Future Park Leasehold Property Fund Property Manager

FUTUREPF
Future Park Leasehold Property Fund
4Q2015 and Full Year 2015 Financial Results
Opportunity Day at SET on 29th March 2016
Investment in mutual funds contains certain risk.
Before investing, please carefully study the prospectus of the funds.
1
Important Notice
This is not Fund’s Prospectus. Investment in mutual funds contains certain risk. Before
investing, please carefully study the prospectus of the funds. An investment in investment
units shall not be deemed as deposit of money. The unitholders may receive an amount of
any return that is more or less than the initial amount invested. Furthermore, the property
fund is the fund with intention to invest in immovable properties which is a long-term
investment; as a consequence, the investors ought to be aware of its risks from and returns
on investment in investment units.
This Fund invests in the leasehold right over immovable property. Their values may decrease
along with elapse of the lease term, thus decreasing the value of the investment units
accordingly. The unit holders will receive return of initial investment in the form of dividend.
Once the lease term expires according to the leasehold right that the Fund has invested in,
the value of the investment units may decrease to Baht zero.
This document has been prepared solely for the information purpose. The information
contained herein is general and does not constitute advice or opinion, and should not be
regarded as a substitute for detailed advice in individual cases. None of this information in
this document constitutes an offer to treat, buy or sell any security or to participate in any
trading strategy. Third parties cannot derive any rights from this document. While particular
attention has been paid to the contents of this document, no guarantee, warranty or
representation, express or implied, is given to the accuracy, correctness or completeness
thereof. Any information given in this document may be subject to change or update without
notice. No liability (such as, but not limited to, direct, consequential, special, punitive or
indirect damages) will be accepted for any loss sustained by readers as a result of using this
document or basing decisions on it. Please note that the investment is not a deposit of money
and may be subject to certain risks. The value of your investment may rise or fall and also past
performance is not insisting of future performance and shall in no event be deemed as such.
2
Agenda
1. Overview of FUTUREPF
2. Financial Highlights
3. Property Management
4. Q & A
3
1
Overview of FUTUREPF
4
Fund Information
Name
Future Park Leasehold Property Fund (“FUTUREPF”)
Type
Property Fund Type I
Life
Indefinite Life
Total Baht 6,233.161 million
Fund Size
- Initial Baht 4,733.161 million
- 1st Capital Increase Baht 1,500.000 million (26 December 2012)
Total 529.5661 million Units
No.of Investment Units - Initial 473.3161 million Units
-1
St
Capital Increase 56.2500 million Units
Assets
1.Leasehold right of certain part of Future Park Rangsit building ~56,906 square meters,
expiring 31 December 2041
2.Leasehold right of common area of Future Park Rangsit building ~ 48,690 square meters
and right on outside wall of the building to seek benefit in term of lease and service ,
expiring 31 December 2041
Property Manager
Rangsit Plaza Company Limited
Fund Manager
BBL Asset Management Company Limited
Trustee
The Hongkong and Shanghai Banking Corporation Limited (HSBC)
Registrar
Thailand Securities Depository Company Limited
Fund Registered Date
23-Nov-06
Fund Investing Date
24-Nov-06
Fund Listed Date
7-Dec-06
5
Fund Structure
Trustee (HSBC)
Registrar (Thailand Securities
Depository)
Auditor (Pricewaterhouse Cooper
ABAS)
Fund Manager
(BBLAM)
Manage Fund
Service
Investors
Property Manager
(Rangsit Plaza)
Future Park Leasehold
Property Fund
Invest
Property
Management
Agreement
Rangsit Plaza
Institutional investors
Retail investors
Lease
Manage
Properties
Partial area of Future Park Rangsit
6
Unit holders
No.
Top 10 UH
1
Rangsit Plaza Co., Ltd.
2
No.
29-Feb-16
Top 10 UH
27-Feb-15
33.33%
1
Rangsit Plaza Co., Ltd.
Thai Tapioca Development Institute
5.68%
2
Thai Tapioca Development Institute
5.69%
3
Bangkok Bank Plc.
5.28%
3
Bangkok Bank Plc.
5.28%
4
Bangkok Life Assurance Plc.
3.48%
4
Bangkok Life Assurance Plc.
3.40%
5
Thongpoon Wanglee Foundation
3.37%
5
Thongpoon Wanglee Foundation
3.37%
6
Thai Reinsurance Public Co.,Ltd.
2.03%
6
Tananondzee Co.,Ltd..
2.58%
7
Tananondzee Co., Ltd.
1.91%
7
Rangsit IT Co., Ltd.
1.61%
8
LH THAI PROPERTY FUND
1.59%
8
The Navakij Insurance Plc.
1.47%
9
TheNavakij Insurance Plblic Co,.Ltd.
1.39%
9
Phatra Property Sector Fund
1.45%
10
Mr. Sakorn Sukksriwong
1.26%
10
Muang Thai Insurance Plc.
