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89 ANNUAL REPORT 2013
(i) Investment properties are leased to external customers, except for Jumeirah Dhevanafushi. Jumeirah
Dhevanafushi was leased to CDL HBT Oceanic Maldives Pte. Ltd., a subsidiary of HBT for a term of 10
years from 31 December 2013. The leases for Orchard Hotel, Grand Copthorne Waterfront Hotel, M Hotel
and Copthorne King’s Hotel contain an initial term of 20 years from 19 July 2006 with an option to renew
for a further 20 years. The lease for Studio M Hotel contains an initial term of 20 years from 3 May 2011
with an option to renew up to a total term of 70 years. The leases for Claymore Link generally contain an
initial term of one to three years. Subsequent renewals are renegotiated with the lessees. The lease for
Rendezvous Grand Hotel Auckland contains an initial term of 10 years from 7 September 2006 with an
option to renew for a further 5 years. The lease for Novotel Singapore Clarke Quay contains a term of
approximately 13.5 years from 7 June 2007. The leases for the Australia investment properties contain a
term of approximately 11 years from 19 February 2010. The lease for Angsana Velavaru contains a term
of 10 years from 1 February 2013.
(ii) Claymore Link, which is undergoing asset enhancement works, is not transferred out of Investment Property
as part of the mall is still operational. Hence, it would continue to be measured at fair value.
(iii) Included in H-REIT Group’s investment properties is a net change in fair value of $36,556,000 as at 31
December 2013 (31 December 2012: net change in fair value of $14,982,000) (Note 5). This change in fair
value is recognised in H-REIT Group’s Statement of Total Return for the year ended 31 December 2013
and has no impact on the income available for distribution to holders of Stapled Securities. There is no
fair value gain recognised on Jumeirah Dhevanafushi in H-REIT Group’s Statement of Total Return as at 31
December 2013 as the property was acquired close to the financial year end.
PORTFOLIO STATEMENTS
As at 31 December 2013
The accompanying notes form an integral part of these financial statements.
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