cfx for personal use only - asx · 2013. 8. 19. · cfx reported an annual profit of $295.0...

CFX

CFS Retail Property Trust GroupAnnual Report 2013

Our approach to retail property investment

Responsible EntityCommonwealth Managed Investments LimitedABN 33 084 098 180 AFSL 235384

ManagerColonial First State Property Retail Pty LimitedABN 19 101 384 294

Not guaranteed by Commonwealth Bank of Australia

For

per

sona

l use

onl

y

CFS Retail Property Trust Group (CFX) is committed to being the leading manager of Australian retail property.

It’s a commitment that drives us to deliver on our promise of providing long-term sustainable returns for our investors.

By drawing on the scale, experience and expertise of our team, we are able to focus on all angles to optimise asset and investment performance.

That’s our 360° approach.

DISCLAIMER

Neither Commonwealth Bank of Australia (the ‘Bank’) ABN 48 123 123 124 nor any of its subsidiaries guarantees or in any way stands behind the performance of CFS Retail Property Trust 1 ARSN 090 150 280 and CFS Retail Property Trust 2 ARSN 156 647 853 (together CFS Retail Property Trust Group (CFX)) or the repayment of capital by CFX. Investments in CFX are not deposits or other liabilities of the Bank or its subsidiaries, and investment-type products are subject to investment risk including possible delays in repayment and loss of income and principal invested.

The information contained in this annual report (the ‘Report’) is intended to provide general advice only and does not take into account your individual objectives, financial situation or needs. You should assess whether the Report is appropriate for you and consider talking to a financial adviser or consultant before making an investment decision.

All reasonable care has been taken in relation to the preparation and collation of the Report. Except for statutory liability which may not be excluded, no person, including Commonwealth Managed Investments Limited (CMIL or the ‘Responsible Entity’) ABN 33 084 098 180, Colonial First State Property Retail Pty Limited ABN 19 101 384 294 or any other member of the Bank’s group of companies, accepts responsibility for any loss or damage howsoever occurring resulting from the use of or reliance on the Report by any person. Past performance is not indicative of future performance and no guarantee of future returns is implied or given.

Copyright and confidentiality

The copyright of this document and the information contained in it is vested in the Responsible Entity, the Bank and the Bank’s group of companies.

Cover and this page: Chadstone Shopping Centre, VIC

For

per

sona

l use

onl

y

Contents

2. 360º approach to retail property investment

4. FY13highlights6. Chairman’sletter8. FundManager’sreport14. Our portfolio24. Assetsummaries40. Investingresponsibly44. Investorrelations46. Ourstructure48. Corporategovernance63. Financialreport116. Supplementaryinformation121. Glossary124. Five-yearoverview125. Directory

UseyoursmartphonetoscanthisQR codetofindoutmoreaboutCFX.

CFS Retail Property Trust Group Annual Report 2013 1

For

per

sona

l use

onl

y

Investors from 21 countries

17,000+

We focus on all angles to optimise asset and investment performance

Performance

ProteCtWe actively manage our capital to protect CFX’s strong balance sheet whilst managing risk and maintaining flexibility

Page 10

researChWe have high-quality research which drives our investment decisions

Page 18

govern We have a robust corporate governance framework and pursue best practice in everything we do

Page 48

minimiseWe seek to minimise our environmental impact by reducing water and energy consumption, waste outputs and carbon emissions, while driving bottom line efficiencies across our portfolio

Page 40

manageOur platform has over 950 property specialists and CFX’s portfolio benefits from one of Australia’s largest and most experienced retail property management teams

Pages 12, 18 anD 46

our business moDel

the benefits of an exPerienCeD team

2 CFS Retail Property Trust Group Annual Report 2013

360° approach to retail property investment

For

per

sona

l use

onl

y

in assets

tenants

For our property portfolio overview

$8.6b

4,200

leaseWe focus on maintaining fully occupied shopping centres and actively remixing our retail spaces to ensure they are vibrant and appealing

Page 18

engageWe engage with our retailers, customers and communities to build quality relationships which underpin investment outcomes

Pages 18 anD 40

PromoteWe combine traditional and digital marketing to drive customer traffic through our centres

Page 18

DeveloPWe redevelop, refurbish and reposition our assets to provide compelling places to shop

Page 20

Results

In everything we do, we are focused on long-term sustainable returns

Everything

CFX owns interests in 29 retail properties across Australia

100% invested in Australia

11.6%Annualised compound return since 1994

10.5%Total return in FY13


Page 14

Assuming the reinvestment of distributions, $100 invested in April 1994 is worth $824

$824$100

For

per

sona

l use

onl

y

FY13 highlights


Our year in a snapshot

The year that was2012

5 September

CFX was recognised as a ‘Green Star’ by the Global Real Estate Sustainability Benchmark (GRESB)

October

CFX awarded for valuations and corporate governance at 2012 Asia Pacific Real Estate Association’s Best Practices Awards

30 October

September 2012 quarterly update, with comparable specialty sales up 2.6%

8 November

CFX was included as a leader in disclosure and performance in the Carbon Disclosure Project (CDP)

November

Commenced $100m redevelopment of DFO Homebush

December

QueensPlaza was named #1 in the ‘Little Guns’ for specialty sales/sqm for the 6th consecutive year

December

Negotiated a $100m 5-year forward-start bank debt facility with a 19 June 2013 start date

6 December

Issued $100m of 7-year medium term notes

CFX delivered solid performance in a challenging environment

Distribution per security

13.6c (2012: 13.1c)Net profit

$295.0m (2012: $409.2m)Like-for-like net property income growth1

2.0% Gearing

28.8% (2012: 26.6%)1 Refer to the table on page 11 for the calculation of net property income and like-for-like net property income.

7-year MTNs issued

$100mspecialty

sales growth

2.6%

For

per

sona

l use

onl

y

specialty sales growth

2.5%


2013

21 February

1H13 interim results, delivering 6.8 cents distribution per security, up 4.6%

March

Chadstone named #1 in the ‘Big Guns’ for total sales for the 12th consecutive year

23 April

CFSGAM Property investor day and March 2013 quarterly update, with comparable specialty sales up 2.5%

23 April

Announced Australia’s first UNIQLO store to open at Emporium Melbourne

April/May

Completion of over $100m in convenience-based developments at Roxburgh Park, Forest Hill and Brimbank

3 May

Reinstated CFX’s Distribution Reinvestment Plan for the June 2013 distribution

19 June

A second half distribution of 6.8 cents per security, up 3.0%, announced

June

Entire CFX portfolio was NABERS rated

Total assets

$8.6b (2012: $8.4b)Net tangible asset backing per security

$2.04 (2012: $2.07)Comparable retail specialty sales growth

2.4% Comparable retail specialty sales/sqm

$10,066 (2012: $9,576)Portfolio occupancy by area

99.4% (2012: 99.7%)

distribution per security

4.6% 3.0%distribution per security

For

per

sona

l use

onl

y

Chairman’s letter

Chairman’s letter

CFX has not wavered from its strategy of intensively managing a portfolio of quality Australian shopping centres, backed up by prudent capital management, to optimise performance

Consistent

13.60 cents per security

FY13 distribution

Up 3.8% on the prior year

“CFX has met the challenge of a difficult retail environment to deliver another solid result for investors.”

Richard Haddock AMChairman

Dear securityholder,CFX has reported a solid year, meeting the challenges of a difficult retail environment to deliver investors a distribution of 13.60 cents per security, a 3.8% increase on the prior year.

This positive outcome was underpinned by CFX’s long-held strategy of intensively managing a portfolio of quality Australian retail property assets, backed up by prudent capital management to derive long-term sustainable returns.

CFX reported an annual profit of $295.0 million, which was down from $409.2 million in the prior year primarily due to the differences in property revaluations between the two periods. A full-year distribution per stapled security of 13.60 cents was delivered compared to 13.10 cents in the prior year.


For

per

sona

l use

onl

y

The Manager continues to drive growth through long-term investment strategies including active tenant remixing and shopping centre developments. CFX completed a number of redevelopments at some of our smaller shopping centres; transitioning Roxburgh Park from a neighbourhood shopping centre to a sub-regional shopping centre and, at Forest Hill Chase and Brimbank, improving convenience-based shopping experiences for local consumers.

