sponsor investor presentationfuturepf.listedcompany.com › misc › presentations ›...

This Fund invests in the leasehold right over immovable property. Their values may decrease along with elapse of the lease term, thus decreasing the value of the investment units accordingly. The unitholders will receive return of initial investment and in form of dividend. Once the lease term expires according to the leasehold right that the Fund has invested in, the value of the investment units may decrease to Baht zero

www.futurepark.co.th

NOVEMBER 2006

SPONSOR

FUND MANAGER

FINANCIAL ADVISORInvestor Presentation

Future Park Property Fund “FUTUREPF”

INTERNATIONAL BOOKRUNNER

Strictly private & confidential

Disclaimer

This presentation is prepared solely for the purpose of providing information on Future Park Property Fund (“FUTUREPF”) and does not constitute and is not intended to constitute an invitation or offer for subscription or purchase of securities. This presentation may include information which is forward-looking in nature. Forward-looking information involve known and unknown risks, uncertainties and other factors which may impact on the actual outcomes including economic conditions in the markets in which FUTUREPF operates and general achievement of FUTUREPF business forecasts, which will cause the actual results, performance or achievements of FUTUREPF to differ from the results, performance or achievements expressed or implied in this presentation. Certain matters referred to in this presentation are subject to approval and/or have not been finalized. These include, but not limited to the approval of the Securities and Exchange Commission (“Thai SEC”) and/or the Stock Exchange of Thailand (“SET”) for the Initial Public Offering of FUTUREPF, and the finalization of the lease agreement for properties and other relevant documents. Additionally, some figures referred to in this presentation are also not final and pending finalization of the financial statements of FUTUREPF. Accordingly, information contained in this presentation may be subject to changes, resulting in such or other matters to differ from what are stated, expressed or implied in this presentation. This presentation is made, furnished and distributed for information purposed only. No part of this presentation shall be relied upon directly or indirectly for any investment decision-making or for any other purposes thus no representation, warranty or undertaking, expressed or implied, is made in relation to this presentation.


Agenda

• Overview of Future Park Rangsit

• Overview of FUTUREPF

• Investment Highlight

• FUTUREPF Financial Forecast

• Offering Summary

• Appendix

Strictly private & confidentialOverview of Future Park Rangsit:Map of Bangkok

North

DonmoungAirport

SuvannaphumiAirport

Strictly private & confidentialOverview of Future Park Rangsit:Catch Area

Within a 20 Km radius:

• There is no large shopping complex in 20 Km radius

• During 2003 – 2006, there are approximately 440 property development projects comprising 79,257 residential units That 27% are up to 3 million baht per unit and 45% are single home.

• In aggregate, there are 22 universities, educational institutes, and colleges comprising approximately 170,000 students in total

• Currently, there are 30 government and government related offices totaling approximately 195,000 officers

• There will be another 25 government and government related offices to be completed in 2007, totaling approximately 60,000 officers

Single Detached House

University

Air Force Base New Government Center

Educational institute & College

Industrial Park, Museum, & Office building

NorthCh

angw

atta

na-B

angp

a-in

Expr

ess

Way

Bangpa-in

Bangna-ChonburiBangkok

North, Northeast

Thammasart U.Bangpa-in

M G

Ba n

gna -

Ba n

gpa-

inO

u ter

Rin

g

Vibh

avad

ee-R

angs

it Roa

d

Strictly private & confidentialOverview of Future Park Rangsit:Location Map

Strictly private & confidentialOverview of Future Park Rangsit:Assets Overview

As of June 30, 2006 Mall1 (sq.m.)

Lettable Area 179,157

Common Area- Promotion Area- Non Promotion Area

48,1917,58340,608

Total Plaza Area 227,348

Total 499,269

Occupancy Rate2 97%

Number of Tenants3 (unit) 542

Service Area 56,281

Car Park 215,640

Future Park Rangsit

Address: 94 Paholyothin Road, Pathumthani 12130, Thailand

Description Future Park Rangsit is one of the leading shopping malls in Thailand, located on 108 rai 1 ngan 67.5 sq.wah (42.87 acres) plot of land and in strategic suburban location in the northern part of Bangkok, which consists of a 5-storey block and 7-storey block car park behind the mall and outdoor car park with parking space of up to 7,000 cars. Future Park Rangsit is a lifestyle entertainment complex and is the only one shopping mall in Thailand that consists of 2 department stores and 1 supercenter.

