Slide 1: First Half 2023 Analyst Presentation
FIRST HALF 2023 ANALYST PRESENTATION
Slide 2: Highlights
HIGHLIGHTS • MREIT portfolio assets continue to deliver stable occupancy and strong financial performance supported by continued positive 511 475 net take-up in the market 36 • Recently acquired assets drove 325 150 MREIT’s growth in the first half 280 compared to the same period last 224 45 year wi
Slide 3: Industry Update
INDUSTRY UPDATE Colliers reported significant 1H2023 New Leases (in ‘000 SQM) improvement in new lease volume during 1H2023, with a total of 396,000 sqm leased across various Ortigas 65 locations in the Philippines. Makati 62 Notable transaction sizes coming from Shared Services and POGO in Taguig 4
Slide 4: Operational Highlights
OPERATIONAL HIGHLIGHTS Tenant Mix Tenant breakdown (by GLA) (by GLA) 96% BPO occupancy 79% rate Traditional 15% 3.1 YRS weighted average lease expiry (WALE) Retail 4% Hotel 44,500 SQM 2% signed transactions 4
Slide 5: Financial Highlights
FINANCIAL HIGHLIGHTS Stable distributable income despite decrease in rental income Rental Income - Billings (Pm) Distributable Income (Pm) 781 766 684 692 697 679 713 714 639 638 620 630 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 5
Slide 6: Financial Performance
FINANCIAL PERFORMANCE YTD increase in both revenues and distributable income due primarily to recognition of income from new assets injected In PHP millions 1H23 1H22 YoY% Revenues 2,069.8 1,794.4 15% Direct Operating Costs 430.6 264.5 63% Gen. & Admin. Expense 40.4 17.4 132% Net Operating Income 1,
Slide 7: Dividend Declaration
MAXIMIZING SHAREHOLDER VALUE DIVIDEND DECLARATION Dividend Per Share Dividend per Share 0.2476 0.2476 P0.2476 0.2468 per 0.2430 0.2444 0.2428 share 0.2399 0.2400 Payment Date SEP 14 2023 Annualized Yield 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 7.0% based on 09 Aug 2023 closing price 7
Slide 8: Private Placement
PRIVATE PLACEMENT 279.4 M Strong demand led by domestic secondary share and international long-only placement investors Transaction was upsized by 10% P3.63 B from 254 million shares total consideration Upon closing of the transaction, public float improved to 43.4%, 55.6% creating room for the next
Slide 9: Pipeline for Growth
PIPELINE FOR GROWTH 7 MREIT and Megaworld executed an MOU on May 31, 2023 to acquire 7 grade-A office grade-A assets office assets These properties boast high level of occupancy of 94% with high quality tenants 150,500 SQM total GLA Target execution of the definitive agreement within the third quart
Slide 10: Expanding Portfolio
EXPANDING PORTFOLIO Location Breakdown (GLA sqm) Davao City 324,700 475,500 6% The acquisition would add 24% another township, Davao Park 24% Iloilo City City District, to MREIT’s portfolio 28% 19% Quezon City The addition of the assets in McKinley West further solidifies 46% Taguig City MREIT’s pos
Slide 11: Runway for Growth
RUNWAY FOR GROWTH UP TO ONE 325k 475k SQM GLA 511k MILLION SQM GLA SQM GLA SQM GLA 224k SQM GLA IPO CURRENT WITH MOU 2023-2024 2027-2030 GLA ASSETS With the MOU and the additional assets being considered, MREIT will potentially exceed its target of hitting 500,000 sqm GLA by the end of 2024 11
Slide 12: Thank You
minh BREGESE ERE.)