The Manager has made solid progress on the development of Emporium Melbourne, with 90% of income secured. The tenancy schedule includes some of the worlds best luxury and international brands, some of Australia’s most noted fashion labels and iconic food retailers. During the year, the asset’s valuation was written down by $125.9 million. This decrease refl ects a change of building works to accommodate the strength of demand from international and luxury tenants, together with the delay in the completion date and taking into account the subdued leasing environment. We remain confi dent, however, that we are creating a world-class retail destination and look forward to its opening at the end of the fi rst quarter of calendar year 2014.

During the period, we reinstated CFX’s Distribution Reinvestment Plan (DRP), a funding source for CFX’s development pipeline, raising $56.9 million from the June 2013 distribution.

This year, CFX reached two major milestones in its responsible property investment program. CFX completed NABERS ratings for the entire portfolio1, achieving an average of 3.0 stars for energy and 3.4 stars for water. The Manager also undertook an extensive analysis to better understand the material environmental, social and governance (ESG) issues that concern CFX’s stakeholders. By identifying our stakeholders’ level of interest and engagement compared to CFX on a range of ESG matters, we have been able to prioritise these into our business risk model.

On 24 July 2013, the Board announced it had received a highly conditional, indicative and incomplete proposal from Commonwealth Bank of Australia to internalise the management of CFX and for CFX to acquire its wholesale property funds management and integrated retail property management and development businesses.

The CMIL Board has established an Independent Board Committee (IBC) comprising the independent Directors being Nancy Milne OAM, James Kropp and myself, to consider the proposal. The Board of CMIL can give no assurance that the proposal, or any other proposal, will proceed. It is also noted that the approval of CFX securityholders would be required.

The IBC has engaged independent advisers to assist in its consideration of the proposal and will update the market as and when it is in a position to do so.

In the year ahead, while the Board is encouraged by some positive economic indicators for retail sales such as positive real wages growth, rising house prices and falling interest rates, it is anticipated that sales growth will be modest and there will be constrained demand for the expansion of retailers.

CFX plans to further refi ne the quality of its portfolio through the sale of non-core sub-regional shopping centres. Given the higher yielding nature of this type of centre, their divestment would result in a short-term dilution to earnings, which over time would be partially offset by the reinvestment of the proceeds. The proceeds will initially be used to retire debt, providing CFX with fl exibility to pursue value enhancing initiatives such as investing in its development pipeline or acquiring properties.

On the basis that these non-core assets are sold during the year, CFX provides full-year distribution guidance2 per security of 13.2 to 13.3 cents. If these assets are not sold during the year, CFX’s distribution guidance would be revised to 13.7 to 13.8 cents.

On behalf of your Board, I thank you for your continued support of CFX.

Richard Haddock AMChairmanCommonwealth Managed Investments Limited


1 All centres that are able to be rated which excludes the DFO retail outlet centres, Post Office Square, The Entertainment Quarter, Myer Melbourne and any asset which was impacted by development or refurbishment, or there was insufficient metering.

2 Assuming performance fees are payable for the full financial year and there is no unforeseen material deterioration to existing economic conditions. Guidance is based upon the current operating model (Refer to Note 20 of the Financial Report for details concerning potential changes to this operating model, which may impact on future distributions).

For

per

sona

l use

onl

y

Year in review

“Our proven strategy of intensive asset management, disciplined investment decisions, prudent capital management and investing responsibly has once again delivered for our investors.”


Fund Manager’s report

CFX ended FY13 in a solid position

Stable

$384.6mAnnual distribution

Up 3.5% year-on-year

$2.04Net tangible asset

backing per security

Michael GormanCFX Fund Manager

CFX’s portfolio has proven resilient in a weaker retail environment

Chadstone Shopping Centre, VIC

For

per

sona

l use

onl

y


29Retail assets

Australia wide

Dear securityholder,The challenges of a subdued retail market continued throughout FY13, as the strong Australian dollar continued to promote alternatives for consumers’ discretionary spend. While this has created a challenging leasing environment for landlords, our centres remain close to full, there has been modest like-for-like income growth, and property valuations are generally steady.

Within this context, we have delivered another solid result for investors. In FY13, CFX reported a net profit of $295.0 million and generated total annual sales of $7.7 billion across our portfolio of 29 retail assets.

CFX will pay an annual distribution of $384.6 million compared to $371.5 million for the prior year. This equates to a distribution per security of 13.60 cents, ahead of the 13.10 cents paid for the previous year.

retail environment and the portfolioWhile there continue to be challenges in the Australian retail environment, several macroeconomic indicators remain supportive for retail expenditure. Interest rates remain low, positive real wages growth continues and the rate of growth in offshore travel has slowed significantly in recent months compared to previous years.

CFX’s shopping centre portfolio1 reported total moving annual turnover (MAT) of $7.2 billion, which is up 2.0% on the prior year. Comparable2 specialty stores achieved 2.4% MAT growth this year which is below our forecast of 3.0%, but an improvement on 2.1% reported to December 2012 and 1.7% to June 2012. While specialty store sales continued to steadily improve throughout the year, they remain below long-term trends.

The quality of CFX’s portfolio, coupled with improving sales growth, has enabled us to maintain a healthy leasing deal rate, with close to full occupancy of 99.4%. We have also continued to provide stability of income through our fixed 5% annual increases for specialty tenancies. For specialty tenants renewing, which was around 75% of expiries, we have slightly increased rents. Including replacements, our overall re-leasing spread for the period was -1.1% for the shopping centre portfolio. Comparable shopping centre retail specialty occupancy costs rose modestly, supported by an increase in sales per sqm.

During the year, each of the portfolio’s assets was independently valued. CFX ended the year with total assets of $8.6 billion which is up 2.3% on the prior year driven by capital expenditure on the development pipeline partially offset by a net valuation loss of $63.1 million.

Pages 16–19

$7.7bRetail sales

Leader

Customer visits

in sustainability

1 Shopping centre portfolio excludes Myer Melbourne, the DFO retail outlet centres and 15 Bowes Street, Woden.

2 Comparable centres are those centres that are not undergoing or have not undergone substantial redevelopment in either period of comparison.

Emporium Melbourne, VIC – Artist’s impression


198m

NSW 16%VIC 53%QLD 18%SA 7%WA 3%TAS 3%

Geographic diversification

Super-regional 21%Regional 56%Sub-regional 15%Retail outlet 7%Other 1%

Property centre type diversification

For

per

sona

l use

onl

y



Solid financial resultOver the 12 months to 30 June 2013:

• net profit was $295.0 million, compared to $409.2 million in the prior year

• net property income1 increased 2.0% on a like-for-like2 basis; total net property income decreased by 2.0% to $537.2 million, impacted by the sale of a 50% interest in The Myer Centre Brisbane in March 2012.

• distributable income3 was up 3.5% to $384.6 million, and

• distribution per stapled security was up 3.8% to 13.60 cents.

Capital management Despite ongoing weakness in the global economy over the past year, we have seen a growing appetite for longer-dated debt from corporate bond investors and banks, and an active corporate bond market with relatively attractive all-in costs for quality covenants. We have taken advantage of the current demand to improve CFX’s debt cost, duration and diversity during the year.

At 30 June 2013, CFX’s gearing4 was 28.8%, up from 26.6% at 30 June 2012, with borrowings of $2,486 million and undrawn debt facilities of $530 million. Our weighted average interest rate reduced to 5.6% from 6.0% at 30 June 2012. CFX’s debt was 81.3% hedged at 30 June 2013. We restructured over $940 million

RECONCILIATION OF NET PROFIT TO DISTRIBUTION5 FOR ThE YEAR ENDED

30-Jun-13$M

30-JUN-12 $M

Net profit 295.0 409.2

Adjustments:

net loss/(gain) property valuations 63.1 (164.3)

net loss from derivative valuations 3.5 87.9

straight-lining revenue (2.4) (2.8)

movement in fair value of unrealised performance fees (5.5) 3.4

non-cash convertible notes interest expense 2.0 7.0

convertible notes buy-back expense – 4.9

project and other items 28.9 26.2

Distributable income/Distribution 384.6 371.51 Net property income and like-for-like net property income are unaudited, non-IFRS financial information and are not key earnings measures of CFX. They are used by

management to monitor the performance of the property portfolio. Please refer to the table on page 11 for the calculation of net property income and like-for-like net property income.

