Mapletree Industrial Trust · SGX:ME8U
Mapletree Industrial Trust — Investor Presentation (February 2025)
44 slides from Mapletree Industrial Trust's investor presentation, February 2025
Slide 1: Investor Presentation February 2025
Investor Presentation February 2025
Slide 2: Important Notice
Important Notice This presentation shall be read in conjunction with Mapletree Industrial Trust’s (“MIT”) financial results for Third Quarter Financial Year 2024/2025 in the SGXNET announcement dated 22 January 2025. This presentation is for information only and does not constitute an offer or solic
Slide 3: Contents
Contents 01 Overview of Mapletree Industrial Trust 02 Key Highlights 03 Portfolio Update 04 3QFY24/25 Financial Highlights 05 Outlook and Strategy 3
Slide 4: Overview of Mapletree Industrial Trust
OVERVIEW OF MAPLETREE INDUSTRIAL TRUST Hi-Tech Buildings, Mapletree Hi-Tech Park @ Kallang Way
Slide 5: Overview of Mapletree Industrial Trust
Overview of Mapletree Industrial Trust 141 NLA (sq ft) AUM Properties 25.2 million1 S$9.2 billion2 Investment Mandate Focused on (i) industrial real estate assets in Singapore, excluding properties primarily used for logistics purposes and (ii) data centres worldwide beyond Singapore Trust Structure
Slide 6: 141 Properties Across 6 Property Segments
141 Properties Across 6 Property Segments S$9.2 billion1 25.2 million2 >2,000 tenants AUM NLA (sq ft) Tenant Base Light Industrial Buildings Data Centres: 55.9% 0.6% North America: 46.1% Stack-up/Ramp-up Buildings Japan: 6.6% 5.7% Singapore: 3.2% Flatted Factories 15.3% Flatted Factories Data Cen
Slide 7: Diverse Portfolio of 141 Properties
Diverse Portfolio of 141 Properties DATA CENTRES FLATTED FACTORIES Facilities used primarily for the storage and High-rise multi-tenanted industrial buildings processing of data. These include core-and- with basic common facilities used for light shell to fully-fitted facilities, which include manuf
Slide 8: 56 Data Centres Across North America
56 Data Centres Across North America Total WALE Weighted Average Unexpired Occupancy NLA1 (By GRI)2 Lease Term of Underlying Land3 Rate4 8.3m sq ft 6.2 years Freehold 90.3% Minnesota Ontario 2 1 Wisconsin 1 1 Michigan Massachusetts 2 2 Pennsylvania 2 2 Connecticut 1 Illinois 1 2 New Jersey Ohio 2 In
Slide 9: 83 Properties in Singapore
83 Properties in Singapore Total WALE Weighted Average Unexpired Occupancy NLA (By GRI)1 Lease Term of Underlying Land1 Rate2 16.4m sq ft 2.8 years 32.0 years 92.7% Data Centres Hi-Tech Buildings Flatted Factories Business Park Buildings Stack-up/Ramp-up Buildings Light Industrial Buildings 1 As at
Slide 10: Healthy Returns since IPO
Healthy Returns since IPO COMPARATIVE TRADING PERFORMANCE SINCE IPO¹ 400 MIT UNIT PRICE 121.5% 350 300 250 200 150 FTSE STRAITS TIMES INDEX 21.4% 100 FTSE ST REITS INDEX -6.7% 50 0 Oct 2010 Oct 2011 Oct 2012 Oct 2013 Oct 2014 Oct 2015 Oct 2016 Oct 2017 Oct 2018 Oct 2019 Oct 2020 Oct 2021 Oct 2022 Oc
Slide 11: Reputable Sponsor with Aligned Interest
Reputable Sponsor with Aligned Interest About the Sponsor, Mapletree Investments Global real estate development, investment, capital and property management company committed to sustainability The Sponsor owns and manages S$77.5 billion1 of assets across Asia Pacific, Europe, the United Kingdom
Slide 12: Key Highlights
KEY HIGHLIGHTS Data Centres, 44490 Chilum Place, Ashburn