Year of Construction Completion: 1995

Note: 1 Include FUTUREPF2 Not include promotion area3 Not include promotion area, but equal to 882 tenants if include number of tenants in promotion area

Strictly private & confidentialOverview of Future Park Rangsit:Highlight of Future Park Rangsit

• Strategic location: accessibility and rapid growth in residential surrounding area

• Future Park Rangsit, comprising 2 department stores and 1 supercenter, accounts for around 6.4% of total retail area in Bangkok and its vicinity

• Future Park Rangsit is a well-structured retail property as it has clear and complete zoning such as fashion, IT, and lifestyle boutique service, etc

• Future Park Rangsit has 300 branded fashion shops, 60 restaurants to suit customers’ appetite, 12 banks to facilitate all kind of financial transactions, and 126 mobile shops

Strictly private & confidentialOverview of Future Park Rangsit:Accessibility

Paholyothin RoadPaholyothinPaholyothin RoadRoad

Express way (Udonrattaya)Express way Express way ((UdonrattayaUdonrattaya))

Outer Ring RoadOuter Ring RoadOuter Ring Road

Tollway(Utrapimook)

TollwayTollway((UtrapimookUtrapimook))

• Connect Paholyothin road with Rangsit-Nakornnayok road to east outer ring• Rangsit-Patumthani road passes through SRT to connect with Udonrattaya express way • The construction will be completed in 2008

Rangsit Interchange Bridge

RangsitRangsit Interchange Interchange Bridge Bridge

• Tollway (Utrapimook) is constructing the Exit next to Future Park Rangsit. That construction is expected to be completed in 2008

• East outer ring exits at Rangsit-Nakornnayok road and it is approximately 10 kilometers away from Future Park Rangsit

• Rangsit-Pathumthani road connects to Udonrattaya express way which has an exit on Bangpoon where it is only 3 kilometers away from Future Park Rangsit

• Located on Paholyothin road, a 10-lane highway links from Bangkok to Ayudthaya, Pathumthani, Nakornnayok, and Saraburi. The road is gateway to northern part and northeastern part ofThailand, which are approximately 56 provinces in the northern and northeastern parts of Thailand

• Upon completion, SRT (Red Line) sky train will lie adjacent to Future Park Rangsit building approximately 2 kilometers from the building. Future Park Rangsit may also be used as Park and Ride

• The project is expected to be completed in the foreseeable future

SRT (Red Line) Sky Train

SRT (Red Line) SRT (Red Line) Sky TrainSky Train

Strictly private & confidentialOverview of Future Park Rangsit:Potential Customer

Number of population in surrounding areaNumber of population in surrounding area Number of houses in surrounding areaNumber of houses in surrounding area

Source: RSPSource: RSP

(person : million) (house : million)

1.53 1.55 1.61

1.95 1.95 1.98

0.85 0.87 0.88

0.00

1.00

2.00

3.00

4.00

5.00

6.00

20 k.m. Radius 40 k.m. Radius Saraburi & Nakornnayok

4.34 4.37 4.47

1.61

2.02

0.86

4.49

2003 2004 2005 2006

0.20

0.40

0.60

0.80

1.00

1.20

1.40

1.60

1.80

2.00

20 k.m. Radius 40 k.m. Radius Saraburi & Nakornnayok

1.581.64

1.71

2003 2004 2005 2006

1.78

0.00

0.64 0.66 0.69 0.72

0.69 0.72 0.74 0.78

0.250.26 0.27 0.28


48%

Overview of Future Park Rangsit:Customer Profile

Occupation of customers Occupation of customers Age of customersAge of customers


Occupation 2006 2005 2003

Students 38%

37%

18%

5%

0%

2%

Corporate Officers

49%42%

32%

14%

25%

Business Owners 7%

Government Officers 8%

Factory Workers

7%

4%

1%

9%

Housewife 2%

7%8%5%13 – 17

23%

23%

35%

2006

19%

24%

38%

2005

42%18 – 22

17%30 – 39

26%23 – 29

2003Age

Family Incomes of CustomersFamily Incomes of Customers

13%

22%

2006

19%

24%

2005

15%30,000 - 39,999

8%40,000 – 49,999

2003THB/month

Source: RSP

40 + 14%

21%20,000 – 29,999 21%

44% 36% 29%50,000 +

8%11%


0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

18.3 19.9

86.2

93.4

101.6

118.4

130.0

0

20

40

60

80

100

120

140

2000 2001 2002 2003 2004 2005 2006

Average cars per day Average customers per day

Overview of Future Park Rangsit:Customer Profile (Cont’d)

