CapitaLand Integrated Commercial Trust · SGX:C38U
CapitaLand Integrated Commercial Trust — Shareholder Meeting (April 2023)
28 slides from CapitaLand Integrated Commercial Trust's shareholder meeting presentation, Apr 19, 2023
Slide 1: Proposed Entry into New Singapore Property Management Agreement
2023 Extraordinary General Meeting Proposed Entry into New Singapore Property Management Agreement 19 April 2023
Slide 2: Disclaimer
Disclaimer This presentation may contain forward-looking statements. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these factors incl
Slide 3: Table of Content
Table of Content 04 Overview of the New Singapore Property Management Agreement (“New SG PMA”) 07 Reasons to vote in favour of the New SG PMA 12 Advice of the IFA Recommendation of the Independent Directors and Audit Risk Committee 15 Approval of Unitholders Funan, Singapore
Slide 4: Overview of the New SG PMA
Overview of the New SG PMA Raffles City Singapore
Slide 5: Key terms with no major changes
Overview of the New SG PMA Key terms with no major changes Key terms New Terms(1) Existing Terms Remarks Service Term • Proposed single New SG PMA term of 10 years • Terms of existing property • A single New SG PMA for better efficiency and commencing from 1 June 2023(2) management agreements range
Slide 6: Key terms with changes
Overview of the New SG PMA Key terms with changes Key terms New Terms(1) Existing Terms Remarks Marketing For retail properties For retail properties • To incentivise the Singapore Property Managers Fees • New tiered structure directly attributable to gross rents • 0.5% of net property income, in on
Slide 7: Reasons to vote in favour of the New SG PMA
Reasons to vote in favour of the New SG PMA CapitaSpring, Singapore
Slide 8: Potential cost savings with improved performance-based fee structure
Reasons to vote in favour of the New SG PMA Potential cost savings with improved performance-based fee structure Actual Fees in FY2021 Illustrative Fees if the Incremental and FY2022 Revised Fees were Savings/(Costs) (S$ mil) applied in FY2021 and (S$ mil) FY2022 (S$ mil) Property and lease manageme
Slide 9: Proven track record and experience of the Singapore Property Managers
Reasons to vote in favour of the New SG PMA Proven track record and experience of the Singapore Property Managers 1. Consistently high occupancies maintained ▪ Achieve healthy average occupancy rate of CICT’s Singapore portfolio at approximately 98.0% for retail properties and at approximately 97.0%
Slide 10: Proactive in repositioning of assets to meet changing real estate trends
Reasons to vote in favour of the New SG PMA Singapore Property Managers: Proactive in repositioning of assets to meet changing real estate trends and needs 2021: Lot One Shopper’s Mall 2022: Six Battery Road Newly Conversion of ex- refurbished banking hall space to a cinema and retail podium featuri
Slide 11: Commendable leasing outcomes for redevelopment projects
Reasons to vote in favour of New SG PMA Singapore Property Managers: Commendable leasing outcomes for redevelopment projects 2019: Funan 2021: CapitaSpring Front view of Funan Atrium Front view of CapitaSpring Sky Garden, L51 Achieved strong occupancy at 99.0% by Achieved strong occupancy at 99.5% b
Slide 12: Advice of the IFA and Recommendation of the Independent Directors
Advice of the IFA Recommendation of the Independent Directors and Audit Risk Committee CapitaSky (centre) and Capital Tower (left), Singapore
Slide 13: Advice of the Independent Financial Advisor
Advice of the Independent Financial Advisor (“IFA”) ▪ Having considered the factors and assumptions set out in the IFA Letter, and subject to the qualifications set out therein, and taking into account the prevailing conditions as at the date of the IFA Letter, the IFA is of the opinion that the New
Slide 14: Recommendation of the Independent Directors and Audit Risk Committee
Recommendation of the Independent Directors and Audit Risk Committee As stated in paragraph 6 of the Circular: ▪ Having considered the relevant factors, including the terms of the New SG PMA (as set out in paragraph 2 of the Circular), the rationale and key benefits of the New SG PMA (as set out in
