citc ilt tcapitacommercial trust first quarter 2010 results€¦ · to request that the cct manager...

C it C i l T tCapitaCommercial Trust First Quarter 2010 Results

16 April 2010

Important Notice

This presentation shall be read in conjunction with CCT’s 2010 First Quarter Unaudited FinancialStatement Announcement.

The past performance of CCT is not indicative of the future performance of CCT. Similarly, the past performanceof CapitaCommercial Trust Management Limited, the manager of CCT is not indicative of the future performanceof the Manager.

Th l f i i CCT (CCT U i ) d h i d i d f h f ll ll i Th CCT U iThe value of units in CCT (CCT Units) and the income derived from them may fall as well as rise. The CCT Unitsare not obligations of, deposits in, or guaranteed by, the CCT Manager. An investment in the CCT Units issubject to investment risks, including the possible loss of the principal amount invested. Investors have no rightto request that the CCT Manager redeem or purchase their CCT Units while the CCT Units are listed. It isintended that holders of the CCT Units may only deal in their CCT Units through trading on Singapore Exchangeintended that holders of the CCT Units may only deal in their CCT Units through trading on Singapore ExchangeSecurities Trading Limited (SGX-ST). Listing of the CCT Units on the SGX-ST does not guarantee a liquidmarket for the CCT Units.

This presentation may contain forward-looking statements that involve assumptions, risks and uncertainties.This presentation may contain forward looking statements that involve assumptions, risks and uncertainties.Actual future performance, outcomes and results may differ materially from those expressed in forward-lookingstatements as a result of a number of risks, uncertainties and assumptions. Representative examples of thesefactors include (without limitation) general industry and economic conditions, interest rate trends, cost of capitaland capital availability, competition from other developments or companies, shifts in expected levels ofoccupancy rate, property rental income, charge out collections, changes in operating expenses (includingemployee wages, benefits and training costs), governmental and public policy changes and the continuedavailability of financing in the amounts and the terms necessary to support future business.

Y ti d t t l d li th f d l ki t t t hi h b d thYou are cautioned not to place undue reliance on these forward-looking statements, which are based on thecurrent view of the CCT Manager on future events.

2 CapitaCommercial Trust Presentation *Apr 2010*

Contents

1. 1Q 2010 Highlights2 Solid Financial Results2. Solid Financial Results3. Stable Portfolio4. Market Outlook5. Supplementary Informationpp y


1 First Quarter 2010 Highlights1. First Quarter 2010 Highlights


1Q 2010 DPU 19% above 1Q 2009 DPU (1)

S$54.3m20%

19%S$45.4m

1.62 cts1.93 cts

1Q 2009 1Q 2010

1Q 2009 1Q 20101Q 2009 1Q 2010

Distributable income Distribution per unit

Note:

(1) Restated with the effects of the rights issue and are computed based on the issued units at end of period plus 1,403,891,006 rights units issued pursuant to the fully underwritten renounceable 1-for-1 rights issue

5

rights units issued pursuant to the fully underwritten renounceable 1-for-1 rights issue .

CapitaCommercial Trust Presentation *Apr 2010*

Resilient performance of CCT’s portfolio

• Portfolio committed occupancy rate rose to 95.1% from 94 8%from 94.8%

• Grade A office committed occupancy rate rose to 99 1% from 98 7%99.1% from 98.7%

• Signed new leases and renewals of 144,373 square feet in 1Q 2010square feet in 1Q 2010– Tenants include:

• MF Global Singapore Pte. Limited (banking & financial services)g p ( g )• CB Richard Ellis (Pte) Ltd (real estate services)• TSMP Law Corporation (legal)

– Key sectors of these new leases and renewals: banking & financial services, legal and real estate services.


