Sunlight REIT’s Operational Statistics for the Third Quarter of the Financial Year 2022/23

HONG KONG SAR - Media OutReach - 19 April 2023 - Henderson Sunlight Asset Management Limited (the "Manager"), as manager of Sunlight Real Estate Investment Trust ("Sunlight REIT"), announces the operational statistics of Sunlight REIT for the third quarter of the financial year 2022/23.

At 31 March 2023, the portfolio occupancy rate of Sunlight REIT stood at 92.1% (31 December 2022: 92.5%). Office and retail occupancy rates were 91.5% and 93.3% respectively, as compared to 92.2% and 93.1% at 31 December 2022.

The overall passing rent of Sunlight REIT's portfolio was HK$45.2 per sq. ft. at 31 March 2023, largely unchanged from the corresponding figure a quarter ago. Benefitting from the decent leasing demand for Grade B office properties focusing on service trades, the office portfolio registered a mild rental reversion of 2.1% for the quarter under review. While a negative rental reversion of 2.3% was recorded for the retail portfolio, the momentum of downward adjustment was clearly decelerating, reflecting the gradual recovery of the retail sector in tandem with the removal of social distancing restrictions.

In respect of the performance of key office properties, occupancy rate of Dah Sing Financial Centre was 87.1% at 31 March 2023, with a passing rent of HK$41.7 per sq. ft.. Meanwhile, Strand 50 experienced a drop in occupancy rate to 89.6% as the Manager decided to restructure the lease with a co-working space operator. On the Kowloon side, capitalizing on the improving consumer sentiment, occupancy rate of The Harvest rebounded to a satisfactory level of 95.7%.

On the retail front, occupancy rates of Sheung Shui Centre Shopping Arcade and Metro City Phase I Property were 91.8% and 92.5% at 31 March 2023 respectively, while their corresponding passing rents were HK$98.5 per sq. ft. and HK$55.0 per sq. ft..

Remarks: Attached operational statistics of Sunlight REIT for the third quarter of the financial year 2022/23.
Operational statistics for the third quarter of the financial year 2022/23

Property	Location	Occupancy Rate (%) 1		Passing Rent (HK$/sq. ft.) 2
		at 31 Mar 23	at 31 Dec 22	at 31 Mar 23	at 31 Dec 22
Office
Dah Sing Financial Centre	Wan Chai	87.1	88.5	41.7	41.6
Strand 50	Sheung Wan	89.6	92.3	30.6	32.3
135 Bonham Strand Trade Centre Property	Sheung Wan	100.0	99.4	26.6	26.7
The Harvest	Mong Kok	95.7	91.4	41.2	41.0
Winsome House Property	Central	91.5	88.8	40.1	39.9
Righteous Centre	Mong Kok	99.3	100.0	35.1	34.9
235 Wing Lok Street Trade Centre	Sheung Wan	94.1	94.5	19.7	19.7
Java Road 108 Commercial Centre	North Point	98.1	96.1	24.6	24.8
On Loong Commercial Building	Wan Chai	100.0	100.0	27.8	27.2
Sun Fai Commercial Centre Property	Mong Kok	98.5	97.1	21.3	21.4
Wai Ching Commercial Building Property	Yau Ma Tei	91.7	97.2	17.0	17.0
Average		91.5	92.2	34.5	34.7
Retail
Sheung Shui Centre Shopping Arcade	Sheung Shui	91.8	91.7	98.5	98.4
Metro City Phase I Property	Tseung Kwan O	92.5	91.9	55.0	54.6
Kwong Wah Plaza Property	Yuen Long	97.0	97.8	53.8	52.1
Supernova Stand Property	North Point	100.0	100.0	57.3	57.2
Beverley Commercial Centre Property	Tsim Sha Tsui	100.0	100.0	29.6	29.6
Average		93.3	93.1	67.6	67.1
Average		92.1	92.5	45.2	45.0

Notes :

1. Calculated on the basis of occupied gross rentable area ("GRA") as a proportion of total GRA on the relevant date.

2. Calculated on the basis of average rent per sq. ft. for occupied GRA on the relevant date.

Disclaimer: The information contained in this press release does not constitute an offer or invitation to sell or the solicitation of an offer or invitation to purchase or subscribe for units in Sunlight REIT in Hong Kong or any other jurisdiction.
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The issuer is solely responsible for the content of this announcement.

Sunlight REIT

Listed on The Stock Exchange of Hong Kong Limited since 21 December 2006, Sunlight REIT (stock code: 435) is a real estate investment trust authorized by the Securities and Futures Commission, and constituted by the amended and restated trust deed dated 10 May 2021 (the "Trust Deed"). It offers investors the opportunity to invest in a diversified portfolio of 11 office and six retail properties in Hong Kong with a total gross rentable area of approximately 1.3 million sq. ft.. The office properties are located in both core and decentralized business areas, while the retail properties are situated in regional transportation hubs, new towns and urban areas with high population density.

The Manager

The Manager of Sunlight REIT is an indirect wholly-owned subsidiary of Henderson Land Development Company Limited. Its main responsibility is to manage Sunlight REIT and all of its assets in accordance with the Trust Deed in the sole interest of its unitholders.