IPO Prospectus

TABLE OF CONTENTS

Page NOTICE TO INVESTORS ...... ii FORWARD-LOOKING STATEMENTS ...... iv CERTAIN DEFINED TERMS AND CONVENTIONS ...... v MARKET AND INDUSTRY INFORMATION ...... vi SUMMARY ...... 1 RISK FACTORS ...... 38 SHARI’AH COMPLIANCE OF SABANA SHARI’AH COMPLIANT INDUSTRIAL REAL ESTATE INVESTMENT TRUST ...... 62 USE OF PROCEEDS ...... 75 OWNERSHIP OF THE UNITS ...... 76 DISTRIBUTIONS...... 79 CAPITALISATION ...... 80 UNAUDITED PRO FORMA BALANCE SHEET AS AT THE LISTING DATE ...... 82 PROFIT FORECAST AND PROFIT PROJECTION ...... 85 STRATEGY ...... 95 BUSINESS AND PROPERTIES ...... 102 THE MANAGER AND CORPORATE GOVERNANCE ...... 136 THE PROPERTY MANAGER...... 158 THE SPONSOR ...... 160 THE FORMATION AND STRUCTURE OF SABANA SHARI’AH COMPLIANT INDUSTRIAL REAL ESTATE INVESTMENT TRUST ...... 161 CERTAIN AGREEMENTS RELATING TO SABANA SHARI’AH COMPLIANT INDUSTRIAL REAL ESTATE INVESTMENT TRUST AND THE PROPERTIES . . . 173 TAXATION ...... 263 PLAN OF DISTRIBUTION ...... 268 CLEARANCE AND SETTLEMENT ...... 277 EXPERTS ...... 278 GENERAL INFORMATION ...... 279 GLOSSARY ...... 283 APPENDIX A — INDEPENDENT ACCOUNTANTS’ REPORT ON THE PROFIT FORECAST AND PROFIT PROJECTION ...... A-1 APPENDIX B — INDEPENDENT ACCOUNTANTS’ REPORT ON THE UNAUDITED PRO FORMA BALANCE SHEET AS AT THE LISTING DATE ...... B-1 APPENDIX C — UNAUDITED PRO FORMA BALANCE SHEET AS AT THE LISTING DATE ...... C-1 APPENDIX D — INDEPENDENT TAXATION REPORT ...... D-1 APPENDIX E — INDEPENDENT PROPERTY VALUATION SUMMARY REPORTS ...... E-1 APPENDIX F — INDEPENDENT INDUSTRIAL PROPERTY MARKET RESEARCH REPORT ...... F-1 APPENDIX G — SHARI’AH CERTIFICATIONS ...... G-1 APPENDIX H — TERMS, CONDITIONS AND PROCEDURES FOR APPLICATION FOR AND ACCEPTANCE OF THE UNITS IN SINGAPORE ...... H-1 APPENDIX I — LIST OF PRESENT AND PAST PRINCIPAL DIRECTORSHIPS OF DIRECTORS AND EXECUTIVE OFFICERS ...... I-1

i NOTICE TO INVESTORS No person is authorised to give any information or to make any representation not contained in this Prospectus and any information or representation not so contained must not be relied upon as having been authorised by or on behalf of Sabana Shari’ah Compliant REIT,the Manager, the Trustee, the Sole Financial Adviser,the Joint Bookrunners or the Sponsor.If anyone provides you with different or inconsistent information, you should not rely upon it. Neither the delivery of this Prospectus nor any offer, subscription, sale or transfer made hereunder shall under any circumstances imply that the information herein is correct as of any date subsequent to the date hereof or constitute a representation that there has been no change or development reasonably likely to involve a material adverse change in the affairs, conditions and prospects of Sabana Shari’ah Compliant REIT, the Manager, the Units or the Sponsor since the date on the front cover of this Prospectus. Where such changes occur and are material or required to be disclosed by law, the SGX-ST and/or any other regulatory or supervisory body or agency, the Manager will make an announcement of the same to the SGX-ST and, if required, lodge and issue a supplementary document or replacement document pursuant to Section 298 of the Securities and Futures Act and take immediate steps to comply with the said Section 298. Investors should take notice of such announcements and documents and, upon release of such announcements and documents, shall be deemed to have notice of such changes. Unless required by applicable laws (including the Securities and Futures Act), no representation, warranty or covenant, express or implied, is made by any of Sabana Shari’ah Compliant REIT, the Manager, the Trustee, the Sole Financial Adviser, the Joint Bookrunners, the Sponsor or any of their respective affiliates, directors, officers, employees, agents, representatives or advisers as to the accuracy or completeness of the information contained herein, and nothing contained in this Prospectus is, or shall be relied upon as, a promise, representation or covenant by any of Sabana Shari’ah Compliant REIT,the Manager,the Trustee, the Sole Financial Adviser, the Joint Bookrunners, or the Sponsor or their respective affiliates, directors, officers, employees, agents, representatives or advisers. None of Sabana Shari’ah Compliant REIT, the Manager, the Trustee, the Sole Financial Adviser, the Joint Bookrunners and the Sponsor or any of their respective affiliates, directors, officers, employees, agents, representatives or advisers is making any representation or undertaking to any subscriber of Units regarding the legality of an investment by such subscriber under appropriate legal, investment or similar laws. In addition, investors in the Units should not construe the contents of this Prospectus as legal, business, financial or tax advice. Investors should be aware that they may be required to bear the financial risks of an investment in the Units for an indefinite period of time. Investors should consult their own professional advisers as to the legal, tax, business, financial and related aspects of an investment in the Units. Copies of this Prospectus and the Application Forms may be obtained on request, subject to availability, during office hours, from: The Hongkong and Shanghai Banking Corporation Limited, United Overseas Bank Daiwa Capital Markets Singapore Branch Limited Singapore Limited 21 Collyer Quay #03-01 80 Raffles Place #03-03 6 Shenton Way #26-08 HSBC Building UOB Plaza 1 DBS Building Tower Two Singapore 049320 Singapore 048624 Singapore 068809 and, where applicable, from members of the Association of Banks in Singapore, members of the SGX-ST and merchant banks in Singapore. A copy of this Prospectus is also available on the SGX-ST website: http://www.sgx.com. The distribution of this Prospectus and the offering, subscription, purchase, sale or transfer of the Units in certain jurisdictions may be restricted by law. Sabana Shari’ah Compliant REIT, the Manager,the Trustee, the Sole Financial Adviser, the Joint Bookrunners and the Sponsor require persons into whose possession this Prospectus comes to inform themselves about and to

ii observe any such restrictions at their own expense and without liability to Sabana Shari’ah Compliant REIT,the Manager,the Trustee, the Sole Financial Adviser, the Joint Bookrunners and the Sponsor. This Prospectus does not constitute, and the Manager, the Trustee, the Sole Financial Adviser, the Joint Bookrunners and the Sponsor are not making, an offer of, or an invitation to subscribe for, any of the Units in any jurisdiction in which such offer or invitation would be unlawful. Persons to whom a copy of this Prospectus has been issued shall not circulate to any other person, reproduce or otherwise distribute this Prospectus or any information herein for any purpose whatsoever nor permit or cause the same to occur.

iii FORWARD-LOOKING STATEMENTS Certain statements in this Prospectus constitute “forward-looking statements”. This Prospectus also contains forward-looking financial information in “Profit Forecast and Profit Projection”. Such forward-looking statements and financial information involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Sabana Shari’ah Compliant REIT, the Manager, the Sponsor, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements and financial information. Such forward-looking statements and financial information are based on numerous assumptions regarding the Manager’s present and future business strategies and the environment in which Sabana Shari’ah Compliant REIT,the Manager or the Sponsor will operate in the future. Because these statements and financial information reflect the current views of the Manager and the Sponsor concerning future events, these statements and financial information necessarily involve risks, uncertainties and assumptions. Actual future performance could differ materially from these forward-looking statements and financial information. You should not place any undue reliance on these forward-looking statements. Among the important factors that could cause the actual results, performance or achievements of Sabana Shari’ah Compliant REIT, the Manager or the Sponsor to differ materially from those in the forward-looking statements and financial information are the conditions of, and changes in, the domestic, regional and global economies, including, but not limited to, factors such as political, economic and social conditions in Singapore, changes in government laws and regulations affecting Sabana Shari’ah Compliant REIT, competition in the Singapore property market in which Sabana Shari’ah Compliant REITmay invest, industry, currency exchange rates, financing costs, inflation, relations with service providers, relations with lenders, hostilities (including future terrorist attacks), the performance and reputation of Sabana Shari’ah Compliant REIT’s properties and/or acquisitions, difficulties in identifying future acquisitions, difficulty in completing and integrating acquisitions, changes in the Manager’s directors and executive officers, risks related to natural disasters, general volatility of the capital markets, general risks relating to the property market in which Sabana Shari’ah Compliant REIT may invest and the market price of the Units as well as other matters not yet known to the Manager or not currently considered material by the Manager. Additional factors that could cause actual results, performance or achievements to differ materially include, but are not limited to, those discussed under “Risk Factors”, “Profit Forecast and Profit Projection”, and “Business and Properties”. These forward-looking statements and financial information speak only as at the date of this Prospectus. The Manager expressly disclaims any obligation or undertaking to release publicly any updates of or revisions to any forward-looking statement or financial information contained herein to reflect any change in the expectations of the Manager or the Sponsor with regard thereto or any change in events, conditions or circumstances on which any such statement or information is based, subject to compliance with all applicable laws and regulations and/or the rules of the SGX-ST and/or any other relevant regulatory or supervisory body or agency.

iv CERTAIN DEFINED TERMS AND CONVENTIONS Sabana Shari’ah Compliant REIT will publish its financial statements in Singapore dollars. In this Prospectus, references to “S$” or “Singapore dollars” and “cents” are to the lawful currency of the Republic of Singapore. Unless otherwise defined, capitalised terms used in this Prospectus shall have the meanings set out in the Glossary. The forecast and projected yields and yield growth are calculated based on the Offering Price. Such yields and yield growth will vary accordingly for investors who purchase Units in the secondary market at a market price different from the Offering Price. Any discrepancies in the tables, graphs and charts included in this Prospectus between the listed amounts and totals thereof are due to rounding. Where applicable, figures and percentages are rounded to one decimal place. Measurements in square metres (“sq m”) are converted to square feet (“sq ft”) and vice versa based on the conversion rate of 1 sq m = 10.7639 sq ft. References to “Appendix” or “Appendices” are to the appendices set out in this Prospectus. All references in this Prospectus to dates and times shall mean Singapore dates and times unless otherwise specified. Unless otherwise specified, all information relating to the Properties (as defined herein) in this Prospectus is as at 30 September 2010.

v MARKET AND INDUSTRY INFORMATION This Prospectus includes market and industry data and forecasts that have been obtained from internal surveys, reports and studies, where appropriate, as well as market research, publicly available information and industry publications. Industry publications, surveys and forecasts generally state that the information they contain has been obtained from sources believed to be reliable, but there can be no assurance as to the accuracy or completeness of such information. While the Manager has taken reasonable steps to ensure that the information is extracted accurately and in its proper context, the Manager has not independently verified any of the data from third-party sources or ascertained the underlying economic assumptions relied upon therein.

vi SUMMARY The following summary is qualified in its entirety by, and is subject to, the more detailed information contained or referred to elsewhere in this Prospectus. The meanings of terms not defined in this summary can be found in the Glossary or in the trust deed constituting Sabana Shari’ah Compliant REIT dated 29 October 2010 (the “Trust Deed”). A copy of the Trust Deed can be inspected at the registered office of the Manager, which is located at 9 Raffles Place, #18-20/21, Republic Plaza, Singapore 048619. Statements contained in this summary that are not historical facts may be forward-looking statements. Such statements are based on certain assumptions and are subject to certain risks and uncertainties which could cause actual results of Sabana Shari’ah Compliant REIT to differ materially from those forecast or projected (see “Forward-Looking Statements”). Under no circumstances should the inclusion of such information herein be regarded as a representation, warranty or prediction with respect to the accuracy of the underlying assumptions by Sabana Shari’ah Compliant REIT, the Manager, the Trustee, the Sole Financial Adviser, the Joint Bookrunners, the Sponsor or any other person or that these results will be achieved or are likely to be achieved. Investing in the Units involves risks. Prospective investors are advised not to rely solely on this summary, but to read this Prospectus in its entirety and, in particular, the sections from which the information in this summary is extracted and “Risk Factors” to better understand the Offering and Sabana Shari’ah Compliant REIT’s businesses and risks.

OVERVIEW OF SABANA SHARI’AH COMPLIANT REIT Sabana Shari’ah Compliant REIT is a Singapore-based real estate investment trust (“REIT”) established principally to invest in income-producing real estate used for industrial purposes in Asia1, as well as real estate-related assets, in line with Shari’ah investment principles. As used in this Prospectus, “industrial purposes” include but are not limited to, manufacturing, assembly, warehousing, logistics, research and development (“R&D”) and data warehousing. Sabana Shari’ah Compliant REIT will be managed in a manner compliant with Shari’ah investment principles and procedures and will only invest in Shari’ah compliant real estate and real estate-related assets. Based on the advice of the Shari’ah Adviser (as defined herein), the Manager believes that Sabana Shari’ah Compliant REIT has adopted a standard of Shari’ah compliance that is generally accepted among investors in the GCC States2. The initial property portfolio of Sabana Shari’ah Compliant REIT will comprise 15 industrial properties (the “Properties” and each, a “Property”) located across Singapore, with an aggregate gross floor area (“GFA”) of approximately 3,286,220 sq ft.

Objective The Manager’s key objective is to provide unitholders of Sabana Shari’ah Compliant REIT (“Unitholders”) with regular and stable distributions and long-term growth in distribution per Unit (“DPU”) and net asset value (“NAV”) per Unit, while maintaining an appropriate capital structure.

Strategy The Manager plans to achieve its objective through the following strategies: k Acquisition growth strategy — The Manager will pursue acquisition opportunities that are aligned with Sabana Shari’ah Compliant REIT’s investment strategy and Shari’ah

1 “Asia” means Brunei Darussalam, Cambodia, Indonesia, Lao People’s Democratic Republic, Malaysia, Myanmar, Philippines, Singapore, Thailand, Vietnam, People’s Republic of China, Hong Kong Special Administrative Region, Taiwan, Republic of Korea, Democratic People’s Republic of Korea, Japan, India and Democratic Socialist Republic of Sri Lanka. 2 “GCC States” means Gulf Cooperation Council States and is defined as Saudi Arabia, Kuwait, Bahrain, Qatar, the United Arab Emirates and the Sultanate of Oman.

1 Guidelines (as defined herein) and provide attractive cash flows and yields relative to Sabana Shari’ah Compliant REIT’s weighted average cost of capital, as well as opportunities for future income and capital growth. Generally, the Manager will evaluate potential acquisitions based on the quality of their location and will target sites with convenient access to major transportation networks, whether by air, sea, rail or road, with a bias towards developed infill regions over greenfield ones. k Active asset management strategy — The Manager will leverage on, enhance the competitive strengths of, and implement pro-active measures to improve the returns from, Sabana Shari’ah Compliant REIT’s property portfolio. Such measures will include prudent control of property outgoings, active leasing and marketing of any vacancies and expiring leases, programmes for the regular maintenance of building structures, asset refurbishment and enhancement projects to increase the competitive positioning of the assets, thereby increasing the yield of the Properties and the NAV per Unit and, where appropriate, divesting non-performing assets. k Opportunistic development strategy — Within the limits of Appendix 2 of the Code on Collective Investment Schemes (the “CIS Code”, and Appendix 2 of the CIS Code, the “Property Funds Appendix”), the Manager will prudently undertake development activity when appropriate opportunities arise while mitigating construction and leasing risks and short-term dilution of yield from any additional capital raised for the purposes of the development activity. k Capital and risk management strategy — The Manager will endeavour to employ an appropriate mix of debt and equity in financing acquisitions and, where appropriate, utilise financing cost and currency hedging strategies to optimise risk-adjusted returns to Unitholders. The Manager will also leverage on Sabana Shari’ah Compliant REIT’s access to the Islamic equity markets to facilitate the implementation of its strategies and achieve its objective of delivering regular and stable returns to investors.

Rationale for establishing a Shari’ah compliant REIT The Manager is of the view that the growth in Islamic finance industry globally and in Southeast Asia will translate to an increase in demand for Shari’ah compliant financial products, such as listed REITs. As at the Latest Practicable Date, Sabana Shari’ah Compliant REIT is expected to be the only Shari’ah compliant REIT listed in Singapore and the largest listed Shari’ah compliant REIT by total assets globally. The Manager believes that this would enable Sabana Shari’ah Compliant REIT to access the Islamic equity markets and provide it with an advantage over conventional REITs by allowing it to tap into relatively more diverse sources of equity funding and a larger investor base. Such additional sources of funding and larger investor base would facilitate the implementation of the Manager’s strategies and the achievement of the Manager’s objective of delivering regular and stable returns to investors.

Shari’ah Compliance Overview Sabana Shari’ah Compliant REIT will be Singapore’s first certified Shari’ah compliant REIT.The Manager shall manage Sabana Shari’ah Compliant REIT in accordance with Shari’ah investment principles and procedures and shall adhere to such investment principles in addition to the laws, rules and regulations of any other relevant regulatory or supervisory body or agency applicable to Sabana Shari’ah Compliant REIT1.

1 Where Shari’ah principles conflict with the laws, rules and regulations applicable to Sabana Shari’ah Compliant REIT, such laws, rules and regulations shall prevail.

2 The Shari’ah investment principles and procedures are consistent with Islamic law principles and the general considerations of ethical investments in terms of social responsibility in asset selection and structuring. To enable Sabana Shari’ah Compliant REIT to comply with Shari’ah investment principles and procedures, the Manager has, through the Shari’ah Adviser, appointed the Independent Shari’ah Committee (as defined herein) to provide ongoing advice on Shari’ah compliance by Sabana Shari’ah Compliant REIT. (See “Shari’ah Compliance of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust — The Shari’ah Adviser” and “— The Independent Shari’ah Committee” for further details on the Shari’ah Adviser and the Independent Shari’ah Committee.)

Shari’ah Guidelines In accordance with the advice of the Independent Shari’ah Committee, Sabana Shari’ah Compliant REIT has complied with the following guidelines in respect of the Properties in order to obtain its Shari’ah compliant status as at the Listing Date: k Asset selection — Sabana Shari’ah Compliant REIT is required to ensure that the total rental income from lessees, tenants and/or sub-tenants (as the case may be) engaging in activities which are non-permissible under the Shari’ah Guidelines (which include activities relating to conventional financial and insurance services, gaming, non-halal production, tobacco-related products, non-permitted entertainment activities and stock- broking in non-compliant securities) (collectively, the “Non-permissible Activities”) does not exceed 5.0% per annum of the Gross Revenue (as defined herein) of Sabana Shari’ah Compliant REIT’s portfolio of properties. k Financing, investment and deposit facilities — Sabana Shari’ah Compliant REIT is required to ensure that its financing, investment and deposit facilities are Shari’ah compliant where commercially available. If such Shari’ah compliant financing, investment and deposit facilities are unavailable or the utilisation of such facilities by Sabana Shari’ah Compliant REIT is not commercially viable, Sabana Shari’ah Compliant REIT shall be entitled to utilise conventional financing, investment and deposit facilities within certain specified limits, provided that prior approval from the Independent Shari’ah Committee is obtained.

1 k Insurance — Sabana Shari’ah Compliant REIT is required to seek Takaful for insurance coverage purposes where it is commercially available. If Takaful is unavailable or the utilisation of Takaful by Sabana Shari’ah Compliant REIT is not commercially viable, Sabana Shari’ah Compliant REIT shall be entitled to opt for conventional insurance schemes, provided that prior approval from the Independent Shari’ah Committee is obtained. The Manager, with the approval of the Independent Shari’ah Committee, has taken out conventional insurance for fire and loss of rent on the basis that there is no commercially viable Takaful alternative available in Singapore.

2 k Risk management solutions — Sabana Shari’ah Compliant REIT is permitted to utilise derivative instruments such as forward currency contracts for the purpose of risk management. Sabana Shari’ah Compliant REIT is required to utilise Shari’ah compliant risk management solutions where they are commercially available. If such Shari’ah compliant risk management solutions are unavailable or the utilisation of such risk management solutions by Sabana Shari’ah Compliant REIT is not commercially

1 An Islamic insurance concept which observes Shari’ah compliant principles such as profit sharing. A common form of Takaful requires participants to make Takaful instalment payments to a Takaful operator. The Takaful operator invests these payments and shares the resulting profit with itself and the Takaful participants in accordance with the Takaful agreement. The profit share will take into consideration any defined losses incurred by any of the Takaful participants. 2 “Risk management solutions” means currency hedging tools, derivatives and other financial instruments used to manage and minimise various financial risks faced by Sabana Shari’ah Compliant REIT.

3 viable, Sabana Shari’ah Compliant REIT shall be entitled to utilise conventional risk management solutions, provided that prior approval from the Independent Shari’ah Committee is obtained.

The Independent Shari’ah Committee The Independent Shari’ah Committee is an external committee that comprises three independent Shari’ah scholars selected by the Manager based on the advice of Five Pillars Pte. Ltd., a Singapore-based Islamic finance advisory firm appointed to advise the Manager on Shari’ah-related matters pertaining to Sabana Shari’ah Compliant REIT (“Five Pillars” or the “Shari’ah Adviser”). As part of the selection process, the Shari’ah Adviser has recommended suitable candidates to the Manager and the Manager has, from this pool of suitable candidates, selected three independent Shari’ah scholars to serve as members of the Independent Shari’ah Committee. The Manager has the sole right to determine and vary the composition of the Independent Shari’ah Committee and the sole discretion to accept or reject the recommendations of the Shari’ah Adviser in relation to the members or replacement members of the Independent Shari’ah Committee. In addition, the Manager is entitled to review the composition of the Independent Shari’ah Committee at least once every financial year of Sabana Shari’ah Compliant REIT and request the replacement of any member of the Independent Shari’ah Committee by giving written notice to the Shari’ah Adviser. The Manager will notify the Trustee when determining or varying the composition of the Independent Shari’ah Committee, provided that the Manager retains sole discretion to determine or vary the composition of the Independent Shari’ah Committee. All appointments and resignations of members of the Independent Shari’ah Committee or variation of the composition of the Independent Shari’ah Committee and the reason(s) for the variation of the composition of the Independent Shari’ah Committee will be announced to Unitholders via SGXNET. (See “Shari’ah Compliance of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust — The Independent Shari’ah Committee” and “— Independent Shari’ah Committee Member Replacement Process” for further details.) The Independent Shari’ah Committee has been appointed to ensure the initial and continued Shari’ah compliance of Sabana Shari’ah Compliant REIT.This involves, among other measures, issuing specific guidelines to be observed by the Manager to ensure that Sabana Shari’ah Compliant REIT is, and will continue to be, Shari’ah compliant (the “Shari’ah Guidelines”) and providing an annual written certification confirming the Shari’ah compliant status of Sabana Shari’ah Compliant REIT (the “Shari’ah Certification”). The Independent Shari’ah Committee has the final and only say in drawing up the Shari’ah Guidelines, determining the criteria for the Shari’ah compliance of Sabana Shari’ah Compliant REIT and providing the required Shari’ah Certification. The Shari’ah Adviser will not be involved in, nor have any influence, over the decision-making process of the Independent Shari’ah Committee. The Manager and the Shari’ah Adviser have entered into a Shari’ah consultancy agreement, pursuant to which the Shari’ah Adviser is responsible for procuring that the Independent Shari’ah Committee performs its duties and responsibilities.

Shari’ah Certification The Independent Shari’ah Committee has assessed the Shari’ah compliance of Sabana Shari’ah Compliant REIT based on, among other things, an examination of various agreements and information relating to Sabana Shari’ah Compliant REIT, site visits to the Properties and the HSBC Amanah Central Shari’ah Committee’s Shari’ah certification in respect of the Commodity Murabaha Facility (as defined herein) and the profit rate hedging arrangement

4 and, having been satisfied that Sabana Shari’ah Compliant REIT is Shari’ah compliant, has issued the Shari’ah Certification confirming the Shari’ah compliant status of Sabana Shari’ah Compliant REIT. In connection with the Offering, Sabana Shari’ah Compliant REIT has also sought a one-time certification from the HSBC Amanah Central Shari’ah Committee in respect of the Shari’ah compliance of Sabana Shari’ah Compliant REIT’s debt and hedging facilities (comprising the Commodity Murabaha Facility and the profit rate hedging arrangement) for the purpose of the Offering. HSBC Amanah is the global Islamic financial services division of the HSBC Group1. The HSBC Amanah Central Shari’ah Committee has assessed the Shari’ah compliance of the Commodity Murabaha Facility and the profit rate hedging arrangement and, having been satisfied that the Commodity Murabaha Facility and the profit rate hedging arrangement are Shari’ah compliant, has issued a certification confirming the Shari’ah compliant status of the Commodity Murabaha Facility and profit rate hedging arrangement. For the avoidance of doubt, Sabana Shari’ah Compliant REIT has received certification from the HSBC Amanah Central Shari’ah Committee only in respect of the Commodity Murabaha Facility and the profit rate hedging arrangement that have been taken up by Sabana Shari’ah Compliant REIT. While the Independent Shari’ah Committee has also reviewed the Commodity Murabaha Facility and the profit rate hedging arrangement in providing the Shari’ah Certification, only the HSBC Amanah Central Shari’ah Committee has provided the certification of the Shari’ah compliance of the Commodity Murabaha Facility and the profit rate hedging arrangement. The Shari’ah compliance of any subsequent refinancing undertaken by Sabana Shari’ah Compliant REIT will similarly have to be certified at the point in time that it is entered into. The Shari’ah Certification will be issued annually on a continuing basis and the Independent Shari’ah Committee will conduct periodic and ad hoc reviews of Sabana Shari’ah Compliant REIT’s Shari’ah compliance on an ongoing basis. (See “Shari’ah Compliance of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust” for further details of Sabana Shari’ah Compliant REIT’s Shari’ah compliance and Appendix G, “Shari’ah Certifications” for the respective Shari’ah certifications of the HSBC Amanah Central Shari’ah Committee and the Independent Shari’ah Committee.)

1 “HSBC Group” is defined as HSBC Holdings plc, together with its subsidiary undertakings.

5 Structure of Sabana Shari’ah Compliant REIT The following diagram illustrates the relationship between Sabana Shari’ah Compliant REIT,the Independent Shari’ah Committee, the Manager, the Property Manager (as defined herein), the Trustee and the Unitholders as at the date of this Prospectus:

Independent Shari’ah Unitholders Committee

Advises the Manager Ownership of Distributions on Shari’ah compliance Units matters and issues the Management Shari’ah Certification services Trustee Fee Sabana Shari’ah (1) Trustee Manager Compliant REIT Acts on behalf Management of Unitholders Fees Ownership of Net Property 100.0% ownership assets Income Property Management Services Property Manager(2) The Properties Property Management Fees

Notes: (1) The Manager is 100.0% owned by SIP. SIP is a company incorporated in Singapore, which is 51.0% owned by the Sponsor, 45.0% owned by Blackwood and 4.0% owned by TCP as at the date of this Prospectus. (2) The Property Manager is 100.0% owned by SIP indirectly through the Manager.

The Manager Sabana Real Estate Investment Management Pte. Ltd. is the manager of Sabana Shari’ah Compliant REIT. The Manager is 100.0% owned by SIP. SIP is a company incorporated in Singapore, which is 51.0% owned by the Sponsor, 45.0% owned by Blackwood and 4.0% owned by TCP as at the date of this Prospectus. The shareholders of Blackwood are Mr Kevin Xayaraj (the Chief Executive Officer and the Executive Director (Investments) of the Manager), Mr Bobby Tay Chiew Sheng (the Head of Strategy and Investor Relations of the Manager) and Mr Aw Wei Been (the Chief Operating Officer and Head of Asset Management of the Manager). TCP is an investment company established in late 2004, with a focus on Asia and the Middle East. The business activities of TCP include the provision of business and management consultancy services as well as investment holding. The Manager has general powers of management over the assets of Sabana Shari’ah Compliant REIT.The Manager’s main responsibility is to manage Sabana Shari’ah Compliant REIT’s assets and liabilities for the benefit of Unitholders. The Manager will set the strategic direction of Sabana Shari’ah Compliant REIT and give recommendations to the Trustee on the acquisition, divestment and/or enhancement of assets of Sabana Shari’ah Compliant REIT in accordance with its stated investment policy.

The Property Manager Sabana Property Management Pte. Ltd. is the dedicated property manager of Sabana Shari’ah Compliant REIT (the “Property Manager”). The Property Manager is responsible for providing property, management, lease management, marketing and administration of property tax services for the Properties in Sabana Shari’ah Compliant REIT’s portfolio.

6 The Trustee HSBC Institutional Trust Services (Singapore) Limited is the trustee of Sabana Shari’ah Compliant REIT. The Trustee will hold the assets of Sabana Shari’ah Compliant REIT on trust for the benefit of the Unitholders in accordance with the Trust Deed. The Trustee may exercise all the powers of a trustee and the powers that are incidental to the ownership of the assets of Sabana Shari’ah Compliant REIT.

The Independent Shari’ah Committee The Independent Shari’ah Committee is an external committee appointed by the Manager through the Shari’ah Adviser, comprising independent Shari’ah scholars whose role is to advise the Manager on Sabana Shari’ah Compliant REIT’s Shari’ah compliance and issue the Shari’ah Guidelines and Shari’ah Certification. (See “The Manager and Corporate Governance — The Manager of Sabana Shari’ah Compliant REIT — The Independent Shari’ah Committee” for further details.)

The Sponsor The Freight Links group of companies (comprising Freight Links and its subsidiaries) (the “Freight Links Group”) is the third largest international total logistics solution providers in Singapore by total assets. The Freight Links Group provides a comprehensive array of logistics services, and has extensive experience in storing and forwarding all types of cargo. Since its establishment in 1981, the Freight Links Group’s international freight forwarding business has reached over 600 destinations throughout the world. The Freight Links Group offers one of the biggest freight forwarding networks in Singapore, having strong strategic partnerships with a comprehensive network of over 120 freight forwarding agents worldwide. In addition, the Freight Links Group has overseas offices located in Malaysia, Thailand, Hong Kong, the People’s Republic of China and the United Arab Emirates. Freight Links was upgraded to the Main Board of the SGX-ST in 1998 and has a market capitalisation of S$200.1 million as at the Latest Practicable Date. As at the Latest Practicable Date, the Freight Links Group’s warehousing facilities in Singapore occupy a total GFA of over 2.0 million sq ft. (See “The Sponsor” for further details.)

COMPETITIVE STRENGTHS The Manager believes that Sabana Shari’ah Compliant REIT will be able to generate regular and stable distribution yields as a result of the competitive strengths set out below. The Manager has forecast a distribution yield of 8.22% and 8.25% respectively for the Forecast Year 2011 and the Projection Year 2012 (each as defined herein). (See “Profit Forecast and Profit Projection — Assumptions”.)

Asset Strengths k Strategic locations The Properties are located entirely in Singapore, an internationally-established logistics and hi-tech industrial hub. Within Singapore, most of the Properties are strategically located in close proximity to the principal industrial zones such as Loyang (close to Changi Airport), Penjuru (situated close to Singapore’s shipping ports) and Tai Seng (a high-tech space hub situated close to two expressways and a Mass Rapid Transit (“MRT”) station). The Properties are therefore supported by excellent infrastructure and arterial road networks that enhance their attractiveness to existing and potential tenants and their customers.

7 Strategic location of the Properties

MRT station Malaysia – Singapore Causeway Expressway

MRT Line

Loyang 1 asset Lorong Chuan Malaysia – Singapore 1 asset Second Link Pasir Ris Tai Seng Tuas 3 assets Lorong Chuan Tai Seng MacPherson Changi International Airport Joo Koon Clementi Queenstown assess

Penjurruu ComCCommonwealthmmmonwwealth Jurong Port 5 assets Redhill

Pasir Panjang Terminal

Keppel Terminal k Attractive building specifications Each of the Properties has been carefully selected by the Manager for inclusion in the property portfolio of Sabana Shari’ah Compliant REIT and features attractive building specifications that in turn promote higher occupancies and long-term tenants. 151 Lorong Chuan, 200 Pandan Loop, 9 Tai Seng Drive, 15 Jalan Kilang Barat and 8 Commonwealth Lane feature excellent building specifications, including high floor to ceiling height, high floor loading and wide column span. These features provide greater flexibility in terms of space configuration. As a result, these Properties are amenable to a wide range of uses and hence appeal to a wider pool of tenants. 18 Gul Drive, 1 Tuas Avenue 4 and 33 & 35 Penjuru Lane are approved and built to specifications to handle hazardous chemical products. These Properties command a premium over normal warehouse space and are well-positioned to benefit from the continuing strong demand for chemical logistics space stemming from the Singapore Government’s focus on enhancing Jurong Island’s profile as a petrochemical hub. 26 Loyang Drive has a large land area, high floor loadings, high floor to ceiling heights and large contiguous floor plates that are suitable for warehousing, fabrication and high value-added industries using large component parts. 34 Penjuru Lane, 51 Penjuru Lane and 218 Pandan Loop are warehousing spaces with wide driveways and adequate loading and unloading bays. (See Appendix F, “Independent Industrial Property Market Research Report” for further details on the demand for chemical logistics space). k Long weighted average leasehold for underlying land The weighted average unexpired lease term (including the period covered by the relevant options to renew) for the underlying land (by GFA area) for all the Properties is approximately 41 years as at 30 September 2010. k Well maintained assets with low capital expenditure requirements The Properties have been well maintained and are also relatively new. The Manager expects that capital expenditure during the Forecast Year 2011 and the Projection Year 2012 will be minimal. In respect of the defects which have been identified in the building

8 audits on the Properties commissioned by Sabana Shari’ah Compliant REIT,either such defects will be rectified by the relevant Vendors prior to the Listing Date or Sabana Shari’ah Compliant REIT will be entitled on the Listing Date to withhold a portion of the purchase price of the relevant Property until such defects are rectified. In any event, these defects do not impair the ability of tenants to operate on the Properties. k More than 30.0% of the Properties are located on land rent free sites By percentage of GFA, 32.4% of the Properties are located on land that has been leased from the Urban Redevelopment Authority (“URA”). Land rent for assets from the URA is paid upfront at the start of the land lease from URA, unlike assets from JTC Corporation (“JTC”) for which regular land rent subject to annual revision based on market factors has to be paid. As a result, Sabana Shari’ah Compliant REITmay potentially save on land rent expenses for these Properties when the relevant Master Leases (as defined herein) expire.

Cash Flow Strengths k High quality tenant and diverse sub-tenant base The Properties, being strategically located, have attracted a high quality tenant and subtenant base. As at the Latest Practicable Date, 80.6% of the Properties by Gross Revenue are being acquired from reputable vendors that are companies listed on the Main Board of the SGX-ST or subsidiaries of companies listed on the Main Board of the SGX-ST, including the Sponsor, City Developments Limited and Ho Bee Investment Limited. The Manager has selected assets with reputable and financially strong tenants to ensure stable and resilient revenues through future economic cycles.

9 These tenants, in turn, are supported by high quality and diverse sub-tenants including, but not limited to, DHL, Lenovo, ESPN, Bausch & Lomb, Fujitsu and IBM. The table below sets out the forecast top ten tenants in Sabana Shari’ah Compliant REIT’s initial property portfolio by Gross Revenue for the Forecast Year 2011:

Contribution to Gross Revenue by tenants for the Forecast Year 2011 Contribution to Forecast Year 2011 No Tenant Business activity Gross Revenue 1 Subsidiary and jointly- controlled entity of City Property developer(2) 39.4% Developments Limited(1) 2 Subsidiaries of Freight Integrated logistics Links Express Holdings 22.6% service provider(2) Limited(3) 3 Utraco Greentech Pte. Geotechnical 8.0% Ltd.(4) engineering 4 SB (Lakeside) Property developer(2) 7.6% Investment Pte. Ltd.(5) 5 Geo-Tele Pte. Ltd.(6) Property developer(2) 7.1%(7) 6 Ho Bee Developments Property developer 3.8% Pte Ltd(8) 7 Oxley & Hume Builders Real estate construction 3.7% Pte. Ltd.(9) and development 8 Premier G & U Hazardous goods 3.2% Districenters Pte. Ltd.(10) logistics provider 9 Yenom Industries Pte Pressure sensitive 2.9% Ltd(11) adhesive manufacturer 10 Fong Tat Motor Co. Pte. Automotive parts 1.7% Ltd.(12) distributor Total 100.0%

Notes:

(1) Established in 1963, City Developments Limited (“CDL”) is an SGX-ST listed international property and hotel conglomerate involved in real estate development and investment, hotel ownership and management, facilities management, as well as the provision of hospitality solutions. CDL has an extensive network of more than 300 subsidiaries and associated companies, and has 5 companies listed on notable stock exchanges in New Zealand, Hong Kong, London and the Philippines. The CDL group currently owns and manages a strong portfolio of residential and investment properties, in addition to hotels, across Asia, Europe/Middle East, North America and New Zealand/Australia. (2) Refers to the business activity of the holding company of the tenant(s). The business activities of the tenants include, among others, property ownership and property investment. (3) Please see “The Sponsor” for further details. (4) The principal activities of Utraco Greentech Pte. Ltd. are geotechnical, civil engineering and building construction works and provision of property management services and marine engineering and construction services. (5) Established in 1976, SB (Lakeside) Investment Pte. Ltd. is a subsidiary of Soilbuild Group Holdings Ltd. The principal activities of SB (Lakeside) Investment Pte. Ltd. include the development of mid- to

10 high-end residential properties and business space properties for multi-national corporations and small and medium enterprises. (6) Geo-Tele Pte. Ltd. is a subsidiary of Sim Lian Group Limited, which was listed on SGX-ST in 2000. Established in 1976, Sim Lian Group Limited is a Singapore-based property developer. The principal activities of Geo-Tele Pte. Ltd. include, among others, property ownership and property investment. (7) The amount represents all rents received from the tenants in 9 Tai Seng Drive and the rental support payments provided by Geo-Tele Pte. Ltd.. (8) Ho Bee Developments Pte Ltd is the subsidiary of Ho Bee Investment Limited which was listed on SGX-ST in 1999. Established in 1987, Ho Bee Investment Limited is a Singapore-based property developer with a presence in Singapore, London and Shanghai. (9) Oxley & Hume Builders Pte. Ltd. is a newly incorporated company with principal activities in real estate construction and development. (10) Premier G & U Districenters Pte. Ltd. is a Singapore-based hazardous goods logistics provider. Its principal activities include the handling of hazardous goods and the provision of warehousing services. (11) Established in 1997, Yenom Industries Pte Ltd is a Singapore-based pressure sensitive adhesive manufacturer that has an established presence across 13 countries worldwide. (12) Established in 1974, Fong Tat Motor Co. Pte. Ltd. is a Singapore-based automotive parts distributor in both domestic and international markets. k Diverse asset type and sub-tenant trade sectors

The Properties represent a diverse spectrum of asset types within the industrial properties sector. In addition, the sub-tenants of the Properties operate in diverse trade and industrial sectors, which include chemical, logistics, engineering, electronics, information technology and telecommunication and data warehousing.

The charts below set out the proportion of Gross Revenue generated by each asset type for the Forecast Year 2011 and the asset breakdown by GFA:

Gross Revenue by asset type for Forecast Year 2011 Asset breakdown by GFA

5.7% 9.7%

19.5%

44.0% 28.7%

58.4%

16.4%

17.6%

High-tech Industrial Chemical Warehouse & Logistics Warehouse & Logistics General Industrial

As at 30 September 2010, no more than 20.4% of the Properties by net lettable area (“NLA”) is being rented out to tenants or sub-tenants (as the case may be) in any one trade sector.

11 The chart below sets out the trade sectors of the tenants or sub-tenants (as the case may be) of the Properties by NLA as at 30 September 2010:

NLA by tenants’ or sub-tenants’ sector as at 30 September 2010(1)

11.9% 20.4%

17.5%

6.1%

3.1% 3.0%

8.2% 3.4%

4.5% 16.8% 5.1%

Chemical Electronics Engineering Food & beverage Healthcare Information technology Logistics Others Research & Development Storage Telecommunication and data warehousing

Note:

(1) Based on occupied NLA only. Such diversification and non-reliance on any one particular asset type or trade sector is expected to enhance the ability of Sabana Shari’ah Compliant REIT to provide Unitholders with stable income distributions, as it is not reliant on a single asset type or trade sector. k High occupancy rates of the Properties As at the Listing Date, the occupancy rate for the Properties will be close to 100.0%1. This is higher than the average occupancy rate of 94.0% for single-user factories, 85.9% for multiple-user factories and 90.1% for private warehouse space in Singapore as of the first quarter of 2010 (see Appendix F, “Independent Industrial Property Market Research Report”). The Manager believes that the healthy demand for industrial properties in Singapore, coupled with the competitive asset strengths of the Properties (including their strategic locations and their long weighted average unexpired lease term), will enable the Properties to maintain their high occupancy rates over time. (See “Business and Properties”.) k Long weighted average Master Lease duration with locked-in escalations The weighted average lease term to expiry (by Gross Revenue) for the master leases in relation to the Properties (the “Master Leases”) is approximately 3.8 years as at the Listing Date. Coupled with the provisions for 1.5% to 2.0% annual step-ups in rents in the Master Leases for 12 of the 15 Properties, Unitholders will have the assurance of a stable and growing income base to support distributions.

1 Other than 9 Tai Seng Drive whose occupancy rate as at the Listing Date will be 99.5%, the occupancy rate for the rest of the Properties which are under Master Leases (as defined herein) will be 100.0%.

12 The lease expiry profile of the Properties as at the Listing Date is shown in the table below:

Lease expiry profile by Gross Revenue as at the Listing Date(1)

Weighted average lease term to expiry: 3.8 years

59.5%

40.5%

NA NA NA NA

2011 2012 2013 2014 2015 2016 and beyond

Note: (1) Excludes 9 Tai Seng Drive property which is not on a triple net master lease. The Manager believes that the weighted average lease term to expiry is in line with the current market lease terms and may allow Unitholders to potentially enjoy positive rental reversions post expiry of the Master Leases.

INVESTMENT HIGHLIGHTS The Manager believes that, in addition to the competitive strengths of the Properties set out above, an investment in Sabana Shari’ah Compliant REIT offers the following attractions for Unitholders:

First Shari’ah compliant REIT listed in Singapore Sabana Shari’ah Compliant REIT will be Singapore’s first certified Shari’ah compliant REIT. In addition to the conventional global investor base that is customary for Singapore REITs, Sabana Shari’ah Compliant REIT will be unique among Singapore REITs in its ability to tap a separate pool of capital, namely that of Shari’ah investors who require their investments to be made in accordance with Shari’ah investment principles. This allows Sabana Shari’ah Compliant REIT to appeal to a wider and broader set of potential investors as compared to conventional REITs listed in Singapore, which could result in greater demand for Units than if Sabana Shari’ah Compliant REIT were not Shari’ah compliant.

Exposure to the healthy and sustained growth in the industrial sector The Manager believes that there is a healthy and sustained demand for real estate used for industrial purposes in Singapore. The demand for industrial property in Singapore is the result of deliberate and pro-active Singapore Government policies and initiatives to make Singapore Asia’s leading high value- added manufacturing and logistics hub. These include various incentives in the Singapore Budget 2010 such as tax deductions for expenditures in R&D, the establishment of a S$2 billion National Productivity Fund and a S$450 million programme for Singapore Government agencies to work with companies to co-develop innovative solutions, including those in the manufacturing and logistics sector.

Warehouse and logistics The Port of Singapore is one of the largest in the world in terms of throughput. Occupancy rates have stabilised since the 2009 financial crisis and are gradually recovering, in line with Singapore’s economic growth. In addition, the expected average annual supply of warehouse space over the next four years of 1.2 million sq ft is almost half that of the average annual supply over the past ten years of 2.1 million sq ft, representing a potential under-supply of space in the event of higher-than-expected growth.

13 High-tech industrial Despite the slow down in Singapore’s economy from 2007 to 2009, rent for high-tech industrial space1 has remained healthy with companies seeking cheaper alternatives to central office space for their qualifying back-end office uses. With no known expected potential supply in this sub-sector over the next two years the high-tech industrial space is well-positioned to benefit from a recovery in the Singapore economy. The economic outlook for Singapore, being supported by healthy growth in the manufacturing sector as well as strong performance by service producing industries, is positive. With the current set of regional economic indicators showing good sustained growth prospects backed by demand, combined with the Singapore Government’s pro-activeness and support, the Manager’s outlook is optimistic. The Manager believes that these factors will translate into improved demand for space in warehousing, logistics and business parks, in addition to the more traditional sectors of manufacturing, logistics, transportation and the newer knowledge-based industries of bio-tech, high-tech and R&D. (See Appendix F,“Independent Industrial Property Market Research Report” for further details.) Management fees structured to incentivise and align interests of the Manager with that of Unitholders Under the Trust Deed, the Manager is entitled to receive a base fee of 0.5% per annum of the value of the deposited property of Sabana Shari’ah Compliant REIT (the “Deposited Property”), payable on a quarterly basis. The performance fee payable to the Manager has a true performance-based element which is payable only if Sabana Shari’ah Compliant REIT generates an annual growth in DPU of at least 10.0% over the previous financial year (calculated after accounting for the performance fee (if any) for that financial year and after adjusting, at the discretion of the Manager, for any new Units arising from the conversion or exercise of any instruments convertible into Units which are outstanding at the time of calculation, and any rights or bonus issue, consolidation, subdivision or buy-back of Units). This performance fee is designed to align the interests of the Manager with those of the Unitholders and incentivise the Manager to grow revenues and reduce operating costs. (See “The Manager and Corporate Governance — Manager’s Fees”.)

Sponsorship and logistics property expertise of Freight Links Freight Links is an SGX-ST Main Board listed logistics operator based in Southeast Asia with global operations. The Manager believes that Sabana Shari’ah Compliant REITstands to benefit from the sponsorship and logistics property expertise of Freight Links, including its ability to identify, develop and acquire logistics properties.

Leverage on Freight Links to provide logistics solutions Freight Links has in-depth knowledge of logistics users’ demands and requirements through its track record of developing and managing logistics. (See “The Sponsor” for further details on the Sponsor.) Freight Links has established networks and relationships in Singapore and internationally, including close relationships with major global logistics service providers. While the provision of logistics services is not instrumental to the leasing of a property by Sabana Shari’ah Compliant REIT, where end-users require logistics services, Sabana Shari’ah Compliant REIT is well

1 “High-tech industrial space” is broadly defined as space occupied for high-tech uses such as data warehousing, R&D and other knowledge-based uses. Such buildings typically feature high building specifications e.g. high floor loadings, floor-to-ceiling heights and building automation system (See Appendix F,“Independent Industrial Property Market Research Report” for further details).

14 positioned to partner with Freight Links (or with other logistics service providers via Freight Links) to offer real estate solutions and logistics services respectively.

Leverage on Freight Links for development expertise In respect of potential development activities to further deliver incremental returns to Unitholders, the Manager believes that it will benefit from Freight Links’ expertise in the planning, design and construction of logistics properties to mitigate construction and leasing risks.

Leverage on Freight Links for acquisition opportunities The Manager believes that Sabana Shari’ah Compliant REIT will be able to leverage on Freight Links’ networks and relationships to identify potential acquisitions of logistics properties in Asia- Pacific. In addition, the Sponsor has granted a right of first refusal to Sabana Shari’ah Compliant REIT (the “ROFR”) which, subject to certain conditions, provides Sabana Shari’ah Compliant REIT with access to future acquisition opportunities of income-producing properties located in Asia. As at the Latest Practicable Date (as defined herein), there are three properties (totalling 462,372 sq ft of GFA) currently owned by the Sponsor in Singapore which are subject to the ROFR. This ROFR arrangement provides Sabana Shari’ah Compliant REIT with a pipeline of potential assets for future acquisitions. (See “Strategy — Acquisition Growth Strategy” and “Certain Agreements Relating to Sabana Shari’ah Compliant Industrial Real Estate Investment Trust and the Properties — Right of First Refusal”.)

Leverage on Freight Links’ chemical logistics experience Freight Links is one of the leading chemical logistics providers in the region. Freight Links’ competitive advantage is in the safe and efficient transportation of toxic, corrosive and flammable materials, which requires special care and handling, as well as specially trained drivers. Freight Links’ fleet is monitored by a global positioning system to ensure that it travels through a designated route which has light traffic and relatively low population density so as to reduce transportation risks. As part of being a total logistics provider, Freight Links is one of the leading warehouse providers for the storage of hazardous chemicals. These warehouses are amongst the Freight Links Properties (as defined herein). The rapid growth of the chemical industry in Singapore provides Sabana Shari’ah Compliant REIT with the opportunity to leverage its expertise and realise its growth potential in this specialised area of chemical logistics space, which is in high demand by the major oil and chemicals industries.

Stable distributions Assuming that the Listing Date is 1 November 2010, the Manager has forecast in respect of the Forecast Year 2011, DPU of approximately 8.63 cents, which is equivalent to a distribution yield of 8.22%. The Manager has also forecast the distribution yield to be 8.25% for the Projection Year 2012. Sabana Shari’ah Compliant REIT’s distribution policy is to distribute 100.0% of its Taxable Income (as defined herein) and tax-exempt income, if any, for the period from the Listing Date to 31 December 2012 and thereafter to distribute at least 90.0% of its Taxable Income and tax- exempt income, if any (after deduction of applicable expenses). The actual level of distribution will be determined at the Manager’s discretion.

15 The actual proportion of Taxable Income and tax-exempt income distributed to Unitholders beyond 31 December 2012 may in aggregate be greater than 90.0% to the extent that the Manager believes it to be appropriate, having regard to Sabana Shari’ah Compliant REIT’s funding requirements, other capital management considerations and the overall stability of distributions.

Sabana Shari’ah Compliant REIT will make distributions to Unitholders on a quarterly basis, with the amount calculated as at 31 March, 30 June, 30 September and 31 December in each year for the three-month period ending on each of those dates. However, Sabana Shari’ah Compliant REIT’s first distribution after the Listing Date will be for the period from the Listing Date to 31 March 2011 and will be paid by the Manager on or before 29 June 2011. Subsequent distributions will be made on a quarterly basis. Under the Trust Deed, the Manager is required to pay distributions no later than 90 days after the end of each distribution period.

The distribution yields will vary accordingly for investors who purchase Units in the secondary market at a market price different from the Offering Price. The profit forecast and profit projection from which this information is extracted are based on the various assumptions set out in the section titled “Profit Forecast and Profit Projection”. There can be no assurance that the profit forecast and profit projection will be met and the actual yields per Unit may be materially different from the forecast and projected amounts.

(See “Risk Factors — Risks Relating to an Investment in the Units — The actual performance of Sabana Shari’ah Compliant REIT and the Properties could differ materially from the forward- looking statements in this Prospectus”.)

Experienced and professional management and property management team

The Manager believes that Unitholders will benefit from the experience of key staff members of the Manager and the Property Manager in fund, asset, development and property management in the Singapore industrial property markets.

The Executive Officers of the Manager involved in asset selection and management, being the Chief Executive Officer and Chief Operating Officer, individually have at least 7 years of direct experience in the industrial property market, and, having been actively involved in the acquisitions of 10 of the Properties from non-Sponsor related vendors over the year preceding the Listing Date, have demonstrated their ability to source for and complete acquisitions of real estate assets used for industrial purposes. The acquisition process consisted of identifying potential acquisitions, attending site visits, conducting necessary evaluations and analysis, shortlisting assets for inclusion into the portfolio of Sabana Shari’ah Compliant REIT, conducting due diligence on the shortlisted assets and negotiating with vendors on the sale and purchase of the assets. The key staff of the Property Manager have also worked closely with logistics and industrial assets for over 16 years and have intimate knowledge of the Properties acquired from Freight Links, being 33 & 35 Penjuru Lane, 18 Gul Drive, 51 Penjuru Road, 218 Pandan Loop and 30 & 32 Tuas Avenue 8 (the “Freight Links Properties”).

The management of high-tech industrial space requires similar skills to those required for managing other industrial properties. As the key staff of the Property Manager have significant experience in managing industrial properties, including the Freight Links Properties, the Manager is of the view that the key staff of the Property Manager are well equipped to manage high-tech industrial space assets.

(See “The Manager and Corporate Governance — The Manager of Sabana Shari’ah Compliant REIT — Executive Officers of the Manager — Expertise and experience of Executive Officers” and “The Property Manager — Expertise and experience of Executive Officers of the Property Manager”.)

16 Capital structure that provides stability and future financing flexibility Sabana Shari’ah Compliant REIT has in place a committed three-year secured commodity Murabaha facility of up to S$256.0 million (the “Commodity Murabaha Facility”) from The Hongkong and Shanghai Banking Corporation Limited, United Overseas Bank Limited and Malayan Banking Berhad. Sabana Shari’ah Compliant REIT will be able to draw down from the Commodity Murabaha Facility up to Listing Date. Financing cost is based on the relevant Singapore dollar swap offer rate plus an effective margin of 3.25% per annum inclusive of amortisation of an upfront arrangement fee. The Commodity Murabaha Facility is structured such that the risk-return profile replicates that of a conventional facility. Facility drawn down (S$’000) 220,563 Aggregate Leverage (%)(1) 26.5 Additional debt funded acquisitions without a credit rating (S$’000) 115,372 Additional debt funded acquisitions with a credit rating (S$’000) 740,377

Note: (1) “Aggregate Leverage” is defined as the value of borrowings and deferred payments (if any) for the assets of Sabana Shari’ah Compliant REIT, and is expressed as a percentage of the value of the Deposited Property. At the Listing Date, this would include the deferred payment of S$14.1 million on the extension to 8 Commonwealth Lane. The Manager believes that Sabana Shari’ah Compliant REIT’s capital structure provides a buffer against the Aggregate Leverage limit of 35.0% (without a credit rating) and 60.0% (with a credit rating) as set out in the CIS Code and positioning Sabana Shari’ah Compliant REIT to effectively execute future acquisitions without having to raise additional equity.

Tax benefits The Inland Revenue Authority of Singapore (“IRAS”) has issued a tax ruling on the taxation of Sabana Shari’ah Compliant REIT and its Unitholders (the “Tax Ruling”). Subject to meeting the terms and conditions of the Tax Ruling, the key tax implications on the distributions made out of the Taxable Income of Sabana Shari’ah Compliant REIT and received by certain classes of Unitholders are summarised as follows: k Qualifying Unitholders (as defined herein) and Individuals — Taxable Income will not be taxed at Sabana Shari’ah Compliant REIT’s level and Qualifying Unitholders and Individuals will receive distributions free of any Singapore income tax deducted at source; and k Qualifying Foreign Non-individual Unitholders (as defined herein) — Taxable Income will not be taxed at Sabana Shari’ah Compliant REIT’s level. However, Qualifying Foreign Non-individual Unitholders will receive distributions out of Taxable Income (made up to 31 March 20151) after tax deducted at source at the reduced rate of 10.0%. (See “Taxation” and “Independent Taxation Report”.)

1 As announced in the Singapore Budget 2010, but not yet promulgated into law.

17 CERTAIN INFORMATION ON THE PROPERTIES The table below sets out certain key information on the Properties.

Remaining Land Monthly Average Leasehold Purchase % of Total Rental per Independent Independent Independent Property GFA Tenure Price Purchase sq ft Valuation 1(2) Valuation 2(3) Valuation(4) Type No. Property Vendor (sq ft) (years)(1) (S$ million) Price (S$) (S$ million) (S$ million) (S$ million)

1. 151 Lorong Chuan, Branbury 810,710 45 305.9 35.9 2.47 — 305.9 305.9 Singapore 556741 Investments Ltd (“151 Lorong Chuan”)

2. 8 Commonwealth Lane, Utraco 161,475(5) 48(6) 70.3 8.3 2.80 — 70.5 70.5 Singapore 149555 Greentech (“8 Commonwealth Pte. Ltd. Lane”)

3. 9 Tai Seng Drive, Geo-Tele 218,905 45(7) 46.3 5.4 1.39 46.3(8) — 46.3(8) Geo-Tele Centre, Pte. Ltd.

18 High-tech Singapore 535227 Industrial (“9 Tai Seng Drive”)

4. 200 Pandan Loop, Eccott Pte Ltd 180,186 72 41.5 4.9 1.48 — 41.5 41.5 Pantech 21, Singapore 128388 (“200 Pandan Loop”)

5. 15 Jalan Kilang Barat, Ho Bee 73,928 50 34.5 4.1 2.87 — 34.5 34.5 Frontech Centre, Developments Singapore 159357 Pte Ltd (“15 Jalan Kilang Barat”) Remaining Land Monthly Average Leasehold Purchase % of Total Rental per Independent Independent Independent Property GFA Tenure Price Purchase sq ft Valuation 1(2) Valuation 2(3) Valuation(4) Type No. Property Vendor (sq ft) (years)(1) (S$ million) Price (S$) (S$ million) (S$ million) (S$ million)

6. 33 & 35 Penjuru Lane, Freight Links 286,192 38(9) 78.9 9.3 1.79 78.9 78.9 78.9 Freight Links Express Express Logisticpark, Logisticpark Singapore 609200/609202 Pte Ltd (“33 & 35 Penjuru Lane”) Chemical (10) Warehouse 7. 18 Gul Drive, LTH Logistics 132,878 28 34.1 4.0 1.71 34.2 33.9 34.1 & Logistics Singapore 629468 (Singapore) (“18 Gul Drive”) Pte Ltd

8. 1 Tuas Avenue 4, Premier G & U 160,361 37(11) 28.0 3.3 1.11 — 28.0 28.0 Singapore 639382 Districenters (“1 Tuas Avenue 4”) Pte. Ltd.

9. 34 Penjuru Lane, SB (Lakeside) 414,270 22 60.0 7.0 1.01 60.0 — 60.0

19 Penjuru Logistics Hub, Investment Singapore 609201 Pte. Ltd. (“34 Penjuru Lane”)

10. 51 Penjuru Road, Freight Links 246,376 44(7) 42.5 5.0 1.12 42.5 42.5 42.5 Freight Links Express Express Logisticentre, Logisticentre Singapore 609143 Pte Ltd (“51 Penjuru Road”)

Warehouse& 11. 26 Loyang Drive, Oxley & Hume 149,166 43(12) 32.0 3.8 1.37 32.0 — 32.0 Logistics Singapore 508970 Builders (“26 Loyang Drive”) Pte. Ltd.

12. 3 Kallang Way 2A, Fong Tat Motor 83,646 45(7) 15.0 1.8 1.16 15.0 — 15.0 Fong Tat Building, Co. Pte. Ltd. Singapore 347493 (“3 Kallang Way 2A”)

13. 218 Pandan Loop, Freight Links 50,374 39(7) 13.5 1.6 1.74 13.5 13.5 13.5 Singapore 128408 Express (“218 Pandan Loop”) Air Systems Pte Ltd Remaining Land Monthly Average Leasehold Purchase % of Total Rental per Independent Independent Independent Property GFA Tenure Price Purchase sq ft Valuation 1(2) Valuation 2(3) Valuation(4) Type No. Property Vendor (sq ft) (years)(1) (S$ million) Price (S$) (S$ million) (S$ million) (S$ million)

14. 123 Genting Lane, Yenom Industries 158,907 31 24.5 2.8 1.02 24.5 — 24.5 Yenom Industrial Pte Ltd Building, Singapore 349574 General (“123 Genting Lane”) Industrial 15. 30 & 32 Tuas Avenue 8, Freight Links 158,846 46(7) 24.0 2.8 1.00 24.0 24.0 24.0 Singapore 639246/639247 Fabpark (“30 & 32 Tuas Pte. Ltd. Avenue 8”)

Total/weighted average 3,286,220 41(13) 851.0 100.0 851.2

Notes: 20 (1) As of 30 September 2010. (2) Independent valuation conducted by Cushman & Wakefield VHS Pte. Ltd. (“C&W”). (3) Independent valuation conducted by CKS Property Consultants Pte Ltd (“CKS”). (4) Average Independent Valuation refers to the average of the two valuations conducted by C&W (the independent valuer appointed by the Manager) and CKS (the independent valuer appointed by the Trustee) (together, the “Independent Valuers”), where applicable, in respect of each of the Freight Links Properties. (5) Includes 32,394 sq ft extension to the Property. (6) Includes an option for Sabana Shari’ah Compliant REIT to renew the land lease term for a further term of 23 years upon expiry. (7) Includes an option for Sabana Shari’ah Compliant REIT to renew the land lease term for a further term of 30 years upon expiry. (8) Includes an aggregate rental support of S$6.3 million (with a present value of S$5.1 million) provided by the Vendor for 9 Tai Seng Drive which can be drawn down over five years from the Listing Date. (9) Includes an option for Sabana Shari’ah Compliant REIT to renew the land lease term for a further term of 31 years upon expiry. (10) Includes an option for Sabana Shari’ah Compliant REIT to renew the land lease term for a further term of 20 years upon expiry. (11) Includes an option for Sabana Shari’ah Compliant REIT to renew the land lease term for a further term of 21 years and 4 months upon expiry. (12) Includes an option for Sabana Shari’ah Compliant REIT to renew the land lease term for a further term of 18 years upon expiry. (13) Weighted by GFA. The following map illustrates the locations of the Properties throughout Singapore.

Strategic Location of the Properties

MRT station Malaysia – Singapore Causeway Expressway High-tech Industrial 1 151 Lorong Chuan MRT Line 2 8 Commonwealth Lane 3 9 Tai Seng Drive 4 200 Pandan Loop 5 15 Jalan Kilang Barat Chemical Warehouse & Logistics 6 33 & 35 Penjuru Lane 7 18 Gul Drive 8 1 Tuas Ave 4 13 Warehouse & Logistics Malaysia – Singapore 9 34 Penjuru Lane Pasir Ris Second Link 10 51 Penjuru Road 21 1 11 3 Kallang Way 2A Tai Seng Lorong Chuan 12 218 Pandan Loop 14 3 Changi 13 26 Loyang Drive 11 MacPherson International Airport General Industrial Joo Koon 15 Clementi 14 123 Genting Lane 8 7 15 30 & 32 Tuas Avenue 8 2 10 12 4

6 9 Commonwealth Jurong Port Redhill

Pasir Panjang Terminal 5

Keppel Terminal DEEMED APPROVAL Unitholders should note that the entry into, and the fees, charges and rents payable by Sabana Shari’ah Compliant REIT pursuant to, the Exempted Agreements (as defined herein) are deemed to have been specifically approved by the Unitholders upon subscription for the Units and are therefore not subject to Rules 905 and 906 of the Listing Manual of the SGX- ST (the “Listing Manual”) for the period stated in the relevant agreement to the extent that there is no subsequent change to the rates and/or bases of the fees charged thereunder which will adversely affect Sabana Shari’ah Compliant REIT. (See “The Manager and Corporate Governance — Related Party Transactions — Exempted Agreements” for further details.) By subscribing for the Units under the Offering, investors are also deemed to have (i) approved the issuance of all Units comprised in the Offering, the Sponsor Units, the Cornerstone Units and all the Units which may be issued to the Manager from time to time in full or part payment of the Manager’s fees and (ii) given the Manager a Unit issue mandate on the terms and for the duration set out in the section entitled “The Formation and Structure of Sabana Shari’ah Compliant Real Estate Investment Trust — Unit Issue Mandate”.

CERTAIN FEES AND CHARGES The following is a summary of the amounts of certain fees and charges payable by the Unitholders in connection with the subscription for or trading of the Units (so long as the Units are listed): Payable by the Unitholders directly Amount payable (a) Subscription fee or preliminary charge N.A.(1) (b) Realisation fee N.A.(1) (c) Switching fee N.A.(1) (d) Any other fee Prevailing brokerage commissions (if applicable) and clearing fee for trading of Units on the SGX-ST at the rate of 0.04% of the transaction value, subject to a maximum of S$600.00 per transaction and Goods and Services Tax (“GST”) chargeable thereon. Investors in the Placement Tranche may be required to pay brokerage of up to 1.0% of the Offering Price.

Note: (1) As the Units will be listed and traded on the SGX-ST,and Unitholders will have no right to request the Manager to redeem their Units while the Units are listed, no subscription fee, preliminary charge, realisation fee or switching fee is payable in respect of the Units.

22 The following is a summary of certain fees and charges payable by Sabana Shari’ah Compliant REIT in connection with the establishment and ongoing management and operation of Sabana Shari’ah Compliant REIT:

Payable by Sabana Shari’ah Compliant REIT Amount payable (a) Management fee (payable to the Manager or Base Fee its nominee) A fee not exceeding the rate of 0.5% per annum of the value of the Deposited Property. Performance Fee 0.5% per annum (or such lower percentage as may be determined by the Manager in its absolute discretion) of Sabana Shari’ah Compliant REIT’s Net Property Income (as defined herein) in the relevant financial year, provided Sabana Shari’ah Compliant REIT achieves at least 10.0% in annual growth in DPU over the previous financial year1 (calculated after accounting for the performance fee (if any) for that financial year and after adjusting, at the discretion of the Manager, for any new Units arising from the conversion or exercise of any instruments convertible into Units which are outstanding at the time of calculation, and any rights or bonus issue, consolidation, subdivision or buy-back of Units). For illustration purposes If the DPU in the preceding financial year is 10.0 Singapore cents per Unit, and the Net Property Income per Unit in the current financial year is 20.0 Singapore cents per Unit, then the Performance Fee would only be payable if the DPU for the current financial year is at least 11.1 Singapore cents, based on the calculation below: A = (B x (1 + 10%)) + C = (10.0 x (1 + 10%)) + (20.0 x 0.5%) = 11.1 Singapore cents Where: A = DPU for the current financial year to be achieved in order for the performance fee to be payable B = DPU for the preceding financial year, before deducting the performance fee payable, if any, for that financial year

1 The DPU in the previous financial year is calculated before accounting for the performance fee (if any) payable for that financial year.

23 Payable by Sabana Shari’ah Compliant REIT Amount payable C = Performance Fee per Unit for the current financial year (0.5% of Net Property Income per Unit for the current financial year) In the above illustration, the Performance Fee would only be payable in the current financial year if the DPU for the current financial year is at least 11.0% higher than the DPU for the preceding financial year. The Manager may elect to receive the base fee and performance fee in cash or Units or a combination of cash and Units (as it may in its sole discretion determine). The Manager has elected to receive 80.0% of the base fee in the form of Units for the Forecast Year 2011 and the Projection Year 2012 and (if payable) 80.0% of the performance fee in the form of Units for the Projection Year 2012, except that where the issue price (which is equal to the Market Price (as defined herein) of each Unit) is at a discount of at least 20.0% to the NAV per Unit, the Manager shall receive the base fee for the Forecast Year 2011 and the Projection Year 2012 and (if payable) the performance fee for the Projection Year 2012 wholly in the form of cash.

(b) Trustee’s fee The Trustee’s fee is currently 0.04% per annum of the value of the Deposited Property, subject to a minimum of S$25,000 per month (maximum of 0.25% per annum of the value of the Deposited Property), excluding out-of- pocket expenses and GST. The actual fee payable will be determined between the Manager and the Trustee from time to time. The Trustee will also be paid a one-time inception fee of S$40,000.

24 Payable by Sabana Shari’ah Compliant REIT Amount payable (c) Any other substantial fee or charge (i.e. 0.1% or more of Sabana Shari’ah Compliant REIT’s asset value)

(i) Acquisition fee (payable to the Manager 1.0% (or such lower percentage as may be or its nominee) determined by the Manager in its absolute discretion) of each of the following as is applicable (subject to there being no double- counting):

k in relation to an acquisition (whether directly or indirectly through one or more special purpose vehicles (“SPV”) of Sabana Shari’ah Compliant REIT) of any real estate, the acquisition price of any real estate purchased by Sabana Shari’ah Compliant REIT, plus any other payments1 in addition to the acquisition price made by Sabana Shari’ah Compliant REIT or its SPVs to the vendor in connection with the purchase of the real estate (pro rated if applicable to the proportion of Sabana Shari’ah Compliant REIT’s interest);

k in relation to an acquisition (whether directly or indirectly through one or more SPVs of Sabana Shari’ah Compliant REIT) of any SPVs or holding entities which holds real estate, the underlying value of any real estate which is taken into account when computing the acquisition price payable for the acquisition from the vendor of the equity interests of any vehicle holding directly or indirectly the real estate purchased by Sabana Shari’ah Compliant REIT, plus any additional payments made by Sabana Shari’ah Compliant REIT or its SPVs to the vendor in connection with the purchase of such equity interests) (pro rated if applicable to the proportion of Sabana Shari’ah Compliant REIT’s interest); or

k the acquisition price of any investment by Sabana Shari’ah Compliant REIT, whether directly or indirectly through one or more SPVs, in any debt securities of any property corporation or other SPV owning or acquiring real estate.

1 “Other payments” refers to additional payments to the vendor of the asset, for example, where the vendor has already made certain payments for enhancements to the asset, and the value of the asset enhancements is not reflected in the acquisition price as the asset enhancements are not completed, but “other payments” do not include stamp duty or other payments to third party agents and brokers.

25 Payable by Sabana Shari’ah Compliant REIT Amount payable For the purpose of the acquisition fee, equity interests include all classes and types of equity securities relating to real estate which shall, for the avoidance of doubt, exclude any investment in debt securities of any property corporation or other SPV owning or acquiring real estate. The acquisition fee is payable to the Manager in the form of cash and/or Units (as the Manager may elect). Under the Property Funds Appendix, in respect of any acquisition of real estate assets from interested parties, such a fee should be in the form of Units issued by Sabana Shari’ah Compliant REIT at prevailing market price(s). Such Units should not be sold within one year from the date of their issuance. For the avoidance of doubt, no acquisition fee is payable for the acquisition of the Properties from the Sponsor in connection with the Offering. However, the acquisition fee is payable for the remaining Properties. Any payment to third party agents or brokers1 in connection with the acquisition of any assets of Sabana Shari’ah Compliant REIT shall be paid by the Manager to such persons out of the Deposited Property of Sabana Shari’ah Compliant REIT or the assets of the relevant SPV, and not out of the acquisition fee received or to be received by the Manager.

(ii) Divestment fee (payable to the Manager 0.5% (or such lower percentage as may be or its nominee) determined by the Manager in its absolute discretion) of each of the following as is applicable (subject to there being no double- counting):

k the sale price of any real estate sold or divested, whether directly or indirectly through one or more SPVs, by Sabana Shari’ah Compliant REIT (plus any other payments2 in addition to the sale price received by Sabana Shari’ah Compliant REIT or its SPVs from the purchaser in connection with the sale or divestment of the real estate) (pro rated if applicable to the proportion of Sabana Shari’ah Compliant REIT’s interest);

1 These third party agents and brokers perform a separate role from the Manager to source for potential vendors in connection with the acquisition of properties by Sabana Shari’ah Compliant REIT. 2 “Other payments” refers to additional payments to Sabana Shari’ah Compliant REITor its SPVs for the sale of the asset, for example, where Sabana Shari’ah Compliant REIT or its SPVs have already made certain payments for enhancements to the asset, and the value of the asset enhancements is not reflected in the sale price as the asset enhancements are not completed, but do not include stamp duty or other payments to third party agents and brokers.

26 Payable by Sabana Shari’ah Compliant REIT Amount payable

k the underlying value of any real estate- related assets which is taken into account when computing the sale price for such real estate-related assets, sold or divested, whether directly or indirectly through one or more SPVs, by Sabana Shari’ah Compliant REIT (pro rated if applicable to the proportion of Sabana Shari’ah Compliant REIT’s interest); or

k the sale price of any investment by Sabana Shari’ah Compliant REIT, whether directly or indirectly through one or more SPVs, in any debt securities of any property corporation or other SPVs owning or acquiring real estate. For the purpose of the divestment fee, equity interests include all classes and types of equity securities relating to real estate which shall, for the avoidance of doubt, exclude any investment in debt securities of any property corporation or other SPV owning or acquiring real estate. The divestment fee is payable to the Manager in the form of cash and/or Units (as the Manager may elect). Under the Property Funds Appendix, in respect of any sale or divestment of real estate assets to interested parties, such a fee should be in the form of Units issued by Sabana Shari’ah Compliant REIT at prevailing market price(s). Such Units should not be sold within one year from date of their issuance. Any payment to third party agents or brokers1 in connection with the disposal of any assets of Sabana Shari’ah Compliant REIT shall be paid by the Manager to such persons out of the Deposited Property of Sabana Shari’ah Compliant REIT or the assets of the relevant SPV, and not out of the divestment fee received or to be received by the Manager.

1 These third party agents and brokers perform a separate role from the Manager to source for potential purchasers in connection with the divestment of properties by Sabana Shari’ah Compliant REIT.

27 Payable by Sabana Shari’ah Compliant REIT Amount payable (iii) Property management fee (payable to the The Property Manager is entitled to the Property Manager) following fees on each property of Sabana Shari’ah Compliant REIT located in Singapore under its management:

k a property management fee of 2.0% per annum of Gross Revenue of each property; and

k a lease management fee of 1.0% per annum of Gross Revenue of each property. No lease management fee is payable in relation to the Properties for the first three years of the initial contracted lease. The property management fee and the lease management fee are payable to the Property Manager in the form of cash.

(d) Shari’ah consultancy fees (payable to the An inception fee of US$70,000 and an annual Shari’ah Adviser) fee (comprising an annual audit fee and additional fees as may be charged by the members of the Independent Shari’ah Committee) of between US$45,000 and US$120,000 per annum. In addition, the Shari’ah Adviser shall be reimbursed for all reasonable costs and out-of-pocket expenses1 incurred with the prior approval of the Manager in relation to the Shari’ah Adviser’s performance of the services set out in the Shari’ah consultancy agreement.

1 “Reasonable costs and out-of-pocket expenses” include the travel and accommodation costs and other expenses incurred in connection with the Shari’ah Adviser attending any road-shows, analyst meetings or annual general meetings of Sabana Shari’ah Compliant REIT (whether locally or overseas).

28 THE OFFERING

Sabana Shari’ah Compliant Sabana Shari’ah Compliant Industrial Real Estate REIT Investment Trust, a REIT established in Singapore and constituted by the Trust Deed.

The Manager Sabana Real Estate Investment Management Pte. Ltd.

The Sponsor Freight Links Express Holdings Limited

The Trustee HSBC Institutional Trust Services (Singapore) Limited

The Offering 507,995,445 Units offered under the Placement Tranche and the Public Offer.

The Placement Tranche 432,495,445 Units offered by way of an international placement to investors, including institutional and other investors in Singapore other than the Cornerstone Investors, pursuant to the Offering. The Units have not been and will not be registered under the Securities Act and, accordingly, may not be offered or sold within the United States except in certain transactions exempt from the registration requirements of the Securities Act. The Units are being offered and sold in offshore transactions as defined in and in reliance on Regulation S.

The Public Offer (including 75,500,000 Units offered by way of a public offer in Reserved Units) Singapore including the Reserved Units.

Clawback and Re-allocation The Units may be re-allocated between the Placement Tranche and the Public Offer at the discretion of the Joint Bookrunners (in consultation with the Manager), in the event of an excess of applications in one and a deficit in the other.

Reserved Units 50,000,000 Units reserved for subscription by the directors, management, employees and business associates of SIP (including its shareholders the Sponsor, Blackwood, TCP and their subsidiaries).

In the event that any of the Reserved Units are not subscribed for, they will be made available to satisfy excess applications (if any) under the Public Offer and/ or the Placement Tranche.

Subscription by Freight Links Concurrently with, but separate from the Offering, Singapore Enterprises, a direct wholly-owned subsidiary of the Sponsor has entered into a subscription agreement to subscribe for 27,000,000 Units at the Offering Price, conditional upon the Underwriting Agreement having been entered into, and not having been terminated, pursuant to its terms on or prior to the Settlement Date.

Subscription by the Cornerstone Concurrently with, but separate from the Offering, each of Investors the Cornerstone Investors has entered into a subscription agreement to subscribe for an aggregate of 97,804,555 Units at the Offering Price, conditional upon the Underwriting Agreement having been entered into, and

29 not having been terminated, pursuant to its terms on or prior to the Settlement Date. (See “Ownership of the Units — Information on Cornerstone Investors”.) Offering Price S$1.05 per Unit. Subscription for Units in the Investors applying for Units by way of Application Forms or Public Offer Electronic Applications (both as referred to in Appendix H, “Terms, Conditions and Procedures for Application for and Acceptance of the Units in Singapore”) in the Public Offer will pay the Offering Price on application, subject to a refund of the full amount or, as the case may be, the balance of the application monies (in each case, without interest or any share of revenue or other benefit arising therefrom) where: (i) an application is rejected or accepted in part only; or (ii) the Offering does not proceed for any reason. For the purpose of illustration, an investor who applies for 1,000 Units at the Offering Price by way of an Application Form or an Electronic Application under the Public Offer will have to pay S$1,050, which is subject to a refund of the full amount or the balance thereof (without interest or any share of revenue or other benefit arising therefrom), as the case may be, upon the occurrence of any of the foregoing events. Investors who are members of the CPF in Singapore may use their CPF Ordinary Account savings to purchase Units. The minimum initial subscription is for 1,000 Units. An applicant may subscribe for a larger number of Units in integral multiples of 1,000. Investors in Singapore must follow the application procedures set out in Appendix H, “Terms, Conditions and Procedures for Application for and Acceptance of the Units in Singapore”. Subscriptions under the Public Offer must be paid for in Singapore dollars. No fee is payable by applicants for the Units, save for an administration fee for each application made through automated teller machines and the internet banking websites of the Participating Banks (as defined herein). Lock-ups The Sponsor has agreed to (i) a lock-up arrangement during the period commencing from the date of Issuance of the Units until the date falling 180 days after the Listing Date (both dates inclusive) (the “First Lock-up Period”) in respect of all of the Units which will be directly or indirectly held by the Sponsor on the Listing Date (the “Lock-up Units”) and (ii) a lock-up arrangement during the period commencing from the day immediately following the First Lock-up Period until the date falling 360 days after the Listing Date (the “Second Lock-up Period”) in

30 respect of 50.0% of the Lock-up Units, subject to certain exceptions. The Manager has also undertaken not to, inter alia, offer, issue or contract to issue any Units, or make any public announcements in connection with any of the foregoing transactions, during the First Lock-Up Period, subject to certain exceptions. (See “Plan of Distribution — Lock-up Arrangements”.) Capitalisation S$885.0 million (see “Capitalisation”). Use of Proceeds See “Use of Proceeds”. Listing and Trading Prior to the Offering, there was no market for the Units. Application has been made to the SGX-ST for permission to list on the Main Board of the SGX-ST:

k all the Units comprised in the Offering;

k all the Sponsor Units;

k all the Cornerstone Units; and

k all the Units which may be issued to the Manager from time to time in full or part payment of the Manager’s fees (including Units issued to the Manager for the acquisition fees and divestment fees) (see “The Manager and Corporate Governance — Manager’s Fees”). Such permission will be granted when Sabana Shari’ah Compliant REIT is admitted to the Official List of the SGX-ST. The Units will, upon their issue, be listed and quoted on the SGX-ST and will be traded in Singapore dollars under the book-entry (scripless) settlement system of The Central Depository (Pte) Limited (“CDP”). The Units will be traded in board lot sizes of 1,000 Units. No Redemption by Unitholders Unitholders have no right to request the Manager to redeem their Units while the Units are listed. Unitholders may only deal in their listed Units through trading on the SGX-ST. Listing of the Units on the SGX-ST does not guarantee a liquid market for the Units. Distribution Policy Distributions from Sabana Shari’ah Compliant REIT to Unitholders will be computed based on 100.0% of Sabana Shari’ah Compliant REIT’s Taxable Income and tax-exempt income, if any (after deduction of applicable expenses) for the period from the Listing Date to 31 December 2012. Thereafter, Sabana Shari’ah Compliant REIT will distribute at least 90.0% of its Taxable Income and tax-exempt income, if any (after deduction of applicable expenses). Distributions shall be made on a quarterly basis. The first distribution, which will be in respect of the period from the Listing Date to 31 March 2011 and will be paid by the Manager on or before 29 June 2011. (See “Distributions”.)

31 Tax Considerations Sabana Shari’ah Compliant REIT has obtained a Tax Ruling from the IRAS in relation to its income from the investment in properties in Singapore. The Tax Ruling grants tax transparency to Sabana Shari’ah Compliant REIT on its Taxable Income that is distributed to Unitholders such that the Trustee of Sabana Shari’ah Compliant REIT will not be taxed on such Taxable Income. This is on the condition that at least 90.0% of such income is distributed in the year in which the income is derived. Instead, tax will be imposed on the distributions made out of such Taxable Income to the Unitholders, by way of tax deduction at source. However, where the beneficial owners are individuals or Qualifying Unitholders, the Trustee and the Manager will make the distributions to such Unitholders without deducting any income tax at the time of distribution. In addition, where the beneficial owners are Qualifying Foreign Non- Individual Unitholders, the Trustee and the Manager will deduct Singapore income tax at the reduced rate of 10.0% for distributions made until 31 March 20151. Apart from its Taxable Income, Sabana Shari’ah Compliant REIT also has other income which has Singapore income tax consequences for both the Trustee and the Unitholders. (See “Taxation”.) Termination of Sabana Shari’ah Sabana Shari’ah Compliant REITcan be terminated by the Compliant REIT Manager or the Trustee under certain circumstances specified in the Trust Deed, for example, if Sabana Shari’ah Compliant REIT is delisted permanently from the SGX-ST or in accordance with the SFA. (See “The Formation and Structure of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust — Termination of Sabana Shari’ah Compliant REIT”.) Governing Law The Trust Deed is governed by Singapore law. Commission Payable by Sabana Maximum of 3.5% (inclusive of a maximum of 0.5% Shari’ah Compliant REIT to the discretionary incentive fee), of the total proceeds of the Joint Bookrunners and the Sole Offering and the proceeds raised from the issuance of Financial Adviser Cornerstone Units. The discretionary incentive fee is payable at the Manager’s discretion. (See “Plan of Distribution — Issue Expenses”.) Risk Factors Prospective investors should carefully consider certain risks connected with an investment in the Units, as discussed under “Risk Factors”.

1 As announced in the Singapore Budget 2010, but not yet promulgated into law.

32 INDICATIVE TIMETABLE An indicative timetable for the Offering is set out below for the reference of applicants for the Units: Date and time Event 22 November 2010 at 6.00 p.m. Opening date and time for the Offering. 24 November 2010 at 6.00 p.m. Closing date and time for the Offering. 25 November 2010 Balloting of applications under the Offering, if necessary. Commence returning or refunding of application monies to unsuccessful or partially successful applicants and commence returning or refunding of application monies to successful applicants for the amount paid in excess of the Offering Price, if necessary. 26 November 2010 at or before 2.00 p.m. Completion of the acquisition of the Properties. 26 November 2010 at 2.00 p.m. Commence trading on a “ready” basis. 1 December 2010 Settlement date for all trades done on a “ready” basis on 26 November 2010. The above timetable is indicative only and is subject to change. It assumes: k that the closing of the application list relating to the Public Offer (the “Application List”) is 24 November 2010; k that the Listing Date is 26 November 2010; k compliance with the SGX-ST’s unitholding spread requirement; and k that the Units will be issued and fully paid up prior to 2.00 p.m. on 26 November 2010. All dates and times referred to above are Singapore dates and times. Trading in the Units through the SGX-ST on a “ready” basis will commence at 2.00 p.m. on 26 November 2010 (subject to the SGX-ST being satisfied that all conditions necessary for the commencement of trading in the Units through the SGX-ST on a “ready” basis have been fulfilled). The completion of the acquisition of the Properties is expected to take place at or before 2.00 p.m. on 26 November 2010 (see “Certain Agreements Relating to Sabana Shari’ah Compliant Industrial Real Estate Investment Trust and the Properties”). If Sabana Shari’ah Compliant REIT is terminated by the Manager or the Trustee under the circumstances specified in the Trust Deed prior to, or the acquisition of the Properties is not completed by, 2.00 p.m. on 26 November 2010 (being the time and date of commencement of trading in the Units through the SGX-ST), the Offering will not proceed and the application monies will be returned in full (without interest or any share of revenue or other benefit arising therefrom and at each applicant’s own risk and without any right or claim against Sabana Shari’ah Compliant REIT, the Manager, the Trustee, the Sole Financial Adviser, the Joint Bookrunners or the Sponsor). In the event of any early or extended closure of the Application List or the shortening or extension of the time period during which the Offering is open, the Manager will publicly announce the same: k via SGXNET,with the announcement to be posted on the internet at the SGX-ST website: http://www.sgx.com; and k in one or more major Singapore newspapers, such as The Straits Times, The Business Times, Lianhe Zaobao and Berita Harian.

33 For the date on which trading on a “ready” basis will commence, investors should monitor SGXNET, the major Singapore newspapers, or check with their brokers. The Manager will provide details and results of the Public Offer through SGXNET and in one or more major Singapore newspapers, such as The Straits Times, The Business Times, Lianhe Zaobao and Berita Harian. The Manager reserves the right to reject or accept, in whole or in part, or to scale down or ballot any application for Units, without assigning any reason, and no enquiry and/or correspondence on the decision of the Manager will be entertained. In deciding the basis of allotment, due consideration will be given to the desirability of allotting the Units to a reasonable number of applicants with a view to establishing an adequate market for the Units. Where an application is accepted or rejected in part only or if the Offering does not proceed for any reason, the full amount or the balance of the application monies, as the case may be, will be refunded (without interest or any share of revenue or other benefit arising therefrom) to the applicant, at his own risk and without any right or claim against Sabana Shari’ah Compliant REIT, the Manager, the Trustee, the Sole Financial Adviser, the Joint Bookrunners or the Sponsor. Where an application is not successful, the refund of the full amount of the application monies (without interest or any share of revenue or other benefit arising therefrom) to the applicant, is expected to be completed, at his own risk and without any right or claim against Sabana Shari’ah Compliant REIT, the Manager, the Trustee, the Sole Financial Adviser, the Joint Bookrunners or the Sponsor, within 24 hours after balloting (provided that such refunds in relation to applications in Singapore are made in accordance with the procedures set out in Appendix H, “Terms, Conditions and Procedures for Application for and Acceptance of the Units in Singapore”). Where an application is accepted in full or in part only, any balance of the application monies will be refunded (without interest or any share of revenue or other benefit arising therefrom) to the applicant, at his own risk and without any right or claim against Sabana Shari’ah Compliant REIT, the Manager, the Trustee, the Sole Financial Adviser, the Joint Bookrunners or the Sponsor, within 14 Market Days (as defined herein) after the close of the Offering (provided that such refunds in relation to applications in Singapore are made in accordance with the procedures set out in Appendix H, “Terms, Conditions and Procedures for Application for and Acceptance of the Units in Singapore”). Where the Offering does not proceed for any reason, the full amount of application monies (without interest or any share of revenue or other benefit arising therefrom) will, within three Market Days after the Offering is discontinued, be returned to the applicants at their own risk and without any right or claim against Sabana Shari’ah Compliant REIT,the Manager,the Trustee, the Sole Financial Adviser, the Joint Bookrunners or the Sponsor (provided that such refunds in relation to applications in Singapore are made in accordance with the procedures set out in Appendix H, “Terms, Conditions and Procedures for Application for and Acceptance of the Units in Singapore”).

34 UNAUDITED PRO FORMA BALANCE SHEET AS AT THE LISTING DATE The following table is only an extract from, and should be read together with, “Unaudited Pro Forma Balance Sheet as at the Listing Date”, the report set out in Appendix B, “Independent Accountants’ Report on the Unaudited Pro Forma Balance Sheet as at the Listing Date” and Appendix C, “Unaudited Pro Forma Balance Sheet as at the Listing Date”. As at Listing Date (S$’000)(1) Non-current assets Investment properties(2) ...... 846,050 Intangible asset(3) ...... 5,100 851,150 Current assets Other receivables(4) ...... 2,421 Cash and cash equivalents ...... 31,065 33,486 Total assets ...... 884,636 Non-current liabilities Other payables(5)...... 11,108 Borrowings(6) ...... 215,126 226,234 Current liabilities Other payables(5)...... 30,633 Total liabilities ...... 256,867 Net assets ...... 627,769 Represented by: Unitholders’ funds ...... 627,769 Units in issue (’000)(7) ...... 632,800 NAV per Unit (S$) ...... 0.99 Notes: (1) Based on the Offering Price of S$1.05 per Unit. (2) Comprises investment properties, initially recorded at the acquisition values and, adjusted to the appraisal values based on the independent valuation reports prepared by the independent valuers appointed by the Manager and the Trustee. (3) Represents the present value of unamortised income support received by Sabana Shari’ah Compliant REIT under the purchase agreement entered into with Geo-Tele Pte. Ltd.. (4) Comprises prepaid insurance and GSTclaimable on the Offering’s transaction cost, assuming that the costs are invoiced to Sabana Shari’ah Compliant REIT no earlier than six months preceding Sabana Shari’ah Compliant REIT’s GST registration date. (5) Comprises rental income received in advance, security deposits, retention sum and other liabilities. (6) Comprises principal amount of borrowings of S$220.6 million under the Commodity Murabaha Facility, after deducting unamortised capitalised upfront arrangement fees and debt counsel fees amounting to a total of S$5.4 million. The Commodity Murabaha Facility is a non-derivative financial liability measured at amortised cost calculated using the effective rate of return method. (7) “Units in issue” refers to the number of Units in issue immediately after the completion of the Offering.

35 PROFIT FORECAST AND PROFIT PROJECTION The following is an extract from “Profit Forecast and Profit Projection”. Statements contained in the Profit Forecast and Profit Projection section that are not historical facts may be forward- looking statements. Such statements are based on the assumptions set forth in “Profit Forecast and Profit Projection” and are subject to certain risks and uncertainties which could cause actual results to differ materially from those forecast and projected. Under no circumstances should the inclusion of such information herein be regarded as a representation, warranty or prediction with respect to the accuracy of the underlying assumptions by any of Sabana Shari’ah Compliant REIT, the Manager, the Trustee, the Sole Financial Adviser, the Joint Bookrunners, the Sponsor or any other person, or that these results will be achieved or are likely to be achieved. (See “Forward-looking Statements” and “Risk Factors”.) Investors in the Units are cautioned not to place undue reliance on these forward-looking statements which are made only as of the date of this Prospectus. None of Sabana Shari’ah Compliant REIT, the Manager, the Trustee, the Sole Financial Adviser, the Joint Bookrunners or the Sponsor guarantees the performance of Sabana Shari’ah Compliant REIT, the repayment of capital or the payment of any distributions, or any particular return on the Units. The forecast and projected yields stated in the following table are calculated based on: k the Offering Price; and k the assumption that the Listing Date is 1 November 2010. Such yields will vary accordingly if the Listing Date is after 1 November 2010, or for investors who purchase Units in the secondary market at a market price that differs from the Offering Price.

36 The following table shows Sabana Shari’ah Compliant REIT’s forecast and projected Statements of Total Return for the Forecast Year 2011 and the Projection Year 2012. The financial year end of Sabana Shari’ah Compliant REIT is 31 December. The forecast and projected results for the Forecast Year 2011 and the Projection Year 2012 (the “Profit Forecast and Profit Projection”) may be different to the extent that the actual date of issuance of Units is other than 1 November 2010, being the assumed date of the issuance of Units for the Offering. The Profit Forecast and Profit Projection are based on the assumptions set out in “Profit Forecast and Profit Projection” and have been examined by the Independent Reporting Accountants (as defined herein), being KPMG LLP, and should be read together with the report set out in Appendix A, “Independent Accountants’ Report on the Profit Forecast and Profit Projection”, as well as the assumptions and the sensitivity analysis set out in “Profit Forecast and Profit Projection”.

Forecast and Projected Statements of Total Return The forecast and projected statements of total return are as follows: Forecast Year 2011 Projection Year 2012 (S$’000) (S$’000) Gross revenue ...... 68,871 68,889 Property expenses ...... (2,711) (2,734) Net Property Income ...... 66,160 66,155 Finance cost...... (10,106) (10,106) Finance income ...... 143 98 Manager’s management fees ...... (4,415) (4,358) Trustee’s fee ...... (353) (349) Donation of non-Shari’ah compliant income(1)...... (134) (134) Other trust expenses ...... (2,506) (2,717) Total return before tax and distribution .. 48,789 48,589 Income tax expense...... — — Total return after tax attributable to Unitholders and before distribution.... 48,789 48,589 Distribution adjustments(2) ...... 6,077 6,773 Income available for distribution ...... 54,866 55,362 Distribution ratio ...... 100.0% 100.0% Distribution income ...... 54,866 55,362 Weighted average Units entitled to distribution (’000)(3)...... 635,466 638,800 DPU (cents) ...... 8.63 8.67 Issue Price (S$) ...... 1.05 1.05 Distribution yield ...... 8.22% 8.25% Notes: (1) Represents no more than 0.3% of Gross Revenue, arising from non-Shari’ah compliant activities of two tenants. (2) Comprise the portion of management fees paid in Units, donation of non-Shari’ah compliant income, amortisation of capitalised debt upfront fees incurred on the Commodity Murabaha Facility, straight-lining adjustments on rental income for accounting purposes, amortisation of intangible asset, Trustee’s fees and other expenses which are non-deductible for tax purposes. (3) Includes Units to be issued in partial payment of management fees, which are assumed to be issued at the Offering Price.

37 RISK FACTORS Prospective investors should consider carefully, together with all other information contained in this Prospectus, the factors described below before deciding to invest in the Units. This Prospectus also contains forward-looking statements (including profit forecasts and profit projections) that involve risks, uncertainties and assumptions. The actual results of Sabana Shari’ah Compliant REIT could differ materially from those anticipated in these forward-looking statements as a result of certain factors, including the risks faced by Sabana Shari’ah Compliant REIT as described below and elsewhere in this Prospectus. As an investment in a REIT is meant to produce returns over the long term, investors should not expect to obtain short-term gains. Investors should be aware that the price of Units, and the income from them, may fall or rise. Investors should note that they may not get back their original investment. Before deciding to invest in the Units, prospective investors should seek professional advice from their relevant advisers about their particular circumstances.

RISKS RELATING TO SHARI’AH COMPLIANCE Any potential or future cleansing of income from non-Shari’ah compliant sources and non-core activities may lead to losses in cash and DPU relative to conventional REITs. The Shari’ah Guidelines require the income of Sabana Shari’ah Compliant REIT that is generated from non-Shari’ah compliant sources and non-core activities to be subjected to a cleansing process, which involves Sabana Shari’ah Compliant REIT allocating all net income generated from non-Shari’ah compliant sources and non-core activities to be donated to charitable organisations or purposes before distributions are made to the Unitholders. The amount to be subjected to the cleansing process is calculated based on income derived from non-Shari’ah compliant sources or non-core activities net of all expenses derived from and/or allocated to the non-Shari’ah compliant source or non-core activity.1 The cleansing process will apply irrespective of whether the amount of income generated from non-Shari’ah compliant sources exceeds the amount permissible under the Shari’ah Guidelines for Sabana Shari’ah Compliant REIT to maintain its Shari’ah compliant status. When determining the income to be subjected to the cleansing process, the Manager may need to make certain assumptions. For example, if there is any doubt by the Manager or the Independent Shari’ah Committee as to whether certain income received by Sabana Shari’ah Compliant REIT is derived from non- Shari’ah compliant sources, the Manager shall subject such income to the cleansing process. Also, in the case of income derived from both Shari’ah compliant sources and non-Shari’ah compliant sources, if the Manager is unable to determine the proportion of such income which is attributable to the Shari’ah compliant source and the non-Shari’ah compliant source, the Manager may be required to assume that the entire amount of income should be subjected to the cleansing process. (See “Shari’ah Compliance of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust — Shari’ah Guidelines — Cleansing Process for Income from Non- Shari’ah Compliant Sources or Non-core Activities”.) In light of the requirement to subject Sabana Shari’ah Compliant REIT’s income which is derived from non-Shari’ah compliant sources and income from non-core activities to the cleansing process, there may be less income available for distribution by Sabana Shari’ah Compliant REIT to Unitholders. Also, the cleansing process imposes additional compliance and administrative costs which shall be borne by Sabana Shari’ah Compliant REIT.Furthermore, the loss of income associated with such cleansing process may be disproportionately large if the Manager is unable to determine the proportion of income which is attributable to the non-Shari’ah compliant source.

1 The non-Shari’ah compliant income comprises no more than 0.3% of Gross Revenue for Forecast Year 2011. Therefore, at least 99.7% of the Gross Revenue of the property portfolio is Shari’ah compliant.

38 As a result, Sabana Shari’ah Compliant REIT’s cash flow and the amount of funds available for distribution to Unitholders could be adversely affected.

Sabana Shari’ah Compliant REIT may not be able to maintain its Shari’ah compliant status. A critical component for any Shari’ah compliant or Islamic finance product is the Shari’ah certification by a panel of Shari’ah scholars. The Independent Shari’ah Committee will convene periodically (at least once annually) to deliberate over the compliance of Sabana Shari’ah Compliant REIT and decide whether to issue the Shari’ah Certification confirming Sabana Shari’ah Compliant REIT’s Shari’ah compliant status. In the event that Sabana Shari’ah Compliant REIT breaches any of the Shari’ah Guidelines, for example, where the total rental derived from tenants and/or sub-tenants that are engaged in Non-permissible Activities exceeds 5.0% per annum of the Gross Revenue of Sabana Shari’ah Compliant REIT’s portfolio of properties, the Independent Shari’ah Committee may, at its discretion based on consensus and discussion with the Manager, grant an agreed time frame for Sabana Shari’ah Compliant REIT to rectify such breach and the Manager must abide by the given time frame. If Sabana Shari’ah Compliant REIT is unable to rectify such breach within the given time frame, the Manager would have to seek a further extension from the Independent Shari’ah Committee, citing reasons for the inability to rectify, or delay in rectifying, the breach. There is no guarantee that the Independent Shari’ah Committee will grant such further extension or that the Manager will be able to rectify the breach within the extended time frame. If the Independent Shari’ah Committee does not grant a further extension or the Manager is unable to rectify such breach within the extended time frame, the Independent Shari’ah Committee may not issue the Shari’ah Certification. The Independent Shari’ah Committee may also refuse to issue the Shari’ah Certification in the following circumstances: k where the Manager deliberately deviates from the Shari’ah Guidelines and carries out activities that contravene the Shari’ah Guidelines; k where the Manager continuously breaches the Shari’ah Guidelines and refuses to rectify the position to an acceptable level; and k where there is a material misrepresentation or wilful omission of any material information that is otherwise required by the Independent Shari’ah Committee for the purposes of issuing the Shari’ah Certification. The above list is not an exhaustive list of the circumstances in which the Independent Shari’ah Committee may refuse to issue the Shari’ah Certification. In the event that issuance of the Shari’ah Certification is refused for Sabana Shari’ah Compliant REIT,there may be adverse effects on the demand by Shari’ah investors for, and the market price of, the Units.

Sabana Shari’ah Compliant REIT may be constrained in its operations and investments by Shari’ah principles compared to conventional REITs. In addition to the laws and regulations and/or the rules of the SGX-ST and/or any other relevant regulatory or supervisory body or agency applicable to a conventional REIT,the Manager has to manage Sabana Shari’ah Compliant REIT in a manner compliant with Shari’ah principles and the Shari’ah Guidelines. The Shari’ah Guidelines impose certain restrictions on Sabana Shari’ah Compliant REIT, including, amongst others, restrictions on the types of properties which Sabana Shari’ah Compliant REIT can invest in, the types of tenants which the properties can be leased to, the insurance which Sabana Shari’ah Compliant REIT can purchase and the use of deposit and financing facilities and risk management solutions that are not Shari’ah compliant. (See “Shari’ah

39 Compliance of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust — Shari’ah Guidelines” for further details.) As a result, Sabana Shari’ah Compliant REIT may be constrained in its operations by any unavailability of Shari’ah compliant properties, tenants, insurance, deposit and financing facilities and risk management solutions. Moreover, there is no guarantee that such Shari’ah compliant options will always be available at the same quantum or the same pricing to Sabana Shari’ah Compliant REIT as conventional options. This may affect Sabana Shari’ah Compliant REIT’s business, competitiveness and results of operations.

There are differing views among Shari’ah scholars in relation to the application of Shari’ah principles. The Manager intends that Sabana Shari’ah Compliant REIT makes its investments and conducts its affairs (including but not limited to financing, working capital financing (if any) and Takaful matters) in a manner compliant with Shari’ah principles. However, unlike in the conventional financial markets where there are globally accepted standards such as Generally Accepted Accounting Principles (“GAAP”), there are no such globally accepted standards in the Islamic financial markets. As such, and given the differences that exist among Shari’ah scholars and advisers from different jurisdictions and different schools of Islamic jurisprudence as to the nature and standards of Shari’ah compliance and the instances where one form of Islamic finance practices are not recognised or practiced in other jurisdictions, there can be no assurance that existing certified Shari’ah compliant products such as Shari’ah compliant REITswill not face issues that question their Shari’ah compliant status or that the investments and other Shari’ah structures in relation to the business of Sabana Shari’ah Compliant REIT will be determined to be Shari’ah compliant by other Shari’ah scholars or advisers, or will be recognised in other jurisdictions. In the event that Sabana Shari’ah Compliant REIT is not determined to be Shari’ah compliant by other Shari’ah scholars or advisers, or is not recognised as Shari’ah compliant in other jurisdictions, this may adversely affect the demand by Shari’ah investors for the Units, thereby adversely affecting the marketability of the Units to investors.

The opinions, laws, regulations and accounting standards in relation to Shari’ah compliance may change. Sabana Shari’ah Compliant REIT may be affected by the introduction of new or revised legislation, regulations, accounting and tax standards or guidelines in relation to Shari’ah compliance, the compliance with which may adversely affect its operations and ability to make distributions to Unitholders.

RISKS RELATING TO THE PROPERTIES

The appraisals of the Properties may be inherently subjective as they are based on various assumptions and the price at which Sabana Shari’ah Compliant REIT is able to sell a Property in future may be different from the initial acquisition value of the Property. The consideration paid by Sabana Shari’ah Compliant REIT is based on the appraised values of the Properties based on the discounted cashflow method and capitalisation approach. The discounted cashflow method forecasts investment return for each Property over a 10-year period (i.e. beyond the three- and five-year lease terms which have been agreed with the various Vendors, some of whom may also be Master Lessees of the Properties), and adopts certain assumptions relating to market conditions, tenancy and cashflow profiles to mitigate any overvaluation. Similarly, in relation to the capitalisation method, certain adjustments are made to derive the net rental income, which is then capitalised at an appropriate market rate of return. There can be no assurance that the assumptions relied on for the valuations are accurate measures of the market, and the values of the Properties may be evaluated inaccurately. The Independent Valuers may have included a subjective determination of certain factors relating to

40 the Properties such as their relative market positions, financial and competitive strengths and physical condition. The appraised value of any of the Properties does not guarantee a sale price at that value at present or in the future. The price at which Sabana Shari’ah Compliant REIT may sell a property may be lower than its purchase price.

Sabana Shari’ah Compliant REIT is exposed to economic and real estate market conditions (including increased competition in the real estate market or industrial properties market). The Properties are located in Singapore. As a result, Sabana Shari’ah Compliant REIT’s Gross Revenue and results of operations depend on the performance of the Singapore economy. A decline in Singapore’s economy could adversely affect Sabana Shari’ah Compliant REIT’s results of operations and future growth. The performance of Sabana Shari’ah Compliant REIT may also be adversely affected by a number of local real estate market conditions, such as the competitiveness of competing industrial properties or an oversupply of industrial properties or reduced demand for industrial properties. Sabana Shari’ah Compliant REIT’s investment strategy involves a higher level of concentration risk as compared to a portfolio which has a more diverse range of investments. In addition, while the Properties are located in Singapore, Sabana Shari’ah Compliant REIT’s future acquisitions may be located elsewhere in Asia, which exposes Sabana Shari’ah Compliant REIT to economic and real estate market conditions and changes in fiscal policies in such countries.

Sabana Shari’ah Compliant REIT is reliant on 151 Lorong Chuan for a substantial portion of its Gross Revenue. 151 Lorong Chuan is expected to contribute 34.8% of the total Gross Revenue of the Properties for both the Forecast Year 2011 and the Projection Year 2012. Any circumstance which adversely affects the operations or business of 151 Lorong Chuan or its competitiveness, such as physical damage to the building due to fire or other causes, may adversely affect the ability of the Master Lessee of 151 Lorong Chuan to pay its rent. This may adversely affect the financial condition and results of operations of Sabana Shari’ah Compliant REIT.

9 Tai Seng Drive which will be receiving rental support may not achieve the same revenue once the rental support expires. The Vendor for 9 Tai Seng Drive, Geo-Tele Pte. Ltd., has entered into a rental support arrangement with the Manager. The rental support will start from the Listing Date for a period of five years. Under the terms of the arrangement, if the Net Property Income (as defined in the Sale and Purchase Agreement in respect of 9 Tai Seng Drive to be net rental income less operating expenses) is less than the guaranteed Net Property Income for any relevant period (i.e. an annual sum of S$3,660,000, pro-rated for any period which is less than 12 months), the Vendor will be required pay to the Trustee a sum equal to the difference in respect of that relevant period. (See “Certain Agreements Relating to Sabana Shari’ah Compliant Industrial Real Estate Investment Trust and the Properties — Sale and Purchase Agreements and Lease Agreements — 9 Tai Seng Drive” for further details in respect of the rental support arrangement.) There is no guarantee that 9 Tai Seng Drive will be able to generate the same level of revenue once the rental support arrangement expires.

Construction of extension to 8 Commonwealth Lane may not be completed prior to the Listing Date. The Vendor of 8 Commonwealth Lane, Utraco Greentech Pte. Ltd., which will also be the Master Lessee of 8 Commonwealth Lane, is currently constructing an extension to the Property to

41 increase the GFA1. While the construction of the extension is expected to be completed by 31 December 2010, there is no guarantee that the extension will be constructed in good time and according to the timeline agreed upon with the Manager. If the extension is not completed by the Listing Date, the Manager will withhold a portion of the purchase price until the extension is completed. Based on the expected completion date of 31 December 2010, approximately S$14.1 million would be withheld. During this period while construction of the extension remains uncompleted, Sabana Shari’ah Compliant REIT would not receive any rental payment that would otherwise have been derived from the leasing of this extension. Based on the Master Lease in respect of this Property, such rental amounts to S$1,084,006 per year2.

Planned amenities and transportation infrastructure near the Properties may be closed, relocated, terminated, delayed or not completed. There is no assurance that amenities, transportation infrastructure and public transport services near the Properties will not be closed, relocated, terminated, delayed or completed. If such an event were to occur, it will adversely impact the accessibility of the Properties and the attractiveness of the Properties to sub-tenants which may affect the ability of the Master Lessees (as defined herein) to pay their rent pursuant to the Master Lease Agreements (as defined herein).

The Properties may require significant capital expenditure periodically beyond the Manager’s current estimate and Sabana Shari’ah Compliant REIT may not be able to secure funding. The Properties and properties to be acquired by Sabana Shari’ah Compliant REIT may require periodic capital expenditure beyond the Manager’s current estimate for refurbishment, renovation and improvements in order to remain competitive. Sabana Shari’ah Compliant REIT may not be able to fund capital improvements solely from cash provided from its operating activities and Sabana Shari’ah Compliant REIT may not be able to obtain additional equity or debt financing or be able to obtain such financing, on favourable terms or at all.

Sabana Shari’ah Compliant REIT’s assets might be adversely affected if the Manager, the Property Manager and the Master Lessees do not provide adequate management and maintenance. Should the Manager, the Property Manager and the Master Lessees (if applicable) fail to provide adequate management and maintenance, the value of Sabana Shari’ah Compliant REIT’s assets might be adversely affected and this may result in a loss of tenants or, as the case may be, sub-tenants which in turn affects the Master Lessees’ ability to pay their rents pursuant to the Master Lease Agreements, and which will adversely affect distributions to Unitholders.

Sabana Shari’ah Compliant REIT may suffer material losses in excess of insurance proceeds or the Master Lessees may not provide adequate management and maintenance or put in place or maintain adequate insurance in relation to the Properties and its potential liabilities to third parties. The Properties face the risk of suffering physical damage caused by fire or natural disaster or other causes, as well as potential public liability claims, including claims arising from the operations of the Properties.

1 The value of the extension was determined by applying the discounted cash flow methodology on the rental income attributable to the extension. The construction cost was not factored into the discounted cash flow valuation as the construction cost is borne by the Vendor, Utraco Greentech Pte. Ltd., and not Sabana Shari’ah Compliant REIT. 2 It should be noted that the Manager has assumed that the extension will be completed by 31 December 2010 and that Sabana Shari’ah Compliant REIT would receive rental income in respect of the extension from 1 January 2011.

42 Certain types of risks (such as war, terrorist acts and losses caused by the outbreak of contagious diseases, contamination or other environmental breaches) may be uninsurable or the cost of insurance may be prohibitive when compared to the risk. In addition, there can be no assurance that the particular risks which are currently insurable will continue to be insurable on an economically feasible basis.

The Properties are insured in accordance with industry practice in Singapore. Should an uninsured loss or a loss in excess of claimable insured limits occur, Sabana Shari’ah Compliant REIT could be required to pay compensation and/or lose capital invested in the affected property as well as anticipated future revenue from that property. Sabana Shari’ah Compliant REITwill also be liable for any debt or other financial obligation related to that property. No assurance can be given that material losses in excess of insurance proceeds will not occur.

In addition, should Sabana Shari’ah Compliant REITor the Master Lessees (if applicable) fail to put in place or maintain adequate insurance in relation to the Properties and its potential liabilities to third parties, Sabana Shari’ah Compliant REITmay be exposed to various liabilities and losses to the extent that such assets and liabilities are not adequately insured.

Renovation or redevelopment works or physical damage to the Properties may disrupt the operations of the Properties and collection of rental income or otherwise result in adverse impact on the financial condition of Sabana Shari’ah Compliant REIT.

The quality and design of the Properties have a direct influence over the demand for space in, and the rental rates of, the Properties. The Properties may need to undergo renovation or redevelopment works from time to time to retain their competitiveness and may also require unforeseen ad hoc maintenance or repairs in respect of faults or problems that may develop over structural defects or other parts of buildings or because of new planning laws or regulations. The costs of maintaining industrial properties and the risk of unforeseen maintenance or repair requirements tend to increase over time as the building ages. The business and operations of the Properties may suffer some disruption and it may not be possible to collect the full rate of, or, as the case may be, any rental income on space affected by such renovation or redevelopment works.

In addition, physical damage to the Properties resulting from fire or other causes may lead to a significant disruption to the business and operation of the Properties and, together with the foregoing, may result in an adverse impact on the financial condition and results of operations of Sabana Shari’ah Compliant REIT and its ability to make distributions.

The Properties may be affected by contamination and other environmental issues.

While the independent building consultants commissioned by the Manager have conducted laboratory analysis on soil and groundwater samples for all the Properties and, according to their reports, there are no environmental issues of concern and no remediation is necessary, the Properties may from time to time be affected by contamination or other environmental effects which may not have been previously identified and/or rectified. This raises a number of risks including: k the risk of prosecution by environmental authorities; k the requirement for unbudgeted additional expenditure to remedy such issues; and k the adverse impact on the financial position of the tenants or, as the case may be, sub-tenants arising from the above, affecting their ability to trade and to meet their tenancy obligations and (in the case of sub-tenants) this may affect the Master Lessees’ ability to pay their rents pursuant to the Master Lease Agreements.

43 A portion of 151 Lorong Chuan has been designated as a railway protection and safety zone, and certain activities may not be carried out in such zone unless the prior approval of the Land Transport Authority of Singapore is obtained. 151 Lorong Chuan is affected by Gazette No. 173 dated January 2003 and a portion of the Property amounting to 19.8% of the total land area has been designated as a railway protection and safety zone, such that Sabana Shari’ah Compliant REIT would be required to obtain the prior approval of the Land Transport Authority of Singapore before carrying out restricted activities within the railway protection and safety zone1. Such restricted activities include the movement or operation of any crane, piling equipment, excavator or any other mechanical equipment or vehicle, the storing or placing of any goods, materials or substances, and the erection of sheds, shelters, tents, scaffolding, maintenance towers, hoardings or other similar temporary structures. If the Manager intends to carry out any restricted activity within the railway protection and safety zone, there is no guarantee that the Land Transport Authority would grant its permission. The Land Transport Authority may impose terms and conditions as it thinks fit in granting its permission. This may affect the ability of Sabana Shari’ah Compliant REIT to carry out asset enhancement or other development or rectification works on the Property.