Proactive capital management

• Raised S$225m unsecured convertible bonds due 2015

• Repurchased S$140 5 million of existing convertible bonds• Repurchased S$140.5 million of existing convertible bonds

• Issued S$70 million MTN

• Increased CCT’s MTN programme limit to S$2 billion from S$1 billion

Result:• Refinance well ahead of debt maturity datesRefinance well ahead of debt maturity dates• Diversify sources of funding and extend debt

maturitiesmaturities• Financial flexibility to respond quickly to investment

opportunitiesopportunities


2 Solid Financial Results2. Solid Financial Results


1Q 2010 gross revenue up by 5%; distributable income up by 20%distributable income up by 20%

1Q 2009 1Q 2010

S$’000 5%

97,461101,836

77 57890,000

100,000

110,0001Q 2009 1Q 2010

11%

69,87077,578

54,34160,000

70,000

80,000 20%

45,404

30,000

40,000

50,000

20,000

30,000

Gross Revenue Net Property Income Distributable Income

Higher revenue from rental reversions

Improved operating margin due to lower property tax and other operating expenses.

Lower interest expense due to reduced amount of debt


Total Assets at S$6.0B, Adj. NAV at S$1.3731 Mar 10

S$'00031 Dec 09

S$'000Non-current assets 5,596,165 5,595,598Non current assets 5,596,165 5,595,598

Current assets1 401,606 504,374Total assets 5,997,771 6,099,972

Current liabilities2 313,109 325,902

Non-current liabilities 3 1,780,489 1,817,661Net assets 3,904,173 3,956,409Unitholders' funds 3,904,173 3,956,409NAV 1 39 1 41NAV 1.39 1.41Adjusted NAV 4 1.37 1.37

Notes: Comparing Mar 10 against Dec 09(1) C t t i l i l d t l h b l tili d f t f S$150 illi MTN(1)(2)

(3)

Current assets is lower mainly due to lower cash balance utilized for repayment of S$150 million MTN.Current liabilities has decreased mainly due to repayment of $150 million MTN but offset by higher trade and other creditors for $40.65 million deposit of sale of Robinson Point and reclassification of $100 million MTN from non-current liabilities.Non-current liabilities has decreased mainly due to reclassification of $100 million MTN to current liabilities and repurchase of $15 million convertible bond but offset by issuance of new $70 million MTN and additional drawdown of $3 million RCS loan and increase in other non-


(4) Assuming the distribution income has been paid out to the unitholders

ycurrent liabilities .

Refinance well ahead of maturity, diversify sources of funding, extend debt maturity profile

800

900

1,000

$355m2008CB

Put option (18%)

As at 31 March 2010S$m

$520m400

500

600

700 RCS -

secured facility

(2%)$570m secured term loan

(30%)

(18%)

$38 m

100

200

300

400 RCS

- CMBS(27%)

$355m2008 CB(18%)

(30%)

$143md$100m$85

800

900

$50m $70m-

2010 2011 2012 2013 2014 2015

securedterm loan (7%) MTN (3%)

$100mMTN (5%)

$85mMTN (4%)

MTN (4%)

Proforma debt maturity profile: S$m

500

600

700

800

RCS -secured facility

(2%)

$230m2008 CB

Put option (11%)

$38 m

y pAfter the partial buy-back of 2008 CB and issue of 2010 CB due 2015

$520m

200

300

400

500

RCS- CMBS(26%)

$570m secured term loan

(28%)

$

$50m $70m-

100

200

2010 2011 2012 2013 2014 2015

$230m2008

CB (11%)$143m secured

term loan (7%)

MTN (2%)

$100m MTN (5%)

$85mMTN (4%)

MTN (3%)

$225m2009

CB (11%)

11

Target gearing range from 30% to 45% through property market cyclesthrough property market cycles

Post 2008 Bond repurchase and As at As atrepurchase and issuance of 2010

Convertible Bond

As at 31 Mar 10

As at 31 Dec 09

Total debt (S$'mil) 2,030.2 1,930.7 2,022.7

Gearing ratio1 33.8% 32.2% 33.2%

I t t i ti 2 3 6 ti 3 6 ti 3 3 ti Interest service coverage ratio2 3.6 times 3.6 times 3.3 times Average cost of debt 3.8% 3.9% 3.9%

