N o t e s t o t h e f i n a n c i a l s t a t e m e n t s
Year ended 31 March 2015
1 General (continued)
(d) Fees under the lease management agreement (continued)
(i)
Lease management services (continued)
•
1.0 month’s gross rent inclusive of service charge for securing a tenancy of five years; and
•
pro-rated based on 1.0 month’s gross rent inclusive of service charge for securing a tenancy of more
than five years, provided that the commission payable shall not exceed a sum equivalent to one and
a half months’ gross rent inclusive of service charge.
In relation to any new take-up of space by an existing tenant or where the space is taken up by a new tenant
introduced by an existing tenant, the Group will pay the Manager or its nominees, the following fees:
•
pro-rated based on 1.0 month’s gross rent inclusive of service charge for securing a tenancy of six
months or more but less than three years;
•
1.0 month’s gross rent inclusive of service charge for securing a tenancy of three years;
•
pro-rated based on 2.0 months’ gross rent inclusive of service charge for securing a tenancy of more
than three years but less than five years;
•
2.0 months’ gross rent inclusive of service charge for securing a tenancy of five years; and
•
pro-rated based on 2.0 months’ gross rent inclusive of service charge for securing a tenancy of more
than five years, provided that the commission payable shall not exceed a sum equivalent to three
months’ gross rent inclusive of service charge.
(ii)
Property tax services
For property tax services, the Manager or its nominees (as the Manager may direct) are entitled to the
following fees if as a result of the Manager’s or the nominees’ objections to the tax authorities, the proposed
annual value is reduced resulting in property tax savings for the property:
•
a fee of 7.5% of the property tax savings, where the proposed reduction in annual value is $1.0 million
or less in Singapore, or RMB1.0 million or less in the PRC;
•
a fee of 5.5% of the property tax savings, where the proposed reduction in annual value is more than
$1.0 million but does not exceed $5.0 million in Singapore, or more than RMB1.0 million but does not
exceed RMB5.0 million in the PRC; and
•
a fee of 5.0% of the property tax savings, where the proposed reduction in annual value is more than
$5.0 million in Singapore, or more than RMB5.0 million in the PRC.
The above mentioned fee is a lump sum fixed fee based on the property tax savings calculated on a 12-month
period less the expenses incurred to obtain the property tax savings and is not payable to the Manager if
the Manager’s objections are not successful or if the reduction in annual value results from an appeal to the
valuation review board.
ASCENDAS REAL ESTATE INVESTMENT TRUST ANNUAL REPORT 2014/15