Average Spending per visitAverage Spending per visit

Source: RSP

(THB/visit)

Average Customers & Cars Total per dayAverage Customers & Cars Total per day

Source: RSP

person & cars(thousand)

2003 2005 2006

1,007

1,6961,787

23.7 28.331.9 31.5 30.5

128.9 127.5

Strictly private & confidentialOverview of Future Park Rangsit:Anchor Tenants

Anchor Tenant 1 Type Net Lettable Area2

Occupied (sq.m.)Robinson Department store 41,611 23.2

Central Department store 33,851 18.9

Big C Super center 19,693 11.0

EGV3 Cinema 4,540 2.5

Food Fair Food & Beverage 3,575 2.0

Fitness First3 Fitness center 2,740 1.5

Shell Auto Serve Car care 1,576 0.9

IT City3 IT store 1,360 0.8

Total 108,946 60.8

% of Net Lettable Area2

Note: 1 Anchor tenant is the store with area over 1,000 sq.m.2Total lettable = 179,157 sq.m.3 Include in FUTUREPF

Strictly private & confidentialOverview of Future Park Rangsit:Future Park Rangsit Merchandise Profile

Retailers by Sectors (As of June 30, 2006) Retailers by Sectors (As of June 30, 2006) Customer Behavior (2005)Customer Behavior (2005)


64%

18%

11%

4% 3%

0%

10%

20%

30%

40%

50%

60%

70%

Shopping Dining Out Services Meeting Point Movie

Furniture2%

Department stores &

supercenter53%

Entertainment 3%

Vacant3%

IT & Mobile 4%

Services12%

Others6%

Food & Beverage10%

Fashion, Health, & Beauty

7%

Strictly private & confidentialOverview of Future Park Rangsit:Operation Overview

Historical Revenue & EBITDA MarginHistorical Revenue & EBITDA Margin Historical Rental and Occupancy RateHistorical Rental and Occupancy Rate

Source: RSPNote: - Exclude promotion area and long term tenants

- Occupancy rate in 1H2006 dropped due to renovation area of 1,074 sq.m.

Source: RSP

(THB/sq.m/month)(THB mm)

672706

746 759

97.4% 97.6% 97.4% 96.9%

0

100

200

300

400

500

600

700

800

900

1,000

2003 2004 2005 1H200650%

55%

60%

65%

70%

75%

80%

85%

90%

95%

100%

Average Rental Occupancy Rate

849917

9861,040

40.6% 41.4%43.0%

41.5%

0

200

400

600

800

1,000

1,200

1,400

2003 2004 2005 2006E0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

sales EBITDA Margin

Strictly private & confidentialOverview of Future Park Rangsit: Competitive Strength

StrategicLocationsStrategicLocations

High QualityTenant BaseHigh QualityTenant Base

Long AverageLease Duration ofAnchor Tenants

Long AverageLease Duration ofAnchor Tenants

Sustained Growth in

Average Rent

Sustained Growth in

Average Rent

High OccupancyRates

High OccupancyRates

Diverse Tenant Trade Sectors

Diverse Tenant Trade Sectors


Agenda






• Appendix

Strictly private & confidentialOverview of FUTUREPF:Introduction

• FUTUREPF is the first retail property fund to be launched in 2006 and it is expected to be the second largest property fund in terms of fund size, based on its average appraisal value of THB 4,869 million

• FUTUREPF is an alternative investment opportunity in one of Bangkok's most prominent shopping complex

• Future Park Rangsit is the largest shopping mall in the north of Bangkok and is the second largest in Bangkok and its vacinity

• Underlying initial assets of FUTUREPF are 29% and 100% of Future Park Rangsit's lettablearea and common area (promotion area), respectively, totaling salable area of 60,156 square meters

• Anchor tenants of Future Park Rangsit include some of Thailand's leading retail chains such as Central, Robinson, and Big C. Heavy traffic generated from such strong cluster of well-known brands helps ensure high occupancy rate and attractive rental rate for the remaining lettableareas of Future Park Rangsit

• FUTUREPF offers investors with an attractive forecasted distribution yield of 9.60% in 2007 and 10.00% in 2008

Strictly private & confidentialOverview of FUTUREPF: Initial Assets

Property Details Tenure

Shopping Mall, partial areas of Future Park Rangsit with salable area of 60,156 sq.m.