Average fixed rate term to expiry3 2 5 years 2 2 years 2 2 years Average fixed rate term to expiry 2.5 years 2.2 years 2.2 years Average debt maturity to put4 2.1 years 1.7 years 1.7 years

Notes:1. Ratio of borrowings over total deposited properties2 Ratio of net investment income before interest and tax over interest expenses

12

2. Ratio of net investment income before interest and tax over interest expenses3. Fixed rate loan portfolio average years to expiry date of loans/hedge4. Average debt maturity to put based on put date of 2008 bonds on May 2011 and maturity date of borrowings


Low Exposure to Interest Rate Risk

19%

81%

Borrowings on fixed rate Borrowings on floating rate


Enhanced financial flexibility• Total number of unsecured assets : 7 out of 10 (after completion of sale

of Robinson Point)

$• Value of unsecured assets : S$2.6 billion (46% of total value of investment properties)

• S$1.7 billion untapped balance from S$2.0 billion multicurrencyS$1.7 billion untapped balance from S$2.0 billion multicurrency medium term note programme

Six Battery Road One George Street Starhub Centre Wilkie Edge

G ld Sh C P k Market Street Car ParkB i Vill

14

Golden Shoe Car Park Market Street Car ParkBugis Village


3 Stable Portfolio3. Stable Portfolio


Gross rental income(1) predominantly contributed by Grade A offices

CCT’s focus is owning and investing in real estate and real

contributed by Grade A offices

g gestate-related assets, which are income-producing and used, or

predominantly used, for commercial purposes.M j i f CCT tiMajor usage mix for CCT properties

By Gross Rental Income for the month of March 2010

Office, 72%

Hotels & C ti 72%Convention Centre, 11%

Retail, 17%


Note:(1) Excludes retail turnover rent

Portfolio diversification with focus on qualityMore than 80% of Net Property Income (1)

from Grade A offices and Raffles CityGolden Shoe Car

Park 3% Wilkie Edge, 2% Market Street Car

Raffles City 28%Robinson Point,

HSBC Building, 3%

Bugis Village, 3%Park, 3% g , Market Street Car

Park, 1%

(2)Raffles City, 28%

Starhub Centre, 4%

,3%

Capital Tower, 15%15%

Six Battery Road, 22%One George

Street, 16%

Notes:

17

Notes:(1)For the period of 1 Jan 2010 to 31 Mar 2010(2)Represents CCT’s interest of 60.0% in Raffles City


Diverse tenant mix(1) in CCT’s portfolio

Retail Services, 3%

Car Park, 2% Department Store, 3%

Education, 1%

Banking, Insurance & Financial Services, 37%Others , 4%

Legal, 3%

(2)

Food & Beverage 5%

Real Estate & Property Services, 5% Standard Chartered Bank

JPMorgan Chase Bank N A

Fashion 6%

Food & Beverage, 5% Bank, N.A.

Nomura Singapore Ltd

The Hongkong and

Government & Government Linked Office, 7%

Fashion, 6% Shanghai Banking Corporation Ltd

Lloyd’s of London (Asia) Pte Ltd

Energy, Business Consultancy, IT &

Telecommunications, 14%

Hospitality, 10%

Notes:

These five tenants account for 62% of the Banking, Insurance and Financial Services Group.

18

(1) Based on monthly gross rental income as at 31 Mar 2010 for the portfolio including car park income from Golden Shoe Car Park and Market Street Car Park.

