Message to Unitholders

Charly Madan
Chairman of the Board of Directors
CPN REIT Management Company Limited

To All Trust Unitholders,

In 2018, CPN Retail Growth Leasehold REIT (CPNREIT) is proud to celebrate its first full operating year. Over the year, revenues have increased by 39.7% compared to 2017 from the additional investment in CentralFestival Pattaya Beach Project and Hilton Pattaya. This growth in revenue was also attributable to the operating performance of CentralPlaza Rama 3, which was fully re-launched after a major renovation which involved a rejuvenation of the mall, featuring of new zones, and the addition of new leasable area. This rejuvenation follows the property manager, Central Pattana Public Company Limited, ‘Center of Life’ concept, a key strategy that has always been the property manager’s priority. These successes are reflected through a significantly higher occupancy rate of the properties that CPNREIT has invested in from the year 2017.

Moreover, CPNREIT’s financing operations were also a key performance highlight with a successful bond issuance to repay loans from financial institutions and to effectively manage its long-term cost of capital. The bond was assigned an issuer credit rating of ‘AA’ with stable outlook. CPNREIT also won “Deal of the Year” award in The Best Bond Award 2018 organized by ThaiBMA.

Lastly, as the Chairman of CPN REIT Management Company Limited, the REIT Manager, I would like to express my gratitude to all trust unitholders for your continued support. The REIT Manager will continue to manage CPNREIT under good governance and corporate governance for sustainable growth of CPNREIT and stable returns to all trust unitholders.