Ascott Residence Trust A Leading Global Serviced Residence REIT

Transcription

1 Asctt Residence Trust A Leading Glbal Serviced Residence REIT Presentatin Fr PhillipCapital 9 February Presentatin Fr PhillipCapital *9 February 2018*

2 Imprtant Ntice The value f units in Asctt Residence Trust ( Asctt REIT ) (the Units ) and the incme derived frm them may fall as well as rise. The Units are nt bligatins f, depsits in, r guaranteed by Asctt Residence Trust Management Limited, the Manager f Asctt REIT (the Manager ) r any f its affiliates. An investment in the Units is subject t investment risks, including the pssible lss f the principal amunt invested. The past perfrmance f Asctt REIT is nt necessarily indicative f its future perfrmance. This presentatin may cntain frward-lking statements that invlve risks and uncertainties. Actual future perfrmance, utcmes and results may differ materially frm thse expressed in frward-lking statements as a result f a number f risks, uncertainties and assumptins. Representative examples f these factrs include (withut limitatin) general industry and ecnmic cnditins, interest rate trends, cst f capital and capital availability, cmpetitin frm similar develpments, shifts in expected levels f prperty rental incme, changes in perating expenses, including emplyee wages, benefits and training, prperty expenses and gvernmental and public plicy changes and the cntinued availability f financing in the amunts and the terms necessary t supprt future business. Prspective investrs and Unithlders are cautined nt t place undue reliance n these frward-lking statements, which are based n the current view f the Manager n future events. Unithlders f Asctt REIT (the Unithlders ) have n right t request the Manager t redeem their units in Asctt REIT while the units in Asctt REIT are listed. It is intended that Unithlders may nly deal in their Units thrugh trading n Singapre Exchange Securities Trading Limited (the SGX-ST ). Listing f the Units n the SGX-ST des nt guarantee a liquid market fr the Units. 2 Presentatin Fr PhillipCapital *9 February 2018*

3 Cntent Overview Of Asctt REIT Asctt REIT Value Creatin Key Highlights Fr FY 2017 Prtfli Perfrmance Cnclusin Appendix 3 Presentatin Fr PhillipCapital *9 February 2018*

4 Overview f Asctt REIT 4 Presentatin Fr PhillipCapital *9 February 2018* Citadines n Burke Melburne

5 Asctt REIT A Leading Glbal Serviced Residence REIT Diversified And Defensive Prtfli Of Quality Assets Lcated In Majr Gateway Cities S$2.6b Market Capitalisatin S$5.2b Ttal Assets 11,430 Apartment Units 73 Prperties 37 Cities in 14 Cuntries United Kingdm 4 prperties China 7 prperties Belgium The United States f America 3 prperties Spain 1 prperty France 17 prperties 2 prperties Germany 5 prperties Japan 15 prperties The Philippines 2 prperties Vietnam 5 prperties Singapre 4 prperties Malaysia 1 prperty Indnesia 2 prperties Ntes: Figures abve as f 2 February Including Citadines Biyun Shanghai and Citadines Gaxin Xi an Presentatin which were Fr divested PhillipCapital n 5 January *9 February 2018, ttal 2018* assets was S$5.5b. Australia 5 prperties

6 Ttal Assets (S$ billin) Asctt REIT Is The Mst Gegraphically Diversified REIT And The Largest Hspitality S-REIT By Asset Size And Market Capitalisatin Market Capitalisatin - S$2.6 billin 2 Ttal Assets - S$5.2 billin 3 Gegraphical Reach - 14 cuntries Far East Hspitality Trust Frasers Hspitality Trust CDL Hspitality Trusts Asctt REIT OUE Hspitality Trust Ascendas Hspitality Trust N. f cuntries Ntes: Figures abve as at 2 February 2018, based n latest cmpany filings. 1. Size f bubbles f ther hspitality S-REITs dentes market capitalisatin extracted frm Blmberg as at 2 February Market capitalisatin f Asctt REIT is based n unit clsing price f S$1.21 n 2 February Including Citadines Biyun Shanghai and Citadines Gaxin Presentatin Xi an which Fr were PhillipCapital divested n *95 February January 2018, 2018* ttal assets was S$5.5b.