The due diligence exercise on buildings and equipment prior to their acquisition may not have identified all material defects, breaches of laws and regulations and other deficiencies. The Manager believes that reasonable due diligence investigations with respect to the Properties have been conducted prior to their acquisitions. However, there is no assurance that the Properties will not have defects or deficiencies requiring repair or maintenance (including design, construction or other latent property or equipment defects in the Properties may require additional capital expenditure, special repair or maintenance expenses) other than those disclosed in this Prospectus. Such defects or deficiencies may require significant capital expenditures or obligations to third parties and involve significant and unpredictable patterns and levels of expenditure which may have a material adverse effect on Sabana Shari’ah Compliant REIT’s earnings and cash flows. The experts’ reports that the Manager relies upon as part of its due diligence investigations of the Properties may be subject to inaccuracies and deficiencies. This may be because certain building defects and deficiencies are difficult or impossible to ascertain due to limitations inherent in the scope of the inspections, the technologies or techniques used and other factors. Some of the Properties may be in breach of laws and regulations or fail to comply with certain regulatory requirements. Sabana Shari’ah Compliant REIT may incur financial or other obligations in relation to such breaches or non-compliance. The representations, warranties and indemnities granted in favour of Sabana Shari’ah Compliant REIT by the Vendors (as defined herein) are subject to limitations as to their scope and as to the amount and timing of claims which can be made. There is no assurance that Sabana Shari’ah Compliant REIT would be entitled to be reimbursed under such representations, warranties and indemnities for any losses or liabilities suffered or incurred by it as a result of its acquisition of the Properties.

The Master Lessees of the Properties may not have properly notified the Manager and JTC of all its sub-tenancies. Most of the Properties will be purchased by Sabana Shari’ah Compliant REIT on a sale- and-leaseback arrangement. The Master Lessees of some of the respective Properties have

1 The portion of the Property designated as a railway protection and safety zone has been taken into account in the valuation of the Property. As at 30 September 2010, this portion of the Property comprises ramp, parking space and garden. The portion of the Property designated as a railway protection and safety zone currently has no impact on the rental rates of the Property.

44 sub-tenanted and may sub-tenant out parts of the Properties to third parties. There is no guarantee that the sub-tenancies in respect of these Properties have been approved by or notified to, as the case may be, the Manager or JTC under the relevant JTC lease by the Master Lessees. Such failure to obtain the approval for or, as the case may be, notify JTC of such sub-tenancies may give rise to, amongst others, a right of re-entry by JTC. Should JTC exercise its right of re-entry in respect of these Properties, Sabana Shari’ah Compliant REIT’s cash flow and the amount of funds available for distribution to Unitholders could be adversely affected.

Sabana Shari’ah Compliant REIT may not be able to extend the terms of the underlying leases of certain of the Properties which contain options to renew.

The underlying JTC leases of certain of the Properties contain a covenant by JTC to grant a further term following the expiry of the current lease term subject to the satisfaction of certain conditions, such as there being no breach of any terms and conditions of the underlying JTC leases and that certain fixed investment criteria in respect of the Properties are fulfilled. There is no assurance that such conditions for extension will be satisfied or that Sabana Shari’ah Compliant REIT’s tenants while in occupation of the premises will not be in breach of the terms and conditions of the underlying JTC leases or that such breach will be rectified in time or at all. If Sabana Shari’ah Compliant REIT for whatever reason is not able to extend the lease term of the underlying JTC leases of any of these Properties, Sabana Shari’ah Compliant REIT will have to surrender such Property to JTC upon expiry of the original lease term. The value of the Properties, and consequentially the asset value underlying the Units, may be substantially reduced upon such surrender. Any potential income expected after the extension of the lease term will not be realised. In addition, Sabana Shari’ah Compliant REIT may be required to incur substantial amounts of money to reinstate the Property to a state and condition acceptable to JTC, including the demolition of any existing building and/or reinstatements thereof on the Property.

All the Master Leases are for terms of three years or five years, which exposes the Properties to significant rates of lease expiries in three years or five years time.

With the exception of 9 Tai Seng Drive which is not on a triple net master lease, all the Properties are under Master Leases for terms of three years, or five years, for example in the case of the Freight Links Properties. As a result, all such Master Leases will expire in three years or five years time (as the case may be). This exposes Sabana Shari’ah Compliant REIT to certain risks, including the risk that vacancies following the non-renewal of leases may lead to reduced occupancy rates, which will in turn reduce Sabana Shari’ah Compliant REIT’s Gross Revenue.

The Master Lessees for certain of the Properties have a right of first refusal over their respective Properties.

Freight Links Express Logisticpark Pte Ltd, LTH Logistics (Singapore) Pte Ltd, Freight Links Express Logisticentre Pte Ltd, Freight Links Express Air Systems Pte Ltd and Freight Links Fabpark Pte. Ltd., being the Master Lessees of the Freight Links Properties, and the Master Lessee of 1 Tuas Avenue 4 have rights of first refusal over their respective Properties. If Sabana Shari’ah Compliant REIT intends to sell any of these Properties in the future, Sabana Shari’ah Compliant REIT would have to first offer these Properties to their respective Master Lessees. These rights of first refusal may discourage potential purchasers of the relevant Properties from making bids to acquire these Properties and affect the marketability of these Properties should Sabana Shari’ah Compliant REIT intend to divest these Properties in the future.

(See “Certain Agreements Relating to Sabana Shari’ah Compliant Industrial Real Estate Investment Trust and the Properties — Sale and Purchase Agreements and Lease Agreements” for further details.)

45 The Properties may face increased competition from other properties. The Properties are located in areas that have other competing properties and new properties may be developed which may compete with the Properties. The income from, and market value of, the Properties will be largely dependent on (i) the ability of the Properties to compete against other properties or (ii) (in the case of a Property which has a Master Lease) the ability of the Master Lessees to compete for sub-tenants. If, after the Offering, competing properties are more successful in attracting and retaining tenants or similar properties in their vicinity are substantially upgraded and refurbished, Sabana Shari’ah Compliant REIT’s cash flow and the amount of funds available for distribution to Unitholders could be adversely affected.

The President of the Republic of Singapore may, as lessor, re-enter the Properties upon breach of terms and conditions of the State lease. Each Property is held under a registered State lease issued by the President of the Republic of Singapore as lessor. Each State lease contains terms and conditions commonly found in State leases in Singapore, including the President of the Republic of Singapore’s right as lessor to re- enter the Properties and terminate the lease (without compensation) in the event the lessee fails to observe or perform the terms and conditions of the relevant State lease.

RISKS RELATING TO SABANA SHARI’AH COMPLIANT REIT’S OPERATIONS Uncertainties and instability in global market conditions could adversely affect the business, financial condition and results of operations of Sabana Shari’ah Compliant REIT. The global credit markets and the U.S. sub-prime residential mortgage market have experienced, and may continue to experience, volatility and liquidity disruptions, which have resulted in the consolidation, failure or near failure of a number of institutions in the banking and insurance industries. There is also growing concern that the debt crisis in Europe will impinge upon the health of the financial system globally and will slow down the flow of money in markets. These and other related events have had a significant impact on the global capital markets associated not only with asset-backed securities but also with the global credit and financial markets as a whole. These events could adversely affect Sabana Shari’ah Compliant REIT insofar as they result in: k a negative impact on the ability of (i) tenants to pay their rents and/or (ii) (in the case of a property which has a master lease) sub-tenants to pay their rents to the Master Lessees in a timely manner or continuing their sub-tenancy agreements, which may in turn affect the Master Lessees’ ability to pay their rents pursuant to the Master Lease Agreements, thus reducing Sabana Shari’ah Compliant REIT’s cash flow; k an increase in counterparty risk; and/or k an increased likelihood that one or more of Sabana Shari’ah Compliant REIT’s banking syndicate, banks providing bankers’ guarantees for Sabana Shari’ah Compliant REIT’s rental deposits or insurers may be unable to honour their commitments to Sabana Shari’ah Compliant REIT. There is also uncertainty as to the scale of the downturn in the U.S. or the global economy, the decrease in consumer demand and the impact of the global downturn on the Singapore economy.

Sabana Shari’ah Compliant REIT is highly dependent on the Master Lessees for rental payments. With the exception of 9 Tai Seng Drive, all the Properties are under Master Leases and Sabana Shari’ah Compliant REIT does not directly operate these Properties or lease these Properties

46 directly to the sub-tenants. As a result, Sabana Shari’ah Compliant REIT is highly dependent on rental payments from the Master Lessees, in particular, the subsidiaries of City Developments Limited and Freight Links which contribute 39.4% and 22.6% respectively of Sabana Shari’ah Compliant REIT’s Gross Revenue for the Forecast Year 2011. If a significant number of the sub-tenants do not renew their lease agreements and no replacement sub-tenants are found, the Master Lessees’ ability to make rental payments may be adversely affected. The Master Lessees are the sole tenants of Sabana Shari’ah Compliant REIT for all the Properties, with the exception of 9 Tai Seng Drive. Therefore, Sabana Shari’ah Compliant REIT’s revenue and ability to make distributions to the Unitholders is highly dependent upon the ability of the Master Lessees to make rental payments.

There can be no assurance that the Master Lessees will have sufficient assets, income and access to financing in order to enable it to satisfy its obligations under the respective Master Lease Agreements.

Any breach by the Master Lessees of their obligations under the Master Lease Agreements may have an adverse effect on Sabana Shari’ah Compliant REIT.

Pursuant to the Master Leases, the Master Lessees will, among others, pay rent to the Trustee and maintain the Properties in a clean and good state of tenantable repair and condition. As such, net rental payments in respect of the Properties will depend on the ability of the Master Lessees to make such rental payments and any non-payment of the rent may have an adverse effect on the financial condition of Sabana Shari’ah Compliant REIT and its level of distributable income. Moreover, failure by the Master Lessees to maintain the Properties in a good state of tenantable repair and condition could have an adverse impact on the physical condition of the Properties, rendering them unattractive to existing sub-tenants and potential sub-tenants. The performance of the Master Lessees’ other businesses could also have an impact on their ability to make rental payments to Sabana Shari’ah Compliant REIT.

Factors that affect the ability of the Master Lessees to meet their obligations include, but are not limited to: k their financial position; k the local economies in which they have business operations; k local competitors and competition in the Singapore industrial and real estate industry; k material losses in excess of insurance proceeds; and k their ability to conduct and continue to conduct primary businesses that are permissible according to Shari’ah principles.

The Master Leases may be terminated or the Master Lessees may not renew the Master Leases.

Under the Master Lease Agreements, the Master Leases may be terminated. In addition, there is no assurance that the Master Lessees will exercise any option to renew their leases upon the expiry of the initial term of the Master Leases. If the Master Leases are terminated or are not renewed, Sabana Shari’ah Compliant REIT may not be able to find a suitable purchaser or a suitable replacement master lessee, as a result of which Sabana Shari’ah Compliant REIT may lose a significant source of revenue. In any event, it may not be possible to replace the Master Lessees immediately upon the expiry of the Master Leases and this may lead to temporary vacancy. The failure to renew the Master Lease Agreements, or the termination of any of these Master Lease Agreements, may have a material adverse effect on Sabana Shari’ah Compliant REIT’s Gross Revenue and distribution.

47 The amount Sabana Shari’ah Compliant REIT may borrow is limited, which may affect the operations of Sabana Shari’ah Compliant REIT. Under the Property Funds Appendix, Sabana Shari’ah Compliant REIT is permitted to borrow up to 35.0% of the value of the Deposited Property at the time the borrowing is incurred, taking into account deferred payments (including deferred payments for assets whether to be settled in cash or in Sabana Shari’ah Compliant REIT Units). However, the Property Funds Appendix allows Sabana Shari’ah Compliant REIT to borrow more than 35.0% (up to a maximum of 60.0%) of the value of the Deposited Property if a credit rating from Fitch Inc., Moody’s or Standard & Poor’s is obtained and disclosed to the public. As at the Listing Date, Sabana Shari’ah Compliant REIT is expected to have borrowings of S$220.6 million with an Aggregate Leverage of 26.5%. (See “Capitalisation — Indebtedness” for further information.) Sabana Shari’ah Compliant REITmay,from time to time, require further debt financing to achieve its investment strategies. In the event that Sabana Shari’ah Compliant REIT decides to incur borrowings in the future, Sabana Shari’ah Compliant REIT may face adverse business consequences of this limitation on any future borrowings, and these may include: k an inability to fund capital expenditure requirements in relation to Sabana Shari’ah Compliant REIT’s existing property portfolio or in relation to Sabana Shari’ah Compliant REIT’s acquisitions to expand its portfolio; k a decline in the value of the Deposited Property may cause the borrowing limit to be exceeded, thus affecting Sabana Shari’ah Compliant REIT’s ability to make further borrowings; and k cash flow shortages (including with respect to distributions) which Sabana Shari’ah Compliant REIT might otherwise be able to resolve by borrowing funds.

Sabana Shari’ah Compliant REIT may face risks associated with debt financing and the debt facilities. Sabana Shari’ah Compliant REIT has in place a committed three-year Commodity Murabaha Facility of up to S$256.0 million. As at the Listing Date, Sabana Shari’ah Compliant REIT is expected to have borrowings of S$220.6 million with an Aggregate Leverage of 26.5%. (See “Capitalisation — Indebtedness” for further information.) Sabana Shari’ah Compliant REIT is subject to risks associated with debt financing, including the risk that its cash flow will be insufficient to meet the required payments of principal and financing cost under such financing, and therefore to make distributions to Unitholders. Distributions from Sabana Shari’ah Compliant REIT to Unitholders will be computed based on at least 90.0% of Sabana Shari’ah Compliant REIT’s Taxable Income and tax-exempt income, if any (after deduction of applicable expenses). As a result of this distribution policy, Sabana Shari’ah Compliant REIT may not be able to meet all of its obligations to repay any future borrowings through its cash flow from operations. Sabana Shari’ah Compliant REIT may be required to repay maturing debt (including the Commodity Murabaha Facility which will mature three years from the date the Commodity Murabaha Facility was granted to Sabana Shari’ah Compliant REIT) with funds from additional debt or equity financing or both. There is no assurance that such financing will be available on acceptable terms or at all. If Sabana Shari’ah Compliant REIT defaults under such debt facilities, the lenders may be able to declare a default and initiate enforcement proceedings in respect of any security provided, and/or call upon any guarantees provided. If Sabana Shari’ah Compliant REIT’s property is mortgaged, such property could be foreclosed by the lender or the lender could require a forced sale of the property with a consequent loss of income and asset value to Sabana Shari’ah Compliant REIT. If principal amounts due for repayment at maturity cannot be refinanced, extended or paid with proceeds of other capital transactions, such as new equity capital, Sabana Shari’ah Compliant

48 REIT will not be able to pay distributions at expected levels to Unitholders or to repay all maturing debt.

Sabana Shari’ah Compliant REIT may be subject to the risk that the terms of any refinancing undertaken will be less favourable than the terms of the original borrowings. Sabana Shari’ah Compliant REIT may also be subject to certain covenants that may limit or otherwise adversely affect its operations and its ability to make distributions to Unitholders. Such covenants may also restrict Sabana Shari’ah Compliant REIT’s ability to acquire properties or undertake other capital expenditure or may require it to set aside funds for maintenance or repayment of security deposits.

If prevailing financing costs or other factors at the time of refinancing (such as the possible reluctance of lenders to make commercial property loans) result in higher financing costs upon refinancing, the cost of financing activities relating to such refinanced indebtedness would increase, thereby adversely affecting Sabana Shari’ah Compliant REIT’s cash flow and the amount of funds available for distribution to the Unitholders.

Sabana Shari’ah Compliant REIT is required to distribute at least 90.0% of its Taxable Income and may face liquidity constraints.

Distributions from Sabana Shari’ah Compliant REIT to Unitholders will be computed based on 100.0% of Sabana Shari’ah Compliant REIT’s Taxable Income for the period from the Listing Date to 31 December 2012. Thereafter, Sabana Shari’ah Compliant REIT will distribute at least 90.0% of its Taxable Income. The Manager and the Trustee are required by the Tax Ruling to distribute at least 90.0% of Sabana Shari’ah Compliant REIT’s Taxable Income. If Sabana Shari’ah Compliant REIT’s Taxable Income is greater than its cash flow from operations, it may have to borrow to meet ongoing cash flow requirements in order to distribute at least 90.0% of its Taxable Income since it may not have any reserves to draw on. Sabana Shari’ah Compliant REIT’s ability to borrow is, however, limited by the Property Funds Appendix. Failure to make distributions would put Sabana Shari’ah Compliant REIT in breach of terms of the Tax Ruling and Sabana Shari’ah Compliant REIT would be liable to pay income tax.

Neither Sabana Shari’ah Compliant REIT nor the Manager has an established operating history.

Sabana Shari’ah Compliant REIT was constituted on 29 October 2010 and the Manager was incorporated on 15 May 2010. Neither Sabana Shari’ah Compliant REIT (as a REIT) nor the Manager (as the manager of the REIT) has the relevant operating histories by which their past performance may be judged. This will make it more difficult for investors to assess Sabana Shari’ah Compliant REIT’s future performance. There is no assurance that Sabana Shari’ah Compliant REIT will be able to generate sufficient revenue from operations to make distributions or that such distributions will be in line with those set out in “Profit Forecast and Profit Projection”.

The Manager has no experience in acquiring property outside of Singapore.

The geographical scope of Sabana Shari’ah Compliant REIT’s investment objective extends to Asia, which is defined to mean Brunei Darussalam, Cambodia, Indonesia, Lao People’s Democratic Republic, Malaysia, Myanmar, Philippines, Singapore, Thailand, Vietnam, People’s Republic of China, Hong Kong Special Administration Region, Taiwan, Republic of Korea, Democratic People’s Republic of Korea, Japan, India and Democratic Socialist Republic of Sri Lanka. However, the Manager has no experience in acquiring property outside of Singapore. This lack of experience may impede the Manager’s ability to acquire assets outside Singapore within the geographical scope of Sabana Shari’ah Compliant REIT’s investment objective.

49 If the CMS Licence of the Manager is cancelled or not renewed by the MAS, the operations of Sabana Shari’ah Compliant REIT will be adversely affected. The capital markets service licence (“CMS Licence”) issued to the Manager is subject to conditions and is valid until 30 September 2013 unless otherwise cancelled or renewed. If the CMS Licence of the Manager is cancelled or not renewed by the MAS, the operations of Sabana Shari’ah Compliant REIT will be adversely affected.

The Manager may not be able to successfully implement its investment strategy for Sabana Shari’ah Compliant REIT. There is no assurance that the Manager will be able to implement its investment strategy successfully or that it will be able to expand Sabana Shari’ah Compliant REIT’s portfolio at any specified rate or to any specified size. The Manager may not be able to make acquisitions or investments on favourable terms or within a desired time frame. Sabana Shari’ah Compliant REIT faces active competition in acquiring suitable properties. Sabana Shari’ah Compliant REIT’s ability to make new property acquisitions under its acquisition growth strategy may be adversely affected. Even if Sabana Shari’ah Compliant REIT were able to successfully acquire property or investments, there is no assurance that Sabana Shari’ah Compliant REIT will achieve its intended return on such acquisitions or investments. Since the amount of borrowings that Sabana Shari’ah Compliant REIT can incur to finance acquisitions is limited by the Property Funds Appendix, such acquisitions are likely to be largely dependent on Sabana Shari’ah Compliant REIT’s ability to raise equity capital. This may result in a dilution of Unitholders’ holdings. Potential vendors may view the prolonged time frame and lack of certainty associated with the raising of equity capital, to fund any such purchase, negatively. They may prefer other potential purchasers. There may be significant competition for attractive investment opportunities from other property investors, including other REITs, commercial property development companies and private investment funds. There is no assurance that Sabana Shari’ah Compliant REIT will be able to compete effectively against such entities.

Acquisitions may not yield the returns expected, resulting in disruptions to Sabana Shari’ah Compliant REIT’s business and straining of management resources. Sabana Shari’ah Compliant REIT’s external growth strategy and its asset selection process may not be successful and may not provide positive returns to Unitholders. Acquisitions may cause disruptions to Sabana Shari’ah Compliant REIT’s operations and divert management’s attention away from day-to-day operations.

The Manager’s strategy to initiate asset enhancement on some of the Properties from time to time may not materialise. The Manager may from time to time initiate asset enhancement on some of the Properties. There is no assurance that such plans for asset enhancement will materialise, or in the event that they do materialise, that they will achieve their desired results or will not incur significant costs.

Payment of management fees in cash by Sabana Shari’ah Compliant REIT to the Manager may have an adverse effect on the cash flow of Sabana Shari’ah Compliant REIT and its ability to make distributions to Unitholders. The Manager is entitled to management fees which shall be paid to the Manager in the form of cash and/or Units (as the Manager may elect prior to each such payment) out of the Deposited

50 Property and in such proportion as may be determined by the Manager. The Manager has elected to receive 80.0% of the base fee in the form of Units for the Forecast Year 2011 and the Projection Year 2012 and (if payable) 80.0% of the performance fee in the form of Units for the Projection Year 2012, except that where the issue price (which is equal to the Market Price (as defined herein) of each Unit) is at a discount of at least 20.0% to the NAV per Unit, the Manager shall receive the base fee for the Forecast Year 2011 and the Projection Year 2012 and the performance fee for the Projection Year 2012 wholly in the form of cash. If Sabana Shari’ah Compliant REIT is required to pay a large amount of management fees in cash, Sabana Shari’ah Compliant REIT’s cash flow, financial condition and results of operations as well as its ability to make distributions to Unitholders may be adversely affected. The Unit price may be materially and adversely affected as a result.

Sabana Shari’ah Compliant REIT depends on certain key personnel and the loss of any key personnel may adversely affect its operations. Sabana Shari’ah Compliant REIT’s performance depends, in part, upon the continued service and performance of the executive officers of the Manager. (See “The Manager and Corporate Governance — The Manager of Sabana Shari’ah Compliant REIT — Executive Officers of the Manager” for details of the executive officers of the Manager.) These key personnel may leave the employment of the Manager. If any of these persons were to leave, the Manager will accordingly spend time searching for a replacement and the duties which such executive officers are responsible for may be affected. The loss of any of these individuals could have a material adverse effect on Sabana Shari’ah Compliant REIT’s financial condition and results of operations.

Exchange rate fluctuations may adversely affect the value of the Units and any distributions payable to the Unitholders. While the Properties are located in Singapore, Sabana Shari’ah Compliant REIT’s future acquisitions may be located elsewhere in Asia. Although the Manager’s strategy does not contemplate investments outside of Singapore in the near- to medium-term, in the event that Sabana Shari’ah Compliant REIT does acquire properties located elsewhere in Asia in the future, the rental income for these properties may be paid in the relevant foreign currency.As the Units will be quoted in Singapore dollars on the SGX-ST and distributions in respect of the Units will be paid in Singapore dollars, the value of the distributions received by a Unitholder may be adversely affected by fluctuations in the exchange rates between the relevant foreign currency and the Singapore dollar. Fluctuations in the exchange rates between relevant foreign currency and the Singapore dollar will also, among others, affect the foreign currency value of the proceeds which a Unitholder would receive upon sale of the Units in Singapore.

Sabana Shari’ah Compliant REIT may engage in hedging transactions, which can limit gains and increase exposure to losses. Sabana Shari’ah Compliant REIT may enter into hedging transactions to protect itself from the effects of financing cost and currency exchange fluctuations on floating rate debt and also to protect its portfolio from financing cost and prepayment fluctuations and has in this connection put in place a profit rate hedging arrangement. Hedging transactions may include entering into financing cost hedging instruments, purchasing or selling futures contracts, purchasing put and call options or entering into forward agreements. Hedging activities may not have the desired beneficial impact on the operations or financial condition of Sabana Shari’ah Compliant REIT. Hedging against the fluctuations in financing cost could fail to protect Sabana Shari’ah Compliant REIT or adversely affect Sabana Shari’ah Compliant REIT because, among other reasons: k available financing cost hedging may not correspond directly with the financing cost risk for which protection is sought;

51 k the party owing money in the hedging transaction may default on its obligation to pay; k the credit quality of the party owing money on the hedge may be downgraded to such an extent that it impairs Sabana Shari’ah Compliant REIT’s ability to sell or assign its side of the hedging transaction; and k the value of the derivatives used for hedging may be adjusted from time to time in accordance with accounting rules to reflect changes in fair value. Downward adjustments would reduce the NAV of Sabana Shari’ah Compliant REIT. Hedging involves risks and transaction costs, which may reduce overall returns. These costs increase as the period covered by the hedging increases and during periods of rising and volatile financing costs. These costs will also limit the amount of cash available for distributions to Unitholders.

The Manager may change Sabana Shari’ah Compliant REIT’s investment objectives after three years without having to obtain Unitholders’ approval. Sabana Shari’ah Compliant REIT’s investment objectives will be determined by the Manager.As required under the Listing Manual, the investment objectives may not be changed for a period of three years commencing from the Listing Date unless otherwise approved by an Extraordinary Resolution (as defined herein) passed by Unitholders. However, there is no guarantee that the Manager will not change Sabana Shari’ah Compliant REIT’s investment objectives after the end of the three-year period from the Listing Date, and there is no requirement for the Manager to obtain Unitholders’ approval in such a situation. The Trust Deed grants the Manager wide powers of investing in other types of assets, including any real estate, real estate-related assets, as well as listed and unlisted securities in Singapore and other jurisdictions. There are risks and uncertainties with respect to the selection of investments and with respect to the investments themselves. The methods of implementing Sabana Shari’ah Compliant REIT’s investment objectives and policies may also vary as new investment and financing techniques are developed or otherwise used. There is no assurance that any such change will not adversely affect Unitholders’ investment in Sabana Shari’ah Compliant REIT.

The outbreak of an infectious disease or any other serious public health concerns in Asia and elsewhere could adversely impact the business, financial condition and results of operations of Sabana Shari’ah Compliant REIT. In 2003, Hong Kong, Taiwan, China, Singapore, Malaysia and other places experienced an outbreak of Severe Acute Respiratory Syndrome, which adversely affected the Asian economies, including Singapore’s economy. The property sector was one of the sectors that experienced poor performance during the Severe Acute Respiratory Syndrome outbreak. In late 2003 and June 2004, outbreaks of avian influenza occurred in a number of countries in Asia. In 2005 and 2006, outbreaks were reported in other parts of the world including Europe, the Middle East and Africa. Some of these outbreaks severely affected the poultry and related industries and, in addition, several cases of bird-to-human transmission of avian influenza were reported in various countries. In June 2007, the World Health Organisation reported new cases of human infection of avian influenza (H5N1) in China and Indonesia. In 2009, outbreaks of Influenza A (H1N1) occurred in a number of countries across the world including Singapore. There can be no assurance that any precautionary measures taken against infectious diseases would be effective. The outbreak of an infectious disease such as Influenza A (H1N1), avian influenza or Severe Acute Respiratory Syndrome in Asia and elsewhere, together with any resulting restrictions on travel and/or imposition of quarantines, could have a negative impact on the economy and

52 business activities in Asia and could thereby adversely impact the revenues and results of Sabana Shari’ah Compliant REIT. These factors could materially and adversely affect the business and financial conditions and the results of operations of Sabana Shari’ah Compliant REIT.

Occurrence of any acts of God, war and terrorist attacks may adversely and materially affect the business and operations of the Properties. Acts of God, such as natural disasters, are beyond the control of Sabana Shari’ah Compliant REITor the Manager.These may materially and adversely affect the economy, infrastructure and livelihood of the local population. Sabana Shari’ah Compliant REIT’s business and income available for distribution may be adversely affected should such acts of God occur. There is no assurance that any war, terrorist attack or other hostilities in any part of the world, potential, threatened or otherwise, will not, directly or indirectly,have an adverse effect on the operations of the Properties and hence Sabana Shari’ah Compliant REIT’s income available for distribution.

There may be potential conflicts of interest among Sabana Shari’ah Compliant REIT, the Manager and the Sponsor. The Manager is 100.0% owned by SIP. SIP is a company incorporated in Singapore, which is 51.0% owned by the Sponsor, 45.0% owned by Blackwood and 4.0% owned by TCP as at the date of this Prospectus. The Sponsor and their subsidiaries and/or associates are engaged in, and/or may engage in, among others, investment in, and the development, management and operation of industrial properties which may compete with the Properties and cause downward pressure on rental rates. For example, the Sponsor may in the future, decide not to operate its portfolio but instead lease it out to third parties, at which point they would be competing with Sabana Shari’ah Compliant REIT for tenants. Additionally, the Sponsor may in the future sponsor, manage or invest in other REITs or other vehicles which may also compete directly with Sabana Shari’ah Compliant REIT. (See “The Manager and Corporate Governance — Related Party Transactions”.)

Sabana Shari’ah Compliant REIT faces certain risks in connection with the acquisition of properties from the Sponsor, its subsidiaries and/or its related corporations. Sabana Shari’ah Compliant REIT may acquire properties from the Sponsor or parties related to the Sponsor. There is no assurance that: k the negotiations with respect to the acquisition of such properties; k the terms of acquisition of such properties; k the acquisition values of such properties; and/or k the other terms and conditions relating to the purchase of such properties (in particular, the representations, warranties and/or indemnities), will not be adverse to Sabana Shari’ah Compliant REIT.

Sabana Shari’ah Compliant REIT’s investment strategy may entail a higher level of risk as compared to other types of unit trusts that have a more diverse range of investments. Sabana Shari’ah Compliant REIT’s principal strategy of investing, directly or indirectly, in real estate will subject Sabana Shari’ah Compliant REIT to risks inherent in concentrating in real estate. The level of risk could be higher as compared to other types of unit trusts that have a more diverse range of investments in other sectors. A concentration of investments in real estate exposes Sabana Shari’ah Compliant REIT to the risk of a downturn in the real estate market in Singapore. Such downturns may lead to a decline in

53 occupancy for properties or real estate-related assets in Sabana Shari’ah Compliant REIT’s portfolio. This will affect Sabana Shari’ah Compliant REIT’s rental income from the Properties, and/or a decline in the capital value of Sabana Shari’ah Compliant REIT’s portfolio, which will have an adverse impact on distributions to the Unitholders and/or on the results of operations and the financial condition of Sabana Shari’ah Compliant REIT.

Sabana Shari’ah Compliant REITmay not be able to control or exercise any influence over entities in which it has minority interests. Sabana Shari’ah Compliant REIT may, in the course of acquisitions, acquire minority interests in real estate-related investment entities. There is no assurance that Sabana Shari’ah Compliant REIT will be able to control such entities or exercise any influence over the assets of such entities or their distributions to Sabana Shari’ah Compliant REIT. Such entities may develop objectives which are different from those of Sabana Shari’ah Compliant REIT and may not be able to make any distribution. The management of such entities may make decisions which could adversely affect the operations of Sabana Shari’ah Compliant REIT and its ability to make distributions to Unitholders.

RISKS RELATING TO INVESTING IN REAL ESTATE Sabana Shari’ah Compliant REIT may be adversely affected by the illiquidity of real estate investments. Sabana Shari’ah Compliant REIT’s investment strategy involves a higher level of risk as compared to a portfolio which has a more diverse range of investments. Real estate investments are relatively illiquid. Such illiquidity may affect Sabana Shari’ah Compliant REIT’s ability to vary its investment portfolio or liquidate part of its assets in response to changes in economic, real estate market or other conditions. Sabana Shari’ah Compliant REIT may be unable to sell its assets on short notice or may be forced to give a substantial reduction in the price that may otherwise be sought for such assets in order to ensure a quick sale. Sabana Shari’ah Compliant REIT may face difficulties in securing timely and commercially favourable financing in asset-based lending transactions secured by real estate due to the illiquid nature of real estate assets. These factors could have an adverse effect on Sabana Shari’ah Compliant REIT’s financial condition and results of operations, with a consequential adverse effect on Sabana Shari’ah Compliant REIT’s ability to deliver expected distributions to Unitholders.

Sabana Shari’ah Compliant REIT’s properties or any part of them may be acquired compulsorily. The Land Acquisition Act, Chapter 152 of Singapore (the “Land Acquisition Act”) gives the Singapore Government the power to acquire any land in Singapore: k for any public purpose; k where the acquisition is of public benefit or of public utility or in the public interest; or k for any residential, commercial or industrial purposes. In the event that any of Sabana Shari’ah Compliant REIT’s properties are acquired compulsorily, the compensation to be awarded would be: k the market value of the property as at the date of the publication in the Government Gazette of the notification of the likely acquisition of the land (provided that within six months from the date of publication, a declaration of intention to acquire is made by publication in the Government Gazette); or k the market value of the property as at the date of publication in the Government Gazette of the declaration of intention to acquire.

54 The market value of a property (or part thereof) which is acquired by the Singapore Government may be less than the price which Sabana Shari’ah Compliant REIT paid for the property.

Sabana Shari’ah Compliant REIT’s ability to make distributions to Unitholders may be adversely affected by increases in direct expenses and other operating expenses. Sabana Shari’ah Compliant REIT’s ability to make distributions to Unitholders apart from the several circumstances set out below could be adversely affected if direct expenses and other operating expenses increase (save for such expenses which Sabana Shari’ah Compliant REIT is not responsible for pursuant to the triple net lease arrangements) without a corresponding increase in revenue. Factors which could lead to an increase in expenses include the following: k increase in property tax assessments and other statutory charges; k change in statutory laws, regulations or government policies which increase the cost of compliance with such laws, regulations or policies; k change in Shari’ah principles or guidelines which increase the cost of compliance with such principles or guidelines; k change in direct or indirect taxing policy; k increase in sub-contracted service costs; k increase in labour costs; k increase in repair and maintenance costs; k increase in the rate of inflation; k defects affecting, or environmental pollution in connection with, Sabana Shari’ah Compliant REIT’s properties which need to be rectified; k increase in insurance premium; and k increase in cost of utilities.

The Gross Revenue earned from, and the value of, Sabana Shari’ah Compliant REIT’s properties may be adversely affected by a number of factors. The Gross Revenue earned from, and the value of, Sabana Shari’ah Compliant REIT’s properties may be adversely affected by a number of factors, including: k the Property Manager’s ability to collect rent from the tenants or the Master Lessees on a timely basis or at all; k the amount and extent to which Sabana Shari’ah Compliant REIT is required to grant rental rebates to the tenants or the Master Lessees; k defects affecting Sabana Shari’ah Compliant REIT’s properties which could affect the operations of lessees, tenants and/or subtenants resulting in the inability of such lessees, tenants and/or subtenants to make timely payments of rent or at all and which in the instance of a Property which is master leased, affect the Master Lessees’ ability to pay their rents pursuant to the Master Lease Agreements; k the tenants or the Master Lessees requesting waiver of the penalty on late payment of rent; k the tenants or the Master Lessees seeking the protection of bankruptcy laws which could result in delays in the receipt of rent payments, inability to collect rental income, or delays in the termination of the lease, or which could hinder or delay the re-letting of the space in question or the sale of the relevant property;

55 k the local and international economic climate and real estate market conditions (such as oversupply of, or reduced demand for space, changes in market rental rates and operating expenses for Sabana Shari’ah Compliant REIT’s properties); k vacancies following the expiry or termination of leases that lead to reduced occupancy rates; k new tenancies are agreed being less favourable than those under current tenancies; k the Manager’s ability to provide adequate management and maintenance or to purchase or put in place adequate insurance; k competition for users from other industrial properties; k changes in laws and governmental regulations in relation to real estate, including those governing usage, zoning, taxes and government charges. Such revisions may lead to an increase in management expenses or unforeseen capital expenditure to ensure compliance. Rights related to the properties may also be restricted by legislative actions, such as revisions to the laws relating to building standards or town planning laws, or the enactment of new laws related to condemnation and redevelopment; and k acts of God, wars, terrorist attacks, riots, civil commotions, widespread communicable diseases, natural disasters and other events beyond the control of the Manager.

The rate of increase in rentals (if any) of the Properties may be less than the inflation rate.

The rate of increase in rentals (if any) of the Properties may be less than the inflation rate and therefore an investment in Sabana Shari’ah Compliant REIT may not provide an effective hedge against inflation.

RISKS RELATING TO AN INVESTMENT IN THE UNITS

The sale or possible sale of a substantial number of Units by the Sponsor (following the lapse of the lock-up arrangements or pursuant to any applicable waivers) or the Cornerstone Investors in the public market could adversely affect the price of the Units.

Following the Offering, Sabana Shari’ah Compliant REIT will have 632,800,000 issued Units, of which an aggregate of 124,804,555 Units (comprising 19.8% of the Units in issue as at the Listing Date) will be held by the Sponsor (through its wholly-owned subsidiary Singapore Enterprises) and the Cornerstone Investors. If any of the Sponsor and/or any of its transferees of the Units (following the lapse of the lock-up arrangement or pursuant to any applicable waivers) or the Cornerstone Investors sells or is perceived as intending to sell a substantial amount of its Units, or if a secondary offering of the Units is undertaken in connection with an additional listing on another securities exchange, the market price for the Units could be adversely affected.

(See “Plan of Distribution — Lock-up Arrangements” and “Ownership of the Units”).

The default by Singapore Enterprises of its obligations to subscribe for and/or pay for its Units may adversely affect the Offering.

Singapore Enterprises, a wholly-owned subsidiary of the Sponsor, will subscribe for 27,000,000 Units, constituting 4.3% of the Units in issue as at the Listing Date. The Units to be subscribed for by Singapore Enterprises will not be underwritten. Any failure or default by Singapore Enterprises to subscribe and/or pay for its Units may result in Sabana Shari’ah Compliant REIT not having sufficient funds to complete the acquisition of the Properties.

56 Sabana Shari’ah Compliant REIT may not be able to make distributions to Unitholders or the level of distributions may fall. The net operating profit earned from real estate investments depends on, among other factors: k the amount of rental income received; and k the level of property, operating, financing and other expenses incurred. If the Properties do not generate sufficient net operating profit, Sabana Shari’ah Compliant REIT’s income, cash flow and ability to make distributions will be adversely affected. No assurance is given as to Sabana Shari’ah Compliant REIT’s ability to pay or maintain distributions, nor is there any assurance that the level of distributions will increase over time, that there will be contractual increases in rent under the leases of the Properties or that the receipt of rental income in connection with expansion of the properties or acquisitions of properties will increase Sabana Shari’ah Compliant REIT’s cash flow available for distribution to Unitholders.

Market and economic conditions may affect the market price and demand for the Units. Movements in domestic and international securities markets, economic conditions, foreign exchange rates and financing costs may affect the market price of, and demand for, the Units. An increase in market financing costs may have an adverse impact on the market price of the Units if the annual yield on the price paid for the Units gives investors a lower return as compared to other investments.

New issues of Units may cause dilution to existing Unitholders. The Trust Deed contemplates new issues of Units and the Manager may issue new Units, including pursuant to equity fund raising exercises or for the payment of fees to the Manager in the form of Units. Such new issues of Units may have a dilutive effect on the unitholdings and rights of Unitholders. Furthermore, the offering price for such new issues of Units may be above, at or below the then current NAV per Unit. The DPU may be diluted if new Units are issued and the use of proceeds from such issue of Units generates insufficient cash flow to cover dilution. Where new Units, including Units which may be issued to the Manager in payment of the Manager’s management, acquisition and/or divestment fees, are issued at less than the NAV per Unit, the then current NAV of each existing Unit may be diluted.

The laws, regulations and accounting standards in Singapore and any other jurisdictions in which Sabana Shari’ah Compliant REIT may operate may change. Sabana Shari’ah Compliant REIT may be affected by the introduction of new or revised legislation, regulations, accounting standards or recommended accounting practice. Accounting standards in Singapore are subject to change as accounting standards in the country are further aligned with international accounting standards. The financial statements of Sabana Shari’ah Compliant REIT may be affected by the introduction of such revised accounting standards or recommended accounting practice. The extent and timing of these changes in accounting standards are unknown and subject to confirmation by the relevant authorities. The Manager has not quantified the effects of these proposed changes. There is no assurance that these changes, if any, will not: k have a significant impact on the presentation of Sabana Shari’ah Compliant REIT’s financial statements; k have a significant impact on Sabana Shari’ah Compliant REIT’s results of operations; k adversely affect the ability of Sabana Shari’ah Compliant REIT to make distributions to Unitholders;

57 k have an adverse effect on the ability of the Manager to carry out Sabana Shari’ah Compliant REIT’s investment strategy; or k have an adverse effect on the operations and financial condition of Sabana Shari’ah Compliant REIT.

Sabana Shari’ah Compliant REIT may be affected by the introduction of new or revised legislation, regulations, guidelines or directives affecting REITs. Sabana Shari’ah Compliant REIT may be affected by the introduction of new or revised legislation, regulations, guidelines or directions affecting REITs. There is no assurance that new or revised legislation, regulations, guidelines or directives will not adversely affect REITs generally or Sabana Shari’ah Compliant REIT specifically. For example, the level of taxation in Singapore is subject to such changes in laws and regulations and such changes, if any, may lead to an increase in tax rates or the introduction of new taxes. In particular, REITs currently enjoy certain tax concessions and stamp duty remissions until 31 March 2015. However, there can be no guarantee that such concessions and remissions will be extended after their expiry on 31 March 2015. Should these tax concessions and stamp duty remissions currently enjoyed by Sabana Shari’ah Compliant REIT not be extended after 31 March 2015, the level of distributions paid to the Unitholders may be adversely affected. Also, a temporary relief measure for the period 1 July 2009 to 31 December 2010 has been introduced under the Income Tax Act, Chapter 134 of Singapore (the “Income Tax Act”) to allow REITs to count distributions paid by such REITs to their unitholders in the form of units pursuant to a distribution reinvestment plan as a distribution of its Taxable Income for the purpose of satisfying the condition for tax transparency that REITs distribute at least 90.0% of their Taxable Income (the “Temporary Relief Measure”). Should such relief measure not be extended after 31 December 2010, this may limit the amount of distributions which Unitholders may receive in the form of Units, should the Manager decide to implement a distribution reinvestment plan.

Sabana Shari’ah Compliant REIT may not be able to comply with the terms of the Tax Ruling or the Tax Ruling may be revoked or amended. Sabana Shari’ah Compliant REIT has received the Tax Ruling from the IRAS under which tax transparency has been granted to Sabana Shari’ah Compliant REIT in respect of the income derived from the Properties. The Tax Ruling is subject to certain terms and conditions. These include undertakings by the Trustee and the Manager to take all reasonable steps necessary to safeguard the IRAS against the loss of tax as a result of the Tax Ruling and to comply with all administrative requirements to ensure ease of tax administration. The Tax Ruling may be revoked either in part or in whole or its terms may be reviewed and amended by the IRAS at any time. If the Tax Ruling is revoked or if Sabana Shari’ah Compliant REIT is unable to comply with its terms, Sabana Shari’ah Compliant REIT will be subject to Singapore tax on its Taxable Income and the tax will be assessed on, and collected from, the Trustee, in which case distributions to all Unitholders will be made after tax. In particular, in the event that Sabana Shari’ah Compliant REIT makes distributions in Units pursuant to a distribution reinvestment plan after 31 December 2010 and the Temporary Relief Measure is not extended, such distributions in Units may cause Sabana Shari’ah Compliant REIT to fail to meet the requirement in the Tax Ruling that it distributes at least 90.0% of its Taxable Income in the year where the income was derived. If Sabana Shari’ah Compliant REIT fails to meet the requirement that it distributes at least 90.0% of its Taxable Income, Sabana Shari’ah Compliant REIT will be subject to tax on its Taxable Income and the tax will be assessed on, and collected from, the Trustee, in which case distributions to all Unitholders will be made after tax.

58 In addition, if the terms of the Tax Ruling are amended, Sabana Shari’ah Compliant REITmay not be able to comply with the new terms imposed and this non-compliance could affect Sabana Shari’ah Compliant REIT’s tax transparent status and its ability to distribute its Taxable Income free of Singapore tax deduction at source. (See “Taxation — Terms and Conditions of the Tax Ruling” and Appendix D, “Independent Taxation Report” for more information on the terms of the Tax Ruling.)

Foreign Unitholders may not be permitted to participate in future rights issues or entitlements offerings by Sabana Shari’ah Compliant REIT.

The Trust Deed provides that the Manager may, in its absolute discretion, elect not to extend an offer of Units under a rights issue to those Unitholders whose addresses, as registered with CDP, are outside Singapore. The rights or entitlements to the Units to which such Unitholders would have been entitled will be offered for sale and sold in such manner, at such price and on such other terms and conditions as the Manager may determine, subject to such other terms and conditions as the Trustee may impose. The proceeds of any such sale will be paid to the Unitholders whose rights or entitlements have been so sold, provided that where such proceeds payable to the relevant Unitholders are less than S$10.00, the Manager is entitled to retain such proceeds as part of the Deposited Property. The holding of the relevant holder of the Units may be diluted as a result of such sale.

The actual performance of Sabana Shari’ah Compliant REIT and the Properties could differ materially from the forward-looking statements in this Prospectus.

This Prospectus contains forward-looking statements regarding, among others, forecast and projected distribution levels for the period from the Forecast Year 2011 to the Projection Year 2012. These forward-looking statements are based on a number of assumptions which are subject to significant uncertainties and contingencies, many of which are outside of the Manager’s control (see “Profit Forecast and Profit Projection — Assumptions”).

Sabana Shari’ah Compliant REIT’s revenue is dependent on a number of factors including the receipt of rent from the Properties pursuant to the Master Lease Agreements. This may adversely affect Sabana Shari’ah Compliant REIT’s ability to achieve the forecast and projected distributions as events and circumstances assumed may not occur as expected, or events and circumstances may arise which are not anticipated.

While the Manager expects to meet the forecast and projected distribution levels, no assurance is given that the assumptions will be realised and the actual distributions will be as forecast and projected.

The yield on the Units may be less than the property yield on the real estate to be held by Sabana Shari’ah Compliant REIT.

Generally, property yield depends on net property income and is calculated as the amount of revenue generated by the properties, less the expenses incurred in maintaining, operating, managing and leasing the properties compared against the current value of the properties.

Yield on the Units, however, depends on the distributions payable on the Units as compared with the purchase price of the Units. While there may be some correlation between these two yields, they are not the same and will vary accordingly for investors who purchase Units at a market price that differs from the price of the Units at the Offering. There can be no guarantee that the yield on the Units will be greater than or equal to the property yield on the real estate to be held by Sabana Shari’ah Compliant REIT.

59 Pro forma historical financial statements in relation to the Properties are not available. The Manager is unable to prepare pro forma statements of total return and cash flow statements to show the pro forma historical financial performance of Sabana Shari’ah Compliant REIT.(See “Unaudited Pro Forma Balance Sheet as at the Listing Date”.) There are therefore no pro forma financial statements by which the past performance of any or all of the Properties may be judged. This will make it more difficult for investors to assess their likely future performance. There is no assurance that the Properties will be able to generate sufficient revenue for Sabana Shari’ah Compliant REIT to make distributions to Unitholders or that such distributions will be in line with those set out in “Profit Forecast and Profit Projection”.

The Manager is not obliged to redeem Units. Unitholders have no right to request the Manager to redeem their Units while the Units are listed on the SGX-ST. Unitholders may only deal in their listed Units through trading on the SGX-ST.

The Units have never been publicly traded and the listing of the Units on the Main Board of the SGX-ST may not result in an active or liquid market for the Units. There is no public market for the Units prior to the Offering and an active public market for the Units may not develop or be sustained after the Offering. The Manager has received a letter of eligibility from the SGX-ST to have the Units listed and quoted on the Main Board of the SGX-ST. However, listing and quotation does not guarantee that a trading market for the Units will develop or, if a market does develop, the liquidity of that market for the Units. Prospective Unitholders must be prepared to hold their Units for an indefinite length of time.

There is no assurance that the Units will remain listed on the SGX-ST. Although it is intended that the Units will remain listed on the SGX-ST,there is no guarantee of the continued listing of the Units. Sabana Shari’ah Compliant REIT may not continue to satisfy the listing requirements.

Certain provisions of the Singapore Code on Take-overs and Mergers could have the effect of discouraging, delaying or preventing a merger or acquisition which could adversely affect the market price of the Units. Under the Singapore Code on Take-overs and Mergers, an entity is required to make a mandatory offer for all the Units not already held by it and/or parties acting in concert with it (as defined by the Singapore Code on Take-overs and Mergers) in the event that an increase in the aggregate unitholdings of it and/or parties acting in concert with it results in the aggregate unitholdings crossing certain specified thresholds. While the Singapore Code on Take-overs and Mergers seeks to ensure an equality of treatment among Unitholders, its provisions could substantially impede the ability of Unitholders to benefit from a change in control and, as a result, may adversely affect the market price of the Units and the ability to realise any potential change of control premium.

The price of the Units may decline after the Offering. The Offering Price of the Units is determined by agreement between the Manager and the Joint Bookrunners. The Offering Price may not be indicative of the market price for the Units upon completion of the Offering. The trading price of the Units will depend on many factors, including: k the perceived prospects of Sabana Shari’ah Compliant REIT’s business and investments and the market for industrial properties or real estate-related assets; k differences between Sabana Shari’ah Compliant REIT’s actual financial and operating results and those expected by investors and analysts; k changes in analysts’ recommendations or projections;

60 k changes in general economic or market conditions; k the market value of Sabana Shari’ah Compliant REIT’s assets; k the perceived attractiveness of the Units against those of other equity or debt securities, including those not in the real estate sector; k the balance of buyers and sellers of the Units; k the size and liquidity of the Singapore REIT market from time to time; k any changes from time to time to the regulatory system, including the tax system, both generally and specifically in relation to Singapore REITs; k the ability on the Manager’s part to implement successfully its investment and growth strategies; k foreign exchange rates; and k broad market fluctuations, including increases in financing costs and weakness of equity and debt markets. Units may trade at prices that are higher or lower than the NAV per Unit. To the extent that Sabana Shari’ah Compliant REIT retains operating cash flow for investment purposes, working capital reserves or other purposes, these retained funds, while increasing the value of Sabana Shari’ah Compliant REIT’s underlying assets, may not correspondingly increase the market price of the Units. Any failure to meet market expectations with regard to future earnings and cash distributions may adversely affect the market price for the Units. The Units are not capital-safe products. There is no guarantee that Unitholders can regain the amount invested. If Sabana Shari’ah Compliant REIT is terminated or liquidated, investors may lose a part or all of their investment in the Units.

Third parties may be unable to recover in claims brought against the Manager as the Manager is not an entity with significant assets. Third parties, in particular, Unitholders, may in future have claims against the Manager in connection with the carrying on of its duties as manager of Sabana Shari’ah Compliant REIT (including in relation to the Offering and this Prospectus). Under the terms of the Trust Deed, the Manager is indemnified from the Deposited Property against any actions, costs, claims, damages, expenses or demands to which it may be put as the manager of Sabana Shari’ah Compliant REITunless occasioned by the fraud, gross negligence, wilful default or breach of the Trust Deed by the Manager. In the event of any such fraud, gross negligence, wilful default or breach, only the assets of the Manager itself and not the Deposited Property would be available to satisfy a claim.

61 SHARI’AH COMPLIANCE OF SABANA SHARI’AH COMPLIANT INDUSTRIAL REAL ESTATE INVESTMENT TRUST

OVERVIEW Sabana Shari’ah Compliant REIT will be Singapore’s first certified Shari’ah compliant REIT. In addition to the conventional global investor base that is customary for Singapore REITs, Sabana Shari’ah Compliant REIT will be unique among Singapore REITs in its ability to tap a separate pool of capital, namely that of Shari’ah investors who require their investments to be made in accordance with Shari’ah investment principles. This allows Sabana Shari’ah Compliant REIT to appeal to a wider and broader set of potential investors as compared to conventional REITs listed in Singapore, which could result in greater demand for Units than if Sabana Shari’ah Compliant REIT were not Shari’ah compliant. Sabana Shari’ah Compliant REIT is being offered as a Shari’ah compliant REIT so as to offer conventional and Shari’ah investors the potential for regular and stable distributions and long- term growth in NAV and DPU, and hence the traditional characteristics of listed equity. In order to be a Shari’ah compliant REIT, Sabana Shari’ah Compliant REIT will be managed by the Manager in accordance with Shari’ah principles and shall adhere to such investment principles in addition to the laws, rules and regulations of any other relevant regulatory or supervisory body or agency applicable to Sabana Shari’ah Compliant REIT1. The Manager has appointed Five Pillars as the Shari’ah Adviser. The role of the Shari’ah Adviser is to serve as a conduit between the Independent Shari’ah Committee and the compliance officer and advise the Manager on all matters relating to Shari’ah compliance. Additionally, the Shari’ah Adviser is engaged as a secretariat to the Independent Shari’ah Committee and will, on behalf of the Independent Shari’ah Committee, collect, collate and relay all necessary and relevant data from the Manager to the Independent Shari’ah Committee. Representatives from the Shari’ah Adviser may also inspect and verify the properties and activities of Sabana Shari’ah Compliant REITon behalf of the Independent Shari’ah Committee. The Shari’ah Adviser has presented the Manager with qualified independent Shari’ah scholars from its panel and the Manager has selected and accepted such Shari’ah scholars into the Independent Shari’ah Committee. (See “The Manager and Corporate Governance — The Independent Shari’ah Committee — Expertise and experience of the Independent Shari’ah Committee members” for further details of the qualifications of the Shari’ah scholars.) The Independent Shari’ah Committee has been appointed to ensure the initial as well as continued Shari’ah compliance of Sabana Shari’ah Compliant REIT. This involves, amongst others, drawing up the Shari’ah Guidelines to ensure that Sabana Shari’ah Compliant REIT continues to remain Shari’ah compliant, and providing the required Shari’ah Certification. (See “The Manager and Corporate Governance — The Manager of Sabana Shari’ah Compliant REIT — The Independent Shari’ah Committee” for further details.) The Independent Shari’ah Committee has the final and only say in drawing up the Shari’ah Guidelines, determining the criteria for the Shari’ah compliance of Sabana Shari’ah Compliant REIT and providing the required Shari’ah Certification. The Manager and the Shari’ah Adviser will not be involved in, nor have any influence over, the decision-making process of the Independent Shari’ah Committee. The key distinguishing features of Sabana Shari’ah Compliant REIT, as a Shari’ah compliant REIT, are as follows: k Asset selection — Sabana Shari’ah Compliant REIT is required to ensure that the total rental income derived from lessees, tenants and/or sub-tenants (as the case may be)

1 Where Shari’ah principles conflict with the laws, rules and regulations applicable to Sabana Shari’ah Compliant REIT, such laws, rules and regulations shall prevail.

62 engaging in Non-permissible Activities does not exceed 5.0% per annum of the Gross Revenue of Sabana Shari’ah Compliant REIT’s portfolio of properties. k Financing, investment and deposit facilities — Sabana Shari’ah Compliant REIT is required to ensure that its financing, investment and deposit facilities are Shari’ah compliant where commercially available. If such Shari’ah compliant financing, investment and deposit facilities are unavailable or the utilisation of such facilities by Sabana Shari’ah Compliant REIT is not commercially viable, Sabana Shari’ah Compliant REIT shall be entitled to utilise conventional financing, investment and deposit facilities within certain specified limits, provided that prior approval from the Independent Shari’ah Committee is obtained. k Insurance — Sabana Shari’ah Compliant REIT is required to seek Takaful for insurance coverage purposes where it is commercially available. If Takaful is unavailable or the utilisation of Takaful by Sabana Shari’ah Compliant REIT is not commercially viable, Sabana Shari’ah Compliant REIT shall be entitled to opt for conventional insurance schemes, provided that prior approval from the Independent Shari’ah Committee is obtained. k Risk management solutions — Sabana Shari’ah Compliant REIT is permitted to utilise derivative instruments such as forward currency contracts for the purpose of risk management. Sabana Shari’ah Compliant REIT is required to utilise Shari’ah compliant risk management solutions where they are commercially available. If such Shari’ah compliant risk management solutions are unavailable or the utilisation of such risk management solutions by Sabana Shari’ah Compliant REIT is not commercially viable, Sabana Shari’ah Compliant REIT shall be entitled to utilise conventional risk management solutions, provided that prior approval from the Independent Shari’ah Committee is obtained.

THE SHARI’AH ADVISER Five Pillars Sabana Shari’ah Compliant REIT has engaged Five Pillars Pte. Ltd., a Singapore-based Islamic finance advisory firm that specialises in Shari’ah advisory, training and structuring products that are Shari’ah compliant, to act as its Shari’ah Adviser. Five Pillars has been providing Islamic finance consultancy services since its incorporation in July 2008. Prior to this, such Islamic finance consultancy services were provided through Five Pillars Associates Pte. Ltd., which was incorporated in July 2005. Five Pillars is focused on delivering Shari’ah based solutions to conventional financial institutions such as banks, international investment funds, insurance companies, private equity funds on the demand side and companies wanting to access funds from Shari’ah investors on the supply side. Five Pillars also assists investment managers in identifying companies that are Shari’ah compliant for investment purposes. Mr Raja Mohamad Maiden is the key management officer and a director of Five Pillars. Mr Mohamad has over 20 years experience in the banking and financial industry. Five Pillars has on its panel, six Islamic finance scholars who have previously undertaken various Islamic finance projects including research and advisory work for fund managers and financial institutions both in Singapore and around the region. Five Pillars’ prior experience in advising on Shari’ah compliant equity products in Singapore includes advising on Singapore’s first Shari’ah compliant data centre fund in 2010, and advising a conventional REIT listed in Singapore on potentially becoming Shari’ah compliant in 2008. Abroad, Five Pillars has previously dedicated its resources to teaching Islamic finance in Jeddah, Saudi Arabia, for one of the largest domestic Islamic financial institutions. Five Pillars has signed an on-going exclusive agreement with Saudi HRD, a Riyadh based management consultancy firm. The arrangement is for Five Pillars to provide Saudi HRD’s Islamic finance training module.

63 Five Pillars is also registered with the Securities Commission of Malaysia as a Shari’ah adviser for Islamic Fund Management.

Role of the Shari’ah Adviser The Shari’ah Adviser will serve as a conduit between the Independent Shari’ah Committee and the compliance officer, and will provide advice on, amongst others, the implementation of the Shari’ah Guidelines. (See “The Manager and Corporate Governance — Corporate Governance of the Manager — Compliance Officer” for more information on the role of the compliance officer.) The Shari’ah Adviser will, on behalf of the Independent Shari’ah Committee, collect, collate and relay all necessary and relevant data from the Manager to the Independent Shari’ah Committee. Representatives from the Shari’ah Adviser may also inspect the properties and activities of Sabana Shari’ah Compliant REIT on behalf of the Independent Shari’ah Committee. The Shari’ah Adviser will also be available to advise the Manager on all Shari’ah related matters.

Removal of the Shari’ah Adviser As mentioned, the Manager has appointed the Shari’ah Adviser pursuant to a Shari’ah consultancy agreement, which will continue to be in force until it is terminated in accordance with its provisions. Under the Shari’ah consultancy agreement, the Manager or the Shari’ah Adviser may terminate the Shari’ah consultancy agreement by giving at least three months’ prior notice in writing, or by notice in writing immediately on the occurrence of certain specified events, including the insolvency of the other party or if the other party commits any material breach of its obligations under the Shari’ah consultancy agreement and (if such breach is capable of remedy) fails to make good such breach within 30 days of receipt of notice served by the other party requiring it to make good such breach. In addition, the Manager may terminate the Shari’ah consultancy agreement by notice in writing immediately if all members of the Independent Shari’ah Committee are unable to provide the services for which the Shari’ah Adviser has procured it to provide or the Shari’ah Adviser is unable to provide replacement members of the Independent Shari’ah Committee to the satisfaction of the Manager within the stipulated periods. The Manager will notify the Trustee when selecting and appointing or changing the Shari’ah adviser, provided that the Manager retains sole discretion to select and appoint or change the Shari’ah adviser. Any change of the Shari’ah adviser and the reason(s) for such change will be announced to Unitholders via SGXNET.

HSBC AMANAH The Commodity Murabaha Facility from The Hongkong and Shanghai Banking Corporation Limited, United Overseas Bank Limited and Malayan Banking Berhad and the profit rate hedging arrangement have been certified Shari’ah compliant by the HSBC Amanah Central Shari’ah Committee. Established in 1998, HSBC Amanah is the global Islamic financial services division of the HSBC Group. Its principal activities include Takaful businesses, advisory services, wealth management, treasury and risk management as well as institutional and private banking services that are Shari’ah compliant. HSBC Amanah employs more than 300 professionals and has presence in nine countries including Bangladesh, Brunei, Indonesia, Malaysia, Saudi Arabia, Singapore, the United Arab Emirates, the United Kingdom and the U.S..

THE INDEPENDENT SHARI’AH COMMITTEE The Independent Shari’ah Committee is an external committee comprising independent Shari’ah scholars selected by the Manager based on the advice of the Shari’ah Adviser. As part of the

64 selection process, the Shari’ah Adviser has recommended suitable candidates to the Manager and the Manager has, from this pool of suitable candidates, selected three independent Shari’ah scholars to serve as members of the Independent Shari’ah Committee. The Manager has the sole right to determine and vary the composition of the Independent Shari’ah Committee and the sole discretion to accept or reject the recommendations of the Shari’ah Adviser in relation to the members or replacement members of the Independent Shari’ah Committee. In addition, the Manager is entitled to review the composition of the Independent Shari’ah Committee at least once every financial year of Sabana Shari’ah Compliant REIT and request the replacement of any member of the Independent Shari’ah Committee by giving written notice to the Shari’ah Adviser. The Manager will notify the Trustee when determining or varying the composition of the Independent Shari’ah Committee, provided that the Manager retains sole discretion to determine or vary the composition of the Independent Shari’ah Committee. All appointments and resignations of members of the Independent Shari’ah Committee or variation of the composition of the Independent Shari’ah Committee and the reason(s) for the variation of the composition of the Independent Shari’ah Committee will be announced to Unitholders via SGXNET. (See “Independent Shari’ah Committee Member Replacement Process” for further details.) While there is no minimum number of panel members required to form a Shari’ah committee, a Shari’ah committee typically comprises three members. The three panel members of the Independent Shari’ah Committee are: k Dr. Mohamed Ali Elgari; k Professor Dr. Obiyathulla Ismath Bacha; and k Dr. Ashraf bin Mohammed Hashim. The appointment of Independent Shari’ah Committee members comes under the purview of the board of directors of the Manager (“Board”). There are no guidelines on the appointment and the Board may rely on the adviser and/or their independent research to select an Independent Shari’ah Committee member. The Board will assess the suitability of Shari’ah Committee members based on various criteria, including, but not limited to, a Shari’ah scholar’s experience (including the number of panels the scholar sits on and the products that the scholar has endorsed), availability and qualifications.

Expertise and experience of the Independent Shari’ah Committee members Information on the working experience of the members of the Independent Shari’ah Committee is set out below: Dr. Mohamed Ali Elgari is a Professor of Islamic Economics at King Abdulaziz University, Jeddah, Saudi Arabia and a former director of the Center for Research in Islamic Economics at the same university. Dr. Elgari is an Expert at the Islamic Jurisprudence Academy of the Organization of the Islamic Conference and the Islamic Jurisprudence Academy of the Islamic World League (“IWL”) and a member of the Shari’ah Council of AAOFI. Dr.Elgari is a member of the editorial board of several academic publications in the field of Islamic finance and jurisprudence including, amongst others, the Journal of the Jurisprudence Academy of the IWL, the Journal of Islamic Economic Studies of the Islamic Development Bank and the Journal of Islamic Economic of the International Association of Islamic Economic, London. Dr. Elgari also sits on the advisory board of Harvard Series in Islamic Law. Dr. Elgari is member of numerous Shari’ah boards of Islamic banks and Takaful companies including the Dow Jones Islamic Market Index, the Accounting and Auditing Organization for Islamic Financial Institutions, the International Islamic Fund Market, Citi Islamic Investment

65 Bank, HSBC Amanah (as defined herein), Merrill Lynch, the National Commercial Bank, Samba Financial Group and many more. He authored several books in Islamic finance and published tens of articles on the subject both in Arabic and English. Dr. Elgari is also a frequent speaker in conferences worldwide and was a visiting scholar at Harvard University in 1995. Dr. Elgari is the recipient of the Islamic Development Bank prize in Islamic Banking and Finance for the year 1424 Hijrah (2004). Dr. Elgari holds a Doctor of Philosophy from the University of California. Professor Dr. Obiyathulla Ismath Bacha is a Professor of Finance and the Head of the Graduate Studies and Finance and Accounting Departments at the International Centre for Education in Islamic Finance (“INCEIF”). Prior to joining INCEIF,he held several key positions at the International Islamic University Malaysia. Before that, Professor Obiyathulla was at Malayan Banking Berhad from May 1984 to August 1985. Professor Obiyathulla was also an Assistant Professor of Finance at Boston University, where he taught at both MBA and undergraduate levels. Professor Obiyathulla is Vice President of the Malaysian Economic Association and a committee member of the Malaysian Finance Association. Professor Obiyathulla has also been a trainer at several institutions such as the Securities Commission of Malaysia and the Central Bank of Malaysia. He has also been published in numerous local and international journals and has presented papers at several international and Islamic finance conferences. Professor Obiyathulla is a member of the Shari’ah panels of Great Eastern Malaysia (Shari’ah compliant products) and Securus Data Property Fund Pte. Ltd., Singapore. Professor Obiyathulla received his Doctor of Business Administration (Finance), Master of Business Administration (High Honours) and Master of Arts (Economics) from Boston University and Bachelor of Social Science from the University Science Malaysia. Dr. Ashraf bin Mohammed Hashim is currently an Associate Professor at the Department of Fiqh and Usul Fiqh, Kulliyyah of Islamic Revealed Knowledge and Human Sciences, International Islamic University Malaysia (“IIUM”). He also serves as a Senior Researcher at the International Shariah Research Academy for Islamic finance and a Professor at INCEIF. Dr. Ashraf has to his credit, two books and a number of articles relating to Islamic law and Islamic finance published in local and international journals and was a Visiting Research Fellow at the Oxford Centre for Islamic Studies, United Kingdom from November 2006 to August 2007. Dr. Ashraf has vast experience in providing Shari’ah views on retail and investment banking products, Sukuk structuring and unit trusts and is also actively involved in advising Takaful and Retakaful companies. He is currently a member of the Shari’ah advisory council of Bank Negara Malaysia, a Shari’ah committee member for Al-Rajhi Banking and Investment Corporation (Malaysia), ACR Retakaful Malaysia & Bahrain and Securus Data Centre Fund, and was previously a Shari’ah committee member for Alliance Bank, Takaful Malaysia and Asean Retakaful International Limited, amongst others. Dr. Ashraf holds a Postgraduate Diploma in Shari’ah Law and Practice from IIUM, a Doctor of Philosophy in Islamic Law from Birmingham University (U.K.), a Master of Arts, Fiqh and Usul al- Fiqh (Jordan) and a Bachelor of Arts, Shari’ah (Madinah) and is proficient in English, Arabic and Malay.

Role of the Independent Shari’ah Committee The primary role of the Independent Shari’ah Committee is to ensure the Shari’ah compliance of Sabana Shari’ah Compliant REIT. This involves, among other measures, making an initial evaluation of the Shari’ah compliance of Sabana Shari’ah Compliant REIT and its initial portfolio, drawing up the Shari’ah Guidelines to ensure that Sabana Shari’ah Compliant REIT is, and continues to remain, Shari’ah compliant and issuing the Shari’ah Certification.

66 The Independent Shari’ah Committee’s responsibilities also include: k examining and verifying all relevant documents and agreements entered into by Sabana Shari’ah Compliant REIT as well as data, statistics and financial information of Sabana Shari’ah Compliant REIT to ensure that they are compliant with Shari’ah principles; k ensuring that actual site visits to all the properties owned by Sabana Shari’ah Compliant REIT are made by the Shari’ah Adviser to verify and confirm that the activities at such properties do not contravene Shari’ah principles; k upon the completion of the comprehensive evaluation exercise mentioned in the paragraphs above, providing and establishing Shari’ah Guidelines for the Manager; k issuing the Shari’ah Certification on an annual basis where the Independent Shari’ah Committee is of the view that Sabana Shari’ah Compliant REIT is Shari’ah compliant; k monitoring the operations of Sabana Shari’ah Compliant REIT periodically and on an ad hoc basis with a view to ensuring Shari’ah compliance; k updating the Shari’ah Guidelines as and when necessary, and meeting with the Manager to brief the Manager on such updates of the Shari’ah Guidelines; k advising and instituting procedures for the cleansing of revenue or income that is deemed to be non-Shari’ah; and k advising and guiding the Manager on all Shari’ah matters in relation to Sabana Shari’ah Compliant REIT.

The Independent Shari’ah Committee has issued the Shari’ah Guidelines and the Shari’ah Certification in relation to the Offering.

The Manager and the Shari’ah Adviser have entered into a Shari’ah consultancy agreement, pursuant to which the Shari’ah Adviser is responsible for procuring that the Independent Shari’ah Committee performs its duties and responsibilities. The Independent Shari’ah Committee has the final and only say in drawing up the Shari’ah Guidelines, determining the criteria for the Shari’ah compliance of Sabana Shari’ah Compliant REIT and providing the required Shari’ah Certification. The Manager and the Shari’ah Adviser will not be involved in, nor have any influence over, the decision-making process of the Independent Shari’ah Committee.

SHARI’AH COMPLIANCE PROCEDURE

The Shari’ah compliance procedure of Sabana Shari’ah Compliant REIT was considered and adopted by the Independent Shari’ah Committee.

Although Sabana Shari’ah Compliant REIT is not required to be governed by the accounting, auditing, governance, ethics and Shari’ah standards of the Auditing and Accounting Organisation of the Islamic Financial Institutions (“AAOIFI”) and/or the Islamic Financial Services Board (“IFSB”), both of which are international bodies that issue standards to promote the soundness and stability of the Islamic financial services industry, the Independent Shari’ah Committee will look to the recommendations of AAOIFI and IFSB and will apply them if deemed relevant, appropriate and possible1.

The Shari’ah Adviser has taken into account the Shari’ah standards promulgated by the AAOIFI and IFSB to draw up the Shari’ah compliance procedure of Sabana Shari’ah Compliant REIT.

1 The standards and principles issued by AAOIFI and IFSB serve as guiding standards and principles within the Islamic financial service industry and are to be distinguished from globally accepted standards and/or conventions such as GAAP.

67 As part of the Shari’ah compliance procedure in relation to the issuance of the Shari’ah Certification for the purposes of the Offering, the following tasks have been undertaken by the Independent Shari’ah Committee and the Shari’ah Adviser: k The Independent Shari’ah Committee and the Shari’ah Adviser have examined and verified all tenancy and leasing agreements (including other relevant documents) and have advised on required amendments or clauses to make such tenancy and leasing agreements Shari’ah compliant; k The Shari’ah Adviser has visited all of the Properties to ensure that the activities at these premises are Shari’ah compliant and match the respective tenancy and leasing agreements; k The Independent Shari’ah Committee and the Shari’ah Adviser have formulated a cleansing procedure for Sabana Shari’ah Compliant REIT, to be applied to unavoidable non-Shari’ah compliant activities before distributions are made to Unitholders (see “Shari’ah Compliance of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust — Shari’ah Guidelines — Cleansing Process for Income from Non-Shari’ah Compliant Sources or Non-core Activities”); k The Independent Shari’ah Committee and the Shari’ah Adviser have reviewed the documentation relating to the Commodity Murabaha Facility and the profit rate hedging arrangement. For the avoidance of doubt, while the Independent Shari’ah Committee has also reviewed the Commodity Murabaha Facility and the profit rate hedging arrangement in providing the Shari’ah Certification, only the HSBC Amanah Central Shari’ah Committee has provided the certification of the Shari’ah compliance of the Commodity Murabaha Facility and the profit rate hedging arrangement; k The Independent Shari’ah Committee and the Shari’ah Adviser have verified that cash and cash equivalent instruments are managed in bank accounts that are in accordance with Islamic finance principles; k The Independent Shari’ah Committee and the Shari’ah Adviser have examined and verified the accounts and financial statements of Sabana Shari’ah Compliant REIT and have verified that computation of monies and financial matters are Shari’ah compliant; and k The Independent Shari’ah Committee and the Shari’ah Adviser have examined and verified that all derivative instruments used for the purposes of risk management are Shari’ah compliant. The Independent Shari’ah Committee has also formulated a procedure, as set out in the Shari’ah Guidelines, for Sabana Shari’ah Compliant REIT to deal with any incidental profits arising from such positions (see “Shari’ah Compliance of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust — Shari’ah Guidelines — Cleansing Process for Income from Non-Shari’ah Compliant Sources or Non-core Activities”). While the lease agreements with the tenants of 9 Tai Seng Drive to be novated to the Trustee will not contain a requirement for the activities of such tenants to be Shari’ah compliant as such lease agreements had already been entered into prior to the acquisition of 9 Tai Seng Drive by Sabana Shari’ah Compliant REIT, all non-Shari’ah compliant activities of such tenants have been identified and will be cleansed. The Manager only intends to renew the lease agreements of tenants whose activities are Shari’ah compliant and, on the renewal of such lease agreements, the Manager will insert the requirement for the activities of such tenants to be Shari’ah compliant into the lease agreements being renewed. The Shari’ah Certification issued in relation to the Offering is valid for one year from the date of its issue and will be issued annually on an ongoing basis provided that Sabana Shari’ah Compliant REIT remains Shari’ah compliant. The annual audit for the Independent Shari’ah Committee to

68 issue the Shari’ah Certification will be carried out by the Independent Shari’ah Committee with the assistance of the Shari’ah Adviser. The procedure for assessing the ongoing Shari’ah compliance of Sabana Shari’ah Compliant REIT prior to the issuance of the annual Shari’ah Certification is as follows: k The Independent Shari’ah Committee and the Shari’ah Adviser will conduct periodic and ad hoc reviews at least once a year to ensure that Sabana Shari’ah Compliant REIT remains Shari’ah compliant; k The Shari’ah Adviser will visit the properties in the property portfolio of Sabana Shari’ah Compliant REIT (including future acquisitions) on an ad hoc basis and as part of the annual audit for the Independent Shari’ah Committee to issue the Shari’ah Certification to ensure that the activities at these premises are Shari’ah compliant and match the respective tenancy and leasing agreements; and k In the event that there is a change resulting in unavoidable non-Shari’ah compliant activities, the Independent Shari’ah Committee has to ensure that the due cleansing procedure is applied to the additional non-Shari’ah compliant activities before any distributions are made to Unitholders (see “Shari’ah Compliance of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust — Shari’ah Guidelines — Cleansing Process for Income from Non-Shari’ah Compliant Sources or Non-core Activities”). On completion of the annual audit in connection with the issuance of the Shari’ah Certification, the Independent Shari’ah Committee will issue and sign-off on an annual audit report to be submitted to the Manager annually. Such annual audit report may be disclosed in the annual report. The Independent Shari’ah Committee and the Shari’ah Adviser will review and amend the Shari’ah Guidelines as and when such review and amendment is necessary. The Independent Shari’ah Committee and the Shari’ah Adviser, in undertaking the above procedures, will require the Manager to: k provide the Independent Shari’ah Committee and/or the Shari’ah Adviser with all relevant data reasonably required by them for inspection at any time; k appoint a single contact point who will act as a liaison officer between the Manager, the Independent Shari’ah Committee and Shari’ah Adviser; and k highlight, as soon as practicable, to the Independent Shari’ah Committee and the Shari’ah Adviser, any event of deviation or changes in the operations, financing, deposit, investment, insurance or risk management activities that may affect the Shari’ah compliance of Sabana Shari’ah Compliant REIT. The Manager has appointed a compliance officer who will act as the liaison officer between the Manager, the Independent Shari’ah Committee and the Shari’ah Adviser. (See “The Manager and Corporate Governance — Corporate Governance of the Manager — Compliance Officer” for more information on the role of the compliance officer.)

69 SHARI’AH GUIDELINES In accordance with the Shari’ah procedure described above, the Manager, in consultation with the Independent Shari’ah Committee, is responsible for compliance and will, in managing Sabana Shari’ah Compliant REIT, act in accordance with the following Shari’ah Guidelines:

Leasing of Real Estate for Business Purposes Acquiring real estate with existing tenant(s) and/or sub-tenants(s) The Manager must make a thorough assessment of the existing tenants operating in the property targeted for acquisition. This assessment is to ensure that the tenants and/or sub-tenants are not involved in any Non-permissible Activities. If, however, there are tenants and/or sub-tenants involved in Non-permissible Activities, the following guidelines shall be applied: k The nature of the Non-permissible Activity must be clearly outlined. k The percentage of Gross Revenue generated from the Non-permissible Activities must be identified. k If the amount of revenue generated from the Non-permissible Activities cannot be identified, other methods of computing the percentage of the Non-permissible Activity must be identified, for example, by percentage of GFA. k The Independent Shari’ah Committee shall then be consulted and an explicit approval shall be obtained from the Independent Shari’ah Committee prior to the acquisition of the property. k The Independent Shari’ah Committee shall consider and subsequently approve the percentage of Non-permissible Activities allowed, the discharge of the revenue and the cleansing process, or decide to provide a moratorium period for the tenants or such other course of action as the Independent Shari’ah Committee may deem reasonable. Such decisions made by the Independent Shari’ah Committee shall be followed through and implemented by the Manager and a status report shall be furnished accordingly. In the event the Independent Shari’ah Committee decides to disallow the tenant or the entire property, as the case may be, and the decision is final, the Manager shall terminate all discussions with the vendor on the relevant acquisition.

Renting out real estate to new tenant(s) To the extent possible, the Manager will only accept new tenants if their core business activities do not contain any of the Non-permissible Activities. However, if the tenants have components of Non-permissible Activities as part of their sources of revenue, such proportion of Gross Revenue from the Non-permissible Activities or GFA operated by the Non-permissible Activities, whichever applicable, shall be quantified and reported to the Independent Shari’ah Committee for approval.

Financing, Investment and Deposit Facilities The Manager must ensure that all the financing, investment and deposit facilities of Sabana Shari’ah Compliant REITare Shari’ah compliant where commercially available. Any surplus cash targeted for deposit placement, whether in a current account or fixed deposit account will be Shari’ah compliant and any financing facilities obtained by Sabana Shari’ah Compliant REITshall primarily be on the basis of Shari’ah compliant products. The Shari’ah compliance of any subsequent refinancing undertaken by Sabana Shari’ah Compliant REIT will have to be certified at the point in time that it is entered into.

70 If such Shari’ah compliant financing, investment and deposit facilities are unavailable or the utilisation of such facilities by Sabana Shari’ah Compliant REIT is not commercially viable, Sabana Shari’ah Compliant REIT shall be entitled to utilise banking facilities (i.e. for deposit and financing) from a non-Islamic financial institution. The use of such banking facilities from a non- Islamic financial institution is subject to the requirement that the following limits shall not be breached at all times in order for Sabana Shari’ah Compliant REIT to remain Shari’ah compliant: k total interest-based debt (not including Islamic financing facilities) to trailing 12-month average NAV ratio shall be less than 33.0%; and k sum of cash and interest-bearing securities to trailing 12-month average NAV ratio shall be less than 33.0%. In addition to the above, all accounts receivable to trailing 12-month NAV ratio shall be less than 33.0%. If the above ratios are breached, under any circumstances whatsoever, the Manager shall bring it back within the threshold within a period of two reporting quarters or six months, whichever is sooner. Moreover, prior approval from the Independent Shari’ah Committee must be obtained before the Manager accepts any banking facility from a non-Islamic financial institution, even if the above ratios are not breached.

Insurance Sabana Shari’ah Compliant REIT is required to seek Takaful for insurance coverage purposes where it is commercially available. If Takaful is unavailable or the utilisation of Takaful by Sabana Shari’ah Compliant REIT is not commercially viable, Sabana Shari’ah Compliant REIT shall be entitled to opt for conventional insurance schemes, provided that prior approval from the Independent Shari’ah Committee is obtained.

Risk Management Solutions Sabana Shari’ah Compliant REIT is permitted to utilise derivative instruments such as forward currency contracts for the purpose of risk management. Sabana Shari’ah Compliant REIT is required to utilise Shari’ah compliant risk management solutions where they are commercially available. If such Shari’ah compliant risk management solutions are unavailable or the utilisation of such risk management solutions by Sabana Shari’ah Compliant REIT is not commercially viable, Sabana Shari’ah Compliant REITshall be entitled to utilise conventional risk management solutions, provided that prior approval from the Independent Shari’ah Committee is obtained. The Independent Shari’ah Committee may approve the non-Shari’ah derivative instrument only if such derivative instrument is used for the sole purpose of risk management.

Cleansing Process for Income from Non-Shari’ah Compliant Sources or Non-core Activities There may be situations where Sabana Shari’ah Compliant REIT may have received income derived from non-Shari’ah compliant sources. Sabana Shari’ah Compliant REIT may also have incidental income from non-core activities, for example, currency options or penalties for late payment of rent. Income generated from non-Shari’ah compliant sources and non-core activities will be required to undergo a cleansing process. Such cleansing process will apply irrespective of whether the amount of income generated from non-Shari’ah compliant sources exceeds the amount permissible under the Shari’ah Guidelines for Sabana Shari’ah Compliant REIT to maintain its Shari’ah compliant status. The cleansing process requires Sabana Shari’ah Compliant REIT to donate the net amount of income which is derived from non-Shari’ah compliant sources or non-core activities (after deduction of applicable expenses) to charitable organisations or purposes, before any

71 distribution of net income is made to the Unitholders. Any donations made by the Manager shall be approved by the Independent Shari’ah Committee and reviewed by the Audit Committee. The Manager shall inform Unitholders of the amount of income that has been cleansed. When determining the income that requires cleansing, the Manager may need to make the following assumptions: k if there is any doubt by the Manager or the Independent Shari’ah Committee as to whether certain income received by Sabana Shari’ah Compliant REIT is derived from Shari’ah compliant or non-Shari’ah compliant sources, such income shall be cleansed; and k in the case of income derived from both Shari’ah compliant sources and non-Shari’ah compliant sources, if the Manager is unable to determine the proportion of such income which is attributable to the Shari’ah compliant source and the non-Shari’ah compliant source, the Manager may be required to cleanse the whole of such income. The total amount of net income subjected to the cleansing process and the identities of the relevant charitable organisations or purposes will be disclosed with Sabana Shari’ah Compliant REIT’s quarterly results. Income donated to charitable organisations or purposes will be accounted for under a category of expense entitled “Donation Expenses for Charitable Donation”, which shall be deducted from net income.

Revocation of the Shari’ah Certification In the event that there has been a material misrepresentation or wilful omission of any material information that was required by the Independent Shari’ah Committee for the purposes of issuing the Shari’ah Certification, the Independent Shari’ah Committee may revoke the Shari’ah Certification.

REMEDIAL PROCESS If any of the Shari’ah Guidelines are breached, the Manager must disclose such breach to the Independent Shari’ah Committee and the Shari’ah Adviser as soon as practicable. Such disclosure should include details of the nature of the breach and the circumstances leading to the breach. All relevant information and documents must also be provided alongside such disclosure. The Independent Shari’ah Committee, in discussion with the Manager, will explore all possible avenues to rectify the breach. In the event that no immediate rectification is possible, the Independent Shari’ah Committee will put on record an acknowledgment of the breach and the necessary rectification measures that the Manager will have to undertake. This record will indicate a mutually agreed time frame for the rectification and will be considered during the annual review of the Shari’ah compliance of Sabana Shari’ah Compliant REIT for the purpose of issuing the Shari’ah Certification. If Sabana Shari’ah Compliant REIT is unable to resolve any breach within the given time frame, the Manager would have to seek a further extension from the Independent Shari’ah Committee, citing reasons for the inability to rectify, or delay in rectifying, the breach. Where the Manager is in the process of rectifying a breach of the Shari’ah Guidelines which is required in order for Sabana Shari’ah Compliant REIT to be Shari’ah compliant, the Independent Shari’ah Committee may nonetheless issue the Shari’ah Certification. If the Independent Shari’ah Committee does not grant a further extension of time or the Manager is unable to resolve the breach within the extended time frame, the Independent Shari’ah Committee may not issue the Shari’ah Certification. In the event that Sabana Shari’ah Compliant REIT is unable to resolve any breach of the Shari’ah Guidelines within the given time frame and the Manager has sought a further extension of time from the Independent Shari’ah Committee, this will be announced to Unitholders via SGXNET.

72 The Independent Shari’ah Committee may also refuse to issue the Shari’ah Certification, or revoke the existing Shari’ah Certification, in the following circumstances: k where the Manager deliberately deviates from the Shari’ah Guidelines and indulges in activities that contravene the Shari’ah Guidelines; k where the Manager continuously breaches the Shari’ah Guidelines and refuses to rectify the position to an acceptable level; and k where there is a material misrepresentation or wilful omission of any material information that is otherwise required by the Independent Shari’ah Committee for the purposes of issuing the Shari’ah Certification.

Any refusal by the Independent Shari’ah Committee to issue, or revocation by the Independent Shari’ah Committee of, the Shari’ah Certification will be announced to Unitholders via SGXNET.

INDEPENDENT SHARI’AH COMMITTEE MEMBER REPLACEMENT PROCESS

Varying the composition of the Independent Shari’ah Committee

The Independent Shari’ah Committee comprises Dr. Mohamed Ali Elgari, Professor Dr. Obiyathulla Ismath Bacha and Dr. Ashraf bin Mohammed Hashim.

In the event that any Shari’ah scholar who is a member of the Independent Shari’ah Committee expresses an intention to retire from the Independent Shari’ah Committee, or is otherwise unable to discharge his duties as required, the Shari’ah Adviser shall inform the Manager accordingly and, where applicable, undertake a replacement process to facilitate the appointment of a replacement member.

In addition, the Manager is entitled to determine and, where the Manager deems fit upon consultation with the Shari’ah Adviser, vary the composition of the Independent Shari’ah Committee, including varying the number of members of the Independent Shari’ah Committee and the identities of the members of the Independent Shari’ah Committee. The Manager shall review the composition of the Independent Shari’ah Committee at least once in each financial year. In the event that the Manager decides to vary the composition of the Independent Shari’ah Committee, the Manager shall inform the Shari’ah Adviser accordingly and the Shari’ah Adviser shall, where applicable, undertake a replacement process to facilitate the appointment of a replacement member.

Replacement of a member of the Independent Shari’ah Committee

Where a replacement member is required to be appointed to the Independent Shari’ah Committee, the Shari’ah Adviser shall undertake the following replacement process in order to fill such Shari’ah scholar’s position on the Independent Shari’ah Committee: k The Shari’ah Adviser will, within one month after being informed that a replacement member of the Independent Shari’ah Committee is required, shortlist a pool of potential replacements based on various criteria, including, but not limited to, a Shari’ah scholar’s experience, availability and qualifications. k A list of the short-listed suitable candidates will be presented to the Manager and the Manager will select one of the Shari’ah scholars from this list. k The Shari’ah scholar accepted by the Manager will then be appointed to the Independent Shari’ah Committee.

73 The Manager will notify the Trustee when determining or varying the composition of the Independent Shari’ah Committee, provided that the Manager retains sole discretion to determine or vary the composition of the Independent Shari’ah Committee. All appointments and resignations of members of the Independent Shari’ah Committee or variation of the composition of the Independent Shari’ah Committee and the reason(s) for the variation of the composition of the Independent Shari’ah Committee will be announced to Unitholders via SGXNET.

74 USE OF PROCEEDS The Manager intends to raise gross proceeds of S$533.4 million from the Offering. Including the proceeds from the Sponsor Units and the Cornerstone Units, the gross proceeds to Sabana Shari’ah Compliant REIT will be between an aggregate of S$664.4 million. The Manager also intends to draw down from the Commodity Murabaha Facility, on the Listing Date, an amount of S$220.6 million. Under the Appendix 1 to the Third Schedule of the Securities and Futures (Offers of Investments) (Collective Investment Schemes) Regulations 2005, the Manager has up to 24 months to invest at least 35.0% of the Deposited Property in real estate. The total cash proceeds raised from the Offering, the Sponsor Units and the Cornerstone Units, as well as the amount drawn down from the Commodity Murabaha Facility, will be used towards the following: k payment to the Vendors for the purchase price of the Properties; and k payment of issue and debt related costs. The following table, included for the purpose of illustration, sets out the intended sources and applications of the total proceeds from the Offering, the Sponsor Units and the Cornerstone Units as well as the Commodity Murabaha Facility. Based on the Offering Price: Sources (S$’000) Applications (S$’000) Offering ...... 533,395 Acquisition of the Properties . . . . . 850,988 Sponsor Units ...... 28,350 Transaction costs (1), (2) ...... 34,015 Cornerstone Units ...... 102,695 Commodity Murabaha Facility . . . . 220,563 Total ...... 885,003 Total ...... 885,003

Notes: (1) Transaction costs include expenses incurred in relation to the Offering, the issuance of the Sponsor Units and Cornerstone Units, and the Commodity Murabaha Facility. (2) Includes applicable GST.Please see “Plan of Distribution — Issue Expenses” for a breakdown of estimated expenses.

LIQUIDITY As at the Listing Date, Sabana Shari’ah Compliant REIT will have cash and cash equivalents of S$31.1 million comprising rental income received in advance, security deposits and cash raised for the subsequent payment of the extension to 8 Commonwealth Lane amongst others, after the utilisation of S$8.1 million of such funds in payment of the acquisition costs in relation to the Properties. The cost for the extension to 8 Commonwealth Lane is S$14.1 million. The Manager believes that the remaining cash and cash equivalents of S$17.0 million will be sufficient for Sabana Shari’ah Compliant REIT’s working capital requirements over the next 12 months following the close of the Offering.

75 OWNERSHIP OF THE UNITS

UNITS TO BE ISSUED TO SUBSIDIARY OF THE SPONSOR On the Listing Date, concurrently with, but separate from the Offering, Singapore Enterprises, a wholly-owned subsidiary of Freight Links, will subscribe for 27,000,000 Units constituting 4.3% of the Units in issue on the Listing Date.

PRINCIPAL UNITHOLDERS OF SABANA SHARI’AH COMPLIANT REIT AND THEIR UNITHOLDINGS The total number of Units in issue immediately after completion of the Offering will be 632,800,000 Units. The following table sets out the principal Unitholders of Sabana Shari’ah Compliant REIT and their unitholdings immediately upon completion of the Offering: Units owned after the Offering (’000) (%) Direct 0 0 Freight Links Deemed(1) 27,000 4.3 Total 27,000 4.3 Al-Salam Bank-Bahrain B.S.C 28,571 4.5 Capital Investment & Brokerage/Jordan Ltd. Co. 17,806 2.8 Cornerstone Investors FIL Investment Management (Hong Kong) Limited (on behalf of various accounts) 27,619 4.4 Meren Pte Ltd 23,809 3.8 Total 97,805 15.5 Public and institutional investors 507,995 80.2

Notes: (1) Freight Links is deemed to be interested in the 27.0 million Units held by Singapore Enterprises, a direct wholly-owned subsidiary of Freight Links.

LOCK-UP The Sponsor has agreed to (i) a lock-up arrangement during the First Lock-up Period in respect of the Lock-up Units and (ii) a lock-up arrangement during the Second Lock-up Period in respect of 50.0% of the Lock-up Units, subject to certain exceptions. The Manager has also undertaken not to offer, issue or contract to issue any Units, or make any public announcements in connection with any of the foregoing transactions, during the First Lock-Up Period, subject to certain exceptions. (See “Plan of Distribution — Lock-up Arrangements”.) RESERVED UNITS 50,000,000 Units have been reserved under the Public Offer for subscription by the directors, management, employees and business associates of SIP (including its shareholders the Sponsor, Blackwood and TCP) and their subsidiaries. (See “Plan of Distribution”.)

76 SUBSCRIPTION BY THE SPONSOR

Concurrently with, but separate from the Offering, the Sponsor has entered into a subscription agreement to subscribe for an aggregate of 27,000,000 Units at the Offering Price, conditional upon the Underwriting Agreement having been entered into, and not having been terminated, pursuant to its terms on or prior to Settlement Date.

SUBSCRIPTION BY THE CORNERSTONE INVESTORS

Concurrently with, but separate from the Offering, each of the Cornerstone Investors has entered into a subscription agreement to subscribe for an aggregate of 97,804,555 Units at the Offering Price, conditional upon the Underwriting Agreement having been entered into, and not having been terminated, pursuant to its terms on or prior to Settlement Date.

Information on the Cornerstone Investors

Al Salam Bank-Bahrain B.S.C.

Headquartered in the Kingdom of Bahrain, Al Salam Bank-Bahrain B.S.C. is a dynamic, diversified and differentiated Islamic bank. Incorporated on 19 January 2006, Al Salam Bank-Bahrain B.S.C. operates under Islamic principles in accordance with regulatory requirements for Islamic banks set by the Central Bank of Bahrain. The Bank was listed on the Bahrain Stock Exchange on 27 April 2006, and subsequently on the Dubai Financial Market on 26 March 2008. In June 2008, Al Salam Bank-Bahrain B.S.C. incorporated its first Asian office in Singapore, Al Salam Asia-Pacific Pte Ltd. Al Salam Asia-Pacific Pte Ltd focuses on private equity and real estate investments in the Asia-Pacific region. As of 30 September 2010, the Bank’s capital base was US$537 million while total assets stood at US$2.24 billion. The Bank maintains a capital adequacy ratio of 26%.

Capital Investment & Brokerage/Jordan Ltd. Co.

Capital Investment & Brokerage/Jordan Ltd. Co. is a wholly-owned subsidiary of Capital Bank headquartered in Jordan. Capital Bank has a total paid up capital of over US$200 million and provides a wide variety of corporate and retail banking services. As the investment banking arm of Capital Bank, Capital Investment & Brokerage/Jordan Ltd. Co.’s primary business activities include, but are not limited to, corporate finance, asset management, securities brokerage and market research.

FIL Investment Management (Hong Kong) Limited

FIL Investment Management (Hong Kong) Limited is a member of the Fidelity Investment Managers group of companies. Fidelity Investment Managers provides investment products and services to individuals and institutional investors in Europe and Asia. Established in 1969, Fidelity Investment Managers has over 4,502 staff in 23 offices and manages US$200 billion assets under management (as at 31 March 2010). Fidelity Investment Managers has 6 million customer holdings and manages over 700 equity, fixed income, property and asset allocation funds.

Meren Pte Ltd

Meren Pte Ltd is a wholly-owned subsidiary of Metro Holdings Ltd, an SGX-listed company. The Metro group’s core businesses are in property development and investment, and retail. The group’s key markets are the People’s Republic of China, Indonesia and Singapore.

77 SUBSCRIPTION BY THE DIRECTORS The directors of the Manager (“Directors”) may subscribe for Units under the Public Offer and/or the Placement Tranche. Save for the Manager’s internal policy which prohibits the Directors from dealing in the Units at certain times (see “The Manager and Corporate Governance” for further details), there is no restriction on the Directors disposing of or transferring all or any part of their unitholdings.

78 DISTRIBUTIONS Sabana Shari’ah Compliant REIT’s distribution policy is to distribute 100.0% of Sabana Shari’ah Compliant REIT’s Taxable Income and tax-exempt income, if any (after deduction of applicable expenses) for the period from the Listing Date to 31 December 2012. Thereafter, Sabana Shari’ah Compliant REIT will distribute at least 90.0% of its Taxable Income and tax-exempt income, comprising substantially all its income from the letting of its properties and related property maintenance services income after deduction of allowable expenses, and insignificant financing income from the placement of periodic cash surpluses in bank deposits. The actual level of distribution will be determined at the Manager’s discretion. The actual proportion of Taxable Income and tax-exempt income distributed to Unitholders beyond 31 December 2012 may be greater than 90.0% to the extent that the Manager believes it to be appropriate, having regard to Sabana Shari’ah Compliant REIT’s funding requirements, other capital management considerations and the overall stability of distributions. Subject to any applicable laws and regulations, the Manager may implement a distribution reinvestment plan to provide Unitholders with the flexibility to receive their distributions in the form of cash and/or Units, if the Manager considers such plan to be in the interests of Sabana Shari’ah Compliant REITand Unitholders. Distributions in the form of cash, when made, will be in Singapore dollars. After Sabana Shari’ah Compliant REIT is admitted to the Main Board of the SGX-ST,it will make distributions to Unitholders on a quarterly basis, with the amount calculated as at 31 March, 30 June, 30 September and 31 December each year for the three-month period ending on each of the said dates. Sabana Shari’ah Compliant REIT’s first distribution after the Listing Date will be for the period from the Listing Date to 31 March 2011 and will be paid by the Manager on or before 29 June 2011. Subsequent distributions will take place on a quarterly basis. Under the Trust Deed, the Manager is required to pay distributions no later than 90 days after the end of each distribution period. In the event that there are gains arising from disposals of its assets, and only if such gains are surplus to the business requirements and needs of Sabana Shari’ah Compliant REIT and its taxability or otherwise confirmed by the IRAS, the Manager may, at its discretion, direct the Trustee to distribute such gains. Such gains, if not distributed, will form part of the Deposited Property. Sabana Shari’ah Compliant REIT’s primary source of liquidity for the funding of distributions, servicing of debt, payment of non-property expenses and other recurring capital expenditure will be the receipts of rental income and borrowings. Under the Property Funds Appendix, if the Manager declares a distribution that is in excess of profits, the Manager should certify, in consultation with the Trustee, that it is satisfied on reasonable grounds that, immediately after making the distribution, Sabana Shari’ah Compliant REIT will be able to fulfil, from the Deposited Property, the liabilities of Sabana Shari’ah Compliant REIT as they fall due. The certification by the Manager should include a description of the distribution policy and the measures and assumptions for deriving the amount available to be distributed from the deposited property of the property fund. The certification should be made at the time the distribution is declared. (See “Taxation” for further details.)

79 CAPITALISATION

The following table sets forth the pro forma capitalisation of Sabana Shari’ah Compliant REITas at the Listing Date and after application of the total proceeds from the Offering. The information in the table below should be read in conjunction with “Use of Proceeds”.

Borrowings ...... 220,563 Units in issue...... 664,440 Total capitalisation ...... 885,003

INDEBTEDNESS

Sabana Shari’ah Compliant REIT has in place a committed three-year secured Commodity Murabaha Facility of up to S$256.0 million from The Hongkong and Shanghai Banking Corporation Limited, United Overseas Bank Limited and Malayan Banking Berhad1, maturing in three years from the date of the first drawdown. Sabana Shari’ah Compliant REIT will be able to draw down from the Commodity Murabaha Facility up to the Listing Date. Financing cost on the Commodity Murabaha Facility is based on the relevant Singapore dollar swap offer rate plus an effective margin of 3.25% per annum inclusive of amortisation of an upfront arrangement fee.

The Commodity Murabaha Facility will be secured by, inter alia:

(1) a first ranking legal mortgage over all the Properties (or, where title to the Properties has not been issued, an assignment of building agreement coupled with a mortgage in escrow);

(2) assignment of insurances, assignment of proceeds and assignment of Property Management Agreements relating to the Properties; and

(3) a fixed and floating charge over the other assets of Sabana Shari’ah Compliant REIT relating to the Properties.

S$220.6 million of the Commodity Murabaha Facility is expected to be drawn down on the Listing Date to part finance the acquisition of the Properties.

A commodity Murabaha facility is a means of providing Shari’ah compliant financing. Under such a facility, the entity requiring financing buys a commodity (which is usually exchange-traded and highly liquid) from a bank at spot price plus a markup to be paid on deferred terms. The entity then immediately sells the commodity to participating brokers of the commodity exchange at a spot price for cash.

As a result of these two commodity transactions, the entity receives cash equivalent to the spot price at which the entity sold the commodity and has an obligation to the bank equal to the price at which the entity bought the commodity, which is the spot price plus the markup.

The commodity Murabaha facility is structured such that these commodity transactions are conducted almost simultaneously through prior coordination between the commodity brokers. The simultaneous nature of these commodity transactions removes any commodity pricing or execution risk.

The commodity Murabaha facility is structured such that the risk-return profile replicates that of a conventional facility.

1 Based on the maximum loan amount of S$256.0 million and the average valuation of the Properties of S$851.2 million, the Commodity Murabaha Facility is 3.3 times over-collateralised.

80 The diagram below sets out the general structure of a commodity Murabaha facility:

Financier sells commodity to Company Financiers Company

Deferred Commodity Cost Price + profit

Broker A Commodity Commodity Company sells delivers Cost Price Cost Price commodity to commodity to Broker B financier

Broker A Broker B

The Manager has put in place a profit rate hedging arrangement that would effectively fix the financing cost of the Commodity Murabaha Facility for three years. This would result in 100.0% of the financing under the Commodity Murabaha Facility being subject to fixed financing costs.

81 UNAUDITED PRO FORMA BALANCE SHEET AS AT THE LISTING DATE The Manager is unable to prepare pro forma statements of total return, cash flow statements and balance sheets to show the pro forma historical financial performance of Sabana Shari’ah Compliant REIT as: k the majority of the Properties will be acquired from independent third parties and historical financial information relating to the relevant properties will not be available to Sabana Shari’ah Compliant REIT. k certain of the Properties were wholly-occupied or primarily occupied by the Vendors for their own use prior to their acquisition by Sabana Shari’ah Compliant REIT.Also, certain of the Properties may have derived income other than rental income, for example warehousing, service, and logistics income which is distinct from the rental income that Sabana Shari’ah Compliant REIT will earn. As such, even if the relevant historical financial information were made available to the Manager, there would not be any historical rental income for these Properties as they were wholly-occupied or primarily occupied by the Vendors and/or derived income other than rental income. If assumptions were made to assume the rental revenues and expenses, the adjustments may be misleading. Furthermore, the Manager will not be able to identify the property- related expenses of these Vendors from the expenses incurred by the Vendors in connection with their overall business operations. In light of the above, the relevant historical financial information regarding the income and expenses relating to the Properties is either not available to Sabana Shari’ah Compliant REIT to enable Sabana Shari’ah Compliant REIT to prepare the historical pro forma financial information or not meaningful to investors in deciding whether to acquire Units. k the majority of the Properties will be leased to the Master Lessees upon the acquisition of the Properties by Sabana Shari’ah Compliant REIT. If historical pro forma financial information is prepared based on the historical financial results of the Properties for such period, such information may be misleading to investors and not meaningful for comparison purposes as these historical financial results of the Properties will not necessarily be reflective of the financial performance of Sabana Shari’ah Compliant REIT,which will largely be based on the Master Leases to be entered into with the Master Lessees. k the ownership structure of the Properties and the capital structure of the holding entity would have changed substantially upon the acquisition of the Properties by Sabana Shari’ah Compliant REIT. The operating and financing expenses to be incurred by Sabana Shari’ah Compliant REIT may differ substantially from those incurred by the Vendors historically.Accordingly, even if the relevant historical financial information were available to the Manager, the pro forma financial information prepared, particularly the statements of total return and cash flow statements, based on such historical financial information may not be reflective of what the historical total return and cash flows of Sabana Shari’ah Compliant REIT might have been. For the reasons stated above, the SGX-ST has granted Sabana Shari’ah Compliant REIT a waiver from the requirement to prepare historical pro forma statements of total return, cash flow statements and balance sheets, subject to the inclusion of the following in this Prospectus: k a pro forma balance sheet as at the Listing Date; k a profit forecast for the full financial year ending 31 December 2011 (the “Forecast Year 2011”) and a profit projection for the full financial year ending 31 December 2012 (the “Projection Year 2012”); and k full disclosure on the reasons why historical pro forma financial information for the latest three financial years cannot be provided and the waivers granted.

82 The Unaudited Pro Forma Balance Sheet has been prepared on the basis of the assumptions and accounting policies set out in Appendix C, “Unaudited Pro Forma Balance Sheet (as defined herein) as at the Listing Date”. The Unaudited Pro Forma Balance Sheet should be read together with these assumptions and accounting policies. The objective of the Unaudited Pro Forma Balance Sheet is to illustrate what the financial position of Sabana Shari’ah Compliant REIT might be at the Listing Date, on the basis as described above. However, the Unaudited Pro Forma Balance Sheet is not necessarily indicative of the actual financial position that would have been attained by Sabana Shari’ah Compliant REIT on the Listing Date. The Unaudited Pro Forma Balance Sheet, because of its nature, may not give a true picture of Sabana Shari’ah Compliant REIT’s financial position.

83 UNAUDITED PRO FORMA BALANCE SHEET AS AT THE LISTING DATE As at Listing Date (S$’000)(1) Non-current assets Investment properties(2) ...... 846,050 Intangible asset(3) ...... 5,100 851,150 Current assets Other receivables(4) ...... 2,421 Cash and cash equivalents ...... 31,065

33,486

Total assets ...... 884,636 Non-current liabilities Other payables(5)...... 11,108 Borrowings(6) ...... 215,126

226,234

Current liabilities Other payables(5)...... 30,633

Total liabilities ...... 256,867

Net assets ...... 627,769 Represented by: Unitholders’ funds ...... 627,769

Units in issue (’000)(7) ...... 632,800 NAV per Unit (S$) ...... 0.99 Notes: (1) Based on the Offering Price of S$1.05 per Unit. (2) Comprises investment properties, initially recorded at the acquisition values and, adjusted to the appraisal values based on the independent valuation reports prepared by the independent valuers appointed by the Manager and the Trustee. (3) Represents the present value of unamortised income support received by Sabana Shari’ah Compliant REIT under the purchase agreement entered into with Geo-Tele Pte. Ltd.. (4) Comprises prepaid insurance and GSTclaimable on the Offering’s transaction cost, assuming that the costs are invoiced to Sabana Shari’ah Compliant REIT no earlier than six months preceding Sabana Shari’ah Compliant REIT’s GST registration date. (5) Comprises rental income received in advance, security deposits, retention sum and other liabilities. (6) Comprises principal amount of borrowings of S$220.6 million under the Commodity Murabaha Facility, after deducting unamortised capitalised upfront arrangement fees and debt counsel fees amounting to a total of S$5.4 million. The Commodity Murabaha Facility is a non-derivative financial liability measured at amortised cost calculated using the effective rate of return method. (7) “Units in issue” refers to the number of Units in issue immediately after the completion of the Offering.

84 PROFIT FORECAST AND PROFIT PROJECTION Statements contained in the Profit Forecast and Profit Projection section that are not historical facts may be forward-looking statements. Such statements are based on the assumptions set forth in this section of the Prospectus and are subject to certain risks and uncertainties which could cause actual results to differ materially from those forecast and projected. Under no circumstances should the inclusion of such information herein be regarded as a representation, warranty or prediction with respect to the accuracy of the underlying assumptions by any of Sabana Shari’ah Compliant REIT,the Manager, the Trustee, the Sole Financial Adviser, the Joint Bookrunners, the Sponsor or any other person, nor that these results will be achieved or are likely to be achieved. (See “Forward-looking Statements” and “Risk Factors”.) Investors in the Units are cautioned not to place undue reliance on these forward-looking statements which are made only as of the date of this Prospectus. None of Sabana Shari’ah Compliant REIT, the Manager, the Trustee, the Sole Financial Adviser, the Joint Bookrunners, or the Sponsor guarantees the performance of Sabana Shari’ah Compliant REIT, the repayment of capital or the payment of any distributions, or any particular return on the Units. The forecast and projected yields stated in the following table are calculated based on: k the Offering Price; and k the assumption that the Listing Date is 1 November 2010. Such yields will vary accordingly if the Listing Date is after 1 November 2010, or for investors who purchase Units in the secondary market at a market price that differs from the Offering Price. The following table shows Sabana Shari’ah Compliant REIT’s forecast and projected Statements of Total Return for the Forecast Year 2011 and the Projection Year 2012. The financial year end of Sabana Shari’ah Compliant REIT is 31 December. The Profit Forecast and Profit Projection may be different to the extent that the actual date of issuance of Units is other than 1 November 2010, being the assumed date of the issuance of Units for the Offering. The Profit Forecast and Profit Projection are based on the assumptions set out below and have been examined by the Independent Reporting Accountants, being KPMG LLP, and should be read together with the report set out in Appendix A, “Independent Accountants’ Report on the Profit Forecast and Profit Projection”, as well as the assumptions and the sensitivity analysis set out in this section of the Prospectus.

85 Forecast and Projected Statements of Total Return The forecast and projected statements of total return are as follows: Forecast Year 2011 Projection Year 2012 (S$’000) (S$’000) Gross revenue ...... 68,871 68,889 Property expenses...... (2,711) (2,734) Net Property Income ...... 66,160 66,155 Finance cost ...... (10,106) (10,106) Finance income ...... 143 98 Manager’s management fees ...... (4,415) (4,358) Trustee’s fee ...... (353) (349) Donation of non-Shari’ah compliant income(1) ...... (134) (134) Other trust expenses ...... (2,506) (2,717) Total return before tax and distribution ... 48,789 48,589 Income tax expense...... — — Total return after tax attributable to Unitholders and before distribution ...... 48,789 48,589 Distribution adjustments(2) ...... 6,077 6,773 Income available for distribution ...... 54,866 55,362 Distribution ratio...... 100.0% 100.0% Distribution income ...... 54,866 55,362 Weighted average Units entitled to distribution (’000)(3) ...... 635,466 638,800 DPU (cents) ...... 8.63 8.67 Issue Price (S$) ...... 1.05 1.05 Distribution yield ...... 8.22% 8.25% Notes: (1) Represents no more than 0.3% of Gross Revenue, arising from non-Shari’ah compliant activities of two tenants. (2) Comprise the portion of management fees paid in Units, donation of non-Shari’ah compliant income, amortisation of capitalised debt upfront fees incurred on Commodity Murabaha Facility, straight-lining adjustments on rental income for accounting purposes, amortisation of intangible asset, Trustee’s fees and other expenses which are non- deductible for tax purposes. (3) Includes Units to be issued in partial payment of management fees, which are assumed to be issued at the Offering Price.

86 Gross Revenue and Net Property Income Contribution of Individual Properties The forecast and projected contribution of each of the Properties to Gross Revenue is as follows: Forecast Year 2011 Projection Year 2012 (S$’000) (%) (S$’000) (%) 151 Lorong Chuan ...... 24,000 34.8 24,000 34.8 8 Commonwealth Lane(1) ...... 5,501 8.0 5,501 8.0 9 Tai Seng Drive ...... 4,903 7.1 4,921 7.1 200 Pandan Loop ...... 3,200 4.6 3,200 4.6 15 Jalan Kilang Barat ...... 2,628 3.8 2,628 3.8 33 & 35 Penjuru Lane ...... 6,337 9.2 6,337 9.2 18 Gul Drive ...... 2,803 4.1 2,803 4.1 1 Tuas Avenue 4 ...... 2,171 3.2 2,171 3.2 34 Penjuru Lane ...... 5,204 7.6 5,204 7.6 51 Penjuru Road ...... 3,400 4.9 3,400 4.9 26 Loyang Drive ...... 2,525 3.7 2,525 3.7 3 Kallang Way 2A ...... 1,180 1.7 1,180 1.7 218 Pandan Loop ...... 1,082 1.6 1,082 1.6 123 Genting Lane ...... 1,979 2.9 1,979 2.9 30 & 32 Tuas Avenue 8 ...... 1,958 2.8 1,958 2.8 Total 68,871 100.0 68,889 100.0

Note:

(1) Assuming that the extension to the Property is completed by 31 December 2010. The forecast and projected contribution of each of the Properties to Net Property Income is as follows: Forecast Year 2011 Projection Year 2012 (S$’000) (%) (S$’000) (%) 151 Lorong Chuan ...... 23,443 35.5 23,441 35.5 8 Commonwealth Lane(1) ...... 5,373 8.1 5,372 8.1 9 Tai Seng Drive...... 3,660 5.5 3,660 5.5 200 Pandan Loop...... 3,125 4.7 3,125 4.7 15 Jalan Kilang Barat...... 2,569 3.9 2,569 3.9 33 & 35 Penjuru Lane ...... 6,191 9.4 6,190 9.4 18 Gul Drive ...... 2,741 4.1 2,741 4.1 1 Tuas Avenue 4 ...... 2,122 3.2 2,122 3.2 34 Penjuru Lane...... 5,083 7.7 5,083 7.7 51 Penjuru Road ...... 3,323 5.0 3,323 5.0 26 Loyang Drive ...... 2,469 3.7 2,469 3.7 3 Kallang Way 2A...... 1,154 1.8 1,154 1.8 218 Pandan Loop...... 1,058 1.6 1,058 1.6 123 Genting Lane...... 1,935 2.9 1,935 2.9 30 & 32 Tuas Avenue 8 ...... 1,914 2.9 1,913 2.9 Total...... 66,160 100.0 66,155 100.0

Note:

(1) Assuming that the extension to the Property is completed by 31 December 2010.