Approximately 20 year term, expiring December 31, 2026

Average Appraisal Value1

1. Leasehold right

2. Right to use and seek benefit on common areas

THB 4,869 million

Occupancy Rate(as of June 30, 2006)

95.2%2

Note: 1 CB Richard Ellis: THB 5,111 million American Appraisal: THB 4,626 million

2 Not include promotion area

Strictly private & confidentialOverview of FUTUREPF:Initial Assets (Cont’d)

As of June 30, 2006 FUTUREPF (Sq.m.) % of Net Lettable Area

Anchor Tenants1

Retail Tenants

Vacant2

8,641

41,398

2,534

16.4

78.7

4.8

Net Lettable Area3 52,573 100.0

Common Area- Promotion Area- Non Promotion Area

48,1917,583

40,608

Number of Tenants5 (unit) 419

Salable Area 60,156

Occupancy Rate4 (%) - 95.2

Average Rental4 (THB/sq.m./month) 759

Note: 1 Anchor tenant is the store with area over 1,000 sq.m. (Currently, there are EGV, Fitness First, and IT City in FUTUREPF)2 Include renovation area of 1,074 sq.m. or equal to 2.0% of net lettable area3 Total lettable area of Future Park Rangsit is 179,157 sq.m.4 Not include promotion area5 Not include promotion area, but equal to 756 tenants if include number of tenants in promotion area

Strictly private & confidentialOverview of FUTUREPF: Tenants Profile

Diverse Tenant Trade Sectors (As of Dec 31, 2006) Diverse Tenant Trade Sectors (As of Dec 31, 2006) Details of Tenancy Expiry (As of June 30, 2006) Details of Tenancy Expiry (As of June 30, 2006)

Expiration (year)

Net Lettable Area (sq.m.)

Renovation 1,074 2.0

Vacant 1,460 2.8

FY 2006 9,916 18.9

FY 2007 12,580 23.9

FY 2008 12,250 23.3

FY 2010+ 7,281 13.9

Total 52,573 100.00

FY 2009 8,012 15.2

%


Strictly private & confidentialOverview of FUTUREPF: Parties Involved in FUTUREPF

Fund Manager(ING Funds)

Fund Manager(ING Funds)

FUTUREPFFUTUREPFFUTUREPFProperty Manager(RSP)

Property Manager(RSP)

Trustee(TMB Bank)

Trustee(TMB Bank)

Property Management service

Structure & Advise

Registrar(ING Funds)Registrar

(ING Funds)

Investors(including RSP)

Investors(including RSP)

Auditor(PWC)

Auditor(PWC)

Financial Advisor(BLS)

Financial Advisor(BLS)

Manage

Monitor

Holding of units

AuditRegistrarServices

Thai SECThai SEC

Supervise & Regulate

SETSETListing

Property:Future Park Rangsit*• Lettable area 52,573 sq.m.• Common area 48,191 sq.m.

– Promotion area 7,583 sq.m.– Non-promotion area 40,608 sq.m.

Property:Future Park Rangsit*• Lettable area 52,573 sq.m.• Common area 48,191 sq.m.

– Promotion area 7,583 sq.m.– Non-promotion area 40,608 sq.m.

Property income

Manage property

Appraisers(CBRE & AA)Appraisers

(CBRE & AA)

Appraise

* Leasehold right and right to use and seek benefit on common areas

Strictly private & confidentialOverview of FUTUREPF: Parties Involved in FUTUREPF (Cont’d)

Entity Duties FeesProperty Manager:

Rangsit Plaza Co.,Ltd

• Management and administration of rental

• Marketing and marketing coordination service

• Management and administration of Property Fund

• Registrar services of Unitholders

• Safeguards the rights and interest of Unitholders

• Exercise all power as Trustee

Appraisers1:

CB Richard Ellis (Thailand) Co., Ltd

American Appraisal (Thailand) Limited

• Appraise FUTUREPF every two years

• Review FUTUREPF every year

• Appraisal fee is subject to negotiation

Auditor:

PricewaterhouseCoopers ABAS Ltd.

