Investor Presentation March 2017 1 Disclaimers This material shall - PowerPoint PPT Presentation

DSO National Laboratories 197-201 Coward Street, Australia Investor Presentation March 2017 1

Disclaimers This material shall be read in conjunction with Ascendas Reit’s financial statements for the financial quarter ended 31 December 2016. 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 property rental income and occupancy, changes in operating expenses, including employee wages, benefits and training, property expenses and governmental and public policy changes and the continued availability of financing in the amounts and the terms necessary to support Ascendas Reit's future business. Investors are cautioned not to place undue reliance on these forward-looking statements, which are based on the Manager’s current view on future events. The value of units in Ascendas Reit (“Units”) and the income derived from them, if any, may fall as well as rise. Units are not obligations of, deposits in, or guaranteed by, the Manager or any of its affiliates. An investment in Units is subject to investment risks, including the possible loss of the principal amount invested. Investors should note that they will have no right to request the Manager to redeem or purchase their Units for so long as the Units are listed on the SGX-ST. It is intended that unitholders of Ascendas Reit may only deal in their Units through trading on the SGX-ST. Listing of the Units on the SGX-ST does not guarantee a liquid market for the Units. The past performance of Ascendas Reit is not necessarily indicative of the future performance of Ascendas Reit. Any discrepancies between the figures in the tables and charts and the listed amounts and totals thereof are due to rounding. 2

Agenda Overview of Ascendas Reit 3Q FY16/17 Key Highlights Financial Performance Investment Management Capital Management Asset Management Portfolio Update Portfolio Resilience Market Outlook Ascendas Reit’s Strengths 3

Overview of Ascendas Real Estate Investment Trust  First and largest business space and industrial REIT listed on the Singapore Exchange and a constituent of the FTSE Straits Times Index effective 4 June 2014  Total assets of about S$10.2bn (US$7.1bn)  Issuer and senior unsecured rating of A3 by Moody’s Diversified portfolio – 103 properties in Singapore and 28 properties in Business & Australia * ; Tenant base of around Science Park 1,390 local and international companies Integrated High Specs Development, Industrial / Amenities & Data Centres Retail (“IDAR”) Logistics & Distribution Light Industrial Centres / Flatted ( S’pore & Factories Australia) * As at 28 February 2017. Excludes the forward purchase of a logistics property in Melbourne, Australia. 4

Singapore: Diversified Portfolio Positioned for Future Growth of the Singapore Economy Sub-sector Business Parks Science Parks (as at 28 Feb 2017) Portfolio GFA (sqm) 410,647 411,587 % of Ascendas Reit - by GFA 11% 11% - by asset value 18% 19% Characteristics Zone is defined by Govt Master Plan. Suburban office Zone is defined by Govt Master Plan. R&D space and corporate HQ buildings. Manufacturing activities equipped with building specifications to facilitate are not allowed. R&D works. Manufacturing activities are not allowed. Typical tenants Regional corporate HQs of industrial companies and Companies in research & development in various MNCs; backroom support office of financial fields including life sciences, food and chemicals, institutions; IT firms, etc. data analysis and IT research and development, etc. 5

Singapore: Diversified Portfolio Positioned for Future Growth of the Singapore Economy Sub-sector Integrated Development, Hi-Specs Industrial Data Centres (as at 28 Feb 2017) Amenities & Retail (IDAR) Portfolio GFA (sqm) 157,299 509,824* 109,756 % of Ascendas Reit - by GFA 4% 13% 3% - by asset value 7% 14% 6% Characteristics Two or more types of space within Vertical corporate campus with Building and M&E specifications an integrated development such higher office content combined (eg raised floor, high power as business space, retail and with high specifications mixed-use capacity) to enable space to be warehousing facility. Typically industrial space. used as data centres. larger scale developments. Possess infrastructure and amenities to meet business needs. Typical tenants MNCs and corporates that desire Multi-national industrial Multi-national companies quality space with comprehensive companies and large local providing data centre services range of amenities to house their companies that wish to co-locate such as cloud computing and HQ and conduct their businesses their HQ functions with data storage. under one roof. Companies in IT, manufacturing services, fast moving consumer goods, engineering, R&D activities. engineering, warehousing, retail. *Excludes 50 Kallang Avenue which has been decommissioned for asset enhancement works 6

