General Announcement::ESR-REIT- The Edge Investival Presentation

ESR-REIT

The Edge Investival Presentation

28 September 2021

Contents

A

B

C

D

Key Takeaways

Overview of ESR-REIT

Key Investment Highlights

Appendix

2

Key Takeaways

Top: ESR BizPark @ Changi (formerly UE BizHub East) | Business Park

Second: 7000 Ang Mo Kio Avenue 5 | High-Specs Industrial

Bottom: 30 Marsiling Industrial Estate Road 8 | High-Specs Industrial

Execution of Our Business Strategy

Executed the following in 1H2021: (1) Acquisitions; (2) Asset Enhancement Initiatives; (3) Divestment of non- core assets; and (4) Early Refinancing

ESR-REIT's

Business Strategy

Organic Growth

Divestment of two non-core assets

1‒ 3C Toh Guan Road East and

11 Serangoon North Ave 5

2‒ 5.0% premium to aggregate fair value

Asset Enhancement Initiative

("AEI") works on track

1‒ ESR BizPark @ Changi completed in 1Q2021

2‒ AEI of 19 Tai Seng Avenue to complete in 3Q2021 (63.0% committed occupancy)

3‒ Planned AEIs for 16 Tai Seng Street and 7000 Ang Mo Kio Ave 5 to be carried out(1)

Acquisition &

Development Growth

DPU accretive S$124.7

million(2) acquisition of 46A Tanjong Penjuru, a fully committed modern ramp-uplogistics facility

Value enhancing acquisition of 10.0% interest in ESR Australia Logistics Partnership

‒1 ESR-REIT's first overseas acquisition and from Sponsor's pipeline

Capital Management

Successfully refinanced all expiring debt due in FY2021

ahead of expiry with a S$320.0 million new loan facility

Successfully completed S$149.6 million Equity Fund Raising

1. Private Placement - 3.4x subscribed with upsize option exercised
2. Preferential Offering was 3.6x subscribed, signalling strong demand from existing Unitholders

Sponsor to provide backstop for upcoming Preferential

Offering to raise up to S$50.0 million

Rejuvenating Portfolio		Drive Portfolio Growth via		Increasing Financial
to be Future-Ready		Acquisitions		Flexibility for Operations

Notes: (1) Based on assumed yield on cost of approximately 7.1%. (2) Comprising the consideration (S$112.0 million), upfront land premium paid to JTC for the balance of the first 30 year JTC lease term (S$7.6 million), stamp duties (S$3.6 million) and other transaction costs (S$1.5 million).

4

1H2021 at a Glance

Gross	Net Property	DPU	Total	NAV Per Unit
Revenue	Income	(Cents)	Assets	(Cents)
S$119.8m	S$87.0m	1.554	S$3.4b(1)	39.8

Financial	Proactive	Prudent
Performance	Asset Management	Capital Management

• 1H2021 DPU up 14.3% y-o-yto 1.554 cents on the back of stabilising portfolio performance
• 2Q2021 DPU increased 13.9% y-o-y to 0.754 cents
• Stable rental collections of 97.9% as at 30 June 2021
• Gross revenue increased 5.4% from S$113.8 million in 1H2020 to S$119.8 million in 1H2021
• Net property income grew 8.4% from
  S$80.2 million in 1H2020 to S$87.0 million in 1H2021

• Portfolio occupancy increased from 91.0% to 91.7%(2) in 1H2021
• Secured ~1.08 million sq ft of new and renewed leases for 1H2021
• Slight improvement in YTD rental reversion to - 1.6% as at 30 Jun 2021 (-5.0% as at 31 Mar 2021)
• Completed the acquisitions of 46A Tanjong Penjuru and 10.0% stake in ESR Australia Logistics Partnership
• Divestment of two non-core properties above valuation
• AEI at 19 Tai Seng Avenue on track for completion in 3Q2021, secured >63.0% committed occupancy
• AEIs of 16 Tai Seng Street and 7000 Ang Mo Kio Ave 5 announced(3)

• Successfully refinanced all expiring debt due in FY2021
• Completed S$149.6 million equity fund raising which was 3.5x covered
• • S$100.0 million private placement 3.4x subscribed with upsize option exercised
  • S$49.6 million Preferential Offering was 3.6x subscribed, saw overwhelming support from existing Unitholders
• Gearing at 42.9% / 41.3% on a pro forma basis(3)
• 75.0% of interest rate exposure fixed for
  2.1 years
• All-Incost of debt further reduced from 3.54% p.a. to 3.24% p.a.

Notes: (1) Includes (i) 100% of the valuation of 7000 Ang Mo Kio Avenue 5 in which ESR-REIT holds 80% interest and (ii) the recognition of right-of-use of leasehold land of S$233.8 million on the Statement of Financial Position as a result of the adoption of Financial Reporting Standard (FRS) 116 Leases which became effective on 1 January 2019. (2) Excludes properties in the pipeline for

divestment. (3) Based on assumed yield on cost of approximately 7.1%. (4) Gearing is computed on pro forma basis post-completion of Preferential Offering and assuming the proceeds are applied 5 towards debt repayment.