Slide 13: Sustainable and Growing Returns
Sustainable and Growing Returns Amount Available for DPU Distribution to Unitholders (cents) (S$ million) 120 3.39 3.43 3.41 3.50 3.36 3.36 3.37 110 3.32 97.9 97.5 3.00 100 95.6 96.4 94.395.3 89.9 90 2.50 80 70 2.00 60 50 1.50 40 1.00 30 20 0.50 10 0 3Q¹ 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q
Slide 14: Evolving MIT Portfolio Profile
Evolving MIT Portfolio Profile Reshaping and Building a Portfolio of Assets for Higher Value Uses Through Development Projects and Acquisitions 70 Properties 141 Properties AUM by geography AUM by geography Singapore 100.0% Singapore 47.3% North America 46.1% Japan 6.6% 1 Based on MIT’s book value o
Slide 15: Portfolio Growth since IPO
Portfolio Growth since IPO 3 Asset Enhancement FY21/22 FY22/23 FY23/24 FY24/25 S$8.8b S$8.8b S$8.9b Initiatives (“AEI”) 5 Build-to-Suit (“BTS”) Projects FY20/21 11 Acquisitions S$6.8b FY19/20 S$5.9b Acquisition Acquisition FY18/19 29 US DCs Osaka Data S$4.8b US$1.32b Centre4 FY17/18 JPY52b FY16/17 S
Slide 16: 3QFY24/25 Highlights
3QFY24/25 Highlights Higher Net Property Income driven by contributions from the Tokyo Acquisition, Osaka Data Centre and new leases and renewals • 3QFY24/25 Net Property Income: S$133.2 million ( 2.6% y-o-y) • 3QFY24/25 Distribution to Unitholders: S$97.1 million ( 2.0% y-o-y) • 3QFY24/25 DPU: 3.
Slide 17: Acquisition of a Freehold Property in Tokyo, Japan
Acquisition of a Freehold Property in Tokyo, Japan • Acquisition of a multi-storey mixed-use facility in Tokyo, Japan Proposed Acquisition • Comprises data centre, back office, training facilities and an adjacent accommodation wing Purchase Consideration / 100% Basis: JPY14.5 billion (approximately
Slide 18: Strategic Location with Potential Redevelopment to a New Data Centre
Strategic Location with Potential Redevelopment to a New Data Centre In line with MIT’s portfolio rejuvenation and rebalancing efforts Data Centre Distribution in Greater Tokyo Future redevelopment opportunity with value creation potential The Property is within a network-dense location in Tama di
Slide 19: Portfolio Update
PORTFOLIO Data Centres, UPDATE 13831 Katy Freeway, Houston
Slide 20: Portfolio Overview
Portfolio Overview Singapore North American Japan Overall Portfolio Portfolio Portfolio Portfolio Number of properties 83 56 2 141 NLA (million sq ft) 16.4 8.31 0.5 25.21 Occupancy (%) 3QFY24/25 92.7 90.3 100.0 92.12 2QFY24/25 93.7 90.9 100.0 92.92 Average rental rate (psf/mth) S$2.28 US$2.48 - - SE
Slide 21: Lease Expiry Profile
Lease Expiry Profile EXPIRING LEASES BY GROSS RENTAL INCOME (GRI)1 As at 31 December 2024 WALE based on date of commencement of leases (years)2 North American Portfolio 6.2 Singapore Portfolio 2.8 Japan Portfolio 14.8 Extended lease at 8011 Villa Park Drive, Richmond ahead of its expiry in FY27/28 O
Slide 22: Large and Diversified Tenant Base
Large and Diversified Tenant Base TOP 10 TENANTS BY GROSS RENTAL INCOME1 As at 31 December 2024 5.9% Over 2,000 tenants Largest tenant contributes 5.9% of Portfolio’s Gross Rental Income 4.9% Top 10 tenants forms about 29.8% of Portfolio’s Gross Rental Income 3.7% 3.0% 2.9% 2.3% 2.3% 1.8% 1.6%
Slide 23: Tenant Diversification Across Trade Sectors