2 Adjusted for changes in ownership of properties and significant one-off items impacting either year and excluding development impacted centres. 3 Distributable income is a key non-IFRS earnings measure used by management to assess the performance of CFX. It represents CFX’s underlying and recurring earnings

from ordinary operations.4 Gearing equals borrowings as a proportion of total assets. For this calculation, borrowings is the amount of drawn debt as per Note 11 of the Financial Report

adjusted for the fair value of cross-currency swaps and total assets exclude the fair value of derivatives.5 Refer to Note 2 of the Financial Report for further disclosure.

of debt instruments during the year, extending our debt maturity to 3.1 years at 30 June 2013 from 2.8 years at 30 June 2012. Post year end, we restructured a further $550 million of debt instruments, improving our debt duration to 3.6 years.

Solid total returnsCFX delivered a solid total return of 10.5% for the year, albeit below our peer group. CFX outperformed the UBS Retail 200 Property Accumulation Index over the five and 10-year periods by 4.7 and 5.6 percentage points per annum respectively.

CFX relative performance to 30 June 2013

ONE YEAR

THREE YEARSa

FIVE YEARSa

TEN YEARSa

10.5%22.0%

24.2%9.3%

11.9%13.4%

8.8%4.1%

0.3%11.2%

5.6%2.9%

CFS Retail Property Trust GroupUBS Retail 200 Property Accumulation IndexS&P/ASX 200 Property Accumulation Index

a Compound average annual growth rate.

“Our 360 degree approach to retail asset management has delivered solid outcomes for our investors, with each of the core components of our FY13 strategy achieved.”

For

per

sona

l use

onl

y


a As at 30 June 2013, adjusted for post year end activities.b Excludes short term notes maturing in FY14 which are backed by bank debt facilities.c The $300m July 2016 convertible notes have a put option on 4 July 2014.

CalCulation of net ProPerty inComefor the year enDeD

30 Jun 13$m

30 Jun 12$m

Change %

Extracted from the Consolidated Statement of Comprehensive Income in the Financial ReportRental and other property income 725.1 727.2

Share of net profit from associate before fair value adjustments1 3.3 3.0

Rates, taxes and other outgoings (201.2) (189.3)

Repairs and maintenance (15.6) (15.8)

Bad and doubtful debts expense (2.5) (2.2)

509.1 522.9

Adjustments

– straight-lining revenue2 (2.4) (2.8)

– amortisation of project items2 20.0 20.7

– other items2 8.9 5.5

– estimated net earnings from CFSPAM3 for the current year 1.6 1.6

Net property income 537.2 547.9 -2.0

Like-for-like adjustments

Net property income from development-affected properties4 (69.0) (70.8)

Net property income adjustment for changes in ownership of properties5 0.0 (20.3)

Other one-off adjustments6 (2.3) 0.0

Like-for-like net property income 465.9 456.8 2.0

1 Excluding non-property related net profit from associate of $0.1m (FY12: $0.2m).2 Refer to Note 2 of the Financial Report for further explanation of these items.3 CFSPAM derives car park and electricity on-selling income from CFX’s portfolio of shopping centres. CFX’s share of CFSPAM’s earnings for the current year will be

recognised as dividend income when the dividend is declared by CFSPAM.4 Properties have been excluded from the like-for-like calculation where income has been significantly affected by development in either year. Properties excluded

are Bayside Shopping Centre, Brimbank Shopping Centre, Forest Hill Chase, Emporium Melbourne and Roxburgh Park Shopping Centre.5 On 26 March 2012, CFX sold a 50% share in The Myer Centre Brisbane. An adjustment is made to the like-for-like calculation to reflect the change in ownership

interest.6 Net property income related to the industrial component of DFO Homebush has been excluded from the like-for-like calculation as it was not included in the

prior year.

Debt maturity profilea,b

$m

38

125

300

100

550

120

225

260

92 100

440

178 300

38

150

FY14

FY15

FY16

FY17

FY18

FY19

BEYOND

Sources of debta

Bank debt Convertible notesc US Private Placement Medium term notes

43%

13%

12%

32%

For

per

sona

l use

onl

y



1 The benchmark is the UBS Retail 200 Property Accumulation Index, customised to remove the effect of CFX on the Index. A 20-day volume weighted average price (VWAP) is applied to both the CFX accumulation index and the customised index.

Performance feeEntitlement to the performance fee is assessed every six months. If payable, it is capped at 0.15% of CFX1’s total asset value, up to $3.5 billion, and capped at 0.1% of CFX1’s total asset value above $3.5 billion, with any over/underperformance carried forward.

For the six months to 31 December 2012, CFX underperformed the benchmark1 by 12.0 percentage points. For the six months to 30 June 2013, CFX underperformed the benchmark by 2.5 percentage points. After including the carry-over outperformance of 45.6 percentage points to 30 June 2012, the Responsible Entity was entitled to performance fees for both periods totalling $10.3 million for the year. At 30 June 2013, the carry-over balance is 28.7 percentage points of positive performance relative to the benchmark.

The fair value of the unrealised performance fee liability recognised in the balance sheet at 30 June 2013 is $29.2 million, a decrease of $5.5 million from 30 June 2012. Total performance fee expense recognised in the statement of

Progress against FY13 priorities

Deliver a distribution of 13.6 to 13.7 cents per security (cps)

• Distribution of 13.6 cps delivered for FY13.

Achieve specialty retail sales growth of around 3% for FY13

• CFX shopping centre portfolio delivered 2.4% retail specialty sales growth.

Invest in the redevelopment pipeline • Developments completed at Roxburgh Park, Forest Hill Chase and Brimbank Shopping centres.

• Solid progress on Emporium Melbourne with 90% of income secured and DFO Homebush with 85% of income secured.

Deliver capital management initiatives to maintain debt diversity and duration

• Restructured over $940 million of debt instruments, improving the diversity and duration of CFX’s debt.

• Reinstated the DRP, a funding source for our development pipeline, raising $56.9 million from the June 2013 distribution.

Drive our existing asset base by remixing tenancies to optimise performance

• Executed 1,184 new leases during the period and maintained close to full occupancy.

Support retailers by advancing online and social media strategies

• Installed digital screens into a number of centres.

• Built on successful social media marketing campaign for the DFO retail outlet centre portfolio.

comprehensive income is $4.8 million, representing both the capped performance fees paid for the year and the decrease in the fair value of future performance fees.

The benefits of our asset management platformThe asset management division of CFSGAM Property provides dual benefits to CFX:

• as one of Australia’s leading property management, leasing and development specialists, it continues to add value across CFX’s portfolio of shopping centre assets, and

• it provides CFX with a share of its distributable income (flowback or alignment fee).

The alignment fee contributed $11.1 million of distributable income to CFX for the 12 months to 30 June 2013, an 8.8% increase from the previous year. This increase is largely attributable to development fee income.

Pages 96–97

For

per

sona

l use

onl

y


FY14 prioritiesIn 2014, your management team will be focused on delivering further value by executing on its FY14 priorities (outlined below) and through the intensive asset management of CFX’s portfolio.

On developments, we are focused on the completion and opening of the world-class Emporium Melbourne project and DFO Homebush, arguably Australia’s premier outlet centre, while progressing the next stage of Chadstone. We will maintain our prudent approach to capital management.

CFX plans to further refine the quality of its portfolio through the sale of non-core sub-regional shopping centres. Given the higher yielding nature of this type of centre, their divestment would result in a short-term dilution to earnings, which over time would be partially offset by the reinvestment of the proceeds. The proceeds will initially be used to retire debt, providing CFX with flexibility to pursue value enhancing initiatives such as investing in its development pipeline or acquiring properties.