7 What Are Serviced Residences? Hme away frm hme Fully furnished apartments catered fr bth shrt and extended stays Kitchen facilities with separate living and dining area Asctt Orchard Singapre Smerset Grand Hani Citadines Tisn d Or Brussels 7 Presentatin Fr PhillipCapital *9 February 2018*

8 What Are Serviced Residences? Lease Structure & Terms Revenue Htels Shrt-term accmmdatin Revenue frm rms and ther surces e.g. F&B, ancillary, etc. Serviced Residences Variable lease terms Revenue predminantly frm rms Cst Structure Seasnality Higher staff-t-rm rati Full range f hspitality services Predminantly seasnal nature f turism industry Lwer staff-t-rm rati Limited services prvided Predminantly driven by lngterm macrecnmic factrs such as GDP grwth and FDI inflws 8 Presentatin Fr PhillipCapital *9 February 2018*

9 Awards & Acclades The Asia Pacific Best f the Breeds REITs Awards 2017 Best Hspitality REIT Platinum Ranked 6 ut f the 42 Trusts in the Singapre Gvernance and Transparency Index 2017 REIT and Business Trust Categry 4 1 f ur prperties wn Wrld Travel Awards TM 2017 Leading Serviced Apartments fr the respective cuntries Asctt Raffles Place Singapre wn Business Traveller Asia-Pacific Awards 2017 Best Serviced Residence in Asia Pacific Asctt Orchard Singapre wn Travel Weekly Asia Readers Chice Awards 2017 Best Serviced Residence Prperty TripAdvisr 5 2 f ur prperties awarded Travellers Chice Award f ur prperties awarded Travellers Chice Award f ur prperties awarded Certificate f Excellence Award 2017 Ntes: 1. The 4 prperties are Citadines Michel Hamburg, Citadines Sainte-Catherine Brussels, Citadines Shinjuku Tky and Smerset Grand Hani. 2. The 5 prperties are Asctt Raffles Place Singapre, La Clef Luvre Paris, Citadines Karasuma-Gj Kyt, Smerset Grand Hani and Smerset H Chi Minh City. 3. The 7 prperties are Asctt Makati, Citadines Suth Kensingtn Lndn, La Clef Luvre Paris, Smerset Ampang Kuala Lumpur, Smerset Grand Hani, Smerset H Chi Minh City and Smerset Xu Hui Shanghai Fr the full list f the awards, please refer t Presentatin Fr PhillipCapital *9 February 2018*

10 Asctt REIT Value Creatin Citadines City Centre Frankfurt 10 Presentatin Fr PhillipCapital *9 February 2018*

11 Asctt REIT s Value Creatin 11 Presentatin Fr PhillipCapital *9 February 2018*

12 1. Grwth By Acquisitin Asctt REIT s Ttal Assets Has Increased Fivefld Since Its Listing In 2006 Ttal Assets (S$ billin) Nte: 1. Including Citadines Biyun Shanghai and Citadines Gaxin Xi an which were divested n 5 January Presentatin Fr PhillipCapital *9 February 2018*

13 Grwth By Acquisitin Rbust Grwth In Grss Prfit And Delivered A Strng Ttal Sharehlder Return Of 338% 1 Since IPO Grss Prfit (S$ millin) Unithlders Distributin (S$ millin) Nte: 13 Presentatin Fr PhillipCapital *9 February 2018* 1. Extracted frm Blmberg n 8 February 2018, using IPO price f S$0.68 and unit clsing price f S$1.21 n 2 February 2018.

14 1. Grwth By Acquisitin Asctt REIT s Strng Acquisitin Track Recrd Since Listing 2006 (S$217.5m) Smerset Olympic Twer Tianjin S$76.8m 40% stake in Rppngi Residences 1 S$20.7m Asctt Makati S$87.5m Smerset Grdn Heights Melburne S$13.9m 26.8% stake in Smerset Chancellr Curt H Chi Minh City S$18.6m 2008 (S$56.7m) Citadines St Gerges Terrace Perth 2 S$36.1m 70% stake in Smerset West Lake Hani S$20.6m 2011 (S$58.9m) 60% stake in Citadines Shinjuku Tky S$58.9m 2013 (S$287.4m) Smerset Heping Shenyang S$86.2m Citadines Biyun Shanghai S$63.2m Citadines Xinghai Suzhu S$23.2m 11 rental husing prperties in Japan S$114.8m 2015 (S$519.0m) Citadines n Burke Melburne S$167.6m 40% stake in Citadines Shinjuku Tky S$33.7m 40% stake in Citadines Karasuma-Gj Kyt S$16.0m 4 rental husing prperties in Osaka S$81.0m Element New Yrk Times Square West S$220.7m 2017 (S$648.3m) 93% stake in Citadines Michel Hamburg S$43.2m 93% stake in Citadines City Centre Frankfurt S$51.7m DubleTree by Hiltn Htel New Yrk Times Square Suth S$148.4m Asctt Orchard Singapre S$405.0m 2007 (S$304.1m) Smerset Azabu East Tky S$79.8m 60% stake in Rppngi Residences 1 S$36.4m 40.2% stake in Smerset Chancellr Curt H Chi Minh City S$27.9m 18 rental husing prperties in Tky S$160.0m 2010 (S$1.2b) 2 Asian prperties in Singapre and Vietnam, and 26 Eurpean prperties in France, UK, Germany, Belgium and Spain S$1.2b Ntes: Figures abve are based n agreed prperty value 1. Frmerly knwn as Smerset Rppngi Tky 2. Frmerly knwn as Smerset St Gerges Terrace Perth 3. Frmerly knwn as Best Western Shinjuku Astina Htel 2012 (S$395.4m) 60% stake in Citadines Karasuma-Gj Kyt S$28.9m Asctt Raffles Place Singapre S$220.0m Asctt Guangzhu S$85.7m Madisn Hamburg S$60.8m 2014 (S$559.1m) Smerset Grand Central Dalian S$118.6m Infini Garden S$78.4m Smerset Ampang Kuala Lumpur S$67.4m Citadines Zhuanku Wuhan S$51.4m Citadines Gaxin Xi an S$55.1m Citadines Central Shinjuku Tky 3 S$95.2m Quest Sydney Olympic Park, Quest Masct, and Quest Campbelltwn S$93.0m 2016 (S$218.0m) Sheratn Tribeca New Yrk Htel S$218.0m Ttal Asset Value Acquired Since Listing S$4.5 billin (as at 31 December 2017) 14 Presentatin Fr PhillipCapital *9 February 2018*