• Review and audit financial statement of FUTUREPF

• Audit fee is subject to negotiation

• Annual rental collection fee at no more than 3% of net rental

• Annual performance fee at no more than 2.35% of net property income

• Annual management fee at no more than 0.3% of NAV

• Commission fee at no more than 1.5 months of rental or no more than 4% of revenue from daily rental

Fund Manager & Registrar

ING Funds (Thailand) Co.,Ltd

• Annual management fee at no more than 1% of NAV

• Annual registrar fee at no more than 0.10% of NAV

Trustee:

TMB Bank PLC

• Annual trustee fee at no more than 0.50% of NAV2

Note: 1 Fund Manager shall not appoint any Appraisal Firm to conduct an appraisal of the same immovable property or leasehold right no more than two consecutive occasions2 Exclude legal fees and other expenses of not exceeding Baht 300,000 per time and site visit expenses of not exceeding Baht 30,000 per time

Strictly private & confidentialOverview of FUTUREPF: Sponsor

• Rangsit Plaza Company Limited (“RSP”) is one of Thailand’s leading retail property operators through brand “FUTURE PARK”

• Major shareholder of RSP is the Wanglee family (holding 84% in RSP) which is a well known and established family in Thailand. Wanglee family is in conglomerates business

• RSP was established on December 23, 1991 with a registered and fully paid-up capital of THB 400 million

• RSP has leased a piece of land from the Wanglee family with an area of 108 rai 1 ngan 67.5 sq.wah (42.87 acres) for a 35 year term with the remaining life of approximately 20 years, expiring on December 31, 2026

• RSP constructed shopping complex called Future Park Rangsit and operates a business of leasing-out and renting-out retail spaces

• RSP, as a sponsor, has agreed to invest in 33% of property fund size, which is the maximum percentage that the sponsor is allowed to invest under the Thai SEC regulations


Agenda






• Appendix

Strictly private & confidentialInvestment Highlight:Investment Merits

Attractive Yield and Stable DistributionsAttractive Yield and Attractive Yield and Stable DistributionsStable Distributions

• FUTUREPF will offer relatively high yield which is expected to be higher than average yield of Thai Property Fund

• Dividend payout of 90% of distributable income is the minimum percentage required by the Thai SEC regulations

Ability to Demonstrate Growth

Ability to Demonstrate Ability to Demonstrate GrowthGrowth

• Part of retail spaces in FUTUREPF are under the renovation. This renovation will be gradually completed

• This presents a potential opportunity for FUTUREPF to increase rental space and rental rate

Asset Enhancement PlansAsset Enhancement PlansAsset Enhancement Plans • Several asset enhancement plans to improve the property income and profit in the future

Experienced Management Experienced Management Experienced Management

• Highly qualified of professionals with experience in retail property and financial markets

• Property Manager : Rangsit Plaza Co., Ltd• Fund Manager: ING Funds (Thailand) Co., Ltd

Strictly private & confidentialInvestment Highlight:Investment Merits (Cont’d)

Strong Sponsorship and Support

Strong Sponsorship Strong Sponsorship and Supportand Support

• Sponsor has agreed to invest in 33% of property fund size, which is the maximum percentage that the sponsor is allowed to invest under the Thai SEC regulation

• The Sponsor has granted FUTUREPF a right of first refusal of

– Lease extension if the Sponsor is able to get land-lease extension

– Acquisition of properties developed by the Sponsor

– Acquisition of expired leaseable areas

Exceptional Investment Vehicle

Exceptional Investment Exceptional Investment VehicleVehicle

• Listed on the SET with sizable fund size offering trading liquidity on the secondary market

• Enhanced corporate governance and transparency through the Thai SEC and the SET regulation

• Attractive tax benefit; FUTUREPF is not subject to corporate income tax

Strictly private & confidentialCurriculum Vitae ofBoard of Directors and Management

TitleTitleTitleNameNameName ExperienceExperienceExperience

ChairmanChairman• Chairman, The Navakij Insurance Plc.• Chairman, Thai Reinsurance Plc.• Director, Board of Trade of Thailand

• Chairman, The Navakij Insurance Plc.• Chairman, Thai Reinsurance Plc.• Director, Board of Trade of Thailand

DirectorDirector• Chairman, Poonphol Co.,Ltd.• Chairman, Rojana Industrial Park Plc.• Vice Chairman, Loxley Plc.

• Chairman, Poonphol Co.,Ltd.• Chairman, Rojana Industrial Park Plc.• Vice Chairman, Loxley Plc.

DirectorDirector• Chief Executive Officer, Home Product Center Plc.• Chief Executive Officer, Robinson Plc.• Director, Phuket Resort Club Co.,Ltd.