We retain a degree of caution for the year ahead and forecast specialty store sales growth of 3%.

Thank you for your continued support of CFX. We look forward to leveraging the opportunities and meeting the challenges ahead.

Michael GormanCFX Fund Manager

Our FY14 priorities

Intensive asset management Progress developments• Complete and open Emporium Melbourne and

DFO Homebush projects fully leased

• Progress design development of Chadstone

• Continue to master plan other planned projects

Continue to tailor tenant mix to each centre’s trade area

Maintain effectively full occupancy

Disciplined investment decisions Transact to enhance portfolio quality• Actively pursue the sale of non-core assets

• Reinvest the sale proceeds of non-core assets

Prudent capital managementw Maintain a strong balance sheet• Maintain a competitive cost of debt

• Investigate opportunities to extend and diversify sources of debt

Investing responsibly Continue to lead our retail peers• Undertake NABERS ratings of our portfolio annually

• Set individual property environmental performance targets

• Report in accordance with the Global Reporting Initiative (GRI) G4 framework

• Pursue best practice in corporate governance

For

per

sona

l use

onl

y

CFX Our portfolio


For

per

sona

l use

onl

y



For

per

sona

l use

onl

y

Understanding our portfolio


Our portfolio

Our portfolio benefits from access to 950 property specialists and their relationships with over 6,000 retailers

Across the CFX portfolio of 29 retail assets, we have over 4,200 retail tenants and an occupancy rate of 99.4% at 30 June 2013. Our centres span 1.4 million sqm and are generally located in geographically significant areas, attracting over 198 million customer visits annually. A team of 950 property specialists across the broader platform and intensive asset management enables us to tailor our approach to meet market demand for each of our centres.

KEY PORTFOLIO METRICS AS AT 30-JUN-13 30-JUN-12

Number of retail assets 29 29

Investment propertiesa ($m) 8,560 8,363

Weighted average capitalisation rateb (%) 6.43 6.45

Total area (’000s, sqm) 1,422 1,404

Number of tenants 4,234 4,194

Number of vacancies 54 32

Occupancy (%) 99.4 99.7

Retail sales ($m) 7,727 7,557

Specialty sales ($/sqm) b,c 10,066 9,576

Specialty occupancy costs b,c (%) 17.3 17.1

Portfolio NABERS Energy ratingd (stars) 3.0 n.a.

Portfolio NABERS Water ratingd (stars) 3.4 n.a.

a Includes investments in the associate as per Note 9 of the Financial Report.b For the shopping centre portfolio.c For comparable centres.d Refer to footnote 1 on page 7.

Valuations The transactional market for shopping centres has been particularly active this year, reflecting strong investor demand. Whilst there have been a limited number of transactions involving very large centres, we have seen support for current book values and higher demand for better quality assets. Capitalisation rate compression has been limited over the year, a trend also witnessed in CFX asset valuations.

The entire CFX portfolio was independently valued during the year, which resulted in a $63.1 million net valuation loss compared to book value. The loss was driven by a number of asset-specific write downs, particularly Emporium Melbourne. The remainder of the portfolio generally reported stable or rising valuations underpinned by steady income growth.

Notable gains continue to be reported for the valuations of Chadstone, Chatswood Chase Sydney and Rockingham, which have all continued to achieve solid sales and rental gains three years post redevelopment, highlighting the value that centre redevelopments can bring. Rockingham’s valuation was also boosted by an improvement in the capitalisation rate. QueensPlaza continues to perform strongly, underpinned by its retail mix dominated by luxury tenants.

At Emporium Melbourne the valuation was written down by $125.9 million. This decrease reflects a change of building works to accommodate the strength of demand from international flagship retailers and luxury tenants, together with the delay in the opening date to the end of the first quarter of calendar year 2014 and taking into account the subdued leasing environment.

QueensPlaza, QLD Chadstone Shopping Centre, VIC

For

per

sona

l use

onl

y


Key valuation movementsa

PROPERTY

VALUATION DATE

LATEST VALUATION ($M)

LATEST CAPITALISATION RATE (%)

VALUATION GAIN/(LOSS)b

($M)

INCREASE/ (DECREASE)c

(%)

Chadstone Shopping Centre, VIC 31-Dec-12 1,655.0 5.25 48.6 3.0

Chatswood Chase Sydney, NSW 31-May-13 845.0 5.75 32.2 4.0

Rockingham Shopping Centre, WA 30-Jun-13 266.9 6.25 20.2 8.2

QueensPlaza, QLD 31-May-13 570.0 5.75 17.9 3.2

Emporium Melbourne, VIC 30-Jun-13 325.0 n.a. (125.9) (27.9)

a CFX share.b Total gain/(loss) from independent valuations undertaken in the 2013 financial year, excluding the effect of straight-lining fixed rental increases.c Calculated as the valuation gain/(loss) as a proportion of prior book value.

Chatswood Chase Sydney, NSW DFO Homebush, NSW

10.5%Total return for the year

99.4%Portfolio

occupancy

5.1%Growth in

comparable speciality sales

per sqm

9.4%Growth in

comparable sales for the DFO retail

outlet centres

For

per

sona

l use

onl

y

The retail environment

“Through engaging with our local communities and having the right tenancy mix, together with targeted marketing and making our centres technologically savvy, we create compelling places to shop.”


Our portfolio

To us, success in retail is about focusing on the wants and needs of our customers and local communities

It has been another challenging year for Australian retailers. While consumer spend has remained near long-term average levels, the strong Australian dollar has produced some compelling offers for customers with increased access to more affordable international travel and competitive online purchasing opportunities. This in turn has diverted some consumer spend away from traditional retail categories, constraining retail sales growth.

Towards the end of the year, the Australian dollar had fallen below parity with the US dollar and some of those alternative purchasing advantages were starting to dissipate. Other positive signs for the outlook of the domestic retail sector include: positive real wages growth, historically low interest rates and rising house prices.

In response to several tough years in the retail sector, we are seeing retailers becoming more sophisticated in how they operate. Many have been reviewing their operating models and supply chains to implement significant efficiency gains. This has enabled them to offer goods at lower prices while maintaining or increasing their profit margins. If anything, the sentiment amongst our retailers is slightly better than it was 12 months ago.

We recognise that we have a crucial role in ensuring that our centres provide the best environment to support our retailers. To do this, we create compelling places to shop by focusing on the wants and needs of our customers and local communities. That is part of the success behind our development completions this year, which focused on convenience and services.

We believe the three major drivers of strong customer engagement are:

• getting the right retail product

• providing a great experience, and

• actively engaging with customers and our local communities.

CFX’s shopping centre portfolio reported total MAT of $7.2 billion, up 2.0% compared to the prior year. Comparable specialty stores achieved 2.4% MAT growth this year, which was below our forecast of 3.0%, but an improvement on 2.1% reported to December 2012 and 1.7% to June 2012. This steady improvement in sales has been underpinned by solid MAT growth in food retail (+7.8%), retail services (+5.8%) and mobile phones (+3.9%), while apparel sales fell modestly (-1.1%).

MAT growth was 9.4% for comparable DFO centres for the year. This reflects the success of our extensive remixing and marketing initiatives implemented since acquiring these assets in 2010, which has seen the expansion of luxury, international and national brands in the tenancy mix. This has enabled us to drive re-leasing spreads of 25% since acquisition.

Despite an improvement in retail sales across the portfolio, leasing remains challenging. However, the quality of CFX’s portfolio, coupled with improving sales growth, has enabled us to maintain a healthy leasing deal rate, with close to full occupancy

of 99.4%. We have also continued to provide stability of income through our fixed 5% annual increases for specialty tenancies. For specialty tenants renewing, which was around 75% of expiries during the year, we have slightly increased rents. Including replacements, our overall re-leasing spread for the period was -1.1% for the shopping centre portfolio.

Comparable shopping centre specialty store occupancy costs rose to 17.3%, up from 17.1% at 30 June 2012, supported by an increase in the productivity of our retailers, with specialty store sales rising to $10,066 per sqm from $9,576 per sqm over the same period.

We remain cautious on retail sales and forecast retail specialty sales growth of 3% for the CFX portfolio over FY14.

