Singapore Exchange Ltd. · SGX:S68
Singapore Exchange — Soilbuild Business Space REIT — Investor Presentation (September 2013)
31 slides from Singapore Exchange's investor presentation, September 2013
Slide 1: Investor Presentation
Investor Presentation September 2013
Slide 2: Disclaimer
Disclaimer This presentation is for information only and does not constitute an offer or solicitation of an offer to subscribe for, acquire, purchase, dispose of or sell any units in Soilbuild Business Space REIT (“Soilbuild REIT”), and units in Soilbuild REIT, (“Units”) or any other securities or i
Slide 3: Content
Content Overview of Soilbuild REIT 3 Investment Highlights 7 Financial Highlights 25 Concluding Remarks 28
Slide 4: Overview of Soilbuild REIT
Overview of Soilbuild REIT
Slide 5: Overview of Soilbuild Business Space REIT
Overview of Soilbuild Business Space REIT Excellent Sponsorship Soilbuild Group Holdings Ltd. Best-in-Class Assets Sponsor Public Soilbuild Group Unitholders – Leading integrated property group based in Singapore with Holdings/Lim Chap Huat Sponsor close to 40 years of experience 100% 26.0% 74.0
Slide 6: IPO Portfolio Overview
IPO Portfolio Overview The Properties are located in key technology, media and back office hubs and logistics clusters, which are near air and sea transportation ports such as Changi Airport, Jurong Port and the planned mega container port at Tuas expected to be operational around 2022. IPO Portfoli
Slide 7: IPO Portfolio Overview (Cont'd)
IPO Portfolio Overview (Cont’d) Portfolio Overview Property Remaining Purchase Portfolio Composition Lease Age (1) Land Lease Occupancy Price Breakdown by Valuation Property Type Arrangement (Years) (Years) Rate (2) (S$ Million) Business Business Master Park 1.8 55 100.0% $293.4 Park Lease 43.2% Sol
Slide 8: Investment Highlights
Investment Highlights
Slide 9: Key Investment Highlights
Key Investment Highlights Attractive Returns With Potential for Upside Growth Offers Highest Sponsorship by Exposure to the Leading Integrated Attractive Business Property Group Park Sector 3 4 2 Quality Portfolio With Unique Competitive Experienced Strengths Management Team 1 5 Incentivized to Maxi
Slide 10: Quality Portfolio With Unique Competitive Strengths
1 Quality Portfolio With Unique Competitive Strengths Solaris West Park BizCentral Iconic award winning Minutes from one-north / Buona Award winning design with Individual substations for each development offering plethora of green innovations Vista MRT stations and easy accessibility to AYE and
Slide 11: Key Investment Highlights
Key Investment Highlights Attractive Returns With Potential for Upside Growth Offers Highest Sponsorship by Exposure to the Leading Integrated Attractive Business Property Group Park Sector 3 4 2 Quality Portfolio With Unique Competitive Experienced Strengths Management Team 1 5 Incentivized to Maxi
Slide 12: Offers Highest Exposure to the Business Park Sector
2 Offers Highest Exposure to the Business Park Sector Soilbuild REIT offers the largest exposure to the business park sector compared to the other SGX-listed industrial REITs. Singapore Industrial REIT Business Park Exposure (1) (Valuation of Business Parks as a % of Total Portfolio) Low end 8.0% of
Slide 13: Attractive Alternative to Office Space
2 Attractive Alternative to Office Space Advanced Building Specifications Comparable to Office Attractive Rents Relative to Office Rentals Spaces (S$ psf per month) Modern exterior building design and façade with large open landscaped spaces and various green innovations Attractive Rentals Rates +
Slide 14: Located in Business Park Clusters that Command Premium Rents
2 Located in Business Park Clusters that Command Premium Rents Soilbuild REIT’s business park properties are located in Fusionopolis within one-north and Changi Business Park, which commands some of the highest rents among the business parks in Singapore. Major Business Parks in Singapore (S$ psf pe
Slide 15: Key Investment Highlights
Key Investment Highlights Attractive Returns With Potential for Upside Growth Offers Highest Sponsorship by Exposure to the Leading Integrated Attractive Business Property Group Park Sector 3 4 2 Quality Portfolio With Unique Competitive Experienced Strengths Management Team 1 5 Incentivized to Maxi
Slide 16: Three Pronged Growth Strategy
3 Three Pronged Growth Strategy Soilbuild REIT is well positioned for robust growth through organic rental growth and the acquisition and development of properties. A Stability and Growing Cashflows from Master Leases B Upside Potential from Multi-Tenanted Properties C Acquisition Opportunities Qual
Slide 17: Stability and Growing Cashflows from Master Leases
3A Stability and Growing Cashflows from Master Leases Long Term Master Leases for over 40% of Portfolio NPI Fixed Annual Rental Escalation of Master Leased Properties (Lease Term from Start of Master Lease Agreement) % of NPI for (Rental Revenue, S$ Million) Forecast Year 2014 $25.0 $25.8 $23.7 $24.
