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Notes to the Financial Statements
1 DOMICILE AND ACTIVITY (CONTINUED)
Manager’s fee (Continued)
Management fees (Continued)
When management fees are payable in Units, the issue prices will be determined based on the volume weighted
average traded price per unit for all trades done on the SGX-ST in the ordinary course of trading for 10 business
days immediately preceding the respective date of issue of the new units, or where the independent directors of
the Trustee-Manager believe such market price is not a fair reflection of the market price of a Unit, such amount as
determined by the independent directors of the Trustee-Manager at its discretion (after consultation with a stockbroker),
as being the fair market price of a Unit, provided that such issue price shall be not less than the higher of the (i) market
price (i.e. volume weighted average trade price for a Unit for the last 10 business days) and (ii) current unit value on
the last day of the relevant period in which the relevant component of the management fees accrues.
Other fees
Pursuant to the Trust Deed, the Trustee-Manager is also entitled to the following:
• An acquisition fee amounting to 1.0% of (i) the value of the underlying real estate (after deducting the interest
of any third party co-owners or co-participants) purchased by the Trustee-Manager on behalf of the Trust,
whether directly or indirectly; or (ii) the acquisition price of any other asset forming a part of the Trust Property
acquired by the Trustee-Manager on behalf of the Trust. No acquisition fee is payable on the acquisition of the
initial portfolio of properties. Any payment to third party agents or brokers in connection with the acquisition of
any asset of the Trust shall be paid by the Trustee-Manager to such persons out of the Trust Property of the
Trust or the assets of the relevant special purpose vehicle, and not out of the acquisition fee received or to be
received by the Trustee-Manager.
• A divestment fee amounting to 0.5% of (i) the value of the underlying real estate (after deducting the interest of
any third party co-owners or co-participants) sold or divested by the Trustee-Manager on behalf of the Trust,
whether directly or indirectly; or (ii) the sale price of any other asset forming a part of the Trust Property sold
or divested by the Trustee-Manager on behalf of the Trust. Any payment to third party agents or brokers in
connection with the divestment of any asset of the Trust shall be paid by the Trustee-Manager to such persons
out of the Trust Property of the Trust or the assets of the relevant special purpose vehicle, and not out of the
divestment fee received or to be received by the Trustee-Manager.
The Trustee-Manager may elect to receive all or any part of the acquisition fee and divestment fee in Units instead of
cash.
The Group has entered into agreements with the property manager, Treasury Holdings Property Management (Shanghai)
Co., Ltd. (the “Property Manager”), in relation to management of its property operations. The fee structures for these
services are as follows:
Property management fee:
2.0% of the monthly gross revenue of the relevant property and to be paid monthly.
SAR1112034_TCT_AR_().indb 66 3/23/2012