George Karabatross

Head of Retail Operations

For

per

sona

l use

onl

y

“We were awarded number 1 in the ‘Big Guns’ survey for total sales for the 12th consecutive year at Chadstone and number 1 in the ‘Little Guns’ survey for specialty sales per sqm for the 6th consecutive year at QueensPlaza.”

1 Twelve months to Jun-14 and includes vacancies and holdovers.2 Includes Coles, Target, Kmart and subsidiary brands.3 Includes Big W and subsidiary brands.4 Includes the head office of Colonial First State Property Management Pty Ltd and centre management offices.


Specialty tenant lease expiry profile % Area23.1

20.0

18.5

15.0

23.4

FY141

FY15

FY16

FY17

BEYOND

Top 15 tenant groups % IncomeWesfarmers2

Woolworths3

David Jones

Myer

Premier Investments

Hoyts

Commonwealth Bank4

Westpac

Specialty Fashion Group

Australian Pharmaceutical Industries

Angus & Coote

Country Road

BB Retail Capital

Cotton On

Best & Less

8.4

3.8

3.2

3.2

1.7

1.4

1.1

1.0

0.9

0.9

0.9

0.8

0.8

0.8

0.8

total top 15 29.6


QueensPlaza, QLD

For

per

sona

l use

onl

y

Creating compelling places to shop

Tony GilchristHead of Development


Our portfolio

Our development pipeline is a key value driver for CFX, and ensures that we maintain exciting and relevant shopping centres

DFO hOMEBUSh, NSW

ROXBURGh PARK ShOPPING CENTRE, VIC

CFX’s development pipeline is key to ensuring that we continue to create retail spaces which are fresh, vibrant and compelling and which incorporate the latest retailers and trends.

To that end, we have introduced a new large-format Coles, an Aldi and 40 specialty stores in the recently completed expansion of Roxburgh Park Shopping Centre, doubling its existing floorspace. We also completed two smaller convenience-based redevelopments which included the introduction of a new large-format Coles and a fresh food precinct at Brimbank, and an Aldi and enhanced food offering at Forest Hill Chase.

CFX’s development pipeline is currently $1.2 billion. Projects currently under construction have a development cost of approximately $698 million (CFX share), with $209 million remaining to be spent.

CompletedThe $65 million expansion of Roxburgh Park Shopping Centre was completed during the period. The centre has been revitalised and upgraded to a sub-regional asset. The project included the introduction of a new large-format Coles, an Aldi, three mini-majors, over 40 specialty stores and the addition of more than 700 car spaces. The project is expected to achieve a year-one yield of greater than 8% and an internal rate of return of greater than 10%.

Project under constructionThe $100 million development of DFO Homebush that commenced in November 2012. Leasing is well progressed with 85% of income secured. The project involves the addition of a food court and bulky goods retailers, a remix of tenancies, an expansion and reconfiguration of the car park, adding 500 new car spaces, as well as a substantial upgrade to the existing building. Luxury tenants Armani, Zegna and Michael Kors have already opened stores anchoring a premium mall. Burberry, Max Mara and Bose have recently been secured, further enhancing the tenant mix. The project is targeting an initial year-one yield of greater than 7% and an internal rate of return of greater than 10%, with the majority of outlet stores to open by Christmas 2013, and completion of the whole development expected by June 2014.

Roxburgh Park Shopping Centre, VIC DFO Homebush, NSW

For

per

sona

l use

onl

y


“In an age where consumers are increasingly spoiled for choice, by having asset-specific planning and introducing new retail concepts through CFX’s development pipeline, we create compelling places to shop.”

EMPORIUM MELBOURNE, VIC

ChADSTONE ShOPPING CENTRE, VIC

Project under constructionThe structure of the Emporium Melbourne project is now largely complete. As noted in our announcement on 27 June 2013, the project is due to open at the end of the first quarter of calendar year 2014.

Leasing has progressed significantly in recent months, with approximately 90% of income secured.

The project will incorporate a range of concept and large flagship stores housing some of the world’s best international and luxury brands, some of Australia’s most noted fashion labels and iconic food operators, in a new building in the heart of the Melbourne CBD. The completion of this development will reinstate the connection between Melbourne Central railway station and Bourke Street Mall, historically one of Melbourne’s busiest pedestrian thoroughfares.

Some of the key tenants secured include: Max Mara, Paul Smith, Adidas, Superdry, Super Glue, UNIQLO, Topshop, Coach, Salvatore Ferragamo, Mulberry, Scanlan & Theodore, sass & bide, Zimmerman, Oroton, MARCS, SABA, lululemon, Carla Zampatti, Georg Jensen, Alannah Hill and MAX&Co., as well as a range of quality food retailers.

The high quality of the tenancy mix that we have secured to date is an endorsement of the world-class nature of this development.

The $590 million (CFX share) development is targeting a year-one yield on costs of approximately 5%.

Future developmentReinforcing Chadstone as Australia’s premier shopping centre destination, the project is expected to involve redeveloping the northern end of the centre producing up to 20,000 sqm of additional retail floor area and introducing new international retailers. The planning scheme also allows for the development of office and hotel space along the Princes Highway. All six of the required planning permit applications have been submitted to council. The retail project is now in the design development phase and has an indicative cost of $240 million (CFX share).

Emporium Melbourne, VIC Chadstone Shopping Centre, VIC – Artist’s impression

For

per

sona

l use

onl

y

Centre

tyPe

Cfx

ownershiP (%)

book value as at

30 Jun 2013 ($m)

CaPitalisation

rate (%)

DisCount

rate (%)

Page

number

New South Wales

Chatswood Chase Sydney Regional 100 845.2 5.75 8.50 28

DFO Homebush Retail outlet 100 187.0 7.25 9.50 30

The Entertainment Quarter Other 50 33.61 10.00 11.00 32

Lake Haven Shopping Centre Sub-regional 100 249.5 7.50 9.25 34

Queensland

Clifford Gardens Shopping Centre Sub-regional 100 160.9 7.75 9.50 28

Grand Plaza Shopping Centre Regional 50 171.8 6.75 9.13 33

The Myer Centre Brisbane CBD regional 50 370.4 6.50 8.75 34

Post Office Square Other 100 73.2 8.00 9.50 36

QueensPlaza CBD regional 100 570.2 5.75 8.50 37

Runaway Bay Shopping Village Regional 50 118.9 7.25 9.25 39

South Australia

Castle Plaza Shopping Centre Sub-regional 100 151.4 8.00 9.75 27

Elizabeth Shopping Centre Regional 100 361.0 7.00 9.00 32

Tasmania

Eastlands Shopping Centre Regional 100 170.2 7.25 9.50 31

Northgate Shopping Centre Sub-regional 100 88.8 8.25 10.00 35

A quick guide to our property assets

1 Represents the value of units in Bent Street Trust.


Our portfolio

Myer Melbourne, VIC QueensPlaza, QLD

For

per

sona

l use

onl

y

Centre

tyPe

Cfx

ownershiP (%)

book value as at

30 Jun 2013 ($m)

CaPitalisation

rate (%)

DisCount

rate (%)

Page

number

Victoria

Altona Gate Shopping Centre Sub-regional 100 76.5 8.25 9.75 25

Bayside Shopping Centre Regional 100 583.5 6.25 9.00 25

Brimbank Shopping Centre Sub-regional 100 160.0 7.75 9.35 26

Broadmeadows Shopping Centre Regional 100 325.0 7.50 9.00 26

Chadstone Shopping Centre Super-regional 50 1,667.0 5.25 8.00 27

Corio Shopping Centre Sub-regional 100 121.4 8.00 9.50 29

DFO Essendon Retail outlet 100 134.0 7.75 10.00 29

DFO Moorabbin Retail outlet 100 102.0 8.25 10.00 30

DFO South Wharf Retail outlet 50 177.5 7.50 10.00 31

Forest Hill Chase Regional 100 281.7 7.25 9.00 33

Myer Melbourne – Department store CBD regional 33 111.7 6.00 8.50 35

Myer Melbourne – Emporium Melbourne CBD regional 50 325.0 n.a. n.a. 35

Northland Shopping Centre Regional 50 463.6 6.25 8.50 36

Rosebud Plaza Shopping Centre Sub-regional 100 98.3 8.00 9.75 38

Roxburgh Park Shopping Centre Sub-regional 100 95.0 7.75 9.50 38

Western Australia

Rockingham Shopping Centre Regional 50 266.9 6.25 8.75 37

Australian Capital Territory

15 Bowes Street, Woden Office 100 12.6 12.00 12.00 39


Chadstone Shopping Centre, VIC Chatswood Chase Sydney, NSW

For

per

sona

l use

onl

y

Asset summaries

Date acquired

APR 94

Speciality store lease expiry profile (by GLA)