• Chief Executive Officer, Home Product Center Plc.• Chief Executive Officer, Robinson Plc.• Director, Phuket Resort Club Co.,Ltd.

Director and Chief Executive

Officer

Director and Chief Executive

Officer• Join RSP since 1992• Investment Banking, Finance One Plc.• Join RSP since 1992• Investment Banking, Finance One Plc.

Director and Chief Financial Officer

Director and Chief Financial Officer

• Join RSP since 1992• Assistance Manager, Krung Thai Bank Plc.• Join RSP since 1992• Assistance Manager, Krung Thai Bank Plc.

Vice PresidentMarketing

Vice PresidentMarketing

• Over 10 years experience of retail business• Marketing Director, Lion Art Co., Ltd.• Senior Marketing Manager, The Mall Group Co., Ltd.

• Over 10 years experience of retail business• Marketing Director, Lion Art Co., Ltd.• Senior Marketing Manager, The Mall Group Co., Ltd.

Mr. Suchin WangleeMr. Suchin Wanglee

Mr. Sukit WangleeMr. Sukit Wanglee

Mr. Manit UdomkunnatumMr. Manit Udomkunnatum

Ms. Pimpaka WangleeMs. Pimpaka Wanglee

Mr. Ronnayuth SirichotikulMr. Ronnayuth Sirichotikul

Mrs. Ratana AnanthanuphongMrs. Ratana Ananthanuphong

Strictly private & confidentialInvestment Highlight: Attractive Yield - Thai Property Fund

Thai Property Fund HighlightsThai Property Fund Highlights• Currently, there are 8 property funds in

Thailand divided into four types that are retails, office, factory/warehouse, and residential

• The average yield of Thai property fund is 7.05%. The average yield of retails, office, factory/warehouse, and residential are 7.58%, 8.74%, 8.48%, and 9.01% respectively

• Only 2 out of 8 property funds in Thailand that have fund size over THB 4,000 million

Comparative Yield of Retails Property Fund Comparative Yield of Retails Property Fund

1

Remark: 1 expected minimum yield of FUTUREPFSource: SET (as of October 30, 2006)

FUTUREPFFUTUREPF

(exclude anchor tenants)

Cental Rama IICental Rama II

(exclude anchor tenants)

Cental Rama III

Net Lettable Area (sq.m.) 52,573 43,932 92,582 43,266 38,402

Promotion Area (sq.m.) 7,583 7,583 1,180 1,180 1,533

Salable Area (sq.m.) 60,156 51,515 93,762 44,446 39,935

Average (CBRE&AA) (THB mm) 4,869 4,625 5,847 4,385 4,591

Average (CBRE & AA) (THB per sq.m.) 80,931 89,781 62,360 98,665 114,962 Note: 1 Exclude anchor tenants of 8,641 sq.m. (14% of salable area) which contribute 5% of revenue2 95% of total appraisal value3 Exclude anchor tenants of 49,316 sq.m. (53% of salable area) which contribute 25% of revenue4 75% of total appraisal value

1

2

3

4

9.60%

7.58%

0.00%1.00%2.00%3.00%4.00%5.00%6.00%7.00%8.00%9.00%

10.00%

FUTUREPF CPNRF

Strictly private & confidentialInvestment Highlight: Attractive Yield - Compared to Foreign Property Fund

Comparative YieldComparative Yield

Source: BloombergRemark: 1 2006E average distribution yield of Singapore REITs (Ascendas, Capitacommercial Trust, Capitamall Trust, Suntec, Mapletree Logistics, Macquarie MEAG Prime, Fortune, Allco,

Cambridge and CDL Hospitality)2 2006E average distribution yield of Hong Kong REITs (Link, Prosperity, Champion and GZI)3 2006E average distribution yield of Malaysia REITs (Axis, Starhill, UOA, Tower and Al-Aqar KPJ)4 2006E average distribution yield of Thailand REITs

Premium of 180 bps

1

2

Premium of 198 bps Premium of 336 bps

10 year Government BondREIT

3

Premium of 189 bps

4

5.02%

5.98%

7.39%7.05%

3.22%

4.00% 4.03%

5.16%

0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%

7.00%

8.00%

9.00%

Singapore Hong Kong Malaysia Thailand

Strictly private & confidentialInvestment Highlight: Asset Enhancement Plans

• Improvement in Infrastructure

• Rangsit Interchange Bridge

• SRT (Red Line): From Bangsue to Rangsit

• New potential customer

• Government Officer Center in Changwattana

• Increase in higher income residence

• Maximized return from salable area

• Renovation and improvement on shopping mall image

• Modify and increase salable area

• Zoning

External FactorsExternal FactorsExternal Factors

Internal FactorsInternal FactorsInternal Factors

Strictly private & confidentialInvestment Highlight: Tax Benefit Applied to Unitholders

