H FY2016 has been hedged at an average exchange rate of JPY86.7/S$ Distribution is separate from and in addition to the special distribution o
Slide 7: Distributions
Distributions Singapore cents Distribution per Unit (DPU) JPY 3.50 3.50 3.00 3.00 2.50 2.50 2.00 2.00 1.50 1.50 Actual DPU (Singapore cents) 1.00 1.00 DPU in JPY-terms 0.50 0.50 0.00 0.00 30 Jun 2010 * 30 Jun 2011 * 30 Jun 2012 * 30 Jun 2013 * 30 Jun 2014 30 Jun 2015 * as adjusted for Unit Consolida
Slide 8: Distributions
Distributions Use of capital cash resources to offset loan principal repayment contributed to 1.23 cents out of DPU of 2.83 cents for 1H FY2016 Annual loan principal amortisation of approximately JPY 691 million at present Ability to offset loan principal repayment subject to availability of c
Slide 9: 2Q FY2016 Overview
2Q FY2016 Overview Revenue remained stable, while net property income was affected by repair and renovation costs and fluctuations in seasonal expenses Y-o-Y Revenue increased by 0.3%, driven by increase in occupancy rates and partially offset by divestment of 2 properties between November 201
Slide 10: 2Q FY2016 Overview
2Q FY2016 Overview Property operations remained stable Average occupancy rate in 2Q FY2016 at 91.2% (2Q FY2015 and 1Q FY2016: 90.0% and 91.6% respectively) Overall rental reversion of new contracts entered into in 2Q FY2016 lower by about 1.7% (2Q FY2015 and 1Q FY2016: lower by about 0.3% and
Slide 11: Proportion of rental reversions
2Q FY2016 Overview Rental reversions (residential units) in Oct – Dec 2015 100% Proportion of rental reversions 90% 23% 28% 80% 70% 15% 60% 50% 41% Rent increase 40% Same rent 30% 62% Rent decrease 20% 31% 10% 0% 2008 and before 2009 onwards Year in which previous contracts were entered into Where
Slide 12: Occupancy Rates
Occupancy Rates Average occupancy rates have remained stable at or above 90% since Jun 08 100.0% 95.0% 90.0% 85.0% 80.0% 12 12
Slide 13: Stable Rental Rates
Stable Rental Rates Average rental rates maintained above JPY 1,500 / sqm (approx. S$17 / sqm) since Jun 08 2,000 1,500 1,000 Average rental rates of 500 residential units (JPY / sqm) 0 13
Slide 14: Debt Profile of TK Operators
Debt Profile of TK Operators Prevailing Loan Property Annual loan TK operator Source of Debt Maturity Guarantor Loan-to- Interest Amount Value amortisation Date Fee (%) value (%) Rate (%) (JPY’mln) (JPY’mln) (JPY’mln) GK Choan Unencumbered 750.0 GK Chosei Unencumbered 470.0 YK Shinzan Bank of Fukuok
Slide 15: Debt Profile of TK Operators
Debt Profile of TK Operators All loans are: non-recourse to Saizen REIT not cross-collateralised long-term in nature (7 to 30-year loans) secured only by specific properties of the TK operator(s) Fixed interest rates for 87% of loans outstanding 15
Slide 16: Debt Profile of TK Operators
Debt Profile of TK Operators 6.00% 12 5.00% 10 4.00% 8 WA loan 3.00% 6 interest rate 2.00% 4 Loan duration 1.00% 2 (years) 0.00% 0 After FY2023 FY2023 FY2022 FY2021 Nearest loan maturity Value of maturing loans FY2020 in March 2020 (JPY' mln) FY2015 to FY2019 0 1,000 2,000 3,000 4,000 5,000 6,000 7,
Slide 17: Key Financial Information
Key Financial Information Number of Units in issue as at 10 February 2016 287,024,902 NAV attributable to Unitholders as at 31 December 2015 (1) S$347 million NAV per Unit as at 31 December 2015 (1) S$1.21 Market capitalisation as at 31 December 2015 (2) S$313 million 2Q FY2016 interest cover ratio
Slide 18: Appendix: Proposed Transaction
Appendix Proposed Transaction
Slide 19: Proposed Transaction
Proposed Transaction The following information is qualified in its entirety by, and should be read in conjunction with, the full text of the EGM Circular dated 5 February 2016. Meanings of defined terms may be found in the Glossary of the EGM Circular. Key Terms Adjusted Net Asset Value per Unit a
Slide 20: Proposed Transaction
Proposed Transaction The following information is qualified in its entirety by, and should be read in conjunction with, the full text of the EGM Circular dated 5 February 2016. Meanings of defined terms may be found in the Glossary of the EGM Circular. Manager convening EGM on 1 March 2016 to seek
Slide 21: Proposed Transaction
Proposed Transaction The following information is qualified in its entirety by, and should be read in conjunction with, the full text of the EGM Circular dated 5 February 2016. Meanings of defined terms may be found in the Glossary of the EGM Circular. Indicative Timetable Last date and time for l
Slide 22: Thank You
SaizenRElT ): Thank You
Saizen Real Estate Investment Trust — Investor Presentation (February 2016) on 6ix