United Hampshire US Real Estate Investment Trust · SGX:ODBU
United Hampshire US Real Estate Investment Trust — United Hampshire US REIT — H1 2024 Earnings Presentation
38 slides from United Hampshire US Real Estate Investment Trust's earnings presentation, Aug 14, 2024
Slide 1: Asia's First U.S. Grocery-Anchored Shopping Center & Self-Storage REIT
Asia’s First U.S. Grocery-Anchored Shopping Center & Self-Storage REIT 1H 2024 Financial Results 14 August 2024
Slide 2: Important Notice
Important Notice This presentation is for information only and does not constitute or form part of an offer, invitation or solicitation of any offer to purchase or subscribe for the Units in Singapore or any other jurisdiction nor should it or any part of it form the basis of, or be relied upon in c
Slide 3: Table of Contents
Table of Contents Page Content 4 U.S. Market Update 7 1H 2024 Key Highlights 12 1H 2024 Financial Results 19 Portfolio Update 25 Outlook 29 Investment Merits
Slide 4: U.S. Market Update
U.S. Market Update UNITED-H#\PSHRE
Slide 5: U.S. Market Update: Economic Growth Gains Momentum
U.S. Market Update Economic Growth Gains Momentum with Continued Strength in U.S. Consumer Spending 2024 GDP Forecast: +2.1%1 8% Real GDP Growth5 • U.S. GDP increased at a 2.8% annualized rate in 2Q 2024, double the 1.4% 4.9% pace of growth in the first quarter, as consumers increased their spending
Slide 6: Resiliency in U.S. Retail Sales
U.S. Market Update Resiliency in U.S. Retail Sales Retail Sales 2Q 2024 Retail Sales June 2024 Grocery Sales June 2024 +2.5% +2.3% +1.7% year-on-year1 year-on-year1 year-on-year1 U.S. retail sales report showcases consumer and economic resilience • U.S. retail sales in June’24 remained unchanged fro
Slide 7: 1H 2024 Key Highlights
1H 2024 Key Highlights Colonial Square, Virginia
Slide 8: Strong Operating Performance Fuelled by Healthy Leasing Momentum
1H 2024 Key Highlights Strong Operating Performance Fuelled by Healthy Leasing Momentum No Refinancing High Grocery & Long Portfolio Strong Leasing Requirement Necessity Occupancy WALE Momentum November 2026 96.3% 7.7 years1 9.1% of portfolio NLA Next loan refinancing due2 Up from 95.7% as at As at
Slide 9: Leasing Updates
1H 2024 Key Highlight Leasing Updates Key Leasing Activity in 2Q 2024 Strong Leasing Momentum Continues into 3Q 2024 ✓ Executed a 12-year lease renewal at ✓ Executed a new 10-year, 53,000 sq ft Hudson Valley with Lowe’s, a Fortune lease agreement with DICK’S Sporting ✓ Entered into a new long-term l
Slide 10: New Tenant Grand Openings
1H 2024 Key Highlight New Tenant Grand Openings Market 32 @ Albany-Supermarket Dicks Sporting Goods @ Upland Square (Grand opening in June 2024) (Grand opening in August 2024) • Price Chopper opened its new Market 32 Store in Albany, New York, ahead of schedule. The highly popular Market 32 brand is
Slide 11: Opportunistic Divestment to Strengthen Capital Structure
1H 2024 Key Highlights Opportunistic Divestment to Strengthen Capital Structure and Enhance Financial Flexibility Transaction Details +17.5% +4.3% ✓ Divestment of Freestanding Lowe’s and Freestanding Sam’s Club Property within Hudson Valley Plaza, for a divestment consideration of US$36.5 million US
Slide 12: 1H 2024 Financial Results
1H 2024 VO Financial Results UNITED-H: NUPSHIRE ee
Slide 13: 2.4% Growth in Gross Revenue
1H 2024 Financial Results 2.4% Growth in Gross Revenue Gross Revenue Net Property Income (US$ million) (US$ million) Resilient Financial +1.8% vs 2H 2023 +2.1% vs 2H 2023 Performance +2.4% y-o-y -1.7% y-o-y Mainly attributed to: ✓ New leases ✓ Rental escalations from existing leases ✓ Contribution f
Slide 14: 1H 2024 DPU Impacted by Higher Financing Costs