ASSUMPTIONS The Manager has prepared the Profit Forecast and Profit Projection on the following assumptions based on the Offering Price. The Manager considers these assumptions to be appropriate and reasonable as at the date of this Prospectus. However, investors should

87 consider these assumptions as well as the Profit Forecast and Profit Projection and make their own assessment of the future performance of Sabana Shari’ah Compliant REIT.

Gross Revenue Gross Revenue comprises rental income from the Properties. Sabana Shari’ah Compliant REIT will receive rental income from the tenants paid under the terms of the Lease Agreements (as defined herein). With the exception of 9 Tai Seng Drive, all the Properties are under Master Leases structured on a triple net basis.1 The property at 9 Tai Seng Drive will not be subject to a sale-and-leaseback arrangement. As such, the rental income that Sabana Shari’ah Compliant REIT receives will not be on a triple net lease basis (unlike the rental income it will receive from the other Properties). Contracted lease terms for the Master Leases range from 3.0 to 5.0 years. Accordingly,there are no Master Leases due for renewal during the Forecast Year 2011 and the Projection Year 2012. The Lease Agreements from 9 Tai Seng Drive provide Sabana Shari’ah Compliant REIT with gross rent and service charge revenue. In addition, the Vendor for 9 Tai Seng Drive has provided an aggregate rental support of S$6.3 million which can be drawn down over five years from the Listing Date. The tenancies currently in 9 Tai Seng Drive were entered into by the Vendor in the past in different market conditions, unlike the Master Leases which are being entered into at today’s market rate. Accordingly, the rental support provided by the Vendor will help Sabana Shari’ah Compliant REIT to achieve a revenue in line with today’s market rate over the next five years.

Revenue from 9 Tai Seng Drive Forecast Year 2011 Projection Year 2012 (S$’000) (S$’000) Gross rent and service charge ...... 3,761.3 3,609.3 Rental support ...... 1,141.7 1,311.7 (See “Certain Agreements Relating to Sabana Shari’ah Compliant Industrial Real Estate Investment Trust and the Properties — Sale and Purchase Agreements and Lease Agreements” for further details in respect of the rental income, agreed rental escalations and rental support for 9 Tai Seng Drive.)

Property Expenses Property expenses for the Properties under a master lease arrangement comprise property management fee payable to the Property Manager and fire and loss of rent insurance. For the Properties under Master Lease Agreements, all other property operating expenses are borne by the Master Lessees. The Property Manager’s fees for these Properties are estimated based on the following:

Property Management Fee Under the Property Management Agreement (as defined herein), the Property Manager will receive from Sabana Shari’ah Compliant REITa fee of 2.0% per annum of the Gross Revenue of each property for the provision of property management services.

1 Triple net lease means the lessee pays for the rent, maintenance, land rent, property tax and insurance on the respective properties. Due to the Shari’ah-compliant nature of Sabana Shari’ah Compliant REIT, Sabana Shari’ah Compliant REIT will continue to pay for fire and loss of rent insurance despite the triple-net basis of the Master Leases.

88 Lease Management Fee Under the Property Management Agreement, the Property Manager will also receive from Sabana Shari’ah Compliant REIT, a fee of 1.0% per annum of the Gross Revenue of each property for the provision of lease management services. The Property Manager has agreed to waive lease management fees in relation to the Properties for the first three years of the initial contracted lease, and therefore no lease management fees are assumed to be payable for the Forecast Year 2011 and the Projection Year 2012. In addition to the property management fee, 9 Tai Seng Drive, which is not a property under a master lease agreement, also incurs service charge, land rent, property tax, insurance, repairs and maintenance.

Expenses from 9 Tai Seng Drive

Forecast Year 2011 Projection Year 2012 (S$’000) (S$’000) Property operating expenses...... 1,243.0 1,261.0 Due to the Shari’ah compliant nature of Sabana Shari’ah Compliant REIT, Sabana Shari’ah Compliant REIT will continue to incur fire and loss of rent insurance expense despite the Master Leases being triple net leases. For the Forecast Year 2011 and the Projection Year 2012, it is assumed that the amount of insurance expense incurred by Sabana Shari’ah Compliant REITwill be S$0.20 million and S$0.21 million, respectively.

Manager’s Management Fees The Manager is entitled, under the Trust Deed, to a management fee comprising: k a base fee of 0.5% per annum of the value of the Deposited Property; and k a performance fee of 0.5% per annum of the Net Property Income in each relevant year, provided Sabana Shari’ah Compliant REIT achieves at least 10.0% in annual growth in DPU over the previous financial year1 (calculated after accounting for the performance fee (if any) for that financial year and after adjusting, at the discretion of the Manager, for any new Units arising from the conversion or exercise of any instruments convertible into Units which are outstanding at the time of calculation, and any rights or bonus issue, consolidation, subdivision or buy-back of Units). No performance fee will be paid to the Manager for the Forecast Year 2011 as there will be no preceding year DPU. It is also assumed that no performance fee will be paid to the Manager for the Projection Year 2012. The Manager’s management fees are payable in the form of cash and/or Units as the Manager may elect, except that where the issue price (which is equal to the Market Price) of each Unit is at a discount of at least 20.0% to the NAV per Unit, the Manager shall receive the base fee for the Forecast Year 2011 and the Projection Year 2012 and the performance fee for the Projection Year 2012 wholly in the form of cash. The Manager has assumed such Market Price to be S$1.00, which is the Offering Price. It has been assumed that 80.0% of the base fee for the Forecast Year 2011 and the Projection Year 2012 will be paid in the form of Units, and the remainder of the base fee will be paid in the form of cash. The portion of such management fees that is payable in cash shall be payable monthly in arrears and the portion that is payable in Units shall be payable quarterly in arrears.

1 The DPU in the previous financial year is calculated before accounting for the performance fee (if any) payable for that financial year.

89 When paid in the form of Units, the Manager shall be entitled to receive such number of Units as may be purchased with the relevant amount of the management fee attributable to the relevant period at an issue price equal to the Market Price.

Trustee’s Fee The Trustee’s fee is currently 0.04% per annum of the value of the Deposited Property, subject to a minimum of S$25,000 per month (maximum of 0.25% per annum of the value of the Deposited Property), excluding out-of-pocket expenses and GST. The Trustee’s fee is accrued daily and paid monthly in arrears in accordance with the Trust Deed. The actual fee payable will be determined between the Manager and the Trustee from time to time. The Trustee will also be paid a one-time inception fee of S$40,000.

Other Trust Expenses Other trust expenses comprise recurring operating expenses such as annual listing fees, auditing and tax advisers’ fees, Shari’ah compliance costs, registry fees, valuation costs, costs associated with the preparation and distribution of reports to Unitholders, investor communication costs, security agent fees, debt facility agent fees and other miscellaneous expenses. In assessing these amounts, the Manager has considered factors likely to influence the level of these fees, charges and costs including the Manager’s estimates of Sabana Shari’ah Compliant REIT’s market capitalisation, gross assets, number of Unitholders, property values and rate of inflation.

Financing Income It has been assumed that Sabana Shari’ah Compliant REITwill earn financing income on its cash at the rate of 0.10% to 0.50% per annum, calculated quarterly, for both the Forecast Year 2011 and the Projection Year 2012.

Financing Cost For the Forecast Year 2011 and the Projection Year 2012, it is assumed that financing cost will be the only finance expense incurred by Sabana Shari’ah Compliant REIT. The Manager has in place a Commodity Murabaha Facility of up to S$256.0 million. Sabana Shari’ah Compliant REIT will be able to draw down from the Commodity Murabaha Facility up to the Listing Date. As at the Listing Date, the facility size and drawdown of the Commodity Murabaha Facility will be S$220.6 million at the Offering Price. The Manager will fix the base financing cost at a rate to be determined closer to the Listing Date. The assumed effective financing cost (inclusive of upfront fee capitalised) of the Commodity Murabaha Facility for the Forecast Year 2011 and the Projection Year 2012 is 4.5% per annum.

Donation of Non-Shari’ah Compliant Income Sabana Shari’ah Compliant REIT must cleanse all income generated from non-Shari’ah compliant sources and non-core activities (such as currency options or penalties for late payment of rent) by donating these funds, after deducting proportional expenses, to charity. (See “Shari’ah Compliance of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust — Shari’ah Guidelines — Cleansing Process for Income from Non-Shari’ah Compliant Sources or Non-core Activities” for further details of the cleansing process.) For the Forecast Year 2011 and Projection Year 2012, this donation is treated as a non tax-deductible expense and is added back to distributable income. Non-Shari’ah compliant sources are determined by the Manager with the guidance of the Independent Shari’ah Committee and the Shari’ah Adviser. In the event a single source of income is derived from both Shari’ah compliant and non-Shari’ah compliant activities, the

90 Manager will apportion the income derived from the source between the Shari’ah compliant and non-Shari’ah compliant activities in consultation with the Independent Shari’ah Committee and the Shari’ah Adviser.

For the Forecast Year 2011 and the Projection Year 2012, it is assumed that the amount of non- Shari’ah compliant income received and subsequently donated to charity will be S$0.13 million.

Capital Expenditure

According to building audits commissioned prior to the Latest Practicable Date and agreements entered into with the Vendors, the Manager expects that capital expenditure during the Forecast Year 2011 and the Projection Year 2012 will be as follows:

Forecast Year 2011 Projection Year 2012 (S$’000) (S$’000) Capital Expenditure ...... 50.0 51.2

It is assumed that the asset enhancement at 151 Lorong Chuan and 200 Pandan Loop will be completed by the Listing Date.

Issue Costs

The costs associated with the Offering will be paid for by Sabana Shari’ah Compliant REIT. These costs are deducted directly from Unitholders’ funds and have no impact on income distributions.

Properties

Sabana Shari’ah Compliant REIT will be entitled to the income from the Properties from the Listing Date. The Vendor of 8 Commonwealth Lane is currently constructing an extension to the Property to increase the GFA.1 The GFA of the extension is expected to amount to 32,394 sq ft. Sabana Shari’ah Compliant REIT will be entitled to the income from the extension of 8 Commonwealth Lane when it is completed. The extension is scheduled for completion by 31 December 2010 and it is expected that Sabana Shari’ah Compliant REIT will start to receive rental income from 1 January 2011.

On the Listing Date, the Properties have been revalued to their independent appraisal values (save for the Freight Links Properties, which have been revalued to the average of their independent appraisal values) as at 30 September 2010 of S$851.2 million2. Thereafter, it is assumed that the Properties will be revalued annually and the intangible asset that is the result of the rental support will be amortised.

For the purpose of the Forecast and Projection, the Manager has assumed an increase in the value of the Properties only to the extent of the budgeted capital expenditure as set out in “Profit Forecast and Project Projection — Assumptions — Capital Expenditure”.

Any subsequent revaluation of the Properties will not affect the forecast and projected distributions per Unit for the Forecast Year 2010 and the Projection Year 2011 because Sabana Shari’ah Compliant REIT’s distributions are based on Taxable Income, which excludes appreciation and depreciation upon revaluation of the Properties.

1 The value of the extension was determined using the same discounted cash flow methodology on the rental stream attributable to the extension. The construction cost was not factored into the discounted cash flow valuation as the construction cost is borne by the Vendor and not Sabana Shari’ah Compliant REIT. 2 Includes an aggregate rental support of S$6.3 million (present value of S$5.1 million) provided by the Vendor for 9 Tai Seng Drive which can be drawn down over five years from the Listing Date.

91 Accounting Standards The Manager has assumed that there will be no change in the applicable accounting standards or other financial reporting requirements that may have a material effect on the forecast or projected net income.

Other Assumptions The Manager has made the following additional assumptions in preparing the Profit Forecast and Profit Projection: (i) the property portfolio of Sabana Shari’ah Compliant REITremains unchanged during the Forecast Year 2011 and the Projection Year 2012; (ii) the Vendor of 8 Commonwealth Lane completes construction of the extension to the Property by 31 December 2010; (iii) no further capital raisings will be done by Sabana Shari’ah Compliant REIT during the Forecast Year 2011 and the Projection Year 2012; (iv) the security provided in the form of cash or banker’s guarantee is sufficient to cover any bad debts that may arise during the Forecast Year 2011 and the Projection Year 2012, and that no allowance for doubtful receivables is required; (v) the Commodity Murabaha Facility is drawn down at Listing Date; (vi) all the Lease Agreements in relation to the Properties are enforceable and will be performed in accordance with their terms during the Forecast Year 2011 and the Projection Year 2012; (vii) any defects identified by building audits commissioned have been rectified by the Vendors prior to the Listing Date; (viii) the GST charged on issue expenses will be recovered in the quarter immediately following when they are incurred; (ix) there will be no material changes in the applicable taxation regime for the Forecast Year 2011 and the Projection Year 2012; (x) the Tax Ruling remains in force for the Forecast Year 2011 and the Projection Year 2012; (xi) 100.0% of Sabana Shari’ah Compliant REIT’s Taxable Income and tax-exempt income, if any (after deduction of applicable expenses) is distributed. For the avoidance of doubt, Sabana Shari’ah Compliant REIT’s distribution policy is to distribute 100.0% of its Taxable Income and tax-exempt income, if any, for the period from the Listing Date to 31 December 2012 and thereafter to distribute at least 90.0% of its Taxable Income and tax-exempt income, if any (after deduction of applicable expenses); and (xii) there is no change in fair value of any other financial derivative instruments entered into by Sabana Shari’ah Compliant REIT throughout the Forecast Year 2011 and the Projection Year 2012.

SENSITIVITY ANALYSIS The forecast and projected distributions included in this Prospectus are based on a number of assumptions that have been outlined above. The forecast and projected distributions are also subject to a number of risks as set out in “Risk Factors”. Investors should be aware that future events cannot be predicted with any certainty and deviations from the figures forecast or projected in this Prospectus are to be expected. To assist investors in assessing the impact of these assumptions on the Profit Forecast and Profit Projection, a series of tables demonstrating the sensitivity of the DPU yield to changes in the principal assumptions are set as follows.

92 The sensitivity analysis is intended to provide a guide only and variations in actual performance could exceed the ranges shown. Movement in other variables may offset or compound the effect of a change in any variable beyond the extent shown.

Gross Revenue Changes in Gross Revenue will impact the Net Property Income of Sabana Shari’ah Compliant REIT and, consequently, the DPU and DPU yield. With the exception of 9 Tai Seng Drive, all of the Properties are fully leased and committed under the Master Lease Agreements. In addition, the Vendor for 9 Tai Seng Drive has provided an aggregate rental support of S$6.3 million which can be drawn down over five years from the Listing Date. Accordingly, it is expected that there will be minimal change from the Gross Revenue set out earlier in this section for both the Forecast Year 2011 and the Projection Year 2012, and consequently there will be minimal changes to DPU and DPU yield for both the Forecast Year 2011 and the Projection Year 2012.

Property Expenses Changes in property expenses, which, for the Properties under the Master Lease Agreements, comprise property management fees and lease management fees, will impact the Net Property Income of Sabana Shari’ah Compliant REIT and, consequently, the DPU and DPU yield. Property management fees and lease management fees are a direct function of Gross Revenue and will only change if Gross Revenue changes. It is expected that there will be minimal change to the Gross Revenue set out earlier in this section for both the Forecast Year 2011 and the Projection Year 2012. Insurance expense premiums have also been contracted and are not expected to change for both the Forecast Year 2011 and the Projection Year 2012. As all of the Properties except 9 Tai Seng Drive are rented under Master Lease Agreements whereby the Master Lessees are responsible for ongoing property operating expenses, and the Vendor for 9 Tai Seng Drive has provided an aggregate rental support of S$6.3 million which can be drawn down over five years from the Listing Date, it is expected that there will be minimal changes in property expenses incurred for both the Forecast Year 2011 and the Projection Year 2012. Consequently it is expected that there will be minimal changes to DPU and DPU yield for both the Forecast Year 2011, and the Projection Year 2012.

Donation of Non-Shari’ah Compliant Income Changes in the level of cleansing activity will affect the total return before tax and distribution for Sabana Shari’ah Compliant REIT.However, as the Manager has elected to donate 100.0% of all non-Shari’ah compliant income to charities that are not categorised as Institutions of a Public Character, the donation will be a non tax-deductible expense and therefore is not expected to impact DPU for both the Forecast Year 2011 and the Projection Year 2012.

93 Financing Cost Changes in financing cost will affect the net income of Sabana Shari’ah Compliant REIT and consequently,the DPU and DPU yield. The effect of fluctuations in borrowing costs on DPU yield is as follows: Forecast Year 2011 Projection Year 2012 (%) (%) Financing cost 25 basis points below base case ...... 8.31 8.34 Base case (4.5%) ...... 8.22 8.25 Financing cost 25 basis points above base case ...... 8.14 8.17

Manager’s Management Fees Assuming that the Manager’s base fee will be paid wholly in the form of cash or units for the Forecast Year 2011 and the Projection Year 2012 and the Manager’s performance fee will be paid wholly in the form of cash or units for the Projection Year 2012, the impact on the DPU yield would be as follows: Forecast Year 2011 Projection Year 2012 (%) (%) Base case (20.0% of the Manager’s management fee is paid in cash) ...... 8.22 8.25 100.0% of the Manager’s management fee is paid in cash ...... 7.73 7.81 Difference from Base case ...... 0.49 0.44 100.0% of the Manager’s management fee is paid in units ...... 8.35 8.36 Difference from Base case ...... 0.13 0.11

Lease management fee Assuming that the lease management fee will be paid for the Forecast Year 2011 and Projection Year 2012, the impact on DPU yield would be as follows: Forecast Year 2011 Projection Year 2012 (%) (%) Base case (lease management fee waived) ...... 8.22 8.25 Lease management fee not waived...... 8.13 8.16 Difference...... 0.09 0.09

94 STRATEGY

INVESTMENT POLICY Sabana Shari’ah Compliant REIT is a Singapore-based REIT established principally to invest in income-producing real estate used for industrial purposes in Asia, as well as real estate-related assets, in line with Shari’ah principles. Under the Listing Manual, the investment policy of Sabana Shari’ah Compliant REIT must be adhered to for at least three years following the Listing Date, unless otherwise agreed by Unitholders by Extraordinary Resolution.

KEY OBJECTIVES The Manager’s key objectives are to achieve regular and stable distributions and long-term growth in DPU and NAV per Unit, while maintaining an appropriate capital structure so as to provide a competitive investment return to Unitholders.

INVESTMENT STRATEGIES To achieve the objectives in line with Shari’ah principles, the Manager’s strategy includes: (I) Acquisition growth strategy — The Manager will pursue acquisition opportunities that are aligned with Sabana Shari’ah Compliant REIT’s investment strategy and Shari’ah Guidelines and provide attractive cash flows and yields relative to Sabana Shari’ah Compliant REIT’s weighted average cost of capital, as well as opportunities for future income and capital growth. Generally, the Manager will evaluate potential acquisitions based on the quality of their location and will target sites with convenient access to major transportation networks, whether by air, sea, rail or road, with a bias towards developed infill regions over greenfield ones. (II) Active asset management strategy — The Manager will leverage on, enhance the competitive strengths of, and implement pro-active measures to improve the returns from, Sabana Shari’ah Compliant REIT’s property portfolio. Such measures will include prudent control of property outgoings, active leasing and marketing of any vacancies and expiring leases, programmes for the regular maintenance of building structures, asset refurbishment and enhancement projects to increase the competitive positioning of the assets, thereby increasing the yield of the Properties, the NAV per Unit and, where appropriate, divesting non-performing assets. (III) Opportunistic development strategy — Within the limits of the Property Funds Appendix, the Manager will prudently undertake development activity when appropriate opportunities arise while mitigating construction and leasing risks and short-term dilution of yield from any additional capital raised for the purposes of the development activity. (IV) Capital and risk management strategy — The Manager will endeavour to employ an appropriate mix of debt and equity in financing acquisitions and, where appropriate, utilise financing cost and currency hedging strategies to optimise risk-adjusted returns to Unitholders. The Manager will also leverage on Sabana Shari’ah Compliant REIT’s access to the Islamic equity markets to facilitate the implementation of its strategies and achieve its objective of delivering regular and stable returns to investors.

(I) Acquisition Growth Strategy The Manager will pursue acquisition opportunities that are aligned with Sabana Shari’ah Compliant REIT’s investment strategy and provide attractive cash flows and yields relative to Sabana Shari’ah Compliant REIT’s weighted average cost of capital, and opportunities for future income and capital growth.

95 The Manager believes that Sabana Shari’ah Compliant REIT has the following characteristics that will enable it to make acquisitions:

1 k an initial portfolio of Properties, independently valued at S$851.2 million (based on the average value of independent valuations for the Freight Links Properties), that forms a sufficiently strong base to support further acquisitions of industrial-type properties; k a sufficiently wide mandate to principally invest in income-producing real estate used for industrial purposes, as well as real estate-related assets; k an initial Aggregate Leverage of 26.5%, thereby providing Sabana Shari’ah Compliant REIT with the ability to finance entirely with debt future acquisitions of up to S$115.4 million without a credit rating and up to S$740.4 million with a credit rating; k the Sponsor’s expertise, experience and knowledge of the industrial and warehousing markets; k the extensive experience, track record and network in the industrial real estate sector of the Manager’s management team will enable the Manager to respond quickly to acquisition opportunities; and k the ROFR (see “Strategy — Investment Strategies — Acquisition Growth Strategy — Right of First Refusal” for further details).

Investment Criteria

In evaluating acquisition opportunities, the Manager will focus primarily on the following investment criteria: k Location

Generally, the Manager will evaluate potential acquisitions, targeting quality locations with convenient access to major transportation networks, whether by air, sea, rail or road. k Occupancy and tenant characteristics

Invest in properties with good quality existing tenants or with the potential for higher rentals and potential for high tenant retention rates, relative to comparable properties in their respective micro-markets, and taking into account the following:

— tenant credit quality (probability and materiality of potential bad debt);

— rental rates and occupancy trends to estimate rental income and occupancy rates going forward;

— impact of an acquisition on the entire portfolio’s profile with respect to the specific tenant, the tenant’s business sector and lease expiry; and

— asset types with tenants exposed to high moving costs, which tend to have higher retention rates. k Regional diversification

While Singapore will continue to account for the majority of the assets in the short term, the medium and longer term strategy is to pursue opportunities throughout Asia in order to enhance the geographical spread and tenant base.

1 Includes an aggregate rental support of S$6.3 million (with a present value of S$5.1 million) provided by the Vendor for 9 Tai Seng Drive which can be drawn down over five years from the Listing Date.

96 In assessing overseas acquisitions, the Manager will consider a number of factors, including: Related risks — sovereign risks (such as political stability, business environment, law and order); — currency risks (such as currency volatility); — market risks (such as property price and rental yield volatility, industry regulation and infrastructure); — asset-specific risks; Value-adding opportunities — acquire properties with opportunities to increase occupancy rates and enhance value through pro-active asset and property management; — the potential to add value through selective capital expenditure or other asset enhancement initiatives; Building and facilities specifications — acquire buildings with good quality specifications with due consideration for age and quality of maintenance; and — perform and rely on proper due diligence reports submitted by independent experts relating to structural soundness of the building, maintenance, repairs and capital expenditure requirements and encroachment of site boundaries.

Acquisition Process The Manager has put in place a rigorous process for the assessment of acquisition opportunities, incorporating: k research-driven investment approach focusing on, among other things: — national macroeconomic outlook; — analysis of the relevant real estate market (including the forecast level of supply and demand, vacancy and rental); and — detailed asset analysis of the location, tenant profile, risks and asset enhancement opportunities; k the completion of detailed physical, legal, tax and accounting due diligence prior to the completion of any acquisition to ensure all risks have been properly assessed; k independent valuation to support the purchase price; and k detailed analysis of, among other things, the impact of a proposed acquisition on distributions and NAV per Unit and earnings growth prospects.

97 Right of First Refusal The table below sets out the information of some of the properties currently owned by the Sponsor and/or its subsidiaries and which are presently subject to the ROFR. Remaining Land Leasehold GFA Tenure Completion Name Location Description (sq ft) (years)(1) Date 30 Tuas Singapore A seven-storey 340,339 16 June 2009 Avenue 10, warehouse complex Singapore with ancillary offices 639150 (“30 Tuas Avenue 10”) 146 Gul Singapore Two single-storey 85,263 8 August 1992 Circle, detached for Blocks A Singapore warehouses and a and B 629604 single-storey November (“146 Gul warehouse with a 1992 for Circle”) two-storey ancillary Block C office 29 Tanjong Singapore A single-storey 36,770 9 September Penjuru, detached warehouse 1992 Singapore with a mezzanine 609026 office level (“29 Tanjong Penjuru”)

Note: (1) As of 30 September 2010. Additional investments in building works, plant and machinery are required to redevelop the above properties in order to extend the lease with JTC for a further term. The Sponsor has initiated talks with JTC in respect of 30 Tuas Avenue 10. Additional investments are being made in accordance with the Sponsor’s business plan. The details of the lease extension and its tenure will only be confirmed by JTC once the additional investments have been achieved. The Manager is of the view that the asset would only be suitable for injection into the REIT once the additional investments have been achieved and its lease extension is confirmed. The Sponsor has targeted 146 Gul Circle for redevelopment to a ramp-up multi-storey warehousing facility, which involves significant investment in building works, plant and machinery. The Sponsor intends to make an application to JTC with a business plan at a later stage. The Sponsor intends to develop a business plan in relation to the additional investments in 29 Tanjong Penjuru at a later stage, post the redevelopment of 146 Gul Circle.

(II) Active Asset Management Strategy As and when applicable, the Manager intends to leverage on and enhance the competitive strengths of Sabana Shari’ah Compliant REIT’s property portfolio and maximise returns by implementing the following pro-active asset management strategies: k improve occupancy and rental rates; k diversify tenant base across different industries; k implement pro-active marketing plans;

98 k rationalise operating costs; k tap on the Sponsor’s knowledge and network where necessary for real estate solutions for end-users; k offer real estate solutions to meet the requirements of government agencies and other bodies (both local and foreign); and k where appropriate, divest non-performing assets.

Improve occupancy and rental rates Going forward, the Manager will work closely with the Property Manager to: k enhance the profile of Sabana Shari’ah Compliant REIT’s properties; k pursue new rental opportunities and pro-actively engage tenants; k manage lease renewals effectively in order to minimise void periods due to lease expiries by way of: — establishing and working toward optimal rental benchmarks for each property; — pro-actively engaging tenants whose leases are about to expire in early negotiations; — endeavouring to line up new tenants in preparation for vacant space; — actively managing overdue rentals to minimise bad debt; and k initiate tenant retention programmes to further strengthen tenant relationships in an effort to maintain high tenant retention, minimise vacancies, as well as minimise costs associated with securing new tenants.

Diversify tenant base across different industries The Manager (together with the Property Manager) intends to diversify the tenant base through the following: k monitoring the exposure of total rental income to any one business sector; k improving the diversity of its tenant base so as not to overly expose revenue to certain business sectors more susceptible to general economic cycles in order to achieve more consistent cash flows; and k working closely with the respective Master Lessee whenever a new end-user is being considered and provide feedback on potential concentration risk or other exposure as the case may be.

Implement pro-active marketing plans The Manager intends to develop customised pro-active marketing plans for each applicable property focusing on property-specific needs to maximise tenant interest and enhance the public profile and visibility with a view to increase the value of the properties and to maintain the long term value of the properties.

Rationalise operating costs The Manager intends to rationalise operating costs through the following: k working closely with the Property Manager to manage and reduce the property operating expenses (without reducing the quality of maintenance); and

99 k exploiting the economies of scale associate with operating a portfolio of properties by, for example, bulk purchasing of supplies and cross implementation of successful cost- saving programmes.

Divesting non-performing assets The Manager intends to hold assets on a long-term basis. However, where any assets are non- performing, the Manager will consider divesting such non-performing assets in order to reinvest the sale proceeds towards better potential growth opportunities.

(III) Opportunistic Development Strategy Sabana Shari’ah Compliant REIT is allowed to undertake development activities within the limits of the Property Funds Appendix (which currently allows a REIT to commit no more than 10.0% of its Deposited Property to development). Sabana Shari’ah Compliant REIT will not undertake speculative developments, and will only undertake a development if a tenant has been identified upfront who would occupy the property upon completion. The Manager intends to undertake development activities at an appropriate time, when the necessary resources are available. The Manager has the option of outsourcing the construction and project development of any development activities to third parties or to tap on the development experience of the Sponsor which developed the Freight Links Properties, amongst others. Mr Kevin Xayaraj, the Chief Executive Officer and the Executive Director (Investments) of the Manager, has experience in property development from his time at Ascendas Land (Singapore) Pte Ltd. This includes experience in sourcing, evaluating and negotiating the development of industrial properties such as a 160,000 sq ft Built-to-Suit project located in Changi North Rise.

(IV) Capital and Risk Management Strategy As at the Listing Date, Sabana Shari’ah Compliant REIT will have an Aggregate Leverage of 26.5%. The Manager will endeavour to: k maintain a strong balance sheet; k optimise Sabana Shari’ah Compliant REIT’s capital structure and cost of capital within the borrowing limits; k use a combination of debt and equity to fund future acquisitions and asset enhancement initiatives to optimise risk-adjusted returns to Unitholders; and k implement an active financing cost management strategy such as utilising financing cost hedging strategies where appropriate.

Debt strategy As and when appropriate, the Manager intends to utilise investment-grade rated term debt as the core debt-funding mechanism due to the low refinancing risk associated with the issuance of high investment-grade debt. The Property Funds Appendix allows Sabana Shari’ah Compliant REIT to borrow more than 35.0% (up to a maximum of 60.0%) of the value of the Deposited Property if a credit rating from Fitch Inc., Moody’s or Standard & Poor’s is obtained and disclosed to the public. As at the Listing Date, Sabana Shari’ah Compliant REIT is expected to have borrowings of S$220.6 million with an Aggregate Leverage of 26.5%. (See “Capitalisation — Indebtedness” for further details.) By adopting this conservative initial Aggregate Leverage level, the Manager believes that Sabana Shari’ah Compliant REIT would have in place ample debt headroom which will

100 provide operating flexibility for future acquisition opportunities and asset enhancement initiatives. Sabana Shari’ah Compliant REIT may reduce its borrowings or finance its capital expenditures by utilising tenants’ security deposits. Any excess operating cash flow that is not required to be distributed to Unitholders may also be used to reduce its level of indebtedness in order to reduce financing costs.

Active financing cost management strategy The Manager intends to adopt an active financing cost management policy to manage the risks associated with changes in financing costs on any future facilities while also seeking to ensure that Sabana Shari’ah Compliant REIT’s ongoing cost of debt capital remains competitive. The Manager has put in place a profit rate hedging arrangement that would effectively fix the financing cost of the Commodity Murabaha Facility for three years. This would result in 100.0% of the financing under the Commodity Murabaha Facility being subject to fixed financing costs.

Currency risk management strategy The Manager intends to adopt hedging strategies in an appropriate Shari’ah compliant manner to minimise any risks associated with foreign exchange exposures arising from the cash flows, thereby ensuring regular and stable returns to the Unitholders when Sabana Shari’ah Compliant REIT makes an acquisition outside of Singapore.

Leveraging on access to Islamic equity markets The Manager intends to leverage on Sabana Shari’ah Compliant REIT’s access to the Islamic equity markets to tap into relatively more diverse sources of equity funding and a larger investor base to facilitate the implementation of its strategies and the achievement of its objective of delivering regular and stable returns to investors.

101 BUSINESS AND PROPERTIES

Unless otherwise specified, all information relating to the Properties in the Prospectus is as at 30 September 2010. Sabana Shari’ah Compliant REIT is a Singapore-based REIT established principally to invest in income-producing real estate used for industrial purposes in Asia, as well as real estate-related assets, in line with Shari’ah principles. The initial property portfolio of Sabana Shari’ah Compliant REIT will comprise 15 industrial properties located across Singapore, with an aggregate GFA of approximately 3,286,220 sq ft. The average value of the independent valuations of the Freight Links Properties and the value of the independent valuations of the remaining Properties is S$851.2 million and the forecast Gross Revenue from the Properties is S$68.9 million for the Forecast Year 2011.

COMPETITIVE STRENGTHS The Manager believes that Sabana Shari’ah Compliant REIT will be able to generate regular and stable distribution yields as a result of the competitive strengths set out below. The Manager has forecast a distribution yield of 8.22% and 8.25% respectively for the Forecast Year 2011 and the Projection Year 2012. (See “Profit Forecast and Profit Projection — Assumptions”.)

Asset Strengths k Strategic locations The Properties are located entirely in Singapore, an internationally-established logistics and hi-tech industrial hub. Within Singapore, most of the Properties are strategically located in close proximity to the principal industrial zones such as Loyang (close to Changi Airport), Penjuru (situated close to Singapore’s shipping ports) and Tai Seng (a high-tech space hub situated close to two expressways and an MRT station). The Properties are therefore supported by excellent infrastructure and arterial road networks that enhance their attractiveness to existing and potential tenants and their customers.

Strategic location of the Properties

MRT station Malaysia – Singapore Causeway Expressway

MRT Line

Penjurruu ComCCommonwealthmmmonwwealth Jurong Port 5 assets Redhill

Pasir Panjang Terminal

Keppel Terminal

102 k Attractive building specifications Each of the Properties has been carefully selected by the Manager for inclusion in the property portfolio of Sabana Shari’ah Compliant REIT and features attractive building specifications that in turn promote higher occupancies and long-term tenants. 151 Lorong Chuan, 200 Pandan Loop, 9 Tai Seng Drive, 15 Jalan Kilang Barat and 8 Commonwealth Lane feature excellent building specifications, including high floor to ceiling height, high floor loading and wide column span. These features provide greater flexibility in terms of space configuration. As a result, these Properties are amenable to a wide range of uses and hence appeal to a wider pool of tenants. 18 Gul Drive, 1 Tuas Avenue 4 and 33 & 35 Penjuru Lane are approved and built to specifications to handle hazardous chemical products. These Properties command a premium over normal warehouse space and are well-positioned to benefit from the continuing strong demand for chemical logistics space stemming from the Singapore Government’s focus on enhancing Jurong Island’s profile as a petrochemical hub. 26 Loyang Drive has a large land area, high floor loadings, high floor to ceiling heights and large contiguous floor plates that are suitable for warehousing, fabrication and high value-added industries using large component parts. 34 Penjuru Lane, 51 Penjuru Lane and 218 Pandan Loop are warehousing spaces with wide driveways and adequate loading and unloading bays. (See Appendix F, “Independent Industrial Property Market Research Report” for further details on the demand for chemical logistics space). k Long weighted average leasehold for underlying land The weighted average unexpired lease term (including the period covered by the relevant options to renew) for the underlying land (by GFA area) for all the Properties is approximately 41 years as at 30 September 2010. k Well maintained assets with low capital expenditure requirements The Properties have been well maintained and are also relatively new. The Manager expects that capital expenditure during the Forecast Year 2011 and the Projection Year 2012 will be minimal. In respect of the defects which have been identified in the building audits on the Properties commissioned by Sabana Shari’ah Compliant REIT,either such defects will be rectified by the relevant Vendors prior to the Listing Date or Sabana Shari’ah Compliant REIT will be entitled on the Listing Date to withhold a portion of the purchase price of the relevant Property until such defects are rectified. In any event, these defects do not impair the ability of tenants to operate on the Properties. k More than 30.0% of the Properties are located on land rent free sites By percentage of GFA, 32.4% of the Properties are located on land that has been leased from the URA. Land rent for assets from the URA is paid upfront at the start of the land lease from URA, unlike assets from JTC which regular land rent subject to annual revision based on market factors has to be paid. As a result, Sabana Shari’ah Compliant REIT may potentially save on land rent expenses for these Properties when the relevant Master Leases expire.

103 SGX-ST, including the Sponsor, City Developments Limited and Ho Bee Investment Limited. The Manager has selected assets with reputable and financially strong tenants to ensure stable and resilient revenues through future economic cycles.

These tenants, in turn, are supported by high quality and diverse sub-tenants including, but not limited to, DHL, Lenovo, ESPN, Bausch & Lomb, Fujitsu and IBM.

The table below sets out the forecast top ten tenants in Sabana Shari’ah Compliant REIT’s initial property portfolio by Gross Revenue for the Forecast Year 2011:

Contribution to Gross Revenue by tenants for the Forecast Year 2011

Contribution to Forecast No Tenant Business activity Year 2011 Gross Revenue 1 Subsidiary and jointly- controlled entity of City Property developer(2) 39.4% Developments Limited(1) 2 Subsidiaries of Freight Integrated logistics Links Express Holdings 22.6% service provider(2) Limited(3) 3 Utraco Greentech Pte. Geotechnical 8.0% Ltd.(4) engineering 4 SB (Lakeside) Property developer(2) 7.6% Investment Pte. Ltd.(5) 5 Geo-Tele Pte. Ltd.(6) Property developer(2) 7.1%(7) 6 Ho Bee Developments Property developer 3.8% Pte Ltd(8) 7 Oxley & Hume Builders Real estate Pte. Ltd.(9) construction and 3.7% development 8 Premier G & U Hazardous goods Districenters Pte. 3.2% logistics provider Ltd.(10) 9 Yenom Industries Pte Pressure sensitive 2.9% Ltd(11) adhesive manufacturer 10 Fong Tat Motor Co. Automotive parts 1.7% Pte. Ltd.(12) distributor Total 100.0%

Notes: (1) Established in 1963, CDL is an SGX-ST listed international property and hotel conglomerate involved in real estate development and investment, hotel ownership and management, facilities management, as well as the provision of hospitality solutions. CDL has a comprehensive of more than 300 subsidiaries and associated companies, and has 5 companies listed on notable stock exchanges in New Zealand, Hong Kong, London and the Philippines. The CDL group currently owns and manages a strong portfolio of residential and investment properties, in addition to hotels, across Asia, Europe/Middle East, North America and New Zealand/Australia. (2) Refers to the business activity of the holding company of the tenant(s). The business activities of the tenants include, among others, property ownership and property investment. (3) Please see “The Sponsor” for further details.

104 (4) The principal activities of Utraco Greentech Pte. Ltd. are geotechnical, civil engineering and building construction works and provision of property management services and marine engineering and construction services. (5) Established in 1976, SB (Lakeside) Investment Pte. Ltd. is a subsidiary of Soilbuild Group Holdings Ltd. The principal activities of SB (Lakeside) Investment Pte. Ltd. include the development of mid- to high-end residential properties and business space properties for multi-national corporations and small and medium enterprises. (6) Geo-Tele Pte. Ltd. is a subsidiary of Sim Lian Group Limited, which was listed on SGX-ST in 2000. Established in 1976, Sim Lian Group Limited is a Singapore-based property developer.The principal activities of Geo-Tele Pte. Ltd. include, among others, property ownership and property investment. (7) The amount represents all rents received from the tenants in 9 Tai Seng Drive and the rental support payments provided by Geo-Tele Pte. Ltd.. (8) Ho Bee Developments Pte Ltd is the subsidiary of Ho Bee Investment Limited which was listed on SGX-ST in 1999. Established in 1987, Ho Bee Investment Limited is a Singapore-based property developer with a presence in Singapore, London and Shanghai. (9) Oxley & Hume Builders Pte. Ltd. is a newly incorporated company with principal activities in real estate construction and development. (10) Premier G & U Districenters Pte. Ltd. is a Singapore-based hazardous goods logistics provider. Its principal activities include the handling of hazardous goods and the provision of warehousing services. (11) Established in 1997, Yenom Industries Pte Ltd is a Singapore-based pressure sensitive adhesive manufacturer that has an established presence across 13 countries worldwide. (12) Established in 1974, Fong Tat Motor Co. Pte. Ltd. is a Singapore-based automotive parts distributor in both domestic and international markets. k Diverse asset type and sub-tenant trade sectors

The charts below set out the proportion of Gross Revenue generated by each asset type for the Forecast Year 2011 and the asset breakdown by GFA:

Gross Revenue by asset type for Forecast Year 2011 Asset breakdown by GFA

5.7% 9.7%

19.5%

44.0% 28.7%

58.4%

16.4%

17.6%

High-tech Industrial Chemical Warehouse & Logistics Warehouse & Logistics General Industrial

105 As at 30 September 2010, no more than 20.4% of the Properties by NLA is being rented out to tenants or sub-tenants (as the case may be) in any one trade sector. The chart below sets out the trade sectors of the tenants or sub-tenants (as the case may be) of the Properties by NLA as at 30 September 2010:

NLA by tenants’ or sub-tenants’ sector at 30 September 2010(1)

11.9% 20.4%

17.5%

6.1%

3.1% 3.0%

8.2% 3.4%

4.5% 16.8% 5.1%

Chemical Electronics Engineering Food & beverage Healthcare Information technology Logistics Others Research & Development Storage Telecommunication and data warehousing

Note:

(1) Based on occupied NLA only. Such diversification and non-reliance on any one particular asset type or trade sector is expected to enhance the ability of Sabana Shari’ah Compliant REIT to provide Unitholders with stable income distributions, as it is not reliant on a single asset type or trade sector. k High occupancy rates of the Properties As at the Listing Date, the occupancy rate for the Properties will be close to 100.0%1. This is higher than the average occupancy rate of 94.0% for single-user factories, 85.9% for multiple-user factories and 90.1% for private warehouse space in Singapore as of the first quarter of 2010. The Manager believes that the healthy demand for industrial properties in Singapore, coupled with the competitive asset strengths of the Properties (including their strategic locations and their long weighted average unexpired lease term), will enable the Properties to maintain their high occupancy rates over time. (See “Business and Properties”.) k Long weighted average lease duration with locked-in escalations The weighted average lease term to expiry (by Gross Revenue) for the Master Leases is approximately 3.8 years as at the Listing Date. Coupled with the provisions for 1.5% to 2.0% annual step-ups in rents in the master leases for 12 of the 15 Properties, which in total account for 53.4% of the aggregate Gross Revenue derived from the 15 Properties, Unitholders will have the assurance of a stable and growing income base to support distributions.

1 Other than 9 Tai Seng Drive whose occupancy rate as at the Listing Date will be 99.5%, the occupancy rate for the rest of the Properties which are under Master Leases will be 100.0%.

106 The lease expiry profile of the Properties as at the Listing Date is shown in the table below:

Lease expiry profile by Gross Revenue as at the Listing Date(1)

Weighted average lease term to expiry: 3.8 years

59.5%

40.5%

NA NA NA NA

2011 2012 2013 2014 2015 2016 and beyond

CERTAIN INFORMATION ON THE PROPERTIES Valuation and Purchase Price The Properties were valued by the Independent Valuers, being C&W and CKS. In arriving at the market value of each Property, C&W and CKS have adopted the capitalisation approach and the discounted cashflow method. (See Appendix E, “Independent Property Valuation Summary Reports” for further details.) The valuation of each Property is set out in the following table:

%of Properties Valuation/ based on C&W CKS Average Valuation/ Purchase Property Valuation Valuation Valuation(1) Average Price Type Property (S$ million) (S$ million) (S$ million) Valuation(1) (S$ million) 151 Lorong Chuan — 305.9 305.9 35.9 305.9 8 Commonwealth Lane — 70.5 70.5 8.3 70.3 High-tech 9 Tai Seng Drive 46.3(3) — 46.3(3) 5.4 46.3(3) Industrial 200 Pandan Loop — 41.5 41.5 4.9 41.5 15 Jalan Kilang Barat — 34.5 34.5 4.1 34.5 33 & 35 Penjuru Chemical Lane(2) 78.9 78.9 78.9 9.3 78.9 Ware- house & 18 Gul Drive(2) 34.2 33.9 34.1 4.0 34.1 Logistics 1 Tuas Avenue 4 — 28.0 28.0 3.3 28.0 34 Penjuru Lane 60.0 — 60.0 7.0 60.0 51 Penjuru Road(2) 42.5 42.5 42.5 5.0 42.5 Ware- house & 26 Loyang Drive 32.0 — 32.0 3.8 32.0 Logistics 3 Kallang Way 2A 15.0 — 15.0 1.8 15.0 218 Pandan Loop(2) 13.5 13.5 13.5 1.6 13.5

General 123 Genting Lane 24.5 — 24.5 2.8 24.5 Industrial 30 & 32 Tuas Ave 8(2) 24.0 24.0 24.0 2.8 24.0 Total 851.2 100.0 851.0

107 Notes: (1) Average Independent Valuation refers to the average of the two valuations conducted by C&W and CKS, where applicable, in respect of each of the Freight Links Properties. (2) 33 & 35 Penjuru Lane, 18 Gul Drive, 51 Penjuru Road, 218 Pandan Loop and 30 & 32 Tuas Ave 8 comprise the Freight Links Properties acquired from the Sponsor. (3) Includes an aggregate rental support of S$6.3 million (with a present value of S$5.1 million) provided by the Vendor for 9 Tai Seng Drive which can be drawn down over five years from the Listing Date. The Freight Links Properties constitute 22.7% of the Properties based on average valuation. The total purchase consideration for the Freight Links Properties is S$193.0 million.

COMPETITION Those Properties located in industrial areas are likely to face potential competition from existing or new properties of a similar type within the same area, as well as from the establishment of new industrial areas and areas designated for use by industrial service providers. The Manager believes that the Properties are well-positioned to withstand the competition, given their quality and strategic locations. In addition, most of the Properties are leased back to their Vendors under Master Leases, thus providing a stable and resilient income stream. The Manager will continue to work closely with the tenants to ensure that the Properties continue to meet their changing needs and requirements. The Manager believes that there is sufficient demand for existing and new facilities in all of the regions in which the Properties are located, in light of the Singapore Government’s attractive industry initiatives. (See Appendix F,“Independent Industrial Property Market Research Report” for further details.) The Manager expects that Sabana Shari’ah Compliant REIT will face competition for the acquisition of properties in Singapore and the rest of Asia from other industrial REITs and property funds. However, the Manager believes that Sabana Shari’ah Compliant REIT will benefit from the strength, knowledge and network of the Sponsor in the execution of its acquisition strategy (see “Strategy”). In addition to working with the Sponsor, Sabana Shari’ah Compliant REIT will also work closely with other industrial service providers.

108 151 Lorong Chuan Description The Property comprises a six-storey high-tech industrial building. The building has a large expanse of roof which can accommodate large infrastructure such as satellite dishes. The Property is located along Lorong Chuan in the north-eastern part of Singapore. It is conveniently located opposite Lorong Chuan MRT station along the Circle Line and is well served by major expressways such as the Central Expressway. The table below sets out a summary of selected information on 151 Lorong Chuan: Occupancy 100.0%(1)

Property Type High-tech Industrial(2)

Remaining Land Leasehold 45 years Tenure (as at the Listing Date)

Issue of Certificate of CSC: 7 August 1991, 9 November 1991, 23 August 1997 Statutory Completion and 18 September 1997 (“CSC”)/Temporary TOP: 27 May 1996 Occupation Permit (“TOP”)

Land Area 428,370 sq ft

Gross Floor Area 810,710 sq ft

Vendor Branbury Investments Ltd

Valuation by CKS S$305.9 million

Purchase Price S$305.9 million

Number of Sub-tenants 27

Competitive Strengths k Located near to Lorong Chuan MRT station along the Circle Line

k Accessible via the Central Expressway

k Easy access to labour due to close proximity to residential estates

k Quality high profile tenants such as HBO, ESPN, Lenovo and Kodak

k Suitable for a wide range of industrial activities such as R&D, office, high-tech industrial and warehousing

Notes: (1) 100.0% via master lease arrangement. (2) See Appendix F, “Independent Industrial Property Market Research Report”.

109 The Master Lease 151 Lorong Chuan will be leased to Branbury Investments Ltd as the Master Lessee. The initial lease term is three years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$12.0 million will be held by Sabana Shari’ah Compliant REIT upon the Listing Date, representing an average of six months of rent. The initial annual rent will be S$24.0 million. There is no rental escalation under the Master Lease agreement for 151 Lorong Chuan.

110 8 Commonwealth Lane Description The Property comprises a purpose-built four-storey industrial building and is currently undergoing addition and alteration works to construct a new six-storey extension. The Property is located along Commonwealth Lane, around eight kilometres from the city centre. Situated near to the science and technology hub of Singapore, the Property is within close proximity of research and development centres such as the GMTI Building, Haw Par Technocentre and Biopolis and Fusionopolis at one-north. Other notable buildings within the vicinity are National University of Singapore and Singapore Polytechnic. The Property is easily accessible via the Ayer Rajah Expressway and is within walking distance from Commonwealth MRT station along the East-West Line. The table below sets out a summary of selected information on 8 Commonwealth Lane:

Occupancy 100.0%(1)

Property Type High-tech Industrial(2)

Remaining Land Leasehold 48 years(3) Tenure (as at 30 September 2010)

Issue of CSC/TOP CSC: 30 April 2007 TOP: 18 December 2006

Land Area 64,773 sq ft

Gross Floor Area 161,475 sq ft(4)

Vendor Utraco Greentech Pte. Ltd.

Valuation by CKS S$70.5 million

Purchase Price S$70.3 million(5)

Number of Sub-tenants 1

Competitive Strengths k Located near Commonwealth MRT station along the East-West Line

k Accessible via the Ayer Rajah Expressway

k Recently completed

k Strategically located within close proximity of tertiary institutions and research institutions

k Easy access to staff amenities (e.g. food centres)

k Suitable for a wide range of industrial activities such as R&D, ancillary office, high-tech industrial and warehousing

Notes:

(1) 100.0% via master lease arrangement. (2) See Appendix F, “Independent Industrial Property Market Research Report”. (3) Includes an option for Sabana Shari’ah Compliant REIT to renew the land lease term for a further term of 23 years upon expiry.

111 (4) Includes 32,394 sq ft extension to the Property. (5) Subject to the completion of the extension by the Listing Date. If the extension is not completed by the Listing Date, the Manager will withhold a portion of the purchase price until the extension is completed. (See “Risk Factors — Risks relating to the Properties — Construction of extension to 8 Commonwealth Lane may not be completed prior to the Listing Date.” for further details.)

The Master Lease 8 Commonwealth Lane will be leased to Utraco Greentech Pte. Ltd. as the Master Lessee. The initial lease term is three years from the completion date of the sale and purchase. The initial annual rent will be S$5.4 million with rental escalation to be calculated at 1.5% per annum over the preceding year’s rent. The initial annual rent for 8 Commonwealth Lane will be paid to Sabana Shari’ah Compliant REIT upon completion of the sale and purchase.

112 9 Tai Seng Drive

Description

The Property comprises a six-storey industrial building with a basement level car park. The building accommodates warehouse, production and ancillary office units on the first-storey, a data warehousing and ancillary office unit on the fifth storey, and a warehouse, production and ancillary office units on the remaining levels.

The Property is located along Tai Seng Drive, within Tai Seng Industrial Estate, nine kilometres away from the city centre. The property is situated within a three minute drive from the newly- opened Tai Seng MRT station along the Circle Line. In addition, it is well served by major expressways including the Pan-Island Expressway and Kallang Paya Lebar Expressway.

The table below sets out a summary of selected information on 9 Tai Seng Drive:

Occupancy(1) 99.5%

Property Type High-tech Industrial(2)

Remaining Land Leasehold Tenure (as 45 years(3) at 30 September 2010)

Issue of CSC/TOP CSC: 13 December 2000 and 25 February 2003 TOP: 20 March 2002

Land Area 87,498 sq ft

Gross Floor Area 218,905 sq ft

Vendor Geo-Tele Pte. Ltd.

Valuation by C&W S$46.3 million(4)

Purchase Price S$46.3 million

Number of Tenants 9

Competitive Strengths k Located near Tai Seng MRT station along the Circle Line

k Accessible via the Pan-Island Expressway and Kallang Paya Lebar Expressway

k Easy access to labour due to close proximity to residential estates

k High-profile tenants including DHL and Savvis Singapore

k Easy access to staff amenities (e.g. food centres)

k Suitable for wide range of industries including light manufacturing, storage, R&D and ancillary office

Notes: (1) As at the Listing Date. (2) See Appendix F, “Independent Industrial Property Market Research Report”.

113 (3) Includes an option for Sabana Shari’ah Compliant REIT to renew the land lease term for a further term of 30 years upon expiry. (4) Includes an aggregate rental support of S$6.3 million (with a present value of S$5.1 million) provided by the Vendor which can be drawn down over five years from the Listing Date.

Tenant Information

9 Tai Seng Drive has nine tenants. The table below sets out information on these tenants:

Tenant Lease Expiry Date NLA (sq ft) DHL Supply Chain Singapore Pte. Ltd. December 2011 88,379 Savvis Singapore Company Pte Ltd January 2011 to November 2012 45,189 Armor Asia Imaging Supplies Pte Ltd July 2011 21,165 T-Systems Singapore Pte. Ltd. December 2010 to February 2012 6,464 Orix Rentec (Singapore) Pte. Ltd. June 2011 5,856 Infotel Technologies (Pte) Ltd July 2011 5,520 Bluetel Networks Pte. Ltd. December 2011 2,210 Industrial Pumps Pte Ltd June 2011 750 Chef De Wine April 2011 70

In addition, the Vendor for 9 Tai Seng Drive has provided an aggregate rental support of S$6.3 million which can be drawn down over five years from the Listing Date. (See “Certain Agreements Relating to Sabana Shari’ah Compliant Industrial Real Estate Investment Trust and the Properties — Sale and Purchase Agreements and Lease Agreements — 9 Tai Seng Drive” for further details in respect of the rental support arrangement.)

Rental Support

The gross consideration paid by Sabana Shari’ah Compliant REITrepresents the fair value of the Property (with valuation taking into account market rent, and not just contractual rent). The gross consideration of S$46.3 million represents the sum of the valuation of 9 Tai Seng Drive based on the contracted rentals and the present value of the rental income support provided by the Vendor, which is accounted for as an intangible asset in accordance with FRS 38 Intangibles as it represents a separately identifiable non-monetary contractual right to receive future payments, and would be accounted as follows:

(i) the investment property would be carried at fair value (S$41.2 million) which is based on contractual cash flow from the Property, excluding the income support from the Vendor;

(ii) the intangible asset has a carrying amount of S$5.1 million, being the rental income support from the Vendor;

(iii) the intangible asset would be amortised systematically to the statement of total return over the rental support period; and

(iv) payments received from the Vendor would be recognised as rental revenues in the profit and loss over the rental support period.

114 200 Pandan Loop Description The Property comprises a purpose-built eight-storey high-tech industrial complex with car park facilities available within the compound of the Property. The Property is located along Pandan Loop in the south-western part of Singapore within close proximity to residential estates. The Property is well served by major arterial roads and transport networks such as the Ayer Rajah Expressway and West Coast Highway. Public transport and other amenities are available in the vicinity. The table below sets out a summary of selected information on 200 Pandan Loop: Occupancy 100.0%(1)

Property Type High-tech Industrial(2)

Remaining Land Leasehold Tenure (as 72 years at 30 September 2010)

Issue of CSC/TOP CSC: 16 March 1996 TOP: 29 June 1995

Land Area 74,283 sq ft

Gross Floor Area 180,186 sq ft

Vendor Eccott Pte Ltd

Valuation by CKS S$41.5 million

Purchase Price S$41.5 million

Number of Sub-tenants 14

Competitive Strengths k Accessible via the Ayer Rajah Expressway

k Easy access to labour as property is in close proximity to residential estates

k Suitable for a wide range of industrial activities such as a data centre, R&D, high-tech industrial purposes and as office space

Notes: (1) 100.0% via master lease arrangement. (2) See Appendix F, “Independent Industrial Property Market Research Report”.

The Master Lease 200 Pandan Loop will be leased to Eccott Pte Ltd as the Master Lessee. The initial lease term is three years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$1.6 million will be held by Sabana Shari’ah Compliant REIT upon the Listing Date, representing an average of six months of rent. The initial annual rent will be S$3.2 million. There is no rental escalation under the Master Lease Agreement for 200 Pandan Loop.

115 15 Jalan Kilang Barat Description The Property comprises a purpose-built eight-storey industrial building. The building has a multi- storey car park facility at the second and third storeys. The Property is located along Jalan Kilang Barat in the central part of Singapore within close proximity to residential estates. It is conveniently accessible by the Ayer Rajah Expressway and Redhill MRTstation along the East-West Line. Public transport and other amenities are available in the vicinity. The table below sets out a summary of selected information on 15 Jalan Kilang Barat: Occupancy 100.0%(1)

Property Type High-tech Industrial(2)

Remaining Land Leasehold Tenure (as 50 years at 30 September 2010)

Issue of CSC/TOP CSC: 5 May 2003 TOP: 24 January 2002

Land Area 25,157 sq ft

Gross Floor Area 73,928 sq ft

Vendor Ho Bee Developments Pte Ltd

Valuation by CKS S$34.5 million

Purchase Price S$34.5 million

Number of Sub-tenants 19

Competitive Strengths k Located near Redhill MRT station along the East-West Line

k Accessible via the Ayer Rajah Expressway

k Easy access to labour as property is in close proximity to residential estates

k Easy access to staff amenities (e.g. food centres)

Notes: (1) 100.0% via master lease arrangement. (2) See Appendix F, “Independent Industrial Property Market Research Report”.

The Master Lease 15 Jalan Kilang Barat will be leased to Ho Bee Developments Pte Ltd as the Master Lessee. The initial lease term is five years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$2.6 million will be held by Sabana Shari’ah Compliant REIT upon the Listing Date, representing an average of 12 months of rent. The initial annual rent will be S$2.6 million with rental escalation to be calculated at 1.5% per annum over the preceding year’s rent.

116 33 & 35 Penjuru Lane Description The Property is a chemicals storage warehouse complex comprising three buildings — a four- storey warehouse building, a part single-storey, part three-storey warehouse building and a single-storey warehouse with mezzanine floor. The Property is located within Jurong Industrial Estate, which is considered to be the key logistics cluster of the Jurong Industrial Precinct given its proximity to the PSA Terminals, Jurong Port and Jurong Island. The Property is well served by major arterial roads and transport networks such as the nearby Ayer Rajah Expressway,Pan-Island Expressway,West Coast Highway,and Jurong East MRTstation on the East-West Line. Public transport and other amenities are available in the vicinity. The table below sets out a summary of selected information on 33 & 35 Penjuru Lane: Occupancy 100.0%(1)

Property Type Chemical Warehouse & Logistics(2)

Remaining Land Leasehold Tenure (as 38 years(3) at 30 September 2010)

Issue of CSC/TOP CSC: 11 May 1992, 20 June 1994, 29 August 1994, 9 October 2008, 23 October 2008 and 24 April 2009 TOP: Not available

Land Area 277,236 sq ft

Gross Floor Area 286,192 sq ft

Vendor Freight Links Express Logisticpark Pte Ltd

Valuation by C&W S$78.9 million

Valuation by CKS S$78.9 million

Average Independent Valuation S$78.9 million

Purchase Price S$78.9 million

Number of Sub-tenants —

Competitive Strengths k Approved by authorities and built to specifications to handle hazardous chemical products

k Accessible via the Ayer Rajah Expressway, Pan-Island Expressway and West Coast Highway

k Opportunity to maximise plot ratio as it has not been fully utilised

k Close proximity to Jurong Island which is Singapore’s petrochemical hub

Notes: (1) 100.0% via master lease arrangement.

117 (2) See Appendix F, “Independent Industrial Property Market Research Report”. (3) Includes an option for Sabana Shari’ah Compliant REIT to renew the land lease term for a further term of 31 years upon expiry.

The Master Lease 33 & 35 Penjuru Lane will be leased to Freight Links Express Logisticpark Pte Ltd as the Master Lessee. The initial lease term is five years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$4.8 million will be held by Sabana Shari’ah Compliant REITupon the Listing Date, representing an average of nine months of rent. The initial annual rent will be S$6.2 million with rental escalation to be calculated at 1.5% per annum over the preceding year’s rent.

118 18 Gul Drive Description The Property is a purpose-built chemicals warehouse comprising a part two-storey, part four- storey industrial warehouse building with ancillary offices. The Property is located in the western part of Singapore within Jurong Industrial Estate and is in close proximity to the PSA Terminals, Jurong Port and Jurong Island. The Property is well served by major arterial roads and transport networks including the Ayer Rajah Expressway and Boon Lay MRT station along the East-West Line. Public transport and other amenities are available in the vicinity. The table below sets out a summary of selected information on 18 Gul Drive: Occupancy 100.0%(1)

Property Type Chemical Warehouse & Logistics(2)

Remaining Land Leasehold Tenure (as 28 years(3) at 30 September 2010)

Issue of CSC/TOP CSC: 24 June 2010 TOP: 12 November 2009

Land Area 92,449 sq ft

Gross Floor Area 132,878 sq ft

Vendor LTH Logistics (Singapore) Pte Ltd

Valuation by C&W S$34.2 million

Valuation by CKS S$33.9 million

Average Independent Valuation S$34.1 million

Purchase Price S$34.1 million

Number of Sub-tenants 1

Competitive Strengths k Approved by authorities and built to specifications to handle hazardous chemical products

k Accessible via the Ayer Rajah Expressway

k Close proximity to Jurong Island which is Singapore’s petrochemical hub

Notes: (1) 100.0% via master lease arrangement. (2) See Appendix F, “Independent Industrial Property Market Research Report”. (3) Includes an option for Sabana Shari’ah Compliant REIT to renew the land lease term for a further term of 20 years upon expiry.

119 The Master Lease 18 Gul Drive will be leased to LTH logistics (Singapore) Pte Ltd as the Master Lessee. The initial lease term is five years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$2.1 million will be held by Sabana Shari’ah Compliant REIT upon the Listing Date, representing an average of nine months of rent. The initial annual rent will be S$2.7 million with rental escalation to be calculated at 1.5% per annum over the preceding year’s rent.

120 1 Tuas Avenue 4 Description The Property comprises a three-storey chemical warehouse building with a surface car park. The Property is located in western part of Singapore within Jurong Industrial Estate and is in close proximity to the PSA Terminals, Jurong Port and Jurong Island. The Property is well served by major transport networks including the Ayer Rajah Expressway and Boon Lay MRT station along the East-West Line. Public transport and other amenities are available in the vicinity. The table below sets out a summary of selected information on 1 Tuas Avenue 4:

Occupancy 100.0%(1)

Property Type Chemical Warehouse & Logistics(2)

Remaining Land Leasehold Tenure (as 37 years(3) at 30 September 2010)

Issue of CSC/TOP CSC: 22 June 2001 TOP: Not available

Land Area 147,797 sq ft

Gross Floor Area 160,361 sq ft

Vendor Premier G & U Districenters Pte. Ltd.

Valuation by CKS S$28.0 million

Purchase Price S$28.0 million

Number of Sub-tenants 1

Competitive Strengths k Approved by authorities and built to specifications to handle hazardous chemical products

k Accessible via the Ayer Rajah Expressway

k Opportunity to maximise plot ratio as it has not been fully utilised

The Master Lease 1 Tuas Avenue 4 will be leased to Premier G & U Districenters Pte. Ltd. as the Master Lessee. The initial lease term is three years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$2.1 million will be held by Sabana Shari’ah Compliant REIT upon the Listing Date, representing an average of 12 months of rent. The initial annual rent will be S$2.1 million with rental escalation to be calculated at 2.0% per annum over the preceding year’s rent.

121 34 Penjuru Lane

Description

The Property comprises a five-storey single-user warehouse with ancillary offices. It accommodates warehouse spaces from the first to fifth storey and ancillary offices on the second storey.

The Property is located within Jurong Industrial Estate and is in close proximity to the PSA Terminals, Jurong Port, Jurong Island and is well served by major transport networks including the Ayer Rajah Expressway, Pan-Island Expressway, West Coast Highway, and Jurong East MRT station on the East-West Line.

The table below sets out a summary of selected information on 34 Penjuru Lane:

Occupancy 100.0%(1)

Property Type Warehouse & Logistics(2)

Remaining Land Leasehold Tenure (as 22 years at 30 September 2010)

Issue of CSC/TOP CSC: 12 May 2009 TOP: Not available

Land Area 165,873 sq ft

Gross Floor Area 414,270 sq ft

Vendor SB (Lakeside) Investment Pte. Ltd.

Valuation by C&W S$60.0 million

Purchase Price S$60.0 million

Number of Sub-tenants 5

Competitive Strengths k Accessible via the Ayer Rajah Expressway

k Located within the warehousing zone in Jurong area

k Versatile use and can handle all types of general cargo

Notes: (1) 100.0% via master lease arrangement. (2) See Appendix F, “Independent Industrial Property Market Research Report”.

The Master Lease

34 Penjuru Lane will be leased to SB (Lakeside) Investment Pte. Ltd. as the Master Lessee. The initial lease term is five years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$2.5 million will be held by Sabana Shari’ah Compliant REIT upon the Listing Date, representing an average of six months of rent.

The initial annual rent will be S$5.0 million with rental escalation to be calculated at 2.0% per annum over the preceding year’s rent.

122 51 Penjuru Road Description The Property is a purpose-built warehouse complex comprising a part single-storey, part three- storey and part four-storey warehouse with an ancillary office building. The warehouse block accommodates an automated storage and retrieval system warehouse with a height of 33 metres. The Property is located in the western part of Singapore, at the intersection of Penjuru Road and Jalan Buroh. The Property is in close proximity to the PSA Terminals, Jurong Port and Jurong Island and is well served by major arterial roads, transport networks such as the Ayer Rajah Expressway and Jurong East MRT station along the East-West Line. The table below sets out a summary of selected information on 51 Penjuru Road: Occupancy 100.0%(1)

Property Type Warehouse & Logistics(2)

Remaining Land Leasehold Tenure (as 44 years(3) at 30 September 2010)

Issue of CSC/TOP CSC: 2 November 1999 TOP: 25 February 1999

Land Area 157,064 sq ft

Gross Floor Area 246,376 sq ft

Vendor Freight Links Express Logisticentre Pte Ltd

Valuation by C&W S$42.5 million

Valuation by CKS S$42.5 million

Average Independent Valuation S$42.5 million

Purchase Price S$42.5 million

Number of Sub-tenants 1

Competitive Strengths k Located within the warehousing zone of Jurong Industrial Estate

k Accessible via the Ayer Rajah Expressway

k Versatile use: suitable for all types of general cargo

k Warehouse block accommodates a specialised automated storage and retrieval system

k Opportunity to maximise plot ratio as it has not been fully utilised

123 The Master Lease 51 Penjuru Road will be leased to Freight Links Express Logisticentre Pte Ltd as the Master Lessee. The initial lease term is five years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$2.6 million will be held by Sabana Shari’ah Compliant REITupon the Listing Date, representing an average of nine months of rent. The initial annual rent will be S$3.3 million with rental escalation to be calculated at 1.5% per annum over the preceding year’s rent.

124 26 Loyang Drive

Description

The Property comprises a purpose-built single-storey industrial building with mezzanine floors. The building accommodates warehouse and production areas, workshops, offices and facilities rooms on the first storey, while facilities rooms, a canteen, general office, partitioned offices, meeting room and conference room are located on the mezzanine levels.

The Property is situated within the Loyang Industrial Estate which is strategically located at the eastern part of Singapore, close to Changi Airport. It is well served by expressways and major roads such as the Tampines Expressway, East Coast Parkway, Pan-Island Expressway and Loyang Avenue. Public transport and other amenities are available in the vicinity.

The table below sets out a summary of selected information on 26 Loyang Drive:

Occupancy 100.0%(1)

Property Type Warehouse & Logistics(2)

Remaining Land Leasehold Tenure (as 43 years(3) at 30 September 2010)

Issue of CSC/TOP CSC: 1 November 2007 TOP: Not available

Land Area 195,430 sq ft

Gross Floor Area 149,166 sq ft

Vendor Oxley & Hume Builders Pte. Ltd.

Valuation by C&W S$32.0 million

Purchase Price S$32.0 million

Number of Sub-tenants 1

Competitive Strengths k Accessible via the Tampines Expressway and Pan-Island Expressway

k Close proximity to Changi Airport

k Suitable for a wide range of industrial activities with high floor loading, high floor to ceiling height, large continuous floor plate and wide column span

k Opportunity to maximise plot ratio as it has not been fully utilised

125 The Master Lease 26 Loyang Drive will be leased to Oxley & Hume Builders Pte. Ltd. as the Master Lessee. The initial lease term is five years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$2.5 million will be held by Sabana Shari’ah Compliant REIT upon the Listing Date, representing an average of 12 months of rent. The initial annual rent will be S$2.5 million with rental escalation to be calculated at 1.5% per annum over the preceding year’s rent.

126 3 Kallang Way 2A

Description

The Property comprises a seven-storey industrial building with a basement level car park located off Aljunied Road. The building accommodates ancillary office areas on the third and fourth storey and warehouse and manufacturing areas on the other levels.

The Property is located in the eastern part of Singapore, some six kilometres away from the city centre at Raffles Place. Situated within Kallang Way Industrial Estate, it is well served by expressways and major roads such as the Pan Island Expressway, Kallang Paya Lebar Expressway and Aljunied Road. Public transport facilities are readily available along Aljunied Road. The nearest MRT station is Macpherson MRT station along the Circle Line.

The table below sets out a summary of selected information on 3 Kallang Way 2A:

Occupancy 100.0%(1)

Property Type Warehouse & Logistics(2)

Remaining Land Leasehold Tenure (as 45 years(3) at 30 September 2010)

Issue of CSC/TOP CSC: 28 April 2003 TOP: Not available

Land Area 33,533 sq ft

Gross Floor Area 83,646 sq ft

Vendor Fong Tat Motor Co. Pte. Ltd.

Valuation by C&W S$15.0 million

Purchase Price S$15.0 million

Number of Sub-tenants 1

Competitive Strengths k Accessible via Pan-Island Expressway and Kallang Paya Lebar Expressway

k Located near Aljunied MRT station along the East-West Line and Macpherson MRT station along the Circle Line

k Easy access to labour as property is in close proximity to residential estates

k Suitable for a wide range of industrial activities including manufacturing, storage, R&D, as ancillary office space and for warehousing purposes

Notes: (1) 100.0% via master lease arrangement.

127 (2) See Appendix F, “Independent Industrial Property Market Research Report”. (3) Includes an option for Sabana Shari’ah Compliant REIT to renew the land lease term for a further term of 30 years upon expiry.

The Master Lease 3 Kallang Way 2A will be leased to Fong Tat Motor Co. Pte. Ltd. as the Master Lessee. The initial lease term is three years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$1.2 million will be held by Sabana Shari’ah Compliant REIT upon the Listing Date, representing an average of 12 months of rent. The initial annual rent will be S$1.2 million with rental escalation to be calculated at an average of 1.8% per annum over the preceding year’s rent.

128 218 Pandan Loop Description The Property comprises a two-storey office building and a single-storey cold storage logistics warehouse with a mezzanine floor. The Property is situated within Jurong Industrial Estate, which is considered to be the key logistics cluster of the Jurong Industrial Precinct given its proximity to the PSA Terminals, Jurong Port and Jurong Island. It is well served by major arterial roads and transport networks such as the nearby Ayer Rajah Expressway and Pan-Island Expressway and West Coast Highways and Jurong East and Clementi MRT station on the East-West Line. The table below sets out a summary of selected information on 218 Pandan Loop: Occupancy 100.0%(1)

Property Type Warehouse & Logistics(2)

Remaining Land Leasehold Tenure (as 39 years(3) at 30 September 2010)

Issue of CSC/TOP CSC: 9 June 1993 TOP: Not available

Land Area 96,689 sq ft

Gross Floor Area 50,374 sq ft

Vendor Freight Links Express Air Systems Pte Ltd

Valuation by C&W S$13.5 million

Valuation by CKS S$13.5 million

Average Independent Valuation S$13.5 million

Purchase Price S$13.5 million

Number of Sub- tenants 1

Competitive Strengths k Accessible via the Ayer Rajah Expressway and Pan-Island Expressway

k Located within the food zone in Pandan Loop amongst companies like Delifrance, Gardenia and Pasta Fresca

k Built to specifications for perishable food and halal meat products storage

k Contains a cold room for storage purposes

k Opportunity to maximise plot ratio as it has not been fully utilised

Notes: (1) 100.0% via master lease arrangement.

129 (2) See Appendix F, “Independent Industrial Property Market Research Report”. (3) Includes an option for Sabana Shari’ah Compliant REIT to renew the land lease term for a further term of 30 years upon expiry.

The Master Lease 218 Pandan Loop will be leased to Freight Links Express Air Systems Pte Ltd as the Master Lessee. The initial lease term is five years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$0.8 million will be held by Sabana Shari’ah Compliant REITupon the Listing Date, representing an average of nine months of rent. The initial annual rent will be S$1.1 million with rental escalation to be calculated at 1.5% per annum over the preceding year’s rent.

130 123 Genting Lane Description The Property comprises an eight-storey industrial building with ancillary offices. The building accommodates ancillary office areas on the seventh storey, an air-conditioned canteen on the eighth storey and warehouse, manufacturing and ancillary office on the remaining levels. The Property is located in the eastern part of Singapore some six kilometres away from the city centre at Raffles Place. Situated within Kallang Way Industrial Estate, it is well served by expressways and major roads such as the Pan-Island Expressway, Kallang Paya Lebar Expressway and Aljunied Road. Public transport facilities are readily available along Aljunied Road. The nearest MRT station is Aljunied MRT station along the East-West Line. The table below sets out a summary of selected information on 123 Genting Lane: Occupancy 100.0%(1)

Property Type General Industrial(2)

Remaining Land Leasehold Tenure (as 31 years at 30 September 2010)

Issue of CSC/TOP CSC:17 April 1996, 20 September 2001 and 3 January 2007 TOP: Not available

Land Area 64,771 sq ft

Gross Floor Area 158,907 sq ft

Vendor Yenom Industries Pte Ltd

Valuation by C&W S$24.5 million

Purchase Price S$24.5 million

Number of Sub-tenants 10

Competitive Strengths k Located near Aljunied MRT station along the East-West Line

k Accessible via the Pan-Island Expressway and Kallang Paya Lebar Expressway

k Easy excess to labour as property is in close proximity to residential estates

k Suitable for wide range of activities including light manufacturing, storage, R&D and as an ancillary office space

Notes: (1) 100.0% via master lease arrangement. (2) See Appendix F, “Independent Industrial Property Market Research Report”.

131 The Master Lease 123 Genting Lane will be leased to Yenom Industries Pte Ltd as the Master Lessee. The initial lease term is three years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$2.4 million will be held by Sabana Shari’ah Compliant REIT upon the Listing Date, representing an average of 15 months of rent. The initial annual rent will be S$2.0 million with rental escalation to be calculated at 1.5% per annum over the preceding year’s rent.

132 30 & 32 Tuas Avenue 8

Description

The property comprises two factories with an adjoining four-storey purpose-built factory with ancillary offices.

The property is situated within Jurong Industrial Estate, which is considered to be the key logistics cluster of the Jurong Industrial Precinct given its proximity to the PSA Terminals, Jurong Port and Jurong Island. It is well served by major arterial roads and transport networks such as the nearby Ayer Rajah Expressway and Pan-Island Expressway, West Coast Highways and Boon Lay and Joo Koon MRT stations on the East-West Line.

The table below sets out a summary of selected information on 30 & 32 Tuas Avenue 8:

Occupancy 100.0%(1) Property Type General Industrial(2) Remaining Land Leasehold Tenure (as 46 years(3) at 30 September 2010) Issue of CSC/TOP CSC: 19 February 1997, 17 September 1998, 6 March 1999, 27 November 2002 TOP: Not available Land Area 157,141 sq ft Gross Floor Area 158,846 sq ft Vendor Freight Links Fabpark Pte. Ltd. Valuation by C&W S$24.0 million Valuation by CKS S$24.0 million Average Independent Valuation S$24.0 million Purchase Price S$24.0 million Number of Sub-tenants 1

Competitive Strengths k Accessible via the Ayer Rajah Expressway and Pan Island Expressway

k Versatile configuration suitable for wide range of manufacturing, warehousing and R&D activities

k Opportunity to maximise plot ratio as it has not been fully utilised

133 The Master Lease 30 & 32 Tuas Avenue 8 will be leased to Freight Links Fabpark Pte. Ltd. as the Master Lessee. The initial lease term is five years from the completion date of the sale and purchase. Security deposits in the form of cash or bank guarantees totalling S$1.5 million will be held by Sabana Shari’ah Compliant REIT upon the Listing Date, representing an average of nine months of rent. The initial annual rent will be S$1.9 million with rental escalation to be calculated at 1.5% per annum over the preceding year’s rent.

134 INSURANCE

Under the Shari’ah Guidelines, Sabana Shari’ah Compliant REIT is required to seek Takaful for the purposes of fire insurance and loss of rent insurance, except where Takaful are unable to provide the required insurance coverage or is not in the jurisdiction of its business dealing and provided prior approval from the Independent Shari’ah Committee is obtained, in which case Sabana Shari’ah Compliant REIT shall be entitled to opt for conventional insurance schemes. The Manager,with the approval of the Independent Shari’ah Committee, has taken out insurance for fire and loss of rent structured to replicate the Takaful structure on the basis that there is no commercially viable Takaful alternative available in Singapore.

The Properties are insured in accordance with industry practice in Singapore.

CAPITAL EXPENDITURE

In respect of any defects identified in the building audits undertaken for each of the Properties commissioned by Sabana Shari’ah Compliant REIT, the relevant Vendors will either rectify such defects prior to the Listing Date or compensate Sabana Shari’ah Compliant REITaccordingly.As such, the Manager expects that the capital expenditure during the Forecast Year 2011 will be minimal. (See “Profit Forecast and Projection — Assumptions — Capital Expenditure” for details regarding capital expenditure.)

RENTAL RATES

Master Leases

Based on the valuation reports prepared by the Independent Valuers for the Properties, the Manager is of the view that the rental rates payable by the Master Lessees to Sabana Shari’ah Compliant REIT are in line with market rates.

Sub-tenancies

In respect of each Property which is under a Master Lease, Sabana Shari’ah Compliant REIT, through the Trustee, is currently not a party and will not be a party to the respective sub-tenancy agreement(s), if any, in respect of such Property.

Through the Manager’s discussions with the Vendors and discussions with the Independent Valuers, the Manager is of the view that most of the rental rates for the Properties currently paid by each sub-tenant to the respective Master Lessee are on average in line with market rates.

The Manager believes that some of the sub-tenancy agreements were entered into prior to the recent recovery in the Singapore economy and as such, the rental rates thereunder may not necessarily reflect current market rental rates. This provides the Manager with an opportunity to provide potentially positive rental reversions if both the sub-tenancies and the Master Leases expire and the sub-tenancy rental rates are increased.

LEGAL PROCEEDINGS

None of Sabana Shari’ah Compliant REIT and the Manager is currently involved in any material litigation nor, to the best of the Manager’s knowledge, is any material litigation currently contemplated or threatened against Sabana Shari’ah Compliant REIT or the Manager.

135 THE MANAGER AND CORPORATE GOVERNANCE

THE MANAGER OF SABANA SHARI’AH COMPLIANT REIT The Manager, Sabana Real Estate Investment Management Pte. Ltd., was incorporated in Singapore under the Companies Act, Chapter 50 of Singapore (the “Companies Act”) on 15 March 2010. It has a paid-up capital of S$1.0 million, its registered office is 9 Raffles Place, #18-20/21, Republic Plaza, Singapore 048619, and its telephone and facsimile numbers are +65 6823 6854 and +65 6823 6907 respectively. The Manager is 100.0% owned by SIP. SIP is a company incorporated in Singapore, which is 51.0% owned by the Sponsor, 45.0% owned by Blackwood and 4.0% owned by TCP as at the date of this Prospectus. The shareholders of Blackwood are Mr Kevin Xayaraj (the Chief Executive Officer and the Executive Director (Investments) of the Manager), Mr Bobby Tay Chiew Sheng (the Head of Strategy and Investor Relations of the Manager) and Mr Aw Wei Been (the Chief Operating Officer and Head of Asset Management of the Manager). The Manager was issued a CMS Licence for REIT management pursuant to the SFA on 2 November 2010.

MANAGEMENT REPORTING STRUCTURE

Board of Directors Mr Steven Lim Kok Hoong (Chairman and Independent Non-Executive Director) Mr Yong Kok Hoon (Independent Non-Executive Director) Associate Professor Muhammad Faishal Bin Ibrahim Khan Surattee (Independent Non- Executive Director) Mr Kevin Xayaraj (Chief Executive Officer and Executive Director (Investments)) Ms Ng Shin Ein (Non-Executive Director) Mr Henry Chua Tiong Hock (Non-Executive Director)

Chief Executive Officer Mr Kevin Xayaraj

Head of Strategy and Chief Financial Chief Operating Investor Relations Officer Officer / Head of Asset Management Mr Bobby Tay Chiew Mr Eric Michael Sheng Peter Pascal Mr Aw Wei Been

136 BOARD OF DIRECTORS OF THE MANAGER The Board is entrusted with the responsibility for the overall management of the Manager. The following table sets forth information regarding the Directors:

Name Age Address Position Mr Steven Lim Kok 63 9 Raffles Place Chairman and Hoong #18-20/21, Republic Plaza Independent Non- Singapore 048619 executive Director Mr Yong Kok Hoon 53 9 Raffles Place Independent Non- #18-20/21, Republic Plaza executive Director Singapore 048619 Associate Professor 42 9 Raffles Place Independent Non- Muhammad Faishal Bin #18-20/21, Republic Plaza executive Director Ibrahim Khan Surattee Singapore 048619 Mr Kevin Xayaraj 45 9 Raffles Place Chief Executive Officer #18-20/21, Republic Plaza and Executive Director Singapore 048619 (Investments) Ms Ng Shin Ein 36 9 Raffles Place Non-executive Director #18-20/21, Republic Plaza Singapore 048619 Mr Henry Chua Tiong 57 9 Raffles Place Non-executive Director Hock #18-20/21, Republic Plaza Singapore 048619 Each of the Directors has served as a director of a public-listed company or trust, save for Mr Kevin Xayaraj and Associate Professor Muhammad Faishal Bin Ibrahim Khan Surattee, where appropriate arrangements have been made to orientate them in being a director of a public-listed trust. Accordingly, the Directors have the appropriate experience to act as the directors and are familiar with the rules and responsibilities of a director of a public-listed company or trust. None of the Directors has any family relationship with one another,any substantial shareholder of the Manager or any Substantial Unitholder (as defined herein).

Experience and Expertise of the Board of Directors Information on the business and working experience of the Directors is set out below: Mr Steven Lim Kok Hoong is the Chairman and Independent Non-executive Director of the Manager. Mr Lim is currently retired. He was a senior partner at Ernst & Young, Singapore from 2002 to 2003. During this period he served as audit partner for various clients and assisted in management of the firm. Prior to his appointment at Ernst & Young, Singapore, he was the Managing Partner of Arthur Andersen, Singapore from 1990 to 2002. He also held the position of Area Managing Partner Asia Pacific for Audit & Business Advisory Services from 1999 to 2000. Mr Lim has over 32 years of experience working in public accountancy,with a substantial amount of his time spent on audits of companies operating in a variety of industries. Mr Lim holds a Bachelor of Commerce degree from the University of Western Australia. He is a member of the Institute of Chartered Accountants in Australia and the Institute of Certified Public Accountants of Singapore. Mr Yong Kok Hoon is an Independent Non-executive Director of the Manager. Mr Yong is the Managing Director of InnoTek Limited. Prior to his appointment as Managing Director on 7 January 2010, he was the Chief Financial Officer of InnoTek Limited from October

137 1999. He was appointed an Executive Director on the Board of InnoTek Limited on 18 February 2002. Mr Yong is a Certified Public Accountant and is a Fellow of the Association of Chartered Certified Accountants. Prior to joining InnoTek Limited as its Chief Financial Officer, he was the Group Financial Controller of QAF Group from January 1996 to October 1999 and was a partner in Moore Stephens, an international accounting firm from January 1995 to December 1995. Mr Yong started his accounting career with KPMG and subsequently spent more than ten years in Ernst & Young before leaving in December 1994. Mr Yong was a member of the financial statements review committee and was also a member of the China committee of the Institute of Certified Public Accountants of Singapore. He holds a Master of Business Administration degree from the International Management Centre, Europe. Associate Professor Muhammad Faishal Bin Ibrahim Khan Surattee is an Independent Non-executive Director of the Manager. Associate Professor Muhammad Faishal is currently an Associate Professor at the National University of Singapore, which he joined as a Senior Tutor in 1996. Prior to joining the National University of Singapore, Associate Professor Muhammad Faishal was a valuer at the Inland Revenue Authority of Singapore from June 1993 to May 1996. His responsibilities included valuing properties for taxation purposes, such as property tax, stamp duty and estate duty. In addition, he valued land for the Sale of Sites by Singapore Government agencies. Associate Professor Muhammad Faishal has also been a Member of Parliament since May 2006. Associate Professor Muhammad Faishal holds a Bachelor of Science (Honours) in Estate Management from the National University of Singapore, a Master of Science degree in Real Estate from the National University of Singapore and a Doctor of Philosophy degree in Management Sciences from the University of Manchester Institute of Science and Technology. Mr Kevin Xayaraj is the Chief Executive Officer and the Executive Director (Investments) of the Manager. Mr Xayaraj has more than 19 years of experience in real estate investment, development and asset management in the many property markets. Before joining the Manager, Mr Xayaraj was the Director, Real Estate Investments of TCP (formerly known as Emirates Tarian Capital (S) Pte. Ltd.) from October 2009 to August 2010. Prior to that he was the Senior Manager, Marketing at Cambridge Industrial Property Management Pte. Ltd. from January 2009 to August 2009. Mr Xayaraj was with Cambridge Industrial Trust Management Limited from December 2005 to December 2008 as an Assistant Vice President (Investment). From January 2004 to December 2005, he was involved in business development and asset management at Ascendas Land (Singapore) Pte Ltd for two years. Mr Xayaraj was also Vice President, Research and Finance at Pacific Star Asset Management Pte. Ltd. from January 2003 to December 2003. He was Assistant Manager, Project & Financial Analysis at Pacific Star Property Management Pte Ltd from July 2002 to December 2002. Prior to that, he also held other positions such as Senior Manager (Research) with Jones Lang LaSalle Property Consultants Pte Ltd from January 2002 to April 2002, Equities Research Analyst with OUB Securities Pte Ltd from July 1999 to March 2001, UOB Investment Research Pte Ltd from December 1997 to July 1999 and Tsang & Ong Research (Pte) Ltd from January 1997 to December 1997, and Property Analyst/Valuer at Stewart, Young, Hillesheim & Atlin Ltd in Toronto (Canada) from February 1988 to December 1994. Mr Xayaraj holds a Bachelor of Applied Science (Honours) degree from the University of Windsor and a Master of Business Administration from the Imperial College, University of London.

138 Ms Ng Shin Ein is a Non-executive Director of the Manager. Ms Ng is the Managing Director for Asia of Blue Ocean Associates Pte. Ltd., an investment and strategic advisory firm. She is primarily in charge of the firm’s portfolio of European and U.S. partners co-investing in Asia. Prior to this, Ms Ng was with the Singapore Exchange Limited from 2003 to 2006, where she was responsible for developing Singapore’s capital market by bringing foreign companies to list in Singapore. Additionally, she was responsible for being a conduit between the marketplace and regulators, and contributed industry perspectives to the Singapore Exchange Limited’s Initial Public Offering Committee. Ms Ng started her career as a corporate lawyer in Messrs Lee & Lee, pursuant to her admission as an advocate and solicitor of the Singapore’s Supreme Court. Whilst in legal practice from 1997 to 2003, she advised on joint ventures, mergers and acquisitions and fund raising exercises. Ms Ng also sits on the boards of NTUC Fairprice Co-operative Ltd., Yanlord Land Group Limited and First Resources Limited. Ms Ng holds a Bachelor of Laws degree from the Queen Mary and Westfield College, University of London and a Post Graduate Diploma in Singapore Law from the National University of Singapore. Mr Henry Chua Tiong Hock is a Non-executive Director of the Manager. Mr Chua has been an executive director of Freight Links Express Holdings Limited since 22 December 1999. He was also appointed as Chief Corporate Development Officer on 5 January 2006 and is responsible for corporate development, investment and properties within the Freight Links Group. Over a period of 19 years in the Freight Links Group, he has wide-ranging experience in management and operations. Mr Chua is concurrently a non-executive director of Freight Management Holdings Berhad (an associate company of Freight Links Express Holdings Limited) which is listed on Bursa Malaysia, as well as an executive director in a number of other subsidiaries in the Freight Links Group located in Singapore and overseas. Previously, Mr Chua represented Freight Links as an executive director in its investments in other listed companies such as Freight Links Express Holdings (Australia) Limited, Freight Links Express Holdings (Hong Kong) Limited and Cybermast Limited (Singapore). Mr Chua holds a Bachelor of Arts degree from the University of Singapore, a Diploma in Personnel Management from the Singapore Institute of Management and Singapore Institute of Personnel Management and a Diploma in Business Administration from the National University of Singapore.

List of Present and Past Principal Directorships of Directors A list of the present and past directorships of each Director over the last five years preceding the Latest Practicable Date is set out in Appendix I, “List of Present and Past Principal Directorships of Directors and Executive Officers”.

Role of the Board of Directors The key roles of the Board are to: k guide the corporate strategy and directions of the Manager; k ensure that senior management discharges business leadership and demonstrates the highest quality of management skills with integrity and enterprise; and k oversee the proper conduct of the Manager. The Board comprises six directors.

139 The Board meets to review the key activities and business strategies of the Manager. The Board intends to meet regularly, at least once every three months, to deliberate the strategic policies of Sabana Shari’ah Compliant REIT, including acquisitions and disposals, funding strategy and hedging activities, approval of the annual budget and review of the performance of Sabana Shari’ah Compliant REIT. The Board or the relevant board committee will also review Sabana Shari’ah Compliant REIT’s key financial risk areas and the outcome of such reviews will be disclosed in the annual report or where the findings are material, immediately announced via SGXNET.Each Director has been appointed on the basis of his professional experience and his ability to contribute to the proper guidance of Sabana Shari’ah Compliant REIT.The Directors will contribute in different ways, including offering their personal networks to further the interest of Sabana Shari’ah Compliant REIT.

The Board will have in place a set of internal controls which set out certain approval limits to facilitate operational efficiency as well as arrangements in relation to cheque signatories. In addition, sub-limits are also delegated to various management levels to facilitate operational efficiency. Prior to the decommissioning of the annual internal controls audit commissioned by the Audit Committee, the Board will report to the SGX-ST on how key internal control weaknesses have been rectified, and the basis for the decision to decommission the annual internal controls audit. Upon completion of the internal controls audit, the Board will make appropriate disclosures via SGXNET on any material, price-sensitive internal control weaknesses and any follow-up to be taken by the Board.

Changes to regulations and accounting standards are monitored closely by the members of the Board’s Audit Committee. To keep pace with regulatory changes, where these changes have an important bearing on the Manager’s or its directors’ disclosure obligations, the Directors will be briefed either during Board meetings or at specially convened sessions involving the relevant professionals.

The management also provides the Board with complete and adequate information in a timely manner through regular updates on financial results, market trends and business developments.

At least one-third of the directors are non-executive and independent of the management. This enables the management to benefit from their external, diverse and objective perspective on issues that are brought before the Board. It also enables the Board to interact and work with the management through a robust exchange of ideas and views to help shape the strategic process. This, together with a clear separation of the roles of the Chairman and the Chief Executive Officer, provides a healthy professional relationship between the Board and the management, with clarity of roles and robust oversight as they deliberate on the business activities of the Manager.

The positions of Chairman of the Board and Chief Executive Officer are separately held by two persons in order to maintain an effective check and balance. The Chairman of the Board is Mr Steven Lim Kok Hoong while the Chief Executive Officer is Mr Kevin Xayaraj.

There is a clear separation of the roles and responsibilities between the Chairman and the Chief Executive Officer of the Manager.The Chairman is responsible for the overall management of the Board as well as ensuring that the members of the Board and the management work together with integrity and competency, and that the Board engages the management in constructive debate on strategy, business operations, enterprise risk and other plans. The Chief Executive Officer has full executive responsibilities over the business directions and operational decisions in the day-to-day management of the Manager.

The Board has separate and independent access to senior management and the company secretary at all times. The company secretary attends to corporate secretarial administration matters and attends all Board meetings. The Board also has access to independent professional advice where appropriate and whenever requested.

140 EXECUTIVE OFFICERS OF THE MANAGER The executive officers of the Manager are entrusted with the responsibility for the daily operations of the Manager. The following table sets forth information regarding the executive officers of the Manager: Name Position Mr Kevin Xayaraj Chief Executive Officer and Executive Director (Investments) Mr Bobby Tay Chiew Sheng Head of Strategy and Investor Relations Mr Eric Michael Peter Pascal Chief Financial Officer Mr Aw Wei Been Chief Operating Officer & Head of Asset Management

Expertise and experience of Executive Officers Information on the working experience of the executive officers of the Manager is set out below: Mr Kevin Xayaraj is the Chief Executive Officer and the Executive Director (Investments) of the Manager. Details of his working experience have been set out in the section “Experience and Expertise of the Board of Directors”. Mr Bobby Tay Chiew Sheng is the Head of Strategy and Investor Relations of the Manager. Mr Tay has more than six years of experience in investor relations. Prior to joining the Manager, Mr Tay was the Director, Business Development at TCP (formerly known as Emirates Tarian Capital (S) Pte. Ltd.) from October 2009 to August 2010. From August 2007 to September 2009, Mr Tay worked with Cambridge Industrial Trust Management Limited as Manager of the Investor Relations Department. Mr Tay was Manager of Investor Relations at Aztech Group Ltd from April 2007 to August 2007. From April 2004 to April 2007, Mr Tay was Manager of Magnecomp International Limited where he handled media, investor and analyst relations for the company. He worked closely with the company’s CEO and CFO for quarterly reporting of results to the board of directors and the financial market, and produced collateral for investor relations, presentations for analyst briefings and press releases. He also performed market research for mergers and acquisitions and joint venture opportunities, conducted statistical analysis on industry trends and competitors, and business analysis of the company’s performance. Mr Tay began his career working as an operations executive for the People’s Action Party at its headquarters from January 2000 to April 2004. Mr Tay holds a Bachelor of Commerce degree in Management from the University of Western Sydney and a Master of Business Systems degree from Monash University. Mr Eric Michael Peter Pascal is the Chief Financial Officer of the Manager. Mr Pascal has more than 22 years of experience in accounting, treasury, asset and liability management, debt capital markets, structured finance and corporate finance. Prior to joining the Manager, Mr Pascal was the Global Treasurer for Pacnet Global (Singapore) Pte. Ltd., a telecom network provider,from May 2009 to May 2010, where he was responsible for all capital structure, liquidity, cash flow and fundraising activities for the group. Mr Pascal was Managing Director of the Risk Management Advisory group in Standard Chartered Bank PLC in Singapore and Dubai from March 2006 to April 2009 and Senior Vice President, Structuring Group at Deutsche Bank AG in Singapore from June 2005 to February 2006. He was also Head, South East Asia Capital Markets at Nomura Singapore Limited from December 2003 to May 2005 and was Vice President, Debt Capital Markets at DBS Bank Ltd. from July 1999 to December 2003. Prior to joining DBS Bank Ltd., Mr Pascal was Vice President, Debt Capital Markets, Emerging Markets Group at UBS Securities from June 1997 to July 1999, Vice President, Debt Capital Markets, Syndicate and Execution at Citicorp Securities from April 1995 to June 1997 and Assistant Vice President, Treasury Structured Products at First

141 Interstate Bank (which became Standard Chartered in the U.S. in 1993) from October 1992 to April 1995. Mr Pascal started his career with Royal Trust (now Royal Bank of Canada) where he became a qualified accountant in 1991. Mr Pascal holds a Bachelor of Commerce degree from the University of Toronto and is a Certified Management Accountant with the Institute of Management Accountants, U.S. and a Chartered Financial Analyst with the Chartered Financial Analyst Institute, U.S.. The Audit Committee is of the opinion that Mr Pascal is suitable as the Chief Financial Officer on the basis of his qualifications and relevant past experience. Mr Aw Wei Been is the Chief Operating Officer and Head of Asset Management of the Manager. Mr Aw has over 14 years of experience in the real estate industry. Before joining the Manager, Mr Aw was the Head, Asset Management at TCP (formerly known as Emirates Tarian Capital (S) Pte. Ltd.) from February 2010 to August 2010. Between February 2009 and February 2010, he was Head, Infrastructure Planning and Facilities Management at the Agency for Science, Technologyand Research (A*STAR), where he was responsible for the development planning of a 103,000 sq m business park cum high-specification scientific facility known as Fusionopolis Phase 2A, located in One-North at Buona Vista, the science and technology hub of Singapore. He also worked with Cambridge Industrial Trust Management Limited from November 2007 to January 2009 as Senior Manager for Investment, where he was responsible for sourcing and negotiating industrial real estate sale and leaseback deals, strategising proposals and leading in property legal and technical due diligences. From February 2005 to November 2007, Mr Aw was with Jurong Consultants Pte Ltd, a wholly- owned subsidiary of JTC. He was the principal planner in the planning department, where he led and co-led consultancy projects overseas in master planning of industrial parks and related areas. Mr Aw began his career in 1995 with JTC, a statutory board that controls the development and marketing of major industrial estates in Singapore. His key responsibilities included lease management, land and building development and marketing of industrial facilities. Mr Aw was at JTC from May 1995 until February 2005 and last held the position of Manager. Mr Aw holds a Bachelor of Science (Honours) degree in Estate Management from the National University of Singapore and a Master of Science in Real Estate from the National University of Singapore.

List of Present and Past Principal Directorships of Executive Officers A list of the present and past directorships of each executive officer of the Manager over the last five years preceding the Latest Practicable Date is set out in Appendix I, “List of Present and Past Principal Directorships of Directors and Executive Officers”.

Roles of the Executive Officers of the Manager The Chief Executive Officer of the Manager will work with the Board to determine the strategy for Sabana Shari’ah Compliant REIT. The Chief Executive Officer will also work with the other members of the Manager’s management team to ensure that Sabana Shari’ah Compliant REIT operates in accordance with the Manager’s stated investment strategy. Additionally, the Chief Executive Officer will be responsible for planning the future strategic development of Sabana Shari’ah Compliant REIT. He is also responsible for strategic planning, the overall day-to-day management and operations of Sabana Shari’ah Compliant REIT and working with the Manager’s investment, asset management, financial and legal and compliance personnel in meeting the strategic, investment and operational objectives of Sabana Shari’ah Compliant REIT.

142 The Executive Director (Investment) is in charge of the investment team, which is responsible for identifying, researching and evaluating potential acquisitions and related investments with a view to enhancing Sabana Shari’ah Compliant REIT’s portfolio, or divestments where a property is no longer strategic, fails to enhance the value of Sabana Shari’ah Compliant REIT’s portfolio or fails to be yield accretive. In order to support these various initiatives, the team develops financial models to test the financial impact of different courses of action. These findings will be research- driven to help develop and implement the proposed initiatives. The Head of Strategy and Investor Relations of the Manager is responsible for formulation of strategic plans focused primarily on the creation of value for Unitholders, the provision of high- quality, accurate and prompt information about Sabana Shari’ah Compliant REIT, the maintenance of good relationships with the financial community and in promoting and marketing Sabana Shari’ah Compliant REIT to Unitholders, prospective investors and the media through regular communications, roadshows, events and the website. His responsibility also includes facilitating communications and liaison with Unitholders and regular statutory reporting, such as producing annual reports to Unitholders, and reporting to the SGX-ST in compliance with the Listing Manual. The Chief Financial Officer of the Manager will work with the Chief Executive Officer and the other members of the Manager’s management team to formulate strategic plans for Sabana Shari’ah Compliant REIT in accordance with the Manager’s stated investment strategy.He will be responsible for applying the appropriate capital management strategy,including tax and treasury matters, as well as finance and accounting matters, overseeing implementation of Sabana Shari’ah Compliant REIT’s short- and medium-term business plans, fund management activities and financial condition. The Chief Operating Officer and Head of Asset Management is in charge of the asset management team, which is responsible for formulating the business plans in relation to Sabana Shari’ah Compliant REIT’s properties with short-, medium- and long-term objectives, and with a view to maximising the rental income of Sabana Shari’ah Compliant REIT.He will ensure that the asset managers work closely with the Property Manager to implement Sabana Shari’ah Compliant REIT’s strategies to maximise the income generation potential and minimise the expense base of the properties without compromising their marketability. The asset management team led by the Head of Asset Management focuses on the operations of Sabana Shari’ah Compliant REIT’s properties, the implementation of the short- to medium- term objectives of Sabana Shari’ah Compliant REIT’s portfolio and supervises the Property Manager in the implementation of Sabana Shari’ah Compliant REIT’s property-related strategies including analysing and recommending asset enhancement initiatives.

ROLES AND RESPONSIBILITIES OF THE MANAGER The Manager has general powers of management over the assets of Sabana Shari’ah Compliant REIT.The Manager’s main responsibility is to manage Sabana Shari’ah Compliant REIT’s assets and liabilities for the benefit of Unitholders. The Manager will set the strategic direction of Sabana Shari’ah Compliant REIT and give recommendations to the Trustee on the acquisition, divestment and/or enhancement of assets of Sabana Shari’ah Compliant REIT in accordance with its stated investment strategy. The Manager has covenanted in the Trust Deed to use its best endeavours to: k carry on and conduct its business in a proper and efficient manner; k ensure that Sabana Shari’ah Compliant REIT is carried on and conducted in a proper and efficient manner; and k conduct all transactions with or for Sabana Shari’ah Compliant REIT at arm’s length and on normal commercial terms.

143 The Manager will prepare property plans on a regular basis, which may contain proposals and forecasts on net income, capital expenditure, sales and valuations, explanations of major variances to previous forecasts, written commentary on key issues and any relevant assumptions. The purpose of these plans is to explain the performance of Sabana Shari’ah Compliant REIT’s properties. The Manager will also be responsible for ensuring compliance with the applicable provisions of the SFA and all other relevant legislation, the Listing Manual, the CIS Code (including the Property Funds Appendix), the Singapore Code on Take-overs and Mergers, the Trust Deed, the CMS Licence and any tax ruling and all relevant contracts. The Manager will be responsible for all regular communications with Unitholders. The Manager may require the Trustee to borrow or enter into fund-raising or financing arrangements (including commodity murabaha and other Shari’ah compliant financing arrangements) on behalf of Sabana Shari’ah Compliant REIT (upon such terms and conditions as the Manager deems fit, including the charging or mortgaging of all or any part of the Deposited Property) whenever the Manager considers, among others, that such borrowings or fund-raising or financing arrangements are necessary or desirable in order to enable Sabana Shari’ah Compliant REIT to meet any liabilities or to finance the acquisition of any property. However, the Manager must not direct the Trustee to incur a borrowing or enter into a fund-raising or financing arrangement if to do so would mean that Sabana Shari’ah Compliant REIT’s total borrowings and deferred payments exceed the limit stipulated by the MAS based on the value of its Deposited Property at the time the borrowing is incurred or the fund-raising or financing arrangement is entered into, taking into account deferred payments (including deferred payments for assets whether to be settled in cash or in Units). In the absence of fraud, gross negligence, wilful default or breach of the Trust Deed by the Manager, it shall not incur any liability by reason of any error of law or any matter or thing done or suffered to be done or omitted to be done by it in good faith under the Trust Deed. In addition, the Manager shall be entitled, for the purpose of indemnity against any actions, costs, claims, damages, expenses or demands to which it may be put as Manager, to have recourse to the Deposited Property or any part thereof save where such action, cost, claim, damage, expense or demand is occasioned by the fraud, gross negligence, wilful default or breach of the Trust Deed by the Manager. The Manager may, in managing Sabana Shari’ah Compliant REIT and in carrying out and performing its duties and obligations under the Trust Deed, with the written consent of the Trustee, appoint such person to exercise any or all of its powers and discretions and to perform all or any of its obligations under the Trust Deed, provided always that the Manager shall be liable for all acts and omissions of such persons as if such acts and omissions were its own. (See “Shari’ah Compliance of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust — Shari’ah Compliance Procedure” for more information on the role of the Manager in relation to the Shari’ah compliance of Sabana Shari’ah Compliant REIT.)

MANAGER’S FEES For so long as Sabana Shari’ah Compliant REIT is listed, the Manager is entitled under the Trust Deed to the following management fees: k a base fee not exceeding the rate of 0.5% per annum of the value of the Deposited Property, payable on a quarterly basis; and k a performance fee equal to the rate of 0.5% per annum (or such lower percentage as may be determined by the Manager in its absolute discretion) of the Net Property Income of Sabana Shari’ah Compliant REITor the relevant SPVs in each financial year, payable on a yearly basis, provided Sabana Shari’ah Compliant REIT achieves at least 10.0% in annual growth in DPU over the previous financial year (calculated after accounting for the performance fee (if any) for that financial year and after adjusting, at the discretion of the

144 Manager, for any new Units arising from the conversion or exercise of any instruments convertible into Units which are outstanding at the time of calculation, and any rights or bonus issue, consolidation, subdivision or buy-back of Units). No performance fee will be paid to the Manager for the Forecast Year 2011. The Manager may elect to receive the base fee and performance fee in cash or Units or a combination of cash and Units (as it may in its sole discretion determine). The Manager has elected to receive 80.0% of the base fee in the form of Units for the Forecast Year 2011 and the Projection Year 2012 and (if payable) 80.0% of the performance fee in the form of Units for the Projection Year 2012, except that where the issue price (which is equal to the Market Price (as defined herein) of each Unit) is at a discount of at least 20.0% to the NAV per Unit, the Manager shall receive the base fee for the Forecast Year 2011 and the Projection Year 2012 and (if payable) the performance fee for the Projection Year 2012 wholly in the form of cash. Any increase in the rate or any change in the structure of the Manager’s management fees must be approved by an Extraordinary Resolution passed at a Unitholders’ meeting duly convened and held in accordance with the provisions of the Trust Deed. For the avoidance of doubt, the Manager’s change in its election to receive cash or Units or a combination of cash and Units is not considered as a change in structure of the Manager’s management fees. The Manager is also entitled to: k 1.0% (or such lower percentage as may be determined by the Manager in its absolute discretion) of the acquisition price of real estate or real estate-related assets acquired directly or indirectly,through one or more SPVs, pro rated if applicable to the proportion of Sabana Shari’ah Compliant REIT’s interest. For the purposes of this acquisition fee, real estate-related assets include all classes and types of securities relating to real estate; and k 0.5% (or such lower percentage as may be determined by the Manager in its absolute discretion) of the sale price of real estate or real estate-related assets disposed, pro rated if applicable to the proportion of Sabana Shari’ah Compliant REIT’s interest. For the purposes of this disposal fee, real estate-related assets include all classes and types of securities relating to real estate. No acquisition fee is payable for the acquisition of the Properties from the Sponsor in connection with the Offering. However,the acquisition fee is payable for the remaining Properties (other than the Properties acquired from the Sponsor). In accordance with the CIS Code, where the Manager receives a percentage-based fee when Sabana Shari’ah Compliant REIT acquires real estate from an interested party, or disposes of real estate to an interested party, the acquisition or, as the case may be, the divestment fee should be in the form of Units issued at prevailing market prices, such Units not to be sold within one year from the date of issuance. Any payment to third party agents or brokers in connection with the acquisition or divestment of any real estate of Sabana Shari’ah Compliant REITshall be paid by the Manager to such persons out of the Deposited Property of Sabana Shari’ah Compliant REIT or the assets of the relevant SPV, and not out of the acquisition fee or the divestment Fee received or to be received by the Manager. The acquisition fee and divestment fee are payable to the Manager in the form of cash and/or Units (as the Manager may elect) at the then prevailing market price provided that in respect of any acquisition and sale or divestment of real estate assets from/to interested parties, such a fee should be in the form of Units issued by Sabana Shari’ah Compliant REIT at prevailing market price(s). Any increase in the maximum permitted level of the Manager’s acquisition fee or disposal fee must be approved by an Extraordinary Resolution passed at a Unitholders’ meeting duly convened and held in accordance with the provisions of the Trust Deed.

145 RETIREMENT OR REMOVAL OF THE MANAGER The Manager shall have the power to retire in favour of a corporation recommended by the Manager and approved by the Trustee to act as the manager of Sabana Shari’ah Compliant REIT. Also, the Manager may be removed by notice given in writing by the Trustee if: k the Manager goes into liquidation (except through a voluntary liquidation for the purpose of reconstruction or amalgamation upon terms previously approved in writing by the Trustee) or a receiver is appointed over its assets or a judicial manager is appointed in respect of the Manager; k the Manager ceases to carry on business; k the Manager fails or neglects after reasonable notice from the Trustee to carry out or satisfy any material obligation imposed on the Manager by the Trust Deed; k the Unitholders by an Ordinary Resolution (as defined herein) duly proposed and passed by Unitholders present and voting at a meeting of Unitholders convened in accordance with the Trust Deed, with no Unitholder (including the Manager and its Related Parties) being disenfranchised, vote to remove the Manager; k for good and sufficient reason, the Trustee is of the opinion, and so states in writing, that a change of the Manager is desirable in the interests of the Unitholders; or k the MAS directs the Trustee to remove the Manager. Where the Manager is removed on the basis that a change of the Manager is desirable in the interests of the Unitholders, the Manager has a right under the Trust Deed to refer the matter to arbitration. Any decision made pursuant to such arbitration proceedings is binding upon the Manager, the Trustee and all Unitholders.

ANNUAL REPORTS An annual report will be issued by the Manager to Unitholders within the timeframe as set out in the Listing Manual and the CIS Code, and at least 14 days before the annual general meeting of the Unitholders, containing, among others, the following key items: (i) details of all real estate transactions entered into during the financial accounting period; (ii) details of Sabana Shari’ah Compliant REIT’s real estate assets; (iii) if applicable, with respect to investments other than real property: (a) a brief description of the business; (b) proportion of share capital owned; (c) cost; (d) (if relevant) Directors’ valuation and in the case of listed investments, market value; (e) dividends received during the year (indicating any interim dividends); (f) dividend cover or underlying earnings; (g) any extraordinary items; and (h) net assets attributable to investments; (iv) cost of each property held by Sabana Shari’ah Compliant REIT; (v) annual valuation of each property of Sabana Shari’ah Compliant REIT; (vi) analysis of provision for diminution in value of each property of Sabana Shari’ah Compliant REIT (to the extent possible);

146 (vii) annual rental income for each property of Sabana Shari’ah Compliant REIT; (viii) occupancy rates for each property of Sabana Shari’ah Compliant REIT; (ix) remaining term for each of Sabana Shari’ah Compliant REIT’s leasehold properties; (x) amount of distributable income held pending distribution; (xi) details of assets other than real estate; (xii) details of Sabana Shari’ah Compliant REIT’s exposure to derivatives; (xiii) details of Sabana Shari’ah Compliant REIT’s investments in other property funds; (xiv) details of borrowings by the Trustee and other financial accommodation to the Trustee in relation to Sabana Shari’ah Compliant REIT; (xv) value of the Deposited Property and the NAV of Sabana Shari’ah Compliant REIT at the beginning and end of the financial year under review; (xvi) the prices at which the Units were quoted at the beginning and end of the accounting period, and the highest and lowest prices at which the Units were traded on the SGX-ST during the financial accounting period; (xvii) volume of trade in the Units during the accounting period; (xviii) the aggregate value of all transactions entered into by the Trustee (for and on behalf of Sabana Shari’ah Compliant REIT) with an “interested party” (as defined in the Property Funds Appendix) or with an “interested person” (as defined in the Listing Manual) during the financial year under review; (xix) total operating expenses of Sabana Shari’ah Compliant REIT in respect of the accounting period, including expenses paid to the Manager and interested parties (if any) and the Trustee, and taxation incurred in relation to Sabana Shari’ah Compliant REIT’s properties; (xx) in the event that Sabana Shari’ah Compliant REIT breaches any of the Shari’ah Guidelines, the agreed time frame for Sabana Shari’ah Compliant REIT to rectify such breach; (xxi) total amount of net income subjected to the cleansing process and the identities of the relevant charitable organisations or purposes; (xxii) total amount of fees paid to the Shari’ah Adviser and the Independent Shari’ah Committee; (xxiii) historical performance of Sabana Shari’ah Compliant REIT, including rental income obtained and occupancy rates for each property in respect of the accounting period and other various periods of time (e.g. one-year,three-year,five-year or ten-year) and any distributions made; (xxiv) total amount of fees paid to the Trustee; (xxv) name of the manager of Sabana Shari’ah Compliant REIT, together with an indication of the terms and duration of its appointment and the basis of its remuneration; (xxvi) total amount of fees paid to the Manager and the price(s) of the Units at which they were issued in part payment thereof; (xxvii) total amount of fees paid to the Property Manager; (xxviii) an analysis of realised and unrealised surpluses or losses, stating separately profits and losses as between listed and unlisted investments, if applicable;

147 (xxix) any extraordinary items; and (xxx) such other items which may be required to be disclosed under the prevailing applicable laws, regulations and rules. The first report will cover the period from the Listing Date to 31 December 2011. Additionally, Sabana Shari’ah Compliant REIT will announce its NAV on a quarterly basis. Such announcements will be based on the latest available valuation of Sabana Shari’ah Compliant REIT’s real estate and real estate-related assets, which will be conducted at least once a year (as required under the Property Funds Appendix). The first such valuation will be conducted by 30 September 2011.