Tenant Diversification Across Trade Sectors1 No single trade sector accounted >17% of Portfolio’s Gross Rental Income By Gross Rental Income As at 31 Dec 2024 1 Based on MIT’s 50% interest of the joint venture with MIPL in three fitted data centres and 10 powered shell data centres in North America
Slide 24: Diversified Mix of Data Centres
Diversified Mix of Data Centres About 74.8% of MIT’s Data Centre Portfolio are on triple net lease structures whereby the majority of outgoings1 are borne by the tenants Good mix of powered shell, fitted and fitted hyperscale data centres SPLIT BETWEEN LEASE TYPES FOR SPLIT BETWEEN TENANT TYPES
Slide 25: Proactive Asset Management
Proactive Asset Management Three-pronged approach to managing the impact of vacancies in North American data centres Properties are located predominantly in primary data centre markets in North America Leased to diverse tenant types with a WALE of 6.2 years To manage impending lease expiration
Slide 26: Singapore Portfolio Performance
Singapore Portfolio Performance Occupancy Gross Rental Rate 100% S$ psf/mth $2.50 93.7% 93.4% 93.8% 93.6% 93.6% 93.7% 92.7% 90% $2.28 $2.26 $2.26 80% $2.21 $2.22 $2.18 $2.19 70% $2.00 60% 50% 40% $1.50 30% 20% 10% 0% $1.00 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q FY19/20
Slide 27: Rental Reversions (Singapore)
Rental Reversions (Singapore) GROSS RENTAL RATE (S$ PSF/MTH)1 For Period 3QFY24/25 Before Renewal After Renewal $3.98 $4.11 $3.73 New Leases $3.54 $3.48 Passing Rent $3.04 $3.70 $3.37 $1.96 $1.97 $1.78 $1.75 $1.52 $1.40 $1.87 $1.68 $1.40 Hi-Tech Buildings Business Park Buildings Flatted Factories St
Slide 28: Healthy Tenant Retention (Singapore)
Healthy Tenant Retention (Singapore) LONG STAYING TENANTS RETENTION RATE FOR 3QFY24/25 Up to 1 yr 7.5% >1 to 2 yrs >10 yrs 7.7% 36.3% 81.7% 75.2% 75.1% 4 yrs or 62.0% > 2 to 3 yrs less 10.3% More than 33.3% 4 yrs 66.7% 29.0% >3 to 4 yrs 7.8% N.A. 0.0% >4 to 5 yrs Data Hi-Tech Business Flatted Stack-
Slide 29: Commitment to a Sustainable Environment
Commitment to a Sustainable Environment Long-term Targets by FY29/30 15% 17% 10,000 kWp Average Building Average Building Scope 2 GHG Total Solar Energy Electricity Intensity1 Emissions Intensity1 Generating Capacity YTD FY24/25 Key Achievements 4,106 kWp WELL Health-Safety Rating Total solar genera
Slide 30: 3QFY24/25 Financial Highlights
3QFY24/25 FINANCIAL HIGHLIGHTS Hi-Tech Buildings, build-to-suit project for HP
Slide 31: Comparison of 3QFY24/25 and 3QFY23/24
Comparison of 3QFY24/25 and 3QFY23/24 3QFY24/25 3QFY23/24 Net property income increased due to Year-on-Year / () (S$’000) (S$’000) • higher contributions from Osaka Data Centre and the newly acquired mixed- Gross revenue 177,311 173,886 2.0% use facility in Tokyo; and • new leases and renewals
Slide 32: Comparison of YTD FY24/25 and YTD FY23/24
Comparison of YTD FY24/25 and YTD FY23/24 YTD FY24/25 YTD FY23/24 Net property income increased due to Year-on-Year / () (S$’000) (S$’000) • higher contributions from Osaka Data Centre and the newly acquired mixed- Gross revenue 534,035 518,632 3.0% use facility in Tokyo; and • new leases and r
Slide 33: Comparison of 3QFY24/25 and 2QFY24/25
Comparison of 3QFY24/25 and 2QFY24/25 3QFY24/25 2QFY24/25 Net property income decreased due to Quarter-on-Quarter / () (S$’000) (S$’000) • Non-renewal of leases in certain clusters in Singapore; Gross revenue 177,311 181,445 (2.3%) • higher property maintenance costs for the Singapore clusters;
