|Bloomberg||LREIT SP Equity|
As at 9 September 2021, Lendlease Corporation Limited, the Sponsor, owns 25.87% of the units in LREIT. Free float: 73.7% of the units in LREIT were held in the hands of the public.
a. Base Fee: 0.3% per annum of the value of LREIT’s deposited property1
b. Performance Fee: 5.0% per annum of LREIT’s net property income
c. Acquisition Fee: 1.0% of the acquisition price of any real estate purchased, whether directly or indirectly through one or more subsidiaries, by LREIT (pro-rated if applicable to the proportion of LREIT's interest in the real estate acquired)
d. Divestment Fee: 0.5% (or such lower percentage as may be determined by the Manager in its absolute discretion) of the sale price of any real estate sold, whether directly or indirectly through one or more subsidiaries, by the REIT (pro-rated if applicable to the proportion of LREIT's interest in the real estate sold)
e. Development Management Fee: 3.0% of the total project costs incurred in a development project calculated after development management fee paid to the Property Managers or any entity engaged by the Manager to perform the services specified
1 Refers to all the assets under LREIT. For the purposes of calculating the Base Fee, where LREIT holds its investments through one or more SPVs, the deposited property shall include all the assets of the relevant SPV, pro-rated, if applicable, to the proportion of LREIT’s interest in the relevant SPV.
Singapore Property Manager
a. Property Management Fee: 2.0% per annum of gross revenue and 2.0% per annum of net property income
Milan Property Manager
a. Property Management Fee: 0.28% per annum of the annual collected rent of the Milan property, subject to a minimum sum of €20,000.
Indices that LREIT entered as at 30 September 2021:
- FTSE EPRA Nareit Global Developed Index
- FTSE ST Singapore Shariah Index
- FTSE ST Small Cap Index
- GPR/APREA Investable REIT 100 Index
- iEdge S-REIT Index
- iEdge S-REIT Leader Index
- MSCI Singapore Small Cap Index
6. WHERE CAN I FIND PORTFOLIO INFORMATION OF LREIT?
More information on LREIT’s portfolio and its investments could be found on LREIT’s website under Investment Portfolio: https://www.lendleaseglobalcommercialreit.com/investment-portfolio
LREIT's distribution policy is to distribute at least 90% of its adjusted net cash flow from operations for each financial year, with the actual level of distribution to be determined at the Manager’s discretion.
The distribution amount calculated will be as at 30 June and 31 December each year for the six-month period. Distributions will be in SGD and are generally paid within 60 days after the end of each distribution period.
LREIT is currently not under Distribution Reinvestment Plan.
LREIT is established with the principal investment strategy of investing, directly or indirectly, in a diversified portfolio of stabilised income-producing real estate assets located globally, which are used primarily for retail and/or office purposes.
Yes, you can invest in LREIT with funds from your SRS and CPF account through DBS Bank, OCBC Bank and UOB Bank.
LREIT’s distributions may comprise all or a combination of the following types of distribution, to which different Singapore tax treatment applies:
Taxable income distribution
The Trustee and Manager will deduct income tax at the prevailing corporate tax rate, currently at 17%, except in certain circumstances. For distributions made to “qualifying unitholders”, the distribution is allowed to be made without deduction of tax.
A qualifying unitholder refers to:
a. An individual;
b. A company incorporated and tax resident in Singapore;
c. A Singapore branch of a company incorporated outside Singapore;
d. A non-corporate Singapore incorporated or registered entity excluding partnerships (ie. a town council, a statutory board, a registered charity, a registered co-operative society, a registered trade union, a management corporation, a club and a trade and industry association);
e. An international organisation that is exempt from tax on such distributions by reason of an order made under the International Organisations (Immunities and Privileges) Act (Chapter 145 of Singapore);
f. A real estate investment trust exchange-traded fund which has itself been accorded the tax transparency treatment;
g. An agent bank or a Supplementary Retirement Scheme ("SRS") operator who act as nominee for individuals who have purchased units in LREIT under the Central Provident Fund Investment Scheme or the SRS respectively; or
h. A nominee who can confirm that the units are held for beneficial owners who are qualifying unitholders listed in (a) to (f) above.
The above qualifying unitholders, unless they are exempt from tax because of their own circumstances, will be subject to Singapore income tax on taxable income distribution that they received at their own applicable tax rates.
In addition, distributions made to qualifying non-resident non-individual Unitholders and qualifying non-resident funds will be subject to a final withholding tax rate at a reduced rate of 10% (for distributions made on or before 31 December 2025).
Tax-exempt income distribution
Unitholders will be exempt from Singapore income tax on such distributions. No tax will be deducted at source or withheld on such distribution.
Capital distribution is regarded as "return of capital" in the hands of the Unitholders for Singapore tax purposes and is not subject to Singapore income tax. The amount of such distribution will be applied to reduce the cost base of LREIT units held by unitholders. For unitholders who are liable to Singapore income tax on gains arising from the disposal of LREIT units, the reduced cost base of LREIT units will be used to calculate the amount of taxable gains when the LREIT units are subsequently disposed of. If the amount of return of capital exceeds the cost base or reduced cost base of LREIT units, the excess will be subject to tax as trading income of such unitholders.
Other gains distribution
Such distribution is not taxable in the hands of all unitholders.
Detailed information on eligibility of tax refund can be found on LREIT’s website under Investor Centre: https://www.lendleaseglobalcommercialreit.com/investor-centre/tax/
For further questions on tax refund, you may wish to email to SRS.TeamA@boardroomlimited.com for assistance.
a. Regional sector leader in the Asia Retail (Overall) and Asia Retail (Listed) categories in the 2021 GRESB assessment with the highest-tier rating of 5 stars
b. Scored ‘A’ for public disclosure
c. Ranked second in the Global Retail (Listed) category
d. BCA Green Mark Platinum Award and National Environment Agency 3R Awards (Shopping Mall Category) for 313@Somerset.
e. All three office buildings of Sky Complex are designed in accordance with energy saving criteria and high use flexibility. One of the three buildings is LEED Gold Certified.