CORPORATE GOVERNANCE OF THE MANAGER The following outlines the main corporate governance practices of the Manager.

Board of Directors of the Manager The Board is responsible for the overall corporate governance of the Manager including establishing goals for management and monitoring the achievement of these goals. The Manager is also responsible for the strategic business direction and risk management of Sabana Shari’ah Compliant REIT. All Board members participate in matters relating to corporate governance, business operations and risks, financial performance, and the nomination and review of the Directors. The Board will have in place a framework for the management of the Manager and Sabana Shari’ah Compliant REIT, including a system of internal audit and control and a business risk management process. The Board consists of six members, three of whom are Independent Directors. None of the Directors has entered into any service contract directly with Sabana Shari’ah Compliant REIT. The composition of the Board is determined using the following principles: k the Chairman of the Board should be a non-executive Director; k the Board should comprise directors with a broad range of commercial experience including expertise in funds management, legal matters, audit and accounting and the property industry; and k at least one-third of the Board should comprise Independent Directors. The composition will be reviewed regularly to ensure that the Board has the appropriate mix of expertise and experience.

Audit Committee The Audit Committee is appointed by the Board from among the Directors and is composed of three members, a majority of whom (including the Chairman of the Audit Committee) are required to be Independent Directors. As at the date of this Prospectus, the members of the Audit Committee are Mr Yong Kok Hoon, Mr Steven Lim and Associate Professor Muhammad Faishal Bin Ibrahim Khan Surattee. Mr Yong Kok Hoon has been appointed as the Chairman of the Audit Committee. The role of the Audit Committee is to monitor and evaluate the effectiveness of the Manager’s internal controls. The Audit Committee also reviews the quality and reliability of information prepared for inclusion in financial reports, and is responsible for the nomination of external auditors and reviewing the adequacy of external audits in respect of cost, scope and performance.

148 The Audit Committee’s responsibilities also include: k monitoring the procedures established to regulate Related Party Transactions, including ensuring compliance with the provisions of the Listing Manual relating to “interested person transactions” (as defined therein) and the provisions of the Property Funds Appendix relating to “interested party transactions” (as defined therein) (both such types of transactions constituting “Related Party Transactions”); k reviewing transactions constituting Related Party Transactions; k deliberating on conflicts of interest situations involving Sabana Shari’ah Compliant REIT1; k reviewing any donations of income which is derived from non-Shari’ah compliant sources or non-core activities made by the Manager to charities that are not categorised as Institutions of a Public Character, or to individuals or families; k reviewing external audit reports to ensure that where deficiencies in internal controls have been identified, appropriate and prompt remedial action is taken by the management; k reviewing arrangements by which staff and external parties may, in confidence, raise probable improprieties in matters of financial reporting or other matters, with the objective that arrangements are in place for the independent investigation of such matters and for appropriate follow up action; k reviewing internal audit reports at least twice a year to ascertain that the guidelines and procedures established to monitor Related Party Transactions have been complied with; k ensuring that the internal audit and accounting function is adequately resourced and has appropriate standing with Sabana Shari’ah Compliant REIT; k the appointment, re-appointment or removal of internal auditors (including the review of their fees and scope of work); k monitoring the procedures in place to ensure compliance with applicable legislation, the Listing Manual and the Property Funds Appendix; k reviewing the appointment, re-appointment or removal of external auditors; k reviewing the nature and extent of non-audit services performed by external auditors; k reviewing, on an annual basis, the independence and objectivity of the external auditors; k meeting with external and internal auditors, without the presence of the executive officers, at least on an annual basis; k reviewing the system of internal controls including financial, operational, compliance controls and risk management processes; k commissioning an annual internal controls audit, to be discontinued only after the Audit Committee is satisfied that Sabana Shari’ah Compliant REIT’s internal controls are robust and effective enough to mitigate any internal control weaknesses, and thereafter to carry out such internal controls audit as and when the Audit Committee deems fit in order to satisfy itself that Sabana Shari’ah Compliant REIT’s internal controls remain robust and effective; k reviewing the financial statements and the internal audit report;

1 The Audit Committee’s responsibilitieswill not include the review of conflict situations as and when they occur.This is because the Audit Committee will not be involved in day-to-day operations and from a practical point of view, will not be able to review the conflict situations as and when they occur, which may be in the course of operations. Instead, such review of conflict situations as and when they occur will be conducted by the Manager’s management team, which will immediately escalate material conflict situations to the Audit Committee.

149 k reviewing and approving the procedures for the entry into of any financial instruments or foreign exchange hedging transactions and monitoring the implementation of such policy, including reviewing the instruments, processes and practices in accordance with the policy for entering into financial instruments or foreign exchange hedging transactions; k investigating any matters within the Audit Committee’s terms of reference, whenever it deems necessary; and k reporting to the Board on material matters, findings and recommendations.

The Independent Shari’ah Committee Where appropriate, the Manager shall refer issues in relation to Shari’ah compliance to the Independent Shari’ah Committee. (See “Shari’ah Compliance of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust” for further details of the composition of the Independent Shari’ah Committee as well as the qualifications of the members of the Independent Shari’ah Committee.)

Compliance Officer Mr Khoo Kian Teck is the compliance officer of the Manager.The compliance officer will report to the Chief Executive Officer and the Board and his duties include: (i) updating employees of the Manager on compliance requirements under the SFA; (ii) preparing returns to the MAS as required under the SFA; (iii) highlighting any deficiencies or making recommendations with respect to the Manager’s compliance processes; (iv) assisting in the application process for the appointment of new directors to Board; (v) assisting in any other matters concerning compliance with the SFA; (vi) acting as a liaison officer between the Board and the Independent Shari’ah Committee; and (vii) assisting the Independent Shari’ah Committee in ensuring that Sabana Shari’ah Compliant REIT is in compliance with Shari’ah Guidelines. In order to carry out his duties as the authorised officer acting on behalf of the Independent Shari’ah Committee, the compliance officer will obtain the Islamic Finance Qualification offered by the Chartered Institute for Securities & Investment, a professional body based in the United Kingdom. Prior to joining Sabana Real Estate Investment Management Pte. Ltd., Mr Khoo was a manager at the Assurance and Capital Markets Group at PricewaterhouseCoopers LLP,Singapore, from January 2008 to May 2010, where he was responsible for providing auditing services, relating to compliance with the listing requirements of SGX-ST and the provisions of the International Financial Reporting Standards.

Dealings in Units When the new Section 137Y of the SFA relating to notification of Unitholdings by Directors and Chief Executive Officer of the Manager comes into force, each Director will be required to give notice to the Manager of his acquisition of Units or of changes in the number of Units which he holds or in which he has an interest, within two Business Days (as defined herein) after such acquisition or their becoming aware of the occurrence of the event giving rise to changes in the number of Units which he holds or in which he has an interest. (See “The Formation and Structure of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust — Declaration of Unitholdings — Directors and Chief Executive Officer of the Manager”.)

150 All dealings in Units by the Directors will be announced via SGXNET, with the announcement to be posted on the internet at the SGX-ST website http://www.sgx.com. The Directors and the employees of the Manager are encouraged, as a matter of internal policy, to hold Units but are prohibited from dealing in the Units: k in the period commencing one month before the public announcement of Sabana Shari’ah Compliant REIT’s annual results, quarterly results and (where applicable) property valuations, and ending on the date of announcement of the relevant results or, as the case may be, property valuations; and k at any time while in possession of price sensitive information. The Directors and employees of the Manager are also prohibited from communicating price sensitive information to any person. The Manager has also undertaken that it will not deal in the Units in the period commencing one month before the public announcement of Sabana Shari’ah Compliant REIT’s annual results, quarterly results and (where applicable) property valuations, and ending on the date of announcement of the relevant results or, as the case may be, property valuations. On 19 January 2009, the bill to amend the Securities and Futures Act was passed by the Singapore Parliament (the “Securities and Futures (Amendment) Act”). However, certain provisions of the Securities and Futures (Amendment) Act (including the new Section 137ZC of the SFA relating to notification of unitholdings) have not come into force as at the date of this Prospectus. When the new Section 137ZC of the SFA comes into force, the Manager will be required to, amongst others, announce to the SGX-ST the particulars of any acquisition or disposal of interest in Units by the Manager as soon as practicable, and in any case no later than the end of the Business Day following the day on which the Manager became aware of the acquisition or disposal. In addition, when the new Section 137ZC of the Securities and Futures (Amendment) Act comes into force, all dealings in Units by the Chief Executive Officer will also need to be announced by the Manager via SGXNET,with the announcement to be posted on the internet at the SGX-ST website http://www.sgx.com and in such form and manner as the Authority may prescribe.

Management of Business Risk The Board will meet quarterly, or more often if necessary, and will review the financial performance of the Manager and Sabana Shari’ah Compliant REIT against a previously approved budget. The Board will also review the business risks of Sabana Shari’ah Compliant REIT, examine liability management and will act upon any comments from the auditors of Sabana Shari’ah Compliant REIT. The Manager has appointed experienced and well-qualified management personnel to handle the day-to-day operations of the Manager and Sabana Shari’ah Compliant REIT. In assessing business risk, the Board will consider the economic environment and risks relevant to the property industry. It reviews management reports and feasibility studies on individual investment projects prior to approving major transactions. The management meets regularly to review the operations of the Manager and Sabana Shari’ah Compliant REIT and discuss any disclosure issues. The Manager has also provided an undertaking to the SGX-ST that: (i) the Manager will make periodic announcements on the use of the proceeds from the Offering as and when such proceeds are materially disbursed and provide a status report on the use of such proceeds in the annual report; and (ii) in relation to financial instruments or foreign exchange hedging transactions (if any) (a) the Manager will seek the approval of its Board on the policy for entering into any such transactions, (b) the Manager will put in place adequate procedures which must be

151 reviewed and approved by the Audit Committee and (c) the Audit Committee will monitor the implementation of such policy, including reviewing the instruments, processes and practices in accordance with the policy approved by the Board.

Potential Conflicts of Interest The Manager has also instituted the following procedures to deal with potential conflicts of interest issues: k The Manager will not manage any other REITwhich invests in the same type of properties as Sabana Shari’ah Compliant REIT. k All key executive officers will be working exclusively for the Manager and will not hold other executive positions in other firms. k All resolutions in writing of the Directors in relation to matters concerning Sabana Shari’ah Compliant REIT must be approved by a majority of the Directors who are not involved in the conflict, including at least one Independent Director. k At least one-third of the Board shall comprise Independent Directors. k In respect of matters in which the Sponsor and/or its subsidiaries have an interest, direct or indirect, any nominees appointed by the Sponsor and/or its subsidiaries to the Board to represent their interests will abstain from voting. In such matters, the quorum must comprise a majority of the Independent Directors and must exclude nominee directors of the Sponsor and/or its subsidiaries. k It is also provided in the Trust Deed that if the Manager is required to decide whether or not to take any action against any person in relation to any breach of any agreement entered into by the Trustee for and on behalf of Sabana Shari’ah Compliant REIT with a related party of the Manager,the Manager shall be obliged to consult with a reputable law firm (acceptable to the Trustee) which shall provide legal advice on the matter. If the said law firm is of the opinion that the Trustee, on behalf of Sabana Shari’ah Compliant REIT, has a prima facie case against the party allegedly in breach under such agreement, the Manager shall be obliged to take appropriate action in relation to such agreement. The Directors will have a duty to ensure that the Manager so complies. Notwithstanding the foregoing, the Manager shall inform the Trustee as soon as it becomes aware of any breach of any agreement entered into by the Trustee for and on behalf of Sabana Shari’ah Compliant REIT with a related party of the Manager and the Trustee may take such action as it deems necessary to protect the rights of Unitholders and/or which is in the interests of Unitholders. Any decision by the Manager not to take action against a related party of the Manager shall not constitute a waiver of the Trustee’s right to take such action as it deems fit against such related party.

RELATED PARTY TRANSACTIONS The Manager’s Internal Control System The Manager has established an internal control system to ensure that all future Related Party Transactions: k will be undertaken on normal commercial terms; and k will not be prejudicial to the interests of Sabana Shari’ah Compliant REIT and the Unitholders. As a general rule, the Manager must demonstrate to its Audit Committee that such transactions satisfy the foregoing criteria. This may entail: k obtaining (where practicable) quotations from parties unrelated to the Manager; or

152 k obtaining two or more valuations from independent professional valuers (in compliance with the Property Funds Appendix). The Manager will maintain a register to record all Related Party Transactions which are entered into by Sabana Shari’ah Compliant REITand the bases, including any quotations from unrelated parties and independent valuations on which they are entered into. The Manager will also incorporate into its internal audit plan a review of all Related Party Transactions entered into by Sabana Shari’ah Compliant REIT.The Audit Committee shall review the internal audit reports at least twice a year to ascertain that the guidelines and procedures established to monitor Related Party Transactions have been complied with. The Trustee will also have the right to review such audit reports to ascertain that the Property Funds Appendix has been complied with. The following procedures will be undertaken: k transactions (either individually or as part of a series or if aggregated with other transactions involving the same related party during the same financial year) equal to or exceeding S$100,000 in value but below 3.0% of the value of Sabana Shari’ah Compliant REIT’s net tangible assets will be subject to review by the Audit Committee at regular intervals; k transactions (either individually or as part of a series or if aggregated with other transactions involving the same related party during the same financial year) equal to or exceeding 3.0% but below 5.0% of the value of Sabana Shari’ah Compliant REIT’s net tangible assets will be subject to the review and prior approval of the Audit Committee. Such approval shall only be given if the transactions are on normal commercial terms and not prejudicial to the interests of Sabana Shari’ah Compliant REITand its Unitholders and are consistent with similar types of transactions made by the Trustee with third parties which are unrelated to the Manager; and k transactions (either individually or as part of a series or if aggregated with other transactions involving the same related party during the same financial year) equal to or exceeding 5.0% of the value of Sabana Shari’ah Compliant REIT’s net tangible assets will be reviewed and approved prior to such transactions being entered into, on the basis described in the preceding paragraph, by the Audit Committee which may, as it deems fit, request advice on the transaction from independent sources or advisers, including the obtaining of valuations from independent professional valuers. Furthermore, under the Listing Manual and the Property Funds Appendix, such transactions would have to be approved by the Unitholders at a meeting of Unitholders duly convened and held in accordance with the provisions of the Trust Deed. Where matters concerning Sabana Shari’ah Compliant REIT relate to transactions entered into or to be entered into by the Trustee for and on behalf of Sabana Shari’ah Compliant REIT with a related party of the Manager (which would include relevant Associates (as defined herein) thereof) or Sabana Shari’ah Compliant REIT, the Trustee is required to consider and ensure the terms of such transactions to satisfy itself that such transactions: k are conducted on normal commercial terms; k are not prejudicial to the interests of Sabana Shari’ah Compliant REIT and the Unitholders; and k are in accordance with all applicable requirements of the Property Funds Appendix and/or the Listing Manual relating to the transaction in question. The Trustee has the discretion under the Trust Deed to decide whether or not to enter into a transaction involving a related party of the Manager or Sabana Shari’ah Compliant REIT. If the Trustee is to sign any contract with a related party of the Manager or Sabana Shari’ah Compliant REIT,the Trustee will review the contract to ensure that it complies with the requirements relating to interested party transactions in the Property Funds Appendix (as may be amended from time to time) and the provisions of the Listing Manual relating to interested person transactions (as

153 may be amended from time to time) as well as such other guidelines as may from time to time be prescribed by the MAS and the SGX-ST to apply to REITs. Save for the transactions described under “Related Party Transactions in Connection with the Setting Up of Sabana Shari’ah Compliant REIT and the Offering” and “Exempted Agreements”, Sabana Shari’ah Compliant REIT will comply with Rule 905 or, as the case may be, Rule 906 of the Listing Manual by announcing or, as the case may be, seeking Unitholders’ approval for, any interested person transaction in accordance with the Listing Manual if such transaction, by itself or when aggregated with other interested person transactions entered into with the same interested person during the same financial year, is 3.0% or more or, as the case may be, 5% or more of Sabana Shari’ah Compliant REIT’s latest audited net tangible assets. The aggregate value of all Related Party Transactions which are subject to Rules 905 and 906 of the Listing Manual in a particular financial year will be disclosed in Sabana Shari’ah Compliant REIT’s annual report for that financial year.

Role of the Audit Committee for Related Party Transactions The Audit Committee will periodically review all Related Party Transactions to ensure compliance with the Manager’s internal control system, with the relevant provisions of the Listing Manual, and with the Property Funds Appendix. The review will include the examination of the nature of the transaction and its supporting documents or such other data deemed necessary by the Audit Committee. If a member of the Audit Committee has an interest in a transaction, he is to abstain from participating in the review and approval process in relation to that transaction.

Related Party Transactions in Connection with the Setting Up of Sabana Shari’ah Compliant REIT and the Offering Existing Agreements The Trustee, on behalf of Sabana Shari’ah Compliant REIT, has entered into a number of transactions with the Manager and certain related parties of the Manager in connection with the setting up of Sabana Shari’ah Compliant REIT.These Related Party Transactions are as follows: k The Trustee has entered into the Trust Deed with the Manager. The terms of the Trust Deed are generally described in “The Formation and Structure of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust”. k The Trustee and the Manager have entered into the Property Management Agreement with the Property Manager which provides the overall framework for the operation, maintenance, management and marketing of properties of Sabana Shari’ah Compliant REIT by the Property Manager from time to time, and a separate individual property management agreement for the operation, maintenance, management and marketing of each Property by the Property Manager. These agreements are more particularly described in “Certain Agreements Relating to Sabana Shari’ah Compliant Industrial Real Estate Investment Trust and the Properties — Property Management Agreement”. While the Property Manager is a newly-incorporated company, it will, on the Listing Date be staffed by employees with relevant experience and expertise and therefore the Manager considers that the Property Manager has the necessary expertise and resources to perform the property management, lease management and marketing services for the Properties. The Manager believes that the Property Management Agreement and the separate individual property management agreements are made on normal commercial terms and are not prejudicial to the interests of Sabana Shari’ah Compliant REIT and the Unitholders. k The Trustee will on the Listing Date enter into the Master Lease Agreements with the Master Lessees to lease the Properties. These agreements are more particularly

154 described in “Certain Agreements Relating to Sabana Shari’ah Compliant Industrial Real Estate Investment Trust and the Properties — Master Lease Agreements”. The Manager believes that the Master Lease Agreements are on normal commercial terms and are not prejudicial to the interests of Sabana Shari’ah Compliant REITand the Unitholders. k The Trustee has entered into the sale and purchase agreements relating to the Properties (the “Sale and Purchase Agreements”) with Freight Links as described in “Certain Agreements Relating to Sabana Shari’ah Compliant Industrial Real Estate Investment Trust and the Properties — Sale and Purchase Agreements”. The Manager believes that the Sale and Purchase Agreements are made on normal commercial terms and are not prejudicial to the interests of Sabana Shari’ah Compliant REIT and the Unitholders. Save as disclosed in this Prospectus, the Trustee has not, to date, entered into any other transactions with (i) the Manager or any related party of the Manager,(ii) the Property Manager or (iii) the Master Lessees in connection with the setting up of Sabana Shari’ah Compliant REIT.

Property Management Agreement The Property Management Agreement provides that in respect of each Property and in respect of each subsequently acquired property located in Singapore which are managed by the Property Manager, the Trustee, the Manager and the Property Manager will enter into a separate property management agreement (the “Individual Property Management Agreement”) in the form and on the terms set out in a schedule to the Property Management Agreement, in order to incorporate the specific terms set out in the Property Management Agreement in their application to each of such properties. In respect of property and lease management services to be provided by the Property Manager for each property located in Singapore under its management, the Property Manager shall be entitled to receive from the Trustee: k a property management fee of 2.0% per annum of Gross Revenue of each property; and k a lease management fee of 1.0% per annum of Gross Revenue of each property. No lease management fee is payable in relation to the Properties for the first three years of the initial contracted lease.

Exempted Agreements The entry into and the fees, charges and rents payable by Sabana Shari’ah Compliant REIT under the Trust Deed, the Property Management Agreement, the Individual Property Management Agreements and the Master Lease Agreements entered or to be entered into with the Sponsor (collectively, the “Exempted Agreements”), each of which constitutes or will, when entered into, constitute a Related Party Transaction, are deemed to have been specifically approved by the Unitholders upon subscription for the Units and are therefore not subject to Rules 905 and 906 of the Listing Manual for the period stated in the agreement to the extent that (in relation to the Trust Deed, the Property Management Agreement, the Individual Property Management Agreements and the Master Lease Agreements) there is no subsequent change to the rates and/or bases of the fees charged thereunder which will adversely affect Sabana Shari’ah Compliant REIT. Details of the fees, charges and rents relating to the Exempted Agreements can be found in this Prospectus (see “Summary — Certain Fees and Charges” and “Certain Agreements Relating to Sabana Shari’ah Compliant Industrial Real Estate Investment Trust and the Properties”.) Any renewal of the Property Management Agreement, the Individual Property Management Agreements and the Master Lease Agreements will be subject to Rules 905 and 906 of the

155 Listing Manual. For the avoidance of doubt, any agreements entered into by the Trustee and the Manager with the Property Manager in connection with the management of properties located outside of Singapore is not considered as an Exempted Agreement and will be subject to Rules 905 and 906 of the Listing Manual, and the Manager will comply with its internal control system regarding Related Party Transactions (see “The Manager and Corporate Governance — Related Party Transactions — The Manager’s Internal Control System”).

Future Related Party Transactions As a REIT, Sabana Shari’ah Compliant REIT is regulated by the Property Funds Appendix and the Listing Manual. The Property Funds Appendix regulates, among others, transactions entered into by the Trustee (for and on behalf of Sabana Shari’ah Compliant REIT) with an interested party relating to Sabana Shari’ah Compliant REIT’s acquisition of assets from or sale of assets to an interested party,Sabana Shari’ah Compliant REIT’s investment in securities of or issued by an interested party and the engagement of an interested party as property management agent or marketing agent for Sabana Shari’ah Compliant REIT’s properties. Depending on the materiality of transactions entered into by Sabana Shari’ah Compliant REIT for the acquisition of assets from, the sale of assets to or the investment in securities of or issued by, an interested party, the Property Funds Appendix may require that an immediate announcement to the SGX-ST be made, and may also require that the approval of the Unitholders be obtained. The Listing Manual regulates all interested person transactions, including transactions already governed by the Property Funds Appendix. Depending on the materiality of the transaction, Sabana Shari’ah Compliant REIT may be required to make a public announcement of the transaction (Rule 905 of the Listing Manual), or to make a public announcement of and to obtain Unitholders’ prior approval for the transaction (Rule 906 of the Listing Manual). The Trust Deed requires the Trustee and the Manager to comply with the provisions of the Listing Manual relating to interested person transactions as well as such other guidelines relating to interested person transactions as may be prescribed by the SGX-ST to apply to REITs. The Manager may in the future seek a general annual mandate from the Unitholders pursuant to Rule 920(1) of the Listing Manual for recurrent transactions of a revenue or trading nature or those necessary for its day-to-day operations, including a general mandate in relation to leases and/or licence agreements to be entered into with interested persons. All transactions conducted under such general mandate for the relevant financial year will not be subject to the requirements under Rules 905 and 906 of the Listing Manual. In seeking such a general annual mandate, the Trustee will appoint an independent financial adviser (without being required to consult the Manager) pursuant to Rule 920(1)(b)(v) of the Listing Manual to render an opinion as to whether the methods or procedures for determining the transaction prices of the transactions contemplated under the annual general mandate are sufficient to ensure that such transactions will be carried out on normal commercial terms and will not be prejudicial to the interests of Sabana Shari’ah Compliant REIT and the Unitholders. Both the Property Funds Appendix and the Listing Manual requirements would have to be complied with in respect to a proposed transaction which is prima facie governed by both sets of rules. Where matters concerning Sabana Shari’ah Compliant REITrelate to transactions entered or to be entered into by the Trustee for and on behalf of Sabana Shari’ah Compliant REIT with a related party (either an “interested party” under the Property Funds Appendix or an “interested person” under the Listing Manual) of the Manager or Sabana Shari’ah Compliant REIT, the Trustee is required to ensure that such transactions are conducted in accordance with applicable requirements of the Property Funds Appendix and/or the Listing Manual relating to the transaction in question. The Manager is not prohibited by either the Property Funds Appendix or the Listing Manual from contracting or entering into any financial, banking or any other type of transaction with the Trustee (when acting other than in its capacity as trustee of Sabana Shari’ah Compliant REIT) or

156 from being interested in any such contract or transaction, provided that any such transaction shall be on normal commercial terms and is not prejudicial to the interests of Sabana Shari’ah Compliant REITand the Unitholders. The Manager shall not be liable to account to the Trustee or to the Unitholders for any profits or benefits or other commissions made or derived from or in connection with any such transaction. The Trustee shall not be liable to account to the Manager or to the Unitholders for any profits or benefits or other commission made or derived from or in connection with any such transaction. Generally, under the Listing Manual, the Manager, its “connected persons” (as defined in the Listing Manual) and any Director are prohibited from voting their respective own Units at, or being part of a quorum for, any meeting to approve any matter in which it has a material interest.

157 THE PROPERTY MANAGER Sabana Property Management Pte. Ltd. has been appointed as property manager of the Properties. The Property Manager is 100.0% owned by SIP indirectly through the Manager, and was incorporated in Singapore under the Companies Act on 12 August 2010. Its registered office is located at 3 Pickering Street, #02-53 Nankin Row, Singapore 048660. The Property Manager is a dedicated property manager for Sabana Shari’ah Compliant REIT. The board of directors of the Property Manager is made up of individuals with a broad range of commercial experience, including expertise in property investment, development and management.

Property Management Reporting Structure The executive officers of the Property Manager are entrusted with the responsibility for the daily operations of the Property Manager. The chart below sets out the key executive officers of the Property Manager.

General Manager

Mr Edward Yeo Lock Guan

Property Manager Finance Manager

Mr Maynard Wee Ms Loh Yee Hui Hong Qiang

Expertise and experience of Executive Officers of the Property Manager Mr Edward Yeo Lock Guan will be the General Manager of the Property Manager. Mr Yeo is the Senior Vice President of Freight Links Properties Pte. Ltd., where he is responsible for the project development, property management, lease management, business development and marketing, safety and security management and liaison with Singapore Government agencies (including JTC and IRAS) for the properties owned by the Freight Links Group. It is intended that Mr Yeo will be transferred to the Property Manager and be appointed the General Manager upon the listing of Sabana Shari’ah Compliant REIT. Mr Yeo commenced employment with the Freight Links Group in November 1994. During his 16 years of service with the company, he has held several key appointments in Corporate Support Services, Logistics, Properties and Record Management & Document Storage. To date, in his career, Mr Yeo has been involved in the development of building projects which include Panasonic Distribution Centre, Freight Links Express Distripark, Freight Links Express Districentre, Freight Links Express Logisticentre, Freight Links E-Logistics Technopark, and LTH Chemical Hubs at Penjuru Lane and Gul Drive (which meet the Dangerous Goods Code of Practice SS 532). Prior to joining Freight Links, Mr Yeo has had a wide spectrum of working experience in managerial positions at multi-national corporations such as Cipher Data, Seagate, Asia Matsushita and East Asiatic. Mr Maynard Wee Hong Qiang will be the property manager of the Property Manager. Mr Wee has been the Sales and Marketing Manager for Freight Links’ properties since December 2009 and is responsible for managing the properties’ leasing and marketing

158 portfolio, preparing lease agreements, ensuring that tenants adhere to their individual lease agreements and compliance with the relevant regulations. In addition, he provides continuous customer service to tenants and handles routine building maintenance issues. It is intended that Mr Wee will be transferred to the Property Manager and be appointed the Property Manager upon the listing of Sabana Shari’ah Compliant REIT.

Mr Wee first joined the Freight Links Group in April 2007 as a Property Executive. He left the Freight Links Group in March 2008 to join Knight Frank Properties Management as a Property Manager.In October 2009, Mr Wee left Knight Frank Properties Management to join Empire City Consultant, where he was a Property Manager until November 2009. In his role as Property Manager at Knight Frank Properties Management and Empire City Consultant, Mr Wee led and oversaw a team of staff in managing residential real estate projects ranging from high-end estates to large estates with over 600 units. His duties included, but were not limited to, the management of all facilities, operations, equipment, budget, finance, contractual and security issues.

Prior to joining the Freight Links Group, Mr Wee was the Property Officer at Far East Organisation from June 2003 to April 2007 where he took care of the leasing, M&E and facilities management, contractual issues, finance, budgets and tenant customer service in some of their flagship high-end leased apartments. Furthermore, he was also responsible for carrying out addition and alteration works to the properties to ensure that that they were well- maintained and continued to appeal to the foreign expat market.

Mr Wee started his career in the hospitality industry working as a Management Trainee in various departments in Raffles Hotel in June 1999 and has since accumulated more than seven years of experience in property and building management and customer service.

Mr Wee graduated from the Singapore Hotel Association Tourism and Education Centre with a Diploma in Hotel Management in 2000. He graduated from the Royal Melbourne Institute of Technology (Australia) in 2009 with a degree in Business Management majoring in Marketing.

Ms Loh Yee Hui will be the Finance Manager of the Property Manager.

Ms Loh was employed as a Senior Accountant (Group Accounts) in Freight Links Express Holdings Limited from August 2003 to April 2008. She was responsible for Freight Links Group’s consolidation, taxation and planning and she also reviewed and monitored the submission of Freight Links Group’s estimated chargeable income and tax returns. In addition, she also conducted monthly reviews for management reports and performance analysis which included inter-company transactions report and reconciliation of inter-company balances. It is intended that Ms Loh will be transferred to the Property Manager and be appointed the Finance Manager upon the listing of Sabana Shari’ah Compliant REIT.

Prior to joining Freight Links Group in 2003, Ms Loh was the Audit Senior at Chio Lim & Associates from March 2000 to August 2003. She was responsible for performing statutory audit of companies, ensuring statutory and financial reporting compliance with the accounting and auditing standards of Singapore and SGX-ST requirements. Furthermore, she also took charge of consolidation of group accounts for various companies, groups, and listed companies with subsidiaries, joint ventures and associate companies. Her job also required her to perform substantive analytical review of client’s accounts based on historical data, future budgets, trends and patterns of various financial components.

Ms Loh started her career in the audit line and has since accumulated more than 10 years of experience in the area of audit and accounting.

Ms Loh graduated from Nelson Polytechnic (New Zealand) with a degree in Accountancy.She is a qualified Chartered Accountant from the Institute of Chartered Accountants of New Zealand.

159 THE SPONSOR Established in 1981 and listed on the SGX-ST in 1995, the Freight Links Group is a leading international total logistics solutions provider with a strong presence in Singapore and the Asia Pacific region. The Freight Links Group provides a comprehensive array of logistics services, including inventory control management, warehousing and distribution, container haulage, chemical logistics, freight forwarding and container freight station operations, and has extensive experience in storing and forwarding all types of cargo, from small parcels to massive plant machinery, exhibition displays and archival documents. As a total logistics solutions provider, the services that the Freight Links Group provides include: k international freight forwarding; k chemical logistics; k warehousing property management; k total logistics solutions; k record management solutions; and k marketing, events and exhibition design & construction solutions. Besides offering a comprehensive range of freight forwarding services at various international destinations, Freight Links was one of the first freight forwarders in Singapore to provide logistics and freight forwarding services, thereby achieving a greater level of integration between the logistics and freight forwarding industries. Freight Links also has the largest capacity of dangerous goods warehousing in Singapore, which is compliant with local and international standards and guidelines. Since its establishment in 1981, the Freight Links Group’s international freight forwarding business has reached over 600 destinations throughout the world. The Freight Links Group offers one of the biggest freight forwarding networks in Singapore, having strong strategic partnerships with a comprehensive network of over 120 freight forwarding agents worldwide. In addition, the Freight Links Group has overseas offices located in Malaysia, Thailand, Hong Kong, the People’s Republic of China and the United Arab Emirates. Using Singapore as the main transhipment hub, Freight Links is able to link up to other major transhipment hubs with its presence in Busan, Shanghai, Hong Kong, Bangkok, Port Klang and Dubai. Freight Links was upgraded to the Main Board of the SGX-ST in 1998 and has a market capitalisation of S$200.1 million as at the Latest Practicable Date. As at the Latest Practicable Date, the Freight Links Group’s warehousing facilities in Singapore occupy a total GFA of over 2.0 million sq ft.

160 THE FORMATION AND STRUCTURE OF SABANA SHARI’AH COMPLIANT INDUSTRIAL REAL ESTATE INVESTMENT TRUST The Trust Deed is a complex document and the following is a summary only and is qualified in its entirety by, and is subject to, the contents of the Trust Deed. Investors should refer to the Trust Deed itself to confirm specific information or for a detailed understanding of Sabana Shari’ah Compliant REIT. The Trust Deed is available for inspection at the registered office of the Manager at 9 Raffles Place, #18-20/21, Republic Plaza, Singapore 048619.

THE TRUST DEED Sabana Shari’ah Compliant REIT is a REITconstituted by the Trust Deed on 29 October 2010 and is principally regulated by the SFA and the CIS Code (including the Property Funds Appendix). The terms and conditions of the Trust Deed shall be binding on each Unitholder (and persons claiming through such Unitholder) as if such Unitholder had been a party to the Trust Deed and as if the Trust Deed contains covenants by such Unitholder to observe and be bound by the provisions of the Trust Deed and an authorisation by each Unitholder to do all such acts and things as the Trust Deed may require the Manager and/or the Trustee to do. The Manager confirms that the Trust Deed contains the provisions required under paragraph 4 of the Property Funds Appendix.

Operational Structure Sabana Shari’ah Compliant REIT is established to invest in real estate and real estate-related assets. The Manager must manage Sabana Shari’ah Compliant REIT so that the principal investments of Sabana Shari’ah Compliant REIT are real estate (including ownership of companies or other legal entities whose primary purpose is to hold or own real estate). Sabana Shari’ah Compliant REIT is a Singapore-based REIT established principally to invest in income-producing real estate used for industrial purposes in Asia, as well as real estate- related assets, in line with Shari’ah principles. Sabana Shari’ah Compliant REIT aims to generate returns for its Unitholders by owning, buying and actively managing such properties in line with its investment strategy (including the selling of any property that has reached a stage that offers only limited scope for growth). Subject to the restrictions and requirements in the Property Funds Appendix and the Listing Manual, the Manager is also authorised under the Trust Deed to invest in investments which need not be real estate. The Manager may use certain financial derivative instruments for hedging purposes or efficient portfolio management, provided that such financial derivative instruments are not used to gear Sabana Shari’ah Compliant REIT’s overall investment portfolio or are intended to be borrowings or any other form of financial indebtedness of Sabana Shari’ah Compliant REIT and the policies regarding such use of financial derivative instruments have been approved by the Board. The Manager presently does not have any intention for Sabana Shari’ah Compliant REIT to invest in warrants, commodities, futures contracts, unlisted securities and precious metals, save for the purpose of, and in connection with, the Commodity Murabaha Facility and the profit rate hedging arrangement. For further details of the investment objectives and policies of the Manager, see Clause 10 of the Trust Deed.

The Units and Unitholders The rights and interests of Unitholders are contained in the Trust Deed. Under the Trust Deed, these rights and interests are safeguarded by the Trustee. Each Unit represents an undivided interest in Sabana Shari’ah Compliant REIT.A Unitholder has no equitable or proprietary interest in the underlying assets of Sabana Shari’ah Compliant REIT.

161 A Unitholder is not entitled to the transfer to him of any asset (or any part thereof) or of any real estate, any interest in any asset and real estate-related assets (or any part thereof) of Sabana Shari’ah Compliant REIT.A Unitholder’s right is limited to the right to require due administration of Sabana Shari’ah Compliant REIT in accordance with the provisions of the Trust Deed, including, without limitation, by suit against the Trustee or the Manager. Under the Trust Deed, each Unitholder acknowledges and agrees that it will not commence or pursue any action against the Trustee or the Manager seeking an order for specific performance or for injunctive relief in respect of the assets of Sabana Shari’ah Compliant REIT (or any part thereof), including all its Authorised Investments (as defined in the Trust Deed), and waives any rights it may otherwise have to such relief. If the Trustee or the Manager breaches or threatens to breach its duties or obligations to the Unitholder under the Trust Deed, the Unitholder’s recourse against the Trustee or the Manager is limited to a right to recover damages or compensation from the Trustee or the Manager in a court of competent jurisdiction, and the Unitholder acknowledges and agrees that damages or compensation is an adequate remedy for such breach or threatened breach. Unless otherwise expressly provided in the Trust Deed, a Unitholder may not interfere with the rights, powers, authority or discretion of the Manager or the Trustee, exercise any right in respect of the assets of Sabana Shari’ah Compliant REITor any part thereof or lodge any caveat or other notice affecting the real estate or real estate-related assets of Sabana Shari’ah Compliant REIT (or any part thereof), or require that any Authorised Investments forming part of the assets of Sabana Shari’ah Compliant REIT be transferred to such Unitholder. No certificate shall be issued to Unitholders by either the Manager or the Trustee in respect of Units (whether listed or unlisted) issued to Unitholders. For so long as Sabana Shari’ah Compliant REIT is listed, quoted and traded on the SGX-ST and the Units have not been suspended from such listing, quotation and trading for more than 60 consecutive calendar days or de-listed permanently, the Manager shall pursuant to the Depository Services Agreement (as defined herein) appoint CDP as the Unit depository for Sabana Shari’ah Compliant REIT,and all Units issued will be represented by entries in the register of Unitholders kept by the Trustee or the agent appointed by the Trustee in the name of, and deposited with, CDP as the registered holder of such Units. For so long as Sabana Shari’ah Compliant REIT is listed, quoted and traded on the SGX-ST,the Manager or the agent appointed by the Manager shall issue to CDP not more than 10 Business Days after the issue of Units a confirmation note confirming the date of issue and the number of Units so issued and, if applicable, also stating that the Units are issued under a moratorium and the expiry date of such moratorium and for the purposes of the Trust Deed, such confirmation note shall be deemed to be a certificate evidencing title to the Units issued. There are no restrictions under the Trust Deed or Singapore law on a person’s right to purchase (or subscribe for) Units and to own Units. The Singapore Code on Take-overs and Mergers applies to REITs. As a result, acquisitions of Units which may result in a change in effective control of Sabana Shari’ah Compliant REIT will be subject to the mandatory provisions of the Singapore Code on Take-overs and Mergers, such as a requirement to make a general offer for Units.

Issue of Units The following is a summary of the provisions of the Trust Deed relating to the issue of Units. Subject to the following sub-paragraphs (1), (2) and (3) below and to such laws, rules and regulations as may be applicable, for so long as Sabana Shari’ah Compliant REIT is listed, the Manager may issue Units on any Business Day at an issue price equal to the “market price”, without the prior approval of the Unitholders. For this purpose, “market price” shall mean (i) the volume weighted average price for a Unit for all trades on the SGX-ST,or such other Recognised Stock Exchange (as defined herein) on which Sabana Shari’ah Compliant REIT is listed, in the

162 ordinary course of trading on the SGX-ST or, as the case may be, such other Recognised Stock Exchange, for the period of 10 Business Days (or such other period as may be prescribed by the SGX-STor relevant Recognised Stock Exchange) immediately preceding the relevant Business Day or (ii) if the Manager believes that the calculation in paragraph (i) above does not provide a fair reflection of the market price of a Unit, an amount as determined by the Manager and the Trustee (after consultation with a stockbroker approved by the Trustee), as being the fair market price of a Unit. (1) The Manager shall comply with the Listing Rules in determining the issue price, including the issue price for a rights issue on a pro rata basis to all existing Unitholders, the issue price of a Unit issued other than by way of a rights issue offered on a pro rata basis to all existing Unitholders and the issue price for any reinvestment or distribution arrangement. (2) Where Units are issued as full or partial consideration for the acquisition of an Authorised Investment by Sabana Shari’ah Compliant REIT in conjunction with an issue of Units to raise cash for the balance of the consideration for the said Authorised Investment (or part thereof) or to acquire other Authorised Investments in conjunction with the said Authorised Investment, the Manager shall have the discretion to determine that the issue price of a Unit so issued as partial consideration shall be the same as the issue price for the Units issued in conjunction with an issue of Units to raise cash for the aforesaid purposes. (3) The scope of the general mandate to be given in a general meeting of the Unitholders is limited to the issue of an aggregate number of additional Units which must not exceed 50.0% of the total number of Units in issue, of which the aggregate number of additional Units to be issued other than on a pro rata basis to the existing Unitholders must not exceed 20.0% of the total number of Units in issue as at the date of the approval.

Unit Issue Mandate By subscribing for the Units under the Offering, investors are (A) deemed to have approved the issuance of all Units comprised in the Offering, the Sponsor Units and the Cornerstone Units and (B) deemed to have given the authority (the “Unit Issue Mandate”) to the Manager to: (i) (a) issue Units whether by way of rights, bonus or otherwise; and/or (b) make or grant offers, agreements or options (collectively, “Instruments”) that might or would require Units to be issued, including but not limited to the creation and issue of (as well as adjustments to) securities, warrants, debentures or other instruments convertible into Units, at any time and upon such terms and conditions and for such purposes and to such persons as the Manager may in its absolute discretion deem fit; and (ii) issue Units in pursuance of any Instrument made or granted by the Manager while the Unit Issue Mandate was in force (notwithstanding that the authority conferred by the Unit Issue Mandate may have ceased to be in force at the time such Units are issued), provided that: (A) the aggregate number of Units to be issued pursuant to the Unit Issue Mandate (including Units to be issued in pursuance of Instruments made or granted pursuant to the Unit Issue Mandate): (i) by way of renounceable rights issues on a pro rata basis (such renounceable rights issue as authorised by this sub-paragraph (A)(i), “Renounceable Rights Issues”) to Unitholders shall not exceed 100.0% of the total number of issued Units (excluding treasury Units, if any) (as calculated in accordance with sub-paragraph (B) below; and

163 (ii) by way of Unit issues other than Renounceable Rights Issues (“Other Unit Issues”) shall not exceed 50.0% of the total number of issued Units (excluding treasury Units, if any) (as calculated in accordance with sub- paragraph (B) below), of which the aggregate number of Units to be issued other than on a pro rata basis to Unitholders shall not exceed 20.0% of the total number of issued Units (excluding treasury Units, if any) (as calculated in accordance with sub-paragraph (B) below), the Units to be issued under the Renounceable Rights Issues and Other Unit Issues shall not, in aggregate, exceed 100.0% of the total number of issued Units (excluding treasury Units, if any) (as calculated in accordance with sub- paragraph (B) below); (B) subject to such manner of calculation as may be prescribed by the SGX-ST for the purpose of determining the aggregate number of Units that may be issued under sub paragraph (A) above, the total number of issued Units (excluding treasury Units, if any) shall be based on the number of issued Units (excluding treasury Units, if any) after completion of the Offering, after adjusting for any subsequent bonus issue, consolidation or subdivision of Units; (C) in exercising the Unit Issue Mandate, the Manager shall comply with the provisions of the Listing Manual for the time being in force (unless such compliance has been waived by the SGX-ST) and the Trust Deed for the time being in force (unless otherwise exempted or waived by the MAS); (D) (unless revoked or varied by the Unitholders in a general meeting) the authority conferred by the Unit Issue Mandate shall continue in force until (i) the conclusion of the first annual general meeting of Sabana Shari’ah Compliant REIT or (ii) the date by which first annual general meeting of Sabana Shari’ah Compliant REIT is required by applicable regulations to be held, whichever is earlier, save for the 100.0% renounceable rights issue mandate (as described in paragraph (A)(i) above) which will expire on 31 December 2010 unless the SGX-STextends such measures; (E) where the terms of the issue of the Instruments provide for adjustment to the number of Instruments or Units into which the Instruments may be converted, in the event of rights, bonus or other capitalisation issues or any other events, the Manager is authorised to issue additional Instruments or Units pursuant to such adjustment notwithstanding that the authority conferred by the Unit Issue Mandate may have ceased to be in force at the time the Instruments or Units are issued; and (F) the Manager and the Trustee be and are hereby severally authorised to complete and do all such acts and things (including executing all such documents as may be required) as the Manager or, as the case may be, the Trustee may consider expedient or necessary or in the interest of Sabana Shari’ah Compliant REIT to give effect to the authority conferred by the Unit Issue Mandate.

Suspension of Issue of Units The Manager or the Trustee may, with the prior written approval of the other and subject to the Listing Manual, suspend the issue of Units during: k any period when the SGX-STor any other relevant Recognised Stock Exchange is closed (otherwise than for public holidays) or during which dealings are restricted or suspended; k the existence of any state of affairs which, in the opinion of the Manager or, as the case may be, the Trustee, might seriously prejudice the interests of the Unitholders as a whole or the Deposited Property;

164 k any breakdown in the means of communication normally employed in determining the price of any assets of Sabana Shari’ah Compliant REITor the current price thereof on the SGX-ST or any other relevant Recognised Stock Exchange, or when for any reason the prices of any assets of Sabana Shari’ah Compliant REIT cannot be promptly and accurately ascertained; k any period when remittance of money which will or may be involved in the realisation of any asset of Sabana Shari’ah Compliant REITor in the payment for such asset of Sabana Shari’ah Compliant REIT cannot, in the opinion of the Manager, be carried out at normal rates of exchange; k any period where the issuance of Units is suspended pursuant to any order or direction issued by the MAS; k in relation to any general meeting of Unitholders, the 48-hour period before such general meeting or any adjournment thereof; or k when the business operations of the Manager or the Trustee in relation to Sabana Shari’ah Compliant REITare substantially interrupted or closed as a result of, pestilence, acts of war, terrorism, insurrection, revolution, civil unrest, riots, strikes or acts of God. Such suspension shall take effect forthwith upon the declaration in writing thereof by the Manager or the Trustee (as the case may be) and shall terminate on the day following the first Business Day on which the condition giving rise to the suspension ceases to exist and no other conditions under which suspension is authorised (as set out above) exists, upon the declaration in writing thereof by the Manager or the Trustee (as the case may be). In the event of any suspension while Sabana Shari’ah Compliant REIT is listed on the SGX-ST, the Manager shall ensure that immediate announcement of such suspension is made through the SGX-ST.

Redemption of Units The Trust Deed provides that any redemption of Units will be carried out in accordance with the Property Funds Appendix, the rules of the Listing Manual (if applicable) and all other applicable laws and regulations. With respect to any terms which are necessary to carry out such redemption but are not prescribed by the Trust Deed, the Property Funds Appendix, the rules in the Listing Manual and any laws and regulations, these terms shall be determined by mutual agreement between the Manager and the Trustee. For so long as the Units are listed on the SGX-ST, the Unitholders have no right to request the Manager to repurchase or redeem their Units while the Units are listed on the SGX-ST and/or any other Recognised Stock Exchange. It is intended that the Unitholders may only deal in their listed Units through trading on the SGX-ST.

Rights and Liabilities of Unitholders The key rights of Unitholders include rights to: k receive income and other distributions attributable to the Units held; k receive audited accounts and the annual reports of Sabana Shari’ah Compliant REIT; and k participate in the termination of Sabana Shari’ah Compliant REIT by receiving a share of all net cash proceeds derived from the realisation of the assets of Sabana Shari’ah Compliant REIT less any liabilities, in accordance with their proportionate interests in Sabana Shari’ah Compliant REIT. No Unitholder has a right to require that any asset of Sabana Shari’ah Compliant REIT be transferred to him.

165 Further, Unitholders cannot give any directions to the Trustee or the Manager (whether at a meeting of Unitholders duly convened and held in accordance with the provisions of the Trust Deed or otherwise) if it would require the Trustee or the Manager to do or omit doing anything which may result in: k Sabana Shari’ah Compliant REIT ceasing to comply with applicable laws and regulations; or k the exercise of any discretion expressly conferred on the Trustee or the Manager by the Trust Deed or the determination of any matter which, under the Trust Deed, requires the agreement of (i) the Trustee, (ii) the Manager, or (iii) both the Trustee and the Manager. The Trust Deed contains provisions that are designed to limit the liability of a Unitholder to the amount paid or payable for any Unit. The provisions ensure that if the issue price of the Units held by a Unitholder has been fully paid, no such Unitholder,by reason alone of being a Unitholder,will be personally liable to indemnify the Trustee or any creditor of Sabana Shari’ah Compliant REIT in the event that the liabilities of Sabana Shari’ah Compliant REIT exceed its assets. Under the Trust Deed, every Unit carries the same voting rights.

Amendments of the Trust Deed Subject to (“— Meeting of Unitholders”) below, save where an amendment to the Trust Deed has been approved by an Extraordinary Resolution passed at a meeting of Unitholders duly convened and held in accordance with the provisions of the Trust Deed, no amendment may be made to the provisions of the Trust Deed unless the Trustee certifies, in its opinion, that such amendment: k does not materially prejudice the interests of Unitholders and does not operate to release to any material extent the Trustee or the Manager from any responsibility to the Unitholders; k is necessary in order to comply with applicable fiscal, statutory or official requirements (whether or not having the force of law); or k is made to remove obsolete provisions or to correct a manifest error. No such amendment shall impose upon any Unitholder any obligation to make any further payments in respect of his Units or to accept any liability in respect thereof. Notwithstanding any of the above, the Manager and the Trustee may, with the written approval of the competent authorities, alter certain provisions in Clause 10.17 of the Trust Deed relating to the use of derivatives.

Meeting of Unitholders Under applicable law and the provisions of the Trust Deed, Sabana Shari’ah Compliant REIT will not hold any meetings for Unitholders unless the Trustee or the Manager convenes a meeting or unless not less than 50 Unitholders or Unitholders representing not less than 10.0% of the total Units issued requests a meeting to be convened. In addition, Sabana Shari’ah Compliant REIT is required to hold an annual general meeting once in every calendar year and not more than 15 months after the holding of the last preceding annual meeting, but so long as Sabana Shari’ah Compliant REIT holds its first annual general meeting within 18 months of its constitution, it need not hold it in the year of its constitution or in the following year. A meeting of Unitholders when convened may, by Extraordinary Resolution and in accordance with the provisions of the Trust Deed: k sanction any modification, alteration or addition to the Trust Deed which shall be agreed by the Trustee and the Manager as provided in the Trust Deed;

166 k sanction a supplemental deed increasing the maximum permitted limit or any change in the structure of the Manager’s management fees, acquisition fee, disposal fee and/or the Trustee’s fee; k remove the auditors and appoint other auditors in their place; k remove the Trustee; k direct the Trustee to take any action pursuant to Section 295 of the SFA (relating to the winding up of Sabana Shari’ah Compliant REIT); and k delist Sabana Shari’ah Compliant REIT after it has been listed.

For the avoidance of doubt, any amendments to the Trust Deed will be in compliance with the Listing Rules and the Code on Collective Investment Schemes prevailing at the time of the amendment.

A meeting of Unitholders may, also by an Ordinary Resolution of Unitholders present and voting at a meeting of Unitholders convened in accordance with the Trust Deed, vote to remove the Manager (with the Manager and its related parties being permitted to vote).

Any decision to be made by resolution of Unitholders other than the above shall be made by Ordinary Resolution, unless an Extraordinary Resolution is required by the SFA, the CIS Code or the Listing Manual.

Except as otherwise provided for in the Trust Deed, and save for extraordinary resolutions which requires at least 21 days’ notice (not inclusive of the day on which the notice is served or deemed to be served and of the day for which the notice is given), at least 14 days’ notice (not inclusive of the day on which the notice is served or deemed to be served and of the day for which the notice is given) of every meeting shall be given to the Unitholders in the manner provided in the Trust Deed. Each notice shall specify the place, day and hour of the meeting, and the terms of the resolutions to be proposed, and each such notice may, in general, be given by advertisement in the daily press and in writing to each stock exchange on which Sabana Shari’ah Compliant REIT is listed. Any notice of a meeting called to consider special business shall be accompanied by a statement regarding the effect of any proposed resolutions in respect of such special business.

The quorum at a meeting shall not be less than two Unitholders present in person or by proxy holding or representing one-tenth in value of all the Units for the time being in issue.

Voting at a meeting shall be by a show of hands unless a poll is demanded by the chairman of the meeting, or by five or more Unitholders present in person or by proxy, or holding or representing one tenth in value of all the Units represented at the meeting. Unitholders do not have different voting rights on account of the number of votes held by a particular Unitholder. On a show of hands, every Unitholder has one vote. On a poll, every Unitholder has one vote for each Unit of which it is the Unitholder. The Trust Deed does not contain any limitation on non-Singapore resident or foreign Unitholders holding Units or exercising the voting rights with respect to their unitholdings.

Neither the Manager nor any of its Associates shall be entitled to vote or be counted as part of a quorum at a meeting convened to consider a matter in respect of which the Manager or any of its Associates has a material interest save for an Ordinary Resolution duly proposed to remove the Manager, in which case, no Unitholder shall be disenfranchised.

For so long as the Manager is the manager of Sabana Shari’ah Compliant REIT, the controlling shareholders (as defined in the Listing Rules) of the Manager and of any of its Associates are prohibited from voting or being counted as part of a quorum for any meeting of Unitholders convened to consider a matter in respect of which the relevant controlling shareholders of the Manager and/or of any of its Associates have a material interest.

167 DECLARATION OF UNITHOLDINGS Duty of Manager to Make Disclosure On 19 January 2009, the Securities and Futures (Amendment) Act was passed by the Singapore Parliament. However, certain provisions of the Securities and Futures (Amendment) Act (including the new Section 137ZC of the SFA relating to notification of unitholdings) have not come into force as at the date of this Prospectus. When the new Section 137ZC of the SFA comes into force, where the Manager acquires or disposes of interests in Units or debentures or units of debentures of Sabana Shari’ah Compliant REIT or the Manager has been notified in writing by, amongst others, a Substantial Unitholder or Director or Chief Executive Officer of the Manager pursuant to the unitholdings disclosure requirements of the SFA as set out below, the Manager shall announce such information via the SGXNET and in such form and manner as the Authority may prescribe as soon as practicable and in any case no later than the end of the Business Day following the day on which the Manager became aware of the acquisition or disposal or received the notice.

Substantial Holdings Under the existing Section 137B of the SFA, Substantial Unitholders are required to notify the Trustee of their interest(s) in Units within two Business Days after becoming a Substantial Unitholder and within two Business Days after any subsequent change in the percentage level of such interest(s) (rounded down to the next whole number) or their ceasing to hold 5.0% or more of the total number of Units. Under the existing Section 137A of the SFA, Substantial Unitholders must also, within the same time limit, submit such notifications to the SGX-ST. On 19 January 2009, the Securities and Futures (Amendment) Act was passed by the Singapore Parliament. However, certain provisions of the Securities and Futures (Amendment) Act (including the new and/or amended Sections 135 to 137B and 137U of the SFA relating to notification of unitholdings by Substantial Unitholders) have not come into force as at the date of this Prospectus. When the new and/or amended Sections 135 to 137B of the SFA (read with the new Section 137U of the SFA) come into force, Substantial Unitholders will be required to notify the Manager and the Trustee within two Business Days after becoming aware of their becoming a Substantial Unitholder,any subsequent change in the percentage level of their interest(s) in Units (rounded down to the next whole number) or their ceasing to be a Substantial Unitholder.

Directors and Chief Executive Officer of the Manager On 19 January 2009, the Securities and Futures (Amendment) Act was passed by the Singapore Parliament. However, certain provisions of the Securities and Futures (Amendment) Act (including the new Section 137Y of the SFA relating to notification of unitholdings by Directors and Chief Executive Officer of the Manager) have not come into force as at the date of this Prospectus. When the new Section 137Yof the SFA comes into force, Directors and Chief Executive Officer of the Manager will be required to within two Business Days notify the Manager of their acquisition of interest in Units or of changes to the number of Units which they hold or in which they have an interest. A Director is deemed to have an interest in Units in the following circumstances: k Where the Director is the beneficial owner of a Unit (whether directly through a direct Securities Account (as defined herein) or indirectly through a depository agent or otherwise). k Where a body corporate is the beneficial owner of a Unit and the Director is entitled to exercise or control the exercise of not less than 20.0% of the votes attached to the voting shares in the body corporate. k Where the Director’s (i) spouse or (ii) son, adopted son, stepson, daughter, adopted daughter or step-daughter below the age of 21 years has any interest in a Unit.

168 k Where the Director, his (i) spouse or (ii) son, adopted son, stepson, daughter, adopted daughter or step-daughter below the age of 21 years: — has entered into a contract to purchase a Unit; — has a right to have a Unit transferred to any of them or to their order, whether the right is exercisable presently or in the future and whether on the fulfilment of a condition or not; — has the right to acquire a Unit under an option, whether the right is exercisable presently or in the future and whether on the fulfilment of a condition or not; or — is entitled (otherwise than by reason of any of them having been appointed a proxy or representative to vote at a meeting of Unitholders) to exercise or control the exercise of a right attached to a Unit, not being a Unit of which any of them is the holder. k Where the property subject to a trust consists of or includes a Unit and the Director knows or has reasonable grounds for believing that he has an interest under the trust and the property subject to the trust consists of or includes such Unit.

THE TRUSTEE The trustee of Sabana Shari’ah Compliant REIT is HSBC Institutional Trust Services (Singapore) Limited. The Trustee is a company incorporated in Singapore and registered as a trust company under the Trust Companies Act 2005, Chapter 336 of Singapore. It is approved to act as a trustee for authorised collective investment schemes under the SFA. As at the date of this Prospectus, the Trustee has a paid-up capital of S$5,150,000. The Trustee has a place of business in Singapore at 21 Collyer Quay, HSBC Building, #14-01, Singapore 049320. The Trustee is independent of the Manager.

Powers, Duties and Obligations of the Trustee The Trustee’s powers, duties and obligations are set out in the Trust Deed. The powers and duties of the Trustee include: k acting as trustee of Sabana Shari’ah Compliant REITand, in such capacity, safeguarding the rights and interests of the Unitholders, for example, by satisfying itself that transactions it enters into for and on behalf of Sabana Shari’ah Compliant REIT with a related party of the Manager or Sabana Shari’ah Compliant REIT are conducted on normal commercial terms, are not prejudicial to the interests of Sabana Shari’ah Compliant REIT and the Unitholders, and in accordance with all applicable requirements under the Property Funds Appendix and/or the Listing Manual relating to the transaction in question; k holding the assets of Sabana Shari’ah Compliant REIT on trust for the benefit of the Unitholders in accordance with the Trust Deed; and k exercising all the powers of a trustee and the powers that are incidental to the ownership of the assets of Sabana Shari’ah Compliant REIT. The Trustee has covenanted in the Trust Deed that it will exercise all due diligence and vigilance in carrying out its functions and duties, and in safeguarding the rights and interests of Unitholders. In the exercise of its powers, the Trustee may (on the recommendation of the Manager) and subject to the provisions of the Trust Deed, acquire or dispose of any real or personal property, borrow and encumber any asset.

169 The Trustee may, subject to the provisions of the Trust Deed, appoint and engage: k a person or entity to exercise any of its powers or perform its obligations; and k any real estate agents or managers, including a related party of the Manager, in relation to the management, development, leasing, purchase or sale of any of real estate assets and real estate-related assets. Subject to the Trust Deed and the Property Funds Appendix, the Manager may direct the Trustee to borrow or raise money or obtain other financial accommodation for the purposes of Sabana Shari’ah Compliant REIT, both on a secured and unsecured basis. The Trustee must carry out its functions and duties and comply with all the obligations imposed on it and set out in the Trust Deed, the Listing Manual, the SFA, the CIS Code (including the Property Funds Appendix), the Singapore Code on Take-overs and Mergers, any tax ruling and all other relevant laws. It must retain Sabana Shari’ah Compliant REIT’s assets, or cause Sabana Shari’ah Compliant REIT’s assets to be retained, in safe custody and cause Sabana Shari’ah Compliant REIT’s accounts to be audited. It can appoint valuers to value the real estate assets and real estate-related assets of Sabana Shari’ah Compliant REIT. The Trustee is not personally liable to a Unitholder in connection with the office of the Trustee except in respect of its own fraud, gross negligence, wilful default, breach of the Trust Deed or breach of trust. Any liability incurred and any indemnity to be given by the Trustee shall be limited to the assets of Sabana Shari’ah Compliant REITover which the Trustee has recourse, provided that the Trustee has acted without fraud, gross negligence, wilful default, breach of the Trust Deed or breach of trust. The Trust Deed contains certain indemnities in favour of the Trustee under which it will be indemnified out of the assets of Sabana Shari’ah Compliant REIT for liability arising in connection with certain acts or omissions. These indemnities are subject to any applicable laws.

Retirement and Replacement The Trustee may retire or be replaced under the following circumstances: k The Trustee shall not be entitled to retire voluntarily except upon the appointment of a new trustee (such appointment to be made in accordance with the provisions of the Trust Deed). k The Trustee may be removed by notice in writing to the Trustee by the Manager: — if the Trustee goes into liquidation (except a voluntary liquidation for the purpose of reconstruction or amalgamation upon terms previously approved in writing by the Manager) or if a receiver is appointed over any of its assets or if a judicial manager is appointed in respect of the Trustee; — if the Trustee ceases to carry on business; — if the Trustee fails or neglects after reasonable notice from the Manager to carry out or satisfy any material obligation imposed on the Trustee by the Trust Deed; — if an Extraordinary Resolution is passed at a Unitholders’ meeting duly convened and held in accordance with the provisions of the Trust Deed, and of which not less than 21 days’ notice has been given to the Trustee and the Manager, shall so decide; or — if the MAS directs that the Trustee be removed.

170 The actual fee payable to the Trustee will be determined between the Manager and the Trustee from time to time.

The Trustee will also be paid a one-time inception fee of S$40,000.

Any increase in the maximum permitted amount or any change in the structure of the Trustee’s fee must be approved by an Extraordinary Resolution at a Unitholders’ meeting duly convened and held in accordance with the provisions of the Trust Deed.

TERMINATION OF SABANA SHARI’AH COMPLIANT REIT

Under the provisions of the Trust Deed, the duration of Sabana Shari’ah Compliant REIT shall end on: k such date as may be provided under written law; k the date on which Sabana Shari’ah Compliant REIT is terminated by the Manager in such circumstances as set out under the provisions of the Trust Deed as described below; and k the date on which Sabana Shari’ah Compliant REIT is terminated by the Trustee in such circumstances as set out under the provisions of the Trust Deed as described below.

The Manager may in its absolute discretion terminate Sabana Shari’ah Compliant REIT by giving notice in writing to all Unitholders and the Trustee not less than three months in advance and to the MAS not less than seven days before the termination in any of the following circumstances: k if any law shall be passed which renders it illegal or in the opinion of the Manager impracticable or inadvisable to continue Sabana Shari’ah Compliant REIT; k if the NAV of the Deposited Property shall be less than S$50.0 million after the end of the first anniversary of the date of the Trust Deed or any time thereafter; and k if at any time Sabana Shari’ah Compliant REIT becomes unlisted after it has been listed.

Subject to the SFA and any other applicable law or regulation, Sabana Shari’ah Compliant REIT may be terminated by the Trustee by notice in writing in any of the following circumstances: k if the Manager shall go into liquidation (except a voluntary liquidation for the purpose of reconstruction or amalgamation upon terms previously approved in writing by the Trustee) or if a receiver is appointed over any of its assets or if a judicial manager is appointed in respect of the Manager or if any encumbrance shall take possession of any of its assets or if it shall cease business and the Trustee fails to appoint a successor manager in accordance with the provisions of the Trust Deed; k if any law shall be passed which renders it illegal or in the opinion of the Trustee impracticable or inadvisable to continue Sabana Shari’ah Compliant REIT; and k if within the period of three months from the date of the Trustee expressing in writing to the Manager the desire to retire, the Manager shall have failed to appoint a new trustee in accordance with the provisions of the Trust Deed.

The decision of the Trustee in any of the events specified above shall be final and binding upon all the parties concerned but the Trustee shall be under no liability on account of any failure to terminate Sabana Shari’ah Compliant REIT pursuant to the paragraph above or otherwise. The Manager shall accept the decision of the Trustee and relieve the Trustee of any liability to it and hold it harmless from any claims whatsoever on its part for damages or for any other relief.

171 Generally, upon the termination of Sabana Shari’ah Compliant REIT,the Trustee shall, subject to any authorisations or directions given to it by the Manager or the Unitholders pursuant to the Trust Deed, sell the Deposited Property and repay any borrowings incurred on behalf of Sabana Shari’ah Compliant REIT in accordance with the Trust Deed (together with any financing cost accrued but remaining unpaid) as well as all other debts and liabilities in respect of Sabana Shari’ah Compliant REIT before distributing the balance of the Deposited Property to the Unitholders in accordance with their proportionate interests in Sabana Shari’ah Compliant REIT.

172 CERTAIN AGREEMENTS RELATING TO SABANA SHARI’AH COMPLIANT INDUSTRIAL REAL ESTATE INVESTMENT TRUST AND THE PROPERTIES

The agreements discussed in this section are complex documents and the following is a summary only. Investors should refer to the agreements themselves to confirm specific information or for a detailed understanding of Sabana Shari’ah Compliant REIT. The agreements are available for inspection at the registered office of the Manager at 9 Raffles Place, #18-20/21, Republic Plaza, Singapore 048619.

RIGHT OF FIRST REFUSAL

Freight Links will grant a right of first refusal to the Trustee for so long as: k Sabana Real Estate Investment Management Pte. Ltd. or any of its related corporations (as defined in the Companies Act, Chapter 50 of Singapore) remains as the manager of Sabana Shari’ah Compliant REIT; and k Freight Links and/or any of its related corporations, alone or in aggregate, remain as a controlling shareholder of the manager of Sabana Shari’ah Compliant REIT.

For the purposes of the ROFR: k “Asia” means Brunei Darussalam, Cambodia, Indonesia, Lao People’s Democratic Republic, Malaysia, Myanmar, Philippines, Singapore, Thailand, Vietnam, People’s Republic of China, Hong Kong Special Administrative Region, Taiwan, Republic of Korea, Democratic People’s Republic of Korea, Japan, India and Democratic Socialist Republic of Sri Lanka; k a“controlling shareholder” means a person who (i) holds directly or indirectly 15.0% or more of the nominal amount of all voting shares of the company or (ii) in fact exercises control over the company; k a“Relevant Entity” means Freight Links or any of its existing or future subsidiaries, and where such subsidiaries are not wholly-owned by Freight Links, and whose other shareholder(s) is/are third party or parties, such subsidiaries will be subject to the ROFR only upon obtaining the consent of such third parties, and in this respect, Freight Links shall use its best endeavours to obtain such consent; and k a“Relevant Asset” refers to an income-producing real estate located in Asia which is used primarily for industrial purposes. Where such real estate is held by a Relevant Entity through an SPV established solely to own such real estate, the term “Relevant Asset” shall refer to the shares or equity interests, as the case may be, in that SPV.

The ROFR shall cover any proposed offer:

(1) of sale by a third party to a Relevant Entity of any Relevant Asset (“Proposed Acquisition”); or

(2) by a Relevant Entity to dispose of any interest in any Relevant Asset which is owned by the Relevant Entity (“Proposed Disposal”). If the Relevant Asset is owned jointly by a Relevant Entity together with one or more third parties and any of such third parties object to offering the Relevant Asset to Sabana Shari’ah Compliant REIT,Freight Links shall use its best endeavours to obtain the consent of the relevant third party or parties, failing which the Right of First Refusal will exclude the disposal of such Relevant Asset. For the avoidance of doubt, the grant by any Relevant Entity of a lease (including a long term lease) over any such Relevant Asset (or any part thereof) for a rent or other service income shall not constitute or be deemed to constitute a Proposed Disposal for the purposes of this paragraph.

173 The ROFR will: k be subject to any prior overriding contractual obligations which the Relevant Entity may have in relation to the Relevant Assets and/or the third parties that hold these Relevant Assets; k be subject to, in the case of a Proposed Acquisition, the conditions set out by the third party in relation to such Proposed Acquisition; k exclude the disposal of any interest in the Relevant Asset by a Relevant Entity to a related corporation of such Relevant Entity pursuant to a reconstruction, amalgamation, restructuring, merger and/or any analogous event or transfer of shares of the Relevant Entity between the shareholders as may be provided in any shareholders agreement; and k be subject to the applicable laws, regulations and government policies. In the event that the Trustee fails or does not wish to exercise the ROFR, the Relevant Entity will be free to acquire or, as the case may be, dispose of, the Relevant Asset to a third party on terms no more favourable that what was offered to the Trustee. In the case of the latter, however, if the completion of the disposal of the Relevant Assets by the Relevant Entity does not occur within 12 months from the date of the written notice of the Proposed Disposal, any proposal to dispose of such Relevant Asset after the aforesaid 12-month period shall then remain subject to the ROFR.

SALE AND PURCHASE AGREEMENTS AND LEASE AGREEMENTS The principal terms of the Sale and Purchase Agreements entered into with the Vendors and the Lease Agreements entered into with the Master Lessees are summarised below.

151 Lorong Chuan Terms of the State Lease State Lease No. 19797 (as supplemented by a supplemental deed dated 29 June 2009) and State Lease No. 943 were issued by the President of the Republic of Singapore, as lessor, in respect of 151 Lorong Chuan (referred to as the “Property” in this section) for a term of 999 years commencing from 7 May 1879. State Lease No. 19797 (as supplemented by a supplemental deed dated 29 June 2009) and State Lease No. 943 were transferred to Branbury Investments Ltd (“Branbury”). Principal terms of the State Lease No. 19797 (as supplemented by a supplemental deed dated 29 June 2009) include, amongst others, the following: k the lessee must pay all rates, taxes, charges, assessments, outgoings and impositions which may be charged, assessed or imposed on the Property at any time in respect of the term; k the lessee must on expiry or earlier determination of the lease yield up and surrender to the government without compensation the land and all buildings thereon; k the lessee shall use the demised land together with the land parcel leased under State Lease No. 943, for the purpose of a light industrial factory at a gross plot ratio not exceeding 1.95 only. Principal terms of the State Lease No. 943 include, amongst others, the following: k the lessee must pay all rates, taxes and assessments which may be charged, assessed or imposed on the Property at any time in respect of the term; k the lessee will allow the lessor at all times to enter upon the said land to inspect the landmarks and survey the land and lands adjacent therefore and if it appears at any time

174 that such landmarks are not in a good state of repair, it shall be lawful for the government to have the repairs made in a substantial and complete manner and the expense incurred shall be a debt due by the lessee; and k it shall be lawful for the lessor to enter the land and construct canals, roads and other public improvements on the land and in the neighbourhood and take from the land any materials necessary for the same and to use al such roads and canals and any other roads, canals, streams and watercourse upon or through the land. The terms of the State Lease No. 19797 (as supplemented by a supplemental deed dated 29 June 2009) and State Lease No. 943 will be binding on the purchaser of the leasehold interest in respect of the Property. The Property is affected by the following Gazettes: k Gazette No. 173 dated 20 January 2003 where notice was given that maps prepared by the Land Transport Authority of Singapore (the “Authority”) relating to the Circle Line (Stage 3) from Bartley Road to Marymount Road, on, under or over the land, have been deposited with the Chief Planner, Urban Redevelopment Authority; and k Gazette No. S335 dated 30 June 2008 where notice was given that the Authority or any person authorised by the Authority may, at any reasonable time and for the purposes of and incidental to the operation of the railway, enter upon the railway area in the land and exercise the following rights : (i) right of uninterrupted passage without vehicles for the purpose of access and egress to and from any railway premises constructed on, above or under the land; and (ii) right at all times to have any structure constructed by the Authority on, above or under the land for the operation of the Rapid Transit System supported, upheld and maintained by the soil and subsoil of such land. The Property is also affected by railway safety line, railway protection line, railway 1st reserve line and land within railway safety zone.

Terms of the Sale and Purchase Agreement On 4 November 2010, the Trustee has entered into a sale and purchase agreement with Branbury for the sale by Branbury to the Trustee of a 45 year leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (ii) the purchase price of the leasehold interest in respect of the Property is S$305,900,000.00; (iii) on completion, the Trustee will enter into a master lease agreement with Branbury for a lease of the leasehold interest in respect of the Property, principal terms of which are summarised below; (iv) completion will occur on the Listing Date which in any event shall be a date no later than 31 December 2010; (v) completion shall occur concurrently with the completion of the sale and purchase of 200 Pandan Loop, Singapore 128388 (the “Other Property”) under the sale and purchase agreement entered into between the Trustee and Eccott Pte Ltd (“the Other SPA”) and neither Branbury nor the Trustee shall be obliged to complete the sale and purchase of the leasehold interest in respect of the Property and the plant and equipment therein unless the completion of the sale and purchase of the Other SPA also occurs provided that in the event the Other SPA is rescinded on the ground of material damage or compulsory acquisition, the sale and purchase of the leasehold interest in respect of the

175 Property and the plant and equipment therein shall proceed without reference to the Other SPA; (vi) in the event the Listing Date does not occur by 31 December 2010, the sale and purchase agreement shall ipso facto terminate and upon such termination, half the deposit (together with an amount equal to the goods and services tax in respect of such half of the deposit) shall be forfeited to Branbury and the balance of the deposit refunded to the Trustee; (vii) certain limited representations and warranties are made by Branbury such as representations and warranties relating to compliance with laws, litigation, equipment, title and property matters but are subject to certain limitations, including (1) no claim unless the aggregate claims exceed S$100,000, (2) maximum aggregate liability of Branbury shall not exceed 50% of the purchase price, (3) all claims must be made within 6 months from completion, and (4) legal proceedings on such claims must commence no later than 9 months from completion; (viii) if there is material damage prior to completion, the Trustee is entitled to either (a) rescind the sale and purchase agreement by giving written notice of rescission to Branbury within 30 Business Days of receipt of written notification from Branbury of the occurrence of the material damage, or (b) not to rescind the sale and purchase agreement on the ground of the occurrence of such material damage. Material damage means any physical damage to the Property and/or the plant and equipment or any part thereof such that the damage causes or results or will result in the aggregate gross monthly rental (inclusive of service charge) in respect of tenancy agreements relating to premises located at the Property to fall below 50% of the amount equivalent to the aggregate gross monthly rental (inclusive of service charge) in respect of tenancy agreements relating to premises located at the Property as at the date of the option agreement relating to the purchase of the leasehold interest in respect of the Property (the “Option Date”). If the Trustee elects to rescind the sale and purchase agreement on ground of the occurrence of material damage, the deposit paid by or on behalf of the Trustee shall be refunded to the Trustee. If the Trustee elects not to rescind the sale and purchase agreement, Branbury must at its own cost and expense repair that damage prior to completion and if that is not possible, as soon as practicable after completion; (ix) if prior to completion, the government acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which affects more than 5% of the land area of the Property; (x) Branbury may enter into any new (or renewal of) tenancy, lease, licence or occupation agreements in respect of the Property or any part of it, after giving prior written notification to the Trustee provided that (i) the term (including any option to renew) will not expire after 30 November 2013, (ii) the proposed usage of the premises does not fall within the list of non-Shari’ah compliant activities, provided that this shall not prevent Branbury from renewing any tenancy, lease, licence or occupation agreement subsisting at the Option Date, if such renewal is on the basis of the same usage as that provided for in such tenancy, lease, licence or occupation agreement, (iii) the proposed new tenancy, lease, licence or occupation agreements are on arms’ length terms and are entered into by Branbury in its ordinary course of business, and (iv) in respect of the proposed new (or renewal) tenancy, no material amendment is made to the reinstatement of premises clause in Branbury’s form of tenancy agreement without the Trustee’s consent (such consent not to be unreasonably withheld or delayed). Where a proposed new (or renewal of) tenancy, lease, licence or occupation agreement does not satisfy the conditions stated in this paragraph, Branbury shall obtain the consent of the Trustee before entering into the proposed new (or renewal) of tenancy, lease, licence or occupation agreement;

176 (xi) if any proposed new (or renewal of) tenancy, lease, licence or occupation agreements in respect of the Property or any part of it has a term (including any legally binding option to renew) which will expire after 30 November 2013, Branbury will obtain the Trustee’s prior written consent (which consent will not be unreasonably withheld or delayed) in respect of (i) the proposed rent, (ii) usage of the premises, and (iii) the duration of the proposed tenancy term (including any legally binding option to renew) if the proposed tenancy term (including any legally binding option to renew) will exceed 5 years, provided that Branbury shall not be required to obtain the Trustee’s consent for the usage of the premises in respect of a proposed renewal of any tenancy, lease, licence or occupation agreement subsisting at the Option Date, if such renewal is on the basis of the same usage for such tenancy, lease, licence or occupation agreement; (xii) upon the Trustee’s consent in respect of the matters set out in paragraph (xi) above, Branbury may enter into such proposed new tenancy, lease, licence or occupation agreements provided that (i) they are on arms’ length terms and are entered into by Branbury in its ordinary course of business, and (ii) in respect of the proposed new (or renewal) tenancy, no material amendment is made to the reinstatement of premises clause in Branbury’s form of tenancy agreement without the Trustee’s consent (such consent not to be unreasonably withheld or delayed); (xiii) the Trustee’s prior written consent will not be required (i) in the case of any renewal of tenancy,lease, licence or occupation agreements in respect of the Property or any part of it, where such renewal is pursuant to a legally binding option to renew contained in the relevant tenancy agreement at the Property and (ii) for any letters of offers issued by Branbury prior to the Option Date in relation to any tenancy, lease, licence or occupation agreement; (xiv) where Branbury has submitted to the Trustee a request for clarification and/or consent (as the case may be) in relation to any matter (including any proposed term, usage or rent) under paragraphs (x) and (xi), the Trustee will respond within three (3) Business Days failing which the Trustee shall be deemed to have agreed and/or consented to such matter (including any proposed term, usage or rent); (xv) Branbury must pay or bear all outgoings up to and excluding the date of completion and the Trustee must pay and bear all outgoings on and after the date of completion whether the outgoings are levied or increased before, on or after the actual date of completion; (xvi) Branbury will, on the Trustee’s behalf but at Branbury’s own cost and expense, promptly pay all property tax and all increases thereof from time to time, imposed by IRAS on the Property in respect of the period from (and including) the completion date up to and including the date of expiry or earlier termination of the master lease term, whether such property tax is levied or increased before, on or after the expiry or earlier termination of the master lease term. The Trustee shall be liable for and pay all property tax referable to the period after the date of expiry or earlier termination of the master lease term; (xvii) Branbury and the Trustee agree that certain capital expenditure works, including (i) chillers upgrading, (ii) toilet upgrading, (iii) installation of handicap ramp and conversion of one toilet cubicle to handicap toilet cubicle, (iv) further toilet upgrading (v) capex works to be carried out to comply with law, (vi) repainting of the exterior of the building at the Property if required by the relevant government authority will be undertaken in respect of the Property; (xviii) in respect of (i) chillers upgrading, (ii) toilet upgrading, (iii) installation of handicap ramp and conversion of one toilet cubicle to handicap toilet cubicle, the principal terms, amongst others, are as follows: (a) the relevant contract for the carrying out, installation and completion of such capex works will be entered into by Branbury with the contractor or supplier (as applicable) and Branbury will make full payment of all amounts payable to such

177 contractor or supplier (as applicable) in accordance with the terms of such contract; (b) in respect of (i) chillers upgrading, Branbury and the Trustee shall each bear S$893,000.00, (ii) toilet upgrading, Branbury and the Trustee shall each bear S$250,000.00, (iii) installation of handicap ramp, Branbury and the Trustee shall each bear S$20,000.00; (c) Branbury shall furnish the Trustee with documentary evidence reasonably satisfactory to the Trustee to confirm the completion of the relevant capex works. On completion of such capex works, ownership of the relevant capex works shall vest in the Trustee; and (d) after completion of the relevant capex works, the Trustee will pay to Branbury the agreed portion of the total costs of the relevant capex works payable to the relevant contractor or supplier, (excluding the goods and services tax charged by such contractor or supplier), without any additional mark-ups or costs of financing (aa) by equal monthly instalments over the remaining unexpired residue of the master lease term payable on the same date as the due date for the monthly rent, (bb) with goods and services tax payable thereon, (cc) if the relevant capex works are completed by completion date the first instalment will commence from the completion date, and if the relevant capex works are completed after the completion date the first instalment will commence from the month immediately following the date of completion of the capex works and (dd) if the master lease agreement is terminated prior to the expiry of the master lease term, the instalment payment arrangement will cease and the unpaid balance of relevant capex works costs will become immediately payable by the Trustee to Branbury on such earlier termination of the master lease term; (xix) in respect of the other capex works: (a) the Trustee and Branbury will in good faith discuss and mutually agree on the scope of works and costs in respect of such capex works and in this regard, the Trustee and Branbury will not unreasonably withhold or delay their consent or agreement to the carrying out of such capex works; (b) in relation to further toilet upgrading works, Branbury and the Trustee shall each bear 50% of the costs of such capex works; (c) in relation to the other capex works (such as capex works to be carried out to comply with law, repainting of the exterior of the building at the Property if required by the relevant government authority), Branbury and the Trustee shall each bear the costs of capex works in the following proportions (aa) Branbury 50% and the Trustee 50% (where the capex works commence in the first year of the master lease term), (bb) Branbury 30% and the Trustee 70% (where the capex works commence in the second year of the master lease term), and (cc) Branbury 20% and the Trustee 80% (where the capex works commence in the third year of the master lease term); and (d) when the Trustee and Branbury have finalised and agreed the actual total costs for any further capex works to be carried out, the provisions in paragraphs (xviii) (a) to (d) shall apply mutatis mutandis to such actual total costs; (xx) at the expiry or earlier termination of the master lease term, Branbury shall furnish to the Trustee: (a) original builders’ and suppliers’ guarantees, undertakings and warranties furnished by the relevant contractor or supplier (as applicable) relating to the capex works carried out; and

178 (b) a deed of assignment of the capex works guarantees (to the extent that they have not expired) executed by Branbury in favour of the Trustee; (xxi) the Property is sold to the Trustee with an additional canteen area located immediately outside canteen unit #02-12 and used as part of the said canteen and Branbury shall if required to do so by the relevant governmental agency (i) regularise or demolish the additional canteen area and (ii) pay to the relevant governmental agency all development charges, differential premiums, levies, charges and/or other sums imposed by such governmental agency in connection with the additional canteen area; (xxii) Branbury may,at its own option at any time, regularise or demolish the additional canteen area; (xxiii) the Trustee shall prior to the end of the master lease term give written notification to Branbury as to whether the Trustee requires Branbury to demolish the additional canteen area. If the Trustee fails to give the said written notification to Branbury, the Trustee shall be deemed not to require the additional canteen area to be demolished and the additional canteen area shall be yielded up in an “as is where is” condition to the Trustee at the end of the master lease term together with the Property; and (xxiv) where the additional canteen area is demolished, Branbury shall not be liable to the Trustee for any loss arising from or as a result of such demolition (whether due to unit #02-12 or the Property being less attractive to tenants or diminution in value of the Property or otherwise).

Terms of the Master Lease Agreement On completion of the sale of the leasehold interest in respect of the Property, the Trustee will enter into a master lease agreement with Branbury (as master lessee) for a lease of the leasehold interest in respect of the Property together with the plant and equipment on the Property. The terms of the master lease agreement include, amongst others, the following: (i) the term of the master lease is for a period of 3 years from the date of completion; (ii) rent is payable by the master lessee on a monthly basis in advance, the annual rent payable by the master lessee is as follows; (a) S$24,000,000.00 for the first year of the lease term; (b) S$24,000,000.00 for the second year of the lease term; and (c) S$24,000,000.00 for the third year of the lease term; (iii) the master lessee is required to provide to the Trustee a security deposit in amounts set out below : (a) S$12,000,000.00 for the first year of the lease term; (b) S$9,000,000.00 for the second year of the lease term; and (c) S$6,000,000.00 for the third year of the lease term, as security for compliance by the master lessee of all the provisions in the master lease agreement and as security for the Trustee in respect of any loss or damage resulting from any default by the master lessee under the master lease agreement; (iv) the master lessee shall take out and keep in force insurance policies (specifically industrial all risks policy and public liability insurance policy) and the Trustee shall take out and keep in force a fire insurance policy in respect of the Property; (v) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the plant and equipment therein;

179 (vi) save as agreed in relation to the provisions relating to capex works in the sale and purchase agreement for the leasehold interest in respect of the Property, the master lessee shall not be responsible for or be required to carry out any structural works or incur any capital expenditure; (vii) at the end of the master lease term, in respect of units which are vacant and the units where the subtenancies have expired or terminated, the master lessee is required to reinstate the premises to the original state and condition of the Property (save for fair wear and tear) and vacate the Property; (viii) the master lessee is not entitled to assign the master lease agreement, but the master lessee may enter into any new (or renewal of) tenancy, lease, licence or occupation agreements in respect of the Property or any part of it, after giving prior written notification to the Trustee provided that (i) the term (including any option to renew) will not expire after the end of the master lease term, (ii) the proposed usage of the premises does not fall within the list of non-Shari’ah compliant activities, provided that this shall not prevent the master lessee from renewing any tenancy, lease, licence or occupation agreement subsisting at the Option Date, if such renewal is on the basis of the same usage for such tenancy, lease, licence or occupation agreement, (iii) the proposed new tenancy, lease, licence or occupation agreements are on arms’ length terms and are entered into by the master lessee in its ordinary course of business, and (iv) in respect of the proposed new (or renewal) tenancy, no material amendment is made to the reinstatement of premises clause in master lessee’s form of tenancy agreement without the Trustee’s consent (such consent not to be unreasonably withheld or delayed). Where a proposed new (or renewal) of tenancy, lease, licence or occupation agreement does not satisfy the conditions stated in this paragraph, the master lessee shall obtain the consent of the Trustee before entering into the proposed new (or renewal) of tenancy, lease, licence or occupation agreement; (ix) if any proposed new (or renewal) tenancy, lease, licence or occupation agreements in respect of the Property or any part of it has a term (including any legally binding option to renew) which will expire after the master lease term, the master lessee will obtain the Trustee’s prior written consent (which consent will not be unreasonably withheld or delayed) in respect of (i) the proposed rent, (ii) usage of the premises and (iii) the duration of the proposed tenancy term (including any legally binding option to renew), provided that the master lessee shall not be required to obtain the Trustee’s consent for the usage of the premises in respect of a proposed renewal of any tenancy, lease, licence or occupation agreement subsisting as at the Option Date, if such renewal is on the basis of the same usage for such tenancy, lease, licence or occupation agreement; (x) upon the Trustee’s consent in respect of the matters set out in paragraphs (viii) and (ix) above, the master lessee, together with the Trustee, may enter into a tri-partite tenancy agreement in which the master lessee will lease the portion of the term which falls within the master lease term and the Trustee will lease the portion of the term which is after the expiry of the master lease term, provided that such tri-partite tenancy agreement (i) is based on the master lessee’s standard form tenancy agreement which is generally used by the master lessee for the Property (ii) contain arms’ length terms and are entered into by the master lessee in its ordinary course of business (iii) no material amendment is made to the reinstatement of premises clause in the master lessee’s form of tenancy agreement without the Trustee’s consent (such consent not to be unreasonably withheld or delayed) and (iv) the master lessee and the Trustee shall share the leasing commission in respect of such proposed tri-partite tenancy on a proportionate basis based on their respective tenancy duration and if the Trustee does not pay its share of the commission owing to the master lessee within 14 days of written demand by the master lessee, the Trustee shall pay to the master lessee Ta’widh (compensation) on such overdue amount (which shall not be compounded) at the rate per annum equivalent to

180 10% per annum (both before and after judgment) from the due date until the overdue amount is paid to the master lessee; (xi) the Trustee’s prior written consent will not be required in the case of any renewal of tenancy,lease, licence or occupation agreements in respect of the Property or any part of it, where such renewal is pursuant to a legally binding option to renew contained in the relevant tenancy, lease, licence or occupation agreement at the Property; (xii) where the master lessee has submitted to the Trustee a request for clarification and/or consent (as the case may be) in relation to any matter (including any proposed term, usage or rent) under paragraphs (viii) and (ix), the Trustee will respond within three (3) Business Days failing which the Trustee will be deemed to have agreed and/or consented to such matter (including any proposed term, usage or rent); (xiii) as landlord, the Trustee will be responsible for structural repairs of the building erected on the Property, necessary replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein, where they are required to be repaired or replaced to comply with law or the requirements of the head lessor or relevant governmental agencies (except where such repairs or replacements are required by law, the head lessor or the relevant governmental agencies solely because of the specific use or operation of or the business carried on at the Property by the subtenants in which case such repairs and replacements shall be the responsibility of the master lessee), provided that (a) the Trustee shall not be required to carry out any repair and/or replacement if such repair or replacement is necessitated by any act, omission or negligence of or the failure by the master lessee to comply with the master lessee’s repair and maintenance obligations under the master lease agreement and (b) the Trustee’s obligations shall not extend to any item or part of the Property where the maintenance, repair, replacement and overhaul thereof shall be at the sole cost and expense of the master lessee under the master lease agreement; (xiv) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee; (xv) if 30% or more of the land area of the Property is acquired by any relevant authority or a notice, order or gazette notification is issued in respect of the intended or actual acquisition of 30% or more of the land area of the Property by any relevant authority, the master lessee may terminate the master lease agreement; (xvi) if less than 30% of the land area of the Property is acquired by any relevant authority or a notice, order or gazette notification is issued in respect of the intended or actual acquisition of less than 30% of the land area of the Property by any relevant authority, the rent payable by the master lessee shall be reduced by a fair and just proportion, such reduction to be agreed between the parties in good faith within 30 days of the notice of acquisition; (xvii) in the event the Trustee sells the Property to any purchaser, the Trustee shall give written notice to the master lessee of such sale of the Property at least 90 days prior to the completion of the sale. The master lessee may terminate the master lease agreement by giving not less than 30 days’ written notice to the Trustee provided that such termination notice must be served on the Trustee within 30 days after the master lessee’s receipt of the written notice by the Trustee of such sale of the Property. Where the Trustee sells the Property and has given the master lessee the notice referred to in this paragraph and the master lessee fails to exercise to right to terminate the master lease agreement, the Trustee shall (a) assign or transfer or charge all of its rights and benefits under the master lease agreement to the purchaser and (b) give notice of any assignment or transfer of the

181 Property to the master lessee on the date of completion of the sale to the purchaser, which assignment or transfer shall be subject to the master lease agreement; (xviii) if the Property is destroyed or damaged such that the Property is rendered unfit for occupation or use and/or inaccessible, the master lessee will not be liable to pay rent for such period that the Property is unfit for occupation or use and/or inaccessible. However if the Property is destroyed or damaged such that only part of the Property is rendered unfit for occupation or use and/or inaccessible, a fair and just proportion of the rent according to the nature and extent of the destruction and damage sustained shall from the date of such destruction and damage cease to be payable until the Property or such part is reinstated so as to be fit for occupation and use, and accessible; (xix) if the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds six months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (xx) on the expiry or earlier termination of the master lease term (“Handover Date”), the master lessee shall execute in favour of the Trustee and the Trustee shall accept an assignment, with effect from Handover Date, of all the master lessee’s rights, benefits and covenants under the subtenancies, sublettings and licences subsisting as at the Handover Date (“Subtenancies”). The master lessee is entitled to require the Trustee to enter into a novation agreement with the master lessee and each relevant subtenant in respect of any Subtenancy which is subsisting as at the Handover Date. The master lessee shall also transfer to the Trustee all its rights, title and interest in and to and the full benefit of all the cash deposits paid to and received by the master lessee under the Subtenancies and all the bank/insurance company guarantees (if any) held by the master relating to the security deposits held under the Subtenancies which are subsisting as at the Handover Date; (xxi) on the Handover Date, the Trustee is entitled to require the master lessee to assign to the Trustee all the master lessee’s rights and benefits under subsisting and assignable service contracts which the Trustee wishes to take over at the end of the master lease term. The master lessee is entitled to require the Trustee to enter into a novation agreement with the master lessee and each relevant contractor in respect of any such service contract; (xxii) the Trustee shall be responsible for all costs and expenses incurred in respect of transfers of the relevant licences, permits or certificates as are required under law to be issued for the operation of the building and relevant plant and equipment therein to be transferred to the Trustee on the Handover Date; (xxiii) the Trustee shall, from the Handover Date, use reasonable endeavours to assist the master lessee to collect any arrears of lease revenue from any subtenant under the relevant subtenancy in respect of premises at the Property for the period prior to the end of the master lease term and which is received by the Trustee from, or paid on behalf of, the relevant subtenant to the Trustee on or after the Handover Date; (xxiv) the master lessee shall be entitled to all lease revenue (including rent, licence fee if any, service charge payable by the subtenants under the Subtenancies) at the Property in respect of the period up to and excluding the Handover Date and the Trustee is entitled to the lease revenue (including rent, licence fee if any, service charge payable by the subtenants under the Subtenancies) the Property in respect of the period on and after the Handover Date;

182 (xxv) save for the lease agreements in respect of the canteen in #02-12 and the café in #01-K1 and save as provided above, the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall not permit any subtenants to use their respective demised premises on the Property for non-Shari’ah compliant activities; and (xxvi) the master lessee acknowledges that all subtenancies, sublettings and licences in respect of the Property existing as at commencement date of the term shall operate as subleases as between the master lessee (as landlord) and each such subtenant (as lessee) on the terms of the relevant subtenancies, sublettings and licences in respect of the Property.

Terms of the Lease Agreement On completion of the sale of the Leasehold Property, Branbury will issue to the Trustee a 45 year lease in respect of the Leasehold Property. The terms of the 45 year lease include, amongst others, the following: (i) the Trustee shall pay annual rent of $12.00 on the 1 January of each year, without any deductions (such annual rent is waived with effect from the commencement date of the 45 year lease until such time as Branbury may decide to commence collection by notice in writing to the Trustee); (ii) the Trustee shall pay all rates, taxes, charges, assessments, outgoings and impositions whatsoever which now are or at any time hereafter during or in respect of the 45 year term, shall or may be charged, assessed or imposed upon the premises or any part thereof; (iii) the Trustee shall promptly pay all property tax, and all increases thereof from time to time, imposed by the relevant authority on the premises in respect of any period during the 45 year term, whether such property tax is levied or increased before, on or after the expiry or earlier determination of the 45 year term; (iv) the Trustee shall bear the cost of any structural surveys of the premises and for all periodic inspections thereof which are required by the relevant authorities; (v) without the prior written consent of (a) Branbury (such consent not to be unreasonably withheld or delayed), and (b) the relevant authorities, and subject to the head lessor’s consent and the terms and conditions of the head lessor’s consent being acceptable to Branbury (i) not to use or permit or suffer the premises or any part thereof to be used otherwise than for the purpose of a light industrial factory in accordance with the state leases and (ii) not to make any application to amend the land use zoning of the premises from its current 2008 master plan zoning as “Business 1”. Branbury may not unreasonably withhold or delay the grant of such consent provided that the Trustee pays to the relevant authorities all development charges, differential premiums, levies, charges and/or any other sums imposed by any relevant authorities in connection with such change of use and/or change of land use zoning; (vi) without the prior written consent of the relevant authorities, the Trustee shall not carry out, permit or suffer to be carried out, in on or upon the premises any development on or additions or alterations or works to the premises or any part thereof if such development or additions or alterations or works result in an increase in gross plot ratio beyond the maximum permissible gross plot ratio prescribed under the state leases and if the relevant authorities grant such consent, the Trustee will pay to the relevant authorities all applicable development charges, differential premiums, levies, charges and/or any other sums imposed by any relevant authorities in connection with such development, additions, alterations or works;

183 (vii) without the prior written consent of the relevant authorities, the Trustee shall not effect, permit or suffer to be carried out any activity involving the demolition or erection of any building on the premises. If the relevant authorities grant such consent, the Trustee will pay to the relevant authorities all applicable development charges, differential premiums, levies, charges and/or any other sums imposed by any relevant authorities in connection with such activities; (viii) the Trustee shall bear any development charge, differential premium, levy, charge or other payment applicable or as may be imposed in connection with any development, redevelopment, increase in gross floor area, change of use, additions and alterations or other works carried out on and after commencement date of the 45 year lease in respect of the premises and obtain at its own cost and expense all relevant approvals, licences, permits and certificates required; (ix) if and when required by the head lessor under any of the state leases, the Trustee shall surrender to the head lessor such portion of the premises as the head lessor may require; (x) on expiry or earlier determination of the 45 year term, the Trustee shall (without compensation) yield up and surrender to Branbury the premises with vacant possession; (xi) the Trustee shall not subdivide (whether by way of strata subdivision or otherwise) the premises except for the purpose of granting subleases which are registrable with the Singapore Land Authority; (xii) the Trustee shall comply with and observe compliance with law in respect of the premises; (xiii) the Trustee shall fully indemnify Branbury and hold Branbury harmless from any losses, damages, claims, demands, proceedings, actions, costs, expenses, interest or penalties suffered or incurred by Branbury arising from or as a result of any default by the Trustee in complying with the provisions of the 45 year lease, including without limitation the provisions relating to permitted use and encroachment; (xiv) the Trustee shall not do or permit or suffer anything to be done to cause Branbury to be in breach of the state leases or which is likely to cause a forfeiture of Branbury’s interest under the state leases; (xv) in the event that there is any encroachment upon any area beyond the boundaries of the premises, the Trustee shall, at his own cost and expense, prior to the expiry or earlier determination of the 45 year lease, rectify and remove the encroachment to the reasonable satisfaction of Branbury; (xvi) Branbury shall pay to the head lessor the head lease rent (to the extent not waived by the head lessor); (xvii) that the Trustee paying the annual rent (if payable) and performing and observing the covenants, conditions and agreements on the part of the Trustee in the 45 year lease, the Trustee shall peaceably hold and enjoy the premises during the 45 year term without any interruption of or by Branbury or any person lawfully claiming through under or in trust for Branbury; (xviii) Branbury shall perform and observe the covenants on the lessor’s part contained in the state leases; (xix) if the annual rent (if payable) or other moneys hereby reserved or any part thereof shall be unpaid after becoming payable and the Trustee fails to pay such outstanding amounts within thirty (30) days after Branbury’s written notice of payment or if any of the covenants on the part of the Trustee under the 45 year lease shall not be performed or observed and the Trustee fails to remedy such breach within such reasonable period (which shall not be less than 30 days) as determined by Branbury, after Branbury has given to the Trustee written notice to do so, then and in any such case it shall be lawful for Branbury or any

184 person or persons authorised by Branbury, at any time thereafter to re-enter upon the premises or any part thereof in the name of the whole and thereupon the 45 year lease term shall absolutely determine but without prejudice to any right of action or remedy of Branbury in respect of any breach of any of the covenants or conditions by the Trustee under the 45 year lease; and (xx) where the Trustee assigns or transfers the Leasehold Property, the assignee or transferee shall not have the benefit of the Trustee’s limitation of liability. The Trustee shall be entitled to assign or transfer all of its rights, benefits or obligations under the 45 year lease to a new trustee of the REIT appointed pursuant to the terms of the trust deed dated 29 October 2010 constituting the REITand such new trustee of the REITshall have the benefit of the Trustee’s limitation of liability.

8 Commonwealth Lane Terms of the State Lease A State Lease No. 26168 (varied by a Supplemental Lease dated 24 March 2008) was issued by the President of the Republic of Singapore, as lessor,in favour of JTC, as lessee, in respect of the 8 Commonwealth Lane (referred as the “Property” in this section) for a term of 99 years commencing from 1 January 1963. Principal terms of the State Lease No. 26168 include, amongst others, the following: k JTC must surrender: (a) free to the government such portions of the land as may be required in future for roads, drainage, etc; (b) if directed by the government, to the government such portions of the acquired land which are not required for the purpose specified in the State Lease No. 26168 (i.e. for industrial development) at rates equivalent to the compensation payable if such land had been acquired under the Land Acquisition Act; k JTC is responsible for the resettlement and clearance at JTC’s own expense of any encumbrances on the Property; and k the lessor is entitled to exercise the right of re-entry if JTC fails to perform or observe any of the terms and conditions of the State Lease No. 26168, and upon re-entry, the term of the affected State Lease No. 26168 will cease but without prejudice to any right of action or remedy that the lessor may have. There is a restriction in the State Lease No. 26168 on JTC’s right to sublease the Property. However, the JTC has confirmed in writing that the State has granted consent to JTC to sublet, underlet or licence to any person, the land in the State Lease relating to the Property. The terms of the State Lease No. 26168 will be binding on the purchaser of the leasehold interest in respect of the Property.

Terms of the Building Agreement JTC in turn entered into a building agreement dated 20 June 2006 (the “8 Commonwealth Lane Building Agreement”) with Akai Sales Pte. Ltd. (“Akai Sales”) whereby JTC agreed to grant to Akai Sales a licence term for three years from 1 February 2006, and subject to certain conditions being fulfilled, a lease for 30 years commencing from 1 February 2006. Principal terms of the 8 Commonwealth Lane Building Agreement include, amongst others, the following: k provisions for the payment of annual rent by the lessee to JTC in advance by monthly instalments. The annual rent is subject to revision on the 1st day of February every year at

185 the rate based on the market rent on the respective dates but so that the increase shall not exceed 5.5% of the yearly rent for each immediately preceding year. The market rent is defined to mean the rent per square metre per annum of the Property excluding the buildings and other structures erected thereon, as determined by JTC whose decision is final; and k a provision against the lessee demising, assigning, charging creating a trust or agency, mortgaging, letting, subletting, granting a licence or parting with or sharing the possession or occupation of the Property without JTC’s prior written consent except where mortgaged or charged to a licensed bank or finance company. By a letter dated 11 February 2009 from JTC to Akai Sales, JTC confirmed that the lessee has qualified for a 30 year lease with an option for a further term of 23 years lease with effect from 1 February 2006 and if there is no breach of any covenants, JTC will proceed to issue Akai Sales the lease. Akai entered into a deed of assignment dated 29 September 2009 with Utraco Greentech Pte. Ltd. (“Utraco Greentech”) whereby Akai Sales assigned all its rights, title, interests and benefits under or arising out of the 8 Commonwealth Lane Building Agreement and the estate, right, title and interest of Akai Sales in the Property to Utraco Greentech. By a letter dated 1 September 2009 from JTC to Akai Sales, JTC consented to the assignment/transfer from Akai Sales to Utraco Greentech but has imposed certain conditions which are binding on Utraco Greentech, including the use of the Property by Utraco Greentech for research and development into water treatment systems such as microbial substrates, ultra filtration and reverse osmosis and new electrodes for disinfectant generating system only.

Terms of the Sale and Purchase Agreement On 4 November 2010, the Trustee has entered into a sale and purchase agreement with Utraco Greentech for the sale by Utraco Greentech to the Trustee of the leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (ii) Utraco Greentech will proceed with redevelopment works that will comprise a 6-storey extension and will result in an additional gross floor area of 32,394 square feet (the “New Extension Works”) on the following terms: (a) Utraco Greentech is required to obtain the TOP for the New Extension Works on or before 31 December 2010, failing which the Trustee may take such action as it deems necessary to obtain the TOP; (b) the purchase price of S$70,338,000.00 comprises S$56,270,325.00 for the existing building on the Property and S$14,067,675 (the “New Extension Works Price”) for the New Extension Works; (c) Utraco Greentech is required to issue a notice (the “Vendor’s Notification”) upon obtaining either the TOP or CSC for the New Extension Works; (d) if the Vendor’s Notification is issued on or before the date of written notice (“Sabana Notice”) by SIP to Utraco Greentech stating the Manager’s intention to lodge with MAS this Prospectus, on completion the Trustee will pay the purchase price of S$70,338,000 less a new extension withholding sum of S$1,400,000 (the “New Extension Withholding Sum”), which will be withheld by the Trustee until Utraco Greentech has obtained the CSC and after expiry of a 12 month defects liability period; (e) if the Vendor’s Notification has not been issued by the date of the Sabana Notice, the New Extension Works Purchase Price will not be paid to Utraco Greentech on

186 completion. After Utraco Greentech has obtained the TOP for the New Extension Works, part of the New Extension Works Price in the sum of S$12,667,675 will be paid to Utraco Greentech and the new extension withholding sum of S$1,400,000 will be withheld by the Trustee until Utraco Greentech has obtained the CSC and after expiry of a 12 month defects liability period;

(f) if the actual gross floor area of the New Extension Works, as determined by the Trustee’s registered land surveyor, differs by more than 3% from 32,394 square feet, the New Extensions Work Price will be adjusted proportionately based on the actual gross floor area. Such adjustment will be calculated only in respect of those areas greater than the aforesaid 3%. The proportionate increase or reduction in the New Extension Works Price will be based on a rate of S$434.27 per square foot of increase or reduction in area beyond the aforesaid 3% margin; and

(g) Utraco Greentech must make good at its own cost and expense any defect in the New Extension Works and/or any mechanical and electrical equipment installed therein, which becomes apparent within 12 months from the TOP Issuance Date. If Utraco Greentech fails to do so, the Trustee has the right to recover from Utraco Greentech the costs and reasonable expenses incurred in respect of the rectification works and deduct such costs and expenses from the New Extension Withholding Sum. Utraco Greentech shall indemnify the Trustee in the event that the costs and expenses of carrying out and completing the rectification works exceed the New Extension Withholding Sum;

(iv) on completion, the Trustee will enter into a master lease agreement with Utraco Greentech for a lease of the Property, principal terms of which are summarised below;

(v) completion is subject to and conditional upon (a) the financing facilities to the Sabana Shari’ah Compliant REIT being available for drawdown on completion date and (b) the listing of the units in Sabana Shari’ah Compliant REIT and commencement of trading of such units on SGX-ST;

(vi) certain limited representations and warranties are made by Utraco Greentech such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters (such as structural defects), environmental laws and property tax;

(vii) if there is material damage prior to completion, the Trustee is entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (1) it is unfit for use or occupation, (2) it is rendered unsafe or inaccessible or (3) it cannot lawfully be used, and which in the opinion of the Trustee, adversely affects the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in Sabana Shari’ah Compliant REIT; and

(viii) if prior to completion, the government acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which affects the functionality of the building, the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in Sabana Shari’ah Compliant REIT.

Terms of the Master Lease Agreement

On completion of the sale of the Property, the Trustee will enter into a master lease agreement with Utraco Greentech (as master lessee) for a lease of the Property together with the plant and

187 equipment on the Property. The terms of the master lease agreement include, amongst others, the following: (i) the term of the master lease is for a period of 3 years from the date of completion; (ii) rent is payable by the master lessee as follows: (a) S$4,335,994 per annum in respect of the existing building on the Property and S$1,084,006 per annum (calculated at the rate of S$2.789 per square foot per month) in respect of the New Extension Works for the first year of the lease term; (b) S$4,401,034 per annum in respect of the existing building on the Property and S$1,100,266 per annum (calculated at the rate of S$2.830 per square foot per month) in respect of the New Extension Works for the second year of the lease term; (c) S$4,467,050 per annum in respect of the existing building on the Property and S$1,116,770 per annum (calculated at the rate of S$2.873 per square foot per month) in respect of the New Extension Works for the third year of the lease term; and (d) the rent for the New Extension Works is calculated based on an agreed gross floor area of 32,394 square feet at the rental rate per square foot per month for the relevant year. If the actual gross floor area of the New Extension Works, as determined by the Trustee’s registered land surveyor, differs by more than 3% from 32,394 square feet, the rent for New Extension Works will be adjusted. Such adjustment will be calculated only in respect of those areas greater than the aforesaid 3%. The proportionate increase or reduction in the rent for the New Extension Works will be based on the rental rate per square foot per month for the relevant year and the increase or reduction in area beyond the aforesaid 3% margin; (iii) on the first day of the 3-year lease term, the master lessee will pay the Trustee, in advance, the total rental for the 3 year term amounting to $16,505,120 (being the aggregate rent for the existing building and the New Extension Works) and no security deposit will be provided to the Trustee. If TOP for the New Extension Works is not issued by the first day of the 3-year lease term, the rent for the New Extension Works will be payable after the issue of TOP for the New Extension Works and payment by the Trustee of the New Extension Works Price less the withholding sum of $1,400,000, and a refund will have to be made by the Trustee to the master lessee in respect of the advance rent collected by the Trustee relating to the New Extension Works for the period prior to the date from which the rent for the New Extensions Works is payable; (iv) the master lessee is appointed and authorised by the Trustee (as landlord) to act as agent for the Trustee to pay, as variable rent at such times and in the manner specified by the Trustee, the following amounts: (a) in respect of the Property, land rent, rates and taxes (other than the Trustee’s income tax and any other corporate taxes payable by the Trustee), including all charges, assessments, duties and fees levied during the lease term; (b) all premiums payable in respect of the industrial special risks policy and the comprehensive public liability insurance policy; and (c) property tax (including all increases from time to time) imposed by the IRAS on the Property in respect of any period during the lease term; (v) as landlord, the Trustee will be responsible for structural repairs of the building erected on the Property, necessary replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein;

188 (vi) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the plant and equipment therein; (vii) the master lessee shall take out and keep in force insurance policies (specifically an industrial special risks policy and a comprehensive public liability insurance policy) with an Islamic (Takaful) insurance company or companies in Singapore approved by the Trustee, on terms and conditions to be approved by the Trustee and in the joint names of the master lessee and the Trustee; (viii) if the Property is destroyed or damaged such that the Property cannot be used or is rendered inaccessible for the period of one month or more, the master lessee will not be liable to pay rent for such period. However if the destroyed or damaged Property is only partly usable for the period of one month or more, the master lessee’s liability to pay rent will be reduced in proportion to the reduction in their usability; (ix) if the building erected on the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds six months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (x) the master lessee is not entitled to assign the master lease agreement, the master lessee may however sub-let any part of the Property subject to (i) the prior written consent of the Trustee (such consent not to be unreasonably withheld), (ii) the master lessee’s compliance with all terms of the master lease agreement and (iii) the prior written approval of JTC and any other competent authorities; (xi) the sale is subject to sub-tenancy agreements subsisting as at completion but Utraco Greentech as the master lessee will confirm to the Trustee that these sub-tenants are the tenants of Utraco Greentech and that Utraco Greentech is to perform all obligations as landlord under such sub-tenancy; (xii) at the end of the lease, the master lessee is required to reinstate the premises to the original state and condition of the Property and vacate the Property; (xiii) in the event the master lessee is in default under the master lease agreement, the Trustee is entitled to require the master lessee to assign to the Trustee, all rights and remedies (including rent and other proceeds) of the master lessee under and/or arising from any of the sub-tenancies selected by the Trustee; (xiv) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee; (xv) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall ensure that all subtenants are engaged in Shari’ah compliant businesses and activities; and (xvi) the master lessee acknowledges that all subtenancies, sublettings and licences in respect of the Property existing as at commencement date of the term shall operate as subleases as between the master lessee (as landlord) and each such subtenant (as lessee) on the terms of the relevant subtenancies, sublettings and licences in respect of the Property and that the master lessee is the party to perform all obligations as landlord under such subtenancies, sublettings and licences.

189 Terms of the JTC Consent Letter By a letter dated 17 August 2010 from JTC to Utraco Greentech, JTC granted in-principle approval for the transfer of the leasehold interest in respect of the Property to the Trustee and the leaseback of the Property from Trustee to Utraco Greentech on the terms and conditions of the said letter. Such terms and conditions include, amongst others, the following: (i) the sale of the Property shall be legally completed by 31 December 2010; (ii) the Trustee shall take over the remainder of the lease term held by Utraco Greentech from the effective date of legal completion of the sale of the Property; (iii) the Trustee upon completion of the sale of the Property shall be principally liable to JTC for ensuring the observance and performance of all the terms, covenants and conditions, undertakings and obligations under the JTC lease documents in respect of the Property. If after completion, JTC discovers any breach of any term, covenant or condition under the JTC lease documents, the Trustee shall assume all liabilities and responsibilities to rectify and remedy the said breach; (iv) as between JTC and the Trustee, notwithstanding that the sublettings at the Property will not be assigned or novated to the Trustee on completion of the sale of the Property, if such sublettings are allowed to continue after completion, JTC will require the Trustee to confirm in writing that the Trustee agrees to the continuation of such sublettings and that the Trustee accepts to assume all the rights and liabilities under the existing arrangements relating to such sublettings; (v) the Trustee is prohibited from selling, assigning or transferring the Property during the first three years starting from the completion of the sale of the Property. Thereafter, if the Trustee wishes to sell, assign, transfer, create a trust or part with the possession or occupation of the Property, the Trustee must first make a written offer to JTC at the prevailing market rate. If JTC declines the right of first refusal, the Trustee may, subject to JTC’s prior written consent, sell, assign, transfer, create a trust or part with the possession or occupation of the Property; and (vi) Utraco Greentech shall occupy at least 50% of the gross floor area of the Property (“Anchor GFA”) for a period of three years from the completion of the sale of the Property (“Leaseback Anchor Subletting Condition”). The Trustee may, subject always to the Leaseback Anchor Subletting Condition, be permitted to sublet to other subtenants, provided that after the period of three years from the completion of the sale of the Property, such other subtenants shall include anchor subtenants who shall collectively occupy the whole of the Anchor GFA, or the balance of the Anchor GFA not occupied by Utraco Greentech and shall each occupy a gross floor area of at least 6,015 square metres and meet all JTC’s prevailing anchor subtenant criteria.