15 Active Asset Management Thrugh Capital Recycling Prperties With A Ttal Divestment Value Of S$1.3 billin Have Been Recycled And Re-deplyed Int Higher Yielding Assets Since (S$335.7m) Asctt Beijing S$301.8m Cuntry Wds Jakarta S$33.9m Asctt Beijing Cuntry Wds Jakarta The prceeds frm the 2012 divestments were deplyed t fund the yield accretive acquisitins f Asctt Raffles Place Singapre Asctt Guangzhu 2014 (S$140.0m) Frtune Garden Apartments 1 Frtune Garden Apartments (S$60.3m) 6 Rental Husing Prperties in Japan S$53.1m Salced Residence S$7.2m Salced Residences Asctt REIT Divested 18 Rental Husing Prperties in Japan Citadines Biyun Shanghai Citadines Gaxin Xi an The prceeds frm the 2010 divestments were used t partly fund the yield accretive acquisitins f Citadines Munt Sphia Prperty Singapre, Smerset Ha Binh Hani 26 Eurpean prperties in France, UK, Germany, Belgium and Spain 2012 (S$374.6m) Smerset Grdn Heights Melburne S$15.6m Smerset Grand Cairnhill Singapre S$359.0m Smerset Grdn Heights Melburne Smerset Grand Cairnhill Singapre Asctt REIT has cmpleted the strata sale f 81 apartment units as at July Asctt REIT Divested Six Rental Husing Prperties In Japan Salced Residences in Philippines 2017 (S$351.6m) 18 Rental Husing Prperties in Japan S$153.6m Citadines Biyun Shanghai & Citadines Gaxin Xi an S$198.0m Citadines Biyun Shanghai Citadines Gaxin Xi an Aggregate net divestment gain f S$304.4m during the perid FY 2010 FY 2017 Nte: Figures abve are based n agreed sale price Frmerly knwn as Smerset Grand Frtune Garden Presentatin Prperty Beijing Fr PhillipCapital *9 February 2018*

16 Active Asset Management Enhance Value And Drive Organic Grwth Thrugh Asset Enhancement Initiatives Smerset H Chi Minh City (Final Phase) Renvatin f 66 apartment units ADR uplift f ~23% 1 Pre-refurbishment Pst-refurbishment Smerset Millennium Makati Renvatin f lbby and 113 apartment units ADR uplift f ~14% 1 Pre-refurbishment Pst-refurbishment Nte: 1. Figures refer t the year-n-year ADR imprvement f refurbished apartments. 16 Presentatin Fr PhillipCapital *9 February 2018*

17 Active Asset Management Citadines Munt Sphia Singapre Rejuvenated Lbby And Breakfast Lunge Lbby: Pre-refurbishment Breakfast Lunge: Pre-refurbishment Lbby: Pst-refurbishment Breakfast Lunge: Pst-refurbishment 17 Presentatin Fr PhillipCapital *9 February 2018*

18 3. Capital and Risk Management Healthy Balance Sheet And Credit Metrics As at 31 December 2017 Gearing 36.2% 1 Interest Cver 4.7X Effective Brrwing Rate 2.4% Ttal Debts n Fixed Rates 81% 2 Weighted Avg Debt t Maturity (Years) 4.1 NAV/Unit Adjusted NAV/Unit (excluding the distributable incme t Unithlders) Asctt REIT s Issuer Rating Ntes: 1. Gearing is apprximately 34.5% taking int accunt the divestments f Citadines Biyun Shanghai and Citadines Gaxin Xi an, which was cmpleted n 5 January The decrease is mainly due t the additinal lan draw dwn t finance the acquisitin f Asctt Orchard Singapre. Upn the repayment f the bank lan using the prceeds frm the China divestments, the ttal debts n fixed rates will increase t 87%. 3. Credit rating by Fitch Ratings Credit rating by Mdy s. Presentatin Fr PhillipCapital *9 February 2018* S$1.25 S$1.21 BBB 3 (utlk stable) Baa3 4