1H 2024 Financial Results 1H 2024 DPU impacted by Higher Financing Costs Distributable Income Distribution Per Unit (US$ million) (US cents) Distributable Income and DPU -7.2% vs 2H 2023 -6.7% vs 2H 2023 impacted by: -15.6% y-o-y -15.5% y-o-y • Higher interest costs 36.0 • Manager elected to receive
Slide 15: Well-Spread Debt Maturity Profile
1H 2024 Financial Results Well-Spread Debt Maturity Profile with No Refinancing Required until November 2026 Adjusted Debt Maturity Profile No refinancing requirement Assuming Extension Option is Exercised (US$ million) until November 20261 176.8 No Refinancing Long weighted average debt Sensitivity
Slide 16: Healthy Balance Sheet, Stable NAV
1H 2024 Financial Results Healthy Balance Sheet, Stable NAV As at 30 June 2024 As at 31 Dec 2023 (US$’000) (US$’000) Investment Properties 789,409 785,001 Current Assets 14,270 22,814 Total Assets 806,365 808,758 Loans and Borrowings 325,096 323,927 Total Liabilities 374,195 374,624 Net Assets 432,1
Slide 17: Attractive Dividend Yield and Price-to-Book Ratio
1H 2024 Financial Results Attractive Dividend Yield and Price-to-Book Ratio Comparative Yields (%) UHREIT Price-to-Book Ratio5 240bps 10.5% 560bps 610bps 0.53 8.1% 730bps 4.9% 4.4% 3.2% UHREIT 1 Average of the STI Index 2 US 10 Year MAS Benchmark UHREIT 3 41 S-REITs and Treasury Yield Govt Bond 10 P
Slide 18: Distribution Schedule
1H 2024 Financial Results Distribution Schedule Distribution and Distribution Reinvestment Plan (DRP) Details Distribution Period 1 January 2024 to 30 June 2024 Distribution Per Unit (US cents) Ex Date 21 August 2024 Book Closure Date 22 August 2024 Date of announcement of Issue Price of Units for t
Slide 19: Portfolio Update
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Slide 20: Strong Committed Occupancy with Well-Distributed Lease Expiry
Portfolio Update Strong Committed Occupancy with Well-Distributed Lease Expiry Grocery & Necessity Properties Committed Occupancy (%) 1H 2024 97.9 97.2 97.4 95.7 96.3 NLA 100 No. (Sq Ft) 80 60 New leases signed 2 21,374 40 20 Lease renewals 11 327,716 0 30-Jun-23 30-Sep-23 31-Dec-23 31-Mar-24 30-Jun
Slide 21: Resilient Portfolio with a Diversified Tenant Base
Portfolio Update Resilient Portfolio with a Diversified Tenant Base Top 10 Tenants1 Financial Others 2.0% Auto Supply BJ’s Wholesales Club Holdings – 10.1% Fitness Services 2.0% 0.7% Ahold Delhaize – 8.9% Dental Services Discounter/ 0.7% Outlet ShopRite – 7.5% 5.9% Grocery and Wholesale Self Storage
Slide 22: Occupancy at Self-Storage Properties Remained High
Portfolio Update Occupancy at Self-Storage Properties Remained High Carteret Self-Storage 95.8 95.6 Occupancy rates and 100 94.2 94.7 92.4 94.6 91.3 30 88.1 average quarterly net 80 25 rental rates remained 60 high for both Carteret 20 40 and Millburn Self- 20 15 Storage despite some normalization a
Slide 23: Anchor Tenants' Sales Remain Healthy
Portfolio Update Anchor Tenants’ Sales Remain Healthy Sales Sales 3.8% y-o-y1 6.2% y-o-y1 Contributing 4.3% of rental2 DICK’S Sporting Goods (DICK’S): Comparable sales grew 6.2% y-o-y in 1Q Walmart: U.S. comparable sales excluding fuel grew 3.8% y-o-y in 1Q 2025, 2024, driven by growth in transactio
Slide 24: Our Commitment Towards Sustainability
Portfolio Update Our Commitment Towards Sustainability Environment Stewardship People & Community • Engage with local communities and help achieve UHREIT's goal of 100 Staff Volunteer Hours in FY2024 To install EV To install LED lighting Discuss with top 10 tenants the possibility of installation •
Slide 25: Outlook
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Slide 26: Omnichannel Retailing – Creating a Unified Shopping Experience
Outlook Omnichannel Retailing – Creating a Unified Shopping Experience Consumers returning to physical stores for personalized services • 57% of shoppers surveyed want to see, touch and feel items before they buy them, and 68% are seeking expert advice on high-value Consumers to purchases to ensure