9 Tai Seng Drive Terms of the State Lease A State Lease No. 24422 (varied by a Supplemental Lease dated 24 March 2008) was issued by the President of the Republic of Singapore, as lessor, in favour of JTC, as lessee, in respect of 9 Tai Seng Drive (referred to as the “Property” in this section) for a term of 99 years commencing from 16 September 1986. Principal terms of the State Lease No. 24422 include, amongst others, the following: k JTC must surrender: (i) free to the government such portions of the land as may be required in future for roads, drainage, etc; and

190 (ii) if directed by the government, to the government such portions of the acquired land which are not required for the purpose specified in the State Lease No. 24422 (i.e. for industrial development) at rates equivalent to the compensation payable if such land had been acquired under the Land Acquisition Act; k JTC is responsible for the resettlement and clearance at JTC’s own expense of any squatters or other encumbrances on the Property; and k the lessor is entitled to exercise the right of re-entry if JTC fails to perform or observe any of the terms and conditions of the State Lease No. 24422, and upon re-entry, the term of the affected State Lease No. 24422 will cease but without prejudice to any right of action or remedy that the lessor may have. There is a restriction in the State Lease on JTC’s right to sublease the Property. By an email dated 21 May 2010 from JTC to Geo-Tele Pte. Ltd. (“Geo-Tele”), JTC confirmed that the Lessor has granted JTC consent to sublet, underlet or licence to any person the land in State Lease No. 24422. The terms of the State Lease No. 24422 will be binding on the purchaser of the leasehold interest in respect of the Property.

Terms of the Lease Agreement A registered Lease No. I/27157Q (as varied by First Variation of Lease No. I/51674R) comprised in Certificate of Title (SUB) Volume 593 Folio 177 (the “9 Tai Seng Drive JTC Lease”) was issued by JTC to Geo-Tele (as lessee) for a term of 30 years commencing from 1 June 1995 for the Property. Principal terms of the 9 Tai Seng Drive JTC Lease include, amongst others, the following: k provisions for the payment of annual rent by the lessee to JTC in advance by quarterly instalments. The annual rent is subject to revision on the 1st day of June every year at the rate based on the market rent on the respective dates but so that the increase shall not exceed 5.5% of the yearly rent for each immediately preceding year. The market rent is defined to mean the rent per square metre per annum of the Property excluding the buildings and other structures erected thereon as determined by JTC whose decision is final; k a prohibition against the lessee demising, assigning, charging, creating a trust or agency, mortgaging, letting, subletting, or permit underletting, or granting a licence or parting with or sharing the possession or occupation of the Property without JTC’s prior written consent except where mortgaged or charged to a licensed bank or finance company; k a restriction on the use of the Property, for the purpose of “Carrier Hotel Operations to provide facility or service based internet operators, telecom operators with optical fibre connectivity, international telecommunications gateways and domestic telephone networks and providing space to host telecommunication equipment and internet servers only”; and k a provision that in consideration of the lessee fulfilling certain fixed investment criteria, the lessor covenants to grant the lessee a further lease term of 30 years commencing from the expiry of the current term provided that, amongst others, at the expiry of the current term, there is no existing breach or non-observance of any of the covenants and conditions contained in the 9 Tai Seng Drive JTC Lease on the part of the lessee to be observed or performed. By a letter dated 24 March 2008 from JTC to Geo-Tele, JTC confirmed that the lessee has qualified for a 30+30 years lease with effect from 1 June 1995.

191 Terms of the Sale and Purchase Agreement On 4 November 2010, the Trustee, as trustee of Sabana Shari’ah Compliant REITentered into a sale and purchase agreement with Geo-Tele for the sale by Geo-Tele to the Trustee of the leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (ii) the purchase price is S$46,300,000.00; (iii) completion is subject to and conditional upon (a) the financing facilities to the Sabana Shari’ah Compliant REIT being available for drawdown on completion date and (b) the listing of the units in the Sabana Shari’ah Compliant REITand commencement of trading of such units on SGX-ST; (iv) Geo-Tele agrees to provide rental income support, principal terms of which are summarised below; (v) certain limited representations and warranties are made by Geo-Tele such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters (such as structural defects), environmental laws and property tax; (vi) if prior to completion, the government acquires or gives notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which affects the functionality of the building, the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in Sabana Shari’ah Compliant REIT; and (vii) if there is material damage prior to completion, the Trustee is entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (1) it is unfit for use or occupation, (2) it is rendered unsafe or inaccessible or (3) it cannot lawfully be used, and which in the opinion of the Trustee, adversely affects the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in the Sabana Shari’ah Compliant REIT. Geo-Tele agrees to provide rental income support for a period of five (5) years from the date of completion on the following terms: (a) if the Net Property Income (i.e. net rental income less operating expenses) is less than the guaranteed Net Property Income for any relevant period (i.e. an annual sum of S$3,660,000, pro-rated for any period which is less than 12 months), Geo-Tele shall pay to the Trustee a sum (each a “Top Up Payment” and collectively, the “Top Up Payments”) equal to the difference in respect of that relevant period; (b) GST payable and income tax (if any) payable by the Trustee in respect of the Top Up Payments shall be borne by Geo-Tele; (c) Geo-Tele’s obligations and liabilities in relation to the Top Up Payments, GSTand income tax (if any) payable by the Trustee in respect of the Top Up Payments referred to in (a) and (b) shall not exceed an aggregate maximum of S$6,300,000.00; (d) the amount of S$6,300,000.00 shall be deducted from the purchase price and retained by the Trustee; (e) the Trustee shall be entitled, without reference to Geo-Tele, at any time and from time to time, set off the Top Up Payments, and GST and income tax (if any) payable by the Trustee in respect of the Top Up Payments against the retention sum in the amounts and at such times as the Trustee determines at its absolute discretion; and

192 (f) any unutilised balance in respect of the retention sum after expiry of the 5-year period shall be released to Geo-Tele.

Terms of the JTC Consent Letter

By a letter dated 14 September 2010 from JTC to Geo-Tele, JTC granted in-principle approval for the transfer of the leasehold interest in respect of the Property to the Trustee, as trustee of Sabana Shari’ah Compliant REIT on the terms and conditions of the said letter. Such terms and conditions include, amongst others, the following:

(i) the sale of the Property shall be legally completed within three months from the date of the JTC consent letter;

(ii) the Trustee shall take over the remainder of the lease term held by Geo-Tele from the effective date of legal completion of the sale of the Property;

(iii) the Trustee upon completion of the sale of the Property shall be principally liable to JTC for ensuring the observance and performance of all the terms, covenants and conditions, undertakings and obligations under the JTC lease documents in respect of the Property. If after completion, JTC discovers any breach of any term, covenant or condition under the JTC lease documents, the Trustee shall assume all liabilities and responsibilities to rectify and remedy the said breach;

(iv) as between JTC and the Trustee, JTC will require the Trustee to confirm in writing that the Trustee agrees to the continuation of all sublettings at the Property and that the Trustee accepts to assume all the rights and liabilities under the existing arrangements relating to such sublettings;

(v) the Trustee is prohibited from selling, assigning or transferring the Property during the first three years starting from the completion of the sale of the Property. Thereafter, if the Trustee wishes to sell, assign, transfer, create a trust or part with the possession or occupation of the Property, the Trustee must first make a written offer to JTC at the prevailing market rate. If JTC declines the right of first refusal, the Trustee may, subject to JTC’s prior written consent, sell, assign, transfer, create a trust or part with the possession or occupation of the Property; and

(vi) DHL Supply Chain Singapore Pte. Ltd. (“DHL”) and Savvis Singapore Company Pte. Ltd. (“Savvis”), collectively the “Anchor Subtenants”, shall occupy at least 50% of the gross floor area of the Property (“Anchor GFA”) for a period of three years from the completion of the sale of the Property (“Leaseback Anchor Subletting Condition”) and shall each individually occupy a gross floor area of at least 3,000 square metres. The Trustee may, subject always to the Leaseback Anchor Subletting Condition, be permitted to sublet to other subtenants, provided that after the period of three years from the completion of the sale of the Property, such other subtenants shall include anchor subtenants who shall collectively occupy the whole of the Anchor GFA, or the balance of the Anchor GFA not occupied by the Anchor Subtenants, who shall each occupy a gross floor area of at least 3,000 square metres and meet all JTC’s prevailing anchor subtenant criteria.

200 Pandan Loop

Terms of the State Lease

A State Lease No. 16067 was issued by the President of the Republic of Singapore, as lessor, in favour of L&M Properties Pte Ltd (“L&M Properties’’), as lessee, in respect of 200 Pandan Loop (referred to as the “Property” in this section) for a term of 99 years commencing from 27 January 1984. State Lease No. 16067 was transferred from L&M Properties to Eccott Pte Ltd (“Eccott”).

193 Principal terms of the State Lease No. 16067 include, amongst others, the following: k the lessee must pay all rates, taxes, charges, assessments, outgoings and impositions which may be charged, assessed or imposed on the Property at any time in respect of the term; k the lessee must surrender free to the government such portions of the land which may be required for the purposes of giving effect to the approved plans for the lessee’s development of the Property; k the lessee shall develop the land for the purpose of clean and light industrial development with a plot ratio not exceeding 2.5 only, and in accordance with plans approved or to be approved by the competent authority under the Planning Act; and k the lessee shall not before the said buildings have been completed assign sublet or agree to assign sublet or part with the possession of the land or any part thereof nor shall the lessee assign demise or part with the benefit of the State Lease No. 16067 without the consent of the lessor such consent shall not be unreasonably withheld in the case of sales by the lessee pursuant to the sale of Commercial Properties Act or any assignment by way of mortgage to secure banking facilities to the lessee. The terms of the State Lease No. 16067 will be binding on the purchaser of the leasehold interest in respect of the Property.

Terms of the Sale and Purchase Agreement On 4 November 2010, the Trustee has entered into a sale and purchase agreement with Eccott for the sale by Eccott to the Trustee of the leasehold interest in respect of the Property.The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (iii) the purchase price is S$41,500,000.00; (iv) on completion, the Trustee will enter into a master lease agreement with Eccott for a lease of the Property, principal terms of which are summarised below; (v) completion will occur on the Listing Date which in any event shall be a date no later than 31 December 2010; (vi) completion shall occur concurrently with the completion of the sale and purchase of 151 Lorong Chuan, New Tech Park, Singapore 556741 (the “Other Property”) under the sale and purchase agreement entered into between the Trustee and Branbury Investments Ltd (the “Other SPA”) and neither Eccott nor the Trustee shall be obliged to complete the sale and purchase of the Property and the plant and equipment therein unless the completion of the sale and purchase of the Other SPA also occurs provided that in the event the Other SPA is rescinded on the ground of material damage or compulsory acquisition, the sale and purchase of the Property and the plant and equipment therein shall proceed without reference to the Other SPA; (vii) in the event the Listing Date does not occur by 31 December 2010, the sale and purchase agreement shall ipso facto terminate and upon such termination, half the deposit (together with an amount equal to the goods and services tax in respect of such half of the deposit) shall be forfeited to Eccott and the balance of the deposit refunded to the Trustee; (viii) certain limited representations and warranties are made by Eccott such as representations and warranties relating to compliance with laws, litigation, equipment, title and property matters but are subject to certain limitations, including (1) no claim unless the aggregate claims exceed S$100,000, (2) maximum aggregate liability of Eccott shall not exceed 50% of the purchase price, (3) all claims must be made within

194 six months from completion, and (4) legal proceedings on such claims must commence no later than nine months from completion; (ix) if there is material damage prior to completion, the Trustee is entitled to either (a) rescind the sale and purchase agreement by giving written notice of rescission to Eccott within 30 Business Days of receipt of written notification from Eccott of the occurrence of the material damage, or (b) not to rescind the sale and purchase agreement on the ground of the occurrence of such material damage. Material damage means any physical damage to the Property and/or the plant and equipment or any part thereof such that the damage causes or results or will result in the aggregate gross monthly rental (inclusive of service charge) in respect of tenancy agreements relating to premises located at the Property to fall below 50% of the amount equivalent to the aggregate gross monthly rental (inclusive of service charge) in respect of tenancy agreements relating to premises located at the Property as at the date of the option agreement relating to the purchase of the Property (the “Option Date”). If the Trustee elects to rescind the sale and purchase agreement on ground of the occurrence of material damage, the deposit paid by or on behalf of the Trustee shall be refunded to the Trustee. If the Trustee elects not to rescind the sale and purchase agreement, Eccott must at its own cost and expense repair that damage prior to completion and if that is not possible, as soon as practicable after completion; (x) if prior to completion, the government acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which affects more than 5% of the land area of the Property; (xi) Eccott may enter into any new (or renewal of) tenancy, lease, licence or occupation agreements in respect of the Property or any part of it, after giving prior written notification to the Trustee provided that (i) the term (including any option to renew) will not expire after 30 November 2013, (ii) the proposed usage of the premises does not fall within the list of non-Shari’ah compliant activities, provided that this shall not prevent Eccott from renewing any tenancy, lease, licence or occupation agreement subsisting at the Option Date, if such renewal is on the basis of the same usage as that provided for in such tenancy, lease, licence or occupation agreement, (iii) the proposed new tenancy, lease, licence or occupation agreements are on arms’ length terms and are entered into by Eccott in its ordinary course of business, and (iv) in respect of the proposed new (or renewal) tenancy, no material amendment is made to the reinstatement of premises clause in Eccott’s form of tenancy agreement without the Trustee’s consent (such consent not to be unreasonably withheld or delayed). Where a proposed new (or renewal) of tenancy, lease, licence or occupation agreement does not satisfy the conditions stated in this paragraph, Eccott shall obtain the consent of the Trustee before entering into the proposed new (or renewal) of tenancy, lease, licence or occupation agreement; (xii) if any proposed new (or renewal of) tenancy, lease, licence or occupation agreements in respect of the Property or any part of it has a term (including any legally binding option to renew) which will expire after 30 November 2013, Eccott will obtain the Trustee’s prior written consent (which consent will not be unreasonably withheld or delayed) in respect of (i) the proposed rent, (ii) usage of the premises, and (iii) the duration of the proposed tenancy term (including any legally binding option to renew) if the proposed tenancy term (including any legally binding option to renew) will exceed 5 years, provided that Eccott shall not be required to obtain the Trustee’s consent for the usage of the premises in respect of a proposed renewal of any tenancy, lease, licence or occupation agreement subsisting at the Option Date (other than that provided in the sale and purchase agreement), if such renewal is on the basis of the same usage for such tenancy, lease, licence or occupation agreement;

195 (xiii) upon the Trustee’s consent in respect of the matters set out in paragraph (xii) above, Eccott may enter into such proposed new tenancy, lease, licence or occupation agreements provided that (i) they are on arms’ length terms and are entered into by Eccott in its ordinary course of business, and (ii) in respect of the proposed new (or renewal) tenancy, no material amendment is made to the reinstatement of premises clause in Eccott’s form of tenancy agreement without the Trustee’s consent (such consent not to be unreasonably withheld or delayed); (xiv) the Trustee’s prior written consent will not be required (i) in the case of any renewal of tenancy,lease, licence or occupation agreements in respect of the Property or any part of it, where such renewal is pursuant to a legally binding option to renew contained in the relevant tenancy agreement at the Property and (ii) for any letters of offers issued by Eccott prior to the Option Date in relation to any tenancy, lease, licence or occupation agreement listed in the Sale and Purchase Agreement; (xv) where Eccott has submitted to the Trustee a request for clarification and/or consent (as the case may be) in relation to any matter (including any proposed term, usage or rent) under paragraphs (xi) and (xii), the Trustee will respond within three (3) Business Days failing which the Trustee shall be deemed to have agreed and/or consented to such matter (including any proposed term, usage or rent); (xvi) Eccott must pay or bear all outgoings up to and excluding the date of completion and the Trustee must pay and bear all outgoings on and after the date of completion whether the outgoings are levied or increased before, on or after the actual date of completion; (xvii) Eccott will, on the Trustee’s behalf but at Eccott’s own cost and expense, promptly pay all property tax and all increases thereof from time to time, imposed by IRAS on the Property in respect of the period from (and including) the completion date up to and including the date of expiry or earlier termination of the master lease term, whether such property tax is levied or increased before, on or after the expiry or earlier termination of the master lease term. The Trustee shall be liable for and pay all property tax referable to the period after the date of expiry or earlier termination of the master lease term; (xviii) Eccott and the Trustee agree that certain capital expenditure works, including (i) replacement of diesel tanks, (ii) emergency capex works to maintain essential services, (iii) capex works to be carried out to comply with law, (iv) repainting of the exterior of the building at the Property if required by the relevant government authority will be undertaken in respect of the Property; (xix) in respect of the replacement of diesel tanks, the principals terms, amongst others, are as follows: (a) the relevant contract for the carrying out, installation and completion of such capex works will be entered into by Eccott with the contractor or supplier (as applicable) and Eccott will make full payment of all amounts payable to such contractor or supplier (as applicable) in accordance with the terms of such contract; (b) Eccott and the Trustee shall each bear S$225,000.00; (c) Eccott shall furnish the Trustee with documentary evidence reasonably satisfactory to the Trustee to confirm the completion of the relevant capex works. On completion of such capex works, ownership of the relevant capex works shall vest in the Trustee; and (d) after completion of the relevant capex works, the Trustee will pay to Eccott the agreed portion of the total costs of the relevant capex works payable to the relevant contractor or supplier, (excluding the goods and services tax charged by such contractor or supplier), without any additional mark-ups or costs of financing (aa) by equal monthly instalments over the remaining unexpired residue of the

196 master lease term payable on the same date as the due date for the monthly rent, (bb) with goods and services tax payable thereon, (cc) if the relevant capex works are completed by completion date the first instalment will commence from the completion date, and if the relevant capex works are completed after the completion date the first instalment will commence from the month immediately following the date of completion of the capex works and (dd) if the master lease agreement is terminated prior to the expiry of the master lease term, the instalment payment arrangement will cease and the unpaid balance of the relevant capex works costs will become immediately payable by the Trustee to Eccott on such earlier termination of the master lease term;

(xx) in respect of the other capex works (such as emergency capex works to maintain essential services, capex works to be carried out to comply with law and repainting of the exterior of the building at the Property if required by the relevant government authority):

(a) the Trustee and Eccott will in good faith discuss and mutually agree on the scope of works and costs in respect of such capex works and in this regard, the Trustee and Eccott will not unreasonably withheld or delay their consent or agreement to the carrying out of such capex works;

(b) Eccott and the Trustee shall each bear the costs of such capex works in the following proportions (aa) Eccott 50% and the Trustee 50% (where the capex works commence in the first year of the master lease term, (bb) Eccott 30% and the Trustee 70% (where the capex works commence in the second year of the master lease term), and (cc) Eccott 20% and the Trustee 80% (where the capex works commence in the third year of the master lease term); and

(c) when the Trustee and Eccott have finalised and agreed the actual total costs for any further capex works to be carried out, the provisions in paragraphs (xix) (a) to (d) shall apply mutatis mutandis to such actual total costs;

(xxi) at the expiry or earlier termination of the master lease term, Eccott shall furnish to the Trustee:

(a) original builders’ and suppliers’ guarantees, undertakings and warranties furnished by the relevant contractor or supplier (as applicable) relating to the capex works carried out; and

(b) a deed of assignment of such capex works guarantees (to the extent that they have not expired) executed by Eccott in favour of the Trustee.

Terms of the Master Lease Agreement

On completion of the sale of the Property, the Trustee will enter into a master lease agreement with Eccott (as master lessee) for a lease of the Property together with the plant and equipment on the Property.The terms of the master lease agreement include, amongst others, the following:

(i) the term of the master lease is for a period of 3 years from the date of completion;

(ii) rent is payable by the master lessee on a monthly basis in advance, the annual rent payable by the master lessee is as follows:

(a) S$3,200,000.00 for the first year of the lease term;

(b) S$3,200,000.00 for the second year of the lease term; and

197 (iii) the master lessee is required to provide to the Trustee a security deposit in amounts set out below: (a) S$1,600,000.00 for the first year of the lease term; (b) S$1,200,000.00 for the second year of the lease term; and (c) S$800,000.00 for the third year of the lease term, as security for compliance by the master lessee of all the provisions in the master lease agreement and as security for the Trustee in respect of any loss or damage resulting from any default by the master lessee under the master lease agreement; (iv) the master lessee shall take out and keep in force insurance policies (specifically plate glass insurance on a first loss basis, machinery breakdown insurance, consequential loss insurance on rent and car park receipts receivable by the master lessee and a public liability insurance policy) and the Trustee shall take out and keep in force a fire insurance policy in respect of the Property; (v) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the plant and equipment therein; (vi) save as agreed in relation to the provisions relating to capex works in the sale and purchase agreement for the Property, the master lessee shall not be responsible for or be required to carry out any structural works or incur any capital expenditure; (vii) at the end of the master lease term, in respect of units which are vacant and the units where the subtenancies have expired or terminated, the master lessee is required to reinstate the premises to the original state and condition of the Property (save for fair wear and tear) and vacate the Property; (viii) the master lessee is not entitled to assign the master lease agreement, but the master lessee may enter into any new (or renewal of) tenancy, lease, licence or occupation agreements in respect of the Property or any part of it, after giving prior written notification to the Trustee provided that (i) the term (including any option to renew) will not expire after the end of the master lease term, (ii) the proposed usage of the premises does not fall within the list of non-Shari’ah compliant activities, provided that this shall not prevent the master lessee from renewing any tenancy, lease, licence or occupation agreement subsisting at the Option Date, if such renewal is on the basis of the same usage for such tenancy, lease, licence or occupation agreement, (iii) the proposed new tenancy, lease, licence or occupation agreements are on arms’ length terms and are entered into by the master lessee in its ordinary course of business, and (iv) in respect of the proposed new (or renewal of) tenancy, no material amendment is made to the reinstatement of premises clause in master lessee’s form of tenancy agreement without the Trustee’s consent (such consent not to be unreasonably withheld or delayed). Where a proposed new (or renewal) of tenancy,lease, licence or occupation agreement does not satisfy the conditions stated in this paragraph, the master lessee shall obtain the consent of the Trustee before entering into the proposed new (or renewal) of tenancy, lease, licence or occupation agreement; (ix) if any proposed new (or renewal of) tenancy, lease, licence or occupation agreements in respect of the Property or any part of it has a term (including any legally binding option to renew) which will expire after the master lease term, the master lessee will obtain the Trustee’s prior written consent (which consent will not be unreasonably withheld or delayed) in respect of (i) the proposed rent, (ii) usage of the premises, and (iii) the duration of the proposed tenancy term (including any legally binding option to renew), provided that the master lessee shall not be required to obtain the Trustee’s consent for the usage of the premises in respect of a proposed renewal of any tenancy,lease, licence or occupation agreement subsisting as at the Option Date (other than that provided in the

198 master lease agreement), if such renewal is on the basis of the same usage for such tenancy, lease, licence or occupation agreement;

(x) upon the Trustee’s consent in respect of the matters set out in paragraphs (viii) and (ix) above, the master lessee, together with the Trustee, may enter into a tri-partite tenancy agreement in which the master lessee will lease the portion of the term which falls within the master lease term and the Trustee will lease the portion of the term which is after the expiry of the master lease term, provided that such tri-partite tenancy agreement (i) is based on the master lessee’s standard form tenancy agreement which is generally used by the master lessee for the Property (ii) contain arms’ length terms and are entered into by the master lessee in its ordinary course of business (iii) no material amendment is made to the reinstatement of premises clause in the master lessee’s form of tenancy agreement without the Trustee’s consent (such consent not to be unreasonably withheld or delayed) and (iv) the master lessee and the Trustee shall share the leasing commission in respect of such proposed tri-partite tenancy on a proportionate basis based on their respective tenancy duration and if the Trustee does not pay its share of the commission owing to the master lessee within 14 days of written demand by the master lessee, the Trustee shall pay to the master lessee Ta’widh (compensation) on such overdue amount (which shall not be compounded) at the rate per annum equivalent to 10% per annum (both before and after judgment) from the due date until the overdue amount is paid to the master lessee;

(xi) the Trustee’s prior written consent will not be required in the case of any renewal of tenancy,lease, licence or occupation agreements in respect of the Property or any part of it, where such renewal is pursuant to a legally binding option to renew contained in the relevant tenancy, lease, licence or occupation agreement at the Property;

(xii) where the master lessee has submitted to the Trustee a request for clarification and/or consent (as the case may be) in relation to any matter (including any proposed term, usage or rent) under paragraphs (viii) and (ix), the Trustee will respond within three (3) Business Days failing which the Trustee will be deemed to have agreed and/or consented to such matter (including any proposed term, usage or rent);

(xiii) as landlord, the Trustee will be responsible for structural repairs of the building erected on the Property, necessary replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein, where they are required to be repaired or replaced to comply with law or the requirements of the head lessor or relevant governmental agencies (except where such repairs or replacements are required by law, the head lessor or the relevant governmental agencies solely because of the specific use or operation of or the business carried on at the Property by the subtenants in which case such repairs and replacements shall be the responsibility of the master lessee), provided that (a) the Trustee shall not be required to carry out any repair and/or replacement if such repair or replacement is necessitated by any act, omission or negligence of or the failure by the master lessee to comply with the master lessee’s repair and maintenance obligations under the master lease agreement and (b) the Trustee’s obligations shall not extend to any item or part of the Property where the maintenance, repair, replacement and overhaul thereof shall be at the sole cost and expense of the master lessee under the master lease agreement;

(xiv) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee;

(xv) if 30% or more of the land area of the Property is acquired by any relevant authority or a notice, order or gazette notification is issued in respect of the intended or actual

199 acquisition of 30% or more of the land area of the Property by any relevant authority, the master lessee may terminate the master lease agreement; (xvi) if less than 30% of the land area of the Property is acquired by any relevant authority or a notice, order or gazette notification is issued in respect of the intended or actual acquisition of less than 30% of the land area of the Property by any relevant authority, the rent payable by the master lessee shall be reduced by a fair and just proportion, such reduction to be agreed between the parties in good faith within 30 days of the notice of acquisition; (xvii) in the event the Trustee sells the Property to any purchaser, the Trustee shall give written notice to the master lessee of such sale of the Property at least 90 days prior to the completion of the sale. The master lessee may terminate the master lease agreement by giving not less than 30 days’ written notice to the Trustee provided that such termination notice must be served on the Trustee within 30 days after the master lessee’s receipt of the written notice by the Trustee of such sale of the Property. Where the Trustee sells the Property and has given the master lessee the notice referred to in this paragraph and the master lessee fails to exercise to right to terminate the master lease agreement, the Trustee shall (a) assign or transfer or charge all of its rights and benefits under the master lease agreement to the purchaser and (b) give notice of any assignment or transfer of the Property to the master lessee on the date of completion of the sale to the purchaser, which assignment or transfer shall be subject to the master lease agreement; (xviii) if the Property is destroyed or damaged such that the Property is rendered unfit for occupation or use and/or inaccessible, the master lessee will not be liable to pay rent for such period that the Property is unfit for occupation or use and/or inaccessible. However if the Property is destroyed or damaged such that only part of the Property is rendered unfit for occupation or use and/or inaccessible, a fair and just proportion of the rent according to the nature and extent of the destruction and damage sustained shall from the date of such destruction and damage cease to be payable until the Property or such part is reinstated so as to be fit for occupation and use, and accessible; (xix) if the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds six months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (xx) on the expiry or earlier termination of the master lease term (“Handover Date”), the master lessee shall execute in favour of the Trustee and the Trustee shall accept an assignment, with effect from Handover Date, of all the master lessee’s rights, benefits and covenants under the subtenancies, sublettings and licences subsisting as at the Handover Date (“Subtenancies”). The master lessee is entitled to require the Trustee to enter into a novation agreement with the master lessee and each relevant subtenant in respect of any Subtenancy which is subsisting as at the Handover Date. The master lessee shall also transfer to the Trustee all its rights, title and interest in and to and the full benefit of all the cash deposits paid to and received by the master lessee under the Subtenancies and all the bank/insurance company guarantees (if any) held by the master relating to the security deposits held under the Subtenancies which are subsisting as at the Handover Date; (xxi) on the Handover Date, the Trustee is entitled to require the master lessee to assign to the Trustee all the master lessee’s rights and benefits under subsisting and assignable service contracts which the Trustee wishes to take over at the end of the master lease term. The master lessee is entitled to require the Trustee to enter into a novation

200 agreement with the master lessee and each relevant contractor in respect of any such service contract; (xxii) the Trustee shall be responsible for all costs and expenses incurred in respect of transfers of the relevant licences, permits or certificates as are required under law to be issued for the operation of the building and relevant plant and equipment therein to be transferred to the Trustee on the Handover Date; (xxiii) the Trustee shall, from the Handover Date, use reasonable endeavours to assist the master lessee to collect any arrears of lease revenue from any subtenant under the relevant subtenancy in respect of premises at the Property for the period prior to the end of the master lease term and which is received by the Trustee from, or paid on behalf of, the relevant subtenant to the Trustee on or after the Handover Date; (xxiv) the master lessee shall be entitled to all lease revenue (including rent, licence fee if any, service charge payable by the subtenants under the Subtenancies) at the Property in respect of the period up to and excluding the Handover Date and the Trustee is entitled to the lease revenue (including rent, licence fee if any, service charge payable by the subtenants under the Subtenancies) the Property in respect of the period on and after the Handover Date; (xxv) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and save for that provided in the sale and purchase agreement and which is subsisting as at the Option Date and save as provided above, the master lessee shall not permit any subtenants to use their respective demised premises on the Property for non-Shari’ah compliant activities; and (xxvi) the master lessee acknowledges that all subtenancies, sublettings and licences in respect of the Property existing as at commencement date of the term shall operate as subleases as between the master lessee (as landlord) and each such subtenant (as lessee) on the terms of the relevant subtenancies, sublettings and licences in respect of the Property.

15 Jalan Kilang Barat Terms of the State Lease A State Lease No. 9565 was issued by the President of the Republic of Singapore, as lessor, in respect of 15 Jalan Kilang Barat (referred to as the “Property” in this section) for a term of 99 years commencing from 1 January 1962. Principal terms of the State Lease No. 9565 include, inter alia, the following: k the lessee shall not demise or assign the land in whole or in part without the lessor’s prior written consent (which approval shall not be unreasonably withheld), such prohibition however shall not apply to an assignment to a mortgagee in security of his loan, and shall not affect or in any way diminish the rights and power of such mortgagee to enter into possession of and sell the said land and buildings on default by the lessee in accordance with the provisions of the mortgage deed and the Conveyancing and Law of Property Ordinance; and k the lessor is entitled to exercise the right of re-entry if the lessee fails to perform or observe any of the terms and conditions of the State Lease No. 9565, and upon re-entry, the term of the affected State Lease No. 9565 will cease but without prejudice to any right of action or remedy that the lessor may have. The land must be used as light industrial premises or otherwise in accordance with approval obtained from the lessor and the competent planning authority. The terms of the State Lease No. 9565 will be binding on the purchaser of the leasehold interest in respect of the Property.

201 Terms of the Sale and Purchase Agreement On 4 November 2010, the Trustee, as trustee of Sabana Shari’ah Compliant REITentered into a sale and purchase agreement with Ho Bee Developments Pte Ltd (“Ho Bee”) for the sale by Ho Bee to the Trustee of the leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, inter alia, the following: (i) the sale includes the plant and equipment located in the Property; (ii) the purchase price is S$34,500,000.00; (iii) the Property is sold subject to there being no acquisition nor notice of intended acquisition of the Property or any material part of it by the government or other competent authority. Material part of the Property means the compulsory acquisition of the Property or any part of the Property affecting 5% (or more) of the land area of the Property; (iv) on completion of the sale of the Property, the Trustee will enter into a master lease agreement with Ho Bee for a lease of the Property, principal terms of which are summarised below; (v) completion is subject to and conditional upon (a) the financing facilities to the Sabana Shari’ah Compliant REIT being available for drawdown on completion date and (b) the listing of the units in the Sabana Shari’ah Compliant REITand commencement of trading of such units on SGX-ST; (vi) certain limited representations and warranties are made by Ho Bee such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters (such as structural defects), environmental laws and property tax, however the Trustee’s rights to claim against Ho Bee for any breach of these representations and warranties are subject to certain limitations including: (a) no liability shall arise in respect of any claim against Ho Bee for breach of the representations and warranties unless the amount of that claim (together with the aggregate amount of any previous claims) shall exceed a total sum of $30,000; (b) the maximum aggregate liability of Ho Bee in respect of all claims shall not exceed 50% of the purchase price of the Property; (c) no claim under the representations and warranties shall be made against Ho Bee unless notice of such claim is made in writing (specifying in reasonable detail the nature of the breach and the amount claimed in respect thereof) and given to Ho Bee on or prior to the date falling 6 months after completion of the sale of the Property; and (d) no proceedings shall be commenced by or on behalf of the Trustee in relation to any alleged breach of the representations and warranties unless proceedings are commenced no later than three months after expiry of the period referred to in (c) above, and for this purpose proceedings shall not be deemed to have commenced unless they have been issued and served on Ho Bee; and (vii) if there is material damage after the date of the sale and purchase agreement but prior to completion, the Trustee and Ho Bee are each entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (a) the Property is unfit for use or occupation, (b) the Property is rendered unsafe or inaccessible, (c) the Property cannot lawfully be used, or (d) the estimated costs for the repair of such damage based on the estimated amounts provided by the building consultant (whilst acting reasonably and in good faith) exceed 10% of the purchase price of the Property, and which in the opinion of the Trustee, adversely affects the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in the Sabana Shari’ah Compliant REIT.

202 Terms of the Master Lease Agreement On completion of the sale of the Property, the Trustee will enter into a master lease agreement with Ho Bee (as master lessee) for a lease of the Property together with the plant and equipment on the Property. The terms of the master lease agreement include, inter alia, the following: (i) the term of the master lease is for a period of 5 years from the date of completion; (ii) rent is payable by the master lessee on a monthly basis in advance, the annual rent payable by the master lessee is as follows; (a) S$2,550,000.00 for the first year of the lease term; (b) S$2,588,250.00 for the second year of the lease term; (c) S$2,627,074.00 for the third year of the lease term; (d) S$2,666,480.00 for the fourth year of the lease term; and (e) S$2,706,477.00 for the fifth year of the lease term; (iii) the master lessee is required to provide to the Trustee a security deposit equivalent to 12 months of the monthly rent for the Property, as security for compliance by the master lessee of all the provisions in the master lease agreement and to secure or indemnify the Trustee against any loss or damage resulting from any default by the master lessee and any claim by the Trustee against the master lessee; (iv) the master lessee is appointed and authorised by the Trustee (as landlord) to act as agent for the Trustee to pay, as variable rent at such times and in the manner specified by the Trustee, the following amounts: (a) in respect of the Property, rates and taxes (other than the Trustee’s income tax and any other corporate taxes payable by the Trustee), including all charges, assessments, duties and fees levied during the lease term; (b) all premiums payable in respect of the industrial special risks policy and the comprehensive public liability insurance policy; and (c) property tax (including all increases from time to time) imposed by the IRAS on the Property in respect of any period during the lease term; (v) as landlord, the Trustee will be responsible for structural repairs of the building erected on the Property, necessary replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein; (vi) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition (fair wear and tear excepted), and repairing and maintaining the plant and equipment therein; (vii) the master lessee shall take out and keep in force insurance policies (specifically an industrial special risks policy and a comprehensive public liability insurance policy) with a reputable insurance company or companies in Singapore, on terms and conditions to be approved by the Trustee and in the joint names of the master lessee and the Trustee; (viii) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee; (ix) if the Property is destroyed or damaged such that the Property cannot be used or is rendered inaccessible, the master lessee will not be liable to pay rent for such period. If the destroyed or damaged Property is partly usable, the master lessee’s liability to pay rent will be reduced in proportion to the reduction in their usability;

203 (x) if the building erected on the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds four months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (xi) the master lessee is not entitled to assign the master lease agreement, however the master lessee may sub-let any part of the Property subject to (a) the prior written consent of the Trustee (such consent not to be unreasonably withheld or delayed provided that the Trustee may in its sole and absolute discretion withhold any approval for any sub-letting, licence or occupation arrangement which is not Shari’ah compliant) (except where sub-paragraphs (xii) to (xiii) below are applicable, in which case, the relevant provisions thereunder shall apply), (b) the master lessee’s compliance with all terms of the master lease agreement and (c) the prior written approval of head lessor and the relevant government agencies; (xii) if any proposed new (or renewal of) tenancy, lease, licence or occupation agreements in respect of the Property or any part of it has a term (including any legally binding option to renew) which will expire after the term of the master lease, the master lessee shall obtain the Trustee’s prior written consent in respect of the following matters (such consent not to be unreasonably withheld): (a) the terms of the tenancy agreement including without limitation the proposed rent and usage of the premises; and (b) the duration of the proposed tenancy term (including any legally binding option to renew) if the proposed tenancy term (including any legally binding option to renew) will expire after the term of the master lease, and if the Trustee agrees to enter into a tenancy agreement with the relevant tenant in respect of the period of such term that expires after the term of the master lease agreement, the master lessee and the Trustee shall use reasonable endeavours to agree and finalise the form of the tenancy agreement (which shall be in a Shari’ah compliant form) to be entered into with the relevant tenant; (xiii) if any proposed renewal of any existing sub-tenancy agreement to which the master lessee is a party to as at the date of this Lease has a term (including any legally binding option to renew) which will expire before the term of the master lease, the master lessee will not be required to seek the Trustee’s consent (but shall be required to give notice to the Trustee of such renewal tenancy agreement and provide copies thereof) provided that such renewal is in the ordinary course of business of the master lessee and there is no change in the use of the relevant premises with respect to the renewal tenancy agreement; (xiv) with regard to the lease agreement entered into between the master lessee and Polar Instruments (Asia Pacific) Pte Ltd (“Polar”) in respect of Unit #04-02 (“Polar Lease”), the master lessee and the Trustee acknowledge that the renewal term (if exercised by Polar) will exceed the master lease term. If Polar exercises its right to renew the Polar Lease, the Trustee will enter into a tenancy agreement with Polar in respect of the period of the renewal term that expires after the master lease term provided that the renewal rent is at prevailing market rent at the time of the exercise of the option under the Polar Lease, the renewal lease is based on the original terms of the Polar Lease (save for permitted modifications under the Polar Lease), there is no change in the use of the premises with respect to the renewal lease and provided further that the master lessee shall have regard to the requirements of the Trustee that the form of such tenancy agreement to be entered into by the Trustee shall be in a form approved by the Trustee’s Shari’ah advisors

204 and the master lessee shall use best efforts to obtain Polar’s agreement to such form of tenancy agreement as approved by the Trustee’s Shari’ah advisors; (xv) the Trustee is not liable to the master lessee and the master lessee must not claim against the Trustee for any death, injury, loss or damage (including indirect, consequential and special losses) which the master lessee may suffer in respect of the Property, however such limitation of liability may not apply to the Trustee if any such death, injury, loss or damage in the Property is caused by the Trustee, its agents, contractors or employees; (xvi) the rights of the Trustee to claim and seek indemnification from the master lessee are expressly excluded in the master lease agreement in respect of any gross negligence or willful default by the Trustee, its employees, agents and independent contractors; (xvii) at the end of the lease, the master lessee is required to reinstate the premises to tenantable condition that is to the reasonable satisfaction of the Trustee and vacate the Property; (xviii) in the event the master lessee is in default under the master lease agreement, the Trustee is entitled to require the master lessee to assign to the Trustee, all rights and remedies (limited to rent (excluding service charges)) of the master lessee under and/or arising from any of the sub-tenancies selected by the Trustee which shall be applied by the Trustee towards any rent payable and accrued to the Trustee or any losses or damages arising from such default; (xix) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee; and (xx) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall ensure that all subtenants are engaged in Shari’ah compliant businesses and activities, and the master lessee shall only grant subtenancies where the uses thereunder are Shari’ah compliant businesses and activities.

Terms of Consent Letter The Commissioner of Lands of Singapore, as the head lessor has granted consent for the sale of the Property and has further confirmed that no consent from the State is required for the master lease arrangements to be entered into on completion of the sale of the Property.

33 & 35 Penjuru Lane Terms of the State Lease The following State Leases were issued by the President of the Republic of Singapore, as lessor, in favour of JTC, as lessee, in respect of 33 & 35 Penjuru Lane (referred to in this section as the “Property”) for a term of 99 years commencing from 1 January 1970: (i) State Lease No. 18595 dated 1 November 1990 (varied by a Supplemental Lease dated 24 March 2008); (ii) State Lease No. 24709 dated 1 August 2002 (varied by a Supplemental Lease dated 24 March 2008); and (iii) State Lease No. 24711 dated 1 August 2002 (varied by a Supplemental Lease dated 24 March 2008).

205 Principal terms of the above State Leases (each varied by a Supplemental Lease dated 24 March 2008) include, amongst others, the following: k JTC must surrender: (i) free to the government such portions of the land as may be required in future for roads, drainage, etc; and (ii) if directed by the government, to the government such portions of the acquired land which are not required for the purpose specified in the respective State Lease Nos. 18595, 24709 and 24711 (i.e. for industrial development) at rates equivalent to the compensation payable if such land had been acquired under the Land Acquisition Act; k the Lessor is entitled to exercise the right of re-entry if JTC fails to perform or observe any of the terms and conditions of the respective State Lease Nos. 18595, 24709 and 24711 (varied by a Supplemental Lease dated 24 March 2008), and upon re-entry, the term of the affected State Lease will cease but without prejudice to any right of action or remedy that the Lessor may have; and k the land must be used for industrial development only. There are restrictions in the State Leases on JTC’s right to sublease the Property. However, JTC has confirmed in writing that the State has granted JTC consent to sublet, underlet or licence to any person the land in the State Leases relating to the Property. The terms of the State Leases (each varied by a Supplemental Lease dated 24 March 2008) will be binding on the purchaser of the leasehold interest in respect of the Property.

Terms of the Building Agreement/Letter of Offer JTC in turn: (a) entered into a building agreement dated 8 April 1988 (“First Building Agreement”) with Sing Kwang Hang Shipping & Transportation (Private) Limited (“Sing Kwang”) whereby JTC agreed to grant to Sing Kwang a licence term for 2 years from 16 February 1988 in respect of part of the Property, and subject to certain conditions being fulfilled, a lease for 30 years commencing from 16 February 1988 for part of the Property; (b) entered into a building agreement dated 19 June 1990 (“Second Building Agreement’) with Sing Kwang whereby JTC agreed to grant to Sing Kwang a licence term for 24 months from 16 February 1988 in respect of part of the Property, and subject to certain conditions being fulfilled, a lease for 30 years commencing from 16 February 1988 for part of the Property (the First Building Agreement and the Second Building Agreement collectively the “33/35 Penjuru Lane Building Agreement”); and (c) issued a letter of offer dated 18 January 1994 to Thong Soon Distripark Pte Ltd whereby JTC agreed to grant to Thong Soon Distripark Pte Ltd a licence term for 24 months from 16 February 1994 in respect of part of the Property, and subject to certain conditions being fulfilled, a lease for 30 years commencing from 16 February 1988 for part of the Property. Principal terms of the First Building Agreement include, amongst others, the following: k provisions for the payment of annual rent by the lessee to JTC in advance by quarterly instalments. The annual rent is subject to revision on the 16th day of February every year at the rate based on the market rent on the respective dates but so that the increase shall not exceed 7.6% of the yearly rent for each immediately preceding year. The market rent is defined to mean the rent per square metre per annum of the demised premises

206 excluding the buildings and other structures erected thereon, as determined by JTC whose decision is final; k a provision against the lessee demising, assigning, charging creating a trust or agency, mortgaging, letting, subletting, granting a licence or parting with or sharing the possession or occupation of the Property without JTC’s prior written consent; and k restriction on use for container transportation, warehousing, container storage and repair only. At least 60% of the total floor area of the demised premises must be used for purely warehousing activities, and the remaining floor area for ancillary production area and offices, neutral areas and communal facilities but the said ancillary offices must not exceed 10% of the total floor area and the lessee must not use and occupy the demised premises for the purpose of commercial office and storage unrelated to the lessee’s approved warehouse activity. Principal terms of the Second Building Agreement include, amongst others, the following: k provisions for amalgamation of parts of the Property comprised in and referred to in the Second Building Agreement; k gross plot ratio in the planning, erection, construction and completion of the buildings for the amalgamated plots must not be less than 0.4; k the warehouse building must be at least 2 storeys high; k provisions for the payment of annual rent by the lessee to JTC in advance by quarterly instalments. The annual rent is subject to revision on the 1st day of November every year at the rate based on the market rent on the respective dates but so that the increase shall not exceed 7.6% of the yearly rent for each immediately preceding year. The market rent is defined to mean the rent per square metre per annum of the demised premises excluding the buildings and other structures erected thereon, as determined by JTC whose decision is final; k a provision against the lessee demising, assigning, charging creating a trust or agency, mortgaging, letting, subletting, granting a licence or parting with or sharing the possession or occupation of the Property without JTC’s prior written consent except where mortgaged or charged to a licensed bank or finance company; and k restriction on use for container transportation, warehousing, container storage and repair only. At least 60% of the total floor area of the demised premises must be used for purely warehousing activities, and the remaining floor area for ancillary production area and offices, neutral areas and communal facilities but the said ancillary offices must not exceed 10% of the total floor area and the lessee must not use and occupy the demised premises for the purpose of commercial office and storage unrelated to the lessee’s approved warehouse activity. By a letter dated 9 December 2008 from JTC to Freight Links Express Logisticpark Pte Ltd (“Freight Links Express Logisticpark”), previously known as Sing Kwang Hang Shipping & Transportation (Private) Limited and Thong Soon Distripark Pte Ltd, JTC confirmed that Freight Links Express Logisticpark has qualified for a 31 year lease with effect from 16 February 2018.

Terms of the Sale and Purchase Agreement On 4 November 2010, the Trustee, as trustee of Sabana Shari’ah Compliant REIT, has entered into a sale and purchase agreement with Freight Links Express Logisticpark for the sale by Freight Links Express Logisticpark to the Trustee of the leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (ii) the purchase price is S$78,900,000.00;

207 (iii) on completion, the Trustee will enter into a master lease agreement with Freight Links Express Logisticpark for a lease of the Property, principal terms of which are summarised below; (iv) completion is subject to and conditional upon the listing of the units in the Sabana Shari’ah Compliant REIT and commencement of trading of such units on SGX-ST; (v) completion must not be earlier than two weeks after the date of exercise of the relevant call option or put option and must not be later than 31 December 2010; (vi) certain limited representations and warranties are made by Freight Links Express Logisticpark such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters, environmental laws and property tax; (vii) if there is material damage prior to completion, the Trustee is entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (1) it is unfit for use or occupation, (2) it is rendered unsafe or inaccessible or (3) it cannot lawfully be used and which in the opinion of the Trustee, adversely affects the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in the Sabana Shari’ah Compliant REIT; (viii) completion of the Property is conditional upon the concurrent completion of the sale and purchase of each of the Third Party Properties (defined as all the other properties which are to be purchased at the time of the listing of Sabana Shari’ah Compliant REIT) and Freight Links Properties being (i) 51 Penjuru Road, Singapore 609143, (ii) 18 Gul Drive, Singapore 629468, (iii) 30 Tuas Avenue 8, Singapore 639246 and 32 Tuas Avenue 8, Singapore 639247 and (iv) 218 Pandan Loop, Singapore 128408. In the event that a seller or purchaser of any of the Third Party Properties or the Freight Links Properties exercises a right of termination, the sale and purchase agreement of the Property will also terminate; and (ix) if at any time, the government or other competent authority acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which results in a reduction of ten per cent (10%) or more of the fair market value of the leasehold Property, as determined by computing the average of the valuations conducted by two valuers.

Terms of the Master Lease Agreement On completion of the sale of the Property, the Trustee will enter into a master lease agreement with Freight Links Express Logisticpark (as master lessee) for a lease of the Property together with the plant and equipment at the Property. The terms of the master lease agreement include, amongst others, the following: (i) the term of the master lease is for a period of 5 years from the date of completion; (ii) rent is payable by the master lessee on a monthly basis in advance, the annual rent payable by the master lessee is as follows; (a) S$6,150,000.00 for the first year of the lease term; (b) S$6,242,250.00 for the second year of the lease term; (c) S$6,335,884.00 for the third year of the lease term; (d) S$6,430,922.00 for the fourth year of the lease term; and (e) S$6,527,386.00 for the fifth year of the lease term.

208 (iii) the master lessee is required to provide to the Trustee a security deposit of S$4,752,966.00, an amount equivalent to 9 months total average rent for the Property, as security for compliance by the master lessee of all the provisions in the master lease agreement and to secure or indemnify the Trustee against any loss or damage resulting from any default by the master lessee and any claim by the Trustee against the master lessee; (iv) the master lessee is appointed and authorised by the Trustee (as landlord) to act as agent for the Trustee to pay, as variable rent at such times and in the manner specified by the Trustee, the following amounts: (a) in respect of the Property, land rent, rates and taxes (other than the Trustee’s income tax and any other corporate taxes payable by the Trustee), including all charges, assessments, duties and fees levied during the lease term; (b) all premiums payable in respect of the industrial special risks policy and the comprehensive public liability insurance policy; and (c) property tax (including all increases from time to time) imposed by the IRAS on the Property in respect of any period during the lease term; (v) as landlord, the Trustee will be responsible for the maintenance and repair of all structural parts of the building erected on the Property, including the roof, necessary repairs and replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein; (vi) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the plant and equipment therein; (vii) the master lessee shall take out and keep in force insurance policies (specifically an industrial special risks policy and a comprehensive public liability insurance policy) with an Islamic (Takaful) insurance company or companies in Singapore recommended by the Trustee and where the cost and expense of taking out the following insurance policies with an Islamic (Takaful) insurance company is in the reasonable opinion of the master lessee too high, the master lessee shall take out such insurance policies with such reputable insurance companies as the Trustee and the master lessee may mutually agree, on terms and conditions to be approved by the Trustee (acting reasonably) and in the joint names of the master lessee and the Trustee; (viii) if the Property is destroyed or damaged such that the Property cannot be used or is rendered inaccessible for the period of one month or more, the master lessee will not be liable to pay rent for such period. However if the destroyed or damaged Property is only partly usable for the period of one month or more, the master lessee’s liability to pay rent will be reduced in proportion to the reduction in their usability; (ix) if the building erected on the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds six months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (x) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee;

209 (xi) in the event the Property is acquired by the government authority and the master lease is terminated, where such amount of compensation which is attributable to the acquisition of the Property by any relevant authority has been apportioned to the master lessee but received by the Trustee for and on behalf of the master lessee (whether before or after the termination of the master lease), the Trustee shall transfer such amount of compensation to the master lessee; (xii) subject to JTC’s consent, the master lessee can assign the master lease agreement to Freight Links or any subsidiary or related company of Freight Links without the prior written consent of the Trustee. The master lessee can sublet any part of the Property without the prior approval of the Trustee if (i) the rent payable under the relevant subtenancy is at the prevailing market rent, (ii) the relevant subtenant’s businesses, activities and use of the premises is Sharia’ah compliant, (iii) the term (including any option to renew) under the relevant subtenancy will not expire after the end of the master lease term or further term (if applicable) (iv) the master lessee has obtained the prior written approval of JTC and any other competent authorities. Where the proposed subletting does not satisfy the above, the master lessee shall obtain the prior written consent of the Trustee (which consent shall not be unreasonably withheld, refused or delayed) for such subletting; (xiii) at the end of the lease, the master lessee is not required to reinstate the premises to the original state and condition if the master lease is terminated (i) pursuant to a government acquisition, (ii) as a result of a termination of the head lease term by JTC or (iii) the Trustee terminates the master lease if the building is damaged or destroyed such that repair is impracticable or undesirable, unless otherwise required by JTC or other relevant authorities. If reinstatement is required by JTC or other relevant authorities, so long as such termination of the master lease and/or damage of the building is not caused by the gross negligence or wilful default of the Trustee, its employees, servants, agents, contractors, invitees, visitors or licensees, the master lessee is required to reinstate the premises to the original state and condition of the Property (except for fair wear and tear) and vacate the Property; (xiv) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall not consent to or permit any of its subtenants using the Property or any part of the Property for non- Shari’ah compliant businesses and activities. For all existing subtenancies existing as at the date of the master lease, renewals of such existing subtenancies and fresh subtenancies entered into during the master lease term, so long as each of such existing subtenant or new subtenant continues to use the Property or any part of the Property for such Shari’ah approved use for the duration of the relevant subtenancy term(s) or relevant renewal subtenancy term(s), such existing subtenant or new subtenant shall be deemed at all times to be and is treated as using the Property or any part of the Property for a Shari’ah approved use; (xv) the master lessee may retain the existing name of the Property or the building at the Property or change the name of the Property or the building at the Property subject to the prior approval in writing of the Trustee (such approval not to be unreasonably refused, withheld or delayed). There shall be no additional payment to the Trustee by the master lessee for such naming rights; (xvi) the Trustee shall not, without the master lessee’s prior written consent (which consent shall not be unreasonably refused, withheld or delayed) use the words in the name of the building at the Property or any similar name for any purpose whatsoever other than as the address of the Property; (xvii) the Trustee undertakes on the expiry of the master lease term to rename the Property without using the words “Freight Links”;

210 (xviii) the master lessee is granted an option to renew the whole or part of the Property (such part of the Property to be mutually agreed by the Trustee and the master lessee) for such further term as shall be determined by the master lessee provided that such further term shall not exceed 5 years, and where such further term shall exceed 5 years, such further term shall be mutually agreed by both the Trustee and the master lessee. The further term shall be at the prevailing market rent as at the commencement of the further term and on substantially the same terms as the master lease agreement save for (i) the revised rent and (ii) such additional terms and conditions as may be required by law and as the Trustee and the master lessee may mutually agree;

(xix) in the event that the Trustee intends to sell the whole or any part of the Property (including the plant and equipment, if applicable), subject to JTC’s prior right of first refusal to purchase the Property, the Trustee shall first give written notice to the master lessee of such intention to sell and grant to the master lessee a right of first refusal to purchase the whole or any part of the Property (including the plant and equipment, if applicable), as the case may be, at the same purchase price and on terms and conditions no less favourable than the terms and conditions offered or proposed to be offered to any third party purchaser or received from any third party purchaser.The purchase price (which shall not be lower than the valuation) so offered or proposed to be offered by the Trustee to any third party purchaser or received from any third party purchaser and which the Trustee wishes to accept shall be the same purchase price (which shall not be lower than the valuation) as that offered by the Trustee to the master lessee;

(xx) the master lessee must, within fourteen (14) calendar days (or such other later period as the parties may mutually agree) of receipt of the Trustee’s offer, give written notice to the Trustee of its acceptance of the Trustee’s offer;

(xxi) if the master lessee does not accept the Trustee’s offer, the Trustee shall be entitled to accept any offer from a third party purchaser at a purchase price which shall not be lower than the purchase price stated in the Trustee’s offer and on such terms and conditions which shall not be more favourable than the terms and conditions of the sale and purchase agreement and any other related document incorporating the purchase price and such terms and conditions offered or proposed to be offered to the third party purchaser or received from any third party purchaser, without further reference to the master lessee. In the event (a) that no sale and purchase agreement is entered into between the Trustee and any third party purchaser within twelve (12) months from the date of expiry of the acceptance period (b) that the sale and purchase agreement is entered into between the Trustee and any third party purchaser but the sale is not completed for any reason whatsoever, the right of first refusal to the master lessee and its successors to purchase the whole or any part of the Property (including the plant and machinery, if applicable) shall continue to apply and the Trustee shall not at any time sell the whole or any part of the Property (including the plant and equipment, if applicable), as the case may be, without first re-observing the right of first refusal provisions;

(xxii) the benefit of the right of first refusal provision is personal to the master lessee, or Freight Links or any subsidiary or related company of Freight Links as long as the master lessee or Freight Links or any subsidiary or related company of Freight Links is the tenant of the whole or any part of the Property and shall not be assigned or transferred to any other party, save for an assignment or transfer of the master lease or any renewal or fresh lease pursuant to the option to renew provisions to Freight Links or any subsidiary or related company of Freight Links; and

(xxiii) the right of first refusal provision shall be binding on the Trustee, its successors and assigns as long as the master lessee or Freight Links or any subsidiary or related company of Freight Links is the tenant of the whole or any part of the Property.

211 Terms of the JTC Consent Letter By a letter dated 15 October 2010, as supplemented by a letter dated 28 October 2010 from JTC to Freight Links Express Logisticpark, JTC granted in-principle approval for (i) the transfer of the leasehold interest in respect of the Property to the Trustee, as trustee of Sabana Shari’ah Compliant REIT and (ii) the leaseback of the leasehold interest in respect of the Property by the Trustee, as trustee of Sabana Shari’ah Compliant REIT (as landlord) to Freight Links Express Logisticpark (as master lessee), on the terms and conditions of the said letters. Such terms and conditions include, amongst others, the following: (i) the sale of the Property shall be legally completed within six months from the date of the JTC consent letter; (ii) the Trustee shall take over the remainder of the lease term held by Freight Links Express Logisticpark from the effective date of legal completion of the sale of the Property; (iii) the Property shall be used throughout the remainder of the lease term for warehousing and drumming of chemicals; (iv) the Trustee upon completion of the sale of the Property shall be principally liable to JTC for ensuring the observance and performance of all the terms, covenants and conditions, undertakings and obligations under the JTC lease documents in respect of the Property. If after completion, JTC discovers any breach of any term, covenant or condition under the JTC lease documents, the Trustee shall assume all liabilities and responsibilities to rectify and remedy the said breach; (v) as between JTC and the Trustee, notwithstanding that the sublettings at the Property will not be assigned or novated to the Trustee on completion of the sale of the Property, if such sublettings are allowed to continue after completion, JTC will require the Trustee to confirm in writing that the Trustee agrees to the continuation of such sublettings and that the Trustee accepts to assume all the rights and liabilities under the existing arrangements relating to such sublettings; (vi) the Trustee is prohibited from selling, assigning or transferring the Property during the first three years starting from the completion of the sale of the Property. Thereafter, if the Trustee wishes to sell, assign, transfer, create a trust or part with the possession or occupation of the Property, the Trustee must first make a written offer to JTC at the prevailing market rate. If JTC declines the right of first refusal, the Trustee may, subject to JTC’s prior written consent, sell, assign, transfer, create a trust or part with the possession or occupation of the Property; (vii) Freight Links Express Logisticpark shall occupy at least 50% of the gross floor area of the Property (“Anchor GFA”) for a period of three years from the completion of the sale of the Property (“Leaseback Anchor Subletting Condition”). The Trustee may, subject always to the Leaseback Anchor Subletting Condition, be permitted to sublet to other subtenants, provided that after the period of three years from the completion of the sale of the Property, such other subtenants shall include anchor subtenants who shall collectively occupy the whole of the Anchor GFA, or the balance of the Anchor GFA not occupied by Freight Links Express Logisticpark, and shall each occupy a gross floor area of at least 3,000 square metres and meet all JTC’s prevailing anchor subtenant criteria; (viii) Freight Links Express Logisticpark and the Trustee shall comply with certain environmental baseline requirements imposed by JTC, one of which requires Freight Links Express Logisticpark to submit to JTC a written copy of the results of Freight Links Express Logisticpark’s environmental baseline study (“EBS”) and if the results indicate that the contamination level at the time of the EBS exceeds the contamination level in the first EBS dated 12 September 2006 which was previously submitted to JTC, then before completion of the sale and purchase of the Property, Freight Links Express Logisticpark

212 shall, at its own cost and expense, decontaminate the Property to the state and condition existing at the time of the first EBS and reinstate the Property. In the event that the Trustee subsequently sells or transfers the Property, the Trustee will in such event be required to conduct another EBS on and, if necessary, decontaminate and reinstate the Property. In relation to JTC’s condition in (viii) above, JTC has not yet completed its review of the EBS submitted to it by Freight Links Express Logisticpark. In the event remediation or decontamination works are required by JTC and the same have not yet been completed by Freight Links Express Logisticpark by completion of the sale and purchase of the Property, JTC may allow the Trustee to take over Freight Links Express Logisticpark’s obligations to complete the remediation or decontamination works within a time frame as may be stipulated by JTC. In such an event, Freight Links Express Logisticpark shall indemnify and keep the Trustee fully indemnified against any and all costs and expenses properly and reasonably incurred by the Trustee in carrying out and completing such remediation or decontamination works.

18 Gul Drive Terms of the State Lease A State Lease No. 14164 dated 16 February 1983 was issued by the President of the Republic of Singapore, as lessor, in favour of JTC, as lessee, in respect of 18 Gul Drive (referred to as the “Property” in this section) for a term of 999 years commencing from 18 November 1969. Principal terms of the State Lease No. 14164 include, amongst others, the following: k the land shall be used for industry or purposes approved by the Planning and Building Authorities; and k the Lessor is entitled to exercise the right of re-entry if JTC fails to perform or observe any of the terms and conditions of the State Lease No. 14164, and upon re-entry, the term of the affected State Lease No. 14164 will cease but without prejudice to any right of action or remedy that the Lessor may have. The terms of the State Lease No. 14164 will be binding on the purchaser of the leasehold interest in respect of the Property. A registered Lease No. IA/18681V dated 29 December 2004 comprised in Certificate of Title (SUB) Volume 628 Folio 71 (the “18 Gul Drive JTC Lease”) was issued by JTC to LTH Logistics (Singapore) Pte Ltd (“LTH Logistics”) for a term of 13 years 10 months and 12 days from 1 November 2004 for the Property. Principal terms of the 18 Gul Drive JTC Lease include, amongst others, the following: k provisions for the payment of annual rent by the lessee to JTC in advance by quarterly instalments. The annual rent is subject to revision on the 1st day of November every year at the rate based on the market rent on the respective dates but so that the increase shall not exceed 5.5% of the yearly rent for each immediately preceding year. The market rent is defined to mean the rent per square metre per annum of the Property excluding the buildings and other structures erected thereon as determined by JTC whose decision is final; k a prohibition against the lessee demising, assigning, charging, creating a trust or agency, mortgaging, letting, subletting, or permit underletting, or granting a licence or parting with or sharing the possession or occupation of the Property without JTC’s prior written consent; and k a restriction on the use of the Property, for the purpose of “storage of chemical in drums and bags (general class 2&3), packing and repacking, drumming and repacking, drumming and decanting of chemicals (general class 2&3), tank depot (storage, repair and servicing), road tanker repairs, ISO-tanker repairs, tanks and tankers

213 frame fabrication and storage of mechanical tanker/steel parts and servicing of vehicles (prime movers, trailers, forklifts and tankers) only except with the prior written consent of JTC” and that the lessee must ensure that at least 60% of the total floor area of the demised premises must be used for purely industrial activities and may use the remaining 40% for ancillary stores and offices, neutral areas, communal facilities provided that such ancillary offices must not exceed 25% of the overall floor area and storage must be related to the lessee’s approved industrial activity. By a letter dated 20 November 2008 from JTC to LTH Logistics, JTC has offered LTH Logistics a lease for a further term of 20 years from 13 September 2018.

Terms of the Sale and Purchase Agreement On 4 November 2010, the Trustee, as trustee of Sabana Shari’ah Compliant REIT, has entered into a sale and purchase agreement with LTH Logistics for the sale by LTH Logistics to the Trustee of the leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (ii) the purchase price is S$34,050,000.00; (iii) the sale and purchase of the Property is subject to a 10 year lease (the “VWR Tenancy”) to VWR International Holdings Pte Ltd (“VWR”); (iv) on completion, the Trustee will enter into a master lease agreement with LTH Logistics for a lease of the Property, principal terms of which are summarised below; (v) completion is subject to and conditional upon the listing of the units in the Sabana Shari’ah Compliant REIT and commencement of trading of such units on SGX-ST; (vi) completion must not be earlier than two weeks after the date of exercise of the relevant call option or put option and must not be later than 31 December 2010; (vii) certain limited representations and warranties are made by LTH Logistics such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters, environmental laws and property tax; (viii) if there is material damage prior to completion, the Trustee is entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (1) it is unfit for use or occupation, (2) it is rendered unsafe or inaccessible or (3) it cannot lawfully be used, and which in the opinion of the Trustee, adversely affects the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in the Sabana Shari’ah Compliant REIT; (ix) completion of the Property is conditional upon the concurrent completion of the sale and purchase of each of the Third Party Properties (defined as all the other properties which are to be purchased at the time of the listing of Sabana Shari’ah Compliant REIT) and Freight Links Properties being (i) 51 Penjuru Road, Singapore 609143, (ii) 33 Penjuru Lane, Singapore 609200 and 35 Penjuru Lane, Singapore 609202, (iii) 30 Tuas Avenue 8, Singapore 639246 and 32 Tuas Avenue 8, Singapore 639247 and (iv) 218 Pandan Loop, Singapore 128408. In the event that a seller or purchaser of any of the Third Party Properties or the Freight Links Properties exercises a right of termination, then the sale and purchase agreement of the Property will also terminate; and (x) if at any time, the government or other competent authority acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which results in a reduction of ten

214 per cent (10%) or more of the fair market value of the leasehold Property, as determined by computing the average of the valuations conducted by two valuers.

Terms of the Master Lease Agreement On completion of the sale of the Property, the Trustee will enter into a master lease agreement with LTH Logistics (as master lessee) for a lease of the Property together with the plant and equipment at the Property. The terms of the master lease agreement include, amongst others, the following: (i) the term of the master lease is for a period of 5 years from the date of completion; (ii) rent is payable by the master lessee on a monthly basis in advance, the annual rent payable by the master lessee is as follows; (a) S$2,720,000.00 for the first year of the lease term; (b) S$2,760,800.00 for the second year of the lease term; (c) S$2,802,212.00 for the third year of the lease term; (d) S$2,844,245.00 for the fourth year of the lease term; and (e) S$2,886,909.00 for the fifth year of the lease term; (iii) the master lessee is required to provide to the Trustee a security deposit of S$2,102,125.00, an amount equivalent to 9 months total average rent for the Property, as security for compliance by the master lessee of all the provisions in the master lease agreement and to secure or indemnify the Trustee against any loss or damage resulting from any default by the master lessee and any claim by the Trustee against the master lessee; (iv) the master lessee is appointed and authorised by the Trustee (as landlord) to act as agent for the Trustee to pay, as variable rent at such times and in the manner specified by the Trustee, the following amounts: (a) in respect of the Property, land rent, rates and taxes (other than the Trustee’s income tax and any other corporate taxes payable by the Trustee), including all charges, assessments, duties and fees levied during the lease term; (b) all premiums payable in respect of the industrial special risks policy and the comprehensive public liability insurance policy; and (c) property tax (including all increases from time to time) imposed by the IRAS on the Property in respect of any period during the lease term; (v) as landlord, the Trustee will be responsible for the maintenance and repair of all structural parts of the building erected on the Property, including the roof, necessary repairs and replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein; (vi) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the plant and equipment therein; (vii) the master lessee shall take out and keep in force insurance policies (specifically an industrial special risks policy and a comprehensive public liability insurance policy) with an Islamic (Takaful) insurance company or companies in Singapore recommended by the Trustee and where the cost and expense of taking out the following insurance policies with an Islamic (Takaful) insurance company is in the reasonable opinion of the master lessee too high, the master lessee shall take out such insurance policies with such reputable insurance companies as the Trustee and the master lessee may mutually

215 agree, on terms and conditions to be approved by the Trustee (acting reasonably) and in the joint names of the master lessee and the Trustee; (viii) if the Property is destroyed or damaged such that the Property cannot be used or is rendered inaccessible for the period of one month or more, the master lessee will not be liable to pay rent for such period. However if the destroyed or damaged Property is only partly usable for the period of one month or more, the master lessee’s liability to pay rent will be reduced in proportion to the reduction in their usability; (ix) if the building erected on the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds six months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (x) in the event the Property is acquired by the government authority and the master lease is terminated, where such amount of compensation which is attributable to the acquisition of the Property by any relevant authority has been apportioned to the master lessee but received by the Trustee for and on behalf of the master lessee (whether before or after the termination of the master lease), the Trustee shall transfer such amount of compensation to the master lessee; (xi) subject to JTC’s consent, the master lessee can assign the master lease agreement to Freight Links or any subsidiary or related company of Freight Links without the prior written consent of the Trustee. The master lessee can sublet any part of the Property without the prior approval of the Trustee if (i) the rent payable under the relevant subtenancy is at the prevailing market rent, (ii) the relevant subtenant’s businesses, activities and use of the premises is Sharia’ah compliant, (iii) the term (including any option to renew) under the relevant subtenancy will not expire after the end of the master lease term or further term (if applicable) (iv) the master lessee has obtained the prior written approval of JTC and any other competent authorities. Where the proposed subletting does not satisfy the above, the master lessee shall obtain the prior written consent of the Trustee (which consent shall not be unreasonably withheld, refused or delayed) for such subletting; (xii) at the end of the lease, the master lessee is not required to reinstate the premises to the original state and condition if the master lease is terminated (i) pursuant to a government acquisition, (ii) as a result of a termination of the head lease term by JTC or (iii) the Trustee terminates the master lease if the building is damaged or destroyed such that repair is impracticable or undesirable, unless otherwise required by JTC or other relevant authorities. If reinstatement is required by JTC or other relevant authorities, so long as such termination of the master lease and/or damage of the building is not caused by the gross negligence or wilful default of the Trustee, its employees, servants, agents, contractors, invitees, visitors or licensees, the master lessee is required to reinstate the premises to the original state and condition of the Property (except for fair wear and tear) and vacate the Property; (xiii) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee; (xiv) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall not consent to or permit any of its subtenants using the Property or any part of the Property for non- Shari’ah compliant businesses and activities. For all existing subtenancies existing as at

216 the date of the master lease, renewals of such existing subtenancies and fresh subtenancies entered into during the master lease term, so long as each of such existing subtenant or new subtenant continues to use the Property or any part of the Property for such Shari’ah approved use for the duration of the relevant subtenancy term(s) or relevant renewal subtenancy term(s), such existing subtenant or new subtenant shall be deemed at all times to be and is treated as using the Property or any part of the Property for a Shari’ah approved use; (xv) the master lessee may retain the existing name of the Property or the building at the Property or change the name of the Property or the building at the Property subject to the prior approval in writing of the Trustee (such approval not to be unreasonably refused, withheld or delayed). There shall be no additional payment to the Trustee by the master lessee for such naming rights; (xvi) the Trustee shall not, without the master lessee’s prior written consent (which consent shall not be unreasonably refused, withheld or delayed) use the words in the name of the building at the Property or any similar name for any purpose whatsoever other than as the address of the Property; (xvii) the Trustee undertakes on the expiry of the master lease term to rename the Property without using the words “Freight Links”; (xviii) the master lessee is granted an option to renew the whole or part of the Property (such part of the Property to be mutually agreed by the Trustee and the master lessee) for such further term as shall be determined by the master lessee provided that such further term shall not exceed 5 years, and where such further term shall exceed 5 years, such further term shall be mutually agreed by both the Trustee and the master lessee. The further term shall be at the prevailing market rent as at the commencement of the further term and on substantially the same terms as the master lease agreement save for (i) the revised rent and (ii) such additional terms and conditions as may be required by law and as the Trustee and the master lessee may mutually agree; (xix) in the event that the master lessee does not or is unable to renew the master lease for any reason whatsoever, the VWR Tenancy will be novated to the Trustee at the cost and expense of the master lessee, and the Trustee shall execute such novation agreement (including for the transfer to the Trustee of the security deposit) with the master lessee and VWR and the Trustee shall assume all landlord obligations to VWR under the VWR Tenancy; (xx) in the event that the Trustee intends to sell the whole or any part of the Property (including the plant and equipment, if applicable), subject to JTC’s prior right of first refusal to purchase the Property, the Trustee shall first give written notice to the master lessee of such intention to sell and grant to the master lessee a right of first refusal to purchase the whole or any part of the Property (including the plant and equipment, if applicable), as the case may be, at the same purchase price and on terms and conditions no less favourable than the terms and conditions offered or proposed to be offered to any third party purchaser or received from any third party purchaser.The purchase price (which shall not be lower than the valuation) so offered or proposed to be offered by the Trustee to any third party purchaser or received from any third party purchaser and which the Trustee wishes to accept shall be the same purchase price (which shall not be lower than the valuation) as that offered by the Trustee to the master lessee; (xxi) the master lessee must, within fourteen (14) calender days (or such other later period as the parties may mutually agree) of receipt of the Trustee’s offer, give written notice to the Trustee of its acceptance of the Trustee’s offer; (xxii) if the master lessee does not accept the Trustee’s offer, the Trustee shall be entitled to accept any offer from a third party purchaser at a purchase price which shall not be lower than the purchase price stated in the Trustee’s offer and on such terms and conditions

217 which shall not be more favourable than the terms and conditions of the sale and purchase agreement and any other related document incorporating the purchase price and such terms and conditions offered or proposed to be offered to the third party purchaser or received from any third party purchaser, without further reference to the master lessee. In the event (a) that no sale and purchase agreement is entered into between the Trustee and any third party purchaser within twelve (12) months from the date of expiry of the acceptance period (b) that the sale and purchase agreement is entered into between the Trustee and any third party purchaser but the sale is not completed for any reason whatsoever, the right of first refusal to the master lessee and its successors to purchase the whole or any part of the Property (including the plant and machinery, if applicable) shall continue to apply and the Trustee shall not at any time sell the whole or any part of the Property (including the plant and equipment, if applicable), as the case may be, without first re-observing the right of first refusal provisions; (xxiii) the benefit of the right of first refusal provision is personal to the master lessee, or Freight Links or any subsidiary or related company of Freight Links as long as the master lessee or Freight Links or any subsidiary or related company of Freight Links is the tenant of the whole or any part of the Property and shall not be assigned or transferred to any other party, save for an assignment or transfer of the master lease or any renewal or fresh lease pursuant to the option to renew provisions to Freight Links or any subsidiary or related company of Freight Links; and (xxiv) the right of first refusal provision shall be binding on the Trustee, its successors and assigns as long as the master lessee or Freight Links or any subsidiary or related company of Freight Links is the tenant of the whole or any part of the Property.

Terms of the JTC Consent Letter By a letter dated 15 October 2010 from JTC to LTH Logistics, JTC granted in-principle approval for (i) the transfer of the leasehold interest in respect of the Property to the Trustee, as trustee of Sabana Shari’ah Compliant REITand (ii) the leaseback of the leasehold interest in respect of the Property by the Trustee, as trustee of Sabana Shari’ah Compliant REIT (as landlord) to LTH Logistics (as master lessee), on the terms and conditions of the said letter. Such terms and conditions include, amongst others, the following: (i) the sale of the Property shall be legally completed within six months from the date of the JTC consent letter; (ii) the Trustee shall take over the remainder of the lease term held by LTH Logistics from the effective date of legal completion of the sale of the Property; (iii) the Trustee upon completion of the sale of the Property shall be principally liable to JTC for ensuring the observance and performance of all the terms, covenants and conditions, undertakings and obligations under the JTC lease documents in respect of the Property. If after completion, JTC discovers any breach of any term, covenant or condition under the JTC lease documents, the Trustee shall assume all liabilities and responsibilities to rectify and remedy the said breach; (iv) as between JTC and the Trustee, notwithstanding that the sublettings at the Property will not be assigned or novated to the Trustee on completion of the sale of the Property, if such sublettings are allowed to continue after completion, JTC will require the Trustee to confirm in writing that the Trustee agrees to the continuation of such sublettings and that the Trustee accepts to assume all the rights and liabilities under the existing arrangements relating to such sublettings; (v) the Trustee is prohibited from selling, assigning or transferring the Property during the first three years starting from the completion of the sale of the Property. Thereafter, if the Trustee wishes to sell, assign, transfer, create a trust or part with the possession or

218 occupation of the Property, the Trustee must first make a written offer to JTC at the prevailing market rate. If JTC declines the right of first refusal, the Trustee may, subject to JTC’s prior written consent, sell, assign, transfer, create a trust or part with the possession or occupation of the Property; (vi) LTH Logistics shall occupy at least 50% of the gross floor area of the Property (“Anchor GFA”) for a period of three years from the completion of the sale of the Property (“Leaseback Anchor Subletting Condition”). The Trustee may, subject always to the Leaseback Anchor Subletting Condition, be permitted to sublet to other subtenants, provided that after the period of three years from the completion of the sale of the Property, such other subtenants shall include anchor subtenants who shall collectively occupy the whole of the Anchor GFA, or the balance of the Anchor GFA not occupied by LTH Logistics, and shall each occupy a gross floor area of at least 3,000 square metres and meet all JTC’s prevailing anchor subtenant criteria. (vii) LTH Logistics and the Trustee shall comply with certain environmental baseline requirements imposed by JTC, one of which requires LTH Logistics to submit to JTC a written copy of the results of LTH Logistic’s environmental baseline study (“EBS”) and if the results indicate that the contamination level at the time of the EBS exceeds the contamination level in the first EBS dated 31 August 2007, 19 August 2008 and 30 January 2009 which was previously submitted to JTC, then before completion of the sale and purchase of the Property, LTH Logistics shall, at its own cost and expense, decontaminate the Property to the state and condition existing at the time of the first EBS and reinstate the Property. In the event that the Trustee subsequently sells or transfers the Property, the Trustee will in such event be required to conduct another EBS on and, if necessary, decontaminate and reinstate the Property. In relation to JTC’s condition (vii) above, JTC has not yet completed its review of the EBS submitted to it by LTH Logistics. In the event remediation or decontamination works are required by JTC and the same have not yet been completed by LTH Logistics by completion of the sale and purchase of the Property, JTC may allow the Trustee to take over LTH Logistics’ obligations to complete the remediation or decontamination works within a time frame as may be stipulated by JTC. In such an event, LTH Logistics shall indemnify and keep Trustee fully indemnified against any and all costs and expenses properly and reasonably incurred by the Trustee in carrying out and completing such remediation or decontamination works.

1 Tuas Avenue 4 Terms of the State Lease A State Lease No. 23300 (varied by a Supplemental Lease dated 24 March 2008) was issued by the President of the Republic of Singapore, as lessor,in favour of JTC, as lessee, in respect of the 1 Tuas Avenue 4 (referred as the “Property” in this section) for a term of 99 years commencing from 1 April 1980. Principal terms of the State Lease No. 23300 include, amongst others, the following: k JTC must surrender free to the government such portions of the land as may be required in future for roads, drainage; k JTC is responsible for the resettlement and clearance at JTC’s own expense of any encumbrances on the Property; k JTC is to use the land for industrial development; and k the lessor is entitled to exercise the right of re-entry if JTC fails to perform or observe any of the terms and conditions of the State Lease No. 23300, and upon re-entry, the term of the affected State Lease No. 23300 will cease but without prejudice to any right of action or remedy that the lessor may have.

219 There is a restriction in the State Lease No. 23300 on JTC’s right to sublease the Property. However, the JTC has confirmed by an email dated 22 October 2010 that the State has granted consent to JTC to sublet, underlet or licence to any person, the land in the State Lease relating to the Property. The terms of the State Lease No. 23300 will be binding on the purchaser of the leasehold interest in respect of the Property.

Terms of the Lease Agreement A registered lease No IA/259694D comprised in Certificate of Title (SUB) Volume 639 Folio 164 (the “1 Tuas Avenue 4 Lease”) was issued by JTC to Premier G&U Districenters Pte. Ltd. (“G&U Districenters”) for a term of 30 years commencing from 1 January 1996. Principal terms of the 1 Tuas Avenue 4 Lease include, amongst others, the following: k provisions for the payment of annual rent by the lessee to JTC in advance by monthly instalments. The annual rent is subject to revision on the 1st day of January every year at the rate based on the market rent on the respective dates but so that the increase shall not exceed 5.5% of the yearly rent for each immediately preceding year. The market rent is defined to mean the rent per square metre per annum of the Property excluding the buildings and other structures erected thereon, as determined by JTC whose decision is final; k not to use the Property other than as a regional distribution warehouse for chemicals only; k a provision against the lessee demising, assigning, charging creating a trust or agency, mortgaging, letting, subletting, granting a licence or parting with or sharing the possession or occupation of the Property without JTC’s prior written consent except where mortgaged or charged to a licensed bank or finance company; and k a provision that in consideration of the lessee fulfilling certain fixed investment criteria, the lessor covenants to grant the lessee a further lease term of 21 years 4 months commencing from the expiry of the current term provided that, inter alia, (i) at the expiry of the current term, there is no existing breach or non-observance of any of the covenants and conditions contained in the JTC Lease on the part of the lessee to be observed or performed, (ii) the lessee shows proof that its usage and business activities do not enlarge an existing 300 metre health and safety buffer, (iii) the lessee within 4 months of the further term completes improvement to landscaping stipulated by the lessor, and (iv) within 18 months of the commencement of the further term upgrade the exterior of the building to the same highest quality of new buildings then being built by the lessor.

Terms of the Sale and Purchase Agreement On 4 November 2010, the Trustee has entered into a sale and purchase agreement with G&U Districenters for the sale by G&U Districenters to the Trustee of the leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (ii) the purchase price is S$28,000,000.00 if the building at the Property has a gross floor area of 164,810 square feet, and is subject to adjustment if the gross floor area of Building, as determined by the Trustee’s registered land surveyor exceeds three (3) percent, more or less than 164,810 square feet; (iii) on completion, the Trustee will enter into a master lease agreement with G&U Districenters for a lease of the Property, principal terms of which are summarised below;

220 (iv) if prior to completion, the government acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which affects the functionality of the building, the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in Sabana Shari’ah Compliant REIT; (v) completion is subject to and conditional upon (a) the financing facilities to the Sabana Shari’ah Compliant REIT being available for drawdown on completion date and (b) the listing of the units in Sabana Shari’ah Compliant REIT and commencement of trading of such units on SGX-ST; (vi) certain limited representations and warranties are made by G&U Districenters such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters (such as structural defects), environmental laws and property tax; and (vii) if there is material damage prior to completion, the Trustee is entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (1) it is unfit for use or occupation, (2) it is rendered unsafe or inaccessible or (3) it cannot lawfully be used, and which in the opinion of the Trustee, adversely affects the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in Sabana Shari’ah Compliant REIT.

Terms of the Master Lease Agreement On completion of the sale of the Property, the Trustee will enter into a master lease agreement with G&U Districenters (as master lessee) for a lease of the Property together with the plant and equipment on the Property. The terms of the master lease agreement include, amongst others, the following: (i) the term of the master lease is for a period of 3 years from the date of completion; (ii) rent is payable by the master lessee as follows: (a) S$2,128,000.00 for the first year of the lease term; (b) S$2,170,560.00 for the second year of the lease term; and (c) S$2,213,971.00 for the third year of the lease term, and the above rental amounts for each year of the lease term are subject to adjustment if the gross floor area of Building, as determined by the Trustee’s registered land surveyor exceeds three (3) percent, more or less than 164,810 square feet; (iii) the master lessee is required to provide to the Trustee a security deposit equivalent to 12 months of the monthly rent for the Property, as security for compliance by the master lessee of all the provisions in the master lease agreement and to secure or indemnify the Trustee against any loss or damage resulting from any default by the master lessee and any claim by the Trustee against the master lessee; (iv) the master lessee is appointed and authorised by the Trustee (as landlord) to act as agent for the Trustee to pay, as variable rent at such times and in the manner specified by the Trustee, the following amounts: (a) in respect of the Property, land rent, rates and taxes (other than the Trustee’s income tax and any other corporate taxes payable by the Trustee), including all charges, assessments, duties and fees levied during the lease term; (b) all premiums payable in respect of the industrial special risks policy and the comprehensive public liability insurance policy; and

221 (c) property tax (including all increases from time to time) imposed by the IRAS on the Property in respect of any period during the lease term; (v) as landlord, the Trustee will be responsible for structural repairs of the building erected on the Property, necessary replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein; (vi) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the plant and equipment therein; (vii) the master lessee shall take out and keep in force insurance policies (specifically an industrial special risks policy and a comprehensive public liability insurance policy) with an Islamic (Takaful) insurance company or companies in Singapore approved by the Trustee, on terms and conditions to be approved by the Trustee and in the joint names of the master lessee and the Trustee; (viii) if the Property is destroyed or damaged such that the Property cannot be used or is rendered inaccessible for the period of one month or more, the master lessee will not be liable to pay rent for such period. However if the destroyed or damaged Property is only partly usable for the period of one month or more, the master lessee’s liability to pay rent will be reduced in proportion to the reduction in their usability; (ix) if the building erected on the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds six months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (x) the master lessee is not entitled to assign the master lease agreement, the master lessee may however sub-let any part of the Property subject to (i) the prior written consent of the Trustee (such consent not to be unreasonably withheld), (ii) the master lessee’s compliance with all terms of the master lease agreement and (iii) the prior written approval of JTC and any other competent authorities; (xi) at the end of the lease, the master lessee is required to reinstate the premises to the original state and condition of the Property and vacate the Property; (xii) in the event the master lessee is in default under the master lease agreement, the Trustee is entitled to require the master lessee to assign to the Trustee, all rights and remedies (including rent and other proceeds) of the master lessee under and/or arising from any of the sub-tenancies selected by the Trustee; (xiii) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee; (xiv) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall ensure that all subtenants are engaged in Shari’ah compliant businesses and activities; (xv) the master lessee acknowledges that all subtenancies, sublettings and licences in respect of the Property existing as at commencement date of the term shall operate as subleases as between the master lessee (as landlord) and each such subtenant (as lessee) on the terms of the relevant subtenancies, sublettings and licences in respect of the Property and that the master lessee is the party to perform all obligations as landlord under such subtenancies, sublettings and licences; and

222 (xvi) if at any time prior to the expiry or earlier termination of the term of the master lease the Trustee decides to sell the Property, the Trustee will give to the master lessee a right of first offer to purchase the Property at no less than the valuation and before entering into any agreement for sale or granting any option to any third party, the Trustee must give written notice to the master lessee of the price which shall be no less than the valuation and subject to terms and conditions to be prescribed by the Trustee in a sale and purchase agreement. If the Trustee informs the master lessee that it wishes to sell the Property, the master lessee shall within ten (10) Business Days provide the names of two firms who specialise in valuations and the Reit Manager will commission a valuation using either of the two firms. If master lessee does not accept the offer, the Trustee shall, within six months’ of the Trustee’s written notice, not sell the Property where the price is less than that offered to the master lessee. Six months after the Trustee’s written notice, the Trustee shall be entitled to enter into any agreement with or grant an option to any other third party at any price and on any terms. The right of first offer will expire and be completely exhausted if the master lessee does not accept the Trustees’ offer.

Terms of the JTC Consent Letter By a letter dated 12 October 2010 from JTC to G&U Districenters, JTC granted in-principle approval for the transfer of the leasehold interest in respect of the Property to the Trustee and the leaseback of the Property from Trustee to G&U Districenters on the terms and conditions of the said letter. Such terms and conditions include, amongst others, the following: (i) The sale of the Property shall be legally completed within six months from the date of the JTC consent letter. (ii) The Trustee shall take over the remainder of the lease term held by G&U Districenters from the effective date of legal completion of the sale of the Property. (iii) The Trustee upon completion of the sale of the Property shall be principally liable to JTC for ensuring the observance and performance of all the terms, covenants and conditions, undertakings and obligations under the JTC lease documents in respect of the Property. If after completion, JTC discovers any breach of any term, covenant or condition under the JTC lease documents, the Trustee shall assume all liabilities and responsibilities to rectify and remedy the said breach. (iv) As between JTC and the Trustee, notwithstanding that the sublettings at the Property will not be assigned or novated to the Trustee on completion of the sale of the Property, if such sublettings are allowed to continue after completion, JTC will require the Trustee to confirm in writing that the Trustee agrees to the continuation of such sublettings and that the Trustee accepts to assume all the rights and liabilities under the existing arrangements relating to such sublettings. (v) The Trustee is prohibited from selling, assigning or transferring the Property during the first three years starting from the completion of the sale of the Property. Thereafter, if the Trustee wishes to sell, assign, transfer, create a trust or part with the possession or occupation of the Property, the Trustee must first make a written offer to JTC at the prevailing market rate. If JTC declines the right of first refusal, the Trustee may, subject to JTC’s prior written consent, sell, assign, transfer, create a trust or part with the possession or occupation of the Property. (vi) Both G&U Districenters and the Trustee are required to comply with environmental baseline requirements of JTC. In the event that the Trustee subsequently sells or transfers the Property, the Trustee will in such event be required to conduct an environmental baseline study on and, if necessary, to decontaminate, the Property. (vii) G&U Districenters shall occupy at least 50% of the gross floor area of the Property (“Anchor GFA”) for a period of three years from the completion of the sale of the Property (“Leaseback Anchor Subletting Condition”). The Trustee may, subject always to the

223 Leaseback Anchor Subletting Condition, be permitted to sublet to other subtenants, provided that after the period of three years from the completion of the sale of the Property, such other subtenants shall include anchor subtenants who shall collectively occupy the whole of the Anchor GFA, or the balance of the Anchor GFA not occupied by G&U Districenters, and shall each occupy a gross floor area of at least 3,000 square metres and meet all JTC’s prevailing anchor subtenant criteria. (viii) G&U Districenters is required to rectify and remedy an unauthorised structure on ther Property before completion of the sale of the Property.

34 Penjuru Lane Terms of the State Lease A State Lease No. 14767 (varied by a Supplemental Lease dated 24 March 2008) was issued by the President of the Republic of Singapore, as lessor, in favour of JTC, as lessee, in respect of 34 Penjuru Lane (referred to as the “Property” in this section) for a term of 99 years commencing from 1 January 1970. Principal terms of the State Lease No. 14767 include, amongst others, the following: k the land must be used for industrial development; k JTC must surrender: (i) free to the government such portions of the land as may be required in future for roads, drainage, etc; (ii) if directed by the government, to the government such portions of the acquired land which are not required for the purpose specified in the State Lease No. 14767 (i.e. for industrial development) at rates equivalent to the compensation payable if such land had been acquired under the Land Acquisition Act; and k the lessor is entitled to exercise the right of re-entry if JTC fails to perform or observe any of the terms and conditions of the State Lease No. 14767, and upon re-entry, the term of the affected State Lease No. 14767 will cease but without prejudice to any right of action or remedy that the lessor may have. There is a restriction in the State Lease No. 14767 on JTC’s right to sublease the Property. However, the JTC has confirmed by a letter dated 31 August 2010 that the State has granted consent to JTC to sublet, underlet or licence to any person, the land in the State Lease relating to the Property. The terms of the State Lease No. 14767 will be binding on the purchaser of the leasehold interest in respect of the Property.

Terms of the JTC Lease A registered Lease No. IB/682990U comprised in Certificate of Title (SUB) Volume 647 Folio 188 (the “34 Penjuru Lane JTC Lease”) was issued by JTC to SB (Lakeside) Pte. Ltd. (“SB Lakeside”) (as lessee) for a term of 30 years commencing from 16 August 2002 for the Property. Principal terms of the 34 Penjuru Lane JTC Lease include, amongst others, the following: k provisions for the payment of annual rent by the lessee to JTC in advance by monthly instalments. The annual rent is subject to revision on the 16th day of August every year at the rate based on the market rent on the respective dates but so that the increase shall not exceed 5.5% of the yearly rent for each immediately preceding year. The market rent is defined to mean the rent per square metre per annum of the Property excluding the buildings and other structures erected thereon as determined by JTC whose decision is final;

224 k the lessee must ensure that at least 60% of the total floor area of the Property is used for purely industrial activities and the remaining floor area shall be used as ancillary stores and offices, neutral areas, communal facilities and other uses which may be approved in writing by JTC and the relevant authorities provided that the said ancillary offices shall not exceed 25% of the total floor area and provided further that the lessee shall not use and occupy the Property for the purpose of commercial office and storage unrelated to the lessee’s approved activity; k the Property is to be used, for the purpose of “warehousing of consumer products and chemicals only”; k a prohibition against the lessee demising, assigning, charging, creating a trust or agency, mortgaging, letting, subletting, or granting a licence, or parting with or sharing the possession or occupation of the Property in whole or in part without JTC’s prior written consent except where mortgaged or charged to a licensed bank or finance company; and k any contamination detected at the Property is presumed and deemed to have occurred after 16 August 1972, and shall be the lessee’s liability,unless the lessee can provide due proof to JTC’s satisfaction that such contamination was already present before that time.

Terms of the Sale and Purchase Agreement On 4 November 2010, the Trustee has entered into a sale and purchase agreement with SB (Lakeside) for the sale by SB (Lakeside) to the Trustee of the leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (ii) the purchase price is S$60,000,000.00; (iii) the Property is sold subject to there being no acquisition nor notice of intended acquisition of the Property or any material part of it by the government or other competent authority; (iv) if prior to completion, the government acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement; (v) save as otherwise provided in the sale and purchase agreement, including without limitation the warranties provided by SB (Lakeside), the Property is to be sold on an as is where is basis; (vi) on completion, the Trustee will enter into a master lease agreement with SB (Lakeside) for a lease of the Property, principal terms of which are summarised below; (vii) completion is subject to and conditional upon (a) the financing facilities to the Sabana Sabana Shari’ah Compliant REIT being available for drawdown on completion date and (b) the listing of the units in Sabana Shari’ah Compliant REIT and commencement of trading of such units on SGX-ST; (viii) certain limited representations and warranties are made by SB (Lakeside) such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters (such as structural defects), environmental laws and property tax; and (ix) if there is material damage prior to completion, the Trustee is entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (1) it is unfit for use or occupation, (2) it is rendered unsafe or inaccessible or (3) it cannot lawfully be used.

225 Terms of the Master Lease Agreement On completion of the sale of the Property, the Trustee will enter into a master lease agreement with SB (Lakeside) (as master lessee) for a lease of the Property together with the plant and equipment on the Property. The terms of the master lease agreement include, amongst others, the following: (i) the term of the master lease is for a period of 5 years from the date of completion; (ii) rent is payable by the master lessee on a monthly basis in advance, the annual rent payable by the master lessee is as follows; (a) S$5,000,000.00 for the first year of the lease term; (b) S$5,100,000.00 for the second year of the lease term; (c) S$5,202,000.00 for the third year of the lease term; (d) S$5,306,040.00 for the fourth year of the lease term; and (e) S$5,412,161.00 for the fifth year of the lease term; (iii) the master lessee is required to provide to the Trustee a security deposit equivalent to six months of the monthly rent for the Property, as security for compliance by the master lessee of all the provisions in the master lease agreement and to secure or indemnify the Trustee against any loss or damage resulting from any default by the master lessee and any claim by the Trustee against the master lessee; (iv) the master lessee is appointed and authorised by the Trustee (as landlord) to act as agent for the Trustee to pay, as variable rent at such times and in the manner specified by the Trustee, the following amounts: (a) in respect of the Property, land rent, rates and taxes (other than the Trustee’s income tax and any other corporate taxes payable by the Trustee), including all charges, assessments, duties and fees levied during the lease term; (b) all premiums payable in respect of the industrial special risks policy and the comprehensive public liability insurance policy; (c) property tax (including all increases from time to time) imposed by the IRAS on the Property in respect of any period during the lease term; (v) as landlord, the Trustee will be responsible for structural repairs of the building erected on the Property, necessary replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein; (vi) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the plant and equipment therein; (vii) the master lessee shall take out and keep in force insurance policies (specifically an industrial special risks policy and a comprehensive public liability insurance policy) with an Islamic (Takaful) insurance company or companies in Singapore approved by the Trustee, on terms and conditions to be approved by the Trustee and in the joint names of the master lessee and the Trustee; (viii) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee; (ix) if the Property is destroyed or damaged such that the Property cannot be used or is rendered inaccessible for the period of one month or more, the master lessee will not be liable to pay rent for such period. However if the destroyed or damaged Property is only

226 partly usable for the period of one month or more, the master lessee’s liability to pay rent will be reduced in proportion to the reduction in their usability; (x) if the building erected on the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds three months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (xi) the master lessee is not entitled to assign the master lease agreement, the master lessee may however sub-let any part of the Property subject to (i) the prior written consent of the Trustee (such consent not to be unreasonably withheld), (ii) the master lessee’s compliance with all terms of the master lease agreement and (iii) the prior written approval of JTC and any other competent authorities; (xii) at the end of the lease, the master lessee is required to reinstate the premises to the original state and condition of the Property and vacate the Property; (xiii) in the event (a) the master lessee fails to pay rent, land rent or any other sum payable under the master lease agreement or (b) the master lessee fails to comply with any material obligations under the master lease agreement and (where the breach is capable of remedy) fails to make good the default within such reasonable period as determined by the Trustee, the Trustee is entitled to require the master lessee to assign to the Trustee, all rights and remedies (including rent and other proceeds) of the master lessee under and/or arising from any of the sub-tenancies selected by the Trustee; and (xiv) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall ensure that all subtenants are engaged in Shari’ah compliant businesses and activities.

Terms of the JTC Consent Letter By a letter dated 6 September 2010, as supplemented by a letter dated 8 September 2010, from JTC to SB (Lakeside), JTC granted in-principle approval for the transfer of the leasehold interest in respect of the Property to the Trustee and the leaseback of the Property from Trustee to SB (Lakeside) on the terms and conditions of the said letter. Such terms and conditions include, amongst others, the following: (i) The sale of the Property shall be legally completed within six months from the date of the JTC consent letter. (ii) The Trustee shall take over the remainder of the lease term held by SB (Lakeside) from the effective date of legal completion of the sale of the Property. (iii) The Trustee upon completion of the sale of the Property shall be principally liable to JTC for ensuring the observance and performance of all the terms, covenants and conditions, undertakings and obligations under the JTC lease documents in respect of the Property. If after completion, JTC discovers any breach of any term, covenant or condition under the JTC lease documents, the Trustee shall assume all liabilities and responsibilities to rectify and remedy the said breach. (iv) As between JTC and the Trustee, notwithstanding that the sublettings at the Property will not be assigned or novated to the Trustee on completion of the sale of the Property, if such sublettings are allowed to continue after completion, JTC will require the Trustee to confirm in writing that the Trustee agrees to the continuation of such sublettings and that the Trustee accepts to assume all the rights and liabilities under the existing arrangements relating to such sublettings.

227 (v) The Trustee is prohibited from selling, assigning or transferring the Property during the first three years starting from the completion of the sale of the Property. Thereafter, if the Trustee wishes to sell, assign, transfer, create a trust or part with the possession or occupation of the Property, the Trustee must first make a written offer to JTC at the prevailing market rate. If JTC declines the right of first refusal, the Trustee may, subject to JTC’s prior written consent, sell, assign, transfer, create a trust or part with the possession or occupation of the Property. (vi) In the event that the Trustee subsequently sells or transfers the Property, the Trustee will in such event be required to conduct an environmental baseline study on and, if necessary, to decontaminate, the Property. (vii) SB (Lakeside) shall occupy at least 50% of the gross floor area of the Property (“Anchor GFA”) for a period of three years from the completion of the sale of the Property (“Leaseback Anchor Subletting Condition”). The Trustee may, subject always to the Leaseback Anchor Subletting Condition, be permitted to sublet to other subtenants, provided that after the period of three years from the completion of the sale of the Property, such other subtenants shall include anchor subtenants who shall collectively occupy the whole of the Anchor GFA, or the balance of the Anchor GFA not occupied by SB (Lakeside), and shall each occupy a gross floor area of at least 3,000 square metres and meet all JTC’s prevailing anchor subtenant criteria.

51 Penjuru Road Terms of the State Lease A State Lease No. 23622 dated 18 November 1999 (varied by a Supplemental Lease dated 24 March 2008) was issued by the President of the Republic of Singapore, as lessor, in favour of JTC, as lessee, in respect of 51 Penjuru Road (referred to as the “Property” in this section) for a term of 99 years commencing from 1 January 1970. Principal terms of the State Lease No. 23622 (varied by a Supplemental Lease dated 24 March 2008) include, amongst others, the following: k JTC must surrender: (i) free to the government such portions of the land as may be required in future for roads, drainage; and (ii) if directed by the government, to the government such portions of the acquired land which are not required for the purpose specified in the State Lease No. 23622 as varied by the Supplemental Lease dated 24 March 2008 (i.e. for industrial development) at rates equivalent to the compensation payable if such land had been acquired under the Land Acquisition Act; k JTC is responsible for the resettlement and clearance at JTC’s own expense of any squatters on the Property; and k the lessor is entitled to exercise the right of re-entry if JTC fails to perform or observe any of the terms and conditions of the State Lease No. 23622 (varied by a Supplemental Lease dated 24 March 2008), and upon re-entry, the term of the affected State Lease No. 23622 (varied by a Supplemental Lease dated 24 March 2008) will cease but without prejudice to any right of action or remedy that the lessor may have. There is a restriction in the State Lease on JTC’s right to sublease the Property. However, JTC has confirmed by an email dated 28 October 2010 that the State has granted consent to JTC to sublet, underlet or licence to any person, the land in the State Lease relating to the Property. The terms of the State Lease No. 23622 (varied by a Supplemental Lease dated 24 March 2008) will be binding on the purchaser of the leasehold interest in respect of the Property.

228 Terms of the Lease Agreement A registered Lease No. IA/51396W dated 27 January 2005 comprised in Certificate of Title (SUB) Volume 629 Folio 16 (the “51 Penjuru Road JTC Lease”) was issued by JTC to Freight Links Express Logisticentre Pte Ltd (“Freight Links Express Logisticentre”) (as lessee) for a term of 30 years commencing from 1 January 1995 for the Property. Principal terms of the 51 Penjuru Road JTC Lease include, amongst others, the following: k provisions for the payment of annual rent by the lessee to JTC in advance by quarterly instalments. The annual rent is subject to revision on the 1st day of January every year at the rate based on the market rent on the respective dates but so that the increase shall not exceed 5.5% of the yearly rent for each immediately preceding year. The market rent is defined to mean the rent per square metre per annum of the Property excluding the buildings and other structures erected thereon as determined by JTC whose decision is final; k a prohibition against the lessee demising, assigning, charging, subletting, underletting, or granting a licence or parting with or sharing the possession of the Property without JTC’s prior written consent except where mortgaged or charged to a licensed bank or finance company; k a restriction on the use of the Property, for the purpose of “warehousing with specialised storage and handling facilities, and a full range of distribution services including order picking, sorting, kitting operations, packing and other logistics related value added services, for electronic and electrical products, vehicle spare parts and equipment, personal care products, containers and other general cargoes only”; and k a provision that in consideration of the lessee fulfilling certain fixed investment criteria, the lessor covenants to grant the lessee a further lease term of 30 years commencing from the expiry of the current term provided that, amongst others, at the expiry of the current term, there is no existing breach or non-observance of any of the covenants and conditions contained in the 51 Penjuru Road JTC Lease on the part of the lessee to be observed or performed. By a letter dated 20 July 2002 from JTC to Freight Links Express Logisticentre, JTC confirmed that the lessee has qualified for a 30+30 years lease with effect from 1 January 1995.

Terms of the Sale and Purchase Agreement On 4 November 2010, the Trustee, as trustee of Sabana Shari’ah Compliant REITentered into a sale and purchase agreement with Freight Links Express Logisticentre for the sale by Freight Links Express Logisticentre to the Trustee of the leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (ii) the purchase price is S$42,500,000.00; (iii) on completion, the Trustee will enter into a master lease agreement with Freight Links Express Logisticentre for a lease of the Property, principal terms of which are summarised below; (iv) completion is subject to and conditional upon the listing of the units in the Sabana Shari’ah Compliant REIT and commencement of trading of such units on SGX-ST; (v) completion must not be earlier than two weeks after the date of exercise of the relevant call option or put option and must not be later than 31 December 2010; (vi) certain limited representations and warranties are made by Freight Links Express Logisticentre such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters, environmental laws and property tax;

229 (vii) if at any time, the government or other competent authority acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which results in a reduction of ten per cent (10%) or more of the fair market value of the leasehold Property, as determined by computing the average of the valuations conducted by two valuers; (viii) if there is material damage prior to completion, the Trustee is entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (1) it is unfit for use or occupation, (2) it is rendered unsafe or inaccessible or (3) it cannot lawfully be used and which in the opinion of the Trustee, adversely affects the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in the Sabana Shari’ah Compliant REIT; and (ix) completion of the Property is conditional upon the concurrent completion of the sale and purchase of each of the Third Party Properties (defined as all the other properties which are to be purchased at the time of the listing of Sabana Shari’ah Compliant REIT) and Freight Links Properties being (i) 18 Gul Drive, Singapore 629468, (ii) 30 Tuas Avenue 8, Singapore 639246 and 32 Tuas Avenue 8, Singapore 639247, (iii) 33 Penjuru Lane, Singapore 609200 and 35 Penjuru Lane, Singapore 609202 and (iv) 218 Pandan Loop, Singapore 128408. In the event that a seller or purchaser of any of the Third Party Properties or the Freight Links Properties exercises a right of termination, then the sale and purchase agreement of the Property will also terminate.

Terms of the Master Lease Agreement On completion of the sale of the Property, the Trustee will enter into a master lease agreement with Freight Links Express Logisticentre (as master lessee) for a lease of the Property together with the plant and equipment at the Property. The terms of the master lease agreement include, amongst others, the following: (i) the term of the master lease is for a period of 5 years from the date of completion; (ii) rent is payable by the master lessee on a monthly basis in advance, the annual rent payable by the master lessee is as follows; (a) S$3,300,000.00 for the first year of the lease term; (b) S$3,349,500.00 for the second year of the lease term; (c) S$3,399,743.00 for the third year of the lease term; (d) S$3,450,739.00 for the fourth year of the lease term; and (e) S$3,502,500.00 for the fifth year of the lease term. (iii) the master lessee is required to provide to the Trustee a security deposit of S$2,550,372.00, an amount equivalent to 9 months total average rent for the Property, as security for compliance by the master lessee of all the provisions in the master lease agreement and to secure or indemnify the Trustee against any loss or damage resulting from any default by the master lessee and any claim by the Trustee against the master lessee; (iv) the master lessee is appointed and authorised by the Trustee (as landlord) to act as agent for the Trustee to pay, as variable rent at such times and in the manner specified by the Trustee, the following amounts: (a) in respect of the Property, land rent, rates and taxes (other than the Trustee’s income tax and any other corporate taxes payable by the Trustee), including all charges, assessments, duties and fees levied during the lease term;

230 (b) all premiums payable in respect of the industrial special risks policy and the comprehensive public liability insurance policy; (c) property tax (including all increases from time to time) imposed by the IRAS on the Property in respect of any period during the lease term; (v) as landlord, the Trustee will be responsible for the maintenance and repair of all structural parts of the building erected on the Property, including the roof, necessary repairs and replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein; (vi) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the plant and equipment therein; (vii) the master lessee shall take out and keep in force insurance policies (specifically an industrial special risks policy and a comprehensive public liability insurance policy) with an Islamic (Takaful) insurance company or companies in Singapore recommended by the Trustee and where the cost and expense of taking out the following insurance policies with an Islamic (Takaful) insurance company is in the reasonable opinion of the master lessee too high, the master lessee shall take out such insurance policies with such reputable insurance companies as the Trustee and the master lessee may mutually agree, on terms and conditions to be approved by the Trustee (acting reasonably) and in the joint names of the master lessee and the Trustee; (viii) if the Property is destroyed or damaged such that the Property cannot be used or is rendered inaccessible for the period of one month or more, the master lessee will not be liable to pay rent for such period. However if the destroyed or damaged Property is only partly usable for the period of one month or more, the master lessee’s liability to pay rent will be reduced in proportion to the reduction in their usability; (ix) if the building erected on the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds six months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (x) in the event the Property is acquired by the government authority and the master lease is terminated, where such amount of compensation which is attributable to the acquisition of the Property by any relevant authority has been apportioned to the master lessee but received by the Trustee for and on behalf of the master lessee (whether before or after the termination of the master lease), the Trustee shall transfer such amount of compensation to the master lessee; (xi) subject to JTC’s consent, the master lessee can assign the master lease agreement to Freight Links or any subsidiary or related company of Freight Links without the prior written consent of the Trustee. The master lessee can sublet any part of the Property without the prior approval of the Trustee if (i) the rent payable under the relevant subtenancy is at the prevailing market rent, (ii) the relevant subtenant’s businesses, activities and use of the premises is Sharia’ah compliant, (iii) the term (including any option to renew) under the relevant subtenancy will not expire after the end of the master lease term or further term (if applicable) and (iv) the master lessee has obtained the prior written approval of JTC and any other competent authorities. Where the proposed subletting does not satisfy the above, the master lessee shall obtain the prior written consent of the Trustee (which consent shall not be unreasonably withheld, refused or delayed) for such subletting;

231 (xii) at the end of the lease, the master lessee is not required to reinstate the premises to the original state and condition if the master lease is terminated (i) pursuant to a government acquisition, (ii) as a result of a termination of the head lease term by JTC or (iii) the Trustee terminates the master lease if the building is damaged or destroyed such that repair is impracticable or undesirable, unless otherwise required by JTC or other relevant authorities. If reinstatement is required by JTC or other relevant authorities, so long as such termination of the master lease and/or damage of the building is not caused by the gross negligence or wilful default of the Trustee, its employees, servants, agents, contractors, invitees, visitors or licensees, the master lessee is required to reinstate the premises to the original state and condition of the Property (except for fair wear and tear) and vacate the Property; (xxi) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee; (xiii) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall not consent to or permit any of its subtenants using the Property or any part of the Property for non- Shari’ah compliant businesses and activities. For all existing subtenancies existing as at the date of the master lease, renewals of such existing subtenancies and fresh subtenancies entered into during the master lease term, so long as each of such existing subtenant or new subtenant continues to use the Property or any part of the Property for such Shari’ah approved use for the duration of the relevant subtenancy term(s) or relevant renewal subtenancy term(s), such existing subtenant or new subtenant shall be deemed at all times to be and is treated as using the Property or any part of the Property for a Shari’ah approved use; (xiv) the master lessee may retain the existing name of the Property or the building at the Property or change the name of the Property or the building at the Property subject to the prior approval in writing of the Trustee (such approval not to be unreasonably refused, withheld or delayed). There shall be no additional payment to the Trustee by the master lessee for such naming rights; (xv) the Trustee shall not, without the master lessee’s prior written consent (which consent shall not be unreasonably refused, withheld or delayed) use the words in the name of the building at the Property or any similar name for any purpose whatsoever other than as the address of the Property; (xvi) the Trustee undertakes on the expiry of the master lease term to rename the Property without using the words “Freight Links”; (xvii) the master lessee is granted an option to renew the whole or part of the Property for such further term as shall be determined by the master lessee provided that such further term shall not exceed 5 years, and where such further term shall exceed 5 years, such further term shall be mutually agreed by both the Trustee and the master lessee. (xviii) the lease for the further term shall be in respect of the whole of the Property including the space at the Property where the automatic storage retrieval system is located and installed as at the date of the master lease (the “ASRS Space”) and related working area or only in relation to the ASRS Space and related working area and shall be on substantially the same terms as the master lease agreement save for (i) the revised rent and (ii) such additional terms and conditions as may be required by law and as the Trustee and the master lessee may mutually agree. If the lease for the further term is in respect of the whole of the Property including the ASRS Space and related working area, the rent payable for the ASRS Space and related working area for further term will be based on prevailing market conventional warehouse rental rates, and the rent payable for

232 the rest of the Property will be based on prevailing market rental rates, both as at the date of commencement of the further term. If the lease for the further term is only in relation to the ASRS Space and related working area, the rent payable for the further term will be based on prevailing market conventional warehouse rental rates as at the date of commencement of the further term; (xix) in the event that the Trustee intends to sell the whole or any part of the Property (including the plant and equipment, if applicable), subject to JTC’s prior right of first refusal to purchase the Property, the Trustee shall first give written notice to the master lessee of such intention to sell and grant to the master lessee a right of first refusal to purchase the whole or any part of the Property (including the plant and equipment, if applicable), as the case may be, at the same purchase price and on terms and conditions no less favourable than terms and conditions offered or proposed to be offered to any third party purchaser or received from any third party purchaser. The purchase price (which shall not be lower than the valuation) so offered or proposed to be offered by the Trustee to any third party purchaser or received from any third party purchaser and which the Trustee wishes to accept shall be the same purchase price (which shall not be lower than the valuation) as that offered by the Trustee to the master lessee; (xx) the master lessee must, within fourteen (14) calendar days (or such other later period as the parties may mutually agree) of receipt of the Trustee’s offer, give written notice to the Trustee of its acceptance of the Trustee’s offer; (xxi) if the master lessee does not accept the Trustee’s offer, the Trustee shall be entitled to accept any offer from a third party purchaser at a purchase price which shall not be lower than the purchase price stated in the Trustee’s offer and on such terms and conditions which shall not be more favourable than the terms and conditions of the sale and purchase agreement and any other related document incorporating the purchase price and such terms and conditions offered or proposed to be offered to the third party purchaser or received from any third party purchaser, without further reference to the master lessee. In the event (a) that no sale and purchase agreement is entered into between the Trustee and any third party purchaser within twelve (12) months from the date of expiry of the acceptance period (b) that the sale and purchase agreement is entered into between the Trustee and any third party purchaser but the sale is not completed for any reason whatsoever, the right of first refusal to the master lessee and its successors to purchase the whole or any part of the Property (including the plant and machinery, if applicable) shall continue to apply and the Trustee shall not at any time sell the whole or any part of the Property (including the plant and equipment, if applicable), as the case may be, without first re-observing the right of first refusal provisions; (xxii) the benefit of the right of first refusal provision is personal to the master lessee, or Freight Links or any subsidiary or related company of Freight Links as long as the master lessee or Freight Links or any subsidiary or related company of Freight Links is the tenant of the whole or any part of the Property and shall not be assigned or transferred to any other party, save for an assignment or transfer of the master lease or any renewal or fresh lease pursuant to the option to renew provisions to Freight Links or any subsidiary or related company of Freight Links; and (xxiii) the right of first refusal provision shall be binding on the Trustee, its successors and assigns as long as the master lessee or Freight Links or any subsidiary or related company of Freight Links is the tenant of the whole or any part of the Property.