Tenant distribution (by GLA)


CFX

Asset summaries

Asset summaries

24 CFS Retail Property Trust Group Annual Report 2013 Myer Melbourne, VIC

For

per

sona

l use

onl

y

APR 94 APR 94


Speciality store lease expiry profi le (by GLA)




Victoria

Date acquired

Date acquired

CFXownership

CFXownership

Centretype

Centretype

Melbourne

Victoria

Melbourne

FY14¥

FY15

FY16

FY17

BEYOND

13.2%

12.2%

13.9%

24.2%

36.5%

Mini majors 12.9%Specialty shops 27.9%

Other majors 3.3%

Department stores 18.4%

Other retail 9.3%Non-retail 1.4%

Discount department stores 16.1%Supermarkets 10.7%

FY14¥

FY15

FY16

FY17

BEYOND

33.0%

28.5%

8.4%

10.9%

19.2%

0 20 40 60 80 100

Mini majors 9.2%Specialty shops 24.4%Other retail 4.3%Non-retail 3.5%


Bayside Shopping Centre Frankston, VICTotal retail area (GLA) (sqm)* 88,701

Number of car spaces 3,448

Vacancy (%) 1.6

Net income FY13 (including fl owback) ($m) 36.8

Valuation ($m) 583.5

Valuation date Jun-13

Capitalisation rate (%) 6.25

Discount rate (%) 9.00

Terminal yield (%) 6.25

Book value (including WIP^) ($m) 583.5

NABERS Energy rating 3.5-star

NABERS Water rating 4.5-star+ Bayside/Balmoral: Apr-94; Quayside/Central Park: Feb-97.¥ Twelve months to Jun-14 and includes vacancies and holdovers.* Excluding car park, storage, ATMs, sundry and offi ce tenancy areas but including

kiosk areas.^ Work in progress.

Altona Gate Shopping Centre North Altona, VICTotal retail area (GLA) (sqm)* 26,897


Vacancy (%) 0.7


Valuation ($m) 76.0

Valuation date Nov-12






NABERS Water rating 4.0-star¥ Twelve months to Jun-14 and includes vacancies and holdovers.* Excluding car park, storage, ATMs, sundry and offi ce tenancy areas but including


Regional100%APR 94+APR 94 100% Sub-regional

BAYSIDE ShOPPING CENTREALTONA GATE ShOPPING CENTRE

Bayside Shopping Centre is a regional shopping centre situated in the heart of Frankston, approximately 40 km south of Melbourne’s CBD. The centre is anchored by Myer, Coles, Target, Safeway, Kmart, Aldi, Rebel Sport, Toys ‘R’ Us, Lincraft, Best & Less, Country Road and Hoyts cinemas, and includes more than 260 specialty stores.

Altona Gate Shopping Centre is a four-level sub-regional shopping centre located approximately 10 km west of Melbourne’s CBD. The centre is anchored by Kmart, Coles, Safeway, Best & Less and includes more than 80 specialty stores.

For

per

sona

l use

onl

y

Asset summaries

APR 94




CFXownership

CFXownership

Centretype



Victoria

Melbourne

Victoria

Melbourne

FY14¥

FY15

FY16

FY17

BEYOND

24.6%

16.4%

12.2%

2.7%

44.1%

FY14¥

FY15

FY16

FY17

BEYOND

32.9%

12.9%

10.5%

12.2%

31.5%





Date acquired

Date acquired

Broadmeadows Shopping Centre Broadmeadows, VICTotal retail area (GLA) (sqm)* 60,652


Vacancy (%) 0.1









NABERS Water rating 3.0-star+ Centre: Apr-94; Homemaker: Dec-04.¥ Twelve months to Jun-14 and includes vacancies and holdovers.* Excluding car park, storage, ATMs, sundry and offi ce tenancy areas but including


Brimbank Shopping Centre Deer Park, VICTotal retail area (GLA) (sqm)* 38,724


Vacancy (%) 0.3











Regional100%APR 94+100%OCT 02

BROADMEADOWS ShOPPING CENTREBRIMBANK ShOPPING CENTRE

Broadmeadows Shopping Centre is a single-level regional shopping centre with a Homemaker Centre, located approximately 15 km north of Melbourne’s CBD. The centre is anchored by Target, Safeway, Coles, Big W, Hoyts cinemas, Aldi, JB Hi-Fi, Rebel Sport and Best & Less and includes more than 190 specialty stores.

Brimbank Shopping Centre is a single-level sub-regional shopping centre located approximately 19 km north-west of Melbourne’s CBD. The centre is anchored by Woolworths, Coles, Target and Aldi and includes more than 100 specialty stores. The centre completed a redevelopment in the fi rst half of 2013.

Centretype

Sub-regional

For

per

sona

l use

onl

y

APR 94 APR 94






Victoria

Melbourne

FY14¥

FY15

FY16

FY17

BEYOND

39.9%

22.8%

8.8%

7.9%

20.6%

FY14¥

FY15

FY16

FY17

BEYOND

16.3%

20.5%

26.1%

17.1%

20.1%


Other majors 1.4%



Discount department stores 8.2%Supermarkets 5.8%Specialty shops 22.6%



ChADSTONE ShOPPING CENTRECASTLE PLAZA ShOPPING CENTRE

Chadstone Shopping Centre is a two-level super-regional shopping centre located approximately 13 km south-east of Melbourne’s CBD. The centre is anchored by David Jones, Myer, Kmart, Target, Coles, Woolworths, Aldi, Zara, GAP, JB Hi-Fi and Hoyts cinemas and includes more than 500 specialty stores, featuring a major international luxury precinct. The centre is ranked number one in Australia for total sales.

Castle Plaza Shopping Centre is a single-level sub-regional shopping centre located approximately 8 km south-west of Adelaide’s CBD. The centre is anchored by Target, Coles and Foodland and includes more than 60 specialty stores.

Date acquired

Date acquired

APR 94OCT 02CFXownership

CFXownership

50%100%Centretype

Super-regionalAdelaide

Chadstone Shopping Centre Chadstone, VICTotal retail area (GLA) (sqm)* 155,181


Vacancy (%) 0.0

Net income FY13 (including fl owback) ($m)

90.5

Valuation ($m) 1,655.0

Valuation date Dec-12




Book value (including WIP^) ($m) 1,667.0


NABERS Water rating Not rated¥ Twelve months to Jun-14 and includes vacancies and holdovers.* Excluding car park, storage, ATMs, sundry and offi ce tenancy areas but including


Castle Plaza Shopping Centre Edwardstown, SATotal retail area (GLA) (sqm)* 22,793


Vacancy (%) 0.0

Net income FY13 (including fl owback) ($m)

10.3










Centretype

Sub-regional

For

per

sona

l use

onl

y

Asset summaries

APR 94




ShOPPING CENTREShOPPING CENTRE

Date acquiredApril

Date acquiredApril

19941994CFXownership

CFXownership

100%100%Centretype

Centretype

Sub-regionalSub-regional



FY14¥

FY15

FY16

FY17

BEYOND

30.2%

14.3%

24.5%

11.9%

19.1%



FY14¥

FY15

FY16

FY17

BEYOND

16.3%

18.5%

21.0%

20.6%

23.6%





Clifford Gardens Shopping Centre Toowoomba, QLDTotal retail area (GLA) (sqm)* 27,515


Vacancy (%) 0.0











Chatswood Chase Sydney Chatswood, NSWTotal retail area (GLA) (sqm)* 58,557


Vacancy (%) 0.2



Valuation date May-13






NABERS Water rating 2.5-star+ 50%: Nov-03; 50%: Aug-07.¥ Twelve months to Jun-14 and includes vacancies and holdovers.* Excluding car park, storage, ATMs, sundry and offi ce tenancy areas but including


CLIFFORD GARDENS ShOPPING CENTREChATSWOOD ChASE SYDNEY

Clifford Gardens Shopping Centre is a single-level sub-regional shopping centre located approximately 3 km south-west of the Toowoomba CBD. The centre is anchored by Big W, Woolworths, Coles and Best & Less and includes more than 80 specialty stores.

