70 Seletar Aerospace View 2Q2013 Presentation Slidesesr-reit.listedcompany.com/misc/201307261633144_en.pdf · Pharmaceutical, 1.1% Precision Engineering, 1.8% Architectural and Engineering

2Q2013 Presentation Slides 24 July 2013

70 Seletar Aerospace View

2

This material shall be read in conjunction with CIT’s financial statements for the financial period ended 30 Jun 2013.

The value of units in CIT (“Units”) and the income derived from them may fall as well as rise. Units are not investments or deposits in, or

liabilities or obligations of, Cambridge Industrial Trust Management Limited ("Manager"), RBC Investor Services Trust Singapore Limited

(in its capacity as trustee of CIT) ("Trustee"), or any of their respective related corporations and affiliates (including but not limited to

National Australia Bank Limited, nabInvest Capital Partners Pty Ltd, or other members of the National Australia Bank group) and their

affiliates (individually and collectively "Affiliates"). An investment in Units is subject to equity investment risk, including the possible delays

in repayment and loss of income or the principal amount invested. Neither CIT, the Manager, the Trustee nor any of the Affiliates

guarantees the repayment of any principal amount invested, the performance of CIT, any particular rate of return from investing in CIT, or

any taxation consequences of an investment in CIT. Any indication of CIT performance returns is historical and cannot be relied on as an

indicator of future performance.

Investors have no right to request that the Manager redeem or purchase their Units while the Units are listed. It is intended that investors

may only deal in their Units through trading on Singapore Exchange Securities Trading Limited (the “SGX-ST”). Listing of the Units on the

SGX-ST does not guarantee a liquid market for the Units.

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-looking statements as a result of a number of risks,

uncertainties and assumptions. Representative examples of these factors include (without limitation) general industry and economic

conditions, interest rate trends, cost of capital and capital availability, competition from similar developments, shifts in expected levels of

occupancy or property rental income, changes in operating expenses (including employee wages, benefits and training costs),

governmental and public policy changes and the continued availability of financing in amounts and on terms necessary to support future

CIT business. You are cautioned not to place undue reliance on these forward-looking statements, which are based on the Manager’s

current view of future events.

This presentation is for informational purposes only and does not have regard to your specific investment objectives, financial situation or

your particular needs. Any information contained in this presentation is not to be construed as investment or financial advice, and does not

constitute an offer or an invitation to invest in CIT or any investment or product of or to subscribe to any services offered by the Manager,

the Trustee or any of the Affiliates.

Important Notice

Contents

• Highlights

• Portfolio Updates

• Portfolio Details

• Financial Highlights and Capital Management

• Looking Ahead

• Appendix

Highlights

3 Tuas South Avenue 4

5

2Q2013 Highlights

Distribution per unit (“DPU”) grew by 5.1% yoy from 1.180 cents to 1.240 cents

Occupancy rate of 98.4% with a Weighted Average Lease to Expiry (“WALE”)

of 3.4 years (by income) and average security deposits of 12.9 months per

tenant

Development of 1st ramp-up facility at 3 Pioneer Sector 3 for S$45.4 mil as

well as commencing the AEI works for 21B Senoko Loop.

Divestment of 63 Hillview Avenue for S$140.8 mil, 28% above carrying value

of S$110.0 mil

Gearing ratio of 35.8%(1), maintained comfortably within target range of 30% –

40%

(1) Gearing was 35.9% on a look through basis which includes CIT’s 60% share of borrowing and total assets in the jointly controlled entity, Cambridge SPV1 LLP

6

9 Consecutive Quarters of DPU Growth

1.001

1.036

1.082

1.118

1.1711.180

1.204

1.229 1.234 1.240

0.9

1.0

1.1

1.2

1.3

1Q2011 2Q2011 3Q2011 4Q2011 1Q2012 2Q2012 3Q2012 4Q2012 1Q2013 2Q2013

Cents

Portfolio Updates

16 Tai Seng Street

8

Acquisition: Completed 16 Tai Seng

Street (Phase II)

Additional

GFA

Bringing Total GFA and Cost to 215,665 sq ft and S$73.0 million Respectively

9

Divestment: 63 Hillview Avenue

Divested for S$140.8 million, 28% above Book Value

10

AEI: Completed 88 International Road

11

AEI: 3 Pioneer Sector 3

Development of 1st Ramp-up Facility

Plot Ratio Maximised from 0.8x to 1.4x, Bringing Total GFA to ~716,571 sq ft

12

AEI: Commencing Work on

21B Senoko Loop NEW

Plot Ratio Maximised from 1.4x to 2.4x, Bringing Total GFA to ~197,145 sq ft

13

Summary of Acquisitions

Acquisitions GFA (sq ft) Completion Purchase Price (S$ mil)