Terms of the JTC Consent Letter By a letter dated 15 October 2010, as supplemented by a letter dated 28 October 2010 from JTC to Freight Links Express Logisticentre, JTC granted in-principle approval for (i) the transfer of the leasehold interest in respect of the Property to the Trustee, as trustee of Sabana Shari’ah

233 Compliant REIT and (ii) the leaseback of the leasehold interest in respect of the Property by the Trustee, as trustee of Sabana Shari’ah Compliant REIT (as landlord) to Freight Links Express Logisticentre (as master lessee), on the terms and conditions of the said letter. Such terms and conditions include, amongst others, the following: (i) the sale of the Property shall be legally completed within three months from the date of the JTC consent letter; (ii) the Trustee shall take over the remainder of the lease term held by Freight Links Express Logisticentre from the effective date of legal completion of the sale of the Property; (iii) the Trustee upon completion of the sale of the Property shall be principally liable to JTC for ensuring the observance and performance of all the terms, covenants and conditions, undertakings and obligations under the JTC lease documents in respect of the Property. If after completion, JTC discovers any breach of any term, covenant or condition under the JTC lease documents, the Trustee shall assume all liabilities and responsibilities to rectify and remedy the said breach; (iv) as between JTC and the Trustee, notwithstanding that the sublettings at the Property will not be assigned or novated to the Trustee on completion of the sale of the Property, if such sublettings are allowed to continue after completion, JTC will require the Trustee to confirm in writing that the Trustee agrees to the continuation of such sublettings and that the Trustee accepts to assume all the rights and liabilities under the existing arrangements relating to such sublettings; (v) the Trustee is prohibited from selling, assigning or transferring the Property during the first three years starting from the completion of the sale of the Property. Thereafter, if the Trustee wishes to sell, assign, transfer, create a trust or part with the possession or occupation of the Property, the Trustee must first make a written offer to JTC at the prevailing market rate. If JTC declines the right of first refusal, the Trustee may, subject to JTC’s prior written consent, sell, assign, transfer, create a trust or part with the possession or occupation of the Property; (vi) Freight Links Express Logisticentre shall occupy at least 50% of the gross floor area of the Property (“Anchor GFA”) for a period of three years from the completion of the sale of the Property (“Leaseback Anchor Subletting Condition”). The Trustee may, subject always to the Leaseback Anchor Subletting Condition, be permitted to sublet to other subtenants, provided that after the period of three years from the completion of the sale of the Property, such other subtenants shall include anchor subtenants who shall collectively occupy the whole of the Anchor GFA, or the balance of the Anchor GFA not occupied by Freight Links Express Logisticentre, and shall each occupy a gross floor area of at least 3,000 square metres and meet all JTC’s prevailing anchor subtenant criteria.

26 Loyang Drive Terms of the State Lease A State Lease No. 25348 (varied by a Supplemental Lease dated 24 March 2008) was issued by the President of the Republic of Singapore, as lessor, in favour of JTC, as lessee, in respect of 26 Loyang Drive (referred to as the “Property” in this section) for a term of 99 years commencing from 1 September 1974. Principal terms of the State Lease No. 25348 include, amongst others, the following: k JTC must surrender: (c) free to the government such portions of the land as may be required in future for roads, drainage, etc;

234 (d) if directed by the government, to the government such portions of the acquired land which are not required for the purpose specified in the State Lease No. 25348 (i.e. for industrial development) at rates equivalent to the compensation payable if such land had been acquired under the Land Acquisition Act; k JTC is responsible for the resettlement and clearance at JTC’s own expense of any encumbrances on the Property; and k the lessor is entitled to exercise the right of re-entry if JTC fails to perform or observe any of the terms and conditions of the State Lease No. 25348, and upon re-entry, the term of the affected State Lease No. 25348 will cease but without prejudice to any right of action or remedy that the lessor may have. There is a restriction in the State Lease No. 25348 on JTC’s right to sublease the Property. However, JTC has confirmed in writing that the State has granted consent to JTC to sublet the land in the State Lease relating to the Property. The terms of the State Lease No. 25348 will be binding on the purchaser of the leasehold interest in respect of the Property.

Terms of the Building Agreement JTC in turn entered into a building agreement dated 10 June 2006 (the “26 Loyang Drive Building Agreement”) with Gallaher Singapore Pte. Limited (“Gallaher”) whereby JTC agreed to grant to Gallaher a licence term for three years from 1 January 2006, and subject to certain conditions being fulfilled, a lease for 30 years commencing from 1 January 2006. Principal terms of the 26 Loyang Drive Building Agreement include, amongst others, the following: k provisions for the payment of annual rent by the lessee to JTC in advance by equal monthly instalments. The annual rent is subject to revision on the 1st day of January every year at the rate based on the market rent on the respective dates but so that the increase shall not exceed 5.5% of the yearly rent for each immediately preceding year. The market rent is defined to mean the rent per square metre per annum of the Property excluding the buildings and other structures erected thereon, as determined by JTC whose decision is final; and k a provision against the lessee demising, assigning, charging creating a trust or agency, mortgaging, letting, subletting, granting a licence or parting with or sharing the possession or occupation of the Property without JTC’s prior written consent except where mortgaged or charged to a licensed bank or finance company. By a letter dated 9 January 2009 from JTC to Gallaher1, JTC confirmed that the lessee has qualified for a 30 year with an option for a further term of 18 years lease with effect from 1 January 2006 and if there is no breach of any covenants, JTC will proceed to issue Gallaher the lease. Gallaher entered into a deed of assignment dated 28 December 2009 with Oxley & Hume Builders Pte. Ltd. (“Oxley & Hume”) whereby Gallaher assigned all its rights title interests benefits under or arising out of the 26 Loyang Drive Building Agreement and the estate right title and interest of Gallaher in the Property to Oxley & Hume. By a letter dated 9 November 2009 from JTC to Gallaher, JTC consented to the assignment/transfer from Gallaher to Oxley & Hume but has imposed certain conditions which are binding on Oxley & Hume and a restriction on the use

1 Gallaher is the predecessor of Oxley & Hume, the Vendor of the 26 Loyang Drive property.The letter dated 9 January 2009 from JTC to Gallaher was addressed to Gallaher as this was the letter from JTC giving consent to the predecessor to assign the lease tenure to Oxley & Hume.

235 of 26 Loyang Drive, for the purpose of the design and fabrication of building automation services, devices and equipment including preparation and storing of construction/building related parts.

Terms of the Sale and Purchase Agreement On 4 November 2010, the Trustee has entered into a sale and purchase agreement with Oxley & Hume for the sale by Oxley & Hume to the Trustee of the leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (ii) the purchase price is S$32,000,000.00; (iii) on completion, the Trustee will enter into a master lease agreement with Oxley & Hume for a lease of the Property, principal terms of which are summarised below; (iv) completion is subject to and conditional upon (a) the financing facilities to the Sabana Shari’ah Compliant REIT being available for drawdown on completion date and (b) the listing of the units in Sabana Shari’ah Compliant REIT and commencement of trading of such units on SGX-ST; (v) certain limited representations and warranties are made by Oxley & Hume such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters (such as structural defects), environmental laws and property tax; (vi) if prior to completion, the government acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which affects the functionality of the building, the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in Sabana Shari’ah Compliant REIT; and (vii) if there is material damage prior to completion, the Trustee is entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (1) it is unfit for use or occupation, (2) it is rendered unsafe or inaccessible or (3) it cannot lawfully be used, and which in the opinion of the Trustee, adversely affects the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in Sabana Shari’ah Compliant REIT.

Terms of the Master Lease Agreement On completion of the sale of the Property, the Trustee will enter into a master lease agreement with Oxley & Hume (as master lessee) for a lease of the Property together with the plant and equipment on the Property. The terms of the master lease agreement include, amongst others, the following: (i) the term of the master lease is for a period of 5 years from the date of completion; (ii) rent is payable by the master lessee on a monthly basis in advance and the annual rent payable by the master lessee is as follows; (a) S$2,450,000.00 for the first year of the lease term; (b) S$2,486,750.00 for the second year of the lease term; (c) S$2,524,051.00 for the third year of the lease term; (d) S$2,561,912.00 for the fourth year of the lease term; and (e) S$2,600,341.00 for the fifth year of the lease term; (iii) the master lessee is required to provide to the Trustee a security deposit equivalent to 12 months of the monthly rent for the Property, as security for compliance by the master

236 lessee of all the provisions in the master lease agreement and to secure or indemnify the Trustee against any loss or damage resulting from any default by the master lessee and any claim by the Trustee against the master lessee; (iv) the master lessee is appointed and authorised by the Trustee (as landlord) to act as agent for the Trustee to pay, as variable rent at such times and in the manner specified by the Trustee, the following amounts: (a) in respect of the Property, land rent, rates and taxes (other than the Trustee’s income tax and any other corporate taxes payable by the Trustee), including all charges, assessments, duties and fees levied during the lease term; (b) all premiums payable in respect of the industrial special risks policy and the comprehensive public liability insurance policy; and (c) property tax (including all increases from time to time) imposed by the IRAS on the Property in respect of any period during the lease term; (v) as landlord, the Trustee will be responsible for structural repairs of the building erected on the Property, necessary replacements of the internal and/or external structural parts of the building and necessary replacements of the mechanical and electrical equipment therein; (vi) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the mechanical and electrical equipment therein; (vii) the master lessee shall take out and keep in force insurance policies (specifically an industrial special risks policy and a comprehensive public liability insurance policy) with an Islamic (Takaful) insurance company or companies in Singapore approved by the Trustee, on terms and conditions to be approved by the Trustee and in the joint names of the master lessee and the Trustee; (viii) if the Property is destroyed or damaged such that the Property cannot be used or is rendered inaccessible for the period of one month or more, the master lessee will not be liable to pay rent for such period. However if the destroyed or damaged Property is only partly usable for the period of one month or more, the master lessee’s liability to pay rent will be reduced in proportion to the reduction in their usability; (ix) if the building erected on the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds six months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (x) the master lessee is not entitled to assign the master lease agreement, the master lessee may however sub-let any part of the Property subject to (i) the prior written consent of the Trustee (such consent not to be unreasonably withheld), (ii) the master lessee’s compliance with all terms of the master lease agreement and (iii) the prior written approval of JTC and any other competent authorities; (xi) at the end of the lease, the master lessee is required to reinstate the premises to the original state and condition of the Property and vacate the Property; (xii) in the event the master lessee is in default under the master lease agreement, the Trustee is entitled to require the master lessee to assign to the Trustee, all rights and remedies (including rent and other proceeds) of the master lessee under and/or arising from any of the sub-tenancies selected by the Trustee;

237 (xiii) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee; (xiv) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall ensure that all subtenants are engaged in Shari’ah compliant businesses and activities; and (xv) the master lessee acknowledges that all subtenancies, sublettings and licences in respect of the Property existing as at commencement date of the term shall operate as subleases as between the master lessee (as landlord) and each such subtenant (as lessee) on the terms of the relevant subtenancies, sublettings and licences in respect of the Property and that the master lessee is the party to perform all obligations as landlord under such subtenancies, sublettings and licences.

Terms of the JTC Consent Letter By a letter dated 13 August 2010 from JTC to Oxley & Hume, JTC granted in-principle approval for the transfer of the leasehold interest in respect of the Property to the Trustee and the leaseback of the Property from Trustee to Oxley & Hume on the terms and conditions of the said letter. Such terms and conditions include, amongst others, the following: (i) The sale of the Property shall be legally completed by 31 December 2010. (ii) The Trustee shall take over the remainder of the lease term held by Oxley & Hume from the effective date of legal completion of the sale of the Property. (iii) The Trustee upon completion of the sale of the Property shall be principally liable to JTC for ensuring the observance and performance of all the terms, covenants and conditions, undertakings and obligations under the JTC lease documents in respect of the Property. If after completion, JTC discovers any breach of any term, covenant or condition under the JTC lease documents, the Trustee shall assume all liabilities and responsibilities to rectify and remedy the said breach. (iv) The Trustee is prohibited from selling, assigning or transferring the Property during the first three years starting from the completion of the sale of the Property. Thereafter, if the Trustee wishes to sell, assign, transfer, create a trust or part with the possession or occupation of the Property, the Trustee must first make a written offer to JTC at the prevailing market rate. If JTC declines the right of first refusal, the Trustee may, subject to JTC’s prior written consent, sell, assign, transfer, create a trust or part with the possession or occupation of the Property. (v) Oxley & Hume shall occupy at least 50% of the gross floor area of the Property (“Anchor GFA”) for a period of three years from the completion of the sale of the Property (“Leaseback Anchor Subletting Condition”). The Trustee may, subject always to the Leaseback Anchor Subletting Condition, be permitted to sublet to other subtenants, provided that after the period of three years from the completion of the sale of the Property, such other subtenants shall include anchor subtenants who shall collectively occupy the whole of the Anchor GFA, or the balance of the Anchor GFA not occupied by Oxley & Hume and shall each occupy a gross floor area of at least 3,000 square metres and meet all JTC’s prevailing anchor subtenant criteria.

3 Kallang Way 2A Terms of the State Lease A State Lease No. 24777 dated 9 September 2002 (varied by a Supplemental Lease dated 24 March 2008) was issued by the President of the Republic of Singapore, as lessor, in favour of

238 JTC, as lessee, in respect of 3 Kallang Way 2A (referred to as the “Property” in this section) for a term of 99 years commencing from 22 November 1972. Principal terms of the State Lease No. 24777 include, amongst others, the following: k JTC must surrender: (i) free to the government such portions of the land as may be required in future for roads, drainage, etc; (ii) if directed by the government, to the government such portions of the acquired land which are not required for the purpose specified in the State Lease No. 24777 (i.e. for industrial development) at rates equivalent to the compensation payable if such land had been acquired under the Land Acquisition Act; and (iii) to the government such portions of the acquired land as may be required for other public purpose at the same cost plus interest save where JTC is specifically directed by the government to contribute such land free of charge; k JTC is responsible for the resettlement and clearance at JTC’s own expense of any squatters or other encumbrances on the Property; and k the lessor is entitled to exercise the right of re-entry if JTC fails to perform or observe any of the terms and conditions of the State Lease No. 24777, and upon re-entry, the term of the affected State Lease No. 24777 will cease but without prejudice to any right of action or remedy that the lessor may have. There is a restriction in the State Lease on JTC’s right to sublease the Property.However,the JTC has confirmed in writing that the State has granted consent to JTC to sublet, underlet or licence to any person, the land in the State Lease relating to the Property. The terms of the State Lease No. 24777 will be binding on the purchaser of the leasehold interest in respect of the Property.

Terms of the Lease Agreement A registered Lease No. IA/122416P dated 13 April 2005, as varied by a Variation of Lease to be registered as IB/971685D at the Singapore Land Authority, comprised in Certificate of Title (SUB) Volume 630 Folio 158 (the “3 Kallang Way 2A JTC Lease”) was issued by JTC to Fong Tat Motor Co. Pte. Ltd. (“Fong Tat Motor”) (as lessee) for a term of 30 years commencing from 1 May 1995 for the Property. Principal terms of the 3 Kallang Way 2A JTC Lease include, amongst others, the following: k provisions for the payment of annual rent by the lessee to JTC in advance by quarterly instalments. The annual rent is subject to revision on the 1st day of May every year at the rate based on the market rent on the respective dates but so that the increase shall not exceed 5.5% of the yearly rent for each immediately preceding year. The market rent is defined to mean the rent per square metre per annum of the Property excluding the buildings and other structures erected thereon as determined by JTC whose decision is final; k a prohibition against the lessee demising, assigning, transferring, charging, creating a trust or agency, mortgaging, letting, subletting, or permit underletting, or granting a licence or parting with or sharing the possession or occupation of the Property in whole or in part without JTC’s prior written consent except where mortgaged or charged to a licensed bank or finance company; k a restriction on the use of the Property, for the purpose of “storage of automotive spare parts only”; and

239 k a provision that in consideration of the lessee fulfilling certain fixed investment criteria, the lessor covenants to grant the lessee a further lease term of 30 years commencing from the expiry of the current term provided that, amongst others, at the expiry of the current term, there is no existing breach or non-observance of any of the covenants and conditions contained in the 3 Kallang Way 2A JTC Lease on the part of the lessee to be observed or performed. By a letter dated 19 February 2004 from JTC to Fong Tat Motor, JTC confirmed that the lessee has qualified for a 30+30 years lease with effect from 1 May 1995.

Terms of the Sale and Purchase Agreement On 4 November 2010, the Trustee, as trustee of Sabana Shari’ah Compliant REITentered into a sale and purchase agreement with Fong Tat Motor for the sale by Fong Tat Motor to the Trustee of the leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (ii) the purchase price is S$15,000,000.00; (iii) on completion, the Trustee will enter into a master lease agreement with Fong Tat Motor for a lease of the Property, principal terms of which are summarised below; (iv) completion is subject to and conditional upon (a) the financing facilities to the Sabana Shari’ah Compliant REIT being available for drawdown on completion date and (b) the listing of the units in the Sabana Shari’ah Compliant REITand commencement of trading of such units on SGX-ST; (v) completion must be no later than 3 months from the date of the sale and purchase agreement in respect of the Property; (vi) if prior to completion, the government acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which affects the functionality of the building, the value of the Property or the acceptability of the Property; (vii) certain limited representations and warranties are made by Fong Tat Motor such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters (such as structural defects), environmental laws and property tax but are subject to certain limitations, including (1) no claim unless the aggregate claims exceed S$50,000, (2) maximum aggregate liability of Fong Tat Motor shall not exceed 50% of the purchase price, (3) all claims must be made within 12 months from completion, and (4) legal proceedings on such claims must commence no later than 24 months from completion; and (viii) if there is material damage prior to completion, the Trustee is entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (1) it is unfit for use or occupation, (2) it is rendered unsafe or inaccessible or (3) it cannot lawfully be used, and which in the opinion of the Trustee, adversely affects the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in the Sabana Shari’ah Compliant REIT.

Terms of the Master Lease Agreement On completion of the sale of the Property, the Trustee will enter into a master lease agreement with Fong Tat Motor (as master lessee) for a lease of the Property together with the plant and

240 equipment at the Property. The terms of the master lease agreement include, amongst others, the following: (i) the term of the master lease is for a period of 3 years from the date of completion; (ii) rent is payable by the master lessee on a monthly basis in advance, the annual rent payable by the master lessee is as follows; (a) S$1,160,000.00 for the first year of the lease term; (b) S$1,180,000.00 for the second year of the lease term; and (c) S$1,200,955.00 for the third year of the lease term. (iii) the master lessee is required to provide to the Trustee a security deposit equivalent to 12 months of the monthly rent for the Property, as security for compliance by the master lessee of all the provisions in the master lease agreement and to secure or indemnify the Trustee against any loss or damage resulting from any default by the master lessee and any claim by the Trustee against the master lessee; (iv) the master lessee is appointed and authorised by the Trustee (as landlord) to act as agent for the Trustee to pay, as variable rent at such times and in the manner specified by the Trustee, the following amounts: (a) in respect of the Property, land rent, rates and taxes (other than the Trustee’s income tax and any other corporate taxes payable by the Trustee), including all charges, assessments, duties and fees levied during the lease term; (b) all premiums payable in respect of the industrial special risks policy and the comprehensive public liability insurance policy; and (c) property tax (including all increases from time to time) imposed by the IRAS on the Property in respect of any period during the lease term; (v) as landlord, the Trustee will be responsible for structural repairs of the building erected on the Property, necessary replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein; (vi) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the plant and equipment therein; (vii) the master lessee shall take out and keep in force insurance policies (specifically an industrial special risks policy and a comprehensive public liability insurance policy) with an Islamic (Takaful) insurance company or companies in Singapore approved by the Trustee, on terms and conditions to be approved by the Trustee and in the joint names of the master lessee and the Trustee; (viii) if the Property is destroyed or damaged such that the Property cannot be used or is rendered inaccessible for the period of one month or more, the master lessee will not be liable to pay rent for such period. However if the destroyed or damaged Property is only partly usable for the period of one month or more, the master lessee’s liability to pay rent will be reduced in proportion to the reduction in their usability; (ix) if the building erected on the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds six months, the master lessee shall be entitled to terminate the master lease agreement without compensation;

241 (x) the master lessee is not entitled to assign the master lease agreement, the master lessee may however sub-let any part of the Property subject to (i) the master lessee obtaining the prior written consent of the Trustee (such consent not to be unreasonably withheld), (ii) the master lessee’s compliance with all terms of the master lease agreement and (iii) the prior written approval of JTC and any other competent authorities, provided that the Trustee will not withhold its consent if (a) the permitted use under each subtenancy is Shari’ah compliant (to be determined at the Trustee’s sole discretion) and consistent with the approved use of the Property permitted under the 3 Kallang Way 2A JTC Lease (b) consent of JTC and any other competent authorities to each subtenancy has or will be obtained and (c) the proposed rent under each subtenancy is at prevailing market rent; (xi) at the end of the lease, the master lessee is required to reinstate the premises to the original state and condition of the Property (except for fair wear and tear) and vacate the Property; (xii) in the event the master lessee is in default under the master lease agreement, the Trustee is entitled to require the master lessee to assign to the Trustee, all rights and remedies (including rent and other proceeds) of the master lessee under and/or arising from any of the sub-tenancies selected by the Trustee; (xiii) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee; and (xiv) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall ensure that all subtenants are engaged in Shari’ah compliant businesses and activities.

Terms of the JTC Consent Letter By a letter dated 28 September 2010 from JTC to Fong Tat Motor, JTC granted in-principle approval for (i) the transfer of the leasehold interest in respect of the Property to the Trustee, as trustee of Sabana Shari’ah Compliant REIT and (ii) the leaseback of the leasehold interest in respect of the Property by the Trustee, as trustee of Sabana Shari’ah Compliant REIT (as landlord) to Fong Tat Motor (as master lessee), on the terms and conditions of the said letter. Such terms and conditions include, amongst others, the following: (i) the sale of the Property shall be legally completed within three months from the date of the JTC consent letter; (ii) the Trustee shall take over the remainder of the lease term held by Fong Tat Motor from the effective date of legal completion of the sale of the Property; (iii) the Trustee upon completion of the sale of the Property shall be principally liable to JTC for ensuring the observance and performance of all the terms, covenants and conditions, undertakings and obligations under the JTC lease documents in respect of the Property. If after completion, JTC discovers any breach of any term, covenant or condition under the JTC lease documents, the Trustee shall assume all liabilities and responsibilities to rectify and remedy the said breach; (iv) as between JTC and the Trustee, notwithstanding that the sublettings at the Property will not be assigned or novated to the Trustee on completion of the sale of the Property, if such sublettings are allowed to continue after completion, JTC will require the Trustee to confirm in writing that the Trustee agrees to the continuation of such sublettings and that the Trustee accepts to assume all the rights and liabilities under the existing arrangements relating to such sublettings; (v) the Trustee is prohibited from selling, assigning or transferring the Property during the first three years starting from the completion of the sale of the Property. Thereafter, if the

242 Trustee wishes to sell, assign, transfer, create a trust or part with the possession or occupation of the Property, the Trustee must first make a written offer to JTC at the prevailing market rate. If JTC declines the right of first refusal, the Trustee may, subject to JTC’s prior written consent, sell, assign, transfer, create a trust or part with the possession or occupation of the Property; (vi) Fong Tat Motor shall occupy at least 50% of the gross floor area of the Property (“Anchor GFA”) for a period of three years from the completion of the sale of the Property (“Leaseback Anchor Subletting Condition”). The Trustee may, subject always to the Leaseback Anchor Subletting Condition, be permitted to sublet to other subtenants, provided that after the period of three years from the completion of the sale of the Property, such other subtenants shall include anchor subtenants who shall collectively occupy the whole of the Anchor GFA, or the balance of the Anchor GFA not occupied by Fong Tat Motor, and shall each occupy a gross floor area of at least 3,000 square metres and meet all JTC’s prevailing anchor subtenant criteria.

218 Pandan Loop Terms of the State Lease A State Lease No. 20052 dated 1 November 1994 (varied by a Supplemental Lease dated 24 March 2008) was issued by the President of the Republic of Singapore, as lessor, in favour of JTC, as lessee, in respect of 218 Pandan Loop (referred to as the “Property” in this section) for a term of 99 years commencing from 1 January 1970. Principal terms of the State Lease No. 20052 (varied by a Supplemental Lease dated 24 March 2008) include, amongst others, the following: k JTC must surrender: (i) free to the government such portions of the land as may be required in future for roads and drainage purposes; and (ii) if directed by the government, to the government such portions of the acquired land which are not required for the purpose specified in the State Lease No. 20052 (i.e. for industrial development) at rates equivalent to the compensation payable if such land had been acquired under the Land Acquisition Act; k JTC is responsible for the resettlement and clearance at JTC’s own expense of any squatters on the Property; and k the lessor is entitled to exercise the right of re-entry if JTC fails to perform or observe any of the terms and conditions of the State Lease No. 20052 (varied by a Supplemental Lease dated 24 March 2008), and upon re-entry, the term of the affected State Lease No. 20052 (varied by a Supplemental Lease dated 24 March 2008) will cease but without prejudice to any right of action or remedy that the lessor may have. There is a restriction in the State Lease on JTC’s right to sublease the Property.However,the JTC has confirmed by an email dated 28 October 2010 that the State has granted consent to JTC to sublet, underlet or licence to any person, the land in the State Lease relating to the Property. The terms of the State Lease No. 20052 (varied by a Supplemental Lease dated 24 March 2008) will be binding on the purchaser of the leasehold interest in respect of the Property.

Terms of the Lease Agreement JTC has issued a registered Lease No. I/36825R dated 15 November 2002 to Foodbex Global Pte Ltd (“Foodbex”) for a term of 30 years commencing from 16 September 1989 for the Property which was transferred by Foodbex to Freight Links Express Air Systems Pte Ltd (“Freight Links Express Air Systems”). Lease No. I/36825R is supplemented and varied by a

243 Variation of Lease IA/397963L dated 8 February 2007 which was issued by JTC to Freight Links Express Air Systems (as lessee) and is comprised in Certificate of Title (SUB) Volume 610 Folio 156 (both Lease No I/36825R dated 15 November 2002 and Variation of Lease IA/397963L dated 8 February 2007 collectively known as the “218 Pandan Loop JTC Lease”).

Principal terms of the 218 Pandan Loop JTC Lease include, amongst others, the following: k provisions for the payment of annual rent by the lessee to JTC in advance by monthly instalments. The annual rent is subject to revision on the 16th day of September every year at the rate based on the market rent on the respective dates but so that the increase shall not exceed 5.5% of the yearly rent for each immediately preceding year. The market rent is defined to mean the rent per square metre per annum of the Property excluding the buildings and other structures erected thereon as determined by JTC whose decision is final; k a prohibition against the lessee demising, assigning, charging, creating a trust or agency, mortgaging, letting, subletting, underletting, or parting with possession of the Property without JTC’s prior written consent except when mortgaged or charged to a licensed bank or finance company; k a restriction on the use of the Property, for the purpose of “food processing, storage and distribution only” and that the lessee must ensure that at least 60% of the total floor area of the demised premises must be used for purely industrial activities and may use the remaining floor area for ancillary stores and offices, neutral areas, communal facilities provided that such ancillary offices must not exceed 10% of the total floor area. The demised premises used for the purpose of the commercial office and storage must not be unrelated to the lessee’s approved industrial activity; and k a provision that in consideration of the lessee fulfilling certain fixed investment criteria, the lessor covenants to grant the lessee a further lease term of 30 years commencing from the expiry of the current term provided that, amongst others, at the expiry of the current term, there is no existing breach or non-observance of any of the covenants and conditions contained in the 218 Pandan Loop JTC Lease on the part of the lessee to be observed or performed.

By a letter dated 25 April 2005 from JTC to Chan & Goh Advocates & Solicitors, JTC confirmed that the lease term granted to Foodbex is 30+30 years lease with effect from 16 September 1989.

Terms of the Sale and Purchase Agreement

On 4 November 2010, the Trustee, as trustee of Sabana Shari’ah Compliant REITentered into a sale and purchase agreement with Freight Links Express Air Systems for the sale by Freight Links Express Air Systems to the Trustee of the leasehold interest in respect of the Property.The terms of the sale and purchase agreement include, amongst others, the following:

(i) the sale includes the plant and equipment located in the Property;

(ii) the purchase price is S$13,500,000.00;

(iii) on completion, the Trustee will enter into a master lease agreement with Freight Links Express Air Systems for a lease of the Property, principal terms of which are summarised below;

(iv) completion is subject to and conditional upon the listing of the units in the Sabana Shari’ah Compliant REIT and commencement of trading of such units on SGX-ST;

(v) completion must not be earlier than two weeks after the date of exercise of the relevant call option or put option and must not be later than 31 December 2010;

244 (vi) certain limited representations and warranties are made by Freight Links Express Air Systems such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters, environmental laws and property tax;

(vii) if at any time, the government or other competent authority acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which results in a reduction of ten per cent (10%) or more of the fair market value of the leasehold Property, as determined by computing the average of the valuations conducted by two valuers;

(viii) if there is material damage prior to completion, the Trustee is entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (1) it is unfit for use or occupation, (2) it is rendered unsafe or inaccessible or (3) it cannot lawfully be used and which in the opinion of the Trustee, adversely affects the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in the Sabana Shari’ah Compliant REIT; and

(ix) completion of the Property is conditional upon the concurrent completion of the sale and purchase of each of the Third Party Properties (defined as all the other properties which are to be purchased at the time of the listing of Sabana Shari’ah Compliant REIT) and Freight Links Properties being (i) 51 Penjuru Road, Singapore 609143 (ii) 18 Gul Drive, Singapore 629468, (iii) 30 Tuas Avenue 8, Singapore 639246 and 32 Tuas Avenue 8, Singapore 639247 and (iv) 33 Penjuru Lane, Singapore 609200 and 35 Penjuru Lane, Singapore 609202. In the event that a seller or purchaser of any of the Third Party Properties or the Freight Links Properties exercises a right of termination, then the sale and purchase agreement of the Property will also terminate.

Terms of the Master Lease Agreement

On completion of the sale of the Property, the Trustee will enter into a master lease agreement with Freight Links Express Air Systems (as master lessee) for a lease of the Property together with the plant and equipment at the Property. The terms of the master lease agreement include, amongst others, the following:

(i) the term of the master lease is for a period of 5 years from the date of completion;

(ii) rent is payable by the master lessee on a monthly basis in advance, the annual rent payable by the master lessee is as follows:

(a) S$1,050,000.00 for the first year of the lease term;

(b) S$1,065,750.00 for the second year of the lease term;

(d) S$1,097,962.00 for the fourth year of the lease term; and

(e) S$1,114,432.00 for the fifth year of the lease term;

(iii) the master lessee is required to provide to the Trustee a security deposit of S$811,482.00 as security for compliance by the master lessee of all the provisions in the master lease agreement and to secure or indemnify the Trustee against any loss or damage resulting from any default by the master lessee and any claim by the Trustee against the master lessee;

245 (iv) the master lessee is appointed and authorised by the Trustee (as landlord) to act as agent for the Trustee to pay, as variable rent at such times and in the manner specified by the Trustee, the following amounts: (a) in respect of the Property, land rent, rates and taxes (other than the Trustee’s income tax and any other corporate taxes payable by the Trustee), including all charges, assessments, duties and fees levied during the lease term; (b) all premiums payable in respect of the industrial special risks policy and the comprehensive public liability insurance policy; and (c) property tax (including all increases from time to time) imposed by the IRAS on the Property in respect of any period during the lease term; (v) as landlord, the Trustee will be responsible for the maintenance and repair of all structural parts of the building erected on the Property, including the roof, necessary repairs and replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein; (vi) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the plant and equipment therein; (vii) the master lessee shall take out and keep in force insurance policies (specifically an industrial special risks policy and a comprehensive public liability insurance policy) with an Islamic (Takaful) insurance company or companies in Singapore recommended by the Trustee and where the cost and expense of taking out the following insurance policies with an Islamic (Takaful) insurance company is in the reasonable opinion of the master lessee too high, the master lessee shall take out such insurance policies with such reputable insurance companies as the Trustee and the master lessee may mutually agree, on terms and conditions to be approved by the Trustee (acting reasonably) and in the joint names of the master lessee and the Trustee; (viii) if the Property is destroyed or damaged such that the Property cannot be used or is rendered inaccessible for the period of one month or more, the master lessee will not be liable to pay rent for such period. However if the destroyed or damaged Property is only partly usable for the period of one month or more, the master lessee’s liability to pay rent will be reduced in proportion to the reduction in their usability; (ix) if the building erected on the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds six months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (x) in the event the Property is acquired by the government authority and the master lease is terminated, where such amount of compensation which is attributable to the acquisition of the Property by any relevant authority has been apportioned to the master lessee but received by the Trustee for and on behalf of the master lessee (whether before or after the termination of the master lease), the Trustee shall transfer such amount of compensation to the master lessee; (xi) subject to JTC’s consent, the master lessee can assign the master lease agreement to Freight Links or any subsidiary or related company of Freight Links without the prior written consent of the Trustee. The master lessee can sublet any part of the Property without the prior approval of the Trustee if (i) the rent payable under the relevant subtenancy is at the prevailing market rent, (ii) the relevant subtenant’s businesses, activities and use of the premises is Sharia’ah compliant, (iii) the term (including any

246 option to renew) under the relevant subtenancy will not expire after the end of the master lease term or further term (if applicable) and (iv) the master lessee has obtained the prior written approval of JTC and any other competent authorities. Where the proposed subletting does not satisfy the above, the master lessee shall obtain the prior written consent of the Trustee (which consent shall not be unreasonably withheld, refused or delayed) for such subletting; (xii) at the end of the lease, the master lessee is not required to reinstate the premises to the original state and condition if the master lease is terminated (i) pursuant to a government acquisition, (ii) as a result of a termination of the head lease term by JTC or (iii) the Trustee terminates the master lease if the building is damaged or destroyed such that repair is impracticable or undesirable, unless otherwise required by JTC or other relevant authorities. If reinstatement is required by JTC or other relevant authorities, so long as such termination of the master lease and/or damage of the building is not caused by the gross negligence or wilful default of the Trustee, its employees, servants, agents, contractors, invitees, visitors or licensees, the master lessee is required to reinstate the premises to the original state and condition of the Property (except for fair wear and tear) and vacate the Property; (xiii) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee; (xiv) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall not consent to or permit any of its subtenants using the Property or any part of the Property for non- Shari’ah compliant businesses and activities. For all existing subtenancies existing as at the date of the master lease, renewals of such existing subtenancies and fresh subtenancies entered into during the master lease term, so long as each of such existing subtenant or new subtenant continues to use the Property or any part of the Property for such Shari’ah approved use for the duration of the relevant subtenancy term(s) or relevant renewal subtenancy term(s), such existing subtenant or new subtenant shall be deemed at all times to be and is treated as using the Property or any part of the Property for a Shari’ah approved use; (xv) the master lessee may retain the existing name of the Property or the building at the Property or change the name of the Property or the building at the Property subject to the prior approval in writing of the Trustee (such approval not to be unreasonably refused, withheld or delayed). There shall be no additional payment to the Trustee by the master lessee for such naming rights; (xvi) the Trustee shall not, without the master lessee’s prior written consent (which consent shall not be unreasonably refused, withheld or delayed) use the words in the name of the building at the Property or any similar name for any purpose whatsoever other than as the address of the Property; (xvii) the Trustee undertakes on the expiry of the master lease term to rename the Property without using the words “Freight Links”. (xviii) the master lessee is granted an option to renew the whole or part of the Property for such further term as shall be determined by the master lessee provided that such further term shall not exceed 5 years, and where such further term shall exceed 5 years, such further term shall be mutually agreed by both the Trustee and the master lessee. The further term shall be at the prevailing market rent as at the commencement of the further term and on substantially the same terms as the master lease agreement save for (i) the revised rent and (ii) such additional terms and conditions as may be required by law and as the Trustee and the master lessee may mutually agree;

247 (xix) in the event that the Trustee intends to sell the whole or any part of the Property (including the plant and equipment, if applicable), subject to JTC’s prior right of first refusal to purchase the Property, the Trustee shall first give written notice to the master lessee of such intention to sell and grant to the master lessee a right of first refusal to purchase the whole or any part of the Property (including the plant and equipment, if applicable), as the case may be, at the same purchase price and on terms and conditions no less favourable than the purchase price and terms and conditions offered or proposed to be offered to any third party purchaser or received from any third party purchaser. The purchase price (which shall not be lower than the valuation) so offered or proposed to be offered by the Trustee to any third party purchaser or received from any third party purchaser and which the Trustee wishes to accept shall be the same purchase price (which shall not be lower than the valuation) as that offered by the Trustee to the master lessee;

Terms of the JTC Consent Letter

By a letter dated 11 October 2010, as supplemented by a letter dated 27 October 2010 from JTC to Freight Links Express Air Systems, JTC (i) granted in-principle approval for the transfer of the leasehold interest in respect of the Property to the Trustee, as trustee of Sabana Shari’ah Compliant REIT and (ii) stated that it has no objections to the lease of the leasehold interest in respect of the Property between the Trustee, as trustee of Sabana Shari’ah Compliant REIT (as

248 landlord) and Freight Links Express Air Systems (as master lessee), on the terms and conditions of the said letters. Such terms and conditions include, amongst others, the following: (i) the sale of the Property shall be legally completed within three months from the date of the JTC consent letter; (ii) the Trustee shall take over the remainder of the lease term held by Freight Links Express Air Systems from the effective date of legal completion of the sale of the Property; (iii) the Trustee upon completion of the sale of the Property shall be principally liable to JTC for ensuring the observance and performance of all the terms, covenants and conditions, undertakings and obligations under the JTC lease documents in respect of the Property. If after completion, JTC discovers any breach of any term, covenant or condition under the JTC lease documents, the Trustee shall assume all liabilities and responsibilities to rectify and remedy the said breach; (iv) the Trustee is prohibited from selling, assigning or transferring the Property during the first three years starting from the completion of the sale of the Property. Thereafter, if the Trustee wishes to sell, assign, transfer, create a trust or part with the possession or occupation of the Property, the Trustee must first make a written offer to JTC at the prevailing market rate. If JTC declines the right of first refusal, the Trustee may, subject to JTC’s prior written consent, sell, assign, transfer, create a trust or part with the possession or occupation of the Property; (v) Freshmart Singapore Pte Ltd, as the existing subtenant and end-user of the Property shall continue to operate at the Property and occupy 100% of the gross floor area of the Property for a period of 3 years from completion of the sale of the Property (“Leaseback Anchor Subletting Condition”); (vi) the Trustee may, subject always to the Leaseback Anchor Subletting Condition, be permitted to sublet to other subtenants, provided that after the period of three years from the completion of the sale of the Property, such other subtenants shall include anchor subtenants who shall collectively occupy 100% of the gross floor area of the Property, or the balance 100% of the gross floor area of the Property not occupied by Freshmart Singapore Pte Ltd, and shall each occupy a gross floor area of at least 3,000 square metres and meet all JTC’s prevailing anchor subtenant criteria.

123 Genting Lane Terms of the State Lease A State Lease No. 16680 (varied by a Supplemental Lease dated 24 March 2008) was issued by the President of the Republic of Singapore, as lessor,in favour of JTC, as lessee, in respect of the 123 Genting Lane (referred to as the “Property” in this section) for a term of 99 years commencing from 14 February 1977. Principal terms of the State Lease No. 16680 include, amongst others, the following: k JTC must surrender free to the government such portions of the land as may be required in future for roads, drainage, etc; k JTC is responsible for the resettlement and clearance at JTC’s own expense of any encumbrances on the Property; k JTC is to use the land for light industrial development only; and k the lessor is entitled to exercise the right of re-entry if JTC fails to perform or observe any of the terms and conditions of the State Lease No. 16680, and upon re-entry, the term of the affected State Lease No. 16680 will cease but without prejudice to any right of action or remedy that the lessor may have.

249 There is a restriction in the State Lease No. 16680 on JTC’s right to sublease the Property. However, the JTC has confirmed by an email dated 27 October 2010 that the State has granted consent to JTC to sublet, underlet or licence to any person, the land in the State Lease relating to the Property. The terms of the State Lease No. 16680 will be binding on the purchaser of the leasehold interest in respect of the Property.

Terms of Lease Agreement A registered Lease No I/043255M comprised in Certificate of Title (SUB) Volume 523 Folio 28 (the “123 Genting Lane Lease”) was issued by JTC to Yenom Industries Pte. Ltd (“Yenom Industries”) a term of 60 years commencing from 1 September 1981. Principal terms of the 123 Genting Lane Lease include, amongst others, the following: k provisions for the payment of annual rent by the lessee to JTC in advance by equal quarterly instalments. The annual rent is subject to revision on the 1st day of September every year at the rate based on the market rent on the respective dates but so that the increase shall not exceed 7.6% of the yearly rent for each immediately preceding year. The market rent is defined to mean the rent per square metre per annum of the Property excluding the buildings and other structures erected thereon, as determined by JTC whose decision is final; k Yenom Industries shall not use the Property otherwise than for the manufacturing of release paper coating plastic vinyl label stock only except with the prior consent in writing of the lessor; and k a provision against the lessee demising, assigning, charging creating a trust or agency, mortgaging, letting, subletting, granting a licence or parting with or sharing the possession or occupation of the Property without JTC’s prior written consent except where mortgaged or charged to a licensed bank or finance company.

Terms of Sale and Purchase Agreement On 4 November 2010, the Trustee has entered into a sale and purchase agreement with Yenom Industries for the sale by Yenom Industries to the Trustee of the leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (ii) the purchase price is S$24,500,000.00; (iii) on completion, the Trustee will enter into a master lease agreement with Yenom Industries for a lease of the Property, principal terms of which are summarised below; (iv) completion is subject to and conditional upon (a) the financing facilities to the Sabana Shari’ah Compliant REIT being available for drawdown on completion date and (b) the listing of the units in Sabana Shari’ah Compliant REIT and commencement of trading of such units on SGX-ST; (v) certain limited representations and warranties are made by Yenom Industries such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters (such as structural defects), environmental laws and property tax; (vi) if prior to completion, the government acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which affects the functionality of the building, the

250 value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in Sabana Shari’ah Compliant REIT; and (vii) if there is material damage prior to completion, the Trustee is entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (1) it is unfit for use or occupation, (2) it is rendered unsafe or inaccessible or (3) it cannot lawfully be used, and which materially and adversely affects the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in Sabana Shari’ah Compliant REIT.

Terms of Master Lease Agreement On completion of the sale of the Property, the Trustee will enter into a master lease agreement with Yenom Industries (as master lessee) for a lease of the Property together with the plant and equipment on the Property. The terms of the master lease agreement include, amongst others, the following: (i) the term of the master lease is for a period of 3 years from the date of completion; (ii) rent is payable by the master lessee as follows: (a) S$1,950,000.00 for the first year of the lease term; (b) S$1,979,250.00 for the second year of the lease term; (c) S$2,008,939.00 for the third year of the lease term. (iii) the master lessee is required to provide to the Trustee a security deposit of: (a) S$2,437,500.00 for the first year of the lease term; (b) S$2,474,062.50 for the second year of the lease term; (c) S$2,511,173.75 for the third year of the lease term, as security for compliance by the master lessee of all the provisions in the master lease agreement and to secure or indemnify the Trustee against any loss or damage resulting from any default by the master lessee and any claim by the Trustee against the master lessee; (iv) the master lessee is appointed and authorised by the Trustee (as landlord) to act as agent for the Trustee to pay, as variable rent at such times and in the manner specified by the Trustee, the following amounts: (a) in respect of the Property, land rent, rates and taxes (other than the Trustee’s income tax and any other corporate taxes payable by the Trustee), including all charges, assessments, duties and fees levied during the lease term; (b) all premiums payable in respect of the industrial special risks policy and the comprehensive public liability insurance policy; and (c) property tax (including all increases from time to time) imposed by the IRAS on the Property in respect of any period during the lease term; (v) as landlord, the Trustee will be responsible for structural repairs of the building erected on the Property, necessary replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein; (vi) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the plant and equipment therein; (vii) the master lessee shall take out and keep in force insurance policies (specifically an industrial special risks policy and a comprehensive public liability insurance policy) with

251 an Islamic (Takaful) insurance company or companies in Singapore approved by the Trustee, on terms and conditions to be approved by the Trustee and in the joint names of the master lessee and the Trustee; (viii) if the Property is destroyed or damaged such that the Property cannot be used or is rendered inaccessible for the period of one month or more, the master lessee will not be liable to pay rent for such period. However if the destroyed or damaged Property is only partly usable for the period of one month or more, the master lessee’s liability to pay rent will be reduced in proportion to the reduction in their usability; (ix) if the building erected on the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds three months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (x) the master lessee is not entitled to assign the master lease agreement, the master lessee may however sub-let any part of the Property subject to (i) the prior written consent of the Trustee (such consent not to be unreasonably withheld), (ii) the master lessee’s compliance with all terms of the master lease agreement and (iii) the prior written approval of JTC and any other competent authorities; (xi) at the end of the lease, the master lessee is required to reinstate the premises to the original state and condition of the Property and vacate the Property; (xii) in the event the master lessee is in default under the master lease agreement, the Trustee is entitled to require the master lessee to assign to the Trustee, all rights and remedies (including rent and other proceeds) of the master lessee under and/or arising from any of the sub-tenancies selected by the Trustee; (xiii) if a material part of the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of a material part of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee, and material part of the Property means any part which affects the functionality of the building; (xiv) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall ensure that all subtenants are engaged in Shari’ah compliant businesses and activities; and (xv) the master lessee acknowledges that all subtenancies, sublettings and licences in respect of the Property existing as at commencement date of the term shall operate as subleases as between the master lessee (as landlord) and each such subtenant (as lessee) on the terms of the relevant subtenancies, sublettings and licences in respect of the Property and that the master lessee is the party to perform all obligations as landlord under such subtenancies, sublettings and licences.

Terms of JTC Consent Letter By a letter dated 30 September 2010 from JTC to Yenom Industries, JTC granted in-principle approval for the transfer of the leasehold interest in respect of the Property to the Trustee] and the leaseback of the Property from Trustee to Yenom Industries on the terms and conditions of the said letter. Such terms and conditions include, amongst others, the following: (i) The sale of the Property shall be legally completed within three months from the date of the JTC consent letter.

252 (ii) The Trustee shall take over the remainder of the lease term held by Yenom Industries from the effective date of legal completion of the sale of the Property. (iii) The Trustee upon completion of the sale of the Property shall be principally liable to JTC for ensuring the observance and performance of all the terms, covenants and conditions, undertakings and obligations under the JTC lease documents in respect of the Property. If after completion, JTC discovers any breach of any term, covenant or condition under the JTC lease documents, the Trustee shall assume all liabilities and responsibilities to rectify and remedy the said breach. (iv) As between JTC and the Trustee, notwithstanding that the sublettings at the Property will not be assigned or novated to the Trustee on completion of the sale of the Property, if such sublettings are allowed to continue after completion, JTC will require the Trustee to confirm in writing that the Trustee agrees to the continuation of such sublettings and that the Trustee accepts to assume all the rights and liabilities under the existing arrangements relating to such sublettings. (v) The Trustee is prohibited from selling, assigning or transferring the Property during the first three years starting from the completion of the sale of the Property. Thereafter, if the Trustee wishes to sell, assign, transfer, create a trust or part with the possession or occupation of the Property, the Trustee must first make a written offer to JTC at the prevailing market rate. If JTC declines the right of first refusal, the Trustee may, subject to JTC’s prior written consent, sell, assign, transfer, create a trust or part with the possession or occupation of the Property. (vi) Yenom Industries shall occupy at least 50% of the gross floor area of the Property (“Anchor GFA”) for a period of three years from the completion of the sale of the Property (“Leaseback Anchor Subletting Condition”). The Trustee may, subject always to the Leaseback Anchor Subletting Condition, be permitted to sublet to other subtenants, provided that after the period of three years from the completion of the sale of the Property, such other subtenants shall include anchor subtenants who shall collectively occupy the whole of the Anchor GFA, or the balance of the Anchor GFA not occupied by Yenom Industries and shall each occupy a gross floor area of at least 3,000 square metres and meet all JTC’s prevailing anchor subtenant criteria.

30 & 32 Tuas Avenue 8 Terms of the State Lease A State Lease No. 22748 dated 21 January 1998 (varied by a Supplemental Lease dated 24 March 2008) was issued by the President of the Republic of Singapore, as lessor, in favour of JTC, as lessee, in respect of 30 Tuas Avenue 8 (referred to as the “Property” in this section) for a term of 99 years commencing from 15 March 1976. A State Lease No. 22749 dated 21 January 1998 (varied by a Supplemental Lease dated 24 March 2008) was issued by the President of the Republic of Singapore, as lessor, in favour of JTC, as lessee, in respect of 32 Tuas Avenue 8 for a term of 99 years commencing from 15 March 1976. Principal terms of the State Lease Nos. 22748 and 22749 (each varied by a Supplemental Lease dated 24 March 2008) include, amongst others, the following: k JTC must surrender: (i) free to the government such portions of the land as may be required in future for roads, drainage, etc; and (ii) if directed by the government, to the government such portions of the acquired land which are not required for the purposes specified in the State Lease Nos. 22748 (i.e. for clean industries) and 22749 (i.e. for industrial

253 development) at rates equivalent to the compensation payable if such land had been acquired under the Land Acquisition Act; k JTC is responsible for the resettlement and clearance at JTC’s own expense of any squatters or other encumbrances on the Property; and k the lessor is entitled to exercise the right of re-entry if JTC fails to perform or observe any of the terms and conditions of the State Lease Nos. 22748 and 22749 (each varied by a Supplemental Lease dated 24 March 2008), and upon re-entry, the term of the affected State Lease Nos. 22748 and 22749 (each varied by a Supplemental Lease dated 24 March 2008) will cease but without prejudice to any right of action or remedy that the lessor may have. There is a restriction in the State Lease on JTC’s right to sublease the Property.However,the JTC has confirmed by an email dated 28 October 2010 that the State has granted consent to JTC to sublet, underlet or licence to any person, the land in the State Lease relating to the Property. The terms of the State Lease Nos. 22748 and 22749 (each varied by a Supplemental Lease dated 24 March 2008) will be binding on the purchaser of the leasehold interest in respect of the Property.

Terms of the Lease Agreement A registered Lease No. I/50044Q dated 12 December 2001 (as varied by First Variation of Lease No. I/3178R dated 6 June 2002) comprised in Certificate of Title (SUB) Volume 595 Folio 109 (the “30 & 32 Tuas Avenue 8 JTC Lease”) were issued by JTC to ST Microelectronics Pte Ltd (as lessee) (“ST Microelectronics”) for a term of 30 years commencing from 1 September 1996 for the Property. The Property was transferred by ST Microelectronics to Freight Links Fabpark Pte. Ltd. (“Freight Links Fabpark”). Principal terms of the 30 & 32 Tuas Avenue 8 JTC Lease include, amongst others, the following: k provisions for the payment of annual rent by the lessee to JTC in advance by quarterly instalments. The annual rent is subject to revision on the 1st day of September every year at the fixed rental increase of 4% over the yearly rent for each immediately preceding year; k a prohibition against the lessee demising, assigning, charging, creating a trust or agency, mortgaging, letting, subletting or underletting, or granting a licence or parting with or sharing the possession or occupation of the Property without JTC’s prior written consent except where mortgaged to a licensed bank or finance company; k a restriction on the use of the Property, for the purpose of “semiconductor assembling, testing, electrical wafer sorting (EWS) and electroplating only”; and k a provision that in consideration of the lessee fulfilling certain fixed investment criteria, the lessor covenants to grant the lessee a further lease term of 30 years commencing from the expiry of the current term provided that, amongst others, at the expiry of the current term, there is no existing breach or non-observance of any of the covenants and conditions contained in the 30 & 32 Tuas Avenue 8 JTC Lease on the part of the lessee to be observed or performed. By a letter dated 6 June 2005 from JTC to ST Microelectronics, JTC confirmed that a term of 30+30 years lease with effect from 1 September 1996 has been granted.

254 Fabpark to the Trustee of the leasehold interest in respect of the Property. The terms of the sale and purchase agreement include, amongst others, the following: (i) the sale includes the plant and equipment located in the Property; (ii) the purchase price is S$24,000,000.00; (iii) on completion, the Trustee will enter into a master lease agreement with Freight Links Fabpark for a lease of the Property, principal terms of which are summarised below; (iv) completion is subject to and conditional upon the listing of the units in the Sabana Shari’ah Compliant REIT and commencement of trading of such units on SGX-ST; (v) completion must not be earlier than two weeks after the date of exercise of the relevant call option or put option and must not be later than 31 December 2010; (vi) certain limited representations and warranties are made by Freight Links Fabpark such as representations and warranties relating to compliance with laws, litigation, equipment, title, property matters, environmental laws and property tax; (vii) if at any time, the government or other competent authority acquires or give notice of acquisition or intended acquisition of the Property or material part of the Property, the Trustee is entitled to rescind the sale and purchase agreement, and material part of the Property means any part, the compulsory acquisition of which results in a reduction of ten per cent (10%) or more of the fair market value of the leasehold Property, as determined by computing the average of the valuations conducted by two valuers; (viii) if there is material damage prior to completion, the Trustee is entitled to rescind the sale and purchase agreement, and material damage means damage to or destruction of the Property and/or the plant and equipment or any part thereof such that (1) it is unfit for use or occupation, (2) it is rendered unsafe or inaccessible or (3) it cannot lawfully be used and which in the opinion of the Trustee, adversely affects the value of the Property or the acceptability of the Property for purpose of the initial public offering of the units in the Sabana Shari’ah Compliant REIT; and (ix) completion of the Property is conditional upon the concurrent completion of the sale and purchase of each of the Third Party Properties (defined as all the other properties which are to be purchased at the time of the listing of Sabana Shari’ah Compliant REIT) and Freight Links Properties being (i) 51 Penjuru Road, Singapore 609143, (ii) 18 Gul Drive, Singapore 629468, (iii) 33 Penjuru Lane, Singapore 609200 and 35 Penjuru Lane, Singapore 609202, and (iv) 218 Pandan Loop, Singapore 128408. In the event that a seller or purchaser of any of the Third Party Properties or the Freight Links Properties exercises a right of termination, then the sale and purchase agreement of the Property will also terminate.

Terms of the Master Lease Agreement On completion of the sale of the Property, the Trustee will enter into a master lease agreement with Freight Links Fabpark (as master lessee) for a lease of the Property together with the plant and equipment at the Property. The terms of the master lease agreement include, amongst others, the following: (i) the term of the master lease is for a period of 5 years from the date of completion; (ii) rent is payable by the master lessee on a monthly basis in advance, the annual rent payable by the master lessee is as follows: (a) S$1,900,000.00 for the first year of the lease term; (b) S$1,928,500.00 for the second year of the lease term; (c) S$1,957,428.00 for the third year of the lease term;

255 (d) S$1,986,789.00 for the fourth year of the lease term; and (e) S$2,016,591.00 for the fifth year of the lease term. (iii) the master lessee is required to provide to the Trustee a security deposit of S$1,468,396.00 as security for compliance by the master lessee of all the provisions in the master lease agreement and to secure or indemnify the Trustee against any loss or damage resulting from any default by the master lessee and any claim by the Trustee against the master lessee; (iv) the master lessee is appointed and authorised by the Trustee (as landlord) to act as agent for the Trustee to pay, as variable rent at such times and in the manner specified by the Trustee, the following amounts: (a) in respect of the Property, land rent, rates and taxes (other than the Trustee’s income tax and any other corporate taxes payable by the Trustee), including all charges, assessments, duties and fees levied during the lease term; (b) all premiums payable in respect of the industrial special risks policy and the comprehensive public liability insurance policy; and (c) property tax (including all increases from time to time) imposed by the IRAS on the Property in respect of any period during the lease term; (v) as landlord, the Trustee will be responsible for the maintenance and repair of all structural parts of the building erected on the Property, including the roof, necessary repairs and replacements of the internal and/or external structural parts of the building and necessary replacements of the plant and equipment therein; (vi) the master lessee shall be responsible for the maintenance and repair of the Property, including keeping the Property clean and in good and tenantable repair and condition, and repairing and maintaining the plant and equipment therein; (vii) the master lessee shall take out and keep in force insurance policies (specifically an industrial special risks policy and a comprehensive public liability insurance policy) with an Islamic (Takaful) insurance company or companies in Singapore recommended by the Trustee and where the cost and expense of taking out the following insurance policies with an Islamic (Takaful) insurance company is in the reasonable opinion of the master lessee too high, the master lessee shall take out such insurance policies with such reputable insurance companies as the Trustee and the master lessee may mutually agree, on terms and conditions to be approved by the Trustee (acting reasonably) and in the joint names of the master lessee and the Trustee; (viii) if the Property is destroyed or damaged such that the Property cannot be used or is rendered inaccessible for the period of one month or more, the master lessee will not be liable to pay rent for such period. However if the destroyed or damaged Property is only partly usable for the period of one month or more, the master lessee’s liability to pay rent will be reduced in proportion to the reduction in their usability; (ix) if the building erected on the Property is destroyed or damaged and the Trustee decides that such destruction or damage make its repair impracticable or undesirable, the Trustee may either (a) give notice to the master lessee that it decides not to rebuild, and either the Trustee or the master lessee may terminate the master lease agreement without compensation or (b) give notice to the master lessee that it decides to rebuild and if the rebuilding period exceeds six months, the master lessee shall be entitled to terminate the master lease agreement without compensation; (x) in the event the Property is acquired by the government authority and the master lease is terminated, where such amount of compensation which is attributable to the acquisition of the Property by any relevant authority has been apportioned to the master lessee but received by the Trustee for and on behalf of the master lessee (whether before or after the

256 termination of the master lease), the Trustee shall transfer such amount of compensation to the master lessee; (xi) subject to JTC’s consent, the master lessee can assign the master lease agreement to Freight Links or any subsidiary or related company of Freight Links without the prior written consent of the Trustee. The master lessee can sublet any part of the Property without the prior approval of the Trustee if (i) the rent payable under the relevant subtenancy is at the prevailing market rent, (ii) the relevant subtenant’s businesses, activities and use of the premises is Sharia’ah compliant, (iii) the term (including any option to renew) under the relevant subtenancy will not expire after the end of the master lease term or further term (if applicable) and (iv) the master lessee has obtained the prior written approval of JTC and any other competent authorities. Where the proposed subletting does not satisfy the above, the master lessee shall obtain the prior written consent of the Trustee (which consent shall not be unreasonably withheld, refused or delayed) for such subletting; (xii) at the end of the lease, the master lessee is not required to reinstate the premises to the original state and condition if the master lease is terminated (i) pursuant to a government acquisition, (ii) as a result of a termination of the head lease term by JTC or (iii) the Trustee terminates the master lease if the building is damaged or destroyed such that repair is impracticable or undesirable, unless otherwise required by JTC or other relevant authorities. If reinstatement is required by JTC or other relevant authorities, so long as such termination of the master lease and/or damage of the building is not caused by the gross negligence or wilful default of the Trustee, its employees, servants, agents, contractors, invitees, visitors or licensees, the master lessee is required to reinstate the premises to the original state and condition of the Property (except for fair wear and tear) and vacate the Property; (xiii) if the Property is acquired by any relevant authority or if a notice, order or gazette notification is issued, made or published in respect of the intended or actual acquisition of the Property by any relevant authority, the Trustee may terminate the master lease agreement by giving written notice to the master lessee; (xiv) the master lessee acknowledges that the use of and activities at the Property shall comply in all respects with Shari’ah principles and the master lessee shall not consent to or permit any of its subtenants using the Property or any part of the Property for non- Shari’ah compliant businesses and activities. For all existing subtenancies existing as at the date of the master lease, renewals of such existing subtenancies and fresh subtenancies entered into during the master lease term, so long as each of such existing subtenant or new subtenant continues to use the Property or any part of the Property for such Shari’ah approved use for the duration of the relevant subtenancy term(s) or relevant renewal subtenancy term(s), such existing subtenant or new subtenant shall be deemed at all times to be and is treated as using the Property or any part of the Property for a Shari’ah approved use; (xv) the master lessee may retain the existing name of the Property or the building(s) at the Property or change the name of the Property or the building(s) at the Property subject to the prior approval in writing of the Trustee (such approval not to be unreasonably refused, withheld or delayed). There shall be no additional payment to the Trustee by the master lessee for such naming rights; (xvi) the Trustee shall not, without the master lessee’s prior written consent (which consent shall not be unreasonably refused, withheld or delayed) use the words in the name of the building(s) at the Property or any similar name for any purpose whatsoever other than as the address of the Property; (xvii) the Trustee undertakes on the expiry of the master lease term to rename the Property without using the words “Freight Links”;

257 (xviii) the master lessee is granted an option to renew the whole or part of the Property (such part of the Property to be mutually agreed by the Trustee and the master lessee) for such further term as shall be determined by the master lessee provided that such further term shall not exceed 5 years, and where such further term shall exceed 5 years, such further term shall be mutually agreed by both the Trustee and the master lessee. The further term shall be at the prevailing market rent as at the commencement of the further term and on substantially the same terms as the master lease agreement save for (i) the revised rent and (ii) such additional terms and conditions as may be required by law and as the Trustee and the master lessee may mutually agree;

(xix) in the event that the Trustee intends to sell the whole or any part of the Property (including the plant and equipment, if applicable), subject to JTC’s prior right of first refusal to purchase the Property, the Trustee shall first give written notice to the master lessee of such intention to sell and grant to the master lessee a right of first refusal to purchase the whole or any part of the Property (including the plant and equipment, if applicable), as the case may be, at the same purchase price and on terms and conditions no less favourable than the purchase price and terms and conditions offered or proposed to be offered to any third party purchaser or received from any third party purchaser. The purchase price (which shall not be lower than the valuation) so offered or proposed to be offered by the Trustee to any third party purchaser or received from any third party purchaser and which the Trustee wishes to accept shall be the same purchase price (which shall not be lower than the valuation) as that offered by the Trustee to the master lessee;

(xx) the master lessee must, within fourteen (14) calender days (or such other later period as the parties may mutually agree) of receipt of the Trustee’s offer, give written notice to the Trustee of its acceptance of the Trustee’s offer;

(xxi) if the master lessee does not accept the Trustee’s offer, the Trustee shall be entitled to accept any offer from a third party purchaser at a purchase price which shall not be lower than the purchase price stated in the Trustee’s offer and on such terms and conditions which shall not be more favourable than the terms and conditions of the sale and purchase agreement and any other related document incorporating the purchase price and such terms and conditions offered or proposed to be offered to the third party purchaser or received from any third party purchaser without further reference to the master lessee. In the event (a) that no sale and purchase agreement is entered into between the Trustee and any third party purchaser within twelve (12) months from the date of expiry of the acceptance period (b) that the sale and purchase agreement is entered into between the Trustee and any third party purchaser but the sale is not completed for any reason whatsoever, the right of first refusal to the master lessee and its successors to purchase the whole or any part of the Property (including the plant and machinery, if applicable) shall continue to apply and the Trustee shall not at any time sell the whole or any part of the Property (including the plant and equipment, if applicable), as the case may be, without first re-observing the right of first refusal provisions;

258 Terms of the JTC Consent Letter By a letter dated 26 October 2010, as supplemented by a letter dated 29 October 2010 from JTC to Freight Links Fabpark, JTC (i) granted in-principle approval for the transfer of the leasehold interest in respect of the Property to the Trustee, as trustee of Sabana Shari’ah Compliant REIT and (ii) stated that it has no objections to the lease of the leasehold interest in respect of the Property between the Trustee, as trustee of Sabana Shari’ah Compliant REIT (as landlord) and Freight Links Fabpark (as master lessee), on the terms and conditions of the said letters. Such terms and conditions include, amongst others, the following: (i) the sale of the Property shall be legally completed within six months from the date of the JTC consent letter; (ii) the Trustee shall take over the remainder of the lease term held by Freight Links Fabpark from the effective date of legal completion of the sale of the Property; (iii) the Trustee upon completion of the sale of the Property shall be principally liable to JTC for ensuring the observance and performance of all the terms, covenants and conditions, undertakings and obligations under the JTC lease documents in respect of the Property. If after completion, JTC discovers any breach of any term, covenant or condition under the JTC lease documents, the Trustee shall assume all liabilities and responsibilities to rectify and remedy the said breach; (iv) the Trustee is prohibited from selling, assigning or transferring the Property during the first three years starting from the completion of the sale of the Property. Thereafter, if the Trustee wishes to sell, assign, transfer, create a trust or part with the possession or occupation of the Property, the Trustee must first make a written offer to JTC at the prevailing market rate. If JTC declines the right of first refusal, the Trustee may, subject to JTC’s prior written consent, sell, assign, transfer, create a trust or part with the possession or occupation of the Property; (v) Microcircuit Technology (S) Pte Ltd, as the existing subtenant and end-user of the Property shall continue to operate at the Property and occupy 100% of the gross floor area of the Property for the period from completion of the sale and purchase of the Property to 27 September 2015 (“Required Period”) (“Leaseback Anchor Subletting Condition”); (vi) the Trustee may, subject always to the Leaseback Anchor Subletting Condition, be permitted to sublet to other subtenants, provided that after the Required Period, such other subtenants shall include anchor subtenants who shall collectively occupy 100% of the gross floor area of the Property, or the balance of 100% of the gross floor area of the Property not occupied by Microcircuit Technology (S) Pte Ltd, and shall each occupy a gross floor area of at least 3,000 square metres and meet all JTC’s prevailing anchor subtenant criteria; (vii) Freight Links Fabpark and the Trustee shall comply with certain environmental baseline requirements imposed by JTC, one of which requires Freight Links Fabpark to submit to JTC a written copy of the results of Freight Links Fabpark’s environmental baseline study (“EBS”) and if the results indicate that the contamination level at the time of the EBS exceeds the contamination level in the first EBS dated 23 August 2005 which was previously submitted to JTC, then before completion of the sale and purchase of the Property, Freight Links Fabpark shall, at its own cost and expense, decontaminate the Property to the state and condition existing at the time of the first EBS and reinstate the Property. In the event that the Trustee subsequently sells or transfers the Property, the Trustee will in such event be required to conduct another EBS on and, if necessary, decontaminate and reinstate the Property. In relation to JTC’s condition (vii) above, JTC has not yet completed its review of the EBS submitted to it by Freight Links Fabpark. In the event remediation or decontamination works are

259 required by JTC and the same have not yet been completed by Freight Links Fabpark by completion of the sale and purchase of the Property, JTC may allow the Trustee to take over Freight Links Fabpark’s obligations to complete the remediation or decontamination works within a time frame as may be stipulated by JTC. In such an event, Freight Links Fabpark shall indemnify and keep the Trustee fully indemnified against any and all costs and expenses properly and reasonably incurred by the Trustee in carrying out and completing such remediation or decontamination works.

PROPERTY MANAGEMENT AGREEMENT The Properties which comprise the initial portfolio of Sabana Shari’ah Compliant REIT and any properties located in Singapore subsequently acquired by Sabana Shari’ah Compliant REIT, whether such properties are directly or indirectly held by Sabana Shari’ah Compliant REIT,or are wholly or partly owned by Sabana Shari’ah Compliant REIT will be managed by the Property Manager in accordance with the terms of the Property Management Agreement. The Property Management Agreement has been entered into by the Trustee, the Manager and the Property Manager pursuant to which the Property Manager was appointed to operate, maintain, manage and market all the properties of Sabana Shari’ah Compliant REIT located in Singapore, subject to the terms and conditions of the Property Management Agreement. The property management will be subject to the overall management and supervision of the Manager. The Property Management Agreement provides that in respect of each Property and in respect of each subsequently acquired property located in Singapore which is managed by the Property Manager, the Trustee, the Manager and the Property Manager will enter into a separate individual property management agreement in the form and on the terms set out in a schedule to the Property Management Agreement, in order to incorporate the specific terms set out in the Property Management Agreement in their application to each of such properties. The initial term of the Property Management Agreement is five years from the Listing Date. Six months prior to expiry of the initial term of the Property Management Agreement and subject to there being no outstanding or unremedied breach by the Property Manager of its obligations and duties under the Property Management Agreement, the Property Manager may request to extend its appointment for a further five years on the same terms and conditions, except for revision of all fees payable to the Property Manager to market rates prevailing at the time of such extension. Two months before expiry of the initial term, the Trustee will decide the prevailing market rates for the extension term, based on the recommendation of the Manager. If the Property Manager disagrees with the Trustee’s decision on the prevailing market rates for the extension term, the matter will be referred to an independent expert whose determination of the prevailing market rates shall be final and binding on the parties. The Trustee shall, based on the recommendation of the Manager, agree to extend the appointment of the Property Manager for the extension term, on the revised fees based on the prevailing market rates determined as aforesaid provided that such extension shall be subject to the approval of the Unitholders if such approval is required pursuant to any applicable legislation or regulations. The Trustee shall not be obliged to extend the appointment of the Property Manager if the above conditions are not fulfilled.

Property Manager’s Services The services provided by the Property Manager for each property under its management include the following: k property management services, recommending third party contracts for provision of property maintenance services, supervising the performance of contractors, arranging

260 for adequate insurances/takaful and ensuring compliance with building and safety regulations; k lease management services, including coordinating tenants’ fitting-out requirements, administration of rental collection, management of rental arrears, and administration of all property tax matters; k marketing and marketing coordination services, including initiating lease renewals and negotiation of terms; and

Fees Under the Property Management Agreement, the Property Manager is entitled to the fees set out below, to be borne out of the Deposited Property, for each property located in Singapore under its management.

Property Management Fees and Lease Management Fees For property management services rendered by the Property Manager for a property located in Singapore, the Trustee will pay the Property Manager for each such property a property management fee of 2.0% per annum of the Gross Revenue of the relevant property. For lease management services rendered by the Property Manager for a property located in Singapore, the Trustee will pay the Property Manager for each property a lease management fee of 1.0% per annum of the Gross Revenue of the relevant property. The Property Manager has agreed with the Trustee that no lease management fee is payable by the Trustee in relation to the Initial Portfolio for the first three years of the initial contracted lease.

Expenses The Property Manager is authorised to utilise funds deposited in shari’ah compliant operating accounts maintained in the name of the Trustee and to make payment for all costs and expenses incurred in the operation, maintenance, management and marketing of each property within each annual budget approved by the Trustee on the recommendation of the Manager.

Provision of office space Where applicable, the Trustee shall permit employees of the Property Manager engaged to manage a property to occupy suitable office space at such property (as approved by the Trustee on the recommendation of the Manager) without the Property Manager being required to pay any rent, service charge, utility charges or other sums.

Termination The Trustee or the Manager may terminate the appointment of the Property Manager in relation to all the properties of Sabana Shari’ah Compliant REIT under the management of the Property Manager on the occurrence of certain specified events, which include the liquidation or cessation of business of the Property Manager. The Trustee or the Manager may also terminate the appointment of the Property Manager specifically in relation to a property under its management in the event of the sale of such property, but the Property Management Agreement will continue to apply with respect to the remaining properties managed by the Property Manager under the terms of the Property Management Agreement. In addition, if the Property Manager,within 90 days of receipt of written notice, fails to remedy any breach (which is capable of remedy) of its obligations in relation to a property, the Trustee or the Manager may terminate the appointment of the Property Manager in relation only to such property in respect of which the breach relates, upon giving 30 days’ written notice to the Property Manager.

261 On the termination of the appointment of the Property Manager, the Manager shall, as soon as practicable, procure the appointment of a replacement property manager for the affected property on similar terms to the Property Management Agreement.

Novation The Trustee and the Manager are entitled to novate their respective rights, benefits and obligations under the Property Management Agreement to a new trustee of Sabana Shari’ah Compliant REITor a new manager of Sabana Shari’ah Compliant REITappointed in accordance with the terms of the Trust Deed. With the prior written approval of the Trustee, which approval shall not be unreasonably withheld, the Property Manager is also entitled to novate its respective rights, benefits and obligations under the Property Management Agreement to any wholly owned direct or indirect subsidiary of the Manager.

Exclusion of Liability In the absence of fraud, gross negligence, wilful default or breach of the Property Management Agreement by the Property Manager, it shall not incur any liability by reason of any error of law or any matter or thing done or suffered or omitted to be done by it in good faith under the Property Management Agreement. In addition, the Trustee shall indemnify the Property Manager against any actions, costs, claims, damages, expenses or demands to which it may be put as Property Manager, save where such action, cost, claim, damage, expense or demand is occasioned by the fraud, gross negligence, wilful default or breach of the Property Management Agreement by the Property Manager, its employees or agents.

No Restriction on Property Manager The Property Manager may provide services similar to those contemplated under the Property Management Agreement to other parties operating in the same or similar business as Sabana Shari’ah Compliant REIT,or in other businesses provided that the Property Manager undertakes to the Trustee and Manager that it shall at all times act in the best interest of Sabana Shari’ah Compliant REIT and will not place itself in a conflict of interests position with regard to the provision of services to Sabana Shari’ah Compliant REIT.

262 TAXATION The following summary of certain Singapore income tax consequences of the purchase, ownership and disposition of the Units is based upon laws, regulations, rulings and decisions now in effect, all of which are subject to change (possibly with retroactive effect). The summary does not purport to be a comprehensive description of all the tax considerations that may be relevant to a decision to purchase, own or dispose of the Units and does not purport to apply to all categories of investors, some of which may be subject to special rules. Investors should consult their own tax advisers concerning the application of Singapore tax laws to their particular situations as well as any consequences of the purchase, ownership and disposition of the Units arising under the laws of any other tax jurisdictions. The IRAS has issued a Tax Ruling on the taxation of Sabana Shari’ah Compliant REIT and its Unitholders. In accordance with the Tax Ruling, the Singapore taxation consequences for Sabana Shari’ah Compliant REIT and that of the Unitholders are described below.

TAXATION OF SABANA SHARI’AH COMPLIANT REIT Subject to meeting the terms and conditions of the Tax Ruling, the Trustee will not be assessed to tax on the Taxable Income of Sabana Shari’ah Compliant REIT,which includes profit distributions from liquid Islamic debt securities such as sukuks that Sabana Shari’ah Compliant REIT may invest in, provided that at least 90.0% of its Taxable Income is distributed within the year in which the income is derived (the “Tax Transparency Treatment”). Instead, the Trustee and the Manager will deduct income tax at the prevailing corporate tax rate, currently at 17.0%, from the distributions made to Unitholders that are made out of the Taxable Income of Sabana Shari’ah Compliant REIT.However, where the beneficial owners are individuals or Qualifying Unitholders, the Trustee and the Manager will make the distributions to such Unitholders without deducting any income tax. In addition, where the beneficial owners are Qualifying Foreign Non-individual Unitholders, the Trustee and the Manager will deduct Singapore income tax at the reduced rate of 10.0% for distributions made up to 31 March 2015.1 A“Qualifying Unitholder” is a Unitholder who is: k a Singapore-incorporated company which is tax resident in Singapore; k a body of persons, other than a company or a partnership, registered or constituted in Singapore (for example, a town council, a statutory board, a registered charity, a registered co-operative society, a registered trade union, a management corporation, a club and a trade and industry association); and k a Singapore branch of a foreign company which has presented a letter of approval from the IRAS granting a waiver from tax deduction at source in respect of distributions from Sabana Shari’ah Compliant REIT. A“Qualifying Foreign Non-individual Unitholder” is one who is not a resident of Singapore for income tax purposes and: k who does not have a permanent establishment in Singapore; or k who carries on any operation in Singapore through a permanent establishment in Singapore, where the funds used to acquire the Units are not obtained from that operation in Singapore. To obtain distributions without tax deduction at source, Unitholders who are Qualifying Unitholders must disclose their respective tax status in a prescribed form provided by the Manager. Similarly, to obtain distributions where tax is deducted at the reduced rate of 10.0% for distributions made up to 31 March 20151, Qualifying Foreign Non-individual Unitholders must

1 As announced in the Singapore Budget 2010, but not yet promulgated into law.

263 disclose their respective tax status in a prescribed form provided by the Manager (see Appendix D, “Independent Taxation Report”). Where the Units are held in joint names, the Trustee and the Manager will deduct income tax at the prevailing corporate tax rate, currently at 17.0%, from the distributions made out of the Taxable Income of Sabana Shari’ah Compliant REIT, unless all the joint Unitholders are individuals. Where the Units are held through a nominee, the Trustee and the Manager will deduct income tax at the prevailing corporate tax rate, currently at 17.0%, from the distribution made out of Sabana Shari’ah Compliant REIT’s Taxable Income except in the following situations: k where the Units are held for beneficial owners who are individuals or Qualifying Unitholders, tax may not be deducted at source/withheld under certain circumstances. This includes a situation where a declaration is made by the nominee of the beneficial owners’ status and the provision of certain particulars of the beneficial owners in a prescribed form to the Trustee and the Manager; k where the Units are held for beneficial owners who are Qualifying Foreign Non-individual Unitholders, tax may be deducted at source/withheld at the reduced rate of 10.0% for distributions made up to 31 March 20151 under certain circumstances. This includes a situation where a declaration is made by the nominee of the beneficial owners’ status and the provision of certain particulars of the beneficial owners in a prescribed form to the Trustee and the Manager; and k where the Units are held by the nominees as agent banks or the Supplementary Retirement Scheme (“SRS”) operators acting for individuals who purchased the Units within the CPF Investment Scheme or the SRS respectively, tax will not be deducted at source/withheld for distributions made in respect of these Unitholders. Sabana Shari’ah Compliant REIT will distribute at least 90.0% of its Taxable Income. For the remaining amount of Taxable Income not distributed, tax will be assessed on, and collected from, the Trustee on such remaining amount (referred to as “Retained Taxable Income”). In the event where a distribution is subsequently made out of such Retained Taxable Income, the Trustee and the Manager will not have to make a further deduction of income tax from the distribution. Taxable Income of Sabana Shari’ah Compliant REIT for the purposes of the Tax Transparency Treatment refers to the income from the letting of its properties and related property maintenance services income after deduction of allowable expenses, and insignificant financing income from the placement of periodic cash surpluses in Shari’ah compliant bank deposits. Gains or profits arising from sale of real properties, if considered to be trading gains derived from a trade or business carried on by Sabana Shari’ah Compliant REIT, will be taxable under Section 10(1)(a) of the Income Tax Act. Tax on such gains or profits will be assessed on, and collected from, the Trustee. Consequently, if such after tax gains or profits are distributed, the Trustee and the Manager will not have to make a further deduction of income tax from the distribution. Gains or profits arising from the sale of real properties, if confirmed to be capital gains by the IRAS, are not subject to tax as there is no capital gains tax in Singapore. Such capital gains may be distributed (at the discretion of the Trustee and the Manager) to Unitholders. If a distribution is made out of such confirmed capital gains, the Trustee and the Manager will not have to deduct tax from the distribution.

Distribution Reinvestment Plan Where a distribution reinvestment plan is implemented by Sabana Shari’ah Compliant REIT, Unitholders may receive their distributions in the form of cash and/or Units.

1 As announced in the Singapore Budget 2010, but not yet promulgated into law.

264 Section 43(2A)(a) of the Income Tax Act introduced the Temporary Relief Measure to allow REITs to count distributions paid in the form of units pursuant to a distribution reinvestment plan as distributions of their Taxable Income for the purpose of satisfying the Tax Transparency Treatment condition that REITs distribute at least 90.0% of their Taxable Income. The Temporary Relief Measure applies where such distributions in the form of units are made from 1 July 2009 to 31 December 2010 (both dates inclusive), and subject to the REIT meeting certain conditions. In other words, under the Income Tax Act, tax transparency may only apply to distribution reinvestment plans if the distributions are made between 1 July 2009 and 31 December 2010 (both dates inclusive). It is unclear at this point if the Temporary Relief Measure will be extended beyond 31 December 2010. Where distributions in the form of cash and Units are made by Sabana Shari’ah Compliant REIT under a distribution reinvestment plan on or before 31 December 2010 and the aggregate distributions amount to at least 90% of its Taxable Income, the taxation of Sabana Shari’ah Compliant REIT would be as discussed above. However, where distributions in the form of cash and Units are made by Sabana Shari’ah Compliant REIT under a distribution reinvestment plan after 31 December 2010 and the Temporary Relief Measure is not extended, the distribution in Units would not go towards satisfying the Tax Transparency Treatment condition. As such, in order to maintain its status as a REIT which qualifies for Tax Transparency Treatment, Sabana Shari’ah Compliant REIT would need to distribute at least 90.0% of its Taxable Income wholly in the form of cash. Where the Units distributed to Unitholders are attributable to the Taxable Income which is not distributed in cash, such Units would be attributable to the Retained Taxable Income for which tax will be assessed on, and collected from, the Trustee. Consequently, the distribution made in Units would be a capital distribution and the Trustee and the Manager will not have to make a deduction of income tax from the distribution made in the form of Units.

TAXATION OF SABANA SHARI’AH COMPLIANT REIT’S UNITHOLDERS Sabana Shari’ah Compliant REIT Distributions Individuals who hold the Units as Investment Assets All individuals who hold Units as investment assets (excluding individuals who hold such Units as trading assets or individuals who hold such Units through a partnership in Singapore) are exempt from income tax on the distributions made by Sabana Shari’ah Compliant REIT,regardless of the individual’s nationality or tax residence status. Distributions made out of income previously taxed at the Trustee level (because the distributions were made out of Retained Taxable Income or out of gains or profits taxed as trading gains from the disposal of real properties) will not be subject to tax when received by the Unitholders.

Individuals who hold the Units as trading assets or who hold the Units through a partnership in Singapore Individuals who hold Units as trading assets or individuals who hold Units through a partnership in Singapore are subject to income tax on the gross amount of distributions that are made out of the Taxable Income of Sabana Shari’ah Compliant REIT. Such distributions will be taxed in the individuals’ hands at their applicable income tax rates. Distributions made out of income previously taxed at the Trustee level (because the distributions were made out of Retained Taxable Income or out of gains or profits taxed as trading gains from the disposal of real properties) will not be subject to tax when received by the Unitholders.

Non-individuals except Qualifying Foreign Non-individuals Non-individual Unitholders are subject to Singapore income tax on the gross amount of distributions that are made out of the Taxable Income of Sabana Shari’ah Compliant REIT,

265 regardless of whether the Trustee and the Manager had deducted tax from the distributions. Where tax had been deducted at source at the prevailing corporate tax rate, the tax deducted is not a final tax. Non-individual Unitholders can use such tax deducted at source as a set-off against their Singapore income tax liabilities. Distributions made out of income previously taxed at the Trustee level (because the distributions were made out of Retained Taxable Income or out of trading gains from the disposal of real properties) will not be subject to tax when received by the Unitholders.

Distributions of capital gains Distributions made out of gains or profits arising from a disposal of properties that have been confirmed by the IRAS as capital gains are not taxable in the hands of all Unitholders provided that the Units are not held by them as trading assets. Where the Unitholders are subject to tax on such gains, they will be assessable to tax at their own respective rates.

Disposal of Units Any gains on disposal of the Units are not liable to Singapore tax provided the Units are not held as trading assets.

Terms and Conditions of the Tax Ruling The application of the Tax Ruling is conditional upon the Trustee and the Manager fulfilling certain terms and conditions. The Trustee and the Manager have given undertakings to take all reasonable steps necessary to safeguard the IRAS against tax leakage and to comply with all administrative requirements to ensure ease of tax administration. The IRAS has expressly reserved the rights to review, amend and revoke the Tax Ruling either in part or in whole at any time.

Stamp Duty By virtue of the Stamp Duties (Real Estate Investment Trust) (Remission) Rules 2010, stamp duty on any contract or agreement or instrument entered into prior to or on 31 March 2015 relating to the conveyance, assignment on sale of Singapore properties to REITs to be listed or already listed on the SGX-ST would be remitted. Accordingly, stamp duty will be remitted on the contracts for the sale and purchase of Singapore properties to Sabana Shari’ah Compliant REIT where the contract or agreement or instrument was entered into prior to or on 31 March 2015. Stamp duty will not be imposed on instruments of transfers relating to the Units. In the event of a change of trustee for Sabana Shari’ah Compliant REIT, stamp duty on any document effecting the appointment of a new trustee and the transfer of trust assets from the incumbent trustee to the new trustee will be charged at a nominal rate not exceeding S$10.00 as specified under Article 3(g)(ii) of the First Schedule to the Stamp Duties Act, Chapter 312 of Singapore.

Singapore Goods and Services Tax GST Registration of Sabana Shari’ah Compliant REIT Sabana Shari’ah Compliant REIT could be registered in Singapore for GST purposes on the basis that it would derive rental income from the leasing of the Properties, which constitutes a taxable supply for GST purposes.

Purchase of non-residential Properties by Sabana Shari’ah Compliant REIT Pursuant to regulation 104A of the Goods and Services Tax (General) Regulations and Section 38 of the Goods and Services Tax Act, Chapter 117A of Singapore, GST would not be payable by Sabana Shari’ah Compliant REIT on the purchase of the Properties on the basis that Sabana Shari’ah Compliant REITwould be listed within one month from the acquisition of the

266 Properties, and provided that Sabana Shari’ah Compliant REIT and the sellers of the Properties fulfil certain responsibilities. Briefly, Sabana Shari’ah Compliant REIT would need to include the sale price of the Properties and the corresponding GST amount as part of the value of standard-rated supplies and output tax respectively in its GST return for the prescribed accounting period in which the supplies take place. At the same time, Sabana Shari’ah Compliant REIT would be able to claim the GSTon the purchase of the Properties as input tax credit in the same manner as any other taxable purchases, subject to the normal input tax recovery rules, even though no GST is actually paid. The sellers would also need to reflect the sale price of the Properties excluding GST in their GST returns for the prescribed accounting period in which the supplies take place.

Rental income from the leasing of the Properties The rental income derived from the leasing of the Properties in Singapore is subject to GSTat the prevailing standard-rate of 7.0%. The GST collected on the rental income is to be accounted for by Sabana Shari’ah Compliant REIT as output tax to the IRAS periodically based on the prescribed accounting period allocated to Sabana Shari’ah Compliant REIT upon its GST registration.

Issue and transfer of units in Sabana Shari’ah Compliant REIT The issue or transfer of ownership of a unit under any unit trust in Singapore to Unitholders belonging in Singapore or through SGX-ST is exempt from GST while that to Unitholders belonging outside Singapore is zero-rated. Hence, the Unitholders would not incur any GST on the subscription of units in Sabana Shari’ah Compliant REIT. The subsequent disposal of the units in Sabana Shari’ah Compliant REIT by Unitholders is also exempt from GSTor zero-rated, as the case may be.

Recovery of GST incurred by Unitholders Generally, services such as legal fees, brokerage, handling and clearing charges rendered by a GST-registered person to Unitholders belonging in Singapore in connection with their purchase and sale of Units would be subject to GST at the prevailing standard-rate of 7.0%. Similar services rendered to Unitholders belonging outside Singapore could be zero-rated when certain conditions are met. For Unitholders belonging in Singapore who are registered for GST, any GST on expenses incurred in connection with the subscription/acquisition or disposal of the units in Sabana Shari’ah Compliant REIT is generally not recoverable as input tax credit from the IRAS unless certain conditions are satisfied. These GST-registered Unitholders should seek the advice of their tax advisers on these conditions.

267 PLAN OF DISTRIBUTION The Manager is making an offering of 507,995,445 Units (representing 80.2% of the total number of Units in issue after the Offering) for subscription at the Offering Price under the Placement Tranche and the Public Offer, of which, 50,000,000 Reserved Units (representing 9.8% of the Offering) under the Public Offer will be reserved for subscription by the directors, management, employees and business associates of SIP (including its shareholders — the Sponsor, Blackwood and TCP and their subsidiaries). 432,495,445 Units will be offered under the Placement Tranche and 75,500,000 Units will be offered under the Public Offer. Units may be re-allocated between the Placement Tranche and the Public Offer at the discretion of the Joint Bookrunners (in consultation with the Manager) in the event of an excess of applications in one and a deficit in the other. In the event that any of the Reserved Units are not subscribed for, such Units will be made available to satisfy excess applications, if any, in the Public Offer and/or the Placement Tranche. The Public Offer is open to members of the public in Singapore. Under the Placement Tranche, the Manager intends to offer the Units by way of an international placement through the Joint Bookrunners to investors, including institutional and other investors in Singapore. Subject to the terms and conditions set forth in the underwriting agreement entered into between the Joint Bookrunners, the Manager and the Sponsor on 22 November 2010, the Manager is expected to effect for the account of Sabana Shari’ah Compliant REIT the issue of, and the Joint Bookrunners are expected to severally (and not jointly) subscribe, or procure subscribers for, 605,800,000 Units, in the proportions set forth opposite their respective names below.

Joint Bookrunners Number of Units The Hongkong and Shanghai Banking Corporation Limited, Singapore Branch. . . . 302,900,000 United Overseas Bank Limited ...... 199,914,000 Daiwa Capital Markets Singapore Limited ...... 102,986,000 Total ...... 605,800,000 The Units will initially be offered at the Offering Price. The Offering Price per Unit in the Placement Tranche and the Public Offer will be identical. The Joint Bookrunners have agreed to subscribe, and pay for, or procure subscription or payment for 605,800,000 Units at the Offering Price, less the Underwriting and Selling Commission (as defined herein) to be borne by Sabana Shari’ah Compliant REIT. The Units will be issued at a premium of 5.8% to the NAV per Unit. The Manager and the Sponsor have agreed in the Underwriting Agreement to indemnify the Joint Bookrunners against certain liabilities. The Underwriting Agreement also provides that the obligations of the Joint Bookrunners to subscribe and pay for or procure the subscription or payment for the Units in the Offering and the Cornerstone Units are subject to certain conditions contained in the Underwriting Agreement. The Underwriting Agreement may be terminated by the Joint Bookrunners at any time prior to issue and delivery of the Units upon the occurrence of certain events including, among others, certain force majeure events pursuant to the terms of the Underwriting Agreement. Subscribers of the units may be required to pay brokerage (and if so required, such brokerage will be up to 1.0% of the Offering Price) and applicable stamp duties, taxes and other similar charges (if any) in accordance with the laws and practices of the country of subscription, in addition to the Offering Price. Each of the Joint Bookrunners, the Sole Financial Adviser and their associates may engage in transactions with, and perform services for, the Trustee, the Manager, the Sponsor, Sabana Shari’ah Compliant REIT and their related corporations in the ordinary course of business and have engaged, and may in the future engage, in commercial banking and/or investment banking transactions with the Trustee, the Manager, the Sponsor and Sabana Shari’ah Compliant REIT,

268 for which they have received, or may in the future receive, customary compensation. In connection with the initial public offering of units in Sabana Shari’ah Compliant REIT, The Hongkong and Shanghai Banking Corporation Limited and United Overseas Bank Limited are two of the lenders for the Commodity Murabaha Facility granted to Sabana Shari’ah Compliant REIT.

LOCK-UP ARRANGEMENTS Sponsor Subject to the exceptions described below, the Sponsor has agreed with the Joint Bookrunners that it will not, without the prior written consent of the Joint Bookrunners (such consent not to be unreasonably withheld or delayed), directly or indirectly, offer, sell, contract to sell or grant any option to purchase, grant security over,encumber or otherwise dispose of any or all of its effective interest in the Lock-up Units (or any securities convertible into or exchangeable for the Lock-up Units or any part thereof or which carry rights to subscribe for or purchase the Lock-up Units or part thereof); enter into any transaction (including a derivative transaction) with a similar economic effect to the foregoing; deposit any Lock-up Units (or any securities convertible into or exchangeable for any Lock-up Units or which carry rights to subscribe for or purchase any Lock-up Units or part thereof) in any depository receipt facility; enter into a transaction which is designed or which may reasonably be expected to result in any of the above or publicly announce any intention to do any of the above, during the First Lock-up Period, and the same restrictions will apply in respect of the Sponsor’s effective interest in 50.0% of the Lock-up Units during the Second Lock-up Period (together, the “Lock-up Periods”). The restriction described in the preceding paragraph does not apply to: k the creation of a charge over the Lock-up Units or otherwise grant of security over or creation of any encumbrance over the Lock-up Units, provided that such charge, security or encumbrance can only be enforced after the First Lock-up Period (i) in respect of not more than 50% of the Lock-up Units after the end of the First Lock-up Period; or (ii) (as the case may be) in respect of all of the Lock-up Units after the Second Lock-up Period; and k the transfer of any Lock-up Units to any wholly-owned subsidiaries of the Sponsor, provided that the transferor procures that each such subsidiary gives a similar undertaking to the Joint Bookrunners for the remainder of the Lock-up Periods.

The Manager Subject to the exceptions described below, the Manager has agreed with the Joint Bookrunners that it will not (and will not cause or permit Sabana Shari’ah Compliant REIT to), for the First Lock-up Period, directly or indirectly, without the prior written consent of the Joint Bookrunners (such consent not to be unreasonably withheld or delayed), offer, issue, sell, contract to issue or sell or otherwise dispose of any Units (or any securities convertible into or exchangeable for Units or which carry rights to subscribe for or purchase Units or part thereof), or enter into a transaction (including a derivative transaction) with a similar economic effect to the foregoing, deposit any Units (or any securities convertible or exchangeable for Units or which carry rights to subscribe for or purchase Units or part thereof) in any depository receipt facility, enter into a transaction which is designed or which may reasonably be expected to result in any of the above, or publicly announce any intention to do any of the foregoing transactions. The restrictions described in the preceding paragraph do not apply to the issuance of Units to be offered under the Offering, the Sponsor Units, the Cornerstone Units and the issuance of Units to the Manager in payment of any fees payable to the Manager under the Trust Deed.

SGX-ST LISTING Sabana Shari’ah Compliant REIT has received a letter of eligibility from the SGX-ST for the listing and quotation of the Units on the Main Board of the SGX-ST. The SGX-ST assumes no

269 responsibility for the correctness of any statements or opinions made or reports contained in this Prospectus. Admission to the Official List of the SGX-ST is not to be taken as an indication of the merits of the Offering, Sabana Shari’ah Compliant REIT, the Manager, the Trustee, the Sponsor or the Units. It is expected that the Units will commence trading on the SGX-STon a “ready” basis on or about 2.00 p.m. on 26 November 2010. Prior to this Offering, there has been no trading market for the Units. There can be no assurance that an active trading market will develop for the Units, or that the Units will trade in the public market subsequent to this Offering at or above the Offering Price.

ISSUE EXPENSES The estimated amount of expenses in relation to the Offering and the issuance of Cornerstone Units includes the Underwriting and Selling Commission, professional and other fees and all other incidental expenses in relation to the Offering and the issuance of Cornerstone Units, which will be borne by Sabana Shari’ah Compliant REIT. A breakdown of these estimated expenses is as follows: Estimated Amount Expenses (S$’000) Professional and other fees(1) ...... 7,834 Underwriting and Selling Commission(2) ...... 22,263 Miscellaneous Offering expenses(3) ...... 1,693 Total estimated expenses of the Offering(4) ...... 31,790

Notes:

(1) Includes debt upfront fees, solicitors’ fees and fees for the Independent Reporting Accountants, KPMG Services Pte. Ltd. as the independent tax adviser (the “Independent Tax Adviser”), both of the Independent Valuers and other professionals’ fees and other expenses. Excludes applicable GST. (2) Such commissions represent 3.5% (inclusive of a maximum of 0.5% discretionary incentive fee), of the total proceeds of the Offering and the proceeds raised from the issuance of Cornerstone Units. The discretionary incentive fee is payable at the Manager’s discretion. Excludes applicable GST. (3) Includes cost of prospectus production, road show expenses and certain other expenses incurred or to be incurred in connection with the Offering. Excludes applicable GST. (4) Excludes applicable GST.

DISTRIBUTION AND SELLING RESTRICTIONS None of the Manager,the Sponsor,the Sole Financial Adviser or the Joint Bookrunners has taken any action, or will take any action, in any jurisdiction other than Singapore that would permit a public offering of Units, or the possession, circulation or distribution of this Prospectus or any other material relating to the Offering in any jurisdiction other than Singapore where action for that purpose is required. Accordingly, each purchaser of the Units may not offer or sell, directly or indirectly, any Units and may not distribute or publish this Prospectus or any other offering material or advertisements in connection with the Units in or from any country or jurisdiction except in compliance with any applicable rules and regulations of such country or jurisdiction. Each purchaser of the Units is deemed to have represented and agreed that it will comply with the selling restrictions set out below for each of the following jurisdictions:

United States The Units have not been and will not be registered under the Securities Act and, subject to certain exceptions, may not be offered or sold within the United States. The Units are being offered and sold outside of the United States in reliance on Regulation S.

270 Notice to residents of the United Kingdom Sabana Shari’ah Compliant REIT is a collective investment scheme as defined in the Financial Services and Markets Act 2000 (“FSMA”) of the United Kingdom (“UK”). It has not been authorised, or otherwise recognised or approved by the UK Financial Services Authority (“FSA”) and, as an unregulated collective investment scheme, accordingly cannot be marketed in the UK to the general public. The issue or distribution of this Prospectus in the UK, (a) if made by a person who is not an authorised person under FSMA, is being made only to, or directed only at, persons who (i) have professional experience in matters relating to investments; or (ii) are high net worth companies (and certain other entities) falling within Article 49 of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 and who meet the requirements thereunder (all such persons together being referred to as “FPO persons”); and (b) if made by a person who is an authorised person under FSMA, is being made only to, or directed only at, (i) persons who have professional experience in participating in unregulated collective investment schemes; or (ii) high net worth companies (and certain other entities) falling within Article 22 of the Financial Services and Markets Act 2000 (Promotion of Collective Investment Schemes) (Exemptions) Order 2001 (the “CIS Order”) who meet the requirements thereunder; or (iii) persons to whom it may otherwise lawfully be distributed under the CIS Order or Section 4.12 of the FSA’s Conduct of Business Sourcebook (all such persons together being referred to as PCIS persons and, together with the FPO persons, the “relevant persons”). This Prospectus must not be acted on or relied on by persons who are not relevant persons. Any investment or investment activity to which this Prospectus relates, including the Units, is available only to relevant persons and will be engaged in only with relevant persons. Potential investors in the UK are advised that all, or most, of the protections afforded by the UK regulatory system will not apply to an investment in Sabana Shari’ah Compliant REIT and that compensation will not be available under the UK Financial Services Compensation Scheme.

Hong Kong Units may not be offered or sold in Hong Kong, by means of this Prospectus or any other document other than to “professional investors” as defined in the Securities and Futures Ordinance (Chapter 571 of Laws of Hong Kong) (“SFO”) and any rules made under the SFO, or in other circumstances which do not constitute an offer or invitation to the public for the purposes of the SFO. No person has issued or had in its possession for the purposes of issue, and will not issue or have in its possession for the purposes of issue, and will not issue or have in its possession for the purposes of issue, whether in Hong Kong or elsewhere, any advertisement, invitation or document relating to the Units which is directed at, or the contents of which are likely to be accessed or read by, the public of Hong Kong (except if permitted to do so under the securities laws of Hong Kong) other than with respect to Units which are or are intended to be disposed of only to persons outside Hong Kong or only to “professional investors” as defined in the SFO and any rules made under the SFO.

United Arab Emirates The Units have not been, and are not being, publicly offered, sold, promoted or advertised in the United Arab Emirates other than in compliance with the laws of the United Arab Emirates governing the issue, offering and sale of securities. Further, this prospectus does not constitute a public offer of securities in the United Arab Emirates and is not intended to be a public offer. This prospectus has not been approved by or filed with the Central Bank of the United Arab Emirates, the Securities and Commodities Authority or any other regulatory authority in the United Arab Emirates.

271 Dubai International Financial Centre

This document relates to an Exempt Offer in accordance with the Offered Securities Rules of the Dubai Financial Services Authority (“DFSA”). This document is intended for distribution only to persons of a type specified in those Rules. It must not be delivered to, or relied on, by any other person. The DFSA has no responsibility for reviewing or verifying any documents in connection with Exempt Offers. The DFSA has not approved this document nor taken steps to verify the information set out in it, and has no responsibility for it. The Units to which this document relates may be illiquid and/or subject to restrictions on their re-sale. Prospective purchasers of the Units offered should conduct their own due diligence on the Units. If you do not understand the contents of this document you should consult an authorised financial adviser.

Qatar

This Prospectus and the information contained in it is not intended to constitute a public or general offer or other invitation for sale or delivery of the Units under the Commercial Companies Law No. (5) of 2002 (as amended) or otherwise under any laws of the State of Qatar including the rules and regulations of the Qatar Financial Centre Authority (the “QFCA”), the Qatar Financial Centre Regulatory Authority (the “QFCRA”), the Qatar Central Bank (the “QCB”) or the Qatar Financial Markets Authority (the “QFMA”). This Prospectus has not been lodged or registered with, or reviewed or approved by the QFCA, the QFCRA, the QCB, the QFMA or any other authority in the State of Qatar and is not otherwise authorised or licensed for distribution in the State of Qatar.

Saudi Arabia

This Prospectus and any ancillary material may not be distributed in Saudi Arabia except to such persons that are permitted recipients under the Investment Fund Regulations issued by the Capital Market Authority. It should not be distributed to any other person, or relied upon by any other person.

The offer of Units may not be offered other than as a Private Placement (for example, if the Units are offered to no more than two hundred (200) offerees in the Saudi Arabia and the minimum amount payable per offeree is not less than Saudi Riyals 1 million or an equivalent amount) under the Saudi Arabian Investment Fund Regulations, as enacted by Resolution of the Board of the Capital Market Authority No. 1-219-2006 dated 3/12/1427 H / 24 December 2006 (the “IFR”), and through an authorised person, as defined in the Glossary of Defined Terms used in the Regulations and Rules of the Capital Market Authority, as enacted by Resolution of the Board of the Capital Market Authority No. 4-11-2004 dated 20/8/1425 H / 4 October 2004, as amended, and which is authorized to perform management business.

Any investor who has acquired Units pursuant to this Offering may not offer or sell those Units to any person unless such offer or sale is made in compliance with Article 4(g) of the IFR.

The Saudi Arabian Capital Market Authority does not make any representation as to the accuracy or completeness of this Prospectus, and expressly disclaims any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this Prospectus. Prospective purchasers of the Units hereby should conduct their own due diligence on the accuracy of the information relating to such Units.

If you do not understand the contents of this Prospectus you should consult an authorised person, as defined in the Glossary of Defined Terms used in the Regulations and Rules of the Capital Market Authority, as enacted by Resolution of the Board of the Capital Market Authority No. 4-11-2004 dated 20/8/1425 H / 4 October 2004, as amended.

272 Netherlands In the Netherlands, the Units may only be offered or sold, directly or indirectly, to qualified investors as defined in section 1:1 of the Netherlands Act on Financial Supervision (‘Wet op het financieel toezicht ’) (“AFS”), all within the meaning of section 1:12 and section 5:2 of the AFS. In respect of the offer, the offeror (e.g. the Manager) and Sabana Shari’ah Compliant REIT are not required to obtain a licence pursuant to the AFS and are not subject to supervision of Conduct of Business Supervision of Financial Undertakings of the Netherlands Authority for the Financial Markets (‘Autoriteit Financiele Martken’). In subscribing for or purchasing Units, each investor in the Netherlands represents and agrees that it is a qualified investor as defined in article 1:1 of the AFS.

European Economic Area In relation to each member state of the European Economic Area which has implemented the Prospectus Directive (each, a “Relevant Member State”), offers of the Units which are the subject of the offering contemplated by the Prospectus may not be made to the public in that Relevant Member State except that an offer to the public in that Relevant Member State of an offering of the Units may be made at any time under the following exemptions under the Prospectus Directive, if they have been implemented in that Relevant Member State: k to legal entities which are authorised or regulated to operate in the financial markets or, if not so authorised or regulated, whose corporate purpose is solely to invest in securities; k to any legal entity which has two or more of: (i) an average of at least 250 employees during the last financial year; (ii) a total balance sheet of more than e43,000,000; and (iii) an annual net turnover of more than e50,000,000, as shown in its last annual or consolidated accounts; k by the underwriter to fewer than 100 natural or legal persons (other than qualified investors as defined in the Prospective Directive); or k in any other circumstances falling within Article 3(2) of the Prospectus Directive; provided that no such offer of the Units shall require the publication of a prospectus pursuant to Article 3 of the Prospectus Directive. For the purposes of this provision, the expression “an offer of the Units to the public” in relation to any Units in any Relevant Member State means the communication in any form and by any means of sufficient information on the terms of the offer and the Units to be offered so as to enable an investor to decide to purchase or subscribe the Units, as the same may be varied in that Relevant Member State by any measure implementing the Prospectus Directive in that Relevant Member State, and the expression “Prospectus Directive” means Directive 2003/71/EC and includes any relevant implementing measure in each Relevant Member State.

Japan The Units have not been and will not be registered under Paragraph 1, Article 4 of the Financial Instruments and Exchange Act of Japan (Act No. 25 of 1948, as amended) (“FIEA”). As the primary offering, the Units may only be offered, sold, resold or otherwise transferred to (i) a person who is not a Resident of Japan (as defined under Item 5, Paragraph 1, Article 6 of the Foreign Exchange and Foreign Trade Act (Act No. 228 of 1949, as amended)) or (ii) a Qualified Institutional Investor (“QII”) defined in Article 10 of the Cabinet Ordinance Concerning Definitions under Article 2 of the FIEA (Ordinance No. 14 of 1993, as amended) or (iii) less than 50 non-QIIs in aggregate. A person who purchased or otherwise obtained the Units as QII cannot resell or otherwise transfer the Units in Japan to any person except another QII. A person who purchased or otherwise obtained the Units as a non-QII may only resell or otherwise transfer all the Units held by such person at that time to one person, and, as a consequences of such resale or transfer, the number of non-QIIs who hold the Units in Japan must be less than 50 in aggregate.

273 Bahrain This offer is a private placement and is only offered to (and accepted by) Accredited investors, defined as: k Individuals holding financial assets (either singly or jointly with their spouse) of USD1,000,000 or more; k Companies, partnerships, trusts or other commercial undertakings, which have financial assets available for investment of not less than USD1,000,000; or k Governments, supranational organisations, central banks or other national monetary authorities, and state organisations whose main activity is to invest in financial instruments (such as state pension funds). No offer to the public is being made in the Kingdom of Bahrain. This document is intended to be read only by the persons to whom it is addressed and may not be shown to, passed to or made available to, the public generally in the Kingdom of Bahrain. THIS OFFER IS A PRIVATE PLACEMENT. IT IS NOT SUBJECT TO THE REGULATIONS OF THE CENTRAL BANK OF BAHRAIN THATAPPLY TO PUBLIC OFFERINGS OF SECURITIES, AND THE EXTENSIVE DISCLOSURE REQUIREMENTS AND OTHER PROTECTIONS THAT THESE REGULATIONS CONTAIN. THE FINANCIAL INSTRUMENTS OFFERED BY WAY OF PRIVATE PLACEMENT MAY ONLY BE OFFERED IN MINIMUM SUBSCRIPTIONS OF $100,000 (OR EQUIVALENT IN OTHER CURRENCIES). THE CENTRAL BANK OF BAHRAIN ASSUMES NO RESPONSIBILITY FOR THE ACCURACY AND COMPLETENESS OF THE STATEMENTS AND INFORMATION CONTAINED IN THIS DOCUMENT AND EXPRESSLY DISCLAIMS ANY LIABILITY WHATSOEVER FOR ANY LOSS HOWSOEVER ARISING FROM RELIANCE UPON THE WHOLE OR ANY PART OF THE CONTENTS OF THIS DOCUMENT. THE BOARD OF DIRECTORS AND THE MANAGEMENT OF THE ISSUER ACCEPTS RESPONSIBILITY FOR THE INFORMATION CONTAINED IN THIS DOCUMENT. TO THE BEST OF THE KNOWLEDGE AND BELIEF OF THE BOARD OF DIRECTORS AND THE MANAGEMENT, WHO HAVE TAKEN ALL REASONABLE CARE TO ENSURE THAT SUCH IS THE CASE, THE INFORMATION CONTAINED IN THIS DOCUMENT IS IN ACCORDANCE WITH THE FACTS AND DOES NOT OMIT ANYTHING LIKELY TO AFFECT THE RELIABILITY OF SUCH INFORMATION.

Kuwait The Units have not been licensed for offering in Kuwait by the Ministry of Commerce and Industry or the Central Bank of Kuwait or any other relevant Kuwaiti government agency. The offering of the Units in Kuwait on the basis of a private placement or public offering is, therefore, restricted in accordance with Decree Law No. 31 of 1990, as amended, and Ministerial Order No. 113 of 1992, as amended. No private or public offering of the Units is being made in Kuwait, and no agreement relating to the sale of the Units will be concluded in Kuwait. No marketing or solicitation or inducement activities are being used to offer or market the Units in Kuwait.

Malaysia This Prospectus has not been and will not be registered as a prospectus with the Securities Commission of Malaysia pursuant to the Capital Markets & Services Act, 2007 of Malaysia (“CMSA”) as the offer for subscription or purchase of, or an invitation to subscribe for or purchase, the Units is meant to qualify as an “excluded offer or excluded invitation” or “excluded issue” within the meaning of sections 229 and 230 of the CMSA. Accordingly, this prospectus shall not be circulated or distributed and no invitation or offer, whether directly or

274 indirectly,of the Units will be made, to any persons other than to persons specified in Schedules 6 and 7 of the CMSA (the “Sophisticated Investors”). In addition, the Units shall not be offered for subscription or sold, directly or indirectly,nor may an invitation or offer to subscribe for or sell, any Units be made in Malaysia to any persons other than Sophisticated Investors unless such offer or invitation has been approved by the Securities Commission of Malaysia. Each of The Hongkong and Shanghai Banking Corporation Limited, Singapore Branch, United Overseas Bank Limited and Daiwa Capital Markets Singapore Limited has acknowledged that this Prospectus has not been and will not be registered as a prospectus with the Securities Commission of Malaysia under the CMSA but will be deposited as an information memorandum with the Securities Commission of Malaysia in accordance with the CMSA.

Brunei This Prospectus has not been delivered to, licensed or permitted by the Authority as designated under the Brunei Darussalam Mutual Funds Order 2001. Nor has it been registered with the Registrar of Companies. This document is for informational purposes only and does not constitute an invitation or offer to the public. As such it must not be distributed or redistributed to and may not be relied upon or used by any person in Brunei other than the person to whom it is directly communicated, (i) in accordance with the conditions of section 21(3) of the International Business Companies Order 2000, or (ii) whose business or part of whose business is in the buying and selling of shares within the meaning of section 308(4) of the Companies Act, Cap. 39.

