CapitaLand China Trust : Presentation Slides (11013 KB)

CapitaLand China Trust

CapitaLand Investment

and CLI REITs Corporate

Day 2023, Bangkok

24 November 2023

CapitaMall Xizhimen, Beijing, China

Disclaimer

This presentation may contain forward-looking statements. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these factors include (without limitation) general industry and economic conditions, interest rate trends, cost of capital and capital availability, availability of real estate properties, competition from other developments or companies, shifts in customer demands, shifts in expected levels of occupancy rate, property rental income, charge out collections, changes in operating expenses (including employee wages, benefits and training, property operating expenses), governmental and public policy changes and the continued availability of financing in the amounts and the terms necessary to support future business.

You are cautioned not to place undue reliance on these forward-looking statements, which are based on the current view of management regarding future events. No representation or warranty express or implied is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Neither CapitaLand China Trust Management Limited ("Manager") nor any of its affiliates, advisers or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising, whether directly or indirectly, from any use of, reliance on or distribution of this presentation or its contents or otherwise arising in connection with this presentation.

The past performance of CapitaLand China Trust ("CLCT") is not indicative of future performance. The listing of the units in the CLCT ("Units") on the Singapore Exchange Securities Trading Limited (SGX-ST) does not guarantee a liquid market for the Units. The value of the Units and the income derived from them may fall as well as rise. Units are not obligations of, deposits in, or guaranteed by, the Manager or any of its affiliates. An investment in the Units is subject to investment risks, including the possible loss of the principal amount invested. Investors have no right to request that the Manager redeem or purchase their Units while the Units are listed on the SGX-ST. It is intended that holders of Units may only deal in their Units through trading on the SGX-ST.

This presentation is for information only and does not constitute an invitation or offer to acquire, purchase or subscribe for the Units.

Capi t aLand Chi na Tr ust

CapitaLand Investment and CLI REITs Corporate Day 2023, Bangkok

2

Table of Contents

01	05
Overview of CLCT	Looking Forward

02

3Q 2023 Business

Update

03

Capital Management

04

Portfolio Overview

Ascendas Innovation Towers, Xi'an, China

Overview

of CLCT

Ascendas Xinsu Square R&D, Suzhou, China

Future-Ready and Resilient Portfolio

First and Largest China-FocusedS-REIT

2 HARBIN

Located in	Total Assets1
12 cities	S$5.2 billion

Gross Floor Area	Portfolio Occupancy2
~2 mil sq m	93.1%

Market Cap3	Distribution Yield4
S$1.4 billion	8.9%

Notes:

* Number of properties indicated for cities with more than one property in the same asset class.

1. As at 30 June 2023
2. As at 30 September 2023.
3. As at 15 November 2023.
4. Based on annualised 1H 2023 DPU of 7.45 S cents and unit price of S$0.84 as at 15 November 2023.

HOHHOT

	BEIJING
	4
XI'AN
2
CHENGDU		KUNSHAN
WUHAN
SUZHOU	SHANGHAI
	2
CHANGSHA	HANGZHOU

GUANGZHOU

Capi t aLand Chi na Tr ust

CapitaLand Investment and CLI REITs Corporate Day 2023, Bangkok

5

Transformed and Diversified Portfolio

Expanded Investment Strategy to Capture Real Estate Trends that Focus on Domestic Consumption and Innovation- Driven Growth

Backed by Policies and Measures to Support the Economy

Divested 5 non-core and

matured assets since listing,

including 4 out of 7 IPO assets and pursued new growth with capital recycled

Retail	+ Business	+ Logistics	AEI &	Extracting
Pureplay	Parks	Parks	Reconfigurations	Value
Well-located assets with	Increased CLCT's	Captured a larger	Conducted strategically	Revitalised properties captured
captive catchments that	exposure to China's	pie of China's	timed AEIs to optimise	opportunities from the return of
target the Middle-	technological	domestic	portfolio in preparation	shopper footfall and consumer
Income Group	innovation drive	consumption flows	for China's reopening	spending
	Expanded
	Mandate
2019	2020	2021	2022	2023

• Active Reconstitution and Acquisition Growth Track Record - from Sponsor and Third-PartyVendors
• Strong Management Track Record leveraging on Sponsor's Domain Knowledge and Comprehensive Real
  Estate Platform in China

Capi t aLand Chi na Tr ust	CapitaLand Investment and CLI REITs Corporate Day 2023, Bangkok	6