19 Cntinues t diversify funding surces and spread ut debt maturity ver the lng-term Well-spread Debt Maturity; ~13% Debt Maturing In 2018 Debt Maturity Prfile As at 31 December 2017 By Debt Type As at 31 December 2017 S$ m 25% 24% % 13% % 14% and after 4% 15% 293 <1% 5 Ttal Debt S$1,958m 40% Bank lans 2.01% p.a. fixed rate JPY5b MTN 4.30% p.a. fixed rate S$100m MTN 1.65% p.a. fixed rate JPY7b MTN 4.21% p.a. fixed rate S$200m MTN % p.a. fixed rate JPY7.3b MTN 2.75% p.a. fixed rate EUR80m MTN 4.00% p.a. fixed rate S$120m MTN 2 Bank Lans Medium Term Ntes ( MTN ) Ntes: 1. S$ prceeds frm the ntes have been swapped int Eurs at a fixed interest rate f 1.82% p.a. ver the same tenure S$ prceeds frm the ntes have been swapped int Eurs at a fixed interest rate f 2.15% p.a. ver the same tenure Presentatin Fr PhillipCapital *9 February 2018*

20 Freign Currency Risk Management Asctt REIT Adpts A Natural Hedging Strategy T The Extent Pssible; ~48% Of The Ttal Assets Denminated In Freign Currency Has Been Hedged Debt By Currency (%) As at 31 December 2017 Balance Sheet Hedging (%) As at 31 December 2017 EUR 35% JPY 90 EUR 79 JPY 31% Ttal Debt S$1,958m USD RMB GBP VND 15 GBP 5% RMB SGD 3% 5% USD 21% PHP AUD MYR Presentatin Fr PhillipCapital *9 February 2018*

21 3. Freign Currency Risk Management Overall Exchange Rate Fluctuatins Have Been Largely Mitigated With Impact T Grss Prfit At -0.5% Currency Grss Prfit FY 2017 (%) Exchange Rate Mvement Frm 31 Dec 2016 t 31 Dec 2017 (%) EUR JPY USD VND GBP RMB SGD AUD PHP MYR Ttal ~70% f the distributin incme derived in EUR, GBP and JPY had been hedged 21 Presentatin Fr PhillipCapital *9 February 2018*

22 Key Highlights f FY Presentatin Fr PhillipCapital *9 February 2018* Asctt Orchard Singapre

23 Key Highlights f FY 2017 Revenue And Unithlders Distributin Grew 4% And 13% Y--Y Respectively Revenue (S$m) 4% Y--Y Grss Prfit (S$m) 2% Y--Y Revenue Per Available Unit (S$) 3% 140 Y--Y 144 FY 2016 FY 2017 Unithlders Distributin (S$m) 13% Y--Y FY 2016 FY 2017 Distributin Per Unit (S cents) % Y--Y 7.09 FY 2016 FY 2017 Adjusted Distributin Per Unit (S cents) 5% Y--Y FY 2016 FY 2017 FY 2016 FY 2017 Mainly due t Rights Issue 2 cmpleted in April 2017 FY 2016 FY 2017 DPU adjusted fr ne-ff items, equity placement, Rights Issue and divestment gain Ntes: 1. This includes partial distributin f the gains frm the divestment f Citadines Biyun Shanghai and Citadines Gaxin Xi an f S$6.5 millin. 2. On 11 April 2017, 481,688,010 units were issued t raise grss prceeds f S$442.7m t part fund the acquisitins f tw serviced residences in Germany, Citadines Michel Hamburg and Citadines City Centre Frankfurt, and Asctt Orchard Singapre. 3. Excluding the ne-ff realised exchange gain f S$11.8m arising frm repayment f freign currency bank lans and sharehlders lans frm the Grup s subsidiaries in 2016 and the effect f the equity placement exercise n 23 March 2016, whereby 94,787,000 new units were issued t raise S$100.0 millin grss prceeds t fund the acquisitin f Sheratn Tribeca New Yrk Htel (2016 Acquisitin) as cmpleted n 29 April Excluding the effects f the Rights Issue whereby the prceeds were used t part finance the acquisitin f Asctt Orchard Singapre, which was cmpleted n 10 Octber 2017, and cntributin frm Asctt Orchard Singapre fr 4Q Excluding the cntributin frm the 2016 Acquisitin, as mentined in nte 3, fr 23 1Q Excluding ne-ff realised exchange gain f Presentatin S$11.9m arising Fr frm PhillipCapital repayment *9 f freign February currency 2018* bank lans with the prceeds frm the Rights Issue. Excluding the divestment gain f S$6.5 millin as mentined in nte 1.