(2) Consists of other minor retail and office trades


Top ten blue-chip tenants(1) contribute about 47% of monthly gross rental income

Weighted Average Lease Term to Expiry (by floor area)Weighted Average Lease Term to Expiry (by floor area) for Top 10 Tenants as at 31 Mar 2010 = 5.6 years

Portfolio with Robinson Point Portfolio without Robinson Point

RC Hotels Pte Ltd 11.3% RC Hotels Pte Ltd 11.8%

Standard Chartered Bank 10.8% Standard Chartered Bank 11.2%

Government of Singapore Investment Government of Singapore InvestmentGovernment of Singapore Investment Corporation Pte Ltd 4.4% Government of Singapore Investment

Corporation Pte Ltd 4.6%

JPMorgan Chase Bank, N.A. 4.3% JPMorgan Chase Bank, N.A. 4.5%

CapitaLand Group 3 5% Nomura Singapore Limited 3 4%CapitaLand Group 3.5% Nomura Singapore Limited 3.4%

Nomura Singapore Limited 3.3% The Hongkong and Shanghai Banking Corporation Ltd 2.6%

The Hongkong and Shanghai Banking 2 5% BHP Billit M k ti A i 2 5%The Hongkong and Shanghai Banking Corporation Ltd 2.5% BHP Billiton Marketing Asia 2.5%

BHP Billiton Marketing Asia 2.4% Lloyd’s of London Asia 2.3%

Lloyd’s of London Asia 2 2% Robinson & Company (Singapore) 2 1%Lloyd’s of London Asia 2.2% p y ( g p )Private Limited 2.1%

Robinson & Company (Singapore) Private Limited 2.0% WongPartnership LLP 1.9%

19

Note:(1) Based on monthly gross rental income contribution as at 31 Mar 2010 (excluding retail turnover rent)


CCT’s Grade A offices continue to strengthen occupancy to 99.1%

CCT 1Q 2010 Committed Occupancy level 1Q Industry Statistics – Occupancy level

Grade A offices: 99.1% 4Q: 98.7% Grade A offices: 94.5% 4Q: 93.8%

P tf li 95 1% 4Q 94 8% C CBD 91 9% 4Q 91 2%

100%

CCT's Committed Occupancy Since Inception

Portfolio: 95.1% 4Q: 94.8% Core CBD: 91.9% 4Q: 91.2%

95.2%

99.1%99.6% 99.6%

96.2%

100%

95.1%

87.2%

89.7%

92.7%91.2%90%

87.9%

84.0%

80%2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q

2004 2005 2006 2007 2008 2009 2010

CCT Occupancy Rate URA Occupancy Index(1)

20

Note:(1) URA has not released Occupancy Index Figure for 1Q 2010


Well spread portfolio lease expiry profile(1)

Leases up for renewal (by Monthly Gross Rental Income(2) ) as at 31 March 2010

22.0%

14.1%

17.2%6.6%

12.1%

9.0%

5.9%2 4%

9.0%

2.6%

3.8% 3.0% 1.5%

2.4%

2010 2011 2012 2013 2014 & Beyond

Office Retail Hotels and Convention Centre

Notes:(1) Data shown does not take into account the sale of Robinson Point.

Renewed Leases for 2010

21

(1) Data shown does not take into account the sale of Robinson Point.(2) Excludes turnover rent.


Already secured renewals for a third of office leases expiring in 2010

Office leases expiring(1) as a percentage of Monthly Office Gross Rental Income as at 31 March 2010

29.9%8.1%

16.2%18.9%

23.0%

Renewed Leases for 2010

12.0%

2010 2011 2012 2013 2014 & Beyond

Average office portfolio rent as at 31 Mar 2010 is $8.64 psfNote:(1) Data shown does not take into account the sale of Robinson Point.


(1) Data shown does not take into account the sale of Robinson Point.

2010 expiring leases mainly from Capital Tower and Raffles City Tower

1Q 2010 Industry Statistics (1) –Grade A Office Average Market Rent: S$8 00 psf

Average rent of office portfolio leases expiring in 2010 is $7.71 psf

60%

Grade A Office Average Market Rent: S$8.00 psfPrime Office Average Market Rent: S$6.70 psf

2010

$10.43 $10.19 $9.00

$11.00

40%

60%Ave Monthly Gross Rental Rate for Expiring Leases (S$ psf/month)(2)

7.8%2 0% 2 4% 4.7%

$7.23 $7.29

$5.00

$7.00 20% Leases expiring as a

percentage of monthly office gross rental

2.0% 2.4%$3.00 0%

Capital Tower Six Battery Road One George Street

Raf f les City Tower(3)

income as at 31 March 2010(2)

Notes:(1)Source: CBRE (as at Q1 2010)(2)Data shown does not take into account the sale of Robinson Point.