Slide 18: Upside Potential from Multi-Tenanted Properties
3B Upside Potential from Multi-Tenanted Properties Rental rates for West Park BizCentral, Eightrium and Tuas Connection are below current market rents and are expected to revert positively as existing leases are renewed. West Park BizCentral Eightrium Tuas Connection (Lease Expiry by NLA as at 30 Ju
Slide 19: Acquisition Opportunities
3C Acquisition Opportunities ROFR assets from Sponsor with a potential GFA of 2.3 million sq ft could increase the IPO Portfolio GFA by over 72% with further upside from the acquisition of additional Business Space Properties. 1 2 Acquisition of ROFR Properties Acquisition / Development of Business
Slide 20: Key Investment Highlights
Key Investment Highlights Attractive Returns With Potential for Upside Growth Offers Highest Sponsorship by Exposure to the Leading Integrated Attractive Business Property Group Park Sector 3 4 2 Quality Portfolio With Unique Competitive Experienced Strengths Management Team 1 5 Incentivized to Maxi
Slide 21: Sponsorship by Leading Integrated Property Group
4 Sponsorship by Leading Integrated Property Group A Singapore based integrated property group with an award winning portfolio of business space and residential properties Leading One of the few Singapore construction companies graded ‘A1’ by the Building & Construction Authority (“BCA”) Integrated
Slide 22: Proven Track Record
4 Proven Track Record Gross Revenue $394.4 (S$ Million) $383.1 $320.1 44.2 65.4 14.8 $238.0 $242.0 9.9 20.6 305.3 338.9 329.0 $112.7 $105.5 $92.1 0.9 228.1 221.4 3.8 111.9 101.6 2005 2006 2007 2008 2009 2010 2011 2012 Property Development Property Investment FY2005 FY2006 FY2007 FY2008 FY2009 FY2010
Slide 23: Key Investment Highlights
Key Investment Highlights Attractive Returns With Potential for Upside Growth Offers Highest Sponsorship by Exposure to the Leading Integrated Attractive Business Property Group Park Sector 3 4 2 Quality Portfolio With Unique Competitive Experienced Strengths Management Team 1 5 Incentivized to Maxi
Slide 24: Experienced Board and Management Team
5 Experienced Board and Management Team Management Team – REIT Manager Shane Hagan Chief Executive Officer 17 years of real estate experience Roy Teo Russell Ng Kelvin Chow Chief Operating Officer Head of Investment / Investor Chief Financial Officer 13 years of real estate Relations 8 years of real
Slide 25: Strong Alignment with Unitholders
5 Strong Alignment with Unitholders Management is incentivized to deliver sustainable and quality DPU growth. 1 2 3 100% of Fees in Forecast and Performance-Base Feature No AUM Base Fee Structure + Incentivizes Manager to Grow DPU + Projection Periods to be Paid in Units Management Fee Structure and
Slide 26: Financial Highlights
Financial Highlights
Slide 27: Key Financial Parameters (as disclosed in the Prospectus)
Key Financial Parameters (as disclosed in the Prospectus) Gross Revenue Distributable Income (S$ Million) (S$ Million) $66.3 $48.5 $48.5 $35.4 (2) (2) Forecast Period 2013 Projection Year 2014 Forecast Period 2013 Projection Year 2014 Net Property Income DPU Yield on IPO Issue Price (S$ Million) (%)
Slide 28: Proactive Capital Management
Proactive Capital Management Borrowing Details 75% of Debt already hedged Total Debt Facility S$285 million 75% of the initial debt drawn down at IPO has been fixed with 2, 3 and 4 year Total Debt Drawn Down at IPO S$280 million interest rate swaps Estimated Aggregate Leverage 29.9% Weighted average
Slide 29: Concluding Remarks
Concluding Remarks
Slide 30: Soilbuild REIT – Premier Business Space REIT
Soilbuild REIT – Premier Business Space REIT Attractive Returns With Potential for Upside Growth Offers Highest Sponsorship by Exposure to the Leading Integrated Attractive Business Property Group Park Sector 3 4 2 Quality Portfolio With Unique Competitive Experienced Strengths Management Team 1 5 I
Slide 31: Thank You
Thank You Key Contacts: Shane Hagan Roy Teo Chief Executive Officer Chief Operating Officer Tel: (65) 6415 5980 Tel: (65) 6415 5983 Email: shane.hagan@soilbuild.com Email: roy.teo@soilbuild.com
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