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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 (Shanghai)
Property Management 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.