127
ANNUAL REPORT 2014
5 INVESTMENT PROPERTIES (CONT’D)
(i)
These relate to the acquisitions of the Angsana Velavaru and Jumeirah Dhevanafushi in Maldives in January
2013 and December 2013 respectively, which are explained under the Portfolio Statements. Included in
acquisition costs are non-audit fees paid to auditors of the H-REIT Group of $82,000. At H-REIT Group,
Jumeirah Dhevanafushi, which is wholly-owned by H-REIT’s subsidiary, CDLHT Oceanic Maldives Pvt Ltd is
classified as an investment property. At the Stapled Group, Jumeirah Dhevanafushi is re-classified to property,
plant and equipment because the property is leased to HBT and under FRS 40
Investment Property
, property
held for use as owner-occupied property is classified as property, plant and equipment (Note 4).
(ii)
The investment properties are stated at fair value based on valuations performed by independent professional
valuers (see Portfolio Statements). The fair values are based on market values, being the estimated amount for
which a property could be exchanged on the date of the valuation between a willing buyer and a willing seller
in an arm’s length transaction after proper marketing wherein the parties had each acted knowledgeably,
prudently and without compulsion.
The specific risks inherent in each of the properties are taken into consideration in arriving at the property
valuation. The valuation methods used in determining the fair value involve certain estimates including those
relating to capitalisation rate, discount rate and terminal yield. In relying on the valuation reports, the H-REIT
Manager has exercised its judgement and is satisfied that the valuation methods and estimates used are
reflective of market conditions prevailing at the reporting date.
6 SUBSIDIARIES
The HBT Group and the H-REIT Group have equity investments in subsidiaries.
Details of the significant subsidiaries are as follows:
Effective equity
Effective equity interest held by Effective equity
Place of
interest held by
the H-REIT
interest held by
Name of subsidiaries
incorporation the HBT Group
Group
the Stapled Group
2014 2013 2014 2013 2014 2013
% % % % % %
Subsidiaries of H-REIT
(1)
CDLHT (BVI) One Ltd
British Virgin
–
–
100
100
100
100
Islands
(1), (2)
CDLHT (BVI) Trust One
–
–
–
100
100
100
100
(5)
Sunshine Hotels
Australia
–
–
100
100
100
100
Australia Pty Ltd
(3)
CDLHT MTN Pte. Ltd.
Singapore
–
–
100
100
100
100
(1)
CDLHT Sunshine
British Virgin
–
–
100
100
100
100
Limited
Islands
(1)
CDLHT Sunrise Limited British Virgin
–
–
100
100
100
100
Islands
(1)
CDLHT Two Limited
British Virgin
–
–
100
100
100
100
Islands
(1)
CDLHT Sanctuary
British Virgin
–
–
100
100
100
100
Limited
Islands
(3)
CDLHT Oceanic Holdings
Singapore
–
–
100
100
100
100
Pte. Ltd.
NOTES TO THE FINANCIAL STATEMENTS