24 Key Highlights f FY 2017 Entrenching Our Presence In The Key Gateway Cities With 4 Quality Prperties Enhancing incme stability with master lease arrangements Germany 1. Citadines City Centre Frankfurt S$51.7m 2. Citadines Michel Hamburg S$43.2m Citadines Michel Hamburg Singapre 3. Asctt Orchard Singapre S$405.0m Building scale in New Yrk City which has been cnsistently enjying high demand Citadines City Centre Frankfurt The United States f America 4. DubleTree by Hiltn Htel New Yrk Times Square Suth S$148.4m Ttal Asset Value Acquired: S$648.3 millin Asctt Orchard Singapre DubleTree by Hiltn Htel New Yrk Times Square Suth 24 Presentatin Fr PhillipCapital *9 February 2018*

25 Key Highlights f FY 2017 Strategic Prtfli Recnstitutin Divested a prtfli f 18 rental husing prperties in Tky, Japan n 26 April % abve valuatin Net divestment gain f S$20.1m 1 Divestment f 2 serviced residences in China, Citadines Biyun Shanghai and Citadines Gaxin Xi an n 5 January % abve valuatin Net divestment gain f S$51.6m 2 Asyl Curt Nakan Sakaue Tky Zesty Akebnbashi Ttal Divestment Value: S$351.6 millin Citadines Biyun Shanghai Citadines Gaxin Xi an Ntes: 1. Cnsists f S$17.2m recgnised in 2Q 2017 and S$2.9m recgnised in 3Q In 3Q 2017, ART recgnised a net surplus n revaluatin f S$51.6 millin pursuant t the annuncement n 3 July 2017 fr the divestment f these 25 Presentatin Fr PhillipCapital *9 February 2018* tw prperties.

26 Key Highlights f FY 2017 Strengthen Value And Quality Thrugh Asset Enhancement Initiatives Cmpleted the refurbishments at Smerset Millennium Makati, Smerset H Chi Minh City and Citadines Barbican Lndn, leading t ADR uplift f: 14% Y--Y Smerset Millennium Makati 23% Y--Y Smerset H Chi Minh City 10% Y--Y Citadines Barbican Lndn Citadines Barbican Lndn Additinal rental revenue with the newly created area that is leased t Surced Market, a fd & beverage retailer Citadines Munt Sphia Singapre Rejuvenated the lbby and breakfast lunge Citadines Barbican Lndn New F&B Retailer 26 Presentatin Fr PhillipCapital *9 February 2018* Citadines Barbican Lndn Pst-refurbishment

27 Key Highlights f FY 2017 Disciplined And Prudent Capital Management Successfully raised S$442.7m thrugh a rights issue in April 2017 which was 1.8 times versubscribed Gearing remained lw at 36.2% 1 as at 31 December 2017 Effective brrwing rate maintained at 2.4% per annum ~81% f ttal brrwings is fixed t hedge against the rising interest rate ~48% f the ttal assets denminated in freign currencies has been hedged After taking int accunt the freign exchange hedges, impact f freign exchange fluctuatin n grss prfit is largely mitigated at -0.5% Fitch Ratings assigns a first-time lng-term Issuer Default Rating f 'BBB' with stable utlk, reaffirming the strng business risk prfile that is underpinned by the resilience f its glbally diversified prtfli acrss ecnmic cycles Nte: 1. Gearing is apprximately 34.5% taking int accunt the divestments f Citadines Biyun Shanghai and Citadines Gaxin Xi an, which was 27 cmpleted n 5 January Presentatin Fr PhillipCapital *9 February 2018*

28 Prtfli Perfrmance Asctt Guangzhu 28 Presentatin Fr PhillipCapital *9 February 2018*

29 Stable Perfrmance Driven by A Balanced and Diversified Prtfli Breakdwn Of Ttal Assets By Gegraphy As At 31 December 2017 Asia Pacific 62.3% Eurpe 26.1% Singapre 17.9% France 9.8% China 15.0% Japan 12.5% Viet nam 5.6% Aust ralia 5.3% Philippines 3.0% Indnesia 2.0% Malaysia 1.0% Asctt REIT s Ttal Assets S$5.5b UK 9.0% Germany 4.8% Spain 1.3% Belgium 1.2% The Americas 11.6% USA 11.6% 29 Presentatin Fr PhillipCapital *9 February 2018*