Switzerland The Units may not be publicly offered, distributed or re-distributed on a professional basis in or from Switzerland and neither this document nor any other solicitation for investments in Sabana Shari’ah Compliant REIT may be communicated or distributed in Switzerland in any way that could constitute a public offering within the meaning of Articles 1156/652a of the Swiss Code of Obligations (“CO”). This document may not be copied, reproduced, distributed or passed on to others without the Offeror’s prior written consent. This document is not a prospectus within the meaning of Articles 1156/652a CO and the Units will not be listed on the SIX Swiss Exchange. Therefore, this document may not comply with the disclosure standards of the CO and/or the listing rules (including any prospectus schemes) of the SIX Swiss Exchange set forth in art. 27 et seq. of the SIX Listing Rules. In addition, it cannot be excluded that the Offeror could qualify as a foreign collective investment scheme pursuant to Article 119 para. 2 Swiss Federal Act on Collective Investment Schemes (“CISA”). The Units will not be licensed for public distribution in and from Switzerland. Therefore, the Units may only be offered and sold to so-called “qualified investors” in accordance with the private placement exemptions pursuant to applicable Swiss law (in particular, Article 10 para. 3 CISA and Article 6 of the implementing ordinance to the CISA). The Offeror has not been licensed and is not subject to the supervision of the Swiss Financial Market Supervisory Authority (“FINMA”). Accordingly, investors in the Units do not benefit from the specific investor protection provided by CISA and the supervision of the FINMA.

For Residents of the Sultanate of Oman The information contained in this Prospectus neither constitutes a public offer of securities in the Sultanate of Oman as contemplated by the Commercial Companies Law of Oman (Royal Decree 4/74) or the Capital Market Law of Oman (Royal Decree 80/98), nor does it constitute an offer to sell, or the solicitation of any offer to buy Non-Omani securities in the Sultanate of Oman as contemplated by Article 139 of the Executive Regulations of the Capital Market Law (issued by Decision No. 1/2009). Additionally, this Prospectus is not intended to lead to the conclusion of a contract for the sale or purchase of securities. The recipient of this Prospectus represents that it is a financial institution and is a sophisticated investor (as described in Article 139 of the Executive Regulations of the Capital Market Law) and

275 that its officers/ employees have such experience in business and financial matters that they are capable of evaluating the merits and risks of investments.

Jordan Any marketing of Units to Jordanian investors is done by way of private placement only.No Public Offering of the Units will be conducted in Jordan. The Units are being offered in Jordan on a cross border basis based on one-on-one contacts and will not be offered nor will this Prospectus be distributed to more than 30 potential investors. Accordingly the Units will not be registered with the Jordanian Securities Commission (“JSC”) nor will the Units be registered with the Jordanian Depository Centre for Securities or listed at the Amman Stock Exchange. This Prospectus was not presented to the JSC for approval and is not required to be approved by the JSC.

276 CLEARANCE AND SETTLEMENT

INTRODUCTION

A letter of eligibility has been obtained from the SGX-ST for the listing and quotation of the Units. For the purpose of trading on the SGX-ST, a board lot for the Units will comprise 1,000 Units.

Upon listing and quotation on the SGX-ST, the Units will be traded under the electronic book- entry clearance and settlement system of CDP. All dealings in and transactions of the Units through the SGX-ST will be effected in accordance with the terms and conditions for the operation of Securities Accounts, as amended from time to time.

CDP,a wholly-owned subsidiary of Singapore Exchange Limited, is incorporated under the laws of Singapore and acts as a depository and clearing organisation. CDP holds securities for its account-holders and facilitates the clearance and settlement of securities transactions between account-holders through electronic book-entry changes in the Securities Accounts maintained by such accountholders with CDP.

It is expected that the Units will be credited into the Securities Accounts of applicants for the Units within four Market Days after the closing date for applications for the Units.

CLEARANCE AND SETTLEMENT UNDER THE DEPOSITORY SYSTEM

The Units will be registered in the name of CDP or its nominee and held by CDP for and on behalf of persons who maintain, either directly or through depository agents, Securities Accounts with CDP. Persons named as direct Securities Account holders and depository agents in the depository register maintained by CDP will be treated as Unitholders in respect of the number of Units credited to their respective Securities Accounts.

Transactions in the Units under the book-entry settlement system will be reflected by the seller’s Securities Account being debited with the number of Units sold and the buyer’s Securities Account being credited with the number of Units acquired and no transfer stamp duty is currently payable for the transfer of Units that are settled on a book-entry basis.

Units credited to a Securities Account may be traded on the SGX-ST on the basis of a price between a willing buyer and a willing seller. Units credited into a Securities Account may be transferred to any other Securities Account with CDP,subject to the terms and conditions for the operation of Securities Accounts and a S$10.00 transfer fee payable to CDP.All persons trading in the Units through the SGX-ST should ensure that the relevant Units have been credited into their Securities Account, prior to trading in such Units, since no assurance can be given that the Units can be credited into the Securities Account in time for settlement following a dealing. If the Units have not been credited into the Securities Account by the due date for the settlement of the trade, the buy-in procedures of the SGX-ST will be implemented.

CLEARING FEE

A clearing fee for the trading of Units on the SGX-ST is payable at the rate of 0.04% of the transaction value, subject to a maximum of S$600.00 per transaction. The clearing fee, deposit fee and unit withdrawal fee may be subject to the prevailing GST.

Dealings in the Units will be carried out in Singapore dollars and will be effected for settlement in CDP on a scripless basis. Settlement of trades on a normal “ready” basis on the SGX-ST generally takes place on the third Market Day following the transaction date. CDP holds securities on behalf of investors in Securities Accounts. An investor may open a direct account with CDP or a sub-account with any CDP depository agent. A CDP depository agent may be a member company of the SGX-ST, bank, merchant bank or trust company.

277 EXPERTS KPMG LLP, the Independent Reporting Accountants, was responsible for preparing the Independent Accountants’ Report on the Profit Forecast and Profit Projection and the Independent Accountants’ Report on the Unaudited Pro Forma Balance Sheet as at the Listing Date found in Appendix A and Appendix B of this Prospectus respectively. KPMG Services Pte. Ltd., the Independent Tax Adviser, was responsible for preparing the Independent Taxation Report found in Appendix D of this Prospectus. Cushman & Wakefield VHS Pte. Ltd. and CKS Property Consultants Pte Ltd, the Independent Valuers, were responsible for preparing the Independent Property Valuation Summary Reports found in Appendix E of this Prospectus. DTZ Debenham Tie Leung (SEA) Pte Ltd, the Independent Market Research Consultant (as defined herein), was responsible for preparing the Independent Industrial Property Market Research Report found in Appendix F of this Prospectus. The members of the Independent Shari’ah Committee, namely Dr. Mohamed Ali Elgari, Professor Dr. Obiyathulla Ismath Bacha and Dr. Ashraf bin Mohammed Hashim, as well as the members of the HSBC Amanah Central Shari’ah Committee, namely Sheikh Nizam Yaquby, Dr. Mohamed Ali Elgari and Dr. Muhammad Imran Usmani were responsible for preparing their respective Shari’ah certifications found in Appendix G of this Prospectus. The Independent Reporting Accountants, the Independent Tax Adviser, the Independent Valuers, the Independent Market Research Consultant, the members of the Independent Shari’ah Committee, namely Dr. Mohamed Ali Elgari, Professor Dr. Obiyathulla Ismath Bacha, Dr. Ashraf bin Mohammed Hashim and the members of the HSBC Amanah Central Shari’ah Committee, namely Sheikh Nizam Yaquby, Dr. Mohamed Ali Elgari and Dr. Muhammad Imran Usmani, have each given and have not withdrawn their written consents to the issue of this Prospectus with the inclusion herein of their names and their respective write-ups and reports and all references thereto in the form and context in which they respectively appear in this Prospectus, and to act in such capacity in relation to this Prospectus. None of Allen & Gledhill LLP,Allen & Overy LLP or Shook Lin & Bok LLP, makes, or purports to make, any statement in this Prospectus and none of them is aware of any statement in this Prospectus which purports to be based on a statement made by it and it makes no representation, express or implied, regarding, and takes no responsibility for, any statement in or omission from this Prospectus.

278 GENERAL INFORMATION (1) The Profit Forecast and Profit Projection contained in “Profit Forecast and Profit Projection” have been stated by the Directors after due and careful enquiry.

MATERIAL BACKGROUND INFORMATION (2) There are no legal or arbitration proceedings pending or, so far as the Directors are aware, threatened against the Manager the outcome of which, in the opinion of the Directors, may have or have had during the 12 months prior to the date of this Prospectus, a material adverse effect on the financial position of the Manager. (3) There are no legal or arbitration proceedings pending or, so far as the Directors are aware, threatened against Sabana Shari’ah Compliant REIT the outcome of which, in the opinion of the Directors, may have or have had during the 12 months prior to the date of this Prospectus, a material adverse effect on the financial position (on a pro forma basis) of Sabana Shari’ah Compliant REIT. (4) The name, age and address of each of the Directors are set out in “The Manager and Corporate Governance — Directors of the Manager”. A list of the present and past directorships of each Director and executive officer of the Manager over the last five years preceding the Latest Practicable Date is set out in Appendix I, “List of Present and Past Principal Directorships of Directors and Executive Officers”. (5) There is no family relationship among the Directors and executive officers of the Manager. (6) Save as disclosed below, none of the Directors or executive officers of the Manager is or was involved in any of the following events: (i) at any time during the last 10 years, an application or a petition under any bankruptcy laws of any jurisdiction filed against him or against a partnership of which he was a partner at the time when he was a partner or at any time within two years from the date he ceased to be a partner; (ii) at any time during the last 10 years, an application or a petition under any law of any jurisdiction filed against an entity (not being a partnership) of which he was a director or an equivalent person or a key executive, at the time when he was a director or an equivalent person or a key executive of that entity or at any time within two years from the date he ceased to be a director or an equivalent person or a key executive of that entity, for the winding up or dissolution of that entity or, where that entity is the trustee of a business trust, that business trust, on the ground of insolvency; (iii) any unsatisfied judgment against him; (iv) a conviction of any offence, in Singapore or elsewhere, involving fraud or dishonesty which is punishable with imprisonment, or has been the subject of any criminal proceedings (including any pending criminal proceedings of which he is aware) for such purpose; (v) a conviction of any offence, in Singapore or elsewhere, involving a breach of any law or regulatory requirement that relates to the securities or futures industry in Singapore or elsewhere, or has been the subject of any criminal proceedings (including any pending criminal proceedings of which he is aware) for such breach; (vi) at any time during the last 10 years, judgment been entered against him in any civil proceedings in Singapore or elsewhere involving a breach of any law or regulatory requirement that relates to the securities or futures industry in Singapore or elsewhere, or a finding of fraud, misrepresentation or dishonesty

279 on his part, or any civil proceedings (including any pending civil proceedings of which he is aware) involving an allegation of fraud, misrepresentation or dishonesty on his part; (vii) a conviction in Singapore or elsewhere of any offence in connection with the formation or management of any entity or business trust; (viii) disqualification from acting as a director or an equivalent person of any entity (including the trustee of a business trust), or from taking part directly or indirectly in the management of any entity or business trust; (ix) any order, judgment or ruling of any court, tribunal or governmental body permanently or temporarily enjoining him from engaging in any type of business practice or activity; (x) to his knowledge, been concerned with the management or conduct, in Singapore or elsewhere, of the affairs of: (a) any corporation which has been investigated for a breach of any law or regulatory requirement governing corporations in Singapore or elsewhere; (b) any entity (not being a corporation) which has been investigated for a breach of any law or regulatory requirement governing such entities in Singapore or elsewhere; (c) any business trust which has been investigated for a breach of any law or regulatory requirement governing business trusts in Singapore or elsewhere; or (d) any entity or business trust which has been investigated for a breach of any law or regulatory requirement that relates to the securities or futures industry in Singapore or elsewhere, in connection with any matter occurring or arising during the period when he was so concerned with the entity or business trust; or (xi) the subject of any current or past investigation or disciplinary proceedings, or has been reprimanded or issued any warning, by the Authority or any other regulatory authority, exchange, professional body or government agency, whether in Singapore or elsewhere. Mr Eric Michael Peter Pascal has paid a fine on 12 July 2010 in relation to an offence under the Parking Places Act, Chapter 214 of Singapore, which is punishable by a fine not exceeding S$2,000 or imprisonment for a term not exceeding three months or both.

MISCELLANEOUS (7) The financial year-end of Sabana Shari’ah Compliant REIT is 31 December. The annual audited financial statements of Sabana Shari’ah Compliant REIT will be prepared and sent to Unitholders within four months of the financial year-end and at least 14 days before the annual general meeting of the Unitholders. (8) A full valuation of each of the real estate assets held by Sabana Shari’ah Compliant REIT will be carried out at least once a year in accordance with the Property Funds Appendix. Generally, where the Manager proposes to issue new Units (except in the case where new Units are being issued in payment of the Manager’s management fees) or to redeem existing Units, a valuation of the real properties held by Sabana Shari’ah Compliant REIT must be carried out in accordance with the Property Funds Appendix. The Manager or the Trustee may at any other time arrange for the valuation of any of the real properties held by Sabana Shari’ah Compliant REIT if it is of the opinion that it is in the best interest of Unitholders to do so.

280 (9) While Sabana Shari’ah Compliant REIT is listed on the SGX-ST,investors may check the SGX-ST website http://www.sgx.com for the prices at which Units are being traded on the SGX-ST. Investors may also check one or more major Singapore newspapers such as The Straits Times, The Business Times, Lianhe Zaobao and Berita Harian, for the price range within which Units were traded on the SGX-ST on the preceding day. (10) The Manager does not intend to receive soft dollars (as defined in the CIS Code) in respect of Sabana Shari’ah Compliant REIT.Save as disclosed in this Prospectus, unless otherwise permitted under the Listing Manual, neither the Manager nor any of its Associates will be entitled to receive any part of any brokerage charged to Sabana Shari’ah Compliant REIT, or any part of any fees, allowances or benefits received on purchases charged to Sabana Shari’ah Compliant REIT.

MATERIAL CONTRACTS (11) The dates of, parties to, and general nature of every material contract which the Trustee has entered into within the two years preceding the date of this Prospectus (not being contracts entered into in the ordinary course of the business of Sabana Shari’ah Compliant REIT) are as follows: (i) the Trust Deed; (ii) the ROFR; (iii) the Sale and Purchase Agreements; and (iv) the Property Management Agreement.

DOCUMENTS FOR INSPECTION (12) Copies of the following documents are available for inspection at the registered office of the Manager at 9 Raffles Place, #18-20/21, Republic Plaza, Singapore 048619, for a period of six months from the date of this Prospectus: (i) the material contracts referred to in paragraph 11 above, save for the Trust Deed (which will be available for inspection for so long as Sabana Shari’ah Compliant REIT is in existence); (ii) the Freight Links Subscription Agreement (as defined herein); (iii) the Cornerstone Subscription Agreements (as defined herein); (iv) the Depository Services Agreement; (v) the Underwriting Agreement; (vi) the Independent Accountants’ Report on the Profit Forecast and Profit Projection as set out in Appendix A of this Prospectus; (vii) the Independent Accountants’ Report on the Unaudited Pro Forma Balance Sheet as at the Listing Date as set out in Appendix B of this Prospectus; (viii) the Unaudited Pro Forma Balance Sheet as at the Listing Date as set out in Appendix C of this Prospectus; (ix) the Independent Taxation Report as set out in Appendix D of this Prospectus; (x) the Independent Property Valuation Summary Reports as set out in Appendix E of this Prospectus as well as the full valuation reports for each of the Properties; (xi) the Independent Industrial Property Market Research Report as set out in Appendix F of this Prospectus;

281 (xii) the Shari’ah certifications issued by the members of the Independent Shari’ah Committee and the HSBC Amanah Central Shari’ah Committee as set out respectively in Appendix G of this Prospectus; and (xiii) the written consents of the Independent Reporting Accountants, the Independent Tax Advisers, both the Independent Valuers, the Independent Market Research Consultant, the members of the Independent Shari’ah Committee and the members of the HSBC Amanah Central Shariah Committee (see “Experts”).

CONSENTS OF THE SOLE FINANCIAL ADVISER AND THE JOINT BOOKRUNNERS (13) The Hongkong and Shanghai Banking Corporation Limited, Singapore Branch has given and not withdrawn its written consent to being named in this Prospectus as a Sole Financial Adviser to the Offering. (14) The Hongkong and Shanghai Banking Corporation Limited, Singapore Branch, United Overseas Bank Limited and Daiwa Capital Markets Singapore Limited have each given and not withdrawn its written consent to being named in this Prospectus as a Joint Global Coordinator, Issue Manager, Bookrunner and Underwriter to the Offering.

WAIVERS FROM THE SGX-ST (15) The Manager has obtained from the SGX-ST waivers from compliance with the following listing rules under the Listing Manual: (i) Rule 404(3), which relates to restrictions on investments subject to compliance with the CIS Code; (ii) Rule 404(5), which requires the management company to be reputable and have an established track record in managing investments; (iii) Rule 407(4), which requires the submission of the financial track record of the investment manager and investment adviser and persons employed by them; (iv) Rule 409(3), which requires the annual accounts of Sabana Shari’ah Compliant REIT for each of the last five financial years to be submitted to the SGX-ST together with the application to the SGX-ST for the listing of Sabana Shari’ah Compliant REIT; and (v) Rule 609(b), which requires the disclosure in this Prospectus of the pro forma profit and loss statement of Sabana Shari’ah Compliant REIT for the latest three financial years and for the most recent interim period as if Sabana Shari’ah Compliant REIT had been in existence at the beginning of the period reported on, as well as the pro forma balance sheet as at the date to which the most recent pro forma profit and loss statement has been made up.

282 GLOSSARY % Per centum or percentage 1 Tuas Avenue 4 The Property located at 1 Tuas Avenue 4, Singapore 639382 1 Tuas Avenue 4 Lease The registered lease No IA/259694D comprised in Certificate of Title (SUB) Volume 639 Folio 164 issued by JTC for a term of 30 years commencing from 1 January 1996 in relation to 1 Tuas Avenue 4 3 Kallang Way 2A The Property located at 3 Kallang Way 2A, Fong Tat Building, Singapore 347493 3 Kallang Way 2A JTC Lease The registered Lease No. IA/122416P dated 13 April 2005 comprised in Certificate of Title (SUB) Volume 630 Folio 158 issued by JTC for a term of 30 years commencing from 1 May 1995 in relation to 3 Kallang Way 2A 8 Commonwealth Lane The Property located at 8 Commonwealth Lane, Singapore 149555 8 Commonwealth Lane Building The building agreement dated 20 June 2006 whereby JTC Agreement agreed to grant to Akai Sales Pte. Ltd a licence term for three years commencing from 1 February 2006 in relation to 8 Commonwealth Lane 9 Tai Seng Drive The Property located at 9 Tai Seng Drive, Geo-Tele Centre, Singapore 535227 9 Tai Seng Drive JTC Lease The registered Lease No. I/27157Q comprised in Certificate of Title (SUB) Volume 593 Folio 177 issued by JTC for a term of 30 years commencing from 1 June 1995 in relation to 9 Tai Seng Drive 15 Jalan Kilang Barat The Property located at 15 Jalan Kilang Barat, Frontech Centre, Singapore 159357 18 Gul Drive The Property located at 18 Gul Drive, Singapore 629468 26 Loyang Drive The Property located at 26 Loyang Drive, Singapore 508970 26 Loyang Drive Building The building agreement dated 10 June 2006 whereby JTC Agreement agreed to grant Gallaher Singapore Pte. Limited a licence term of three years commencing from 1 January 2006 in relation to 26 Loyang Drive 29 Tanjong Penjuru The Property located at 29 Tanjong Penjuru, Singapore 609026 30 Tuas Avenue 10 The Property located at 30 Tuas Avenue 10, Singapore 639150 30 & 32 Tuas Avenue 8 The Property located at 30 & 32 Tuas Avenue 8, Singapore 639246/639247 33 & 35 Penjuru Lane The Property located at 33 & 35 Penjuru Lane, Freight Links Express Logisticpark, Singapore 609200/609202 34 Penjuru Lane The Property located at 34 Penjuru Lane, Penjuru Logistics Hub, Singapore 609201

283 34 Penjuru Lane JTC Lease The registered Lease No. IB/682990U comprised in Certificate of Title (SUB) Volume 647 Folio 188 issued by JTC for a term of 30 years commencing from 16 August 2002 in relation to 34 Penjuru Lane 51 Penjuru Road The Property located at 51 Penjuru Road, Freight Links Express Logisticentre, Singapore 609143 123 Genting Lane The Property located at 123 Genting Lane, Yenom Industrial Building, Singapore 349574 123 Genting Lane Lease The registered Lease No I/043255M comprised in Certificate of Title (SUB) Volume 532 Folio 28 issued by JTC for a term of 60 years commencing from 1 September 1981 in relation to 123 Genting Lane 146 Gul Circle The Property located at 146 Gul Circle, Singapore 629604 151 Lorong Chuan The Property located at 151 Lorong Chuan, Singapore 556741 200 Pandan Loop The Property located at 200 Pandan Loop, Pantech 21, Singapore 128388 218 Pandan Loop The Property located at 218 Pandan Loop, Singapore 128408 AAOIFI Auditing and Accounting Organisation of the Islamic Financial Institutions Aggregate Leverage The total borrowings and deferred payments (if any) for assets of Sabana Shari’ah Compliant REIT Akai Sales Akai Sales Pte. Ltd. Application Forms The printed application forms to be used for the purpose of the Offering and which form part of this Prospectus Application List The list of applicants subscribing for Units which are the subject of the Public Offer Asia Brunei Darussalam, Cambodia, Indonesia, Lao People’s Democratic Republic, Malaysia, Myanmar, Philippines, Singapore, Thailand, Vietnam, People’s Republic of China, Hong Kong Special Administrative Region, Taiwan, Republic of Korea, Democratic People’s Republic of Korea, Japan, India and Democratic Socialist Republic of Sri Lanka Associate Has the meaning ascribed to it in the Listing Manual Authority or MAS Monetary Authority of Singapore ATM Automated teller machine Bausch & Lomb Bausch & Lomb (S) Pte Ltd Blackwood Blackwood Investment Pte. Ltd. Board The board of directors of the Manager Branbury Branbury Investments Ltd Business Day Any day (other than a Saturday, Sunday or gazetted public holiday) on which commercial banks are open for business in Singapore and the SGX-ST is open for trading

284 C&W Cushman & Wakefield VHS Pte. Ltd. CDL City Developments Limited CDP The Central Depository (Pte) Limited CIS Code The Code on Collective Investment Schemes issued by the MAS, as may be amended or modified from time to time CKS CKS Property Consultants Pte Ltd CMS Licence Capital markets services licence Commodity Murabaha Facility The committed three-year secured commodity Murabaha facility of up to S$256.0 million from The Hongkong and Shanghai Banking Corporation Limited, United Overseas Bank Limited and Malayan Banking Berhad Companies Act Companies Act, Chapter 50 of Singapore Cornerstone Investors Al-Salam Bank-Bahrain B.S.C, Capital Investment & Brokerage/Jordan Ltd. Co., FIL Investment Management (Hong Kong) Limited (on behalf of various accounts) and Meren Pte Ltd Cornerstone Subscription The subscription agreements entered into between the Agreements Manager and the Cornerstone Investors to subscribe for the Cornerstone Units Cornerstone Units The 97,804,555 Units to be issued to the Cornerstone Investors CPF Central Provident Fund CSC Certificate of Statutory Completion Deposited Property All the assets of Sabana Shari’ah Compliant REIT, including the Properties and all the authorised investments of Sabana Shari’ah Compliant REIT for the time being held or deemed to be held upon the trusts under the Trust Deed Depository Services Agreement The depository services agreement entered into between CDP, the Manager and the Trustee relating to the deposit of the Units in CDP DFSA Dubai Financial Services Authority DHL DHL Supply Chain Singapore Pte. Ltd. Director Director of the Manager DPU Distribution per Unit Eccott Eccott Pte Ltd EEA European Economic Area ESPN ESPN Star Sports Exempted Agreements The Trust Deed, the Property Management Agreement, the Individual Property Management Agreements and the Master Lease Agreements entered into with the Sponsor Extraordinary Resolution A resolution proposed and passed as such by a majority consisting of 75.0% or more of the total number of votes cast for and against such resolution at a meeting of

285 Unitholders duly convened and held in accordance with the provisions of the Trust Deed First Lock-up Period The period commencing from the date of issuance of the Units until the date falling 180 days after the Listing Date (both dates inclusive) Five Pillars Five Pillars Pte. Ltd. Fong Tat Motor Fong Tat Motor Co. Pte. Ltd. Forecast Year 2011 1 January 2011 to 31 December 2011 Freight Links or Sponsor Freight Links Express Holdings Limited Freight Links Group Freight Links and its subsidiaries Freight Links Properties 33 & 35 Penjuru Lane, 18 Gul Drive, 51 Penjuru Road, 218 Pandan Loop and 30 & 32 Tuas Avenue 8 Freight Links Subscription The subscription agreement entered into between the Agreement Manager and Singapore Enterprises, a direct wholly- owned subsidiary of Freight Links to subscribe for Sponsor Units FSMA The United Kingdom Financial Services and Markets Act 2000 Fujitsu Fujitsu Semiconductor Asia Pte Ltd (formerly known as Fujitsu Microelectronic Asia Pte Ltd) G&U Districenters Premier G&U Districenters Pte. Ltd. GAAP Generally Accepted Accounting Principles Gallaher Gallaher Singapore Pte. Limited GCC States The Gulf Cooperation Council States and is defined as Saudi Arabia, Kuwait, Bahrain, Qatar, the United Arab Emirates and the Sultanate of Oman Geo-Tele Geo-Tele Pte. Ltd. GFA Gross Floor Area Gross Revenue Comprises income from the rental of the Properties GST Goods and Services Tax Handover Date The last day of the term of the Master Lease Agreement Ho Bee Ho Bee Developments Pte Ltd HSBC Amanah The global Islamic financial services division of the HSBC Group established in 1998 HSBC Group HSBC Holdings plc, together with its subsidiary undertakings IB Internet banking IBM IBM Singapore Pte Ltd IFR The Saudi Arabian Investment Fund Regulations, as enacted by Resolution of the Board of the Capital Market Authority No. 1-219-2006 dated 3/12/1427 H / 24 December 2006

286 IFSB Islamic Financial Services Board IIUM International Islamic University Malaysia INCEIF International Centre for Education in Islamic Finance Income Tax Act Income Tax Act, Chapter 134 of Singapore Independent Market Research DTZ Debenham Tie Leung (SEA) Pte Ltd Consultant Independent Reporting KPMG LLP Accountants Independent Shari’ah The independent Shari’ah committee of Sabana Shari’ah Committee Compliant REIT Independent Tax Adviser KPMG Services Pte. Ltd. Independent Valuers C&W and CKS Individual Property Management The separate property management agreements entered Agreements into pursuant to the Property Management Agreement in relation to the provision of property management services to each of the properties of Sabana Shari’ah Compliant REIT located in Singapore Institutions of a Public Has the meaning ascribed to it under Section 40A of the Character Charities Act, Chapter 37 of Singapore Investible Savings The balance in a CPF Ordinary Account plus the net amounts (if any) withdrawn for education and investment IRAS Inland Revenue Authority of Singapore IWL The Islamic World League Joint Global Coordinators, Issue The Hongkong and Shanghai Banking Corporation Managers, Bookrunners, and Limited, Singapore Branch, United Overseas Bank Underwriters or Joint Limited and Daiwa Capital Markets Singapore Limited Bookrunners JTC JTC Corporation Kodak Kodak Singapore Pte. Limited L&M Properties L&M Properties Pte Ltd Land Acquisition Act The Land Acquisition Act, Chapter 152 of Singapore Latest Practicable Date 4 November 2010, being the latest practicable date prior to the lodgement of this Prospectus with the MAS Lease Agreements The lease agreements entered into between the Trustee and the Master Lessees and/or the tenants (as the case may be) in connection with the leasing of the Properties Lenovo Lenovo (Singapore) Pte. Ltd. Listing Date The date of admission of Sabana Shari’ah Compliant REIT to the Official List of the SGX-ST Listing Manual The Listing Manual of the SGX-ST,as may be amended or modified from time to time Lock-up Periods The First Lock-up Period and the Second Lock-up Period

287 Lock-up Units All of the Units which will be directly or indirectly held by the Sponsor on the Listing Date, including the Sponsor Units M&E Mechanical and Electrical Manager Sabana Real Estate Investment Management Pte. Ltd., as manager of Sabana Shari’ah Compliant REIT Market Day A day on which the SGX-ST is open for trading in securities Market Price Has the meaning set out in the Trust Deed (see “The Formation and Structure of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust — Issue of Units”) MAS or Authority Monetary Authority of Singapore Master Lease Agreements The master lease agreements entered into between the Trustee and the Master Lessees in connection with the Master Leases Master Leases The master leases entered into in relation to the Properties Master Lessees Branbury Investments Ltd (in relation to 151 Lorong Chuan), Utraco Greentech Pte. Ltd. (in relation to 8 Commonwealth Lane), Eccott Pte Ltd (in relation to 200 Pandan Loop), Ho Bee Developments Pte Ltd (in relation to 15 Jalan Kilang Barat), Freight Links Express Logisticpark Pte Ltd (in relation to 33 & 35 Penjuru Lane), LTH Logistics (Singapore) Pte Ltd (in relation to 18 Gul Drive), Premier G&U Districenters Pte. Ltd. (in relation to 1 Tuas Avenue 4), SB (Lakeside) Investment Pte. Ltd. (in relation to 34 Penjuru Lane), Freight Links Express Logisticentre Pte Ltd (in relation to 51 Penjuru Road), Oxley & Hume Builders Pte. Ltd. (in relation to 26 Loyang Drive), Fong Tat Motor Co. Pte. Ltd. (in relation to 3 Kallang Way 2A), Freight Links Express Air Systems Pte Ltd (in relation to 218 Pandan Loop), Yenom Industries Pte Ltd (in relation to 123 Genting Lane), Freight Links Fabpark Pte. Ltd. (in relation to 30 & 32 Tuas Avenue 8). MRT Mass Rapid Transit NAV Net asset value Net Property Income In relation to a real estate, for any financial year or part thereof refers to the Gross Revenue of the real estate less the property expenses NLA Net Lettable Area Non-permissible Activities Activities which are non-permissible under the Shari’ah Guidelines, which include activities relating to conventional financial and insurance services, gaming, non-halal production, tobacco-related products, non- permitted entertainment activities and stock-broking in non-compliant securities Offering The offering of 507,995,445 Units by the Manager for subscription at the Offering Price under the Placement Tranche and the Public Offer

288 Offering Price S$1.05 per Unit Ordinary Resolution A resolution proposed and passed as such by a majority being 50.0% of the total number of votes cast for and against such resolution at a meeting of Unitholders duly convened and held in accordance with the provisions of the Trust Deed Other Property The property, in relation to 151 Lorong Chuan, under the sale and purchase agreement entered into between the Trustee and Branbury Investments Ltd Oxley & Hume Oxley & Hume Builders Pte. Ltd. Participating Banks United Overseas Bank Limited (“UOB”) and its subsidiary, Far Eastern Bank Limited (collectively, the “UOB Group”), DBS Bank Ltd (including POSB) (“DBS Bank”) and Oversea-Chinese Banking Corporation (“OCBC Bank”) Placement Tranche The international placement of Units to investors, including institutional and other investors in Singapore other than the Cornerstone Investors, pursuant to the Offering Polar Polar Instruments (Asia Pacific) Pte Ltd Polar Lease The lease agreement entered into between Ho Bee Developments Pte Ltd, as master lessee and Polar Instruments (Asia Pacific) Pte Ltd Profit Forecast and Profit The forecast and projected results for the Forecast Year Projection 2011 and the Projection Year 2012 Projection Year 2012 1 January 2012 to 31 December 2012 Properties The properties comprising 151 Lorong Chuan, 8 Commonwealth Lane, 9 Tai Seng Drive, 200 Pandan Loop, 15 Jalan Kilang Barat, 33 & 35 Penjuru Lane, 18 Gul Drive, 1 Tuas Avenue 4, 34 Penjuru Lane, 51 Penjuru Road, 26 Loyang Drive, 3 Kallang Way 2A, 218 Pandan Loop, 123 Genting Lane and 30 & 32 Tuas Avenue 8 Property Funds Appendix Appendix 2 of the CIS Code issued by the MAS in relation to REITs, as may be amended or modified from time to time Property Manager Sabana Property Management Pte. Ltd., as property manager of Sabana Shari’ah Compliant REIT Property Management The master property management agreement that has Agreement been entered into between the Manager, the Trustee and the Property Manager Public Offer The offering to the public in Singapore Qualifying Foreign Non- A Unitholder who is a non-resident of Singapore for income individual Unitholders tax purposes and who does not have a permanent establishment in Singapore or who carries on any operation in Singapore through a permanent establishment in Singapore, where the funds used to acquire the Units are not obtained from that operation in Singapore

289 Qualifying Unitholders Unitholders who are tax resident Singapore incorporated companies, bodies of persons registered or constituted in Singapore (for example, town councils, statutory boards, registered charities, registered cooperative societies, registered trade unions, management corporations, clubs and trade and industry associations) and Singapore branches of foreign companies which have presented a letter of approval from the IRAS granting a waiver from tax deduction at source in respect of distributions from Sabana Shari’ah Compliant REIT R&D Research and development Recognised Stock Exchange Any stock exchange of repute in any part of the world REIT A real estate investment trust Regulation S Regulation S under the Securities Act Related Party Refers to an interested person and/or, as the case may be, an interested party Related Party Transaction Interested person transactions and interested party transactions Relevant Member State Each member state of the EEA which has implemented the Prospectus Directive Reserved Units 50,000,000 Units reserved for subscription by the directors, management, employees and business associates of SIP (including its shareholders TCP, Blackwood and Freight Links and their subsidiaries) Retained Taxable Income Taxable Income derived in a financial period/year that is not distributed in that financial period/year Risk Management Solutions Currency hedging tools, derivatives and other financial instruments used to manage and minimise various financial risks faced by Sabana Shari’ah Compliant REIT ROFR The right of first refusal granted by Freight Links to the Trustee S$ or Singapore dollars and Singapore dollars and cents, the lawful currency of the cents Republic of Singapore Sabana Shari’ah Compliant REIT Sabana Shari’ah Compliant Industrial Real Estate Investment Trust, a real estate investment trust established in Singapore and constituted by the Trust Deed Sale and Purchase Agreements The sale and purchase agreements all dated 4 November 2010 entered into between the Trustee and the Vendors in connection with the acquisition of the Properties Second Lock-up Period The period commencing from the day immediately following the First Lock-up Period until the date falling 360 days after the Listing Date Securities Account Securities account or sub-account maintained by a Depositor (as defined in Section 130A of the Companies Act) with CDP

290 Securities Act U.S. Securities Act of 1933, as amended Securities and Futures Act or Securities and Futures Act, Chapter 289 of Singapore SFA Securities and Futures The amendments to the Securities and Futures Act which (Amendment) Act was passed by the Singapore Parliament on 19 January 2009 Settlement Date The date and time on which the Units are issued as settlement under the Offering SFO Securities and Futures Ordinance (Chapter 571 of Laws of Hong Kong) SGX-ST Singapore Exchange Securities Trading Limited Shari’ah Adviser Five Pillars Pte. Ltd. Shari’ah Certification The endorsement statement of the Independent Shari’ah Committee certifying that Sabana Shari’ah Compliant REIT is Shari’ah compliant Shari’ah Guidelines The guidelines issued by the Independent Shari’ah Committee to be observed by the Manager to ensure that Sabana Shari’ah Compliant REIT is and will continue to be Shari’ah compliant Singapore Enterprises Singapore Enterprises Private Limited SIP Sabana Investment Partners Pte. Ltd. Sole Financial Adviser The Hongkong and Shanghai Banking Corporation Limited, Singapore Branch Sponsor Freight Links Express Holding Limited Sponsor Units 27,000,000 Units to be subscribed for by Singapore Enterprises, a direct wholly-owned subsidiary of the Sponsor concurrently with but separate from the Offering SPV Special purpose vehicle sq ft square feet sq m square metres SRS Supplementary Retirement Scheme Substantial Unitholder Any Unitholder with an interest in one or more Units constituting not less than 5.0% of all Units in issue Takaful An Islamic insurance concept which observes Shari’ah compliant principles such as profit sharing. Tax Ruling The tax ruling dated 15 October 2010 issued by IRAS on the taxation of Sabana Shari’ah Compliant REIT and its Unitholders Tax Transparency Treatment The tax treatment under which the trustee will not be taxed on the trust income, but the beneficiaries will instead be taxed directly on their proportion of the trust income at their respective tax rates Taxable Income Income chargeable to tax after deduction of the allowable expenses incurred

291 TCP Tarian Capital Partners Pte. Ltd. Temporary Relief Measure The temporary relief measure introduced pursuant to Section 43(2A)(a) of the Income Tax Act to allow REITs to count distributions paid in the form of units pursuant to a distribution reinvestment plan as distributions of its Taxable Income for the purpose of satisfying the requirement that the REIT distribute at least 90.0% of its Taxable Income (after deduction of applicable expenses) in the year during which the income was derived TOP Temporary Occupation Permit Triple net basis or triple net Refers to a lease whereby the lessee pays for the rent and lease the following property-related expenses: land rent, property tax, insurance, day-to-day maintenance including cleaning, security, utilities, servicing of lifts and other M&E items. The landlord pays for any structural repairs and replacement of structural parts of the buildings in the property and replacement of M&E items Trust Deed The trust deed dated 29 October 2010 entered into between the Manager and the Trustee constituting Sabana Shari’ah Compliant REIT Trustee HSBC Institutional Trust Services (Singapore) Limited, in its capacity as trustee of Sabana Shari’ah Compliant REIT Unaudited Pro Forma Balance Unaudited pro forma balance sheet setting out the assets Sheet and liabilities of Sabana Shari’ah Compliant REIT and its subsidiaries as of the Listing Date Underwriting Agreement The underwriting agreement dated 22 November 2010 entered into between the Sponsor, the Manager and the Joint Bookrunners Underwriting and Selling The underwriting and selling commission payable to the Commission Joint Bookrunners and the Sole Financial Adviser for their services in connection with the Offering Unit An undivided interest in Sabana Shari’ah Compliant REIT as provided for in the Trust Deed Unitholder(s) The registered holder for the time being of a Unit including persons so registered as joint holders, except that where the registered holder is CDP,the term “Unitholder” shall, in relation to Units registered in the name of CDP, mean, where the context requires, the depositor whose Securities Account with CDP is credited with Units Unit Registrar Boardroom Corporate & Advisory Services Pte. Ltd. Unit Issue Mandate The general mandate to be given in a general meeting of the Unitholders is limited to the issue of an aggregate number of additional Units which must not exceed 50.0% of the total number of Units in issue, of which the aggregate number of additional Units to be issued other than on a pro rata basis to the existing Unitholders must not exceed 20.0% of the total number of Units in issue as at the date of the approval

292 URA Urban Redevelopment Authority US$ United States dollars, the lawful currency of the U.S. U.S. The United States of America Utraco Greentech Utraco Greentech Pte. Ltd. Vendors Branbury Investments Ltd (in relation to 151 Lorong Chuan), Utraco Greentech Pte. Ltd. (in relation to 8 Commonwealth Lane), Geo-Tele Pte. Ltd. (in relation to 9 Tai Seng Drive), Eccott Pte Ltd (in relation to 200 Pandan Loop), Ho Bee Developments Pte Ltd (in relation to 15 Jalan Kilang Barat), Freight Links Express Logisticpark Pte Ltd (in relation to 33 & 35 Penjuru Lane), LTH Logistics (Singapore) Pte Ltd (in relation to 18 Gul Drive), Premier G&U Districenters Pte. Ltd. (in relation to 1 Tuas Avenue 4), SB (Lakeside) Investment Pte. Ltd. (in relation to 34 Penjuru Lane), Freight Links Express Logisticentre Pte Ltd (in relation to 51 Penjuru Road), Oxley & Hume Builders Pte. Ltd. (in relation to 26 Loyang Drive), Fong Tat Motor Co. Pte. Ltd. (in relation to 3 Kallang Way 2A), Freight Links Express Air Systems Pte Ltd (in relation to 218 Pandan Loop), Yenom Industries Pte Ltd (in relation to 123 Genting Lane), Freight Links Fabpark Pte. Ltd. (in relation to 30 & 32 Tuas Avenue 8). Yenom Industries Yenom Industries Pte. Ltd Words importing the singular shall, where applicable, include the plural and vice versa. Words importing the masculine gender shall, where applicable, include the feminine and neuter genders. References to persons shall include corporations. Any reference in this Prospectus to any enactment is a reference to that enactment for the time being amended or re-enacted. Any reference to a time of day in this Prospectus is made by reference to Singapore time unless otherwise stated. Any discrepancies in the tables, graphs and charts between the listed amounts and totals thereof are due to rounding. Information contained in the Manager’s website and the Sponsor’s website does not constitute part of this Prospectus.

293 [This page is intentionally left blank] APPENDIX A

INDEPENDENT ACCOUNTANTS’ REPORT ON THE PROFIT FORECAST AND PROFIT PROJECTION

The Board of Directors Sabana Real Estate Investment Management Pte. Ltd. (as Manager of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust) 9 Raffles Place #18-20/21, Republic Plaza Singapore 048619 HSBC Institutional Trust Services (Singapore) Limited (as Trustee of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust) 21 Collyer Quay #14-01 HSBC Building Singapore 049320

22 November 2010

Dear Sirs

Letter from the Reporting Accountants on the Profit Forecast for the Year Ending 31 December 2011 and the Profit Projection for the Year Ending 31 December 2012

This letter has been prepared for inclusion in the prospectus (the “Prospectus”) in connection with the initial public offering of units in Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (“Sabana Shari’ah Compliant REIT”) at the offering price of S$1.05 per Unit (the “Offering”).

The directors of Sabana Real Estate Investment Management Pte. Ltd. (the “Directors”) are responsible for the preparation and presentation of the Statements of Total Return for the financial year ending 31 December 2011 (the “Profit Forecast”) and the financial year ending 31 December 2012 (the “Profit Projection”) as set out on page 86 of the Prospectus, which have been prepared on the basis of the assumptions set out on pages 87 to 92 of the Prospectus.

We have examined the Profit Forecast and the Profit Projection of Sabana Shari’ah Compliant REIT as set out on page 86 of the Prospectus in accordance with Singapore Standard on Assurance Engagements (“SSAE”) 3400 The Examination of Prospective Financial Information. The Directors are solely responsible for the Profit Forecast and Profit Projection including the assumptions set out on pages 87 to 92 of the Prospectus on which they are based.

Profit Forecast

Based on our examination of the evidence supporting the relevant assumptions, nothing has come to our attention which causes us to believe that these assumptions do not provide a reasonable basis for the Profit Forecast. Further, in our opinion the Profit Forecast, so far as the accounting policies and calculations are concerned, is properly prepared on the basis of the assumptions, is consistent with the accounting policies set out on pages C-5 to C-9 of the Prospectus, and is presented in accordance with the applicable presentation principles of Recommended Accounting Practice 7 Reporting Framework for Unit Trusts (but not all the required disclosures) issued by the Institute of Certified Public Accountants of Singapore (“ICPAS”), which is the framework to be adopted by Sabana Shari’ah Compliant REIT in the preparation of its financial statements.

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Profit Projection The Profit Projection is intended to show a possible outcome based on the stated assumptions. As Sabana Shari’ah Compliant REIT is newly established without any history of activities and because the length of the period covered by the Profit Projection extends beyond the period covered by the Profit Forecast, the assumptions used in the Profit Projection (which include hypothetical assumptions about future events which may not necessarily occur) are more subjective than would be appropriate for a profit forecast. The Profit Projection does not therefore constitute a profit forecast. Based on our examination of the evidence supporting the relevant assumptions, nothing has come to our attention which causes us to believe that these assumptions do not provide a reasonable basis for the Profit Projection. Further, in our opinion the Profit Projection, in so far as the accounting policies and calculations are concerned, is properly prepared on the basis of the assumptions, is consistent with the accounting policies set out on pages C-5 to C-9 of the Prospectus, and is presented in accordance with the applicable presentation principles of Recommended Accounting Practice 7 Reporting Framework for Unit Trusts (but not all the required disclosures) issued by ICPAS, which is the framework to be adopted by Sabana Shari’ah Compliant REIT in the preparation of its financial statements. Events and circumstances frequently do not occur as expected. Even if the events anticipated under the hypothetical assumptions occur, actual results are still likely to be different from the Profit Forecast and Profit Projection since other anticipated events frequently do not occur as expected and the variation may be material. The actual results may therefore differ materially from those projected. For the reasons set out above, we do not express any opinion as to the possibility of achievement of the Profit Forecast and Profit Projection. Attention is drawn, in particular, to the risk factors set out on pages 38 to 61 of the Prospectus which describe the principal risks associated with the Offering, to which the Profit Forecast and Profit Projection relate and the sensitivity analysis of the Profit Forecast and Profit Projection set out on pages 92 to 94 of the Prospectus.

Yours faithfully

KPMG LLP Public Accountants and Certified Public Accountants Singapore

Eng Chin Chin Partner-in-charge

A-2 APPENDIX B

INDEPENDENT ACCOUNTANTS’ REPORT ON THE UNAUDITED PRO FORMA BALANCE SHEET AS AT THE LISTING DATE

The Board of Directors Sabana Real Estate Investment Management Pte. Ltd. (as Manager of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust) 9 Raffles Place #18-20/21, Republic Plaza Singapore 048619 HSBC Institutional Trust Services (Singapore) Limited (as Trustee of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust ) 21 Collyer Quay #14-01 HSBC Building Singapore 049320

22 November 2010

Dear Sirs Unaudited Pro Forma Balance Sheet as at the Listing Date This letter has been issued for inclusion in the prospectus (the “Prospectus”) in connection with the initial public offering of units in Sabana Shari’ah Compliant Industrial Real Estate Investment Trust at the offering price of S$1.05 per Unit. We report on the Unaudited Pro Forma Balance Sheet of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (“Sabana Shari’ah Compliant REIT”) as at the date that Sabana Shari’ah Compliant REIT is admitted to the Official List of Singapore Exchange Securities Trading Limited (the “Listing Date”) (the “Unaudited Pro Forma Balance Sheet as at the Listing Date”) set out on pages C-1 to C-20 of the Prospectus to be issued in connection with the initial public offering of units in Sabana Shari’ah Compliant REIT, which has been prepared for illustrative purposes only and based on certain assumptions after making certain adjustments. The Unaudited Pro Forma Balance Sheet as at the Listing Date has been prepared on the basis of the assumptions set out on page C-3 of the Prospectus to provide information on the financial position of Sabana Shari’ah Compliant REIT, had the purchases of 151 Lorong Chuan, 8 Commonwealth Lane, 9 Tai Seng Drive, 200 Pandan Loop, 15 Jalan Kilang Barat, 33 & 35 Penjuru Lane, 18 Gul Drive, 1 Tuas Avenue 4, 34 Penjuru Lane, 51 Penjuru Road, 26 Loyang Drive, 3 Kallang Way 2A, 218 Pandan Loop, 123 Genting Lane and 30 & 32 Tuas Ave 8 (collectively, the “Properties”) by Sabana Shari’ah Compliant REIT under the same terms set out in the Prospectus been undertaken on the Listing Date. The Unaudited Pro Forma Balance Sheet as at the Listing Date has been prepared for illustrative purposes only, and because of its nature, may not give a true picture of Sabana Shari’ah Compliant REIT’s actual total financial position. The Unaudited Pro Forma Balance Sheet as at the Listing Date is the responsibility of the directors of Sabana Real Estate Investment Management Pte. Ltd. (the “Directors”). Our responsibility is to express an opinion on the Unaudited Pro Forma Balance Sheet as at the Listing Date based on our work. We carried out procedures in accordance with Singapore Statement of Auditing Practice (“SAP”) 24 Auditors and Public Offering Documents. Our work, which involved no independent examination of the underlying financial information, consisted primarily of considering the evidence supporting the amounts and disclosures in the Unaudited Pro Forma Balance

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Sheet as at the Listing Date and discussing the Unaudited Pro Forma Balance Sheet as at the Listing Date with the Directors. In our opinion: (A) the Unaudited Pro Forma Balance Sheet as at the Listing Date has been properly prepared in a manner consistent with Recommended Accounting Practice 7 Reporting Framework for Unit Trusts issued by the Institute of Certified Public Accountants of Singapore and the accounting policies of Sabana Shari’ah Compliant REIT; (B) the information used in the preparation of the Unaudited Pro Forma Balance Sheet as at the Listing Date is appropriate for the purpose of preparing such a balance sheet in accordance with SAP 24; and (C) the Unaudited Pro Forma Balance Sheet as at the Listing Date has been properly prepared on the basis of the assumptions set out on page C-3.

Yours faithfully

KPMG LLP Public Accountants and Certified Public Accountants Singapore

Eng Chin Chin Partner-in-charge

B-2 APPENDIX C

UNAUDITED PRO FORMA BALANCE SHEET AS AT THE LISTING DATE (A) Introduction The Unaudited Pro Forma Balance Sheet as at the Listing Date has been prepared for inclusion in the prospectus (the “Prospectus”) in connection with the public offer, placement tranche, cornerstone units and sponsor units of 632,800,000 units in Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (“Sabana Shari’ah Compliant REIT”). Sabana Shari’ah Compliant REIT is a Singapore-based real estate investment trust established principally to invest in income-producing real estate used for industrial purposes in Asia, as well as real estate-related assets, in line with Shari’ah investment principles. The initial property portfolio of Sabana Shari’ah Compliant REIT will comprise 15 industrial properties located across Singapore. At the date that Sabana Shari’ah Compliant REIT is admitted to the Official List of the Singapore Exchange Securities Trading Limited (“SGX-ST”) (the “Listing Date”), Sabana Shari’ah Compliant REIT proposes to acquire leasehold interests in 15 properties — 151 Lorong Chuan, 8 Commonwealth Lane, 9 Tai Seng Drive, 200 Pandan Loop, 15 Jalan Kilang Barat, 33 & 35 Penjuru Lane, 18 Gul Drive, 1 Tuas Avenue 4, 34 Penjuru Lane, 51 Penjuru Road, 26 Loyang Drive, 3 Kallang Way 2A, 218 Pandan Loop, 123 Genting Lane and 30 & 32 Tuas Avenue 8 (collectively, the “Properties”). Except for 9 Tai Seng Drive, the Properties will be leased back to the vendors and/or their relevant subsidiaries (the “Master Lessees”) pursuant to master lease agreements (the “Master Lease Agreements”). Details on the Manager’s Management Fees, Property Manager’s Fees and Trustee Fees are set out in Section F.

(B) Pro Forma Historical Financial Information The Manager is unable to provide pro forma statements of total return, statements of cash flows and balance sheets to show the pro forma historical financial performance of Sabana Shari’ah Compliant REIT as:

k the majority of the Properties in the initial portfolio of Sabana Shari’ah Compliant REIT will be acquired from independent third parties and historical financials relating to the relevant properties will not be available to Sabana Shari’ah Compliant REIT.

k certain of the Properties were wholly-occupied or primarily occupied by the vendors for their own use prior to their acquisition by Sabana Shari’ah Compliant REIT. Also, certain of the Properties may have derived income other than rental income, for example warehousing, service, and logistics income which is distinct from the rental income that Sabana Shari’ah Compliant REIT will earn. As such, even if the relevant historical financial information were made available to the Manager, there would not be any historical rental income for these Properties as they were wholly-occupied or primarily occupied by the vendors and/or derived income other than rental income. If assumptions were made to assume the rental revenues and expenses, the adjustments may be misleading. Furthermore, the Manager will not be able to identify the property-related expenses of these vendors from the expenses incurred by the vendors in connection with their overall business operations. In light of the above, the relevant historical financial information regarding the income and expenses

C-1 APPENDIX C

relating to the Properties is either not available to Sabana Shari’ah Compliant REIT to enable Sabana Shari’ah Compliant REIT to prepare the historical pro forma financial information or not meaningful to investors in deciding whether to acquire Units.

k the majority of the Properties will be leased to the Master Lessees upon the acquisition of the Properties by Sabana Shari’ah Compliant REIT. If historical pro forma financial information is prepared based on the historical financial results of the Properties for such period, such information may be misleading to investors and not meaningful for comparison purposes as these historical financial results of the Properties will not necessarily be reflective of the financial performance of Sabana Shari’ah Compliant REIT, which will largely be based on the master leases to be entered into with the Master Lessees.

k the ownership structure of the Properties and the capital structure of the holding entity would have changed substantially upon the acquisition of the Properties by Sabana Shari’ah Compliant REIT. The operating and financing expenses to be incurred by Sabana Shari’ah Compliant REIT may differ substantially from those incurred by the vendors historically. Accordingly, even if the relevant historical financial information were available to the Manager, the pro forma financial information prepared, particularly the statement of total return and cash flow statement, based on such historical financial information may not be reflective of what the historical total return and cash flows of Sabana Shari’ah Compliant REIT might have been. For the reasons stated above, the SGX-ST has granted Sabana Shari’ah Compliant REIT a waiver from the requirement to prepare historical pro forma statements of total return, cash flow statements and balance sheets, subject to the inclusion of the following in this Prospectus:

k a pro forma balance sheet as at the Listing Date;

k a profit forecast for the full financial year ending 31 December 2011 and a profit projection for the full financial year ending 31 December 2012; and

k full disclosure on the reasons why historical pro forma financial information for the latest three financial years cannot be provided and the waivers granted.

(C) Basis of Preparation of Unaudited Pro Forma Balance Sheet as at the Listing Date The Unaudited Pro Forma Balance Sheet as at the Listing Date (the “Unaudited Pro Forma Balance Sheet”) is set out in this report. The Unaudited Pro Forma Balance Sheet is prepared for illustrative purposes only and is based on certain assumptions after making certain adjustments. The Unaudited Pro Forma Balance Sheet is prepared based on the unaudited balance sheet of Sabana Shari’ah Compliant REIT as at the date of its establishment, and incorporating adjustments necessary to reflect the financial position of Sabana Shari’ah Compliant REIT as if it had acquired all the Properties and entered into the Master Lease Agreements on the Listing Date, under the same terms set out in the Prospectus. The Unaudited Pro Forma Balance Sheet has been prepared on the basis of the accounting policies set out in Section E and is to be read in conjunction with Section F. The objective of the Unaudited Pro Forma Balance Sheet is to show what the financial position of Sabana Shari’ah Compliant REIT might have been at the Listing Date, on the basis as described above. However, the Unaudited Pro Forma Balance Sheet is not

C-2 APPENDIX C

necessarily indicative of the financial position that would have been attained by Sabana Shari’ah Compliant REIT on the actual Listing Date. The Unaudited Pro Forma Balance Sheet, because of its nature, may not give a true picture of Sabana Shari’ah Compliant REIT’s financial position. The Unaudited Pro Forma Balance Sheet has been prepared after incorporating the following key assumptions:

k The issue price of the units under the offering is S$1.05 (the “Offering Price”);

k Sabana Shari’ah Compliant REITwill acquire the Properties at a purchase price of S$851.0 million on Listing Date;

k Adjustments will be made to state each of the Properties to the valuation amount on acquisition. The valuations of the Properties adopted as at the Listing Date are based on the independent valuation reports issued by the independent valuers appointed by the Manager and Trustee, as set out in Appendix E.

k A total of 632,800,000 units in Sabana Shari’ah Compliant REIT will be issued at the Offering Price, comprising the units under the offering, cornerstone units and the sponsor units;

k Issue costs (excluding goods and services tax) relating to the offering and debt upfront fee which are estimated to be S$26.4 million and S$5.4 million respectively, will be incurred;

k The Commodity Murabaha Facility will be in place at the time of acquisition of the Properties;

k At the date of acquisition, it is assumed that the purchase consideration will be satisfied through the issuance of units and proceeds from the Commodity Murabaha Facility;

k At the Listing Date, a retention sum of S$14.1 million will be retained by the Trustee on the acquisition of 8 Commonwealth Lane. The retention sum will be paid on completion of the extension on 8 Commonwealth Lane, which is assumed to be 31 December 2010.

C-3 APPENDIX C

(D) Unaudited Pro Forma Balance Sheet(1)

The Unaudited Pro Forma Balance Sheet has been prepared for inclusion in the Prospectus and is presented below. The assumptions used to prepare the Unaudited Pro Forma Balance Sheet are consistent with those described in Section C — Basis of Preparation of Unaudited Pro Forma Balance Sheet as at the Listing Date.

Unaudited Balance Sheet Unaudited of Sabana Pro Forma Pro Forma Shari’ah Adjustments Balance Sheet Compliant (See Notes at Listing Note REIT Below) Date (S$’000) (S$’000) (S$’000) Non-current assets Investment properties 2 — 846,050(2) 846,050 Intangible asset 3 — 5,100(3) 5,100 — 851,150 851,150 Current assets Other receivables 4 — 2,421(4) 2,421 Cash and cash equivalents 5 — 31,065 31,065 — 33,486 33,486 Total assets — 884,636 884,636 Non-current liabilities Other payables 6 — 11,108(5) 11,108 Borrowings 7 — 215,126(6) 215,126 — 226,234 226,234 Current liabilities Other payables 6 — 30,633(5) 30,633 Total liabilities — 256,867 256,867 Net assets — 627,769 627,769 Represented by: Unitholders’ funds 8 — 627,769 627,769

Units in issue (’000) 632,800(7) Net asset value per Unit (S$) 0.99

Notes: (1) Based on the Offering Price of S$1.05 per Unit. (2) Comprises investment properties, initially recorded at the acquisition values and, adjusted to the appraisal values based on the independent valuation reports prepared by the independent valuers appointed by the Manager and the Trustee. (3) Represents the present value of unamortised income support received by Sabana Shari’ah Compliant REIT under the purchase agreement entered into with Geo-Tele Pte. Ltd.. (4) Comprises prepaid insurance and GSTclaimable on the Offering’s transaction cost, assuming that the costs are invoiced to Sabana Shari’ah Compliant REIT no earlier than six months preceding Sabana Shari’ah Compliant REIT’s GST registration date. (5) Comprises rental income received in advance, security deposits, retention sum and other liabilities.

C-4 APPENDIX C

(6) Comprises principal amount of borrowings of S$220.6 million under the Commodity Murabaha Facility, after deducting unamortised capitalised upfront arrangement fees and debt counsel fees amounting to a total of S$5.4 million. The Commodity Murabaha Facility is a non-derivative financial liability measured at amortised cost calculated using the effective rate of return method. (7) “Units in issue” refers to the number of Units in issue immediately after the completion of the Offering.

(E) Notes to the Unaudited Pro Forma Balance Sheet

1. Significant Accounting Policies

The significant accounting policies of Sabana Shari’ah Compliant REIT,which have been consistently applied in preparing the Unaudited Pro Forma Balance Sheet set out in this report, are as follows:-

(a) Basis of preparation

The Unaudited Pro Forma Balance Sheet has been prepared in accordance with the bases set out in Section B and applied to financial information prepared in accordance with the Statement of Recommended Accounting Practice (“RAP”) 7 Reporting Framework for Unit Trusts issued by the Institute of Certified Public Accountants of Singapore and the applicable requirements of the Code on Collective Investment Schemes (“CIS Code”) issued by the Monetary Authority of Singapore (“MAS”) and the provisions of the Trust Deed. RAP 7 requires that accounting policies adopted should generally comply with the principles relating to the recognition and measurement of the Singapore Financial Reporting Standards issued by the Accounting Standards Council.

The Unaudited Pro Forma Balance Sheet, which is expressed in Singapore dollars and rounded to the nearest thousand unless otherwise stated, is prepared on the historical cost basis, except that investment properties are stated at valuation.

The preparation of the financial information requires judgements, estimates and assumptions to be made that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised and in any future periods affected.

In particular, information about significant areas of estimation and critical judgements in applying accounting policies that have the most significant effect on the amount recognised in the financial information are described in Note 2 — Investment Properties.

(b) Functional currency

Items included in the Unaudited Pro Forma Balance Sheet are measured using the currency that best reflects the economic substance of the underlying events and circumstances relevant to Sabana Shari’ah Compliant REIT (the “functional currency”). The Unaudited Pro Forma Balance Sheet is presented in Singapore dollars, which is the functional currency of Sabana Shari’ah Compliant REIT.

C-5 APPENDIX C

(c) Foreign currency transactions Transactions in foreign currencies are translated at foreign exchange rates ruling at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are translated at foreign exchange rate ruling at that date. Non-monetary assets and liabilities measured at cost in a foreign currency are translated using exchange rates at the date of the transaction. Non-monetary assets and liabilities measured at fair value in foreign currencies are translated at foreign exchange rates ruling at the dates the fair value was determined. Foreign exchange differences arising from translation are recognised in the statement of total return. (d) Investment properties Investment properties are accounted for as non-current assets and are stated at initial cost on acquisition which includes expenditure that is directly attributable to the acquisition of the investment properties, and at fair value thereafter. Valuations are determined in accordance with the Trust Deed, which requires the investment properties to be valued by independent registered valuers at least once a year, in accordance with the CIS Code issued by the MAS. Any increase or decrease on revaluation is credited or charged to the statement of total return as a net appreciation or depreciation in the value of the investment properties. (e) Intangible asset Intangible asset acquired by Sabana Shari’ah Compliant REIT is measured initially at cost. Following initial recognition, the intangible asset is measured at cost less any accumulated amortisation and impairment losses. The intangible asset is amortised in the statement of total return on a systematic basis over its estimated useful life of 60 months. The intangible asset is tested for impairment as described in Note 1(g). (f) Financial instruments Non-derivative financial instruments Non-derivative financial instruments comprise other receivables, cash and cash equivalents, borrowings and other payables. Cash and cash equivalents comprise cash at bank. Non-derivative financial instruments are recognised initially at fair value plus any directly attributable transaction costs. Subsequent to initial recognition, non- derivative financial instruments are measured at amortised cost using the effective rate of return method, less any impairment losses. A financial instrument is recognised if Sabana Shari’ah Compliant REIT becomes a party to the contractual provisions of the instrument. Financial assets are derecognised if Sabana Shari’ah Compliant REIT’s contractual rights to the cash flows from the financial assets expire or if Sabana Shari’ah Compliant REIT transfers the financial asset to another party without retaining control or transfers substantially all the risks and rewards of the asset. Regular way purchases and sales of financial assets are accounted for at trade date, i.e., the date that Sabana Shari’ah Compliant REIT commits itself to purchase or sell the asset. Financial liabilities are derecognised if Sabana Shari’ah Compliant REIT’s obligations specified in the contract expire, are discharged or cancelled.

C-6 APPENDIX C

Derivatives and hedging Derivative financial instruments are initially recognised at fair value and subsequently, re-measured at fair value. The gain or loss on re-measurement to fair value is recognised immediately in the statement of total return. However, where derivatives qualify for hedge accounting, recognition of any resultant gain or loss depends on the nature of the item being hedged. Impairment of financial assets A financial asset is assessed at each reporting date to determine whether there is any objective evidence that it is impaired. A financial asset is considered to be impaired if objective evidence indicates that one or more events have had a negative effect on the estimated future cash flows of that asset. An impairment loss in respect of a financial asset measured at amortised cost is calculated as the difference between its carrying amount, and the present value of the estimated future cash flows discounted at the original effective profit rate. Individually significant financial assets are tested for impairment on an individual basis. The remaining financial assets are assessed collectively in groups that share similar credit risk characteristics. All impairment losses are recognised in the statement of total return. An impairment loss is reversed if the reversal can be related objectively to an event occurring after the impairment loss was recognised. For financial assets measured at amortised cost, the reversal is recognised in the statement of total return. (g) Impairment of non-financial assets The carrying amounts of Sabana Shari’ah Compliant REIT’s non-financial assets, other than investment properties, are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, the assets’ recoverable amounts are estimated. An impairment loss is recognised in the statement of total return if the carrying amount of an asset or its cash-generating unit exceeds its estimated recoverable amount. Impairment losses are recognised in the statement of total return, unless it reverses a previous revaluation credited to Unitholders’ funds, in which case it is charged to Unitholders’ funds. (h) Unit issue costs Unit issue costs represent expenses incurred in connection with the initial public offering of Sabana Shari’ah Compliant REIT. All such expenses are deducted directly against Unitholders’ funds. (i) Revenue recognition Rental income from operating leases Rental income receivable under operating leases is recognised in the statement of total return on a straight-line basis over the term of the lease, except where an alternative basis is more representative of the pattern of benefits to be derived from the leased assets. Lease incentives granted are recognised as an integral part of the total rental to be received. Contingent rentals are recognised as income on a receipt basis. No contingent rentals are recognised if there are uncertainties due to the possible return of amounts received.

C-7 APPENDIX C

Finance income Finance income is recognised on an accrual basis using the effective rate of return method. (j) Expenses Property expenses Property expenses are recognised on an accrual basis. Included in property expenses are fees incurred under the Property Management Agreement which are based on the applicable formula stipulated in Section F. Borrowing costs Borrowing costs comprise financing costs on the Commodity Murabaha Facility and accretion adjustments on related transaction costs, security deposits and deferred payments. All borrowing costs are recognised in the statement of total return using the effective rate of return method. Management fees Management fees are recognised on an accrual basis based on the applicable formula stipulated in Section F. Trust expenses Trust expenses are recognised on an accrual basis. Included in trust expenses is Trustee’s fee which is based on the applicable formula stipulated in Section F. (k) Taxation Income tax expense comprises current and deferred tax. Income tax expense is recognised in the statement of total return except to the extent that it relates to items directly related to Unitholders’ funds, in which case it is recognised in Unitholders’ funds. Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively enacted at the balance sheet date. Deferred tax is provided using the balance sheet method, providing for temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. The temporary differences on initial recognition of assets and liabilities that affect neither accounting nor taxable profit are not provided for. The amount of deferred tax provided is based on the expected manner of realisation or settlement of the carrying amount of assets and liabilities, using tax rates enacted or substantively enacted at the balance sheet date. A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available against which the unused tax losses and credits can be utilised. Deferred tax assets are reduced to the extent that it is no longer probable that the related tax benefits will be realised. The Inland Revenue Authority of Singapore (“IRAS”) has issued a tax ruling on the taxation of Sabana Shari’ah Compliant REIT for income earned and expenditure incurred after its public listing on SGX-ST. Subject to meeting the terms and conditions of the tax ruling, the Trustee will not be assessed to tax on the taxable income of Sabana Shari’ah Compliant REIT distributed in the same financial year. Instead, the Trustee and the Manager will deduct income tax (if required) at the prevailing corporate tax rate of 17% from the distributions made

C-8 APPENDIX C

to Unitholders that are made out of the taxable income of Sabana Shari’ah Compliant REIT in that financial year. However, the Trustee and the Manager will not deduct tax from distributions made out of Sabana Shari’ah Compliant REIT’s taxable income that is not taxed at Sabana Shari’ah Compliant REIT’s level to the extent that the beneficial Unitholders are: (i) Individuals (whether resident or non-resident) who receive such distributions as investment income (excluding income received through a Singapore partnership); (ii) Companies incorporated and tax resident in Singapore; (iii) Singapore branches of foreign companies which have presented a letter of approval from the IRAS granting waiver from tax deducted at source in respect of distributions from Sabana Shari’ah Compliant REIT; (iv) Non-corporate Singapore constituted or registered entities (e.g. town councils, statutory boards, charitable organisations, management corporations, clubs and trade and industry associations constituted, incorporated, registered or organised in Singapore); (v) Central Provident Fund (“CPF”) members who use their CPF funds under the CPF Investment Scheme and where the distributions received are returned to the CPF accounts; and (vi) Individuals who use their Supplementary Retirement Scheme (“SRS”) funds and where the distributions received are returned to the SRS accounts. The Trustee and the Manager will deduct tax at the reduced concessionary rate of 10% from distributions made out of Sabana Shari’ah Compliant REIT’s taxable income that is not taxed at Sabana Shari’ah Compliant REIT’s level to beneficial Unitholders who are qualifying foreign non-individual investors. A qualifying foreign non-individual investor is one who is not a resident of Singapore for income tax purposes and: (i) Who does not have a permanent establishment in Singapore; or (ii) Who carries on any operation in Singapore through a permanent establishment in Singapore, where the funds used to acquire the units in Sabana Shari’ah Compliant REIT are not obtained from that operation. The reduced concessionary tax rate of 10% will expire for distributions made after 31 March 2015 unless this concession is extended. (l) Segment reporting An operating segment is a component of Sabana Shari’ah Compliant REIT that engages in business activities from which it may earn revenues and incur expenses, including revenues and expenses that relate to transactions with any of Sabana Shari’ah Compliant REIT’s other components. All operating segments’ operating results are reviewed regularly by Sabana Shari’ah Compliant REIT’s Chief Operating Decision Makers (“CODM”) to make decisions about resources to be allocated to the segment and assess its performance, and for which discrete financial information is available.

C-9 APPENDIX C

2. Investment Properties

Unaudited Pro Forma as at Listing Date S$’000 Investment properties 846,050

% of Total Appraised Net Assets Value as at Description of property Type Leasehold Term Location S$’000 Listing Date 151 Lorong Chuan High-tech Industrial 45 years wef Listing Date 151 Lorong Chuan 305,900 48.7 8 Commonwealth Lane High-tech Industrial 30 years wef 1 February 2006(3) 8 Commonwealth Lane 70,500 11.2 9 Tai Seng Drive High-tech Industrial 30 years wef 1 June 1995(4) 9 Tai Seng Drive 41,200(2) 6.6 200 Pandan Loop High-tech Industrial 99 years wef 27 January 1984 200 Pandan Loop 41,500 6.6 15 Jalan Kilang Barat High-tech Industrial 99 years wef 1 January 1962 15 Jalan Kilang Barat 34,500 5.5 33 & 35 Penjuru Lane Chemical Warehouse & Logistics 30 years wef 16 February 33 & 35 Penjuru Lane 78,900(1) 12.6 1988(5) 18 Gul Drive Chemical Warehouse & Logistics 13 years wef 1 November 18 Gul Drive 34,050(1) 5.4 2004(6) 1 Tuas Avenue 4 Chemical Warehouse & Logistics 30 years wef 1 January 1996(7) 1 Tuas Avenue 4 28,000 4.4 34 Penjuru Lane Warehouse & Logistics 30 years wef 16 August 2002 34 Penjuru Lane 60,000 9.6 51 Penjuru Road Warehouse & Logistics 30 years wef 1 January 1995(4) 51 Penjuru Road 42,500(1) 6.8 26 Loyang Drive Warehouse & Logistics 30 years wef 1 January 2006(8) 26 Loyang Drive 32,000 5.1 3 Kallang Way 2A Warehouse & Logistics 30 years wef 1 May 1995(4) 3 Kallang Way 2A 15,000 2.4 218 Pandan Loop Warehouse & Logistics 30 years wef 16 September 218 Pandan Loop 13,500(1) 2.2 1989 (4) 123 Genting Lane General Industrial 60 years wef 1 September 1981 123 Genting Lane 24,500 3.9 30 & 32 Tuas Avenue 8 General Industrial 30 years wef 1 September 30 & 32 Tuas Avenue 8 24,000(1) 3.8 1996(4) Investment properties 846,050 134.8 Other assets and liabilities (net) (218,281) (34.8) Net assets (627,769) 100.0

C-10 APPENDIX C

Notes: (1) Based on average of two independent valuations undertaken by CKS and C&W. (2) The valuation of 9 Tai Seng Drive excludes the present value of income support component of S$5.1 million. (3) Sabana Shari’ah Compliant REIT has an option to renew the land lease term for a further term of 23 years upon expiry. (4) Sabana Shari’ah Compliant REIT has an option to renew the land lease term for a further term of 30 years upon expiry. (5) Sabana Shari’ah Compliant REIT has an option to renew the land lease term for a further term of 31 years upon expiry. (6) Sabana Shari’ah Compliant REIT has an option to renew the land lease term for a further term of 20 years upon expiry. (7) Sabana Shari’ah Compliant REIT has an option to renew the land lease term for a further term of 21 years and 4 months upon expiry. (8) Sabana Shari’ah Compliant REIT has an option to renew the land lease term for a further term of 18 years upon expiry.

C-11 APPENDIX C

Independent valuations of the Properties have been undertaken by Cushman & Wakefield VHS Pte. Ltd. (“C&W”) and CKS Property Consultants Pte Ltd (“CKS”).

In determining the fair value, the valuers have used valuation techniques which involve certain estimates. In relying on the valuation reports, the Manager has exercised its judgment and is satisfied that the valuation methods and estimates are reflective of current market conditions. The fair values are based on open market values, which are the valuer’s opinion of the best price at which the sale of an interest in the property would complete unconditionally for cash consideration on the date of valuation, and are prepared in accordance with recognised appraisal and valuation standards. The valuers have considered the direct comparison method, capitalisation approach and discounted cash flows in arriving at the open market value as at the balance sheet date.

Sabana Shari’ah Compliant REIT’s 15 investment properties with an aggregate carrying value of S$846.1 million have been pledged as security for borrowing facilities as at the Listing Date (see note 7).

3. Intangible Asset

Unaudited Pro Forma as at Listing Date S$’000 Intangible asset 5,100

Intangible asset represents the contractual right of Sabana Shari’ah Compliant REIT to receive payments from the vendor of 9 Tai Seng Drive, which is determined in accordance with the purchase agreement entered into with the vendor, net of accumulated amortisation and impairment losses. The sum of the carrying amounts of the intangible asset and 9 Tai Seng Drive (see note 2) on the Listing Date is equivalent to the gross consideration paid by Sabana Shari’ah Compliant REIT.The income support is amortised on a systematic basis which will commensurate with the expected pattern of consumption of the expected future economic benefits over the rental support period of 60 months commencing from the Listing Date.

4. Other Receivables

Unaudited Pro Forma as at Listing Date S$’000 Prepaid insurance 196 GST recoverable 2,225 2,421

5. Cash and Cash Equivalents

The effective profit rate relating to cash and cash equivalents at the Listing Date is 0.44% per annum.

C-12 APPENDIX C

6. Other Payables

Unaudited Pro Forma as at Listing Date S$’000 Security deposits 665 Rental received in advance 18,304 Deferred payments 14,068 Other liabilities 8,704 41,741 Current portion 30,633 Non-current portion 11,108 41,741

The deferred payments of S$14.1 million relate wholly to a retention sum that will be retained by the Trustee on the acquisition of 8 Commonwealth Lane. The retention sum will be paid on completion of the extension on 8 Commonwealth Lane, which is assumed to be 31 December 2010.

7. Borrowings This note provides information about the contractual terms of Sabana Shari’ah Compliant REIT’s Commodity Murabaha Facility (the “Facility”).

Unaudited Pro Forma as at Listing Date S$’000 Commodity Murabaha Facility 220,563 Less: Unamortised capitalised transaction costs (5,437) 215,126

The Facility will be drawn down in the amount of S$220.6 million on the Listing Date and will be secured by: (1) a first ranking legal mortgage over all the Properties (or, where title to the Properties has not been issued, an assignment of building agreement coupled with a mortgage in escrow); (2) assignment of insurances, assignment of proceeds and assignment of Property Management Agreements relating to the Properties; and (3) a fixed and floating charge over the other assets of Sabana Shari’ah Compliant REIT relating to the Properties. The profit rate on the Facility is based on the relevant Singapore Dollar Swap Offer Rate (“SOR”) plus a margin of 2.50%. As at the Listing Date, the Manager has fixed the profit rate for the Facility through a profit rate swap agreement. The assumed effective profit rate (inclusive of the upfront fee capitalised of 0.75 % per annum) of the Facility is 4.51% per annum.

C-13 APPENDIX C

8. Unitholders’ Funds

Unaudited Pro Forma as at Listing Date S$’000 Issue of 632,800,000 units arising from the offering, cornerstone units and sponsor units 664,440 Issue costs (26,352) Net income(1) (10,319) 627,769

Note: (1) Arising from the revaluation of the Properties to their valuation amounts on the Listing Date. Each Unit in Sabana Shari’ah Compliant REIT represents an undivided interest in the trust. The rights and interests of Unitholders are contained in the Trust Deed and include the right to:

k receive income and other distributions attributable to the Units held;

k participate in the termination of Sabana Shari’ah Compliant REIT by receiving a share of all net cash proceeds derived from the realisation of the assets of Sabana Shari’ah Compliant REIT less any liabilities, in accordance with their proportionate interests in Sabana Shari’ah Compliant REIT. However, a Unitholder has no equitable or proprietary interest in the underlying assets of Sabana Shari’ah Compliant REIT and is not entitled to the transfer to it of any assets (or part thereof) or of any estate or interest in any asset (or part thereof) of Sabana Shari’ah Compliant REIT; and

k attend all Unitholders’ meetings. The Trustee or the Manager may (and the Manager shall at the request in writing of not less than 50 Unitholders or one- tenth in number of the Unitholders, whichever is lesser) at any time convene a meeting of Unitholders in accordance with the provisions of the Trust Deed. The restrictions of a Unitholder include the following: —

k a Unitholder’s right is limited to the right to require due administration of Sabana Shari’ah Compliant REIT in accordance with the provisions of the Trust Deed; and

k a Unitholder has no right to request the Manager to redeem his Units while the Units are listed on SGX-ST. A Unitholder’s liability is limited to the amount paid or payable for any Units in Sabana Shari’ah Compliant REIT. The provisions of the Trust Deed provide that no Unitholders will be personally liable for indemnifying the Trustee or any creditor of the Trustee in the event that liabilities of the trust exceed its assets. Under the Trust Deed, every Unit carries the same voting rights. Capital management Sabana Shari’ah Compliant REIT’s objectives when managing capital are to safeguard its ability to continue as a going concern and to maintain an optimal capital structure so as to maximise Unitholders’ value. In order to maintain or achieve an optimal capital structure, Sabana Shari’ah Compliant REIT will endeavour to employ an appropriate

C-14 APPENDIX C

mix of borrowings and equity in financing acquisitions and asset enhancements, and utilise rate of return and currency hedging strategies on financing costs where appropriate. The Manager intends to review this policy on a continuous basis. Sabana Shari’ah Compliant REIT is subject to the aggregate leverage limit as defined in the Property Fund Guidelines of the Code on Collective Investment Schemes (the “CIS Code”) issued by the Monetary Authority of Singapore (“MAS”). The CIS Code stipulates that the total borrowings and deferred payments (together the “Aggregate Leverage”) of a property fund should not exceed 35.0% of the fund’s gross assets’ values (“Deposited Property”). The aggregate leverage of a property fund may exceed 35.0% of the fund’s deposited property (up to a maximum of 60.0%) only if a credit rating is obtained and disclosed to the public. As at the Listing Date, Sabana Shari’ah Compliant REIT’s Aggregate Leverage ratio is 26.5%.

9. Financial Risk Management Financial risk management objectives and policies Exposure to credit risk, risks on costs of financing and liquidity risks arises in the normal course of Sabana Shari’ah Compliant REIT’s business. Sabana Shari’ah Compliant REIT has policies and guidelines, which set out its overall business strategies and its general risk management philosophy. Credit risk Credit risk is the potential financial loss resulting from the failure of a customer to settle its financial and contractual obligations to Sabana Shari’ah Compliant REIT, as and when they fall due. The Manager has established credit limits for customers and monitors their balances on an ongoing basis. Credit evaluations are performed by the Property Manager before lease agreements are entered into with customers. Shari’ah-based deposits are placed with financial institutions which are regulated. At the balance sheet date, except for 9 Tai Seng Drive, the Properties of Sabana Shari’ah Compliant REIT are leased under Master Lease Agreements. In addition, the Master Lessees have provided security deposits varying from 6 to 15 months rental in the form of cash or banker’s guarantees. The maximum exposure to credit risk is represented by the carrying value of each financial asset on the balance sheet. At Listing Date, there was no significant concentration of credit risk. Risks on costs of financing Sabana Shari’ah Compliant REIT’s exposure to fluctuations in rates of return relates primarily to its Commodity Murabaha Facility. This risk is managed by Sabana Shari’ah Compliant REIT on an on-going basis with the primary objective of limiting the extent to which the Commodity Murabaha Facility costs could be affected by an adverse movement in the market rates of return. In order to minimise exposure to changes in market rates of return, Sabana Shari’ah Compliant REIT enters into profit rate swap agreements, the purpose of which is to fix the cost of financing on its Commodity Murabaha Facility borrowings. Liquidity risk The Manager monitors and maintains a level of cash and cash equivalents deemed adequate by management to finance Sabana Shari’ah Compliant REIT’s operations. In

C-15 APPENDIX C

addition, the Manager also monitors and observes the Code on Collective Investment Schemes issued by the MAS concerning limits on total borrowings.

10. Fair Value of Financial Assets and Liabilities

The following summarises the significant methods and assumptions used in estimating the fair values of financial assets and liabilities of Sabana Shari’ah Compliant REIT.

Financial derivatives

The fair value of profit rate swaps is based on valuations provided by financial institutions. These quotes are tested for reasonableness by discounting future cash flows based on the terms and maturity of each contract and using market rates for a similar instrument at the measurement date.

Borrowings

The carrying amounts of profit-rate bearing borrowings which are repriced within 3 months from the balance sheet date approximate the corresponding fair values.

Other financial assets and liabilities

The carrying amounts of financial assets and liabilities with a maturity of less than one year (including other receivables, cash and cash equivalents, and other payables) are assumed to approximate their fair values because of the short period to maturity.All other financial assets and liabilities are discounted to determine its fair values.

Financial instruments by category

The table below provides an analysis of the carrying amounts of financial assets and liabilities held by Sabana Shari’ah Compliant REIT by category:

Loans and Amortised receivables cost Total S$’000 S$’000 S$’000 Financial assets Other receivables 2,225 — 2,225 Cash and cash equivalents 31,065 — 31,065 Financial liabilities Borrowings — 215,126 215,126 Other payables — 23,437 23,437

11. Commitments

(a) As at Listing date, Sabana Shari’ah Compliant REIT has agreed with the vendors of certain Properties to undertake certain capex works (such as emergency capex works to maintain essential services, capex works to be carried out to comply with law and repainting of the exterior of the building at these properties if required by the relevant government authority). The costs on the capex works are to be mutually agreed upon by Sabana Shari’ah Compliant REITand the relevant vendor.

C-16 APPENDIX C

(b) Sabana Shari’ah Compliant REIT leases out its Properties. Non-cancellable operating lease rentals are receivable as follows:

Unaudited Pro Forma as at Listing Date S$’000 Receivable: — Within 1 year 65,619 — After 1 year but within 5 years 184,267 249,886

The above operating lease rental receivables comprise amounts receivable under the Master Lease Agreements and tenancy agreements.

(c) As at Listing Date, Sabana Shari’ah Compliant REIT has entered into a contractual arrangement with external parties to contemporaneously acquire and sell the equivalent amount of S$220.6 million of commodity at the prevailing market price at pre-determined future dates within the next 3 years.

12. Significant related party transactions

For the purposes of these financial statements, parties are considered to be related to Sabana Shari’ah Compliant REIT if the Manager has the ability, directly or indirectly, to control the party or exercise significant influence over the party in making financial and operating decisions, or vice versa, or where the Manager and the party are subject to common significant influence. Related parties may be individuals or other entities.

In the normal course of its business, Sabana Shari’ah Compliant REIT carried out transactions with related parties on terms agreed between the parties. As at the Listing Date, in addition to those disclosed elsewhere in the financial statements, there were the following significant related party transactions:

Unaudited Pro Forma as at Listing Date S$’000 Acquisition fees paid/payable to the Manager 6,580

13. Operating Segments

The operating segment information is based on Sabana Shari’ah Compliant REIT’s internal reporting structure for the purpose of allocating resources and assessing performance by Sabana Shari’ah Compliant REIT’s Chief Operating Decision Makers (“CODM”).

Segment assets and liabilities include items directly attributable to a segment as well as those that can be allocated on a reasonable basis. Unallocated items comprise mainly cash and cash equivalents, other receivables, borrowings and other payables.

C-17 APPENDIX C

On the Listing Date, Sabana Shari’ah Compliant REIT has 15 reportable segments, which are Sabana Shari’ah Compliant REIT’s 15 Properties. More information on the 15 Properties can be found in note 2. The accounting policies of the reportable segments are the same as described in note 1. No geographical segment information has been prepared as all of Sabana Shari’ah Compliant REIT’s assets and operations are in Singapore.

C-18 Information about reportable segments C APPENDIX

15 151 8 Common9 Tai 200 Jalan 33 & 35 18 1 34 51 26 3 218 123 30 & 32 Lorong -wealth Seng PandanKilangPenjuru Gul Tuas PenjuruPenjuruLoyangKallangPandanGenting Tuas Chuan Lane Drive Loop Barat Lane Drive Avenue 4 Lane Road Drive Way 2A Loop Lane Avenue 8 Total S$’000 S$’000 S$’000S$’000S$’000 S$’000 S$’000 S$’000 S$’000 S$’000 S$’000 S$’000 S$’000 S$’000 S$’000 S$’000 Reportable segment assets 305,900 70,500 46,300 41,500 34,500 78,900 34,050 28,000 60,000 42,500 32,000 15,000 13,500 24,500 24,000 851,150

Reportable segment liabilities 4,195 27,262 7,278 475 213 513 227 177 417 275 204 97 87 163 158 41,741 C-19 APPENDIX C

Reconciliations of reportable segment assets and liabilities

S$’000 Assets Total assets for reportable segments 851,150 Unallocated assets 33,486 Total assets 884,636 Liabilities Total liabilities for reportable segments 41,741 Unallocated liabilities 215,126 Total liabilities 256,867

(F) Manager’s Management Fees, Trustee’s Fee and Property Manager’s Fees (a) Manager’s Management Fees Pursuant to the Trust Deed, the Manager is entitled to the following management fees:

k a Base Fee not exceeding the rate of 0.5% per annum of the value of the Deposited Properties; and

k a Performance Fee equal to 0.5% per annum (or such lower percentage as maybe determined by the Manager in its absolute discretion) of Sabana Shari’ah Compliant REIT’s Net Property Income in the relevant financial year, provided that Sabana Shari’ah Compliant REIT achieves an annual growth in distribution per Unit of at least 10.0% over the previous Financial Year (calculated after accounting for the performance fee (if any) for that financial year and after adjusting, at the discretion of the Manager, for any new Units arising from the conversion or exercise of any instruments convertible into Units which are outstanding at the time of calculation, and any rights or bonus issue, consolidation, subdivision or buy-back of Units). (b) Trustee’s Fee The Trustee’s fee is 0.04% per annum of the value of the Deposited Property, subject to a minimum of S$25,000 per month (maximum of 0.25% per annum of the value of the Deposited Property), excluding out-of-pocket expenses and GST. The actual fee payable will be determined between the Manager and the Trustee from time to time. The Trustee will also be paid a one-time inception fee of S$40,000. (c) Property Manager’s Fees The Property Manager is entitled under the Property Management Agreement to the following management fees on each property of Sabana Shari’ah Compliant REIT located in Singapore under its management:

k a property management fee of 2.0% per annum of Gross Revenue of each property; and

C-20 APPENDIX D

INDEPENDENT TAXATION REPORT

22 November 2010

The Board of Directors Sabana Real Estate Investment Management Pte. Ltd. (as the manager of Sabana Shari’ah Compliant REIT (the “Manager”)) 9 Raffles Place #18-20/21, Republic Plaza Singapore 048619

HSBC Institutional Trust Services (Singapore) Limited (as the trustee of Sabana Shari’ah Compliant REIT (the “Trustee”)) 21 Collyer Quay #14-01 HSBC Building Singapore 049320

Dear Sirs

SINGAPORE TAXATION REPORT This letter has been prepared at the request of the Manager for inclusion in the prospectus (the “Prospectus”) to be issued in relation to the initial public offering of units (the “Units”)in Sabana Shari’ah Compliant REIT on Singapore Exchange Securities Trading Limited. The purpose of this letter is to provide prospective purchasers of the Units with an overview of the Singapore income tax consequences of the acquisition, ownership and disposal of the Units. This letter principally addresses purchasers who hold the Units as investment assets. Purchasers who acquire the Units for dealing purposes should consult their own tax advisers concerning the tax consequences of their particular situations. This letter is not a tax advice and does not attempt to describe comprehensively all the tax considerations that may be relevant to a decision to purchase, own or dispose of the Units. Prospective purchasers of the Units should consult their own tax advisers to take into account the tax law applicable to their particular situations. In particular, prospective purchasers who are not Singapore tax residents are advised to consult their own tax advisers to take into account the tax laws of their respective country of tax residence and the existence of any tax treaty which their country of tax residence may have with Singapore. This letter is based on Singapore income tax laws and relevant interpretations thereof current as at the date of this letter, all of which are subject to change, possibly with retroactive effect. Words and expressions defined in the Prospectus have the same meaning in this letter. In addition, unless the context requires otherwise, words in the singular include the plural and the other way around and words of one gender include the other gender.

GENERAL PRINCIPLES OF TAXATION OF A TRUST The income of a trust derived from or accrued in Singapore is chargeable to Singapore income tax. In addition, income earned outside Singapore and received or deemed received in Singapore is also chargeable to Singapore income tax unless otherwise exempted. There is no capital gains tax in Singapore. However, gains from the sale of investments (including real properties) are chargeable to tax if such gains are derived from a trade or business of dealing in investments (including real properties).

D-1 APPENDIX D

Singapore income tax is imposed on all income chargeable to tax after deduction of the allowable expenses incurred (the “Taxable Income”).

The Taxable Income of the trust is assessed to tax in the name of the trustee at the prevailing corporate tax rate. However, under Section 43(2) of the Income Tax Act, Chapter 134 of Singapore (the “Income Tax Act”) (please see “Tax Ruling” below), if the beneficiaries of the trust are entitled to a share of the trust income, tax transparency will be granted to the trustee upon successful application to the Inland Revenue Authority of Singapore (“IRAS”). When the application is approved, the trustee will not be taxed on the trust income, but the beneficiaries will instead be taxed directly on their proportion of the trust income at their respective tax rates (the “Tax Transparency Treatment”).

TAX RULING

Following this, Sabana Shari’ah Compliant REIT has obtained a Tax Ruling dated 15 October 2010 from the IRAS to give effect to the application of the provisions of Section 43(2) of the Income Tax Act to impose tax on the holders of the Units (“Unitholders”), instead of the Trustee, on the Taxable Income of Sabana Shari’ah Compliant REIT, which includes profit distributions from liquid Islamic debt securities such as sukuks that Sabana Shari’ah Compliant REIT may invest in. Section 43(2) of the Income Tax Act states:

Where any trustee proves to the satisfaction of the Comptroller that any beneficiary of the trust is entitled to a share of the trust income, a corresponding share of the statutory income of the trustee may be charged at a lower rate or not charged with any tax, as the Comptroller shall determine.

Subject to full compliance with the terms and conditions of the Tax Ruling, the taxation of Sabana Shari’ah Compliant REIT and that of the Unitholders are described below.

TAXATION OF SABANA SHARI’AH COMPLIANT REIT

General

Notwithstanding the Tax Ruling, the Taxable Income of Sabana Shari’ah Compliant REIT will be determined in accordance with the provisions of the Income Tax Act as is the case of any trust having income that is chargeable to Singapore income tax.

The Taxable Income of Sabana Shari’ah Compliant REIT will comprise substantially income from the letting of real properties and incidental property-related service income but does not include gains from the disposal of real properties. The Taxable Income of Sabana Shari’ah Compliant REITshall qualify to be treated as income derived from the business of the making of investments and shall be determined under the provisions of Section 10E of the Income Tax Act.

The Tax Ruling grants the Tax Transparency Treatment on Sabana Shari’ah Compliant REIT’s Taxable Income that is distributed to the Unitholders in the year in which the income is derived. Any portion of the Taxable Income not distributed in the year in which the income is derived (the “Retained Taxable Income”) will be assessed to tax at the Trustee level.

Requirement on Tax Deduction at Source

The Tax Ruling imposes the condition on the Trustee and the Manager to deduct tax at source at the prevailing corporate tax rate on any distribution made out of the Taxable Income to all Unitholders other than individuals, Qualifying Unitholders and Qualifying Foreign Non-individual Unitholders.

D-2 APPENDIX D

Where the Unitholders are individuals or Qualifying Unitholders, the Trustee and the Manager will make the distributions without deducting any income tax. In addition, where the Unitholders are Qualifying Foreign Non-individual Unitholders, the Trustee and the Manager will deduct income tax at the reduced rate of 10.0% for distributions made up to 31 March 20151. A “Qualifying Unitholder” is a Unitholder who is: k a Singapore-incorporated company which is tax resident in Singapore; k a body of persons, other than a company or a partnership, registered or constituted in Singapore (for example, a town council, a statutory board, a registered charity, a registered co-operative society, a registered trade union, a management corporation, a club and a trade and industry association); and k a Singapore branch of a foreign company which has presented a letter of approval from the IRAS granting a waiver from tax deduction at source in respect of distributions from Sabana Shari’ah Compliant REIT. A “Qualifying Foreign Non-individual Unitholder” is one who is not a resident of Singapore for income tax purposes and: k who does not have a permanent establishment in Singapore; or k who carries on any operation in Singapore through a permanent establishment in Singapore, where the funds used to acquire the Units are not obtained from that operation in Singapore. To obtain distributions free of tax deduction at source, or at the reduced rate of 10.0%, the Unitholders who are Qualifying Unitholders or Qualifying Foreign Non-individual Unitholders, must disclose their tax status in a prescribed form provided by the Trustee. (See “Declaration by Unitholders” below.) Where the Units are held in joint names, the Trustee and the Manager will deduct income tax from the distributions made out of Sabana Shari’ah Compliant REIT’s Taxable Income, unless all the joint owners are individuals. Where the Units are held through a nominee, the Trustee and the Manager will deduct income tax from the distributions made out of Sabana Shari’ah Compliant REIT’s Taxable Income at the prevailing corporate tax rate except in the following situations: k where the Units are held for beneficial owners who are individuals and/or Qualifying Unitholders, tax may not be deducted at source under certain circumstances. These include a declaration by the nominee of the status of the beneficial owners of the Units and the provision of certain particulars of the beneficial owners of the Units by the nominee to the Trustee and the Manager in a prescribed form provided by the Trustee (See “Declaration by Unitholders” below); k where the Units are held for beneficial owners who are Qualifying Foreign Non-individual Unitholders, tax may be deducted at the reduced tax rate of 10.0% for distributions made up to 31 March 20151 under certain circumstances. These include a declaration by the nominee of the status of the beneficial owners of the Units and the provision of certain particulars of the beneficial owners of the Units by the nominee to the Trustee and the Manager in a prescribed form provided by the Trustee (See “Declaration by Unitholders” below); and k where the Units are held by the nominees as Agent Banks or Supplementary Retirement Scheme (“SRS”) operators acting for individuals who purchased the Units within the

1 As announced in the Singapore Budget 2010, but not yet promulgated into law.

D-3 APPENDIX D

CPF Investment Scheme (“CPFIS”) or the SRS, tax will not be deducted at source for distributions made in respect of these nominees.

Tax Treatment of Retained Taxable Income In accordance with the distribution policy of Sabana Shari’ah Compliant REIT by the Trustee, the Trustee and the Manager will distribute 100% of the Taxable Income of Sabana Shari’ah Compliant REIT to Unitholders for the period commencing from the Listing Date to 31 December 2012 and at least 90.0% of its Taxable Income thereafter. The portion of the Taxable Income not distributed will be immediately assessed to tax on the Trustee. When the Retained Taxable Income is subsequently distributed to Unitholders, it will not be subject to any tax deduction at source.

Distribution Reinvestment Plan Where a distribution reinvestment plan is implemented by Sabana Shari’ah Compliant REIT, Unitholders may receive their distributions in the form of cash and/or Units. Section 43(2A)(a) of the Income Tax Act introduced a temporary relief measure (the “Temporary Relief Measure”) to allow REITs to count distributions paid in the form of units pursuant to a distribution reinvestment plan as distributions of its Taxable Income for the purpose of satisfying the Tax Transparency Treatment condition that the REIT distribute at least 90% of its Taxable Income (after deduction of applicable expenses). The Temporary Relief Measure applies where such distributions in units are made from 1 July 2009 to 31 December 2010 (both dates inclusive), and subject to the REIT meeting certain conditions. In other words, under the Income Tax Act, tax transparency may only apply to distribution reinvestment plans if the distributions are made between 1 July 2009 and 31 December 2010 (both dates inclusive). It is unclear at this point if the Temporary Relief Measure will be extended beyond 31 December 2010. Where distributions of cash and Units are made by Sabana Shari’ah Compliant REIT under a distribution reinvestment plan on or before 31 December 2010 and the aggregate distributions amount to at least 90% of its Taxable Income, the taxation of Sabana Shari’ah Compliant REIT would be as set out in the discussion above. However, where distributions of cash and Units are made by Sabana Shari’ah Compliant REIT under a distribution reinvestment plan after 31 December 2010 and the Temporary Relief Measure is not extended, the distribution in Units would not go towards satisfying the Tax Transparency Treatment condition. In other words, in order to maintain its status as a REIT which qualifies for Tax Transparency Treatment, Sabana Shari’ah Compliant REIT would need to distribute at least 90% of its Taxable Income wholly in cash. Where the Units distributed to Unitholders are attributable to the Taxable Income which is not distributed in cash, such Units would be attributable to the Retained Taxable Income for which tax will be assessed on, and collected from, the Trustee. Consequently, the distribution made in Units would be a capital distribution and the Trustee and the Manager will not have to make a deduction of income tax from the distribution made in Units.

Tax Treatment of Gains from Disposal of Properties The Tax Transparency Treatment is not extended to gains realised from the sale of real properties. The tax on such gains will be assessed on the Trustee if they are considered to be trading gains. Gains of a capital nature are not subject to tax as there is no capital gains tax in Singapore. Whether a gain realised from the disposal of real property is a capital gain or a trading profit will have to be determined based on the circumstances of the transaction and the overall business traits of Sabana Shari’ah Compliant REIT.

D-4 APPENDIX D

Where gains arising from the disposal of real properties of Sabana Shari’ah Compliant REIT by the Trustee are trading gains, such trading gains are assessed to tax on the Trustee at the prevailing corporate tax rate, and the Trustee will have to pay the tax so assessed. Subsequent distribution of the gains will not be subject to any tax deduction at source.

Rollover Adjustment It is the intention of the Trustee and the Manager that distributions be made out of Taxable Income as determined by them. This may vary from the Taxable Income determined by the IRAS when the tax returns of Sabana Shari’ah Compliant REITare subsequently examined. In order to address this variance, the Tax Ruling has allowed the Trustee and the Manager,subject to certain terms and conditions, to adopt a rollover adjustment, such that the variance will be adjusted against the Taxable Income determined by the Trustee and the Manager for the next distribution immediately after the variance has been agreed with the IRAS.

TAXATION OF UNITHOLDERS Basis of Assessment Unitholders are charged to Singapore income tax on distributions from Sabana Shari’ah Compliant REIT for the year of assessment corresponding to the year of assessment to which the Taxable Income of Sabana Shari’ah Compliant REIT relates. This means that if a distribution is made out of the Taxable Income of Sabana Shari’ah Compliant REIT for the financial year ending on 31 December 2010 forming the basis period for the year of assessment 2011, the Unitholders will be taxed on such distribution for the year of assessment 2011.

Income Source of Distributions Unitholders will be chargeable to Singapore income tax on distributions from Sabana Shari’ah Compliant REIT by the Trustee either as income sourced under Section 10(1)(a) or Section 10(1)(g) of the Income Tax Act depending on the circumstances of the Unitholders. If a Unitholder holds the Units as investment assets, the distributions are chargeable to tax under Section 10(1)(g) as gains or profits of an income nature. If a Unitholder holds the Units as trading assets, the distributions are chargeable to tax under Section 10(1)(a) as gains or profits from a trade or business.

Sabana Shari’ah Compliant REIT’s distributions of Taxable Income where the Tax Transparency Treatment has been granted Taxation of individual Unitholders who hold the Units as investment assets All distributions from Sabana Shari’ah Compliant REIT by the Trustee to individual Unitholders of the Units who are beneficially entitled to the distributions, regardless of their nationality or place of residence, will be exempt from Singapore income tax if they receive such distributions as their investment income and not through a partnership in Singapore.

Taxation of individual Unitholders who hold the Units as trading assets or through a partnership in Singapore Individuals who beneficially own the Units will be subject to Singapore income tax if the distributions they receive do not qualify to be regarded as their investment income or that the distributions are received through a partnership in Singapore. Whether or not the distributions received by the individual Unitholders of the Units form part of their investment income is a question of fact and has to be determined based on the factual situations of the individual Unitholders. It is advisable for individual Unitholders of the Units to consult their tax advisers in relation to their particular situations.

D-5 APPENDIX D

Individual Unitholders of the Units who do not qualify for the tax exemption as mentioned above will be chargeable to Singapore income tax at their respective individual rates on distributions received from Sabana Shari’ah Compliant REIT if the Units are held as trading assets.

Taxation of Unitholders of the Units who are not individuals All Unitholders of the Units who are not individuals (“Non-Individual Unitholders”) are required to declare the gross amount of trust distributions (including the tax deducted at source, as the case may be) or the re-grossed amount (the amount of distributions received and the proportionate amount of the imputed tax) when filing their tax returns and to claim a tax credit for the tax deducted at source or the imputed tax. Distributions of Sabana Shari’ah Compliant REIT made by the Trustee to its Qualifying Foreign Non-individual Unitholders will be subject to Singapore withholding tax or tax deduction at source at the reduced rate of 10.0% for distributions made up to 31 March 20151. This reduced withholding tax rate of 10.0% will also apply to nominee Unitholders of the Units who can demonstrate that the Units are held for beneficial owners who are Qualifying Foreign Non- individual Unitholders. The tax deducted at source is a final tax.

Sabana Shari’ah Compliant REIT distributions of Retained Taxable Income or trading income from the disposal of properties Distributions of Sabana Shari’ah Compliant REIT made by the Trustee out of income previously taxed at the Trustee level will be exempt from tax in the hands of all Unitholders. No tax credit will be given to any Unitholder on the tax payable by the Trustee on such income distributed. Sabana Shari’ah Compliant REIT’s distributions of capital gains from the disposal of properties. Distributions of Sabana Shari’ah Compliant REIT made by the Trustee out of gains or profits arising from a disposal of properties that have been confirmed by the IRAS as capital gains are not taxable in the hands of all Unitholders since the gains or profits do not form part of the statutory income of the Trustee of Sabana Shari’ah Compliant REIT.

Gains on Disposal of Units Unitholders who are in the trade or business of dealing in investments will be chargeable to tax on the profits realised from the disposal of Units. Whether or not a Unitholder is in the trade or business of dealing in investments will be determined based on the Unitholder’s circumstances. Unitholders who are not in the trade or business of dealing in investments may also be chargeable to tax on the gains realised from the disposal of Units if such gains are treated as trading gains having regard to the circumstances of the transaction. Unitholders are encouraged to seek advice from their tax advisers to determine the tax implications regarding the acquisition, ownership and disposition of their investment in Units.

Declarations by Unitholders All Qualifying Unitholders, Qualifying Foreign Non-individual Unitholders and nominee Unitholders who can demonstrate that the Units are held for beneficial owners who are individuals, Qualifying Unitholders or Qualifying Foreign Non-individual Unitholders are required to make a declaration of their legal and tax residence status in the prescribed form to be provided by the Trustee. A draft sample is attached as an annex to this letter.The prescribed form must be completed and returned to the Trustee within the time limit set by the Trustee and the Manager. The Trustee and the Manager will make a distribution without deduction of tax or

1 As announced in the Singapore Budget 2010, but not yet promulgated into law.

D-6 APPENDIX D with deduction at the reduced tax rate of 10.0% only if they are satisfied from the declarations made in the prescribed forms as to their legal and tax residence status. Individual Unitholders, who hold the Units directly, do not have to make this declaration.

Definition of Tax Resident in the case of a Company A company is considered to be a tax resident in Singapore if the control and management of the company is exercised in Singapore.

Terms and Conditions of the Tax Ruling The Tax Ruling granted by the IRAS is conditional upon the Trustee and the Manager complying with certain terms and conditions. The Trustee and the Manager have given the relevant undertakings to the IRAS to take all reasonable steps to comply with all administrative requirements to ensure ease of tax administration. The IRAS has expressly reserved the rights to review, amend and revoke the Tax Ruling either in part or in whole at any time.

Yours faithfully

Leonard Ong Executive Director, Tax For and on behalf of KPMG Services Pte. Ltd.

D-7 APPENDIX D

To : XXX

ANNEX A

FORM A DECLARATION FOR SINGAPORE TAX PURPOSES

Name of registered holder (preprinted) Securities Account No. (preprinted) Address (preprinted) Holding Units (preprinted)

Name of Counter: Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (the “Units”)

Please read the following important notes carefully before completion of this Form: 1 The Trustee and the Manager of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (“Sabana Shari’ah Compliant REIT”) will not deduct tax from distributions made out of Sabana Shari’ah Compliant REIT’s taxable income that is not taxed at Sabana Shari’ah Compliant REIT’s level to: (a) Unitholders who are individuals and who hold the units either in their sole names or jointly with other individuals; (b) Unitholders which are companies incorporated and tax resident in Singapore; (c) Unitholders which are Singapore branches of foreign companies that have obtained specific approval from the Inland Revenue Authority of Singapore to receive the distribution from Sabana Shari’ah Compliant REIT without deduction of tax; or (d) Unitholders which are non-corporate entities (excluding partnerships) constituted or registered in Singapore, such as: (i) institutions, authorities, persons or funds specified in the First Schedule to the Income Tax Act (Cap. 134);co-operative societies registered under the Co-operative Societies Act (Cap. 62); (ii) trade unions registered under the Trade Unions Act (Cap. 333); (iii) charities registered under the Charities Act (Cap. 37) or established by an Act of Parliament; and (iv) town councils. 2 For distributions made up to 31 March 20151 to classes of Unitholders that do not fall within the categories stated under Note 1 above, the Trustee and the Manager of Sabana Shari’ah Compliant REIT will deduct tax at the rate of 10% if the Unitholders are Qualifying Foreign Non-Individual Unitholders.

1 As announced in the Singapore Budget 2010, but not yet promulgated into law.

D-8 APPENDIX D

A Qualifying Foreign Non-Individual Unitholder is one who is not a resident of Singapore1 for income tax purposes and: (a) who does not have a permanent establishment2 in Singapore; or (b) who carries on any operation in Singapore through a permanent establishment in Singapore, where the funds used to acquire the Units are not obtained from that operation. 3 Unitholders are required to complete the applicable Section A, B or C if they fall within the categories (b) to (d) stated under Note 1 or Section D if they qualify as a Qualifying Foreign Non-Individual Unitholders as described under Note 2. 4 The Trustee and the Manager of Sabana Shari’ah Compliant REIT will rely on the declarations made in this Form to determine (i) if tax is to be deducted for the categories of Unitholders listed in (b) to (d) under Note 1; and (ii) if tax is to be deducted at the rate of either 10.0% or the prevailing corporate tax rate for distributions to Qualifying Foreign Non-Individual Unitholders. Please therefore ensure that the appropriate section of this Form is completed in full and legibly and is returned to [XXX] within the stipulated time limit. Failure to comply with any of these requirements will render this Form invalid and therefore, the Trustee and the Manager will be obliged to deduct tax at the prevailing corporate tax rate from the distributions in respect of which this declaration is made. 5 Unitholders who fall within class (a) under Note 1 are not required to submit this declaration form. 6 Unitholders who do not fall within the classes of Unitholders listed in Note 1 and Note 2 above can choose not to return this Form as tax will be deducted from the distributions made to them at the prevailing corporate tax rate in any case. 7 Unitholders who hold the Units jointly (where at least one of the joint holders is not an individual) or through nominees do not have to return this Form. 8 Please make sure that the information given and the declaration made in this Form is true and correct. The making of a false or incorrect declaration constitutes an offence under the Income Tax Act and the Declarant shall be liable to the appropriate penalties imposed under the said Act. 9 This Form must be returned to [XXX] by [Date].

1 A company is not a resident of Singapore if the management and control of its business is exercised outside Singapore. 2 A permanent establishment is defined under Section 2 of the Income Tax Act to mean a fixed place where a business is wholly or partly carried on. It includes a place of management, a branch and an office.

D-9 APPENDIX D

ANNEX A1

DECLARATION FOR SINGAPORE TAX PURPOSES

Section A : To be completed by Unitholder which is a Singapore incorporated company

I, , NRIC/Passport No. , the Director of (the “Company”) hereby declare that the Company is the beneficial owner of the holdings stated above and that:

Tick ( / ) either the “Yes” or “No” box Yes No

(a) the Company is incorporated in Singapore and its registration number is -- (b) the management and control of the Company’s business for the preceding year and from the beginning of this year to the date of this Declaration was exercised in Singapore and there is no intention, at the time of this Declaration, to change the place of management and control of the Company to a location outside Singapore; and (c) the Company has previously filed tax returns with the Inland Revenue Authority of Singapore.

If your reply to (c) is “Yes”, please proceed with (d) (d) the Company is declared as a tax resident of Singapore# based on the latest tax return filed with the Inland Revenue Authority of Singapore.

Signature of Declarant : Date :

Contact No :

# A company is tax resident in Singapore if the management and control of its business is exercised in Singapore.

Section B : To be completed by Unitholder which is a Singapore branch of a foreign company

I, , NRIC/Passport No. , the manager of (the “Singapore Branch”) hereby declare that the Singapore Branch is the beneficial owner of the holdings stated above and that the Inland Revenue Authority of Singapore has granted approval to the Singapore Branch to receive distribution from Sabana Shari’ah Compliant REIT without deduction of tax. A copy of the letter of approval dated is attached.

Signature of Declarant : Date :

Contact No:

D-10 APPENDIX D

Section C : To be completed by Unitholder which falls under Note 1(d)

I, , NRIC/Passport No. , the principal officer of (the “Entity”) hereby declare that the Entity is the beneficial owner of the holdings stated above and that the entity is (tick whichever is applicable):

- an institution, authority, person or fund specified in the First Schedule to the Income Tax Act (Cap. 134).

- a co-operative society registered under the Co-operative Societies Act (Cap. 62).

- a trade union registered under the Trade Unions Act (Cap. 333).

- a charity registered under the Charities Act (Cap. 37) or a charity established by an Act of Parliament.

- a town council.

- any other non-corporate entity (other than a partnership) constituted or registered in Singapore.

Signature of Declarant : Date :

Contact No :

Section D : To be completed by Unitholder which falls under Note 2

I, , NRIC/Passport No. , the Director/Principal Officer of (the “Entity”) hereby declare that the Entity is the beneficial owner of the holdings stated above and that:

Tick ( / ) either the “Yes” or “No” box Yes No

(a) the Entity is not a resident of Singapore(1) for income tax purposes for the preceding year and from the beginning of this year to the date of this Declaration and there is no intention, at the time of this Declaration, to change the tax residence of the Entity to Singapore; and

(b) the Entity does not have a permanent establishment(2) in Singapore.

If your reply to (b) is “No”, please proceed with (c) - (c) the funds used to acquire the holdings in the Units are not obtained by the Entity from any operation carried on in Singapore through a permanent establishment in Singapore.

Signature of Declarant : Date :

Contact No :

(1)/(2) Please see front page.

D-11 APPENDIX D

ANNEX B

FORM B DECLARATION BY DEPOSITORY AGENTS FOR SINGAPORE TAX PURPOSES

Name of registered holder (preprinted) Securities Account No. (preprinted) Address (preprinted) Holding: Units (preprinted)

Name of Counter: Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (the “Units”)

Please read the following important notes carefully before completion of this Form: 1 The Trustee and the Manager of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (“Sabana Shari’ah Compliant REIT”) will deduct tax at the prevailing corporate tax rate from distributions made out of Sabana Shari’ah Compliant REIT’s taxable income, that is not taxed at Sabana Shari’ah Compliant REIT’s level, in respect of the Units held by you in your capacity as a Depository Agent except where the beneficial owners of these Units are: (i) individuals and the units are not held through a partnership in Singapore; (ii) qualifying Unitholders; or (iii) Qualifying Foreign Non-Individual Unitholders. 2 Tax will not be deducted for distributions made in respect of the Units held by you for the benefit of Unitholders who fall within categories (i) and (ii) of Note 1. Tax will be deducted at the reduced rate of 10% for distributions made up to 31 March 20151, in respect of the Units held by you for the benefit of foreign non-individual Unitholders. 3 A “Qualifying Unitholder” refers to: (i) a company incorporated and tax resident in Singapore; (ii) non-corporate entities (excluding partnerships) constituted or registered in Singapore; such as: (a) institutions, authorities, persons or funds specified in the First Schedule to the Income Tax Act (Cap. 134); (b) co-operative societies registered under the Co-operative Societies Act (Cap. 62); (c) trade unions registered under the Trade Unions Act (Cap. 333); (d) charities registered under the Charities Act (Cap. 37) or established by an Act of Parliament; and (e) town councils; (iii) a Singapore branch of a foreign company which has obtained from the Inland Revenue Authority of Singapore, a waiver from tax deducted at source in respect of distributions from Sabana Shari’ah Compliant REIT.