Tax on DividendTax on DividendTax on DividendType of HolderType of HolderType of Holder Tax on Capital GainsTax on Capital GainsTax on Capital Gains

Listed CompanyListed Company No *No *

Non – Listed CompanyNon – Listed Company Half of dividend will be included to revenue *

Half of dividend will be included to revenue *

Individual Individual 10% withholding tax10% withholding tax

Foreign CompanyForeign Company No withholding taxNo withholding tax

Include to revenueInclude to revenue

Include to revenueInclude to revenue

NoNo

No withholding taxNo withholding tax

* If hold at least 3 months before and after the dividend payment date


Agenda






• Appendix

Strictly private & confidentialFUTUREPF Financial Forecast: Financial Forecast

• Projected Profit and Loss statements are prepared under historical basis and in compliance with Thai generally accepted accounting principles under the Accounting Act B.E. 2543, being those Thai Accounting standards issued under the Accounting Profession Act B.E. 2547, and examined by PWC

• Invested properties– Leasehold of Future Park Rangsit Building totaled 52,573 sq.m.– Right to use and seek benefit on common areas of Future Park Rangsit Building, totaled

48,191 sq.m.comprising 7,583 sq.m. of promotion areas and 40,608 sq.m. of non-promotion areas. (as of June 30, 2006)

• Tenants profile of leasehold areas of 52,573 sq.m. (“Lettable Areas”)

Tenant ProfileTenant Profile • Anchor tenants are stores with area of more than 1,000 sq.m. Currently, there are 3 anchor tenants in FUTUREPF, which are EGV, Fitness First, and IT City, with 8,641 sq.m. or 16% of total lettable areas

• There are 416 retail shops occupying the 41,398 sq.m. areas, or accounting for 79% of total lettable areas

Renovation areas2%

Retails79%

Anchor tenants16%

Vacant3%

Strictly private & confidentialFUTUREPF Financial Forecast: Financial Forecast (Cont’d)

Property Revenue ProjectionProperty Revenue Projection(THB mm)

* Annualized based on projected Dec 2006 performance

Key AssumptionKey Assumption

Revenue from Lettable Areas

• Rental Rate: based on historical data

• Renewal Rate: 80%

• Occupancy Rate: 95% in Dec 2006 and 96% in 2007 and 2008 for Retails, 100% for anchor tenants

• Growth: 5% in 2007 and 4% in 2008 onward

Revenue from Common Areas

• Comprise revenues from Kiosk and promotion areas, etc


633.68662.53

688.39

CAGR = 4.23%

422.48

463.56446.13

211.20224.83

216.40

0

100

200

300

400

500

600

700

800

2006* 2007 2008

Revenue from Lettable Areas Revenue from Common Areas

Strictly private & confidentialFUTUREPF Financial Forecast: Financial Forecast (Cont’d)

Property Expenses ProjectionProperty Expenses Projection(THB mm)

* Annualized based on projected Dec 2006 performance

202.22 206.16 211.20

CAGR = 2.20%

Key AssumptionKey Assumption

Property Expenses• Approximately 15% of property revenue

• Major composition of property expenses are marketing expenses, property management expenses, property tax, and insurance expenses


Property Fund Expenses• Approximately 16% of property revenue

• Property Fund expenses are property fund management fees, property management fees, trustee fee , registrar fee, auditor fees, appraiser fees, property management fees, issuance costs.

100.94104.09

97.04

105.18 107.11105.18

0

50

100

150

200

250

2006* 2007 2008

Property Expenses Property Fund Expenses

Strictly private & confidentialFUTUREPF Financial Forecast: Financial Forecast Summary

Dec 2006 2006* 2007

633.68 662.53

(100.94)

561.59

(105.18)

580.02

48.47

Add Unrealized (gain) or loss on reappraised value (112.15) (112.15) (123.62) (120.12)

Distributable Income 39.93 479.22 504.87 525.67

Expected Dividend – 90% 35.94 431.29 454.39 473.10

(97.04)

536.64

Property Fund Expenses (8.83) (105.18) (107.11)