30 Balanced Prtfli Underpinned By Stable And Grwth Incme Stable Incme Grwth Incme Prperties under Master Lease Prperties under Management Cntracts with Minimum Incme Guarantee Prperties n Management Cntracts Descriptin Master Lessees pay fixed rental per annum 1 t Asctt REIT Prperties n management cntracts that enjy minimum guaranteed incme N fixed r guaranteed rental but Asctt / third party peratr manages Asctt REIT s prperties fr a fee Percentage f Grss 29% 13% 58% Prfit 2 42% Ntes: 1. The rental payments under the master leases are generally fixed fr a perid f time. Hwever, the master leases prvide fr annual rental revisins and/r pegged t indices representing cnstructin csts, inflatin r cmmercial rental prices accrding t market practice. Accrdingly, the rental revisins may be adjusted upwards r dwnwards depending n the abve factrs Based n FY 2017 grss prfit. Presentatin Fr PhillipCapital *9 February 2018*

31 42% f Grss Prfit in FY 2017 Cntributed by Stable Incme 35 Out Of 75 1 Prperties Enjy Incme Visibility Derived Frm Master Leases And Minimum Guaranteed Incme Cntracts With Weighted Average Tenure Extended T ~6 Years Grss prfit cntributin by cntract type in FY 2017 Prperties under master leases and management cntracts with minimum guaranteed incme 58% Master Leases FY 2017 Grss Prfit S$226.9m France, 14% Germany, 5% Singapre, 4% Australia, 3% Japan, 2% United Kingdm, 10% Belgium, 2% Spain, 2% 42% Stable Incme Management Cntracts with Minimum Guaranteed Incme Management Cntracts United Kingdm 4 Prperties 3 Germany 5 Prperties 2 France 17 Prperties 2 Spain 1 Prperty 3 Belgium 2 Prperties 3 Singapre 2 Prperties 2 Australia 3 Prperties 2 Japan 1 Prperty 2 Ntes: 1. Including Citadines Biyun Shanghai and Citadines Gaxin Xi an, which were divested n 5 January Prperties under master leases. Presentatin Fr PhillipCapital *9 February 2018* 3. Prperties under management cntracts with minimum guaranteed incme.

32 Master Leases (FY 2017 vs FY 2016) La Clef Luvre Paris Citadines Les Halles Paris Citadines Crisette Cannes Citadines Arnulfpark Munich Asctt Raffles Place Singapre Quest Sydney Olympic Park Revenue And Grss Prfit Grew 11% And 10% Respectively Due T Inrganic Grwth Revenue ( mil) Grss Prfit ( mil) FY 2017 FY 2016 % Change FY 2017 FY 2016 % Change Australia (AUD) 3 Prperties France (EUR) 17 Prperties Germany (EUR) 1 5 Prperties Japan (JPY) 1 Prperty Singapre (SGD) 2 2 Prperties Ttal (SGD) 28 Prperties Ntes: 1. Revenue and grss prfit fr Germany increased by 35% due t the acquisitin f Citadines Michel Hamburg and Citadines City Centre Frankfurt n 2 May Revenue and grss prfit fr Singapre increased by 35% and 29% respectively due t the acquisitin f Asctt Orchard Singapre n 10 Octber Presentatin Fr PhillipCapital *9 February 2018*

33 Management Cntracts with Minimum Guaranteed Incme (FY 2017 vs FY 2016) Citadines Tisn d Or Brussels Citadines Ramblas Barcelna Citadines Trafalgar Square Lndn Revenue, Grss Prfit And Revpau Grew 4% Y--Y Each Due T Turnarund Of Belgium Perfrmance FY 2017 Revenue ( mil) Grss Prfit ( mil) RevPAU FY 2016 % Change FY 2017 FY 2016 % Change FY 2017 FY 2016 % Change Belgium (EUR) 2 Prperties Spain (EUR) 1 Prperty United Kingdm (GBP) 4 Prperties (2) Ttal (SGD) 7 Prperties Presentatin Fr PhillipCapital *9 February 2018*

34 58% f Grss Prfit in FY 2017 Cntributed by Grwth Incme 40 Out Of 75 1 Prperties Enjy Upside Grwth Ptential Derived Frm Management Cntracts Grss prfit cntributin by cntract type in FY 2017 Japan, 12% 58% Grwth Incme Prperties under management cntracts Vietnam, 11% USA, 10% FY 2017 Grss Prfit S$226.9m 29% China, 9% Malaysia, 1% Australia, 5% Indnesia, 3% Singapre, 4% Philippines, 3% Master Leases 13% Management Cntracts with Minimum Guaranteed Incme Management Cntracts USA 3 Prperties Malaysia 1 Prperty China 9 1 Prperties Vietnam 5 Prperties Indnesia 2 Prperties Japan 14 Prperties The Philippines 2 Prperties Singapre 2 Prperties Australia 2 Prperties Nte: Including Citadines Biyun Shanghai and Citadines Gaxin Presentatin Xi an, which Fr PhillipCapital were divested n *9 February 5 January 2018* 2018.