23

(3)Has embedded yield protection of 4.25% p.a., based on purchase consideration of S$1.165 billion until 10 July 2013 from CapitaLand. This eliminates downside rental risk for One George Street during the yield protection period, but allows CCT to benefit from any upside in rental reversion.


Leasing risk mitigated by anticipation of office market recovery, butproactive leasing and prudent cost management strategy continues

2011 2012

$10 18

$15.93

$12.35 $13.05 $12.00

$16.00

$20.00

40%

60%

$11.71 $11.58$13.38

$12.00

$16.00

$20.00

40%

60%

4.5%

13.8%

5.7%1 3%

$10.18

$4.00

$8.00 20%

1.3%4.0% 4.3% 6.4%

$ $11.58

$7.29

$4.00

$8.00 20%

1.3%$-0%


Raf f les City Tower

(1) (1)$-0%


Raff les City Tower

Ave Monthly Gross Rental Rate for Expiring Leases (S$ psf/month)(2)

Leases expiring as a percentage of monthly office gross rental income as at 31 March 2010(2)

Notes:(1)Has embedded yield protection of 4.25% p.a., based on purchase consideration of S$1.165 billion until 10 July 2013 from CapitaLand. This eliminates downside rental risk for One George Street during the yield protection period, but allows CCT to benefit from any upside in rental reversion.

24

(2)Data shown does not take into account the sale of Robinson Point.


4 Portfolio Reconstitution Strategy4. Portfolio Reconstitution Strategy


Portfolio reconstitution strategy to further enhance asset quality q y

Flexibility and speed to seize growth opportunities

Acquire good quality Redeploy capital g q y

assetRedeploy capital

Organic growthFunding flexibility

Organic growth

Asset enhancement / refurbishment

Unlock value at optimal stage

f l refurbishmentof cycle

Value creation26

Value creation


Sale of Robinson Point

• Sale of Robinson Point for S$203.25 mil or S$1 527 psf on NLAS$1,527 psf on NLA

• Estimated gain of S$19.2 mil – 11 4% above Dec 2009 valuation of S$182 511.4% above Dec 2009 valuation of S$182.5

mil– 69.7% above 2004 appraised value of S$119.8

mil when acquired by CCTmil when acquired by CCT

• Completion scheduled on 19 April 2010

S l d ill b d f th• Sale proceeds will be used for growth opportunitiesRobinson Point


Asset plan review for Starhub Centre

• Obtained Outline Planning PermissionObtained Outline Planning Permission from the Urban Redevelopment Authority for change of use:

from Commercial to Residential (maximum– from Commercial to Residential (maximum 80% of GFA) and Commercial

– Gross plot ratio of +4.9 (no change)

• Still pending other government authorities’ approval

• Only decide next course of action after all relevant approvals are received

Starhub CentreStarhub Centre


5 Market Outlook5. Market Outlook


Future supply in Central Area (1) until 2012 at 6.7 million sq ft of which approx 38% have already been

itt dpre-committed; Singapore Private Office Space (Central Area) -- Demand & Supply

Ave annual supply = 2 4 mil sq ft

2 12.5

3.0

4.0

t)

Post -Asian financial crisis and SARs-weak demand & undersupply

Ave annual supply = 2.4 mil sq ftAve annual demand during previous growth phase('93-'97)=2.1 mil sq ft

Remaking of Singapore as global Global

financial crisis in 2.1 2.1

1.66

0 140.721.0

2.0

pace

(mil

sq ft undersupply crisis in

2009

0.14

-1.0

0.0

Off

ice

Sp

Ave annual supply = 1.8 mil sq ftAve annual annual demand =1.6 mil sq ft 77% pre-

committed

-2.0

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

Notes:

