Sunlight Real Estate Investment Trust (�Sunlight REIT�) Operational Statistics for the Quarter Ended 30 September 2018

HONG KONG, CHINA – Media OutReach
– 11 October 2018 –�Henderson Sunlight Asset Management Limited (the “Manager“) is pleased to announce the operational statistics of Sunlight REIT for the first quarter of the financial year 2018/19.

 

At 30
September 2018, the overall portfolio occupancy of Sunlight REIT was 97.7% (30
June 2018: 98.2%). The slight decline was mainly attributable to the higher
vacancy recorded at Bonham Trade Centre (“BTC“)
in preparation for the upcoming asset enhancement initiative.

 

Passing
rent of the overall portfolio was HK$47.1 per sq. ft. at 30 September 2018,
representing a quarterly increase of 1.3%. Office and retail rental reversions,
calculated on the basis of change in effective rent of the leases that have
been renewed and commenced during the quarter, were 9.6% and 9.4% respectively.

 

During the
quarter, Sunlight Tower continued to benefit from the favourable leasing
environment and brisk demand for decentralized office spaces, as illustrated by
its occupancy rate of 99.5% and a rental reversion of 12.2%. On the retail
front, solid consumer sentiment supported the performances of Sheung Shui
Centre Shopping Arcade and Metro City Phase I Property. Both shopping malls
were almost fully occupied and achieved rental reversions of 8.6% and 11.4%
respectively.

 

In respect
of the Grade B office portfolio, the enhancement plan of BTC which is in the
final planning stage, will involve the renovation (and vacating) of
approximately 28% of its gross rentable area. Meanwhile, Fung Shun Commercial
Building maintained full occupancy during the quarter under review.  However, its vacancy rate is expected to rise
transiently given that the existing (sole) office tenant will vacate more than
half of the occupied area.  As disclosed
in Sunlight REIT’s 2017/18 annual report, the Manager will capture this
opportunity to execute minor facility upgrade and to diversify the trade
profile of the property.

 

Remarks: Attached
operational statistics of Sunlight REIT for the first quarter of the financial
year 2018/19.

Operational statistics
for the first quarter of the financial year 2018/19

 

Property	Location	Occupancy (%) 1		Passing Rent (HK$/sq. ft.) 2
		at 30 Sep 18	at 30 Jun 18	at 30 Sep 18	at 30 Jun 18
Office
Sunlight Tower	Wan Chai	99.5	98.5	38.6	38.2
Bonham Trade Centre	Sheung Wan	85.7	93.0	30.1	29.8
Fung Shun Commercial Building	Mong Kok	100.0	100.0	47.3	47.3
Winsome House Property	Central	97.1	100.0	43.1	42.8
135 Bonham Strand Trade Centre	Sheung Wan	98.5	100.0	28.2	27.6
Property
Righteous Centre	Mong Kok	98.8	98.8	34.7	34.5
235 Wing Lok Street Trade Centre	Sheung Wan	98.9	96.0	22.0	21.7
Java Road 108 Commercial Centre	North Point	98.1	94.2	24.8	24.7
On Loong Commercial Building	Wan Chai	100.0	100.0	30.7	30.4
Sun Fai Commercial Centre Property	Mong Kok	100.0	100.0	21.6	21.6
Wai Ching Commercial Building	Yau Ma Tei	93.1	100.0	15.0	14.5
Property	?	?	?	?	?
Average	?	97.2	97.8	34.2	33.8
Retail
Sheung Shui Centre Shopping Arcade	Sheung Shui	99.5	98.9	116.8	115.9
Metro City Phase I Property	Tseung Kwan O	99.5	99.8	56.3	55.8
Kwong Wah Plaza Property	Yuen Long	97.2	100.0	53.4	52.1
Beverley Commercial Centre Property	Tsim Sha Tsui	89.5	82.9	44.7	44.5
Supernova Stand Property	North Point	100.0	100.0	54.0	54.0
Average	?	98.9	99.2	74.6	73.9
Average	?	97.7	98.2	47.1	46.5

 

About Sunlight
REIT

 

Sunlight REIT (Stock Code: 435) is a real estate investment trust
authorized by the Securities and Futures Commission and constituted by the
trust deed dated 26 May 2006 (as amended and supplemented by six supplemental
deeds) (the “Trust Deed“), and has
been listed on The Stock Exchange of Hong Kong Limited since 21 December 2006.
Sunlight REIT offers investors the opportunity to invest in a diversified
portfolio of 11 office and five retail properties in Hong Kong with a total
gross rentable area of approximately 1.2 million sq. ft.. The office properties
are primarily located in core business areas, including Wan Chai and Sheung
Wan/Central, as well as in decentralized business areas such as Mong Kok and North
Point. The retail properties are primarily situated in regional transportation
hubs and new towns including Sheung Shui, Tseung Kwan O and Yuen Long, as well
as in urban areas with high population density.

 

About the
Manager

The Manager of Sunlight REIT is an indirect wholly-owned subsidiary of
Henderson Land Development Company Limited (??????????) and is responsible
for managing Sunlight REIT in accordance with the Trust Deed in the sole
interest of the unitholders.

 

Disclaimer:

The information contained in this press release does not constitute an
offer or invitation to sell or the solicitation of an offer or invitation to
purchase or subscribe for units in Sunlight REIT in Hong Kong or any other
jurisdiction.