Slide 34: Statement of Financial Position
Statement of Financial Position 31 Dec 2024 30 Sep 2024 / () 31 Mar 2024 / () Total assets (S$ million) 8,874.1 8,612.1 3.0% 8,664.4 2.4% Total liabilities (S$ million) 3,613.1 3,420.2 5.6% 3,375.6 7.0% Net assets attributable to 4,957.2 4,887.5 1.4% 4,984.6 (0.5%) Unitholders (S$ million) Net
Slide 35: Strong Balance Sheet
Strong Balance Sheet 31 Dec 2024 30 Sep 2024 DEBT CURRENCY PROFILE As at 31 December 2024 Total debt S$3,173.0 million S$3,014.0 million 17.8% Weighted average 3.1 years 3.4 years tenor of debt Aggregate leverage 39.8% 39.1% ratio1 20.3% Strong balance sheet to pursue growth opportunities 61.9% ‘B
Slide 36: Well Diversified Debt Maturity Profile
Well Diversified Debt Maturity Profile DEBT MATURITY PROFILE1 As at 31 December 2024 24% 24% 50.4 190.7 17% 17% 111.0 833.8 10% 649.4 602.4 100.8 397.2 3% 283.0 2% 2% 0% 125.0 1% 60.0 100.8 88.3 50.0 ∕∕ 26.5 ∕∕ 57.4 ∕∕ FY24/25 FY25/26 FY26/27 FY27/28 FY28/29 FY29/30 FY30/31 FY32/33 FY35/36 FY38/39 M
Slide 37: Risk Management
Risk Management 31 Dec 2024 30 Sep 2024 Fixed as a % of total debt 78.3% 80.4% Weighted average hedge tenor 3.2 years 3.4 years Average borrowing cost for the 3.1% 3.2% quarter Interest coverage ratio (“ICR”) for 4.7 times 4.7 times the trailing 12 months1 Adjusted ICR for the trailing 12 4.3 times
Slide 38: Outlook and Strategy
OUTLOOK AND Data Centres, 2601 West Broadway Road, Tempe STRATEGY
Slide 39: Singapore Industrial Property Market
Singapore Industrial Property Market DEMAND AND SUPPLY FOR MULTI-USER FACTORIES DEMAND AND SUPPLY FOR BUSINESS PARKS Total stock for factory and business park space: 41.6 million sq m Potential net new supply of 0.7 million sq m in 20251, of which • Multi-user factory space accounts for 0.2 mill
Slide 40: North American Data Centre Market
North American Data Centre Market1 NORTH AMERICAN COLOCATION DATA CENTRE LIVE SUPPLY, TAKE-UP AND CONTRACTED CAPACITY World’s largest data centre region with robust growth Comprised about 44.7% of the global live IT capacity4, with the United States taking up the largest share at 42.5% Steady gr
Slide 41: Outlook
Outlook Challenging operating environment in view of global uncertainties Global growth is expected to hold steady at 2.7% in 2025 and 20261. Numerous risks such as policy uncertainty, persistent inflation and escalation of geopolitical tensions remain Increasing property operating expenses and
Slide 42: Outlook
Outlook North America • According to CBRE4, the demand for data centre capacity in North America is expected to continue growing in 2025, driven by digital services, cloud computing, artificial intelligence and 5G deployment. Average vacancy rates for primary markets fell to a record-low 2.8% in 202
Slide 43: Diversified and Resilient
Diversified and Resilient Anchored by large and diversified tenant base with low dependence Stable and on any single tenant or trade sector Resilient Portfolio Focus on tenant retention to maintain a stable portfolio occupancy Hedged borrowings of 78.3% and weighted average hedge tenor of Enha
Slide 44: End of Presentation
End of Presentation For enquiries, please contact Ms Cheng Mui Lian, Senior Manager, Investor Relations and Sustainability, DID: (65) 6377 4536, Email: cheng.muilian@mapletree.com.sg
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