1.38%
Total
33.33%
Total
59.32%
59.56%
% Holding
Thai Institutions
42.68%
Rangsit Plaza
33.33%
Foreign Investors
1.64%
Thai Individuals
22.35%
Thai Institutions
41.27%
Rangsit Plaza
33.33%
Foreign Investors
2.21%
Thai Individuals
23.19%
7
Price Performance
3 Year Price Performance as of 25 Mar 2016
8
2
Financial Highlights
9
Performance Summary
A gradually growing and strong operating performance has resulted in high consistent payouts.
(Bt MN)
1,000
945
913
869
900
800
700
734
659
665
664
696
680
450 459
481 483
479 483
694
627
585
600
500
941
528
627
731
733
661
661
546
490
400
300
241
182
200
164
224
177
160
245
187171
100
0
4Q 14
Total Income
Net investment income
3Q 15
4Q 15
Distribution income
10
Income Statement
Rental Income
Interest Income & Other income
Total Income
Property Expenses
Property Management Fee
Fund Management Fee and Expenses
Amortization of Deferred Expenses
Total Expenses
Net Investment Income
Net Unrealized gain (loss) from changes in investment
value
Net Increase in net assets from operations
Distributable Income*
Distribution Income
Distribution Income per unit (THB)
%
FY 2015 FY 2014 Change
YoY
4Q 15
%
Change
YoY
4Q 14
%
Change
QoQ
3Q 15
924.5
923.7
0.1
241.6
235.7
3
218.6
11
16.5
20.9
(21)
3.4
5.0
(31)
5.1
(32)
941.1
944.6
(0.4)
245.1
240.7
2
223.7
10
79.5
87.2
(9)
25.3
27.5
(8)
15.0
68
93.5
84.6
11
23.5
21.4
10
22.5
5
37.2
40.0
(7)
8.9
9.8
(9)
9.0
(1)
-
-
-
-
-
-
-
-
210.3
211.8
(0.7)
57.7
58.7
(2)
46.5
24
730.9
732.8
(0.3)
187.4
182.0
3
177.2
6
87.7
64.4
36
6.6
2.4
180
46.2
(86)
818.5
797.2
3
194.0
184.4
5
223.4
(13)
730.9
732.8
(0.3)
187.4
182.0
3
177.1
6
660.9
660.9
0
170.5
164.2
4
159.9
7
1.248
1.248
0
0.322
0.310
4
0.302
* Distributable Income calculates from net increase in net assets from operation, excluding net unrealized gain from changes in investment value.
11
7
Profitability Ratios
Ratios
FY2015
FY2014
4Q 15
4Q 14
3Q 15
Net Investment Income Margin
78%
78%
76%
76%
79%
Distribution Income Margin
70%
70%
70%
68%
72%
12
Balance Sheet
Bath Million
Investment in Properties
31 Dec 15
31 Dec 14
6,985.0
6,820.0
467.9
527.6
69.5
48.5
7,522.3
7,396.1
Deposits Received from Customer
330.4
319.1
Other Liabilities
508.8
557.9
Total Liabilities
839.2
887.0
Net Assets
6,683.1
6,519.1
Capital Received form Unit Holder
5,633.2
5,633.2
Retained Earning
1,050.0
885.9
NAV per unit(Bt)
12.6200
12.3103
Investment in Securities and Cash
Other Assets
Total Assets
13
Historical Dividend Payouts
Dividend Period
Dividend payout
% per year *
Quarterly
Baht per Unit
23 Nov – De c 06
0.103
2007
0.969
9.69%
2008
1.021
10.21%
2009
1.021
10.21%
2010
1.115
11.15%
2011
1.036
10.36%
2012
1.313
13.07%***
2013
1.183
11.12%***
2014
1.248
11.73%***
2015
1.248
11.73%***
9.64%**
* Calculated based on par value
** Calculated based on par value and number of actual days
*** Calculated based on par value (10.64 after the first capital increase)
Past performance of the Fund does not guarantee future performance.
14
Attractive Yield
The fund has a good track record for steady quarterly dividend payouts since inception.
FUTUREPF’s yield is 377 bps over that of 10-year Government Bond’s, it is a far better choice.
8%
7%
*
6.13%
6%
5%
377 bps spread
4%
3.37%
3%
2.36%
1.92%
2%
1.16%
1%
0.54%
0%
FUTUREPF
10 yr Govt Bond
5 yr Govt Bond
SET Dividend Yield 3 mth Fixed Deposit
Saving Deposit
Remark :* Annualized 4Q 15 yield based on Market Price 21.00 baht per unit as of Jan 29th , 2016
Source :Thai BMA,SET and BOT (as of Jan 29th , 2016)
Past performance of the Fund does not guarantee future performance.
15
3
Property Management
16
Overview of Future Park Rangsit:Accessibility
Paholyothin Road
Located on Paholyothin road, a 10-lane highway
links from Bangkok to Ayudthaya, Pathumthani,
Nakornnayok, and Saraburi.