(1)Central Area comprises ‘The Downtown Core’, ‘Orchard’ and ‘Rest of Central Area’

Supply Demand Forecast supply as at Apr'10 Pre-committed space

30

Source: Consensus Compiled from CBRE & JLL ( Apr 10)


Trends in Singapore office market • About 1.2 million sq ft of existing offices estimated to be

converted into residential use

• No decentralisation – no relocation from Singapore’s Central Business District to suburban areas in the past nine months

L i t h i d th t i th• Leasing momentum has improved over the past six months– Demand from local and international law firms, insurance companies,

banks

• Withdrawal of shadow space as companies review space requirements

• Many tenants with space requirements in excess of 75,000 sq ft


Singapore office market outlook

Mixed views from property consultants:• Expectation of office rents easing for rest of 2010 hitting• Expectation of office rents easing for rest of 2010, hitting

bottom in 2011, or perhaps by the end of 2011 if the economy grows more strongly than expected (DTZ)

• May be premature to make a call on early return to rental growth. Grade A rents may remain fairly flat in the next 12 to 18 months (CBRE)months (CBRE)

• Rents for Grade A- and B+ grade offices may still decline a few per cent from current levels though the drop should end by Q4 p g p y2010 (JLL)

• Singapore office market is expected to see a modest recovery ith t 5 t i i t i 2010 (C lli )with up to a 5 percent increase in rents in 2010 (Colliers)


Office market rentals have declined 57% since the peak in 3Q 2008, but rate of decline has eased

Rate of Market RentalDecline over preceding Quarter

$18.80

$18.00

Grade A Office Prime Office4Q 2008 ‐20.2% ‐19.9%1Q 2009 ‐18.0% ‐18.6%2Q 2009 ‐17.5% ‐18.1%3Q 2009 13 3% 12 8%

$15.00

$12.30

$16.10

$12.90 $15.00

3Q 2009 ‐13.3% ‐12.8%4Q 2009 ‐8.0% ‐10.0%1Q 2010 ‐1.2% ‐0.7%

$10.15

$8.80 $8.10 $8.00

$10.50

$8.60

$7 50$9.00

$12.00

$7.50 $6.75 $6.70

$6.00

3Q 2008 4Q 2008 1Q 2009 2Q 2009 3Q 2009 4Q 2009 1Q 2010

Note:

Prime Office Average Rent Grade A Office Average Rent(1)(1)

Note:(1) Source for office market rent: CBRE (figures as at end of each quarter)

CapitaCommercial Trust Presentation *April 2010*33

Global economy shown further signs of improvement; while downside risks remain, Singapore sees strong growth in Q1 g p g g

Advance estimates of Singapore’s forecast 2010 GDP : 7.0% to 9.0% (Apr 2010) revised upwards from 4.5% to 6.5% (Feb 2010)

32.125

35

(%)

( )

21.6

14.9

2 5 0 9 4 0

13.1

5

15uc

t (G

DP)

(s

-7.7 -2.1-11.5

-2.8

2.50

-4.2

-9.4

-3.2

0.9 4.0

-5

5

mes

ticPr

odar

ket p

rices

Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1

-16.4

-25

-15

Gro

ss D

omat

200

0 m

a

08 08 08 09 09 09 09 10

Quarter-on-Quarter Change -7.7 -2.1 -16.4 -11.5 21.6 14.9 -2.8 32.1Year-on-Year Change 2.5 0 -4.2 -9.4 -3.2 0.9 4.0 13.1

34

Source: Ministry of Trade and Industry, 14 April 2010


6 Focus Moving Ahead6. Focus Moving Ahead


89% of 2009’s Gross Rental Income already committed for the year of 2010(1)