30 Teban Gardens Crescent 139,098 Target 4Q2013 41.0

16 Tai Seng Street (Phase II) 40,403 Apr 2013 13.7

3 Tuas South Avenue 4 315,522 Mar 2013 15.0(1)

54 Serangoon North Avenue 4 139,249 Mar 2013 21.0

15 Jurong Port Road 245,172 Jan 2013 43.0

Total for 2013 879,444 133.7(1)

(1) CIT’s share is equivalent to S$9.0 million based on CIT’s 60% interest in the jointly controlled entity

14

Summary of Divestments

(1) Compulsory acquisition by SLA. Total amount includes: Collector’s Award: S$72.4 mil and Ex-gratia: S$4.3 mil

(2) Compulsory acquisition by SLA. Total amount includes: Collector’s Award: S$29.2 mil and Ex-gratia: S$2.044 mil

(3) The property consisted of 120 strata units and the units were sold within the period from 2009 to 2011. Sale of the last strata unit was in July 2011.

Divestments GFA (sq ft) Completion Gross Proceeds (S$ mil)

63 Hillview Avenue 382,517 Target 3Q2013 140.8

30 Tuas Road(1) 571,189 Feb 2013 76.7

1 Tuas Avenue 3(2) 308,644 Dec 2012 31.2

6 Tuas Bay Walk 58,940 Nov 2012 6.5

7 Ubi Close 76,599 Jan 2012 18.7

48 Toh Guan Road East 347,652 (strata area) Jul 2011(3) 81.2

27 Pandan Crescent 74,427 Jun 2010 8.0

37 Tampines Street 92 115,532 May 2010 11.9

16 Tuas Avenue 18A 34,100 Oct 2009 2.6

Total 1,969,600 377.6

15

Summary of AEIs and Developments

AEIs and Developments Add’l GFA (sq ft) Completion Cost (S$ mil)

21B Senoko Loop 81,375 Target 1Q2015 12.8

3 Pioneer Sector 3 303,753 Target 4Q2014 45.4

88 International Road 101,932 May 2013 16.4

4/6 Clementi Loop (Phase II) 110,957 Jan 2013 23.4

Total for 2013 598,017 98.0

Portfolio Details

15 Jurong Port

17

Diversified Portfolio

Diversified Quality Tenants Portfolio Details of Properties

Total number of Properties 51

Total Portfolio GFA (sq ft) ~8.2 mil

Net Lettable Area (sq ft) ~8.0 mil

Portfolio Occupancy (%) 98.4

Total number of Tenants 153

51 Properties with a Total GFA of ~8.2 mil sq ft and a Property Value of ~S$1.3 bil

Civil & Engineering Services, 4.3%

Developer, 4.2%

Computer, Electronic and Optical Products, 9.5%

Fabricated Metal Products, 10.1%

Machinery and Equipment, 2.1%

Paper and Paper Products, 1.6%

Rubber and Plastic Products, 3.6%

Pharmaceutical, 1.1%

Precision Engineering, 1.8%

Architectural and Engineering Activities and Related Technical

Consultancy, 1.6%

Computer, Electronic and Optical Products, 1.1%

M&E Services and Gas Supply, 2.0%

Logistics, 9.9%

Warehousing & Container Services, 4.2%

General storage, 12.9%

Specialised storage, 2.0%

Other Services, 0.9%

Car Distribution, 1.8%

Education, 1.0%

Food Related Services, 1.2%

Wholesale of Household Goods, Textiles, Furniture & Furnishing and

Others, 9.8%

Wholesale of Industrial, Construction and IT Related Machinery and

Equipment, 13.3%

18

~43.9% of Revenues from Tenants who

are SGX Listed Companies / MNCs (1)

Top 10 Tenants Account for ~43.9% of Rental Income

9.1%

5.6% 5.4%

4.4% 4.2% 3.8%

3.1% 3.1% 2.9% 2.3%

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

9.0%

10.0%

(1) Includes subsidiaries of SGX listed companies.

19

Proactive Management of Our Leases

Multi-tenanted

Single-tenanted

Weighted Average Lease to Expiry (“WALE”) (years) Average Security Deposits (months)

Total Portfolio 3.4 12.9

Reducing Lease Expiry Concentration

(1) Refer to CIT’s announcement on 13 May 2013. With the termination of the master tenant for the AEI works, the lease expiry profile for 2014 will reduce from 21.3% to 17.1%. The AEI works is expected

to start in Aug 2013 and is targeted to complete in 4Q2014.