Net Income 148.04 542.90 597.33

Add amortization of Issuance costs 4.04 48.47 48.47

2008

Revenue 52.81 688.39

Property Expenses (8.09) (104.09)

Net Property Income 44.72 584.30

Remark: Final number maybe change subject to bookbuilding yield* Annualized based on projected Dec 2006 performance

Unit : (THB mm)


Agenda






• Appendix

Strictly private & confidentialOffering Summary:Offering Structure

SponsorSponsor

FUTUREPFFUTUREPFFUTUREPF

Public OfferingPublic Offering

33% 67%

DomesticDomestic InternationalInternational

Small lot first

Strictly private & confidentialOffering Summary: The Offering

Name Future Park Property Fund (“FUTUREPF”)

Assets 20-year leasehold right and right touse and seek benefit on partial areas of Future Park Rangsit

Type Property Fund Type I

Sponsor / Property Manager Rangsit Plaza Company Limited

Financial Advisor Bualuang Securities Public Company Limited

Fund Manager / Registrar ING Funds (Thailand) Company Limited

Trustee TMB Bank Public Company Limited

Auditor PricewaterhouseCoopers ABAS Limited

AppraisersCB Richard Ellis (Thailand) Company LimitedAmerican Appraisal (Thailand) Limited

Fund Size Baht 4,733.161 million

Secondary Market Stock Exchange of Thailand (“SET”)

IPO Size Baht 3,171.218 million

Issue Price Baht 10 per unit

Lead Underwriter Bualuang Securities Public Company Limited

Allocation Mechanism Small Lot First (Minimum 5,000 units and multiples of 500 units)

Strictly private & confidentialOffering Summary: Indicative Timetable

Key dates

SEC Approve18 Oct 06

Local Roadshow2 – 20 Oct 06

Int’l Roadshow23 Oct - 1 Nov 06

Subscription9 – 17 Nov 06

Settlement20 – 24 Nov 06

Listing7 Dec 06

Holiday

Process Start Finish

1 SEC Approval Process

- SEC approves the application 20-Oct

- Submit final pricing and underwriting agreement to the SEC 6-Nov

- Filing effective 6-Nov

2 Marketing Process

- Local Roadshow 2-Oct 20-Oct

- International Roadshow 25-Oct 1-Nov

- Public Roadshow 7-Nov

3 IPO Process

- Pricing and allocation 2-Nov 6-Nov

- Sign underwriting agreement 7-Nov

- Subscription period 9-Nov 17-Nov

- Fund Settlement and Registration 23-Nov 24-Nov

4 SET Approval Process

- SET announcement of new security listed Dec

5 Trading commences Dec

W5

October November

W4 W1 W2W1 W2 W3 W3 W4

December

W1 W4W2 W3


Agenda






• Appendix

Strictly private & confidentialOverview of Retail Property Market: Retail Property Market

Retail Supply Retail Supply

(thousand sq.m.)

Source: CB Richard Ellis

Retail Market HighlightsRetail Market Highlights

• Retail property is divided into three locations: 1) Downtown 2) Midtown 3) Suburbs, The stock in suburbs , midtown, and downtown areas accounted for 39.5%, 39%, and 21.5% of the total stock, respectively

• The total retail spaces in Bangkok increased to 4.41 million sq.m., Department stores, malls, and superstores accounted for 28.92%, 48.26%, and 22.8% of the total stock, respectively (in the first quarter of 2006)

• The average retail center vacancy rate in Bangkok remained unchanged at 5.7% in the first quarter of 2006

• The retail stock of department stores has been declining since the financial crisis, with the closure of many second tier operations and the conversion of space into superstores and specialty stores

0

500

1,000

1,500

2,000

2,500

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

1Q20

06

Department store Mall Superstore

Strictly private & confidentialOverview of Retail Property Market: Rental Rate

Source: CBRE Research and Consulting Services (As of Q1 2006)

Area Ground Floor(THB/sq.m./month)

Downtown

Shophouses 1,200-2,500 400-600

Shopping Malls 1,800-3,000 1,500-2,800

Superstores 1,000-1,200 800-1,000

Suburbs 1,200-1,500 800-1,200

Midtown 1,500-2,700 1,000-2,200

Upper Floor(THB/sq.m./month)

• The rental rate varies, subject to the type of business, the area occupied, location of the outlet within the center, customer traffic, etc

sponsor investor presentationfuturepf.listedcompany.com › misc › presentations ›...

Documents