CDL Hospitlity Trusts - Annual Report 2016

Studio M Hotel is a unique and stylised hotel in Singapore

that blends modern design with functionality. Designed by

Italian style maestro and architect, Piero Lissoni, it is the first

fully loft-inspired Singapore hotel that also occupies a prime

and vibrant location in the city; within easy reach of both

the Central Business District and Orchard Road. The lifestyle

hotel offers a great leisure getaway or business stay in the

iconic entertainment precinct of Robertson Quay. Studio M

Hotel has 360 stylish guest rooms and facilities which include

an open-air tropical oasis deck, 25-metre lap pool, a jet

pool, well equipped open-air gymnasium and a food and

beverage outlet – MEMO.

Notable accolades include:

• AsiaOne Readers’ Choice Award 2015 – Winner (Best

Boutique Hotel)

•

Agoda.com

Gold Circle Award 2015

• Asia Hotel Forum – Best Design Hotel 2015

• BCA Green Mark Gold (2015 – 2018)

• PUB Water Efficient Building Basic Award (2014)

PROPERTY DETAILS

Number of guest rooms:

360

Number of food & beverage outlets:

One outlet – MEMO

Banquet/Conference/Meeting facilities:

Recreational facilities incorporating a

25-metre lap pool, a jet pool, an open-air

gymnasium and three cabanas

Car park facilities:

30 car park lots

Land area:

2,932.1 sq m

Gross floor area:

8,209.9 sq m

Title:

99-year leasehold interest

commencing from 26 February 2007

Vendor:

Republic Iconic Hotel Pte. Ltd.

Purchase price at 3 May 2011:

S$154.0 million

Valuation

(1)

as at 31 December 2016:

S$153.0 million

MASTER LEASE DETAILS

Master lessee:

Republic Iconic Hotel Pte.

Ltd., a subsidiary of M&C

Term of lease:

20 years from 3 May 2011 with:

(i) an option to extend the lease for a first

additional term of 20 years commencing

immediately after the expiry of the initial

term;

(ii) an option to extend the lease for

a second additional term of 20 years

commencing immediately after the expiry

of the first additional term; and

(iii) an option to extend the lease for a third

additional term of 10 years commencing

immediately after the expiry of the

second additional term.

Minimum rental income:

For the nine years

after the first year of the lease, a fixed rent

of S$5.0 million per annum. On the tenth

anniversary date (the "

Rent Revision Date

of the commencement of the lease, the fixed

rent amount will be revised to an amount

equivalent to 50% of the average annual

aggregate fixed rent and variable rent for the

five fiscal years preceding the Rent Revision

Date (the "

Revised Fixed Rent

"). This

amount would thereon be the Revised Fixed

Rent amount.

FY 2016 KEY FINANCIALS

Rental income:

S$7.0 million

Net property income:

S$6.5 million

Average occupancy rate:

80.8%

(1) The property was valued by CBRE Pte. Ltd. using a

combination of the Capitalisation, Discounted Cash

Flow and Sales Comparison approaches.

Annual Report 2016

PROPERTY PORTFOLIO