Positioning for the Next Phase of Growth

Total Assets Under Management (AUM)1 (S$ billion)

Organic Growth

Organic + Acquisitive Growth

Organic + Acquisitive + Reconstitution Growth

4.5 4.9 4.6

3.5

	1.3	1.2	1.2	1.4
0.7
0.7

	2.3	2.4	2.6	2.4	2.8
2.1

1.5

IPO

FY 2007

FY 2008

FY 2009

FY 2010

FY 2011

FY 2012

FY 2013

FY 2014

FY 2015

FY 2016

FY 2017

FY 2018

FY 2019

FY 2020

FY 2021

FY 2022

Capture China's Future Economy Across Multiple Sectors and through Market Cycles

IPO - FY 2010:

• IPO with 7 Retail Assets
• Acquired CapitaMall Xizhimen in Beijing
• 8 Retail Assets with presence in 5 cities by FY 2010

FY 2011 - FY 2016:

• Acquired CapitaMall Minzhongleyuan in Wuhan, CapitaMall Grand Canyon in Beijing and CapitaMall Xinnan in Chengdu
• 11 Retail Assets with presence in 7 cities by FY 2016

FY 2017 - FY 2022:

• Active recycling & expansion of investment mandate
• Portfolio rejuvenation towards resilience & diversification (addition of new economy assets)
• Divested 5 Retail Malls and acquired 5 Retail Malls, 5 Business Parks and 4 Logistics Properties
• 20 Assets with presence in 12 cities by FY 2022

Total Acquisition Value:	Total Acquisition Value:	Total Acquisition and Divestment Value:
S$336 million	S$737.5 million	S$2.9 billion

Note:

1. Based on effective stake as at 31 December, which includes any acquisitions and divestments that were announced during the respective year.

Capi t aLand Chi na Tr ust	CapitaLand Investment and CLI REITs Corporate Day 2023, Bangkok	7

Disciplined Growth and Value Creation

Delivering Steady and Sustainable Unitholder Returns

Net Property Income (S$ million)

300
												250.4	254.2
250
200
										165.4
150						141.1	139.7	149.2	147.4		135.2
				132.4						129.2
			99.7	103
100
77.2	85.8
50
0
	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019	2020	2021	2022	1H
														2023

Note:

1. Time period for CAGR Calculation is from 2010 to 2022.

	Distributable Income										DPU
	(S$ million)											(Cents)
160														12
140												135.5	125.6	10
120										106.6
													8
100									99.7
					89.2	86.7	91.1
					80.9
80										79.7
		66.8	70.1									6
													63.1
		57.2
60	52.2
												4
40
20														2
0														0
	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019	2020	2021	2022	1H
														2023

Capi t aLand Chi na Tr ust	CapitaLand Investment and CLI REITs Corporate Day 2023, Bangkok	8

To Update

Attractive Yield Spread and Improved Trading Liquidity

Comparative Yields (as at 31 October 2023)

Average	Average Trading
Trading Volume	Value

CLCT1

FSTREI Yield2

FSTRE Yield3

9.4%

3.4%

6.0%

3.8%

5.6%

	(Units per Day)	(S$ per Day)
1 year6	~3.1 million	~3.3 million
	7

STI Yield4

5.5%

3.9%

10 year

~2.4 million

~3.3 million

China 10-year Govt Bond Yield5

2.7%

6.7%

Singapore 10-year Govt Bond Yield5

6.0%

3.4%

IPO8

~2.0 million

~2.8 million

Sources: Bloomberg, CLCTML, Monetary Authority of Singapore.

1. Based on annualised 1H 2023 DPU of 7.45 S cents and unit price of S$0.79 as at 31 October 2023.
2. Trailing 12-months dividend yield of Straits Times REIT Index as at 31 October 2023 closing price.
3. Trailing 12-months dividend yield of Straits Times Real Estate Index as at 31 October 2023 closing price.
4. Trailing 12-months dividend yield of Straits Times Index stocks as at 31 October 2023 closing price.
5. Singapore Government 10-year and China Government 10-year bond yields as 31 October 2023.

Source: Bloomberg

1. 1 year refers to 1 November 2022 to 31 October 2023.
2. 10 year refers to 1 November 2013 to 31 October 2023.
3. Since IPO to 31 October 2023.

Capi t aLand Chi na Tr ust	CapitaLand Investment and CLI REITs Corporate Day 2023, Bangkok	9

3Q 2023 Business Updates

Singapore-Hangzhou Science & Technology Park Phase I, Hangzhou, China