Slide 15: Approval of Unitholders
Approval of Unitholders Funan, Singapore
Slide 16: Interested Person Transaction
Approval of Unitholders Interested Person Transaction ▪ The proposed entry into the New SG PMA is an Interested Person Transaction(1) ▪ The aggregate fees and reimbursements under the New SG PMA payable by the Trustee or the relevant Special Purpose Vehicle (as applicable) to the Singapore Property
Slide 17: Ordinary Resolution
Approval of Unitholders Ordinary Resolution ▪ To seek Unitholders’ approval by way of an Ordinary Resolution(1) for the proposed entry into the New SG PMA, as an interested person transaction Note: 1) “Ordinary Resolution” means a resolution proposed and passed as such by a majority being greater th
Slide 18: The End
The End For enquiries, please contact: Ms Ho Mei Peng, Head, Investor Relations Direct: (65) 6713 3668 | Email: ho.meipeng@capitaland.com CapitaLand Integrated Commercial Trust Management Limited (http://www.cict.com.sg) Tel: (65) 6713 2888 | Fax: (65) 6713 2999
Slide 19: Appendix
Appendix
Slide 20: Trust Structure for Singapore
Trust Structure for Singapore(1) Unitholders Investment Distributions in CICT Represents Management Interests of Manager Services Unitholders Trustee CapitaLand Integrated HSBC Institutional Commercial Trust Trustee’s Trust Services Management Management Limited Fees Fees (Singapore) Limited Propert
Slide 21: Role of the Manager and Singapore Property Managers
Role of the Manager and Singapore Property Managers Overall Strategy & Business Direction Revenue Management - Provide clear business strategy - Drive occupancy and rents - Build thought leadership to shape - Harness evolving synergies between market/customer perceptions retail and office via cross-
Slide 22: Marketing Fee Structure (Retail Leases)
Marketing Fee Structure (Retail Leases) Summary of key terms in New Singapore Property Summary of key terms in the existing property Management Agreement management agreement Key updates Length of tenancy secured Marketing fees payable Length of tenancy secured Marketing fees payable New tenancy / l
Slide 23: Marketing Fee Structure (Office Leases)
Marketing Fee Structure (Office Leases) Summary of key terms in New Singapore Property Summary of key terms in the existing property Management Agreement management agreement Key updates Length of tenancy secured Marketing fees payable Length of tenancy secured Marketing fees payable New tenancy / l
Slide 24: Market Benchmark (SG REITs with Retail Properties)
Market Benchmark (SG REITs with Retail Properties) Extracted from Appendix B – Letter from the IFA (pg 22-23) Source: Annual Reports, SGX Announcements, Circulars, Prospectuses Capi t aLand I nt egr at ed Com m er c i al Tr us t 24
Slide 25: Market Benchmark (SG REITs with Retail Properties)
Market Benchmark (SG REITs with Retail Properties) Extracted from Appendix B – Letter from the IFA (pg 22-23) Source: Annual Reports, SGX Announcements, Circulars, Prospectuses Capi t aLand I nt egr at ed Com m er c i al Tr us t 25
Slide 26: Market Benchmark (SG REITs with Office Properties)
Market Benchmark (SG REITs with Office Properties) Extracted from Appendix B – Letter from the IFA (pg 24-26) Source: Annual Reports, SGX Announcements, Circulars, Prospectuses Capi t aLand I nt egr at ed Com m er c i al Tr us t 26
Slide 27: Market Benchmark (SG REITs with Office Properties)
Market Benchmark (SG REITs with Office Properties) Extracted from Appendix B – Letter from the IFA (pg 24-26) Source: Annual Reports, SGX Announcements, Circulars, Prospectuses Capi t aLand I nt egr at ed Com m er c i al Tr us t 27
Slide 28: Market Benchmark (SG REITs with Office Properties)
Market Benchmark (SG REITs with Office Properties) Extracted from Appendix B – Letter from the IFA (pg 24-26) Source: Annual Reports, SGX Announcements, Circulars, Prospectuses Capi t aLand I nt egr at ed Com m er c i al Tr us t 28
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