Page 11 - ar2012

A-REIT COMPETITIVE EDGE
Stability & Sustainability
A-REIT offers stable and sustainable earnings as it capitalises on
its three core strategies to drive performance: prudent capital
and risk management, disciplined and value-adding investment
and proactive asset management. Building upon our strengths,
we seek to create a competitive edge to differentiate ourselves,
to fortify stability and sustainability within the portfolio.
Diversity and Depth
A-REIT is the largest business space and industrial REIT in
Singapore with a portfolio diversifed across fve segments of
the suburban business space and industrial property market.
As a result of its disciplined investment strategy, A-REIT owns a
portfolio of well-located properties with optimal specifcations
to cater to the diverse and intricate real estate needs of its
existing and prospective customers. A good balance of long-
term and short-term leases provides stability and potential for
rental growth within the portfolio.
Market Leading Position
A-REIT is focused on the suburban business space and industrial
properties with a committed sponsor, Ascendas Group which
has a proven track record of more than 20 years of experience
in this industry.
A-REIT has established itself as the market leader in most of the
segments that it operates in since its listing in 2002, growing
from eight properties (asset under management (“AUM”) of
S$0.6 billion) in 2002 to the current 102 properties (AUM of
S$6.6 billion).
Operations Platform
Ascendas Services Pte Ltd, A-REIT’s Property Manager, has a
dedicated sales/marketing, leasing and property management
team of over 130 people, all of whom possess in-depth
understanding of this property sector and its customers’ needs.
Development Capabilities
A-REIT is the frst Singapore REIT (“S-REIT”) to undertake
development projects on its own balance sheet in 2006,
enabling Unitholders to enjoy the benefts of potential
development upsides. To date, A-REIT has completed 10
development projects, achieving a total revaluation gain of
about S$273.5 million or 36.7% over the total development
cost, demonstrating the Manager’s ability to achieve value-
added investments for the portfolio through its development
capabilities.
Customer Focus
A-REIT has a track record of customers growing with us and
have consistently maintained a high customer retention ratio
when leases are due for renewal.
With proactive asset management and leasing strategy, A-REIT
is looking forward to serve its tenants in their spatial needs in
Singapore and China through the provision of quality business
space.
Size Advantage
A-REIT accounted for 9.5% of the market capitalisation of the
S-REIT sector as at 31 March 2012. In FY11/12, it accounted for
about 10.3% of the trading volume for S-REITs on Singapore
Exchange Securities Trading Limited (“SGX-ST”), making it
one of the most liquid REITs in the Singapore market. A-REIT
is amongst the fve highest ranking non-constituents of the
Singapore Straits Times Index by market capitalisation. A-REIT
is also included in major indices including the MSCI Singapore
Index, FTSE Mid Cap Index as well as iShare FTSE EPRA/
NAREIT Asia Index.
11
A DECADE OF ENABLING BUSINESSES