35 Management Cntracts (FY 2017 vs FY 2016) Revenue And Revpau Grew 3% And 2% Y--Y Respectively FY 2017 Revenue ( mil) Grss Prfit ( mil) RevPAU FY 2016 % Change FY 2017 FY 2016 % Change FY 2017 FY 2016 % Change Australia (AUD) (2) (1) China (RMB) (1) Indnesia (USD) (3) (12) (5) Japan (JPY) 1 4, ,764.6 (12) 2, ,665.4 (19) 11,721 12,466 (6) Malaysia (MYR) (10) (10) (10) Philippines (PHP) ,284 3, Singapre (SGD) (6) (6) (5) United States (USD) (8) Vietnam (VND) ,647 1, Ttal (SGD) (2) Ntes: RevPAU fr Japan refers t serviced residences and excludes Presentatin rental husing Fr PhillipCapital *9 February 2018* 2. Revenue and grss prfit figures fr VND are stated in billins. RevPAU figures are stated in thusands

36 Cntinue T Fcus On Extended Stay Segments Breakdwn Of Apartment Rental Incme By Length Of Stay FY % 15% Average length f stay was ~3 mnths 1, which prvides incme stability 9% 14% 57% 1 week r less Less than 1 mnth 1 t 6 mnths 6 t 12 mnths Mre t han 12 mnt hs Nte: 1. Based n rental incme. Excluding prperties n master leases and the 18 rental husing prperties in Japan that were divested n 26 April Presentatin Fr PhillipCapital *9 February 2018*

37 Practive Asset Management Onging Asset Enhancement Initiatives 1 Sheratn Tribeca New Yrk Htel The United States f America Asctt Makati (Phase II) The Philippines Descriptin Descriptin Phase I: Renvatin f public areas Phase II: Renvatin f guestrms and tilets Perid f renvatin Target t cmplete in Mar 2018 Renvatin f 183 apartment units and mechanical & electrical system Perid f renvatin Target t cmplete in May 2018 Smerset Grand Hani Vietnam Descriptin Perid f renvatin Renvatin f tilets and FFE replacement Cmpleted phase I in Dec 2017, phase II t cmmence in April 2018 Element New Yrk Times Square West Smerset Grand Citra Jakata Indnesia Descriptin Perid f renvatin Q t Q Descriptin Renvatin f 84 apartment units and mechanical & electrical system Perid f renvatin Feb 2018 Q Renvatin f apartment units and public area Nte: Excluding prperties n master leases. Presentatin Fr PhillipCapital *9 February 2018*

38 Cnclusin Asctt Makati 38 Presentatin Fr PhillipCapital *9 February 2018*

39 Asctt REIT Investment Prpsitin 1 Largest hspitality REIT in Singapre - Ttal asset f S$5.2b 1 - Market capitalisatin f S$2.6b 2 Well-balanced prtfli with 58% 2 f grss prfit cntributed by grwth incme and 42% 2 by stable incme 3 Stable & resilient returns thrugh a prtfli f quality & gegraphically diversified assets in strategic lcatins prperties acrss 37 cities and 14 cuntries 4 Flexible Business Mdel - Enhances demand and value with the ability t cater t bth shrt and extended stays 5 Strng spnsr supprt - Extensive glbal ftprint - Prven track recrd f serviced residence management - A suite f well established brands Ntes: 1. Including Citadines Biyun Shanghai and Citadines Gaxin Xi an which were divested n 5 January 2018, ttal assets was S$5.5b and number f prperties was 75 in 38 cities Based n FY 2017 grss prfit. Presentatin Fr PhillipCapital *9 February 2018*

40 Cnclusin Fcused and cmmitted n delivering stable and resilient returns t Unithlders thrugh the depsitry f diversified and quality assets, tgether with the extended-stay business mdel and its master leases and management cntracts with minimum guaranteed incme 1 Grwth Thrugh Yield Accretive Acquisitins Remains n the lkut fr suitable pprtunities fr accretive pprtunities in key gateway cities 2 Practive Asset Management Clsely mnitr and evaluate the assets t identify pprtunities t unlck values f the prperties that have reached their ptimal stage Cntinues t enhance value f prperties thrugh AEI fr certain prperties in Vietnam, Philippines and United Kingdm which uplifted the ADR 3 Disciplined and Prudent Capital Management Maintained effective brrwing rate at a healthy level with ~81% f the Grup s brrwings n fixed interest rates Ensure n majr refinancing required in any specific perid and stay vigilant t changes in macr and credit envirnment that may impact Asctt REIT s financing plans 40 Presentatin Fr PhillipCapital *9 February 2018*

41 Smerset H Chi Minh City 41 Presentatin Fr PhillipCapital *9 February 2018* Appendix

42 Strng Spnsr The Asctt Limited A Whlly-wned Subsidiary Of CapitaLand Limited One f the leading internatinal serviced residence wnerperatrs with extensive presence >30 year track recrd, pineered Pan-Asia s first internatinal-class serviced residence prperty in 1984 Spnsr c.44% CapitaLand wnership in Asctt REIT Nte: Exclude the number f prperties under the Synergy crprate Presentatin husing Fr prtfli PhillipCapital *9 February 2018* Award-winning brands with wrldwide recgnitin