The road is
gateway to northern part and northeastern part
of Thailand, which are approximately 56
provinces in the northern and northeastern parts
of Thailand
Express way
(Udonrattaya)
Rangsit-Pathumthani
road
connects
to
Udonrattaya express way which has an exit on
Bangpoon where it is only 3 kilometers away
from Future Park Rangsit
Outer Ring Road
East outer ring exits at Rangsit-Nakornnayok
road and it is approximately 10 kilometers away
from Future Park Rangsit
Tollway
(Utrapimook)
Tollway (Utrapimook) Exit is next to Future Park
Rangsit.
Rangsit
Interchange
Bridge
SRT (Red Line)
Sky Train
• Connect Paholyothin road with
Nakornnayok road to east outer ring
Rangsit-
• Rangsit-Patumthani road passes through SRT
to connect with Udonrattaya express way
• Upon completion, SRT (Red Line) sky train will
lie adjacent to Future Park Rangsit building
approximately 3.5 kilometers from the building.
Future Park Rangsit may also be used as Park
and Ride
• The project is expected to be completed in
2019
17
Assets Overview
Leasable area
Future Park2
(sq.m.)
Zpell
(sq.m.)
Total
FUTUREPF
(sq.m.)
%
Anchor
108,890
3,618
112,508
7,281
6%
Retail Shop
71,403
31,715
103,118
49,173
48%
Total
180,293
35,333
215,626
56,454
26%
Common Area
8,809
2,249
11,058
8,809
80%
Grand Total
189,102
37,582
226,684
65,263
Occupancy Rate3
98%
75%
87%
94%
Number of Tenants (unit)3
623
174
797
447
1
Note: 1 Leasable area as of December 2015
2 Including FUTUREPF
3 Full Year, Excluding Common area
4 Excluding connecting the existing building area 2,304.77 sq.m.
4
29%
18
Traffic Performance 4Q 2015
Average customers per day (thousand)
190
180
171
170
170
164
159
160
155
150
144
146
153
151
149
137
140
130
122
123
QoQ
12.6%
YoY
-0.6%
YoY
-3.1%
120
110
100
90
4Q 2014
4Q 2015
3Q 2015
In 2015 the number of customer visiting Future Park was at an average of 159,000 customers
per day, decreasing 3.1% YoY. This was mainly due to the closing of Central Department Store
for renovation during 20April-30 September 2015. In the fourth quarter of 2015 the number of
customers visiting was at an average of 170,000 customers per day, decreasing 0.6% from the
same period last year. Comparing with 3Q2015, the number of customers visiting increased to
12.6%, from the average of 151,000 customers per day to 170,000 customers per day.
21
Operation
22
Occupancy Rate FUTUREPF
Occupancy Rate (%)
Anchor & Retail Shop
Average
1Q
2Q
3Q
4Q
2007
91
92
90
91
91
2008
93
92
92
94
95
2009
94
95
93
94
95
2010
96
97
96
96
97
2011
98
98
98
98
97
2012
97
97
97
98
98
2013
98
98
98
98
97
2014
97
97
97
97
97
2015
94
93
92
94
95
23
Renewals and New Leases
Increase /(Decrease)
in Rental Rates
Renewals and New Leases 1
FUTUREPF
2
No. of Leases
Area (sq.m.)
2007
360
24,357.50
46.10%
9.39%
2008
241
18,845.50
35.62%
9.13%
2009
405
24,473.61
46.29%
7.38%
2010
370
24,575.46
46.46%
6.67%
2011
338
20,301.12
38.38%
10.59%
2012
353
22,764.19
42.84%
11.18%
2013
385
27,917.83
48.99%
9.68%
2014
342
22,161.34
38.89%
10.67%
2015
475
26,843.95
47.21%
10.82%
% of Total area
Actual
Portfolio
Note : 1. Retail & Anchor agreements (exclude common area agreements)
2.Percentage of total rental space in 4Q 2015
*Include agreements from the renovation zone
24
Lease Profile
Type of Rental
8%
Lease Term
10%
74%
92%
Fixed Rental
Revenue Sharing Rental
16%
<1 Y
1Y-3Y
>3Y
Note: 1 Retail & Anchor agreements (exclude common area agreements)
2 Percentage of total rental space as of Dec 31St , 2015
25
Lease Expiry Profile
Well balanced lease expiry profile
45%
42%
40%
35%
30%
30%
25%
20%
18%
15%
10%
10%
5%
0%
2019 onwards
Note: 1 Retail & Anchor agreements (exclude common area agreements)
2 Percentage of total rental space as of Dec 31st , 2015
26
Renovation of 2015
27
Renovation
3rd Floor : Fashion Zone - Robinson Zone
Before
Area of Fashion Zone 3,350 sq.m, / Opening : June’15
After
28
Renovation
3rd Floor Digital Zone - Central Zone
Before
Area of Digital Zone 1,480 sq.m / Opening : October’15
After
29
Renovation
Basement : Take Home - Robinson Zone
Take Home
Before
Area of Take Home Zone 2,780 sq.m / Opening : September’15
Dessert Street
After
30
4
Questions & Answers
31