Altus Holdings Limited · HKEX:8149
Altus — Saizen REIT — Shareholder Meeting (October 2013)
21 slides from Altus's shareholder meeting presentation, October 2013
Slide 1: Presentation FY2013 AGM
www.saizenreit.com.sg Presentation FY2013 AGM October 2013
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 Listed on SGX Mainboard in November 2007 Only Singapore-listed REIT to offer access exclusively to Japanese residential properties Properties targeted at mass market tenants in 14 cities Size of portfolio: JPY 41.2 billion (S$526 million1) Saizen REIT has a corporate f
Slide 4: Well-diversified Portfolio
Well-diversified Portfolio Portfolio Total number of properties: 139 Region City distribution by revenue (%) Kumamoto 17.0 Kitakyushu 10.5 Fukuoka 5.9 Kyushu Kagoshima 3.3 Oita 0.8 37.5 Sapporo 24.2 Hokkaido Hakodate 0.7 24.9 Sendai 11.4 Koriyama 2.7 Tohoku Morioka 1.5 15.6 Hiroshima 14.2 Chugoku Ku
Slide 5: FY2013 Overview
FY2013 Overview Growth in revenue and net property income were driven by property acquisitions Revenue and net property income increased by 9.7% and 13.6% in FY2013 as compared to FY2012 Net income from operations affected by one-off loan refinancing costs which comprised primarily loan commis
Slide 6: FY2013 Overview
FY2013 Overview Acquired 7 properties and divested 2 properties Obtained 4 loans 2 loans of JPY140 million and JPY 200 million were obtained by GK Gyokou and GK Chogen respectively in December 2012 Raised approximately JPY 3.8 billion in new loan proceeds from the refinancing of 4 loans with
Slide 7: FY2013 Overview
FY2013 Overview Target income enhancement through leveraging and property acquisitions achieved Property acquisitions financed by re- Potential reported as Achieved as at 21 leveraging and other internal funds at 31 March 2012 August 2013 1 Increase in portfolio size JPY 5.2 billion JPY 5.7 billio
Slide 8: Distributions
Distributions Recent distribution: Distribution per Unit 0.63 Singapore cents Distribution period 1 January 2013 to 30 June 2013 Date paid 24 September 2013 Singapore cents Distribution per Unit (DPU) JPY 0.70 0.70 0.60 0.60 0.50 0.50 0.40 0.40 0.30 0.30 Actual DPU (Singapore cents) 0.20 0.20 DPU in
Slide 9: Distributions
Distributions It is Saizen REIT’s intention to utilise, when possible, undeployed capital cash resources such as proceeds from new borrowings and/or warrant proceeds to offset loan amortisation, thereby effectively making available cash from operations for distributions Going forward, the abilit
Slide 10: Hedging of Distribution Payments
Hedging of Distribution Payments As Saizen REIT’s distributable income from operations is generated in JPY, its S$-denominated distributions are dependent on the JPY-S$ cross rates Distribution period 6-month period ending 6-month period ending 31 December 2013 30 June 2014 Expected payment March
Slide 11: Occupancy Rates
80% 85% 90% 95% 100% Jun-08 Jun 08 Sep-08 Dec-08 Mar-09 Jun-09 Sep-09 Dec-09 Mar-10 Occupancy Rates Jun-10 Sep-10 Dec-10 Mar-11 Jun-11 Sep-11 Dec-11 Mar-12 Jun-12 Sep-12 Dec-12 Mar-13 Jun-13 Sep-13 Average occupancy rates remained stable above 90% since 11
Slide 12: Stable Rental Rates
Stable Rental Rates Average rental rates maintained above JPY 1,500 / sqm (approx. S$20 / sqm) since Jun 08 2,000 Average rental rates of residential units (JPY / sqm) 1,500 1,000 500 0 Jun-08 Jun-09 Jun-10 Jun-11 Jun-12 Jun-13 Sep-08 Dec-08 Sep-09 Dec-09 Sep-10 Dec-10 Sep-11 Dec-11 Sep-12 Dec-12
Slide 13: Debt Profile
Debt Profile Prevailing Loan Property Annual loan Company Source of Debt Maturity Guarantor Loan-to- Interest Amount Value amortisation Date Fee (%) value (%) Rate (%) (JPY’mln) (JPY’mln) (JPY’mln) GK Gyotatsu Unencumbered 1,347.0 GK Gyosei Unencumbered 671.0 GK Chosei 643.0 YK JOF 1,982.0 YK Keizan
Slide 14: Debt Profile
Debt Profile 6.00% 8 5.00% 7 6 4.00% 5 3.00% 4 2.00% 3 2 1.00% WA loan 1 interest rate 0.00% 0 Loan duration Jun-08 Jun-09 Jun-10 Jun-11 Jun-12 Jun-13 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 (years) After FY2023 FY2022 to FY2023 Nearest loan maturity is in FY2020 to FY2021 February 2018 FY2018 to
Slide 15: Property Valuations
Property Valuations 50,000 Total valuation (JPY'mln) 49,062 Valuation of consistent portfolio of 45,000 43,774 42,734 128 properties (JPY'mln) 40,562 41,178 40,382 40,000 36,443 35,000 36,263 32,995 35,653 34,295 33,820 32,888 33,151 30,000 25,000 Jun‐08 Jun‐09 Jun‐10 Jun‐11 Jun‐12 Jun‐13 The tota
Slide 16: Acquisitions in FY2013
Acquisitions in FY2013 Rise Cosmo Reveur Rise Shinoe Clair Court Yotsugibashi Sangenjaya Roka Koen Location Kumamoto Tokyo Kumamoto Tokyo Date acquired Aug 2012 Aug 2012 Nov 2012 Feb 2013 Year built 2012 1989 2003 1998 Purchase price (JPY’mil) 428.0 590.0 285.0 712.5 Valuation at acquisition (JPY’mi
Slide 17: Acquisitions in FY2013
Acquisitions in FY2013 Cosmos Kokura AS Residence Grand Polestone Eki Mae Hakataeki- Tsurumi II minami Location Kitakyushu Fukuoka Hiroshima Date acquired Mar 2013 May 2013 Jun 2013 Year built 2006 2006 2008 Purchase price (JPY’mil) 753.9 599.7 670.0 Valuation at acquisition (JPY’mil) 762.0 585.0 67
Slide 18: Unit Buy-Back Activity
Unit Buy-Back Activity Unit buy-back activity between 25 September 2012 and 13 June 2013 Number of Units bought back 6,325,000 Highest price paid per Unit S$0.175 Lowest price paid per Unit S$0.164 Total consideration (incl. brokerage, GST etc.) S$1,069,849.96 18
Slide 19: Upcoming Plans
Upcoming Plans Explore to undertake strategic review of options for enhancing shareholders’ value Renewal of Unit buy-back mandate and to continue with Unit buy-back activities when opportunities arise Unit consolidation (5 existing Units consolidated into 1 Unit) Purpose: To reduce the magn
Slide 20: Key Financial Information
Key Financial Information Number of Units in issue as at 28 October 2013 1,418,058,795 NAV attributable to Unitholders as at 30 June 2013 1 S$351 million NAV per Unit as at 30 June 2013 1 S$0.25 Market capitalisation as at 30 June 2013 2 S$261 million 4Q FY2013 interest cover ratio 6.0 times Gearing
Slide 21: Thank You
SaizenREIT )r Thank You 21