CapitaCommercial Trust Presentation *Apr 2010*36

Strategy for Driving DPU Growth

Distribution Per Unit Portfolio reconstitution

Organic growth Asset Enhancement

Acquisitions / Sales /Development Projects

– Singapore & overseas

Proactive and prudent capital management


Supplementary SlidesSupplementary Slides


Singapore’s First Listed Commercial REIT

Listing May 2004 on Singapore Exchange Securities Trading Limited

Portfolio 11 premier commercial assets in the Central Area of SingaporePortfolio - Singapore

11 premier commercial assets in the Central Area of Singapore (7% of total private stock)

Total Net Lettable Area

Total number of Tenants

3.4 million sq ft

More than 500 (office and retail)

Investments 30% stake in Quill Capita Trust who owns ten commercial properties in Kuala Lumpur, Cyberjaya and Penang

7.4% stake in Malaysia Commercial Development Fund Pte. Ltd.- Malaysia

Total assets S$6.0 billion (US$4.4 billion)(as at 31 March 2010)

Market cap S$3.0 billion (US$2.2 billion)Based on CCT’s closing price of S$1.08 on 31 March 2010 (last trading day of the month) and total units on issue, 2,816,403,677


1Q 2010 Gross Revenue – By Asset

28 729 29,995 30,000

4%

S$ ‘000Lower yield protection 28,729

22 042

25,000

,1Q 2009 1Q 20108%

p

20,498

15 931 15 809

22,042

20,000

16%

Lower average occupancy

-8%

13,604

15,931 15,809 14,647

10 000

15,000

7%-19%

p y

5,278

3,317 2 574 2 777

4,258 3,565

2 591 2 792 5,000

10,000 3%1%

7% 1%-19%

1% 77%

2,254 ,

2,574 2,777

1,103 1,396 2,326 2,591 2,792

1,337 2,474

-Capital Tower

Six Battery Road

HSBC Building

Starhub Centre

Robinson Point

Bugis Village Golden Shoe Car Park

Market StreetCar

One George Street

Wilkie Edge 60% Interest in RCSTower Road Building Centre Point Car Park Street Car

ParkStreet in RCS


1Q 2010 Net Property Income - By AssetS$ ‘000 11%

22,004

25,000 1Q 2009 1Q 2010

5%

S$ 000 11%

19,877

17,158

,00

20,000

5%

16,310

12,209

,

12,196

15,000 45%

Lower average occupancy and income

Higher maintenance incurred

8,004

,11,599

,

10,000

3% 6%6%7%

-19%

incurred

2,232

3,782

2,529 2 043 1 970 2,303 3,074 2,675

1 890 2 093

5,000

3% 6%47%-7%

NM2,232 2,043 1,970

647 267

, 1,890 2,093 952

1,634

-Capital Tower

Six Battery Road

HSBC Building

Starhub Centre

Robinson Point

Bugis Village

Golden Shoe Car

Market Street Car

One George

Wilkie Edge

60% Interest in

Park Park Street RCS


Committed occupancy rates above market levelsCCT 1Q 2010 Committed Occupancy level 1Q Industry Statistics – Occupancy level

Grade A office: 99.1% 4Q: 98.7% Grade A offices: 94.5% 4Q: 93.8%

P tf li 95 1% 4Q 94 8% C CBD 91 9% 4Q 91 2%

2004 2005 2006 2007 2008 2009 1Q 2010Capital Tower 94 5 100 0 100 0 100 0 99 9 99 9 99 9

Portfolio: 95.1% 4Q: 94.8% Core CBD: 91.9% 4Q: 91.2%

Capital Tower 94.5 100.0 100.0 100.0 99.9 99.9 99.9Six Battery Road 97.5 99.5 100.0 99.9 98.6 99.2 99.7Starhub Centre 98.1 100.0 100.0 99.0 93.1 68.2 68.2Robinson Point 85.2 99.1 100.0 100.0 90.9 94.1 94.5Robinson Point 85.2 99.1 100.0 100.0 90.9 94.1 94.5Bugis Village 92.9 92.1 95.3 99.1 96.6 93.8 95.8Golden Shoe Car Park 100.0 85.4 98.0 96.4 100.0 100.0 100.0Market Street Car Park 100.0 0.0 (1) 95.6 95.4 82.8 100.0 100.0HSBC Building 100.0 100.0 100.0 100.0 100.0 100.0Raffles City 99.5 99.3 99.9 99.3 99.8Wilkie Edge(2) 52.5 77.9 77.9

