Citadines Millennium Ortigas Presentation

Opportunities for Real Estate

Investment in the Philippines

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Property Development

Property Management

Sales and Marketing

Hospitality and Serviced

Residences

Menu

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Latest Report on Philippine Economy

4 More transportation and infrastructure developments are ongoing.

Government Spending on

Infrastructure Development

Foreign Remittance comprises 8.5% of GDP

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The country remains one of the top 2 BPO destinations in the world.

Revenue from outsourcing industry

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Philippines to become one of the fast-growing economies

S&P : May 2013 – S&P raised the Philippines’ debt rating from BB+ to investment grade (BBB-), the highest level since 2003.

Moody’s Investors Service : 2013 - upgraded the Philippines’ credit rating to investment grade

Morgan Stanley : included Philippines in the “overweight group” together with China, Russia, Brazil and South Africa in their Global Emerging Markets list. Philippines could become a “breakout nation”.

BofA : expects Philippines’ outsourcing industry to generate as much as $25 billion in revenue by 2016, providing employment opportunities to as many as 1.3 million individuals.

Deutsche Bank : touted the Philippines as the strongest performing economy in Asia today. Its 6.4% growth in 1Q12 made it the best performing in the region next to China.

CNBC : considers the Philippines as the top country for long term growth prospects due to th rapid population growth.

PricewaterhouseCoopers : Rates Metro Manila among top four property market in Asia.

Business Optimism

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Philippines - An Overview

By 2020, the middle-class sector in the country is seen to grow to 29 million, accounting for roughly 25 percent of the total population, adding additional “workforce” to business process outsourcing industry.

More than 11.5 million Overseas Filipinos earning foreign currencies for over 20 years and still growing bringing in $14.5B from Jan. to Aug. of 2013 or 8.5% of GDP.

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Demographic Outlook In 2013, the population of the Philippines is 96.7M, growing an average of

2.12% from 1990 to 2010.

Philippine Real Estate Market – Steady Appreciation

Historical Land Values

have increased Makati and Fort Bonifacio is

projected to increase 7.8% and

9.9% respectively and Ortigas at

6.1% next year.

Land values are still below their

values during 1997 Asian

Economic Crisis which suggest

there is still room to grow.

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Philippine Real Estate Market - High rental yields

Compared to other Asian countries, the Philippines has higher

rental yields at 7.06% due to relatively cheaper property

according to global property research.

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Philippine Real Estate Market – High Capital

Appreciation Value

Residential Properties

Capital Values at

premium residential

condominiums are

expected to increase

by 6% to 8% next

year.

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Philippine Real Estate Market – High rental yields

Residential Properties

Increasing rental rates.

Solid residential rental yields average 5% to 8%.

Residential Rental Rates per SQM

Rental %

Growth

(QoQ)

Capital Value

per SQM Yield

Makati $11.36 - $20.45 7.2% $2,954.55 4.62% - 8.31%

Rockwell $13.64 - $20.45 4.4% $2,840.91 5.76% - 8.64%

Bonifacio $12.73 - $18.18 6.0% $2,727.27 5.60% - 8.00%

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Philippine Real Estate Market

– Hotel & Leisure

2013 tourist arrival grew to 11.4% to 3.5Million.

Average occupancy rate is 66 to 70% with an average stay of

2.42 nights.

Average rates are the table below:

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5 Tips on How to Invest in Real Estate

Location, location, location – near CBD, flood free, near areas of

mass transit, near hospitals.

Concept and Development.

Look for properties that will give you a yield of at least 7% rental

e.g. Somerset Millennium Suites and Millennium Makati

Professional property management that will bring the best value for

your property.

Hassle – free service and credible developers.

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CDC Millennium Ortigas Be part of the

Vibrant Global Living

in the Heart of Ortigas

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Concept

a. Brand – CDC Holdings,

together with The ASCOTT

Limited who is a member of

Capital Land, ensures all

aspects of the property will

meet world – class standards.

b. Concept – A mixed

development consist of

commercial, serviced residences

and residential units.

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CDC Holdings Inc. Executives with

The Ascott Limited CEO Ling Ming Yan

Accessible to top commercial leisure, and business establishments.