Slide 27: Landlords Gain Edge Amidst Scarcity of Premium Spaces
Outlook Landlords Gain Edge Amidst Scarcity of Premium Spaces Grocery & Necessity Retail Sector • The landlord-friendly supply and demand backdrop is forcing retailers to 1 demonstrate flexibility in adapting their store sizes, store opening schedule and other conditions to match available space1 •
Slide 28: Resiliency in Self-Storage and Strip Center Property Values
Outlook Resiliency in Self-Storage and Strip Center Property Values % Change in Green Street Commercial Property Price Index from June 2020 to June 2024 • Green Street Commercial Property Price Index is a time series of unleveraged U.S. commercial property values that captures the prices at which co
Slide 29: Investment Merits
Investment Merits UNITED-H#MPSH IRE
Slide 30: Key Milestones and Accolades
Investment Merits Key Milestones and Accolades SGX Fast Track Awards Indices Inclusion ✓ Included in the SGX Fast Track, ✓ UHREIT’s FY 2023 Annual Report within 2nd year of listing, for was recognized as the Gold Winner ✓ FTSE ST Small-Cap Index UHREIT’s good compliance at the International Hermes C
Slide 31: Why Invest in United Hampshire US REIT
Investment Merits Why Invest in United Hampshire US REIT Stable Cashflows Yield & Growth • Grocery & Necessity and Self-Storage • Exposure to strong US Consumer sector properties are generally considered cycle- improving employment situation and rising agnostic and not as vulnerable to cyclical cons
Slide 32: Thank You
32 Thank You UHREIT Website Follow us on LinkedIn Icon Description automatically generated For enquiries, please contact: Ms Wong Siew Lu, CFA, CA (Singapore) https://www.uhreit.com/ Head of Investor Relations and Sustainability https://www.linkedin.com/company/uhreit/ Email: IR@uhreit.com 80 Raffle
Slide 33: Appendix
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Slide 34: Portfolio of Grocery & Necessity and Self-Storage Assets
Appendix Portfolio of 20 Grocery & Necessity and 22 Assets Across 8 States Focused on the East Coast 2 Self-Storage Properties NLA: 3.8 million sq ft NEW YORK – G&N NEW YORK Total Property Value1: US$768.3 million Name City %1 Grocery & Necessity MASSACHUSETTS – G&N Garden City Sq. 7 Properties Gard
Slide 35: Locations of UHREIT's Self-Storage Properties
Appendix Locations of UHREIT’s Self-Storage Properties • Undersupply of Self-Storage facilities in New York Metro Area Newark Liberty Manhattan Int’l Airport Jersey City Millburn Self-Storage • Regional access to New Statue of York City and metropolitan Port Newark Liberty Brooklyn areas via major h
Slide 36: Successful Execution of Pro-Active Portfolio Management and Growth Strategy Since IPO
Appendix UHREIT’s Successful Execution of Pro-Active Portfolio Management and Growth Strategy Since IPO UHREIT AUM 31.4% Since IPO IPO FY 2021 FY 2022 FY 2023 Current Construction Acquisition Construction 12 March 2020 • Perth Amboy Self-Storage Accretive Acquisition • Academy Sports Store, Port • A
Slide 37: Trust Structure
Appendix Trust Structure Unitholders Ownership of Units Distributions Trustee Services Management Services Tax Efficient Structure Trustee REIT Manager Trustee Fees Management Fees • No U.S. corporate tax (21%) and U.S. withholding tax (30%) 100.0% Ownership Dividends Dividends 100.0% Ownership Mana
Slide 38: Reputable Sponsors – UOB Global Capital & The Hampshire Companies
Appendix Reputable Sponsors – UOB Global Capital & The Hampshire Companies LLC >60 year track record A Synergistic Long-Term Partnership >20 year track record 180 properties >10 year partnership US$3.7b AUM >US$1.7b AUM 3 co-managed funds >13.5 million sq ft retail space owns and/or operates 3 co-in
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