Note:

One George Street 100.0 96.3 97.0Portfolio Occupancy 95.2 99.1 99.6 99.6 96.2 94.8 95.1

42

(1) Market Street Car Park’s retail space was closed in November 2005 for asset enhancement work(2) Wilkie Edge is a property legally completed in December 2008


Occupation Cost – Ranking now at 32 from 15; more cost competitive to base office in Singaporemore cost competitive to base office in Singapore

CBRE Global 50 Index (by occupation cost in US$/sf/year)

Ranking Previous City Ranking (Nov 09) Cost Previous

ranking (May 09)London (West End), UK 1 184.85 2 (172.62)

Tokyo ( Inner Central ), Japan 2 171.64 1 (183.62)

Tokyo (Outer Central), Japan 3 139.09 5 (149.58)

Hong Kong (Central) China 4 137 61 4 (150 42)Hong Kong (Central), China 4 137.61 4 (150.42)

Moscow, Russia 5 131.55 3 (170.24)

Paris, France 6 122.51 8 (114.89), ( )

Mumbai, India 7 121.11 6 (131.04)

London (City), UK 9 108.03 9 (103.50)

Hong Kong (Citywide) 21 75.20 14 (84.47)

New York (Midtown), USA 24 68.93 21 (68.63)

Singapore 32 63 89 15 (82 79)

43

Singapore 32 63.89 15 (82.79)


Details of 2010 forecast office supply in Central Area

Expected Completion Development Location Net Floor

Area (sf)

Pre-commitment levellevel

Q3Tokio Marine Centre (formerly Asia Chambers redevelopment)

Shenton Way 136,782 55%

Q2 Marina Bay Financial Centre (Phase 1) Marina Bay 1 600 000 96 5%Q2 Marina Bay Financial Centre (Phase 1) Marina Bay 1,600,000 96.5%

Q350 Collyer Quay Collyer Quay 412,000 10%

Sub-total 2,148,782 77%


Source: CBRE , JLL & CapitaLand Research, April 2010

Details of forecast office supply in Central Area for 2011 - 2012

Expected Completion Development Location

Net Floor Area (sf)

Pre-commitment levelCompletion Development Location Area (sf) level

Q1 2011 Ocean Financial Centre Collyer Quay 850,000 17%

Q3 2011Asia Square (Marina View Tower 1 (only L6 -

Marina Bay 1 260 000 0%Q3 2011L43 office))

Marina Bay 1,260,000 0%

2011 1 Raffles Place (OUB Centre Tower 2) Raffles Place 350,000 0%

Sub total 2 460 000 6%Sub-total 2,460,000 6%

2012 Marina Bay Financial Centre (Phase 2) Marina Bay 1,300,000 55%

2012 Asia Square (Marina View Tower 2) Marina Bay 782,000 0%

Sub-total 2,080,000 34%

TOTAL FORECAST SUPPLY (2010 – 2012) 6,690,782 38%


Source: CBRE , JLL & CapitaLand Research, April 2010

C it C i l T t M t Li it dCapitaCommercial Trust Management Limited39 Robinson Road

#18-01 Robinson PointSingapore 068911Singapore 068911Tel: (65) 6536 1188 Fax: (65) 6533 6133

http://www cct com sghttp://www.cct.com.sg

For enquiries, please contact: Ms Ho Mei PengMs Ho Mei Peng

Head, Investor Relations & CommunicationsDirect: (65) 6826 5586

Email: [email protected]

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a o e pe g@cap ta a d co


citc ilt tcapitacommercial trust first quarter 2010 results€¦ · to request that the cct manager...

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