Chatswood Chase Sydney is a four-level regional shopping centre located approximately 12 km north of Sydney’s CBD. The centre is anchored by David Jones, Kmart, Coles, JB Hi-Fi, Dick Smith and Country Road and includes more than 200 specialty stores.

Date acquired

Date acquired

OCT 02NOV 03+CFXownership

CFXownership

100%100%Centretype

Centretype

Sub-regionalRegional

QldNSW

Toowoomba

Sydney

For

per

sona

l use

onl

y

APR 94 APR 94






Date acquired

CFXownership

CFXownership

Centretype

Centretype

Sub-regional100%OCT 02 100%

Victoria

Melbourne

CORIO ShOPPING CENTRE

Corio Shopping Centre Corio, VICTotal retail area (GLA) (sqm)* 28,037


Vacancy (%) 2.3




Capitalisation rate (%) 8.00%

Discount rate (%) 9.50%

Terminal yield (%) 8.25%


NABERS Energy rating n.a.~

NABERS Water rating n.a.~¥ Twelve months to Jun-14 and includes vacancies and holdovers.* Excluding car park, storage, ATMs, sundry and offi ce tenancy areas but including

kiosk areas.^ Work in progress.~ Not rateable due to refurbishment.

FY14¥

FY15

FY16

FY17

BEYOND

32.7%

13.8%

19.0%

16.4%

18.1%



Corio Shopping Centre is a single-level sub-regional shopping centre located approximately 60 km south-west of Melbourne’s CBD, or 8 km north of Geelong’s CBD. The centre is anchored by Kmart, Coles, Woolworths, Sam’s Warehouse and Best & Less and includes more than 90 specialty stores.

Retail outletOCT 10Date acquired

DFO ESSENDON

DFO Essendon is a single-level retail outlet centre located approximately 13 km north-west of Melbourne's CBD. The centre comprises four mini-majors and over 110 specialty stores including Polo Ralph Lauren, Country Road, Tommy Hilfi ger, Forever New, JB Hi-Fi, Sheridan and Oroton. The adjacent Homemaker Hub comprises over 20 large format stores.

Mini majors 10.2%Specialty shops 89.3%Non-retail 0.5%

FY14¥

FY15

FY16

FY17

BEYOND

14.5%

5.6%

50.0%

16.3%

13.6%

DFO Essendon Strathmore, VICTotal retail area (GLA) (sqm)* 19,698


Vacancy (%) 0.0










kiosk areas.^ Work in progress.~ Not rateable as there is no NABERS tool for this type of asset.

Victoria

Melbourne

For

per

sona

l use

onl

y

Asset summaries

APR 94




CFXownership

CFXownership

Centretype

Centretype



100% 100%

Victoria

MelbourneRetail outletOCT 10Date acquired

DFO hOMEBUSh

DFO Homebush is a single-level retail outlet centre located approximately 15 km west of Sydney's CBD. The centre comprises over 70 specialty stores including Polo Ralph Lauren, Coach, Armani, Michael Kors, Oroton, Fossil and Zegna. The centre is currently undergoing a major development which will be completed by June 2014.

Mini majors 12.5%Specialty shops 85.6%Non-retail 1.9%

FY14¥

FY15

FY16

FY17

BEYOND

14.6%

11.1%

2.4%

16.9%

55.0%

DFO Homebush Homebush, NSWTotal retail area (GLA) (sqm)* 10,754


Vacancy (%) 0.0











NSW

Sydney

DFO Moorabbin Cheltenham, VICTotal retail area (GLA) (sqm)* 25,219


Vacancy (%) 0.0











FY14¥

FY15

FY16

FY17

BEYOND

32.6%

12.7%

13.8%

16.0%

24.9%


Retail outletDate acquired

OCT 10

DFO MOORABBIN

DFO Moorabbin is a single-level retail outlet centre located approximately 21 km south-east of Melbourne's CBD. The centre comprises several mini-majors and over 130 specialty stores including Country Road, Tommy Hilfi ger, Mimco, Sheridan and Calvin Klein Jeans.

For

per

sona

l use

onl

y

APR 94 APR 94






Date acquired

APR 94CFXownership

CFXownership

100%Centretype

Centretype

RegionalHobart

EASTLANDS ShOPPING CENTRE

Eastlands Shopping Centre Rosny Park, TASTotal retail area (GLA) (sqm)* 33,064


Vacancy (%) 2.3













FY14¥

FY15

FY16

FY17

BEYOND

42.1%

20.6%

15.1%

6.6%

15.6%

Eastlands Shopping Centre is a two-level regional shopping centre located approximately 4 km east of Hobart’s CBD. The centre is anchored by Coles, Kmart, Woolworths, Big W, Village cinemas, Rebel Sport and Best & Less and includes more than 90 specialty stores.

Retail outlet50%Date acquired

DEC 10

DFO South Wharf South Wharf, VICTotal retail area (GLA) (sqm)* 32,533


Vacancy (%) 0.6











FY14¥

FY15

FY16

FY17

BEYOND

12.4%

52.2%

12.4%

6.3%

16.7%


DFO SOUTh WhARF

DFO South Wharf is a two-level retail outlet centre located on the south-western fringe of Melbourne's CBD, adjacent to Docklands. The centre comprises 18 mini-majors and over 140 specialty stores including Armani, Country Road, Mimco, Forever New and JB Hi-Fi. The adjacent Homemaker Hub comprises over 30 large format stores.

Victoria

Melbourne

For

per

sona

l use

onl

y

Asset summaries

APR 94




Date acquired

Date acquired

CFXownership

CFXownership

100%Centretype

Centretype



50%

The Entertainment Quarter Moore Park, NSWTotal retail area (GLA) (sqm)* 24,848


Vacancy (%) 4.1


Valuation ($m) 33.2









Elizabeth Shopping Centre Elizabeth, SATotal retail area (GLA) (sqm)* 73,521


Vacancy (%) 0.3










kiosk areas.^ Work in progress.+ CFX acquired 50% in Jul-98 and 50% in Jan-05.

FY14¥

FY15

FY16

FY17

BEYOND

50.5%

19.5%

4.4%

15.3%

10.3%


FY14¥

FY15

FY16

FY17

BEYOND

15.7%

17.7%

27.0%

21.6%

18.0%





OtherJUN 04RegionalJUL 98+

ThE ENTERTAINMENT QUARTERELIZABETh ShOPPING CENTRE

The Entertainment Quarter is an entertainment precinct, approximately 3 km south-east of the Sydney CBD adjacent to Australia’s premier fi lm making facility in Moore Park. It is anchored by the Australian Film, Television and Radio School (AFTRS), Hoyts cinemas, Strike Bowling, includes more than 30 specialty stores and entertainment facilities and has a major commercial car park.

Elizabeth Shopping Centre is a single-level regional shopping centre located approximately 24 km north of Adelaide’s CBD. The centre is anchored by Big W, Coles, Myer, Target, Woolworths, Rebel Sport, Reading cinemas, JB Hi-Fi and Best & Less and includes more than 190 specialty stores.