Singapore: Diversified Portfolio Positioned for Future Growth of the Singapore Economy Sub-sector Light Industrial Flatted Factories Logistics & (as at 28 Feb 2017) Distribution Centres Portfolio GFA (sqm) 393,740 197,143 835,825* % of Ascendas Reit - by GFA 11% 5% 23% - by asset value 7% 3% 13% Characteristics Low office content combined with Stacked-up manufacturing space Warehouses with high floor manufacturing space. used for general manufacturing. loading and floor height. Well Ground floor space tends to located near major transport command higher rental rate due to nodes e.g. airport, seaport & higher floor loading and better expressways. Majority are single accessibility. or multi-storey facilities with vehicular ramp access 3 rd Typical tenants Large local companies which Local small & medium-size party logistics providers, house their light manufacturing enterprises engaged in various manufacturers, distributors and activities and HQ operations manufacturing activities. Some trading companies within a single facility. Higher MNC manufacturers also house manufacturing content compared their manufacturing operations in to Hi-Specs Industrial buildings. such buildings. *Excludes 279 Ahmad Ibrahim Road which has been decommissioned for asset enhancement works 7

Ascendas Reit’s Singapore Property Map  Strategically located along major expressways  Several properties e.g. Business Park, Science Park and some High-Specs Industrial properties are in close proximity to MRT stations  Light Industrial and Hi-Specs Industrial properties are primarily centrally located near major housing areas  Logistics and Distribution Centres are located near airport and seaport 8

Australia Portfolio – 28 Properties (27 Logistics, 1 Business Park) Brisbane 155,966 sm Sub-sector Logistics Business Park Perth 20,895 sm Logistics 7 proper ties No. of 27 1 Logistics 1 property Properties Portfolio 669,525 22,628 GLA/NLA (sqm) % of Ascendas Reit 18% 1% - by GFA 11% 2% - by asset Queensland Western Australia value Characteristics Highly functional Well-located and modern business space New South properties; some outside the Wales include drive- CBD. through or drive Victoria around access. Typical tenants 3 rd party logistics Diverse range Melbourne 255,956 sm providers, of business manufacturers, park users – Logistics 9 properties Sydney 259,336 sm distributors and corporate trading offices Logistics 10 properties companies, end- Business users. 9 Park 1 Property

Ascendas Reit’s Steady Growth since Listing 10

Agenda Overview of Ascendas Reit 3Q FY16/17 Key Highlights Financial Performance Investment Management Capital Management Asset Management Portfolio Update Portfolio Resilience Market Outlook Ascendas Reit’s Strengths 11

Key Highlights for 3Q FY16/17  Total amount available for distribution rose by 19.2% y-o-y to S$115.1m • Key performance drivers were:  Contributions from new acquisitions: Australian Portfolio and ONE@Changi City  Lower property tax and utilities expenses  Offset by loss of income from the divestments of A-REIT City @Jinqiao, Ascendas Z-Link and Four Acres Singapore  3Q FY16/17 DPU improved 1.2% y-o-y to 3.993 cents despite an increase in number of Units issued 12

Key Highlights for 3Q FY16/17  Total amount available for distribution rose by 2.3% q-o-q to S$115.1 million  Estimated DPU fell 0.6% q-o-q to 3.993 cents from 4.016 cents • Due to increase in no. of issued Units  Investment highlights • S$420.0m of acquisition in Singapore • S$221.6m of divestment • S$6.5m of asset enhancement  Proactive Capital Management • Healthy aggregate leverage of 31.8% with debt maturity of 3.9 years • 82.7% of borrowings is hedged against interest rate movements 13