Ascendas REIT - Annual Report 2021

The Manager’s Review of FY2021 ASSET ENHANCEMENT INITIATIVES: ON-GOING CHANGI LOGISTICS CENTRE, SINGAPORE Changi Logistics Centre is made up of a four-storey warehouse with an eight- storey office building. The property was acquired from Changi International Logistics Centre Limited in March 2004. Enhancement works include upgrading of power transformer and warehouse spaces to comply to the latest fire code requirements, external façade painting and modernization of toilets, service and passenger lifts. Estimated project cost: S$11.3 million Estimated completion date: 2Q 2022 Artist’s Impression DIVESTMENTS During the financial year, the Manager completed the divestment of two properties in Singapore and three properties in Australia. In Singapore, 11 Changi North Way, a logistics property located at Changi International LogisPark, was sold for S$16.0 million to Hafary Pte Ltd and 1 Science Park Drive, a business park property, was divested to SPRINT Plot 1 TM Pte Ltd (in its capacity as the trustee-manager of SPRINT Plot 1 Trust) for S$103.2 million in relation to the redevelopment of the property into a life science and innovation campus. In Australia, 1314 Ferntree Gully Road, a logistics property in Melbourne, was sold for S$24.2 million to China Tube Pty Ltd and Haelram Pty Ltd, and 82 Noosa Street and 62 Stradbroke Street were sold for a collective sale price of S$104.5 million to SIRE (Strategic Industrial Real Estate), an Arrow Capital Partners vehicle in cooperation with Altis Property Partners. The Manager will continue to selectively divest properties as part of its proactive asset management strategy to improve the quality of Ascendas Reit’s portfolio, to recycle capital and optimise returns for Unitholders. Completed Divestments in FY2021 Property City / Country Sales Price (S$ million) Valuation (S$ million) (1) Buyer Completion Date Divestments 11 Changi North Way Singapore 16.0 15.0 Hafary Pte Ltd 16 Apr 2021 1314 Ferntree Gully Road Melbourne, Australia 24.2 16.3 China Tube Pty Ltd and Haelram Pty Ltd 21 Jun 2021 82 Noosa Street, 62 Stradbroke Street Brisbane, Australia 104.5 51.9 36.7 SIRE (Strategic Industrial Real Estate), an Arrow Capital Partners vehicle in cooperation with Altis Property Partners 9 Jul 2021 1 Science Park Drive Singapore 103.2 90.0 SPRINT Plot 1 TM Pte Ltd (in its capacity as the trustee- manager of SPRINT Plot 1 Trust) 30 Nov 2021 Total 247.9 209.9 (1) The valuations for these properties as at 31 December 2020 were based on the capitalisation approach and discounted cash flow analysis. Annual Report 2021 47