43 Asctt s Brands Asctt Orchard Singapre Asctt Exclusive city living hmes with discreet services fr business travellers in key gateway cities. Citadines Saint-Germain-des-Prés Paris, France Citadines Ideal hme in the city with flexible services fr individuals n the g. Smerset Wusheng Wuhan, China Smerset Stylish apartments ffering the cmfrts and familiarity f hme fr executives. 43 Presentatin Fr PhillipCapital *9 February 2018*

44 Asctt s Brands Artist s impressin Quest West Perth, Australia Quest Spacius serviced apartment style htel rms perfect fr shrt and lng stays, lcated acrss Australia, New Zealand and Fiji. La Clef Tur Eiffel Paris, France The Crest Cllectin Luxurius city living with discreet services fr business travellers. lyf Funan, Singapre lyf A new way f living and cllabrating as a cmmunity, cnnecting guests with fellw travellers and change-makers. 44 Presentatin Fr PhillipCapital *9 February 2018*

45 Overview f Asctt REIT Trust Structure Unithlders Hlding f Units Distributins Manager Asctt Residence Trust Management Limited Management Services Management Fees Acts n behalf f Unithlders Trustee s Fees Trustee DBS Trustee Limited fr Unithlders Net Prfit Dividends Ownership f Assets Ownership f Shares Singapre Prperties Asctt Raffles Place Singapre & Asctt Orchard Singapre Master Lease Master Lease Incme Master Lessees Master Lease Master Lease Incme Prperty Hlding Cmpanies / Prperty Cmpanies Citadines Munt Sphia Prperty Singapre & Smerset Liang Curt Prperty Singapre Serviced Residence Management Fees Serviced Residence Management Services Serviced Residence Management Cmpanies Serviced Residence Management Fees Serviced Residence Management Services 45 Presentatin Fr PhillipCapital *9 February 2018*

46 Diversified Gegraphical Ftprint Acrss 37 Cities in 14 Cuntries United States f America DubleTree by Hiltn Htel New Yrk Times Square Suth Element New Yrk Times Square West Sheratn Tribeca New Yrk Htel Spain Citadines Ramblas Barcelna France United Kingdm Citadines Barbican Lndn Citadines Hlbrn-Cvent Garden Lndn Citadines Suth Kensingtn Lndn Citadines Trafalgar Square Lndn Citadines Austerlitz Paris Citadines Didt Mntparnasse Paris Citadines Les Halles Paris Citadines Maine Mntparnasse Paris Citadines Mntmartre Paris Citadines Place d Italie Paris Citadines République Paris Citadines Tur Eiffel Paris Citadines Trcadér Paris La Clef Luvre Paris Citadines Crisette Cannes Citadines City Centre Grenble Belgium Citadines City Centre Lille Citadines Sainte-Catherine Brussels Citadines Presqu île Lyn Citadines Tisn d Or Brussels Citadines Castellane Marseille Citadines Prad Chant Marseille Citadines Antigne Mntpellier Germany Citadines Arnulfpark Munich Citadines City Centre Frankfurt Citadines Kurfürstendamm Berlin Citadines Michel Hamburg Madisn Hamburg China 46 Presentatin Fr PhillipCapital *9 February 2018* Asctt Guangzhu Citadines Xinghai Suzhu Citadines Zhuanku Wuhan Smerset Grand Central Dalian Smerset Heping Shenyang Smerset Olympic Twer Prperty Tianjin Smerset Xuhui Shanghai Philippines Asctt Makati Smerset Millenium Makati Malaysia Smerset Ampang Kuala Lumpur Indnesia Asctt Jakarta Smerset Grand Citra Jakarta Japan Citadines Central Shinjuku Tky Citadines Shinjuku Tky Smerset Azabu East Tky Citadines Karasuma-Gj Kyt Actus Hakata V-Twer Big Palace Kita 14j Gravis Curt Kakmachi Gravis Curt Kkutaji Gravis Curt Nishiharaekimae Infini Garden Rppngi Residences Tky S-Residence Hmmachi Marks S-Residence Tanimachi 9 chme S-Residence Midribashi Seri S-Residence Fukushima Luxe Vietnam Smerset Grand Hani Smerset Ha Binh Hani Smerset West Lake Hani Smerset Chancellr Curt H Chi Minh City Smerset H Chi Minh City Singapre Asctt Orchard Asctt Raffles Place Citadines Munt Sphia Smerset Liang Curt Australia Citadines On Burke Melburne Citadines St Gerges Terrace Perth Quest Campbelltwn Quest Masct Quest Sydney Olympic Park

47 Thank Yu 47 Presentatin Fr PhillipCapital *9 February 2018*