(2) Includes 21B Senoko Loop which the AEI is expected to start in Sep 2013 and is targeted to complete in 1Q2015.

8.6%

21.3%

10.5% 12.0%

7.5% 8.6%

4.0%

7.2%

3.4% 1.7%

0.9% 1.4%

12.1%

0.8%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

2013 2014 2015 2016 2017 2018 2019 +

Multi-Tenanted

Single-Tenanted

(2)

3 Pioneer Sector 3(1)

4 to be converted from single to multi-tenanted 3 to be divested

8.6%

% o

f re

nta

l in

co

me

20

Stable Rental Income with Potential

Rental Growth

Renewed a total of ~500,000 sq ft(1) of

leases in 1H2013

Achieved positive reversions of

between 5% to 10% for 1H2013

Average 2.5% annual step-ups for

single-tenanted properties

Average portfolio rent of S$0.98 psf

per month

Land tenure of 38.0 years

(1) Includes single-tenanted, multi-tenanted and reversionary properties

Multi-Tenanted

Properties, 19.4%

Single Tenanted

Properties, 80.6%

Single Tenanted vs Multi-Tenanted Properties (By Rental Income)

21

Valuation of Properties

Asset Class No. of Properties as at

30 Jun 2013

Valuation as at

30 Jun 2013 (S$ mil)

Weighted Average

Capitalisation Rate (%)

Logistics 3 162.0 6.98

Car Showroom and

Workshop 1 16.0 6.50

Warehousing 11 297.0 6.95

Light Industrial 15 429.2 6.23

General Industrial 21 404.9 6.74

TOTAL 51 1,309.1(1) 6.65

Net Revaluation Gain of S$31.9 million

Average capitalisation rate as at 31 December 2012 was 6.8%

(1) Includes CIT’s 60% interest in the value of the 3 Tuas South Avenue 4 property of S$22.8 million, held by Cambridge SPV1 LLP

Financial Highlights and Capital Management

25 Pioneer Crescent

23

2Q2013 Financial Highlights

2Q2013

(S$ mil)

2Q2012

(S$ mil) YoY (%)

Gross Revenue 24.6 21.5 14.1

Net Property Income 20.8 18.4 13.4

Distributable Amount 15.3(1) 14.1 7.8

Distribution Per Unit

(“DPU”) (cents) 1.240(1) 1.180 5.1

Annualised DPU (cents) 4.974 4.746 4.8

(1) Capital components of the distribution includes an aggregate of:

(i) S$1.1 million (0.095 cents per unit) from capital gains realised from the sale of investment properties in the prior years that have been confirmed by the IRAS as capital gains;

and

(ii) S$13.9 million (1.127 cents per unit) from capital to fund the performance fees payable in cash.

24

1H2013 Financial Highlights

1H2013

(S$ mil)

1H2012

(S$ mil) YoY (%)

Gross Revenue 49.4 42.4 16.3

Net Property Income 42.2 36.3 16.1

Distributable Amount 30.4(1) 28.1 8.1

Distribution Per Unit

(“DPU”) (cents) 2.474(1) 2.351 5.2

Annualised DPU (cents) 4.989 4.728 5.5

(1) Capital components of the distribution includes an aggregate of:

(i) S$1.4 million (0.119 cents per unit) from capital gains realised from the sale of investment properties in the prior years that have been confirmed by the IRAS as capital gains; and

(ii) S$13.9 million (1.127 cents per unit) from capital to fund the performance fees payable in cash.

25

Balance Sheet

2Q2013

(S$ mil)

Investment Properties 1,286.3

Interest in Jointly-controlled Entity 16.5

Current Assets 36.9(1)

Total Assets 1,339.7

Borrowings (net of loan transaction costs) 472.5

Other Liabilities 42.8(2)

Total Liabilities 515.3

Net Assets 824.4

Gearing ratio 35.8(3)

No. of Units Issued (mil) 1,230.3

NTA Per Unit (cents) 67.0

(1) Included in the current assets are cash and cash equivalents of S$33.2 million

(2) Other liabilities included the performance fee accrual of S$13.9 million to the manager.

