Empowering ESR-REIT's growth platform is a strategically diversified and balanced portfolio that enjoys occupancy rates higher than industry average - a compelling testament to the quality of our assets, the efficacy of our proactive lease management, as well as the strength of our synergies with valued tenants.

With a growing portfolio of 57 assets located in Singapore's key industrial zones, ESR-REIT will always strive to enhance its capacity to create steady, superior and sustainable unitholder returns.

Always taking a long-term view, ESR-REIT’s strategic thrust allows us to deliver a sustainable operational performance and organic growth founded on a growing portfolio. Through proactive asset management, sound investment and optimisation of our assets’ synergies, the Trust is poised to generate lasting stable returns to unitholders.

There is a vast landscape of opportunities for organic growth and portfolio enhancement for ESR-REIT. Our sound financial position and circumspect investment approach provides us the flexibility to evaluate and seize investment opportunies that will enrich our growth.

Through strategic acquisitions, asset rejuvenation, and asset enhancement intiatives, we seek to upgrade and expand a future-ready portfolio, and to reinforce our ability to take ESR-REIT to new heights of growth.

2019

KEY HIGHLIGHTS



Stable Returns

Market Capitalisation

S$

million +14.3%
Average Daily Trading Volume

million units +205.0%
Number of Units

billion +9.4%
Distribution Yield

%

7.6% in FY2018
Distribution per Unit

cents +4.0%


Stablising Portfolio Metrics

Portfolio Value

S$

billion +4.6%
Gross Floor Area

million sq ft +7.1%
Occupancy

%

93.0% in FY2018
Weighted Average Lease Expiry (by Rental Income)

Years 3.8 years in FY2018


Prudent Capital Management

Total Debt

S$

million S$1,277.6 million in FY2018
Aggregate Leverage

%

41.9% in FY2018
Weighted Average All-in Cost of Debt p.a.

%

3.8% in FY2018
Weighted Average Debt Expiry

(1)

Years 2.7 years in FY2018

(1) Assume utilisation of new loan facility to refinance the maturing medium term notes post execution of a S$200.0 million loan facility agreement with MUFG Bank, Ltd. and Sumitomo Mitsui Banking Corporation, Singapore Branch on 28 February 2020. Post execution of the loan, the Weighted Average Debt Expiry is 3.1 years.

LETTER TO

UNITHOLDERS


WITH THE SUPPORT OF OUR SPONSOR, WE WILL CONTINUE TO PURSUE OPPORTUNITIES TO STRENGTHEN THE QUALITY AND SIZE OF OUR PORTFOLIO AND DIVERSIFY OUR PORTFOLIO RISKS WHILE MAINTAINING A DISCIPLINED AND BALANCED CAPITAL MANAGEMENT APPROACH TO GENERATE STABLE RETURNS AND LONG-TERM CAPITAL GROWTH FOR OUR UNITHOLDERS.