Bring the highlights of the city right at your doorstep.

Location Map

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Green Healthy & Luxurious Living

Indoor Environmental Quality

Water Efficiency

Energy Efficiency

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Understanding the Differences

Rental Apartment Hotel Serviced

Residences

Lease Terms Long-term Short-term Variable

Occupancy

Trends

Dependent on

market condition

Dictated by the

tourism industry

Stable

Occupancy

Services Minimal or none Full range Essential

Services

Profitability Good Reasonable High

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Prime Investment

Period Lease Rent Return on Investment Lease amount

Yr 2003 Php 19,405,501 4% 202.65

Yr 2004 Php 23,061,800 5% 240.83

Yr 2005 Php 28,784,657 6% 300.60

Yr 2006 Php 42,365,257 9% 442.42

Yr 2007 Php 52,773,334 11% 551.11

Yr 2008 Php 60,843,716 12% 635.39

Yr 2009 Php 57,504,839 12% 600.52

Yr 2010 Php 54,945,269 11% 573.79

Yr 2011 Php 58,917,117 12% 615.27

Yr 2012 Php 62,734,961 13% 680.60

Yr 2013 Php 58,445,807 12% 631.44

The gross return has been an average of 12 to 13% per annum especially in the last 5 years.

Somerset Millennium Suites – Return On Investment (Track Record)

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Disclaimer: No warranties, however, of any kind, whether express or implied, are given with respect to any projections disclosed in this document (including, without limitation, the projected return on investment) or the accuracy, completeness or correctness thereof. For presentation purposes only and may not form/part of contract.

Return of Investment Projection for CDC

Millennium Ortigas

* With 5 free nights per year subject to availability

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Scenario: Individual Investment for CMO

room type studio 1 bedroom 2 bedroom

room size 35 48 60

average daily rate (ADR) 3,700 4,200 5,300

occupancy rate 78% 78% 78%

room nights (less 5 nights) 355 355 355

room revenue per year 1,024,530 1,162,980 1,467,570

net share (40%) for unit owners 409,812 465,192 587,028

annual net return 409,812 465,192 587,028

monthly income for unit owner 34,151 38,766 48,919

CDC - mgt fee (1%) 342 388 489

monthly net income 33,809 38,378 48,430

initial investment (with ff&E) 4,200,000 5,760,000 7,200,000

annual gross return per unit 10% 8% 8%

payback period (yrs) 10.25 12.38 12.27

Notes:

1. ADR is based on the average rate by Ascott for a 5 year period

2. Occupancy rate is the average rate by Ascott for a 5 year period

3. Room nights is less than the 5 night we gave as free nights to unit

owners

4. Room revenue per year is computed as ADR x occupancy x room nights

5. Net share for unit owners is computed as 40% of net revenue

6. MGT fee is 1% to CDC holdings from the monthly gross income of

owner

7. Annual return is the net revenue less the management fee

8. Annual investment is TCP price of Php 120,000 without ff&e cost

Framework of Success

Generous use of space and carefully well designed

units along with The ASCOTT Limited management

Branded building to be operated by international

chain The ASCOTT Limited

Separate sets of amenities, providing guest and unit

owners the best service and utmost privacy

The best of life in the city. It offers the convenience

of living where everything is within reach

Assure of stability and continuous revenues.

Capital Appreciation Value

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Sample Floor Plan

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Sample Floor Plan

86.04 sq.m.

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Residential Apartment Amenities

CDC Millennium Ortigas promises a space

that is tailored to the resident’s preference –

offering the privacy of an apartment with the

convenience of a hotel.

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Serviced Residence Amenities

Modern comforts, business connectivity,

customised services – so you can relax,

recharge, and function at peak performance.

Serviced residence amenities include a fully-equipped gym, meeting room, business center, and

launderette.

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Construction Updates

View from Sapphire Road

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View from Ortigas Avenue

Construction Updates

As of August 2014, the building is now on its 21st floor. Installation of Rebar, Rough ins and Sleeve

at the higher floors are currently on-going at the site.

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Typical

Floor Plan

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Floor Plan

25th – 26th

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Typical

Floor Plan

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