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(iii) an acquisition fee of 1.0% of the purchase price of investment property acquired by the Trustee on behalf of the Trust.
(iv) a divestment fee of 0.5% of the sale price of investment property sold or divested by the Trustee on behalf of the Trust.
(v) a development management fee, not exceeding 3.0% of the total project cost incurred in development projects undertaken
by the Trust. In cases where the market pricing for comparables services is materially lower, the Manager will reduce the
development management fees to less than 3.0%. In addition, when the estimated total project cost is greater than $100.0
million, the Trustee and the Manager’s independent directors will frst review and approve the quantum of the development
management fee.
With effect from 19 November 2007, the Manager has elected to receive 20.0% of the base management fees in units and 80.0%
in cash for all properties.
With effect from 17 November 2004, the Manager may elect to receive performance fees in cash and/or units, in such proportion
as may be determined by the Manager. The Manager has elected to receive 100% of the performance fee in the form of cash for
the fnancial year ended 31 March 2011. No performance fee was payable for the fnancial year ended 31 March 2012.
The cash component of the base management fees will be paid monthly in arrears and the units component will be paid on a six-
monthly basis in arrears. The performance fee will be paid within 60 days of the last day of every fnancial year.
(c) Fees under the property management agreement
(i) Property management services
For property management services, the Trust will pay Ascendas Services Pte Ltd (the “Property Manager”), for each Fiscal
Year (as defned in the Property Management Agreement), a fee of 2.0% per annum of the gross revenue of each property,
managed by the Property Manager.
(ii) Lease management services
For lease management services, the Trust will pay the Property Manager, for each Fiscal Year, a fee of 1.0% per annum of the
gross revenue of each property.
In addition, in relation to the services provided by the Property Manager in respect of property tax objections submitted to
the tax authorities on any proposed annual value of a property, the Property Manager is entitled to the following fees if as a
result of such objections, the proposed annual value is reduced resulting in property tax savings for the property:
• where the proposed annual value is $1.0 million or less, a fee of 7.5% of the property tax savings;
• where the proposed annual value is more than $1.0 million but does not exceed $5.0 million, a fee of 5.5% of the property
tax savings; and
• where the proposed annual value is more than $5.0 million, a fee of 5.0% of the property tax savings.
The above mentioned fee is a lump sum fxed fee based on the property tax savings calculated on a 12-month period.
NOTES TO THE FINANCIAL STATEMENTS
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A DECADE OF ENABLING BUSINESSES