(3) Gearing was 35.9% on a look through basis which includes CIT’s 60% share of borrowing and total assets in the jointly controlled entity, Cambridge SPV1 LLP

26

Debt Profile

2Q2013

Gearing Ratio(1)(2) (%) 35.8

Total Outstanding Debt (S$ mil) 479.0

Total debt fixed (%) 77.2

Weighted average all-in cost of debt(3) (%) 4.01

Weighted average interest cost (%) 3.30

Weighted average term of debt (years) 1.42

Interest cover ratio(4) (times) 4.6

Unencumbered investment properties (S$ mil) 44.5

(1) Aggregate gross borrowings divided by total assets

(2) Gearing was 35.9% on a look through basis which includes CIT’s 60% share of borrowings and total assets in the jointly controlled entity, Cambridge SPV1 LLP

(3) Includes amortisation of upfront fees

(4) Computed based on EBIDTA (excluding changes in fair value of financial derivatives and investment properties/investment properties under development and performance fee expense)

divided by interest expense

27

50

208

100

100

21

0

100

200

300

400

2013 2014 2015 2016

S$

Mil

MTNs Term Loan Acquisition Term Loan Revolving Credit Facility

Debt Maturity Profile

77.2% of Debt is Fixed for the Next 1 Year

• Acquisition Term Loan due in Mar 2014

• Medium Term Note Programme due in Mar 2015

• Revolving Credit Facility due in Jul 2015

• Term Loan: $208 mil due in Jun 2014

$100 mil due in Jun 2016

Manager is in advanced discussion

with various banks to refinance these

debt facilities

28

Performance of CIT’s Trust Index

against the Benchmark Index

821 772

910

0

100

200

300

400

500

600

700

800

900

1000

CIT's Market Cap as at 31Dec 2012

Benchmark IndexPerformance for 1H2013

CIT Index Performance for1H2013

S$ mil

CIT’s Trust Index Outperformed the Benchmark Index by 16.9% for 1H2013

Outperformance of 16.9%

equates to additional value of

S$138.4 mil created • The Manager is entitled to a

performance fee of S$27.7 mil

• The Manager voluntarily and irrevocably

elected a waiver of 50%, resulting in a

final fee of S$13.9 mil

Benchmark

Index Return:

-6.0%

Trust Index

Return:

10.9%

S$138.4 mil (16.9%

outperformance)

29

Distribution Timetable

Distribution Details

Distribution Period 1 Apr 2013 to 30 Jun 2013

Distribution Rate

1.240 cents per unit comprising:

(a) Taxable income – 0.018 cents per unit

(b) Capital gains – 0.095 cents per unit

(c) Capital – 1.127 cents per unit

Distribution Reinvestment Plan (“DRP”) 2% Discount

Distribution Timetable

Last Trading Day on a “Cum Distribution” Basis Monday, 29 Jul 2013 (5.00 pm)

Ex-date Tuesday, 30 Jul 2013 (9.00 am)

Books Closure Date Thursday, 1 Aug 2013 (5.00 pm)

Fixing of Unit Price for DRP Friday, 2 Aug 2013

Distribution Payment Date Monday, 9 Sep 2013

Listing of DRP Units Tuesday, 10 Sep 2013

Looking Ahead

1 and 2 Changi North Street 2

31

Moving into 2H2013…

1) Deploy the proceeds of 63 Hillview Avenue

2) Refinance 2014’s debt by end 2013

3) Proactive management of 2014 lease expiry

Appendix: Overview of CIT

30 Marsiling Industrial Road

33

Overview of CIT

Logistics

Warehouse

Light industrial

General industrial

Car showroom & workshop

Jurong Port

Pasir Panjang Terminal

Keppel Terminal

Changi

International Airport

51 properties

12.9 mths of security

deposits

98.4% occupancy rate

S$1.3 bil property value

~8.2 mil sq ft GFA

• IPO in Jul 2006 with Market Capitalisation of ~S$892 mil as at 28 June 2013

• Quality Assets Located Close to Major Transportation Hubs & Key Industrial Zones Island-wide

34

Diversified Tenant Base

Diversified Trade Sector Asset Class by Rental Income

Logistics 14.9%

Warehousing 24.5%

Light Industrial 29.0%

General Industrial

30.1%

Car Showroom and Workshop

1.5%

Construction, 8.6%

Manufacturing, 27.8%

Professional, Scientific and

Techinical Activities, 4.7%

Transportation and Storage,

28.9%

Precision Engineering,

1.9%

Wholesale, Retail Trade Services and

Others, 27.2%

Other Services, 0.9%

35

Further Information

Please contact:

Ms Caroline Fong

Head of Investor Relations & Corporate Communications

[email protected]

Cambridge Industrial Trust Management Limited

61 Robinson Road, #12-01 Tel: (65) 6222 3339

Robinson Centre Fax: (65) 6827 9339

Singapore 068893 www.cambridgeindustrialtrust.com