Adelaide

NSW

Sydney

For

per

sona

l use

onl

y

APR 94 APR 94






Victoria

CFXownership

CFXownership

100%Centretype

Centretype

Melbourne

Qld





Brisbane

Date acquired

OCT 02+ 50% RegionalRegionalDate acquired

JAN 05

Grand Plaza Shopping Centre Browns Plains, QLDTotal retail area (GLA) (sqm)* 53,121


Vacancy (%) 0.5









NABERS Water rating 4.0-star+ CFX acquired 100% in Oct-02 and sold 50% in Dec-07.¥ Twelve months to Jun-14 and includes vacancies and holdovers.* Excluding car park, storage, ATMs, sundry and offi ce tenancy areas but including


Forest Hill Chase Forest Hill, VICTotal retail area (GLA) (sqm)* 59,485


Vacancy (%) 0.6











GRAND PLAZA ShOPPING CENTREFOREST hILL ChASE

FY14¥

FY15

FY16

FY17

BEYOND

30.6%

10.3%

7.4%

16.7%

35.0%

FY14¥

FY15

FY16

FY17

BEYOND

25.3%

15.8%

14.7%

18.7%

25.5%

Grand Plaza Shopping Centre is a single-level regional shopping centre located approximately 22 km south of Brisbane's CBD. The centre is anchored by Target, Big W, Woolworths, Coles, Kmart, Aldi, Best & Less and Event cinemas and includes more than 160 specialty stores.

Forest Hill Chase is a three-level regional shopping centre located approximately 18 km east of Melbourne’s CBD. The centre is anchored by Coles, Safeway, Big W, Target, Rebel Sport, JB Hi-Fi, Hoyts cinemas, Aldi, AMF Bowling, Best & Less and Harris Scarfe and includes more than 170 specialty stores. The centre completed a redevelopment in the fi rst half of 2013.

For

per

sona

l use

onl

y

Asset summaries

Date acquired

APR 94




CFXownership

CFXownership

100%Centretype

Centretype



NSW QldBrisbane

Sub-regionalWyong

ThE MYER CENTRE BRISBANE

50% CBD regionalDate acquired

APR 97+Date acquired

NOV 98+

The Myer Centre Brisbane Brisbane, QLDTotal retail area (GLA) (sqm)* 63,664


Vacancy (%) 1.3









NABERS Water rating 2.5-star+ CFX acquired a 100% interest in Nov-98 and sold 50% in Mar-12.¥ Twelve months to Jun-14 and includes vacancies and holdovers.* Excluding car park, storage, ATMs, sundry and offi ce tenancy areas but including


Lake Haven Shopping Centre Lake Haven, NSWTotal retail area (GLA) (sqm)* 39,082


Vacancy (%) 0.0









NABERS Water rating 4.0-star+ Centre: Apr-97; Homemaker: Jul-98.¥ Twelve months to Jun-14 and includes vacancies and holdovers.* Excluding car park, storage, ATMs, sundry and offi ce tenancy areas but including


FY14¥

FY15

FY16

FY17

BEYOND

32.1%

26.6%

17.5%

7.0%

16.8%

FY14¥

FY15

FY16

FY17

BEYOND

30.0%

18.0%

14.0%

16.4%

21.6%




Discount department stores 11.5%Supermarkets 3.1%Mini majors 9.8%

Specialty shops 18.3%Other retail 16.4%Non-retail 16.3%


LAKE hAVEN ShOPPING CENTRE

The Myer Centre Brisbane is a six-level CBD regional shopping centre located in the heart of Brisbane. The centre is anchored by Myer, Target, Event cinemas, Coles Central, Best & Less and Lincraft and includes more than 180 specialty stores.

Lake Haven Shopping Centre is a single-level sub-regional shopping centre and business park located approximately 10 km north-east of Wyong. The centre is anchored by Kmart, Woolworths, Coles and Best & Less and includes more than 120 specialty stores.

For

per

sona

l use

onl

y

Date acquired

Date acquired

APR 94 APR 94





CFXownership

CFXownership

Centretype

Centretype

Victoria

Melbourne


Myer Melbourne – department store Melbourne, VICTotal retail area (GLA) (sqm)* 38,729

Vacancy (%) 0.0


Book value (including WIP^) ($m) 111.7+ Based on a blended calculation of CFX ownership of 33% of Myer Melbourne –

department store and 50% of Emporium Melbourne.* Excluding car park, storage, ATMs, sundry and offi ce tenancy areas but including


Date acquired

CBD regional46%+JUL 07

MYER MELBOURNE

Myer Melbourne is an iconic retail redevelopment project in the heart of the Melbourne CBD. The Bourke Street component, Myer Melbourne – department store, involved the reconstruction and complete revitalisation of the Myer department store and was offi cially launched in March 2011. The Lonsdale Street component, Emporium Melbourne, will comprise large-format fl agship and specialty stores with pedestrian links to Myer, David Jones and Melbourne Central. The total project will comprise approximately 85,000 sqm of retail space and is scheduled for completion in 2014.

100% Sub-regionalDate acquired

SEP 09

Northgate Shopping Centre Glenorchy, TASTotal retail area (GLA) (sqm)* 19,278

Number of car spaces 873

Vacancy (%) 1.2


Valuation ($m) 88.5







NABERS Water rating Not rated¥ Twelve months to Jun-14 and includes vacancies and holdovers.* Excluding car park, storage, ATMs, sundry and offi ce tenancy areas but including


FY14¥

FY15

FY16

FY17

BEYOND

22.7%

19.4%

17.0%

16.0%

24.9%



NORThGATE ShOPPING CENTRE

Northgate Shopping Centre is a single-level sub-regional shopping centre located approximately 8 km north-west of the Hobart CBD. The centre is anchored by Target, Coles and Best & Less and includes more than 60 specialty stores.

Hobart

For

per

sona

l use

onl

y

APR 94




Property portfolio

CFXownership

CFXownership

Centretype



Victoria

Melbourne 100%Centretype

FY14¥

FY15

FY16

FY17

BEYOND

24.8%

14.7%

3.3%

21.5%

35.7%

Post Offi ce Square Brisbane, QLDTotal retail area (GLA) (sqm)* 1,750

Number of car spaces 316

Vacancy (%) 1.3


Valuation ($m) 73.0









OtherDate acquired

DEC 05

POST OFFICE SQUARE

Regional50%

Specialty shops 94.0%Other retail 5.7%Non-retail 0.3%

FY14¥

FY15

FY16

FY17

BEYOND

13.6%

25.7%

26.4%

19.6%

14.7%


Other majors 2.0%




Northland Shopping Centre Preston, VICTotal retail area (GLA) (sqm)* 90,804


Vacancy (%) 0.2











Date acquired

APR 94

NORThLAND ShOPPING CENTRE

Post Offi ce Square is a mixed-use complex located in the heart of the Brisbane CBD. The property incorporates a six-level basement car park and a single-level retail arcade, including over 20 specialty stores.

Northland Shopping Centre is a two-level regional shopping centre located approximately 11 km north of Melbourne's CBD. The centre is anchored by Myer, Kmart, Target, Coles, Woolworths, Toys 'R' Us, Rebel Sport, Lincraft, JB Hi-Fi, Country Road and Hoyts cinemas and includes more than 300 specialty stores.

QldBrisbane

Centretype

For

per

sona

l use

onl

y

APR 94 APR 94






CFXownership

CFXownership

Centretype

Centretype

Regional50%Date acquired

OCT 02+Perth

Rockingham Shopping Centre Rockingham, WATotal retail area (GLA) (sqm)* 60,699


Vacancy (%) 0.0









NABERS Water rating 2.0-star+ CFX acquired 12.5% in Oct-02, 4.2% in May-05 and 33.3% in Dec-07.¥ Twelve months to Jun-14 and includes vacancies and holdovers.* Excluding car park, storage, ATMs, sundry and offi ce tenancy areas but including




FY14¥

FY15

FY16

FY17

BEYOND

31.1%

34.3%

11.3%

8.3%

15.0%

ROCKINGhAM ShOPPING CENTRE

Rockingham Shopping Centre is a single-level regional shopping centre located approximately 40 km south-west of Perth's CBD. The centre is anchored by Kmart, Target, Woolworths, Coles, Ace cinemas, Best & Less, JB Hi-Fi and Rebel Sport and includes more than 210 specialty stores.

100% CBD regionalJUL 01Date acquired



Other

cfx for personal use only - asx · 2013. 8. 19. · cfx reported an annual profit of $295.0...

Documents