1 Announced in the Singapore Budget 2010, but not yet promulgated into law.

D-12 APPENDIX D

4 A Qualifying Foreign Non-Individual Unitholder is one who is not a resident in Singapore1 for income tax purposes and: (i) who does not have a permanent establishment2 in Singapore; or (ii) who carries on any operation in Singapore through a permanent establishment in Singapore, where the funds used to acquire the Units are not obtained from that operation. 5 The Trustee and the Manager of Sabana Shari’ah Compliant REIT will rely on the declarations made in this Form to determine the applicable rate at which tax is to be deducted in respect of the Units held by you in your capacity as a Depository Agent. Please therefore ensure that this Form and the Annexes are completed in full and legibly and is returned to [XXX] within the stipulated time limit. Failure to comply with any of these requirements will render this Form invalid and the Trustee and the Manager will deduct tax at the prevailing corporate tax rate from the distributions in respect of which this declaration is made. 6 Please make sure that the information given and the declaration made in this Form is true and correct. The making of false or incorrect declaration constitutes an offence under the Income Tax Act and the Declarant shall be liable to the appropriate penalties imposed under the said Act.

1 A company is a not resident of Singapore if the management and control of its business for the preceding year and from the beginning of this year to the date of this declaration was exercised outside Singapore and there is no intention, at the time of this declaration, to change tax residence of the company to Singapore. 2 A permanent establishment is defined under Section 2 of the Income Tax Act to mean a fixed place where a business is wholly or partly carried on. It includes a place of management, a branch and an office.

D-13 APPENDIX D

7 This Form, together with hard copy of the Annexes, must be returned to [XXX] by [Date]. Please complete the Annexes using the soft copy of the excel spreadsheet provided to you and also email a soft copy of the completed Annexes to XXX at [Email] by [Date]. Please note that it is compulsory to email the soft copy of the completed Annexes.

Declaration I, , NRIC/Passport No. , the principal officer of (the “Depository Agent”) hereby declare that the Units registered in the name of the Depository Agent and deposited in the sub-accounts maintained with The Central Depository (Pte) Ltd, as listed in the Annexes B1 to B3 to this declaration, belonged beneficially to persons who are individuals, Qualifying Unitholders (as defined in Note 3 above) and qualifying foreign non-individual Unitholders (as defined in Note 4 above), respectively. The details of each of these beneficial owners are also listed in the respective Annexes. We hereby also undertake to provide the actual amount of gross distribution made to each Qualifying Unitholder in the format provided in Annex B2 and to email a soft copy of Annex B2 to XXX within 21 days from the date of the distribution.

Signature of Declarant : Date:

Contact No :

D-14 APPENDIX D

Annex B1 Sabana Shari’ah Compliant Industrial Real Estate Investment Trust Distribution Period: Annex to Declaration Form B — Individuals

S/No. CDP Sub-Account No. Name of beneficiary holder(s) Identification No. Number of units 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

* This refers to Singapore NRIC No., foreign ID No. or Passport No.

D-15 APPENDIX D

Annex B2 Sabana Shari’ah Compliant Industrial Real Estate Investment Trust Distribution Period: Annex to Declaration Form B — Qualifying Unitholders

S/No. CDP Sub-Account No. Name of beneficiary holder(s) Registration No.* Number of units 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

* This refers to ROC / Tax Reference No.

D-16 APPENDIX D

Annex B3 Sabana Shari’ah Compliant Industrial Real Estate Investment Trust Distribution Period: Annex to Declaration Form B — Qualifying Foreign Non-Individual Unitholders

S/No. CDP Sub-Account No. Name of beneficiary holder(s) Address Number of units 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

D-17 [This page is intentionally left blank] APPENDIX E Cushman & Wakefield VHS Pte. Ltd. Company Registration No. 200709839D

3 Church Street #09-03 Samsung Hub Singapore 049483 Tel: (65) 6535 3232 Fax: (65) 6535 1028 www.cushmanwakefield.com

30 September 2010

Sabana Real Estate Investment Management Pte. Ltd. 3 Pickering Street, Nankin Row #02-53 China Square Central Singapore 048660

Dear Sirs

VALUATION OF THE PORTFOLIO OF INDUSTRIAL PROPERTIES COMPRISING:

1. 9 Tai Seng Drive, Geo-Tele Building, Singapore 535227 2. 26 Loyang Drive, Singapore 508970 3. 123 Genting Lane, Yenom Industrial Building, Singapore 349574 4. 3 Kallang Way 2A, Fong Tat Building, Singapore 347493 5. 34 Penjuru Lane, Penjuru Logistics Hub, Singapore 609201 6. 33 & 35 Penjuru Lane, Freight Links Express Logisticpark, Singapore 609200/609202 7. 51 Penjuru Road, Singapore 629908 8. 218 Pandan Loop, Singapore 596228 9. 18 Gul Drive, Singapore 629468 10. 30/32 Tuas Avenue 8, Singapore 639246/639247

Cushman & Wakefield VHS Pte Ltd (“C&W”) have been instructed by Sabana Real Estate Investment Management Pte. Ltd. (“SREIM”) to provide the market values and formal valuation reports in respect of the above mentioned properties (“the Properties”), subject to the existing tenancies and proposed master lease and occupancy arrangements as disclosed.

C&W have prepared formal valuation reports (the “Reports”) in accordance with the requirements of the instructions and the following international definition of Market Value:

“Market Value is the estimated amount for which an asset should exchange on the date of valuation between a willing buyer and a willing seller in an arm’s length transaction, after property marketing, wherein the parties had each acted knowledgeably, prudently and without compulsion”.

The valuation have been made on the assumption that the owner sells the property on the open market in its existing state taking into account the sale and leaseback terms but without the benefit of other joint venture, management agreement or any similar arrangement which would affect the value of the property.

For the specific purposes of this prospectus, we provide a Valuation Summary of the Reports with a brief description of the Properties together with the key factors that have been considered in that have been considered in determining the market values of the Properties. The value conclusions reflect all information known by the valuers of C&W who worked on the valuations in respect to the Properties, market conditions and available data.

E-1 Cushman & Wakefield VHS Pte. Ltd.

Page 2 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Reliance on This Letter

This letter together with its attachments is a summary of the full Reports that C&W have carried out and it does not contain all the necessary information and assumptions that are included in the Reports. Further reference may be made to these Reports, copies of which are held by SREIM.

The valuation contained in the Reports are not guarantees or predictions but are based on the information obtained from reliable and reputable agencies and sources, the Manager and other related parties. Whilst C&W have endeavoured to obtain accurate information, it has not independently verified all the information provided by the Manager or other reliable and reputable agencies.

Where applicable, information as to ownership, site area and zoning has been obtained from our searches at the Singapore Land Authority or Urban Redevelopment Authority. C&W have also relied to a considerable extent the property data provided by the Manager on matters such as site and floor areas, master lease terms/tenancy details, occupancy status, land rent, building plans, dates of completion and all other relevant matters.

Also, in the course of the valuation, we have assumed that all the leases are legally valid and enforceable and the Properties have proper legal titles that can be freely transferable, leased and sub-leased in the market without being subject to any land premium or any extra charges. C&W have no reason to doubt the truth and accuracy of the information provided to us by SREIM which is material to the valuation.

No allowance has been made in the valuation for any charges, mortgages or amounts owing on the Properties. C&W have assumed that the Properties are free from encumbrances, restrictions or other outgoings of an onerous nature which would affect their market value, other than those which have been made known to C&W.

The methodologies used in valuing the Properties, namely, the Discounted Cash Flow Analysis and Capitalization Approach, are based on our professional opinion and estimates of the future results and are not guarantees or predictions. These valuation methodologies are summarized in this letter. Each methodology is based on a set of assumptions as to the income and expenses taking into considerations the changes in economic conditions and other relevant factors affecting the Properties. The resultant value is, in our opinion, the best estimate but it is not to be construed as a guarantee or prediction and it is fully dependent upon the accuracy of the assumptions made. This Valuation Summary does not contain all the necessary support data and details included in our Reports. For further information on that, reference should be made to the Reports to understand the complexity of the methodologies and the variables involved in order to appreciate the context in which the values are arrived at.

We have inspected the exterior and, where possible, the interior of the Properties. No structural survey has been made, but in the course of our inspection, we did not note any serious defect to the completed buildings. We are not, however, able to report that the Properties are free from rot, infestation or any structural defect. No tests were carried out to any of the services.

We have also not carried out investigations on site in order to determine the suitability of ground conditions, nor have we undertaken archaeological, ecological or environmental surveys. Our valuation is on the basis that these aspects are satisfactory.

E-2 Cushman & Wakefield VHS Pte. Ltd.

Page 3 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Valuation Rationale

In arriving at our valuation, we have considered relevant general and economic factors and in particular have investigated recent sales and rental transactions of comparable properties that have occurred in the vicinity or in similar standard localities. We have utilized the Discounted Cash Flow Analysis and Capitalization Approach in undertaking our assessment for each of the Properties.

Discounted Cash Flow Analysis

We have carried out a discounted cash flow analysis over a 10-year investment horizon in which we have assumed that the property is sold at the commencement of the eleventh year of the cash flow. This form of analysis allows an investor to make an assessment of the long term return that is likely to be derived from a property with a combination of both rental and capital growth over an assumed investment horizon in undertaking this analysis, a wide range of assumptions are made including a target or pre-selected discounted rate, rental growth, sale price of the property at the end of the investment horizon as well as costs associated with its disposal at the end of the investment period.

We have investigated the current market requirements for an investment return over a 10-year period from the industrial market. As per the current market practice, the return is presently ranging in the order of 8.0% to 8.75%.

Our selected terminal capitalization rates, used to estimate the terminal sale price, takes into consideration perceived market conditions in the future, estimated tenancy and cash flow profile and the overall physical condition of the building in 10 years’ time. The adopted terminal yield rate, additionally, has regard to the duration of the remaining tenure of properties at the end of the cash flow period.

Capitalization Approach

Briefly, the Capitalization Approach takes into consideration the estimated gross annual rental for the subject property which is adjusted for outgoings such as property tax, maintenance charges, management fees, property tax, land rent and an allowance for vacancy to derive at the net rental income. The net income is then capitalized at an appropriate rate of return that reflects the current market investment criteria over the remaining lease term in order to reflect the certain and potential risks acceptable to a prudent investor.

Alternatively, and based on the same approach, this method can be varied so that the market rent is capitalized in accordance to the tenure of the lease with appropriate adjustments for rental shortfalls and/ or overages.

Our valuations have been undertaken on a GST exclusive basis.

Based on the above, the following table summarizes the salient valuation assumptions adopted in undertaking our assessment.

E-3 Cushman & Wakefield VHS Pte. Ltd.

Page 4 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Summary of Valuation

Our opinion of the market value of each of the Properties is stated in the tables below, subject to all existing and proposed tenancies and occupancy arrangements. The following summarizes some of the key valuation assumptions and market value for each property:

Leaseback Target Terminal Market Value as Capitalization Property Address Period Discount Yield at 30 Sep 2010 Rate (%) (years) Rate (%) (%) (SGD) 1. 9 Tai Seng Drive n.a. 7.00 8.25 7.25 46,300,000

2. 26 Loyang Drive 5.00 7.00 8.25 7.25 32,000,000

3. 123 Genting Lane 3.00 7.25 8.25 7.50 24,500,000

4. 3 Kallang Way 2A 3.00 7.00 8.25 7.25 15,000,000

5. 34 Penjuru Lane 5.00 7.25 8.25 7.75 60,000,000

6. 33 & 35 Penjuru Lane 5.00 7.00 8.25 7.25 78,900,000

7. 51 Penjuru Road 5.00 7.00 8.25 7.25 42,500,000

8. 218 Pandan Loop 5.00 7.25 8.25 7.50 13,500,000

9. 18 Gul Drive 5.00 7.25 8.50 7.75 34,200,000

10. 30 & 32 Tuas Avenue 8 5.00 7.00 8.50 7.25 24,000,000

Total Aggregate Value 370,900,000

The total aggregate value for all the 10 properties is Singapore Dollars Three Hundred Seventy Million and Nine Hundred Thousand only.

The Valuation Summary of more property details for each of the Properties is attached.

E-4 Cushman & Wakefield VHS Pte. Ltd.

Page 5 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Disclaimer

We have prepared this Valuation Summary that appears in the Prospectus and specifically disclaim liability to any person in the event of any omission from or false or misleading statement included in the Prospectus, other than in respect of the information provided within the valuation reports and summary. We do not make any warranty or representation as to the accuracy of the information in any part of the Prospectus other than as expressly made or given in this valuation summary.

All information provided to us by SREIM is treated as correct and true and we accept no responsibility for subsequent changes in information and reserve the right to change our valuation if any information provided were to materially change.

The reported analyses, opinions and conclusions are limited only by the reported assumptions and limiting conditions and are our personal, unbiased professional analyses, opinions and conclusions. We have no present or prospective interest in the Properties and are not a related corporation of nor do we have a relationship with the property owner(s) or other party/parties whom SREIM is contracting with.

The valuers’ compensation is not contingent upon the reporting of a predetermined value or direction in value that favours the cause of the client, the amount of the value estimate, the attainment of a stipulated result, or the occurrence of a subsequent event.

We hereby certify that the Valuers undertaking the valuation are authorized to practice as valuers and have the necessary experience in valuing similar types of properties.

Yours faithfully For and on behalf of CUSHMAN & WAKEFIELD VHS PTE. LTD.

Han Yong Lee Chew May Yenk Managing Director Director - Valuation & Advisory Services Licensed Appraiser No AD41-2004419H

Encl.

E-5 Cushman & Wakefield VHS Pte. Ltd.

Page 6 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

VALUATION SUMMARY

Date of Valuation : 30 September 2010

Address : 9 Tai Seng Drive Geo-Tele Centre Singapore 535227

Legal Description : Lot 4979L of Mukim 23 (JTC Private Lot A21269)

Tenure : Leasehold 30 years commencing from 1 June 1995 with a further term of 30 years.

Registered Lessee : Geo-Tele Pte. Ltd.

Brief Description : A 6-storey industrial building with a basement level car park located along Tai Seng Drive, off Airport Road. It is situated within Tai Seng Industrial Estate, some 9 km away from the city centre at Raffles Place. The property is situated within 3 minutes drive from the newly opened Tai Seng MRT Station.

The building accommodates warehouse and production/ ancillary office units on the 1st storey, a data centre/ ancillary office unit on the 5th storey, warehouse, production/ ancillary office units on the remaining levels and basement car parks. The building is provided with fire protection systems, security services, conventional AHU air-conditioning systems and VRV air-conditioning systems, M&E services, passenger, cargo and fireman lifts, an underground diesel storage tank for back-up generators and connection to public utilities and telecommunication services.

Other improvements on site include a security guard house, vehicular access barriers, surface car parking lots and interlocking concrete blocks paved driveway in the compound of the building.

Year of Completion : The Certificate of Statutory Completion was issued on 13 December 2000.

Land Area : 8,128.80 square metres

Gross Floor Area : Approximately 20,337.00 square metres

E-6 Cushman & Wakefield VHS Pte. Ltd.

Page 7 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Permitted Use : To be used for the purpose of Carrier Hotel Operations to provide facility or services based internet operators, telecom operators with optical fibre connectivity, international telecommunications gateways and domestic telephone networks and providing space to host telecommunication equipment and internet servers only. Any change of use requires the prior written consent of JTC.

Condition : Good.

Tenancy Details : The units within the property are presently sublet to various tenants on tenancy periods typically ranging between 1 and 5 years. According to the Tenancy Details provided as at September 2010, the property is fully occupied.

There shall also be a rental support provided by Geo-Tele Pte Ltd of S$6,300,000/- upon completion of sale.

Annual Land Rent : Land rent payable to JTC is approximately S$281,914 per annum presently, excluding GST.

Annual Value : S$3,210,000/-

2008 Master Plan Zoning : “Business 2” with plot ratio 2.5

Market Value : S$46,300,000/- as at 30 September 2010 (Singapore Dollars Forty-Six Million and Three Hundred Thousand Only)

Estimated Reinstatement : S$29,000,000/- Value (Singapore Dollars Twenty Nine Million Only)

______CUSHMAN & WAKEFIELD VHS PTE LTD

E-7 Cushman & Wakefield VHS Pte. Ltd.

Page 8 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

VALUATION SUMMARY

Date of Valuation : 30 September 2010

Address : 26 Loyang Drive Singapore 508970

Legal Description : Lot 4432W of Mukim 31 (part of Lot 4115C) (JTC Private Lot A2737001)

Tenure : Leasehold 30 years commencing from 1 January 2006 with a further term of 18 years

Registered Lessee : Oxley & Hume Builders Pte. Ltd.

Brief Description : A purpose-built single-storey industrial building with mezzanine floors located along Loyang Drive, within Loyang Industrial Estate, and some 20.0 km away from the city centre at Raffles Place.

The building accommodates warehouse/ production areas, workshops, laboratories, offices and facilities rooms on the 1st storey; and facilities rooms, canteen, general office, partitioned offices, meeting room and conference room on the mezzanine levels. The building is well provided with fire protection systems, security services, air-conditioning provision to the offices, M&E services, passenger and service lifts and connection to public utilities and telecommunication services.

Other improvements on site include a security guardhouse, sheltered car parking lots and concrete-paved driveways.

Year of Completion : The Certificate of Statutory Completion was issued on 1 November 2007

Land Area : 18,156.10 square metres.

Gross Floor Area : Approximately 13,858.03 square metres.

Permitted Use : To be used for the purpose of design and fabrication of building automation services, devices and equipment including preparation and storing of construction/ building related parts only. Any change of use requires the prior written consent of JTC.

Condition : Good.

E-8 Cushman & Wakefield VHS Pte. Ltd.

Page 9 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Tenancy Details : The property will be leased to Oxley & Hume Builders Pte. Ltd. (the “Master Tenant”) for a period of 5 years with effect from completion of the sale and purchase of the property. The annual rental, excluding GST is as follows:

Year 1: S$2,450,000 Year 2: S$2,486,750 Year 3: S$2,524,051 Year 4: S$2,561,912 Year 5: S$2,600,341

The Master Tenant shall be responsible for maintenance and all outgoings in relation to the Property and will include but not limited to internal and external property repairs and maintenance including repairs of a structural nature, replacement of M&E installations and equipment, servicing of lifts, acquisition & installation of new lift, utility costs, cleaning and security, landscaping, property tax, land rent, insurance, all fire safety protection and compliance and capital expenditure during the master lease period.

Annual Land Rent : Land rent payable to JTC is S$353,315.76 per annum presently, excluding GST.

Annual Value : S$1,647,000/-

2008 Master Plan Zoning : “Business 2” with plot ratio 2.5

Market Value : S$32,000,000/- as at 30 September 2010 (Singapore Dollars Thirty-Two Million Only)

Estimated Reinstatement : S$18,700,000/- Value (Singapore Dollars Eighteen Million and Seven Hundred Thousand Only)

______CUSHMAN & WAKEFIELD VHS PTE LTD

E-9 Cushman & Wakefield VHS Pte. Ltd.

Page 10 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

VALUATION SUMMARY

Date of Valuation : 30 September 2010

Address : 123 Genting Lane Yenom Industrial Building Singapore 349574

Legal Description : Lot 5872T of Mukim 24

Tenure : Leasehold 60 years commencing from 1 September 1981.

Registered Lessee : Yenom Industries Pte Ltd

Brief Description : An 8-storey industrial building located along Genting Lane, off Aljunied Road. It is situated within Kallang Way Industrial Estate, some 6 km away from the city centre at Raffles Place.

The building accommodates ancillary office areas on the 7th storey, an air-conditioned canteen on the 8th storey and warehouse and manufacturing/ ancillary office area on the remaining levels. The building is provided with fire protection systems, security services, M&E services, passenger and cargo lifts and connection to public utilities and telecommunication services.

Other improvements on site include a security guard house, surface car parking lots and tarmac-paved driveway.

Year of Completion : The Certificate of Statutory Completion was issued on 17 April 1996.

Land Area : 6,017.40 square metres.

Gross Floor Area : Approximately 14,763.00 square metres.

Permitted Use : To be used for the purpose of manufacturing of release paper coating plastic vinyl label stock only. Any change of use requires the prior written consent of JTC.

Condition : Fairly good.

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Page 11 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Tenancy Details : The property will be leased to Yenom Industries Pte Ltd (“the Master Tenant”) for a period of 3 years commencing from completion of the sale and purchase of the property. The annual net rent payable, excluding GST, shall be as follows: -

Year 1: S$1,950,000 Year 2: S$1,979,250 Year 3: S$2,008,939

The Master Tenant shall be responsible for maintenance and all outgoings in relation to the Property and will include but not limited to internal and external property repairs and maintenance including repairs of a structural nature, replacement of M&E installations and equipment, servicing of lifts, acquisition & installation of new lift (if deemed necessary by the Master Tenant), utility costs, cleaning and security, landscaping, property tax, land rent, insurance, all fire safety protection and compliance and capital expenditure during the master lease period.

Annual Land Rent : Land rent payable to JTC is about S$249,421 per annum presently, excluding GST

Annual Value : S$1,851,900/-

2008 Master Plan Zoning : “Business 1” with plot ratio 2.5

Market Value : S$24,500,000/- as at 30 September 2010 (Singapore Dollars Twenty Four Million and Five Hundred Thousand Only)

Estimated Reinstatement : S$21,000,000/- Value (Singapore Dollars Twenty One Million Only)

______CUSHMAN & WAKEFIELD VHS PTE LTD

E-11 Cushman & Wakefield VHS Pte. Ltd.

Page 12 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

VALUATION SUMMARY

Date of Valuation : 30 September 2010

Address : 3 Kallang Way 2A Fong Tat Building Singapore 347493

Legal Description : Lot 7535K of Mukim 24 (JTC Private Lot A19644)

Tenure : Leasehold 30 years commencing from 1 May 1995 with a further term of 30 years.

Registered Lessee : Fong Tat Motor Co. Pte. Ltd.

Brief Description : A 7-storey industrial building with a basement level car park located along Kallang Way 2A, off Aljunied Road. It is situated within Kallang Way Industrial Estate, some 6 km away from the city centre at Raffles Place.

The building accommodates ancillary office areas on the 3rd and 4th storeys and warehouse/ manufacturing areas on the other levels. The building is provided with fire protection systems, security services, split-unit air-conditioning systems to selected areas, M&E services, passenger and cargo lifts and connection to public utilities and telecommunication services.

Other improvements on site include a security guard house, bin centre, vehicular access barriers, surface car parking lots and interlocking concrete blocks/ concrete-paved driveway.

Year of Completion : The Certificate of Statutory Completion was issued on 28 April 2003.

Land Area : 3,115.30 square metres.

Gross Floor Area : Approximately 7,771.00 square metres.

Permitted Use : To be used for the purpose of manufacturing of injection mould and production of plastic moulding only. Any change of use requires the prior written consent of JTC.

Condition : Fairly good.

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Page 13 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Tenancy Details : The property will be leased to Fong Tat Motor Co. Pte. Ltd. (“the Master Tenant”) for a period of 3 years commencing from completion of the sale and purchase of the property. The annual net rent payable, excluding GST, shall be as follows: -

Year 1: S$1,160,000 Year 2: S$1,180,000 Year 3: S$1,200,955

Annual Land Rent : Land rent payable to JTC is about S$129,158 per annum presently, excluding GST

Annual Value : S$986,700/-

2008 Master Plan Zoning : “Business 1” with plot ratio 2.5

Market Value : S$15,000,000/- as at 30 September 2010 (Singapore Dollars Fifteen Million Only)

Estimated Reinstatement : S$11,000,000/- Value (Singapore Dollars Eleven Million Only)

______CUSHMAN & WAKEFIELD VHS PTE LTD

E-13 Cushman & Wakefield VHS Pte. Ltd.

Page 14 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

VALUATION SUMMARY

Date of Valuation : 30 September 2010

Address : 34 Penjuru Lane Penjuru Logistics Hub Singapore 609201

Legal Description : Lot 7871A of Mukim 5 (JTC Private Lots A1865700 and A18655701)

Tenure : Leasehold 30 years commencing from 16 August 2002

Registered Lessee : SB (Lakeside) Investment Pte. Ltd.

Brief Description : A purpose-built 5-storey warehouse with ancillary offices located along Penjuru Lane, within Jurong Industrial Estate, and some 15 km away from the city centre at Raffles Place.

The building accommodates warehouse areas from the 1st to 5th storeys and ancillary offices on the 2nd storey. The building is provided with fire protection systems, security services, M&E services, passenger and cargo lifts, ample loading/unloading bays with dock levellers and connection to public utilities and telecommunication services.

Other improvements on site include a security guardhouse, surface car parking lots, concrete paved driveways and boundary fencing.

Year of Completion : The Certificate of Statutory Completion was issued on 12 May 2009.

Land Area : 15,410.10 square metres.

Gross Floor Area : Approximately 38,487.00 square metres.

Permitted Use : To be used for the purpose of warehousing of consumer products and chemicals only. Any change of use requires the prior written consent of JTC.

Condition : Good.

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Page 15 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Tenancy Details : The property will be leased to SB (Lakeside) Investment Pte Ltd (“the Master Tenant”) for a period of 5 years from completion of the sale and purchase of the property. The annual rental, excluding GST, will be as follows:

Year 1: S$5,000,000 Year 2: S$5,100,000 Year 3: S$5,202,000 Year 4: S$5,306,040 Year 5: S$5,412,161

The Master Tenant shall be responsible for maintenance and all outgoings in relation to the Property including but not limited to internal and external property repairs and maintenance including repairs of a structural nature, replacements of M&E installations and equipment, servicing of lifts, utility costs, cleaning and security, landscaping, property tax, land rent, insurance and all fire safety protection and compliance during the master lease period. The Landlord shall be responsible for capital improvements and enhancements.

Annual Land Rent : Land rent payable to JTC is about S$326,848.32 per annum presently, excluding GST.

Annual Value : S$434,000/-

2008 Master Plan Zoning : “Business 2” with plot ratio 2.5

Market Value : S$60,000,000/- as at 30 September 2010 (Singapore Dollars Sixty Million Only)

Estimated Reinstatement : S$51,800,000/- Value (Singapore Dollars Fifty One Million and Eight Hundred Thousand Only)

______CUSHMAN & WAKEFIELD VHS PTE LTD

E-15 Cushman & Wakefield VHS Pte. Ltd.

Page 16 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

VALUATION SUMMARY

Date of Valuation : 30 September 2010

Address : 33 & 35 Penjuru Lane Freight Links Express Logisticpark Singapore 609200/ 609202

Legal Description : Lot 8480C of Mukim 5 (JTC Private Lots A4073, A4073A & A4073B)1.

Tenure : Leasehold 30 years commencing from 16 February 1988. We understand that the Lessee has qualified for a further 31 years lease from 16 February 2018.

Registered Licensee : Freight Links Express Logisticpark Pte Ltd

Brief Description : A purpose-built chemicals logistics hub and dangerous goods/cargo warehouse complex located at the end of Penjuru Lane, off Penjuru Road and Jalan Buroh. It is situated within Jurong Industrial Estate, some 15 km away from the city centre at Raffles Place.

The warehouse complex comprises three buildings – Block A, a 4-storey warehouse building; Block B, a part one-storey/ part 3- storey with basement level warehouse building with Very- Narrow-Aisle (VNA) storage system warehouses and three other warehouse levels and Block C, a single-storey with mezzanine level warehouse building. The complex is provided with the fire protection systems and underground retention basins to contain chemical spillages, security services, M&E services, cargo lifts, pallet lifter and connection to public utilities and telecommunication services.

Other improvements on site include two security guard houses, surface car parking lots and concrete paved driveway in the compound of the building.

Year of Completion : Block A – Certificate of Statutory Completion (CSC) for original completion was issued on 29 August 1994 and CSC for addition and alteration (A+A) works was issued on 9 October 2008. Block B – CSC was issued on 9 October 2008. Block C – CSC for the original building was issued on 11 May 1992 and CSC for the A+A works was issued on 24 April 2009.

Land Area : 25,756.10 square metres.

Gross Floor Area : Approximately 26,588.11 square metres.

1 At the time of our title search, only parent title documents are available. The Certificate of Title for Lot 8480C Mukim 5 was not available yet.

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Page 17 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Permitted Use : According to the Building Agreement supplied, the property was permitted to be used for the purpose of container transportation, warehousing and container storage and repair only. However, we have been informed that in-principle approval for the change of use of the premises for warehousing and storage of dangerous goods cargo, drumming and other related processing and logistics services as a Chemical Logistics Hub has been granted and under processing by JTC. We have been instructed to value the property based on this change of use.

Condition : Fairly good.

Tenancy Details : The property will be leased to Freight Links Express Logisticpark Pte Ltd (“the Master Tenant”) for a period of 5 years from completion of the sale and purchase of the property. The initial annual net rent payable shall be S$6,150,000, excluding GST, and is subject to rental escalations at 1.5% per annum from year 2 onwards.

The Master Tenant shall be responsible for property tax, land rent, maintenance and all property outgoings during the term of the lease. The Landlord shall be responsible for capital expenditure and improvements that are structural in nature.

Annual Land Rent : Land rent payable to JTC is about S$485,323.44 per annum presently, excluding GST.

Annual Value : S$2,959,000/-

2008 Master Plan Zoning : “Business 2” with plot ratio 2.5

Market Value : S$78,900,000/- as at 30 September 2010 (Singapore Dollars Seventy Eight Million and Nine Hundred Thousand Only)

Estimated Reinstatement : S$34,500,000/- Value (Singapore Dollars Thirty-Four Million and Five Hundred Thousand Only)

______CUSHMAN & WAKEFIELD VHS PTE LTD

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Page 18 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

VALUATION SUMMARY

Date of Valuation : 30 September 2010

Address : 51 Penjuru Road Freight Links Express Logisticentre Singapore 609143

Legal Description : Lot 7829M of Mukim 5 (JTC Private Lot A12417)

Tenure : Leasehold 30 years commencing from 1 January 1995 with a further term of 30 years.

Registered Lessee : Freight Links Express Logisticentre Pte Ltd

Brief Description : A purpose-built warehouse complex comprising a part single- storey/ part 3-storey/ part 4-storey warehouse with ancillary office building located at the intersection of Penjuru Road and Jalan Buroh. It is situated within Jurong Industrial Estate, some 15 km away from the city centre at Raffles Place.

The warehouse block accommodates four levels of double- volume conventional warehouse and an Automated Storage & Retrieval System (ASRS) warehouse which spans four-storeys high. The office block accommodates a production area on the 2nd storey and ancillary office area on the 3rd and 4th storeys. The building is provided with fire protection systems, security services, centralised air-conditioning system to the ancillary office areas, M&E services, passenger, cargo and fireman lifts, pallet lifters and connection to public utilities and telecommunication services.

Other improvements on site include a security guard house, open and covered surface car parking lots, and driveway paved with interlocking tiles.

Year of Completion : The Certificate of Statutory Completion was issued on 2 November 1999.

Land Area : 14,591.70 square metres.

Gross Floor Area : Approximately 22,889.06 square metres.

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Page 19 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Permitted Use : To be used for the purpose of warehousing with specialised storage and handling facilities, and a full range of distribution services including order picking, sorting, kitting operations, packing and other logistics related value added services, for electronic and electrical products, vehicle spare parts and equipment, personal care products, containers and other general cargoes only. Any change of use requires the prior written consent of JTC.

Condition : Fairly good.

Tenancy Details : The property will be leased to Freight Links Express Logisticentre Pte Ltd (“the Master Tenant”) for a period of 5 years from completion of the sale and purchase of the property. The initial annual net rent payable shall be S$3,300,000, excluding GST, and is subject to rental escalations at 1.5% per annum from year 2 onwards.

The Master Tenant will be responsible for property tax, land rent, maintenance and all property outgoings during the term of the lease. The Landlord will be responsible for capital expenditure and improvements that are structural in nature.

Annual Land Rent : Land rent payable to JTC is about S$203,116.44 per annum presently, excluding GST.

Annual Value : S$2,500,000/-

2008 Master Plan Zoning : “Business 2” with plot ratio 2.5

Market Value : S$42,500,000/- as at 30 September 2010 (Singapore Dollars Forty-Two Million and Five Hundred Thousand Only)

Estimated Reinstatement : S$29,300,000/- Value (Singapore Dollars Twenty-Nine Million and Three Hundred Thousand Only)

______CUSHMAN & WAKEFIELD VHS PTE LTD

E-19 Cushman & Wakefield VHS Pte. Ltd.

Page 20 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

VALUATION SUMMARY

Date of Valuation : 30 September 2010

Address : 218 Pandan Loop Singapore 128408

Legal Description : Lot 5802A of Mukim 5

Tenure : Leasehold 30 + 30 years commencing from 16 September 1989

Registered Lessee : Freight Links Express Air Systems Pte Ltd

Brief Description : A purpose-built cold storage warehouse for food with ancillary office building located along Pandan Loop, off West Coast Highway. It is situated within Jurong Industrial Estate, some 13 km away from the city centre at Raffles Place.

The warehouse complex comprises two separate buildings – a double-volume single-storey cold store/warehouse building with a small mezzanine office and a 2-storey office building. The warehouse building is provided with cold storage freezers and chillers, loading and unloading bays with dock levellers, fire protection systems, security services, M&E services and connection to public utilities and telecommunication services are provided.

Other improvements on site include a guard house, surface car parking lots, tarmac driveways and boundary fencing.

Year of Completion : The Certificate of Statutory Completion was issued on 9 June 1993.

Land Area : 8,982.70 square metres

Gross Floor Area : Approximately 4,679.89 square metres

Permitted Use : According to the Lease Agreement provided, the property is permitted to be used for food processing, storage and distribution only. Any change of use requires the prior written consent of JTC.

Condition : Fair

E-20 Cushman & Wakefield VHS Pte. Ltd.

Page 21 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Leaseback Terms : The property will be leased back to Freight Links Express Air Systems Pte Ltd (“the Master Tenant”) for a period of 5 years from completion of the sale and purchase of the property. The initial annual net rent payable shall be S$1,050,000, excluding GST, and is subject to rent escalations at 1.5% per annum from year 2 onwards.

Annual Land Rent : Land rent payable to JTC is approximately S$131,960.28 per annum presently, excluding GST.

Annual Value : S$669,000/-

2008 Master Plan Zoning : “Business 2” with plot ratio

Market Value : S$13,500,000/- as at 30 September 2010 (Singapore Dollars Thirteen Million and Five Hundred Thousand Only)

Estimated Reinstatement : S$7,300,000/- Cost (Singapore Dollars Seven Million and Three Hundred Thousand Only)

______CUSHMAN & WAKEFIELD VHS PTE LTD

E-21 Cushman & Wakefield VHS Pte. Ltd.

Page 22 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

VALUATION SUMMARY

Date of Valuation : 30 September 2010

Address : 18 Gul Drive Singapore 629468

Legal Description : Lot 244C of Mukim 7 (JTC Private Lot A18204)

Tenure : Leasehold 13 years + 10 months and 12 days commencing from 1 November 2004 with a further term of 20 years from 13 September 2018.

Registered Lessee : LTH Logistics (Singapore) Pte Ltd

Brief Description : A purpose-built single-user chemicals (general class 2 & 3) warehouse located along Gul Drive. It is situated within Jurong Industrial Estate, some 21 km away from the city centre at Raffles Place.

The property is a part 2-storey/part 4-storey industrial warehouse building with ancillary offices. Double-volume warehouses are found on the 1st and 3rd storeys and offices/training rooms from the 2nd to 4th storeys. The 3rd storey warehouse was not operational at the time of inspection as there was no vertical access except by way of staircases and by passenger lift. We understand that a ramp from the ground level will be constructed in the near future to provide for direct vehicular access.

The complex is designed and provided with the required fire protection systems and underground retention basins to contain chemical spillages. Services such as security guards, M&E services, passenger lift, loading/unloading bays with dock levellers, public utilities and telecommunication services are also provided.

Other improvements on site include surface parking lots and concrete paved driveways, boundary fencing and metal sliding gates.

Year of Completion : The Certificate of Statutory Completion was issued on 24 June 2010.

Land Area : 8,588.80 square metres.

Gross Floor Area : Approximately 12,344.82 square metres.

E-22 Cushman & Wakefield VHS Pte. Ltd.

Page 23 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Permitted Use : According to the Lease Agreement supplied, the property is permitted to be used for the storage of chemical in drums and bags (general class 2 & 3), packing and repacking, drumming and repacking, drumming and decanting of chemicals (general class 2 & 3), tank depot (storage, repair and servicing), road tanker repairs, ISO-tanker repairs, tanks and tankers frame fabrication and storage of mechanical tanker/steel parts and servicing of vehicles (prime movers, trailers, forklifts and tankers) only. Any change of use requires the written consent of JTC.

Condition : Good. Part of the 3rd storey was undergoing resurfacing works and the vehicular ramp access was not completed at the time of inspection. We have assumed that these works will be completed within the master lease period.

Leaseback Terms : The property will be leased back to LTH Logistics (Singapore) Pte Ltd (“the Master Tenant”) for a period of 5 years from completion of the sale and purchase of the property. The initial annual net rent payable shall be S$2,720,000, excluding GST, and is subject to rental escalations at 1.5% per annum from year 2 onwards.

Annual Land Rent : Land rent payable to JTC is approximately S$115,175.76 per annum presently, excluding GST.

Annual Value : S$109,000/-

2008 Master Plan Zoning : “Business 2” with plot ratio 1.4

Market Value : S$34,200,000/- as at 30 September 2010 (Singapore Dollars Thirty-Four Million and Two Hundred Thousand Only)

Estimated Reinstatement : S$16,700,000/- Value (Singapore Dollars Sixteen Million and Seven Hundred Thousand Only)

______CUSHMAN & WAKEFIELD VHS PTE LTD

E-23 Cushman & Wakefield VHS Pte. Ltd.

Page 24 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

VALUATION SUMMARY

Date of Valuation : 30 September 2010

Address : 30 and 32 Tuas Avenue 8 Singapore 639246/ 639247

Legal Description : Lot 2927N of Mukim 7

Tenure : Leasehold 30 years commencing from 1 September 1996 with a further term of 30 years

Registered Lessee : Freight Links Fabpark Pte. Ltd.

Brief Description : A part 2/ part 4-storey industrial building comprising 3 adjoining blocks located along Tuas Avenue 8, within Jurong Industrial Estate and some 23.0 km away from the city centre at Raffles Place.

Block 1 accommodates production areas on 1st storey and ancillary office on the 2nd storey. Block 2 accommodates production and office areas 1st storey and ancillary offices on the 2nd storey. Block 3 is a 4-storey building with loading/unloading area, production areas and warehouse on the 1st storey; production areas on the 2nd storey; Research and Development room, canteen and kitchen on the 3rd storey; and the production areas on the 4th storey. The building is provided with fire protection systems, security services, air-conditioning provision to the offices, M&E services, cargo lifts and connection to public utilities and telecommunication services.

Other improvements on site include two security guardhouses, bin centre, open surface car parking lots, koi pond and concrete paved driveways.

Year of Completion : The Certificate of Statutory Completion (CSC) was issued on 19 February 1997 for original completion. Two addition & alteration works were carried out subsequently and CSCs were issued on 17 September 1998 & 6 March 1999 respectively.

Land Area : 14,598.90 square metres.

Gross Floor Area : Approximately 14,757.27 square metres.

Permitted Use : To be used for the purpose of semiconductor assembling, testing, electrical wafer sorting and electroplating only. Any change of use requires the prior written consent of JTC.

Condition : Good.

E-24 Cushman & Wakefield VHS Pte. Ltd.

Page 25 VALUATION OF A PORTFOLIO OF INDUSTRIAL PROPERTIES IN SINGAPORE ______

Leaseback Terms : The property will be leased back to Freight Links Fabpark Pte. Ltd. (“the Master Tenant”) for a period of 5 years with effect from completion of the sale and purchase of the property. The annual net rental is S$1,900,000/- for year 1 excluding GST, and is subject to rental escalations at 1.5% per annum from year 2 onwards.

Annual Land Rent : Land rent payable to JTC is S$180,735.60 per annum presently, excluding GST.

Annual Value : S$1,485,000/-

2008 Master Plan Zoning : “Business 2” with plot ratio 1.4

Market Value : S$24,000,000/- as at 30 September 2010 (Singapore Dollars Twenty-Four Million Only)

Estimated Reinstatement : S$17,500,000/- Value (Singapore Dollars Seventeen Million and Five Hundred Thousand Only)

______CUSHMAN & WAKEFIELD VHS PTE LTD

E-25 E-26 E-27 E-28 E-29 E-30 E-31 E-32 E-33 E-34 E-35 E-36 E-37 E-38 E-39 E-40 E-41 E-42 E-43 E-44 E-45 E-46 E-47 E-48 E-49 [This page is intentionally left blank] APPENDIX F

Independent Review of the Industrial Property Market in Singapore Prepared for Sabana Real Estate Investment Management Pte Ltd (SREIM)

July 2010

F-1 F-2 Contents

Section One – Introduction ...... 1 1.1 Background of Study...... 1

1.2 Terms of Reference...... 1

Section Two – Overview of Singapore’s Economy ...... 2 2.1 The Singapore Economy...... 2

2.2 Economic Structure ...... 3

2.3 Business Environment ...... 5

2.4 Trade...... 5

2.5 Manufacturing and Logistics Sectors...... 6

2.6 Key Government Strategies and Policies...... 8

2.6.1 Economic Strategies Committee – Focus on Manufacturing...... 8 2.6.2 Budget 2010...... 9 2.6.3 Jurong Island: Petrochemical Hub ...... 9 2.6.4 Consumer Business and F&B Industry ...... 9 2.6.5 Logistics-related Policies and Schemes ...... 10 2.6.6 The Role of Infocomm in Singapore’s Economy...... 10 2.7 Summary...... 11

Section Three – Overview of Industrial Property Market...... 12 3.1 Introduction ...... 12

3.2 Overview of Single-User Factory Real Estate Market ...... 13

3.3 Overview of Multiple-User Factory Real Estate Market...... 16

3.4 Overview of Warehouse Real Estate Market ...... 19

3.5 Overview of Business Park...... 23

3.6 Government Land Sales...... 26

3.7 Market Outlook ...... 27

Independent Review of the Industrial Property Market in Singapore F-3 Section Four – Review of Portfolio...... 29 4.1 Introduction ...... 29

4.2 Review of Subject Properties...... 30

4.2.1 Properties by Types ...... 32 4.3 Site & Micro-Market Analysis...... 38

4.3.1 Properties in the West Region ...... 38 4.3.2 Properties in the Central Region...... 39 4.3.3 Properties in the North-East Region ...... 39 4.3.4 Properties in the East Region ...... 40 4.4 SWOT Analysis...... 41

4.5 Conclusion...... 46

Limiting Conditions

Independent Review of the Industrial Property Market in Singapore F-4 Section One Introduction

1.1 Background of Study

DTZ has been appointed by Sabana Real Estate Investment Management Pte Ltd (SREIM) to conduct an independent review of the industrial property market in Singapore with respect to its portfolio of Shariah-certified properties for listing on the Singapore Exchange.

The property portfolio comprises 15 industrial properties in West, Central, North-east and East Regions in Singapore, and contains hi-tech industrial space, warehousing & logistics space, conventional factory space.

1.2 Terms of Reference

Our terms of reference are: x To provide an overview of Singapore’s economy; x To review Singapore’s industrial property market, highlighting key demand drivers and analyse how the supply pipeline may impact the industrial property market. A review of rental trends with a 2-year forecast of market rental values of the property type; and x To review the portfolio of properties.

The properties in the portfolio are as follows: High-tech Industrial Space 1. 151 Lorong Chuan (New Tech Park) 2. 8 Commonwealth Lane (Utraco Greentech) 3. 9 Tai Seng Drive (Geo-Tele) 4. 200 Pandan Loop (Pantech 21) 5. 15 Jalan Kilang Barat (Frontech Centre)

Chemical Warehouse & Logistics 6. 33 & 35 Penjuru Lane 7. 18 Gul Drive 8. 1 Tuas Avenue 4

Warehouse & Logistics 9. 34 Penjuru Lane 10. 51 Penjuru Road 11. 26 Loyang Drive 12. 3 Kallang Way 2A 13. 218 Pandan Loop

General Industrial Space (Single & Multiple-Tenanted Buildings) 14. 123 Genting Lane 15. 30 & 32 Tuas Avenue 8

Independent Review of the Industrial Property Market in Singapore Page 1 F-5 Section Two Overview of Singapore’s Economy

2.1 The Singapore Economy Singapore’s real Gross Domestic Product (GDP) growth between 2000 and 2009 averaged 4.1% annually, outpacing major advanced economies (G7 1 ) as well as other developed Asian economies such as Hong Kong, South Korea and Taiwan.

The global economy experienced a downturn in 2009, stemming from the US sub-prime crisis which started in Q3 2008. Consequently, Singapore’s open economy contracted by 1.3% in 2009. Such contraction was also experienced during the dotcom bust in 2000/2001. Following challenging market conditions in 2009, Singapore has rebounded well recording YOY economic growth of 15.5% in Q1 2010. This was due to strong growth in the manufacturing sector, particularly in the electronics and biomedical industries, as well as strong performance by the service producing industries.

Economic estimates for April and May 2010 indicated that the economy continued its robust growth, with real GDP expected to grow by 19.3% compared with the same period last year. Similar to Q1 2010, the manufacturing sector was the primary driver of economic activity in Q2 2010 and its output expanded by 44.5% YOY. This was due to the continued surge in biomedical manufacturing output as well as strong expansion in the electronics industry.

Improved economic prospects in the US, driven by broad growth in the manufacturing and services sectors, positive business conditions, better earning prospects and stronger consumer spending, coupled with buoyant global demand for electronic goods and commodities will benefit the economic outlook for Singapore. In view of these conditions, the Ministry of Trade and Industry (MTI) has upgraded its 2010 GDP growth forecast significantly from 7.0% - 9.0% in April 2010 to 13.0% - 15.0% in July 2010 (Figure 2.1).

Figure 2.1: Real GDP Growth YOY %

16 In line with the exceptional economic performance in Q1 2010 (15.5% YOY) and April-May 2010 (19.3% YOY), MTI 14 expects GDP growth for 2010 to be between 13.0% and 15.0%, and inflation to be between 2.5% and 3.5%. 12

6 Average Annual Growth between 2000 and 2009: 4.1% 4

0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 F -2

GDP Growth (%) Annual Inflation Rate (%)

Source: MTI, Department of Statistics (DOS), DTZ Consulting, July 2010

1 G7 comprises Canada, France, Germany, Italy, Japan, United Kingdom, and United States.

Independent Review of the Industrial Property Market in Singapore Page 2 F-6 With regard to the longer term economic outlook, Oxford Economics’ GDP growth projections for 2011 to 2014 in Q2 2010 are relatively sanguine, reflecting annual GDP growth for Singapore between 4.8% and 5.4% over the period, up from the previous estimations in Q1 2010 (3.6% - 4.2%) (Figure 2.2). The optimistic economic outlook over the next four years will benefit and expand the manufacturing and logistics sectors, which in turn will increase industrial space demand.

Figure 2.2: Projected Real GDP Growth

YOY % 6 5.4 5.1 5.1 5 4.8

4.2 4 3.8 3.6 3.7

0 2011 F 2012 F 2013 F 2014 F

GDP Forecast (As at Q1 2010) GDP Forecast (As at Q2 2010)

Source: Oxford Economics, DTZ Consulting, July 2010

2.2 Economic Structure Since the 1990s, Singapore’s economy has primarily been supported by its twin engines of growth, namely the manufacturing and service sectors. These sectors provide a diversified economic base for the economy and have helped sustain positive economic performance over the long-term. Major manufacturing industries include the electronics, chemicals (oil refining), biomedical, precision and transport engineering as well as Food and Beverage (F&B) industries, while the service clusters are primarily dominated by the financial and business sectors.

The manufacturing sector constituted about 23% of GDP in 2009, followed by the cargo generating wholesale and retail trade sector (16%). The financial and business services sectors also constituted a significant proportion of GDP (24%).

Singapore is an internationally established logistics hub. Its strategic location, excellent seaport and airport infrastructure and established logistics hub status have attracted many international companies to locate their regional distribution centres in Singapore, positioning the city as Asia’s leading distribution hub. Today, Singapore is a transhipment hub for products originating in South-east Asia. As a major transhipment centre in the region, the transport and storage services sector, which largely drives the logistics industry, accounted for about 9% of Singapore’s GDP in 2009, employing over 129,000 people (Figure 2.3).

Independent Review of the Industrial Property Market in Singapore Page 3 F-7 Figure 2.3: 2009 GDP Composition by Industry (at 2005 market prices)

Others Manufacturing 17% 23%

Business Services 12% Construction 4% Utilities 1% Financial Services 12% Wholesale & Retail Information & Trade Communications 16% 4% Hotels & Restaurants Transport & Storage 2% 9%

Source: MTI, DOS, DTZ Consulting, July 2010

The manufacturing and wholesale and retail sectors continue to play a major role ensuring Singapore’s competitive advantage as a global hub. It constitutes almost half of GDP and contributes significantly to GDP growth (Figure 2.4). To keep up with the increasingly competitive global environment, more focus has been placed on higher value-added and knowledge and innovation-based activities (e.g. research and development), particularly for the manufacturing industries (e.g. energy and biotechnology).

Figure 2.4: % Contribution to Growth in Real GDP (at 2005 Market Prices)

%-point contribution

20 The manufacturing sector, a driver of industrial space demand, contributes signficantly to economic growth.

Similarly, the wholesale and retail trade sector, which drives the 15.5% 15 logistics sector, plays a major role in economic growth.

10 8.6% 8.5% 2.8

5 1.8% 1.5 7.2 1.4 -1.3% 3.1 1.6 0.5 0 -1.1 -1.0 2006 2007 2008 2009-1.4 Q1 2010

-5 Manufacturing Construction Utilities Wholesale & Retail Trade Transport & Storage Hotels & Restaurants Information & Communications Financial Services Business Services Others (Including taxes on products)

Source: MTI, DOS, DTZ Consulting, July 2010

Independent Review of the Industrial Property Market in Singapore Page 4 F-8 The Economic Strategies Committee (ESC), which was established to guide Singapore’s next phase of growth, aims to retain a globally competitive manufacturing sector contribution at between 20% and 25% of the economy, along with a continued shift into higher value-added manufacturing activities.

2.3 Business Environment Singapore is Asia’s leading business and financial centre and reputed internationally as one of the most business-friendly cities in the world. Singapore has been ranked as the easiest place to do business2 for the past four years. Singapore has also been ranked 2nd worldwide as the city with the best investment potential3 for 16 consecutive years as well as the most competitive country4 in the world in 2010.

Furthermore, political stability, fair judiciary, high transparency, accommodative foreign investment policies, access to local finance, well developed infrastructure, highly skilled cosmopolitan workforce and global connectivity establishes Singapore as an attractive and dynamic global business location.

Singapore’s conducive business environment has attracted many multinational corporations (MNCs) to locate their headquarters or regional distribution centres here. Today, there are more than 7,000 MNCs in Singapore, with a significant proportion from the manufacturing and logistics sectors. Looking ahead, MNCs will continue to drive the economy as well as the industrial property market. With the ESC aiming to entrench Singapore as a premier location in Asia for MNCs as well as Small-to-Medium Enterprises (SMEs), these sectors are expected to grow significantly and this will benefit the industrial property market.

2.4 Trade Trade, a fundamental of economic growth, drives the industrial property market, particularly the logistics sector. Singapore is ranked 1st for having the most open economy for international trade and investment in the Global Enabling Trade Report 2009 by the World Economic Forum. Over the years, Singapore has established itself as a leading logistics hub with significant air and sea cargo throughputs. As such, the logistics and supply chain management industry contributes significantly to the economy.

External trade growth has been relatively robust for the past decade, with an average annual growth of 7.0% - 8.0%, except during economic downturns when global demand was weak. During the global economic crisis, Singapore’s external trade declined by 11.5% from SGD 919.6 bil5 in 2008 to SGD 814.3 bil in 2009.

Notwithstanding, Singapore’s total trade improved in Q1 2010, reaching SGD222.3 bil for the quarter, reflecting a YOY increase of 19.0% (Figure 2.5). Recovery has largely been driven by the increase in oil, electronics and biomedical exports. In line with the positive economic outlook, external trade is expected to improve over time, which will support growth of the manufacturing and logistics sectors.

2 Doing Business 2010 Rank by The World Bank Group. 3 Business Environment Risk Intelligence (BERI) Report in April 2010. 4 International Institute for Management Development (IMD) World Competitiveness Yearbook 2010. 5 At 2006 prices.

Independent Review of the Industrial Property Market in Singapore Page 5 F-9 Figure 2.5: Annual Growth in External Trade6 % 25

0 2000 2001 2002 2004 2005 2006 2007 2008 2009 Q1 2010

-5

-10

-15

Total Trade Exports Imports

Source: International Enterprise (IE) Singapore, DOS, DTZ Consulting, July 2010

2.5 Manufacturing and Logistics Sectors Singapore’s manufacturing sector is primarily driven by six industry clusters, with the electronics and chemicals industries attracting majority (67%, SGD 9.1 bil) of the Fixed Asset Investments7 (FAI) and 31% (SGD 2.1 bil) of Total Business Spending (TBS), indicating the significance of these sectors in the industrial property market. While the logistics sector constitutes a small proportion (2%, SGD 0.2 bil) of FAI, it attracts a TBS of SGD 0.5 bil (7%), reflecting its growth potential (Figure 2.6).

Figure 2.6: Value-Added, Fixed Asset Investment and Total Business Spending (2009) SGD bil 14.0

12.0 SGD0.2 bil, 2% SGD0.2 bil, 2% 10.0

8.0

SGD4.9 bil, 41% 6.0 SGD0.5 bil, 7%

4.0

SGD1.8 bil, 14% SGD3.1 bil, 26% 2.0 SGD1.8 bil, 27% SGD0.9 bil, 7% SGD0.7 bil, 6% SGD1.1 bil, 9% SGD0.3 bil, 4% 0.0 SGD0.3 bil, 4% Value-Added Fixed Asset Investment Total Business Spending

Biomedical Manufacturing Chemicals Education Electronics Engineering & Environmental Services General Manufacturing Industries Healthcare Services HQ & Professional Services Infocomms & Media Logistics Precision Engineering Transport Engineering

Source: Economic Development Board (EDB), DTZ Consulting, July 2010

6 Data is not available for 2003. Data before 2003 does not include trade with Indonesia. 7 Includes investment in real estate.

Independent Review of the Industrial Property Market in Singapore Page 6 F-10 Growth among the industry clusters in recent years have been concentrated in the biomedical e.g. pharmaceuticals and “medical technology” and transport engineering e.g. aerospace clusters. While the electronic cluster experienced gradual growth between 2004 and 2007 and was significantly affected by the contraction in global demand in 2009, it experienced a surge in Q1 2010, in line with recovery of the global economy (Figure 2.7).

Figure 2.7: Index of Industrial Production (Manufacturing)

Index of Industrial Production (2007 = 100) 140

130

120

110

100

40 2004 2005 2006 2007 2008 2009 Q1 2010 Electronics Chemicals Biomedical Precision Engineering Transport Engineering General Manufacturing Industries

Source: DOS, DTZ Consulting, July 2010

The shift in focus to higher value-added manufacturing activities is evident, as growth in the general manufacturing cluster remains relatively stagnant, with more emphasis on burgeoning industries such as biomedical, transport engineering and more recently, clean technology. The logistics industry is also riding on this paradigm shift, with more than half of imports (54%, SGD 192 bil) and exports (64%, SGD 250 bil) focusing on machinery, equipment and chemicals.

General business expectations over the next six months for the manufacturing, wholesale trade as well as transport and storage sectors are optimistic, reflecting strong market confidence. The encouraging economic outlook for these sectors is likely to benefit the industrial property market (Figure 2.7).

Independent Review of the Industrial Property Market in Singapore Page 7 F-11 Figure 2.7: General Business Expectations (April to September 2010)8 Net Weighted Balance (%) 80 +70 70

50 +44 +39 40

+29 30 +24 +20 20

0 Manufacturing Wholesale Retail Trade Transport and Financial Business Real Estate -10 Trade Storage Services Services

-20 -18

-30

Source: DOS, July 2010

2.6 Key Government Strategies and Policies

2.6.1 Economic Strategies Committee – Focus on Manufacturing In February 2010, the ESC announced a set of recommendations and strategies which have been conceptualised on the basis that Singapore is expected to achieve a 3% - 5% GDP growth over the next decade.

In particular, the strategy of entrenching Singapore as a Global-Asia Hub envisages Singapore as a key base for global players seeking to tap into opportunities offered in a rising Asia and more importantly, as a key global centre for high value-added manufacturing activities. Specifically, this strategy includes:

x Capitalising on Singapore’s market neutrality to offer global businesses a strategic base to manage pan-Asian operations; x Working together with ASEAN partners to realise the vision of a single market under the ASEAN Economic Community by 2015; x Retaining a globally competitive manufacturing sector at 20% - 25% of the economy through complex manufacturing and growing manufacturing-related services e.g. headquarter activities, research and development; and x Establish Singapore as the location for “future-ready” urban solutions.

8 Figure 2.7 depicts the net weighted balance of manufacturers and service providers who feel that the business environment over the next six month is going to be favourable. A higher net weighted balance generally reflects stronger confidence and optimism in such an opinion.

Independent Review of the Industrial Property Market in Singapore Page 8 F-12 2.6.2 Budget 2010 Budget 2010, an expansionary budget, while focusing on increasing productivity, also focuses on incentives and schemes to enhance the industrial landscape. They include:

x Productivity and Innovation Credit – Tax deduction for expenditure in R&D and other qualifying activities, which are mainly aimed at creating higher value-added activities; x National Productivity Fund – A SGD2 bil fund for initiatives customised to specific industries, clusters and enterprises with focus on sectors with potential for large gains e.g. cleantech and medtech was set up, and SGD1 bil will be injected in 2010; x Building capabilities through partnerships – SGD250 mil will be set aside over five years to help local enterprises develop competencies to meet MNCs’ quality and certification requirements; x SGD100 mil will be committed to scale up support for business associations and help them build up capabilities to scale the international markets. Existing supporting agencies in the manufacturing and logistics sectors include the Singapore Manufacturing Association (SMa), the Singapore Logistics Association (SLA) and the Singapore Aircargo Agents Association (SAAA). These agencies were formed to support and grow the logistics industry; x An additional SGD450 mil will be used to fund a programme for government agencies to work with companies to co-develop innovative solutions, including those in the manufacturing and logistics sectors; and x Enhancing industrial land productivity – Land intensification is encouraged through a land intensification allowance for nine selected sectors.

2.6.3 Jurong Island: Petrochemical Hub Jurong Island, the heart of Singapore’s petrochemical industry, with a land mass of about 3,000 ha, was officially completed in 2009. The reclamation for Jurong Island began in 1995, following plans to ensure that there was sufficient land to support growth of the petrochemical industry. It currently hosts more than 95 companies from the US, Europe and Asia including well-established companies such as Shell, Exxon Mobil, DuPont, Huntsman, BAS, Perstorp and Sumitomo Chemical.

Having achieved the goals to ensure that there is sufficient land to house the burgeoning chemical industry and maintain Singapore’s position as a leading global refining and chemical hub, the government’s focus is now on enhancing Jurong Island’s profile to enable stronger integration for greater operating efficiencies by companies and to attract new entrants. According to the MTI, the vision for Jurong Island is for it to become a global energy and chemical hub and intends to move to higher value chemical chains e.g. specialty chemicals and advanced materials as well as partner companies in developing new chemical products.

The Institute of Chemical and Engineering Science (ICES), established in 2002, is expected to play a major role in achieving this vision as its previous collaborations with global companies such as Mitsui Chemicals, has resulted in significant benefits to the petrochemicals industry.

The growth strategy and vision for Jurong Island will generate more industrial space demand in the area, particularly from chemical and chemical-related companies, on both Jurong Island and the mainland.

2.6.4 Consumer Business and F&B Industry Singapore is a key location for Asia Pacific headquarters of consumer companies, including leading international hotel chains such as Intercontinental Hotels Group, Hilton, Starwood Hotels & Resorts Worldwide and top Fast Moving Consumer Goods (FMCG) MNCs such as Procter & Gamble, Unilever, Nestle, Johnson & Johnson and Cadbury Plc. These companies also use Singapore as a base for development of new products and concepts for Asian markets.

Independent Review of the Industrial Property Market in Singapore Page 9 F-13 As at the end of Q1 2010, the F&B industry in Singapore employed almost 150,000 personnel in about 5,200 establishments. The hotels and restaurants sector also contributed SGD1.44 billion to GDP in Q1 2010. With the opening of Marina Bay Sands and Resorts World Sentosa and addition of new hotels, shopping malls and F&B establishments such as Texas Chicken, CUT and Osia, some 5,000 new jobs are expected to be created in the industry over the next three years.

Growth of the consumer business and F&B industry is expected to increase the demand for industrial space e.g. cold stores and food processing facilities. Currently, major food hubs in Singapore include designated areas in Bedok, Woodlands, Jurong and Tuas.

2.6.5 Logistics-related Policies and Schemes Logistics-related policies and schemes by the government and associations include:

x The Logistics Capability Development Programme - launched by SPRING Singapore in 2006 to provide resources for local logistics SMEs to upgrade their capabilities; x Approved Shipping and Logistics Scheme – to offer concessionary tax rate for shipping agencies and international logistics operators as well as incentives to freight forwarders which provide freight and logistics services from Singapore; x Approved International Shipping Enterprise Scheme - to encourage international ship-owning and ship-operating companies to establish operations in Singapore by granting tax exemptions on qualifying shipping incomes for 10 years; x Changi Airport Growth Initiative (CAGi) – to support Changi Airport’s long term growth by incentivising airlines and other airport partners to boost passenger and cargo traffic at Changi and to strengthen Changi Airport’s air traffic network; x Zero GST Warehouse Scheme – to exempt tax for approved warehouse operators; and x Free Trade Agreements (FTAs) – to eliminate trade barriers and facilitates cross border movement of goods and services between territories, as well as increase price competitiveness of exports.

2.6.6 The Role of Infocomm in Singapore’s Economy The Infocomm Development Authority (IDA) envisages that Singapore’s shift towards becoming a high value manufacturing hub and supply chain nerve centre will be enabled by infocomm, part of iN2015, a 10-year masterplan conceived in 2005 to grow Singapore’s infocomm sector and to use infocomm technologies to enhance the competitiveness of key economic sectors.

The manufacturing sector will need to leverage on infocomm to enable end-to-end connections across manufacturing supply chains, complex manufacturing activities e.g. design and innovative business models. Meanwhile, infocomm will also critically support the logistics sector as Singapore will be the supply chain nerve centre for companies to monitor and control their global supply chains.

IDA has conceived several initiatives that are expected to enhance the growth of the manufacturing and logistics, which include:

x Infocomm@SeaPort - a three-year SGD12 million joint initiative commencing in 2007 between the Maritime and Port Authority of Singapore (MPA) and IDA, which aims to catalyse business transformation and operational excellence in the port community through the use of infocomm. It also identifies and implements infocomm projects that will further entrench Singapore’s position as a leading global hub port; x TradeXchange® - a neutral and secure trade platform that facilitates the exchange of information within the trade and logistics community. Businesses use this as a 'one-stop platform' to enter and access trade-related information and also enjoy additional information services developed by third-party providers like banks and logistics providers; x Collaborative High Tech Manufacturing Plan (CHTMP) - the CHTMP aims to develop integrated and responsive high-tech manufacturing supply chains in Singapore, linked by Information and Communication Technologies (ICT) and providing end-to-end services from product design to customer management. It also aims to build dynamic end-to-end collaborative supply chains through the use of ICT as a strategic tool;

Independent Review of the Industrial Property Market in Singapore Page 10 F-14 x RFID Initiative - a SGD10 million plan to develop Radio Frequency Identification (RFID) technology to augment Singapore's position as a key logistics hub. The plan will build RFID-enabled supply chain clusters by bringing together manufacturers, logistics service providers, retailers, infrastructure providers and solutions providers across various industry sectors in Singapore; and x Digital Manufacturing Programme – this programme aims to establish Singapore as a high value manufacturing hub by enabling complex manufacturing activities. The Collaborative Design Initiative falls under this programme. This initiative will improve multi-company manufacturing product design processes by integrating members of a product value chain, addressing efficiency gaps and reducing product design lead times.

The IDA also highlights the strategy of having more premium9 Data Centres (DC) of MNCs and enterprises such as banks and telco carriers to locate in Singapore, which will entrench Singapore’s position as an infocomm and media hub. In April 2010, the IDA proposed to establish a Data Centre Park, a specialised industrial park for DCs with infrastructure, facilities and design guidelines supportive of premium DCs. With the government spearheading MNCs and enterprises to locate their DCs in Singapore, the demand for industrial space for data centres is expected to expand in the near future.

2.7 Summary Strong support from the government, significant development in the industrial landscape (e.g. Jurong Island), collaborative efforts from business associations as well as the emphasis of infocomm as an enabler for the manufacturing and logistics sectors will complement the economic growth potential of these sectors in the mid- to long-term.

9 According to the IDA, premium DCs are defined as DCs with dual feeds for its utilities such as power and chilled water, multiple telecoms connectivity options and redundant designs in its infrastructure components. In industry terms, it is commonly classified as Tier 3 and above DCs according to the technical standards set out by the Uptime Institute (an association for the DC industry and often used as an industry reference).

Independent Review of the Industrial Property Market in Singapore Page 11 F-15 Section Three Overview of Industrial Property Market

3.1 Introduction

There is a total of 398 mil sq ft of industrial space in Singapore as at Q1 2010. While 85% (340 mil sq ft) is private stock, the rest (85 mil sq ft) is publicly owned by the government10.

Industrial stock in Singapore is generally classified as single-user factory (222 mil sq ft, 56%), multiple-user factory (89 mil sq ft, 22%), warehouse space (74 mil sq ft, 19%) and business park space (13 mil sq ft, 3%) (Figure 3.1).

Figure 3.1: Total Industrial Stock (Q1 2010)

Business Park 3% Warehouse Space 19% Multiple-User Factory 22%

Single-User Factory 56%

Source: Urban Redevelopment Authority (URA), DTZ Consulting, July 2010

The Urban Redevelopment Authority (URA) defines the different space types as follows:

- Single-user factory: refers to “factory building that has a single occupier and is used for a purpose solely related to that occupier”;

- Multiple-user factory: refers to “factory building that is capable of being strata subdivided and thus could be used by multiple users”;

- Warehouse space: refers to “covered space used or intended to be used predominately as storage area for raw materials, semi-finished or finished goods. The statistics exclude space in shophouses used for storage”; and

- Business park: refers to “areas for non-pollutive industries and businesses that engage in high-technology, research and development, high value-added and knowledge-intensive activities. Science parks where the primary activity is research and development are included in the Business Park category from 3rd Quarter 2002”.

10 Refers to public authorities which are government ministries, departments or statutory boards created by an Act of Parliament. Independent Review of the Industrial Property Market in Singapore Page 12

F-16 While there is a higher concentration of warehouse space (58%) and single-user factory (53%), located in the West Region, in the Jurong and Tuas areas, there is a higher concentration of multiple-user factory (47%) and business parks (51%) located in the Central Region. Major industrial estates in Singapore include Jurong Industrial Estate (general industries), Tuas (biomedical), Jurong Island (petroleum and chemicals), Changi North Industrial Park (logistics), Woodlands East Industrial Park (food industries) and Sungei Kadut Industrial Park (heavy industries) (Map 3.1). The Central Region consists mainly of multiple-user factories for higher- valued activities, e.g. data centres, while the East Region contains electronics and aviation/ airport related clusters, for example the Tampines Wafer Fab Park, Pasir Ris Wafer Fab Park, Advanced Display Park and Airport Logistics Park (ALPS).

North Region

North-East Region

Changi West Region Airport

East Region Central Region Tuas Penjuru Jurong Port

PSA Singapore Terminals

Source: DTZ Consulting, July 2010

3.2 Overview of Single-User Factory Real Estate Market

About 56% (222 mil sq ft) of total industrial stock in Singapore as at Q1 2010 is single-user factory. 54% of the stock is located in the West Region and 19% in the North (Figure 3.2 a).

Independent Review of the Industrial Property Market in Singapore Page 13

F-17 Figure 3.2a: Distribution of Single-User Factory (Total Stock)

Central Region East Region 8% 13%

North-East Region 6%

North Region 19% West Region 54%

Source: URA, DTZ Consulting, July 2010

About 84% (185 mil sq ft) of the total single-user factory stock is privately owned. Majority of the private stock is in the West Region (92 mil sq ft, 52%), followed by North Region (39 mil sq ft, 21%) (Figure 3.2 b).

Figure 3.2b: Distribution of Single-User Factory sq ft

120,000,000

100,000,000 96,217,684

80,000,000

60,000,000

38,981,259 40,000,000

25,468,442 21,354,641 20,000,000 11,479,495 13,219,974 4,675,009 3,706,495 2,753,621 4,011,146 0 East Region North-East Region North Region West Region Central Region

Private Public Source: URA, DTZ Consulting, July 2010

Annual supply for private single-user factory in the last 10-years averaged 4.6 mil sq ft. Occupancy rates have been improving since 2002, in line with economic growth. More built-to- suit industrial buildings have also emerged in the market in recent years. These spaces tend to be of better quality. As at Q1 2010, occupancy rate for single-user factory averaged 94% (Figure 3.3).

Independent Review of the Industrial Property Market in Singapore Page 14

F-18 Figure 3.3: Annual Supply and Demand of Private Single-User Factory

'000 sq ft Occupancy Rate

12,000 95

10,000 94

8,000 93

6,000 92

4,000 10-year average supply: 4.6 mil sq ft 91

2,000 4-year average potential supply: 1.7 mil sq ft 90

- 89 2002 2003 2004 2005 2006 2007 2008 2009 2010 Q1 2010 Q2- 2011 F 2012 F 2013 F Q4

Annual Supply Annual Demand Occupancy Source: URA, DTZ Consulting, July 2010

A total of 6.1 mil sq ft of single-user factory potential supply is expected between Q2 2010 and 2013 (Figure 3.3). The average potential supply for 2010 to 2013 is only 1.7 mil sq ft, which is 60% less than the 4.6 mil sq ft average supply per annum for the last decade. As many of these are purpose-built spaces developed mainly for owner occupation, most of the space is expected to be absorbed (Table 3.1). Majority (62.7%) of the new supply will be in the West Region.

Table 3.1: Major Potential Supply of Private Single-User Factory Name of Development/ Estimated Estimated Developer Location Year of NLA (sq ft) TOP Neste Oil Singapore Pte Ltd Tuas South Avenue 9 241,314 2H 2010 Sysland Pte Ltd Tuas Bay Drive 686,694 2H2010 Rolls-Royce Singapore Pte Ltd Seletar Aerospace View 558,269 2011 Hydrochem (S) Pte Ltd Boon Keng Road/ 291,359 2012 Bendemeer Road Source: URA, DTZ Research, DTZ Consulting, July 2010

The Central Region has traditionally been commanding higher median rents compared to the rest of the regions, due to its location and often better-specified space. As at Q2 2010, median rents11 for private single-user factory was at $2.17 per sq ft per month, compared to the average $1.93 per sq ft per month islandwide (Figure 3.4).

11 The median rentals are calculated by URA based on rental data obtained from Inland Revenue Authority of Singapore (IRAS), for space owned by the private sector only.

Independent Review of the Industrial Property Market in Singapore Page 15

F-19 Figure 3.4: Median Rent for Private Single-User Factory $ psf per month

2.5

1.5

0.5

0 2000Q2 2001Q2 2002Q2 2003Q2 2004Q2 2005Q2 2006Q2 2007Q2 2008Q2 2009Q2 2010Q2

Islandwide Central Region East Region North-East Region West Region

Source: URA, DTZ Consulting, July 2010

3.3 Overview of Multiple-User Factory Real Estate Market

3.3.1 Private Multiple-User Factory There is total of 89 mil sq ft of multiple-user factory space in Singapore, representing 22% of the total stock as at Q1 2010. 47% of the total stock is located in the Central Region. Some 79% (71 mil sq ft) of the multiple-user factory stock is privately owned and 50% (35 mil sq ft) of the private stock is located in the Central Region (Figures 3.5 a & b).

Figure 3.5a: Distribution of Multiple-User Factory (Private and Public Stock)

East Region 14%

North-East Region 12% Central Region 47%

North Region 10%

West Region 17%

Source: URA, DTZ Consulting, July 2010 Figure 3.5b: Distribution of Multiple-User Factory

Independent Review of the Industrial Property Market in Singapore Page 16

F-20 sq ft 40,000,000

34,824,209 35,000,000

30,000,000

25,000,000

20,000,000

15,000,000 13,686,363

10,000,000 8,476,916 7,381,883 7,252,414 6,382,820 4,955,204 5,000,000 2,579,945 2,246,566 1,375,153 0 East Region North-East Region North Region West Region Central Region

Private Public Source: URA, DTZ Consulting, July 2010

There was an average annual supply of 2.3 mil sq ft of private multiple-user factory in the last decade. Occupancy dipped to a low of 79.5% in 2002 during the economic downturn but picked up subsequently to peak at 89.8% in 2008. The global economic downturn has led to a slight fall in occupancy to 85.9% as at Q1 2010 (Figure 3.6).

Figure 3.6: Annual Supply and Demand for Private Multiple-User Factory

'000 sq ft Occupancy Rate

10,000 92

90 8,000

6,000 86

4,000 84

10-year average supply: 2.3 mil sq ft 82 2,000 4-year average potential supply: 1.5 mil sq ft

80 - 2002 2003 2004 2005 2006 2007 2008 2009 2010 Q1 2010 Q2- 2011 F 2012 F 2013 F Q4 78

-2,000 76

-4,000 Annual Supply Annual Demand Occupancy 74

Source: URA, DTZ Consulting, July 2010

A total of 5.6 mil sq ft of new multiple-user factory space is expected to be completed between Q2 2010 and 2013, which averages 1.5 mil sq ft per annum for the four years. This is 35% lower

Independent Review of the Industrial Property Market in Singapore Page 17

F-21 than the average annual supply of 2.3 mil sq ft in the last decade. About 41% (2.3 mil sq ft) of new supply will be located in the Central Region. Some 64% of the new supply is scheduled to obtain their Temporary Occupancy Permit (TOP) in 2011. Table 3.2 lists the major potential supply of private multiple-user factory to be completed between 2Q2010 and 2012.

Table 3.2: Major Potential Supply of Private Multiple-User Factory Name of Development Estimated Estimated Location Year of NLA (sq ft) TOP Woodlands BizHub Woodlands Industrial Park 328,430 2010 Midview City Sin Ming Drive Lane 1,132,250 2011 West Park BizCentral Tanjong Kling 1,159,965 2011 Wee Hur (Woodlands) Pte LTd Woodlands Industrial Park 551,915 2012 Source: URA, DTZ Research, DTZ Consulting, July 2010

As at Q2 2010, median rent for islandwide private multiple-user factory was $1.70 per sq ft per month is relatively lower than that for single-user factory at $1.93 per sq ft. The best performing location for private multiple-user factory was the East Region at $2.07 per sq ft per month, while the worst performing sector was the North-East Region, at $1.50 per sq ft per month (Figure 3.7).

Figure 3.7: Median Rent for Private Multiple-User Factory $ psf per month

2.5

1.5

0.5

0 2000Q2 2001Q2 2002Q2 2003Q2 2004Q2 2005Q2 2006Q2 2007Q2 2008Q2 2009Q2 2010Q2

Islandwide Central Region East Region North-East Region West Region

Source: URA, DTZ Consulting, July 2010

3.3.2 High-tech Industrial Space As Singapore develops into a global leader in value manufacturing, the demand for high-tech industrial space will increase.

Similar to business parks, high-tech industrial space often offer high building specifications e.g. higher floor loadings, floor-to-ceiling heights and building automation system. They differ in the geographical setting, whereby high-tech industrial space are individual buildings, while business parks are areas zoned as such with stringent planning conditions.

Independent Review of the Industrial Property Market in Singapore Page 18

F-22 The majority of the high-tech industrial space is for light and clean business use such as research & development, data centre, product design, development and testing, showrooms and service centres. There is no standard classification for high-tech industrial space and the term “high-tech industrial space” is broadly understood in the market. High-tech industrial space is usually occupied by high-tech users for data centres, R&D and other knowledge-based uses. URA classifies them together with conventional industrial space. DTZ Research estimates that there is about 14 mil sq ft of high-tech industrial space as at Q1 2010. There is no known potential supply of high-tech industrial space in the next two years.

Due to the quality of building specifications and facilities, high-tech industrial space generally commands higher rent than traditional multiple-user factory. We therefore analysed the 75th percentile median rent as a rental proxy for private high-tech industrial space.

Rent for high-tech industrial space was relativity stable. High-tech industrial spaces are good alternatives for qualifying back-end office uses12. During 2007 and 2008, when there was limited office supply and prime rents increased dramatically in the CBD, demand for high-tech industrial space increased as some companies relocated their qualifying back-end office uses12 to high-tech buildings and business parks. Therefore, although the economy has slowed since 2007, the rent for high-tech industrial space remains healthy. As at Q2 2010, rent for high-tech industrial space averaged $2.07 per sq ft per month (Figure 3.8). High-tech industrial space in the East Region commands the highest rent at $2.30 per sq ft per month, followed by those in the West Region, averaging $2.06 per sq ft per month.

Figure 3.8: Median Rent of Private High-tech Industrial Space13 $ psf per month

2.5

1.5

0.5

0 2000Q2 2001Q2 2002Q2 2003Q2 2004Q2 2005Q2 2006Q2 2007Q2 2008Q2 2009Q2 2010Q2

Islandwide Central Region East Region North-East Region West Region

Source: URA, DTZ Consulting, July 2010

3.4 Overview of Warehouse Real Estate Market

As at Q1 2010, about 19% (74 mil sq ft) of the total industrial stock in Singapore was warehouse space. Almost all (99%) of the warehouse stock is privately owned. In addition to traditional single-storey warehouses and multi-storey warehouses served by cargo lifts, some newer warehouses are designed as ramp-up warehouses with larger floor plates and higher ceiling heights, rendering upper storey space similar to first storey space.

12 Refers to back-end offices which qualify to be housed in industrial space 13 There is no information on the median rent trend for private business park space in the East Region.

Independent Review of the Industrial Property Market in Singapore Page 19

F-23 A key logistics infrastructure in Singapore is the Port of Singapore, which is one of the largest in the world in terms of throughput14. About 77% of the total stock as at Q1 2010 is located near seaport and container ports (58% in the West Region near Jurong Port and 19% in Central Region near the container ports in Tanjong Pagar and Pasir Panjang). Another 13% of the warehouses are located in the East Region, near Changi International Airport (Figures 3.9a & b).

Figure 3.9a: Distribution of Warehouse Space (Private and Public Stock)

East Region Central Region 13% 19% North-East Region 5% North Region 5%

West Region 58%

Source: URA, DTZ Consulting, July 2010

Figure 3.9b: Distribution of Warehouse Space sq ft 45,000,000 42,830,430

40,000,000

35,000,000

30,000,000

25,000,000

20,000,000

15,000,000 13,557,089

9,747,110 10,000,000

5,000,000 3,341,437 3,912,871

76,305 000417,553 0 East Region North-East Region North Region West Region Central Region

Private Public Source: URA, DTZ Consulting, July 2010

Singapore’s cargo terminals are one of the world’s busiest cargo terminals in terms of tonnage. There are two main terminal operators: Jurong Port and PSA. They operate in a number of terminals, specialising in different services.

14 Source: Cargo Systems

Independent Review of the Industrial Property Market in Singapore Page 20

F-24 Jurong Port operates their General Cargo Terminal and Bulk Cargo Terminal in Jurong and Tuas. The terminals are hubs for steel products, metals, mechanical appliances and machinery, cement, copper slag, sugar and project cargo and many others. There are column-free warehouses and open yards for cargo storage and third-party logistics services. There are more than 1.9 mil sq ft of warehousing facilities and 2.3 mil sq ft of open storage yard. In addition to the Free Trade Zone, a number of warehouses are also approved by the London Metal Exchange (LME) Limited for the storage of LME-traded metals. Among many awards, Jurong Port was the winner for “Best Container Terminal Operator – Asia” (Under 1 mil TEUS per annum) of the Asian Freight & Supply Chain Awards for the last three years

The other port operator in Singapore is PSA, which provides comprehensive range of ocean and harbour marine services, terminal-related logistics services and port IT services. They operate four container terminals at Tanjong Pagar, Keppel, Brani and Pasir Panjang. Their core business is transhipment. Shipping lines use PSA for mainly Hub & Spoke (main line operator to feeder) and Cross Strings (main line operator to main line operator) activities. PSA has been awarded Best Container Terminal Operator of the Year by Lloyd’s List Asia Awards for nine years. It was also awarded the Best Global Container Terminal Operating Company in 2010 by Asian Freight & Supply Chain Awards.

In addition, there are a number of logistics parks in Singapore, including: x Airport Logistics Park of Singapore (26 ha) - located near Changi International Airport, mainly for third-party logistics; x Changi International LogisPark (South) (43 ha) – located near Changi International Airport, mainly for third-party logistics. The park is fully allocated; x Changi International LogisPark (North) (19 ha) – located near Changi International Airport, mainly for third-party logistics. 3 plots remained to be allocated; x Banyan and Meranti Logis Park (80 ha) – located on Jurong Island, mainly for chemical and petroleum logistics; x Toh Tuck & Toh Guan LogisPark (38 ha) – 2 plots remaining; and x Clementi West LogisPark (11.2 ha) – Fully allocated.

The petro-chemical logistics sector is growing with a large proportion of capital expenditure being invested in the sector. Singapore is repositioning itself as an important centre for pharmaceutical and medical technology. For instance in 2009, pharmaceutical company Zullig Pharma and DHL created a pan-Asian regional distribution hub in Singapore.

Annual supply of private warehouses in the last 10 years averaged 2.1 mil sq ft. Following the fall in occupancy of factory space, due to economic slowdown, occupancy for warehouse space also fell and bottomed in 2003 at 85%. Occupancy has since picked up and peaked at 93% in 2006. However, with the recent slowdown in global economy and global trade, occupancy for warehouses dropped to 90% in 2009 and is gradually recovering. As at Q1 2010, occupancy rate for private warehouse space was 90.1% (Figure 3.10).

Independent Review of the Industrial Property Market in Singapore Page 21

F-25 Figure 3.10: Annual Supply and Demand for Private Warehouse Space

'000 sq ft Occupancy Rate

6,000 94

5,000 92

4,000 90

3,000 88

10-year average supply: 2.1 mil sq ft 2,000 86

4-year average potential supply: 1.2 mil sq ft 1,000 84

- 82 2002 2003 2004 2005 2006 2007 2008 2009 2010 Q1 2010 Q2- 2011 F 2012 F 2013 F Q4 Annual Supply Annual Demand Occupancy -1,000 80 Source: URA, DTZ Consulting, July 2010

There is a total of 4.8 mil sq ft of potential warehouse supply between Q2 2010 and 2013, which averaged 1.2 mil sq ft per year, 43% lower than the average 2.1 mil sq ft per annum for the last decade. The majority (68.8%) of the potential supply will be in the West. The potential supply is mostly for owner occupation or for third-party logistics (Table 3.3).

Table 3.3: Major Potential Supply of Private Warehouse Space Estimated Estimated Name of Development Location NLA (sq ft) Year of TOP Storhub Self Storage Pte Ltd Simei Avenue/ Tampines St 92 256,232 2010 Yang Kee Holdings Pte Ltd Jurong Pier Road 776,196 2012 Mandai Properties Pte LTd Mandai Estate 433,133 2012 SM Integrated Transware Pte Ltd Tanjong Penjuru 709,268 2013 Source: URA, DTZ Research, DTZ Consulting, July 2010

Median rent for private warehouse space has stabilised since Q2 2008. As at Q2 2010, island wide median rent for private warehouse space averaged $1.55 per sq ft per month. The best performing region is the West Region, with a median rent of $1.69 per sq ft per month, followed by the East Region, which has a median rent of $1.66 per sq ft per month (Figure 3.11).

Independent Review of the Industrial Property Market in Singapore Page 22

F-26 Figure 3.11: Median Rent for Private Warehouse Space $ psf per month 1.8

1.6

1.4

1.2

0.8

0.6

0.4

0.2

0 2000Q2 2001Q2 2002Q2 2003Q2 2004Q2 2005Q2 2006Q2 2007Q2 2008Q2 2009Q2 2010Q2

Islandwide Central Region East Region North-East Region West Region

Source: URA, DTZ Consulting, July 2010

3.5 Overview of Business Park

Under the Master Plan 2008, business parks are areas used or intended to be used mainly for business park operations. They should be non-pollutive industries e.g. high-tech manufacturing, test laboratory, R&D, product design development, computer centre/ data processing, software development, industrial training, central distribution, Type 1 e-business and core media activities. At least 85% of the total floor area shall be used for any combination of these business park operations.

The two main features that distinguish business parks from industrial estates are: 1. the range of permitted uses that are generally non-production in nature but are characteristic of high-technology and research-oriented industries; and 2. the emphasis on landscaping, quality of building designs and provision of amenities facilities to reflect the importance companies placed on the image of the business park and welfare of their employees.

The minimum land requirement for business parks is 5 ha.

The International Business Park (IBP) was the first business park built by Jurong Town Corporation (JTC) in 1992. In 1997, JTC launched another 66 ha of business park land in Changi for the development of Changi Business Park. A new business park: Mapletree Business City (13.8 ha), developed by a private developer, will be fully completed by end 2010.

Science parks, on the other hand, are mainly designed for value-added knowledge-intensive R&D activities. For instance, one-north is a new area for researchers, scientists and technopreneurs. The 200-ha development is designed to complement and encourage collaborations with the National University of Singapore (NUS) and the National University Hospital (NUH). It is a new concept which encourages live-work-play.

The latest addition to Singapore’s business parks is CleanTech Park in Jurong. This 50 ha park will be the choice location for forward-looking corporations that have embraced environmental sustainability as a means to differentiate their businesses and also a part of their corporate social

Independent Review of the Industrial Property Market in Singapore Page 23

F-27 responsibility. CleanTech Park aims to foster a conducive environment for collaboration between industry and academia, create clusters of like-minded companies, which can be attractive to potential investors and provide opportunities to students for attachment and hands-on experience. Phase 1 of the three-phased development commenced in July 2010. The park is expected to be completed in 2030 and will house a working population of 20,000.

As at Q1 2010, there is some 13.2 mill sq ft of business park space in Singapore. About 21% of the total stock is publicly owned. The majority of the stock is located in the Central Region (Figure 3.12a & b).

Figure 3.12a: Distribution of Business Park Space (Private and Public Stock)

East Region 20%

Central Region 52%

West Region 28%

Source: URA, DTZ Consulting, July 2010

Figure 3.12b: Distribution of Business Park Space sq ft 5,000,000 4,580,083 4,500,000

4,000,000 3,627,510 3,500,000

3,000,000

2,500,000 2,231,152 2,186,945

2,000,000

1,500,000

1,000,000

441,180 500,000 128,392 0 East Region West Region Central Region

Private Public Source: URA, DTZ Consulting, July 2010

Independent Review of the Industrial Property Market in Singapore Page 24

F-28 The annual supply of business park space averaged some 511,300 sq ft for the last eight years. Occupancy of business parks increased dramatically, from 73.4% in 2004 to 93.1% in 2008. This is in line with the increase in demand and rents for office space. However, demand for business park space has been affected following the economic crisis and fall in office rent. As at Q1 2010, occupancy for private business park space was 77.3% (Figure 3.13).

Figure 3.13: Annual Supply and Demand for Private Business Park Space

'000 sq ft Occupancy Rate

2,500 100

2,000 80

70 1,500

1,000 4-year average potential supply: 951,5000 sq ft 50

8-year average supply: 511,300 sq ft 40

500 30

20 - 2002 2003 2004 2005 2006 2007 2008 2009 2010 Q1 2010 Q2- 2011 F 2012 F 2013 F Q4 10

Annual Supply Annual Demand Occupancy -500 0 Source: URA, DTZ Consulting, July 2010

A total of 3.5 mil sq ft of business park space is planned for the period between Q2 2010 and 2013. Majority of the supply will be completed in the rest of 2010, including Mapletree Business City (Table 3.4). Mapletree Business City is currently about 61% leased.

Table 3.4: Major Potential Supply of Private Business Park Space Estimated Estimated Name of Development Location NLA (sq ft) Year of TOP Mapletree Business City Pasir Panjang Road 1.2 mil Q2 2010 Solaris (Fusionopolis Phase 2B) Ayer Rajah Avenue/ Fusion Walk 386,100 Q3 2010 UE BizHub Changi Business Park Avenue 1 418,548 2012 Business Park Development Changi Business Park Central 1 622,349 2013 Source: URA, DTZ Research, DTZ Consulting, July 2010

Rents for business park space are highly correlated with the office rental market. The median rent for private business park space has been increasing since Q2 2006, peaking at $4.46 per sq ft per month in Q2 2008, surpassing the median rent for private office space in the fringe area ($3.73 per sq ft per month). The general increase in office rent, especially that in the CBD, has led to the decentralisation of some qualifying office-like operations to business parks, thus adding upward pressure on the rents for business park space. Median rent for private business park space fell slightly in Q2 2009, possibly due to the increase in supply. With the global economic recovery, median rent for private business park space improved in Q2 2010, achieving $3.64 per sq ft, which is slightly lower than that of fringe offices at $3.81 per sq ft per month (Figure 3.14).

Independent Review of the Industrial Property Market in Singapore Page 25

F-29 Figure 3.14: Median Rent of Private Business Space $ psf per month 5

4.5

3.5

2.5

1.5

0.5

0 2000Q2 2001Q2 2002Q2 2003Q2 2004Q2 2005Q2 2006Q2 2007Q2 2008Q2 2009Q2 2010Q2 Islandwide Central Region West Region Office (Fringe Area)

Source: URA, DTZ Consulting, July 2010

3.6 Government Land Sales

MTI has launched its Industrial Government Land Sales programme for H2 2010. In total, there are three sites in the Confirmed List and seven sites in the Reserve List, with a total site area of 19.92 ha and potential maximum Gross Floor Area of 4.7 mil sq ft, potentially increasing the total stock by 1.2% (Tables 3.4 and 3.5). Three of the sites in the Reserve List are currently available for tender.

Table 3.4: Industrial Government Land Sales Programme - Confirmed List Estimated Site Maximum Tenure announcement Location Area Zoning GPR GFA Sales Agent (Years) of site details (ha) (sq ft) for tender Confirmed List 8.63 2,227,374 Kaki Bukit Avenue 4 3.00 B2 2.5 807,293 60 July 2010 URA Yishun Street 23/ 4.65 B2 2.5 1,251,303 60 August 2010 JTC Yishun Avenue 9 Old Toh Tuck Road/ 0.98 B2 1.6 168,778 30 October 2010 JTC Toh Tuck Avenue Source: MTI, DTZ Consulting, July 2010

Independent Review of the Industrial Property Market in Singapore Page 26

F-30 Table 3.5: Industrial Government Land Sales Programme – Reserve List Estimated Site Maximum announce Tenure Location Area Zoning GPR GFA ment of Sales Agent (Years) (ha) (sq ft) site details for tender Reserve List 11.29 2,481,187 Woodlands Avenue September 2.06 B1 2.5 554,341 60 URA 12 (Parcel 2) 2010 November Tuas View Square 0.44 B2 0.9 42,625 45 URA 2010 November Kaki Bukit Road 4 2.50 B2 1.0 269,098 30 URA 2010 Ang Mo Kio Street December 2.81 B1 2.5 756,164 60 URA 62 2010 Pioneer Road North/ Soon Lee 1.44 B2 2.0 310,000 30 Available URA Street Ubi Road 1/ 1.24 B1 2.5 333,681 60 Available JTC Ubi Avenue 4 Serangoon North 0.80 B1 2.5 215,278 60 Available JTC Ave 4 (Parcel 1) Source: MTI, DTZ Consulting, July 2010

3.7 Market Outlook

With the business environment for both Manufacturing and Transport & Storage improving, demand for industrial space is expected to improve (Figure 3.15).

Figure 3.15: General Business Expectations Net Weighted Balance in % Terms 60

0 2008 Q4 2009 Q1 2009 Q2 2009 Q3 2009 Q4 2010 Q1

-20

-40

-60

Transport & Storage Manufacturing

Source: DOS, DTZ Consulting, July 2010

Singapore’s distinct advantages such as sound infrastructure, world-class education and quality of skilled labour force have attracted many R&D companies to set up their facilities here. The high-value manufacturing sectors, e.g. biomedical manufacturing and electronics production will continue to drive demand for industrial space. The logistics sector will also continue to move higher up the value chain, reflecting the growing emphasis on consumer products and lifestyle changes, e.g. increased demand for fast fashion.

Independent Review of the Industrial Property Market in Singapore Page 27

F-31 Industrial rents are expected to improve in the next two years underpinned by the economic growth which will fuel more demand for industrial and warehouse space. High-tech industrial rents are anticipated to increase the most due to increasing demand and limited new supply, despite the more than average potential supply in the next three years for business park space (Table 3.5 and Figure 3.16).

Table 3.6: Forecast of Monthly Median Rent for Private Industrial Space $ per sq ft Q2 2010 Q2 2011 F % Increase Q2 2012 F % Increase Single-User Factory 1.93 1.98 3% 2.09 5% Multiple-Use Factory 1.70 1.79 5% 1.84 3% Warehouse Space 1.55 1.63 5% 1.68 3% High-tech Industrial 2.07 2.24 8% 2.46 10% Space Source: URA, DTZ Consulting, July 2010

Figure 3.16: Median Rent Forecast

Monthly Median Rental ($per sq ft)

3.00

2.50

2.00

1.50

1.00

0.50

0.00 2000Q2 2001Q2 2002Q2 2003Q2 2004Q2 2005Q2 2006Q2 2007Q2 2008Q2 2009Q2 2010Q2 2011Q2 (F) 2012Q2 (F) Warehouse Space Single-User Factory Multiple-User Factory High-tech Industrial Space

Source: URA, DTZ Consulting, July 2010

Independent Review of the Industrial Property Market in Singapore Page 28

F-32 Section Four Review of Portfolio

4.1 Introduction

The Trust’s portfolio consists of 15 industrial properties strategically located across Singapore. Although the portfolio focuses on industrial properties, the assets’ locations, specifications and end-users vary. Map 4.1 provides a spatial representation of the geographic spread of the portfolio’s properties in Singapore.

Map 4.1: Location of Subject Properties

8 7 1 6 2 3 4

Source: DTZ Consulting, July 2010

Property Portfolio West Region 1. Tuas Cluster: 18 Gul Drive; 1 Tuas Ave 4; 30/32 Tuas Ave 8 2. Penjuru Cluster: 33/35 Penjuru Lane; 34 Penjuru Lane; 51 Penjuru Road 3. Clementi Cluster: 200 Pandan Loop (Pantech 21); 218 Pandan Loop

Central Region 4. Commonwealth: 8 Commonwealth Lane (Utraco Greentech) 5. Bukit Merah: 15 Jalan Kilang Barat (Frontech Centre) 6. Kallang Cluster: 3 Kallang Way 2A; 123 Genting Lane

North-East Region 7. Tai Seng: 9 Tai Seng Drive (Geo-Tele) 8. Lorong Chuan: 151 Lorong Chuan (New Tech Park)

East Region 9. Loyang: 26 Loyang Drive

Independent Review of the Industrial Property Market in Singapore Page 29 F-33 4.2 Review of Subject Properties

Sabana REIT’s (The Trust’s) properties Figure 4.1: Portfolio GFA Distribution by are located in West, Central, North-East Planning Region and East Regions in Singapore. More than half of the properties are located in East Region the west of Singapore, with eight 5% properties in the West Region, four properties in the Central Region, two Central Region properties in the North-East Region, and 15% one property in the East Region. Figure 4.1 shows the portfolio GFA distribution by planning region in Singapore.

The portfolio contains four types of West Region industrial space – chemical warehouse 49% North-East Region & logistics, warehouse & logistics, 31% general industrial space (single-user factory and multiple-user factory) and high-tech industrial space (multiple-user high-tech industrial space). There are in total eight warehouses & logistics properties, comprising 46% of total GFA. Source: SREIM, DTZ Consulting, July 2010 Three of the eight warehouses, totalling 579,431 sq ft (38% of total warehouse GFA, 17% of total portfolio) are chemical logistics warehouses. There are five high-tech industrial properties in the portfolio, comprising 44% of total GFA (1.4 mil sq ft). General industrial space is the smallest component of the portfolio (two properties), totalling 0.3 mil sq ft (10% of total GFA). Figure 4.2 illustrates the portfolio distribution by type of industrial space.

Figure 4.2: Portfolio GFA Distribution by Type of Space

Chemical Warehouse & Logistics 17%

High-tech Industrial Space 44%

Warehouse & Logistics 29%

General Industrial Space 10% Source: SREIM, DTZ Consulting, July

In line with their different specifications and uses, the properties in the portfolio achieve rents ranging from just over $1.00 psf per month15 (triple net rent) for some of the warehouse & logistics and general industrial spaces, to almost $3.00 psf per month (triple net rent) for some of the high- tech industrial space. Figure 4.3 illustrates the average rents achieved by the various types of space in the portfolio.

15 All areas are based on GFA.

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Independent Review of the Industrial Property Market in Singapore Page 31

F-35 4.2.1 Properties by Types

Tables 4.1 to 4.4 summarise the property particulars of the properties based on property types.

Table 4.1: High-tech Industrial Space

1 Address 151 Lorong Chuan 8 Commonwealth Lane 9 Tai Seng Drive

New Tech Park Utraco Greentech Geo-Tele Centre

2 Building

Land Area 3 428,370 64,773 87,498 (sq ft) 4 GFA (sq ft) 810,710 161,475 218,905 A 4-storey industrial building with surface carpark. Currently undergoing Building A 6-storey industrial building A 6-storey building with a 5 additions and alterations Description with a ground level carpark basement car park works consisting of a 6- storey extension to the existing building Floor loading 6 7.5 – 12.5 4.0 – 20.0 7.5 – 20.0 (KN/sq m)

Floor to ceiling 7 4.6 – 4.8 3.5 – 6.0 6.0 – 8.0 height (m) Number of 8 loading/ 14 3 6 unloading bays Number of 9 559 28 105 carpark lots Number of 10 15 cargo lifts, 8 firemen lifts 1 4 cargo lifts, 1 fireman lift cargo lifts Number of 11 18 1 3 passenger lifts 13 Dec 2000; 25 Feb 2003 12 TOP date 27 May 1996 18 Dec 2006 (CSC)

13 Land Tenure 45 years wef completion date 30 + 23 yrs wef 1 Feb 2006 30 + 30 yr wef 1 Jun 1995

Unexpired Lease Term 14 45 years wef completion date 48 years 45 years w.e.f. 30 Sept 201016 Master Plan 15 2.5 2.5 2.5 Plot Ratio x DHL HBO Utraco Greentech Savvis Singapore 16 Major Tenants x x x x ESPN Star Sports x Qiagen Singapore Pte Ltd x Armor Asia Imaging Supplies Source: SREIM, DTZ Consulting, July 2010

16 This includes options to renew upon satisfactory compliance with lease terms and conditions.

Independent Review of the Industrial Property Market in Singapore Page 32

F-36 Table 4.1: High-tech Industrial Space (Continued) 1 Address 200 Pandan Loop 15 Jalan Kilang Barat Pantech 21 Frontech Centre

2 Building

Land Area 3 74,283 25,157 (sq ft) 4 GFA (sq ft) 180,186 73,928

Building A 8-storey industrial building including a An 8-storey industrial building with a multi- 5 Description basement carpark storey carpark at levels 2 & 3

Floor loading 6 7.5 – 10 7.5 – 10.0 (KN/sq m)

Floor to ceiling 7 4.5 – 5.5 3.5 – 5.0 height (m) Number of 8 loading/ Nil 1 unloading bays Number of 9 74 40 carpark lots Number of 10 1 1 fireman lift cargo lifts Number of 11 3 2 passenger lifts 12 TOP date 29 Jun 1995 24 Jan 2002

13 Land Tenure 99 yrs wef 27 Jan 1984 99 yrs wef 1 Jan 1962

Unexpired Lease Term 14 72 years 50 years w.e.f. 30 Sept 201017 Master Plan 15 2.5 2.5 Plot Ratio x Fuji Xerox x DHI Water & Environment Pte Ltd x Legrand (S) Pte Ltd 16 Major Tenants x IBM Singapore Pte Ltd x Motion Smith x NTT Singapore x Quest Laboratories x Ecu-Line Singapore Source: SREIM, DTZ Consulting, July 2010

17 This includes options to renew upon satisfactory compliance with lease terms and conditions.

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18 This includes options to renew upon satisfactory compliance with lease terms and conditions.

Independent Review of the Industrial Property Market in Singapore Page 34 F-38 Table 4.3: Warehouse & Logistics 1 Address 34 Penjuru Lane 51 Penjuru Road

2 Building

Land Area 3 165,873 157,064 (sq ft) 4 GFA (sq ft) 414,270 246,376

Building A 5-storey single-user warehouse with 5 A 4-storey purpose-built warehouse building Description ancillary offices

Floor loading 6 5.0 –20.0 5.0 – 25.0; 90 (ASRS) (KN/sq m)

Floor to ceiling 7 3.45 – 8.65 4.25 – 8.9 height (m)

Number of 8 loading/ 25 9 unloading bays Number of 9 9 16 carpark lots Number of 10 5 2 cargo lifts, 1 firemen lift cargo lifts

Number of 11 2 1 passenger lifts

12 TOP date 12 Jan 2009 25 Feb 1999

13 Land Tenure 30 yrs wef 16 Aug 2002 30+30 yrs wef 1 Jan 1995 Unexpired Lease Term 14 22 years 44 years w.e.f. 30 Sept 201019 Master Plan 15 2.5 2.5 Plot Ratio x SB (Lake side) x Cotton On (S) Pte Ltd 16 Major Tenants x Fisher & Paykel (Singapore) Pte Ltd x Freight Links Express Logisticentre x Solex Logistics (Singapore) x ST Logistics Source: SREIM, DTZ Consulting, July 2010

19 This includes options to renew upon satisfactory compliance with lease terms and conditions.

Independent Review of the Industrial Property Market in Singapore Page 35 F-39 Table 4.3: Warehouse & Logistics (Continued) 1 Address 26 Loyang Drive 3 Kallang Way 2A 218 Pandan Loop Fong Tat Building

2 Building

Land Area 3 195,430 33,533 96,689 (sq ft) 4 GFA (sq ft) 149,166 83,646 50,374 A 2-storey office building and A 7-storey building with Building A single-storey building with a single-storey cold room 5 basement car park and Description mezzanine floors warehouse with mezzanine ancillary offices floor Floor loading 6 4.0 – 30.0 5.0 – 15.0 5.0 – 15.0 (KN/sq m)

Floor to ceiling 7 3.2 – 10.0 3.3 – 4.75 4.0 – 9.0 height (m)

Number of 8 loading/ 3 3 7 unloading bays Number of 9 19 35 22 carpark lots Number of 10 1 (service lift) 2 Nil cargo lifts

Number of 11 1 1 Nil passenger lifts

12 TOP date 1 Nov 2007 (CSC) 28 April 2003 (CSC) 9 June 1993 (CSC)

30 + 18 yrs wef 13 Land Tenure 30 + 30 yrs wef 1 May 1995 30+30 yrs wef 16 Sep 1989 1 Jan 2006 Unexpired Lease Term 14 43 years 45 years 39 years w.e.f. 30 Sept 201020 Master Plan 15 2.5 2.5 2.5 Plot Ratio x AVnet Asia 16 Major Tenants x Fong Tat Motor Co. x Freshmart x Oxley & Hume Builders Source: SREIM, DTZ Consulting, July 2010

20 This includes options to renew upon satisfactory compliance with lease terms and conditions.

Independent Review of the Industrial Property Market in Singapore Page 36 F-40 Table 4.4: General Industrial Space 1 Address 123 Genting Lane 30/32 Tuas Ave 8 Yenom Industrial Building

2 Building

Land Area 3 64,771 157,141 (sq ft) 4 GFA (sq ft) 158,907 158,846

Comprising 2 original “E8” JTC standard Building 5 An 8-storey building with ancillary offices factories with an adjoining 4-storey purpose- Description built factory with ancillary office

Floor loading 6 5.0 – 19.2 12.5 – 17.5 (KN/sq m)

Floor to ceiling 7 3.5 – 4.6 3.4 – 5.2 height (m)

Number of 8 loading/ 1 4 unloading bays Number of 9 46 49 carpark lots Number of 10 2 2 cargo lifts

Number of 11 2 Nil passenger lifts

17 Apr 1996; 20 Sep 2001, 3 Jan 2007 19 Feb 1997, 17 Sep 1998, 6 March 1999 12 TOP date (CSC) (CSC)

13 Land Tenure 60 yrs wef 1 Sept 1981 30+30 wef 1 Sept 1996 Unexpired Lease Term 14 31 years 46 years w.e.f. 30 Sept 201021 Master Plan 15 2.5 1.4 Plot Ratio x Yenom Industries 16 Major Tenants x Micro Circuit Technology x Giesecke & Devrient Asia Source: SREIM, DTZ Consulting, July 2010

21 This includes options to renew upon satisfactory compliance with lease terms and conditions.

Independent Review of the Industrial Property Market in Singapore Page 37

F-41 4.3 Site & Micro-Market Analysis

4.3.1 Properties in the West Region

The majority of the Trust’s properties (eight properties) are located in the West Region. The properties are in three main clusters – the Tuas cluster, the Penjuru cluster and the Clementi cluster. They are mainly warehousing & logistics properties, with the exception of Pantech 21, which is a high-tech industrial building. There is also a general industrial property in the Tuas Cluster (Table 4.5).

Table 4.5: Properties in the West Region Geographical High-tech Chemical Warehouse & General Cluster Industrial Space Warehouse & Logistics Industrial Logistics Space Tuas Cluster x 18 Gul Drive x 30 & 32 Tuas x 1 Tuas Avenue 4 Ave 8 Penjuru Cluster x 33 & 35 Penjuru x 34 Penjuru Lane Lane 51 Penjuru Lane Clementi x 200 Pandan 218 Pandan Cluster Loop (Pantech Loop (cold 21) store) Source: SREIM, DTZ Consulting, July 2010

The portfolio contains three properties in Tuas and Jurong which are in the chemical warehousing & logistics sector. These properties are in close proximity to Jurong Island, which houses Singapore’s petrochemical hub. Jurong Island is home to more than 90 leading petroleum, petrochemicals, speciality chemicals and manufacturing companies from all over the world. There is increasing demand for chemicals in the manufacturing process, from basic by-products of the petroleum cracking process, to advanced complex chemicals that deliver superior quality and performance. Jurong Island has been master planned to allow seamless integration among companies, such that the output of one company can immediately be used as the input of a neighbouring plant. It also provides a “plug-and-play” environment where companies can quickly start operations and production. As the chemicals industry is a major component of Singapore’s manufacturing sector, this puts the Trust’s chemical warehousing properties in good stead as demand for such chemical storage facilities is likely to continue to be robust while there is a limited supply of chemical storage facilities.

The Trust contains one property, 218 Pandan Loop, which caters to the food & beverage (F&B) industry. The property houses a cold store for perishable food, and is in the vicinity of other cold stores at Fishery Port Road and Jurong Port Road. Due to its proximity to Singapore’s port, the warehouse is in a strategic location for the storage of food and other perishable imports especially those that come through Jurong Fishery Port before being redistributed. As the F&B industry forms another major component of Singapore’s manufacturing sector, coupled with the opening of Singapore’s two new Integrated Resorts at Sentosa and Marina Bay generating an increased demand for quality food and fine dining, properties in the F&B warehousing industry are likely to continue to be in high demand from companies in the food manufacturing business.

In the Clementi area, the portfolio contains a high-quality high-tech industrial building, Pantech 21 at 200 Pandan Loop. The building houses data centres as well as dry and wet laboratories.

Independent Review of the Industrial Property Market in Singapore Page 38

F-42 4.3.2 Properties in the Central Region

The Trust has four properties located in the Central Region, with one property each in Commonwealth and Bukit Merah, and two properties in Kallang. The properties are used by diversified industries, from high-tech industrial and warehouse & logistics spaces to general industrial space for automobile parts and plastic label manufacturing (Table 4.6).

Table 4.6: Properties in the Central Region Geographical High-tech Chemical Warehouse & General Cluster Industrial Space Warehouse & Logistics Industrial Logistics Space Commonwealth x 8 Commonwealth Lane (Utraco Greentech) Bukit Merah x 15 Jalan Kilang Barat (Frontech Centre) Kallang Cluster x 3 Kallang Way x 123 Genting 2A Lane Source: SREIM, DTZ Consulting, July 2010

The property located at 8 Commonwealth Lane contains warehouse and ancillary office space. It is within walking distance from Commonwealth MRT and within close proximity to research & development centres such as Biopolis and Fusionopolis @ one-north.

The property at Bukit Merah houses high-tech industrial space. Its key tenants include Quest Laboratories and Motion Smith. Quest Laboratories offers diagnostic testing and services, and Motion Smith is a leading supplier of nautical charts, publications and other marine systems and software.

The properties at Kallang are general light-industrial buildings, which is typical of the industrial properties in that area. Fong Tat Building at 3 Kallang Way 2A is an automobile spare parts warehouse and Yenom Industrial Building at 123 Genting Lane is predominantly occupied by a plastic label manufacturer.

4.3.3 Properties in the North-East Region

The Trust has two properties in the North-east Region: New Tech Park and Geo-Tele building. They are both high-tech industrial complexes and house data centre and logistics facilities. This is fairly representative of the type of industrial properties found in the North-east region of Singapore (Table 4.7).

Table 4.7: Properties in the North-East Region Geographical High-tech Chemical Warehouse & General Cluster Industrial Space Warehouse Logistics Industrial Space & Logistics Lorong Chuan x 151 Lorong Cluster Chuan (New Tech Park) Tai Seng x 9 Tai Seng Cluster Drive (Geo-Tele) Source: SREIM, DTZ Consulting, July 2010

Independent Review of the Industrial Property Market in Singapore Page 39 F-43 New Tech Park and Geo-Tele building are high-quality properties as high-tech industrial complexes generally command higher rents than general industrial spaces. The two properties also house a number of high-profile tenants, with HBO and ESPN Sports located in New Tech Park, and DHL and Savvis in Geo-Tele building. They are easily accessible via public transport, with New Tech Park located opposite Lorong Chuan MRT station, and Geo-Tele building being a ten-minute walk away from Tai Seng MRT station, both on the Circle Line.

The key tenants of New Tech Park and Geo-Tele building are data centre providers. Data centre services are increasingly being demanded as Singapore becomes a global IT hub and a home for businesses seeking to expand in the region. Four leading commercial data centre providers in Asia, Thailand’s TCCT, 1-Net Singapore, Malaysia’s The AIMS Asia Group and Vietnam’s CMC Telecom, signed the Asia Data Centre Alliance (ADCA) agreement in early 2009. The Alliance seeks to provide a one-stop suite of services that complies with international standards to both government and private enterprises, with the added advantage of being able to transfer data and digital content across borders. Although the Information and Communications sector constitutes only 4% of Singapore’s GDP, the increasing demand for data centres in the region ensures that such high-tech industrial properties will be in similarly high demand as more and more data centre operators set up shop in Singapore.

4.3.4 Properties in the East Region

The Trust has one property located in the East Region. It is located in Loyang Industrial Park, and is a logistics and warehousing facility. Industrial properties in the area are generally in the aerospace and aviation, electronics and wafer fabrication industries. Many industrial properties in the East Region are also used for airport logistics due to their proximity to Changi International Airport (Table 4.8).

Table 4.8: Properties in the East Region Geographical High-tech Chemical Warehouse & General Cluster Industrial Space Warehouse Logistics Industrial & Logistics Space Loyang Cluster x 26 Loyang Drive Source: SREIM, DTZ Consulting, July 2010

The property at 26 Loyang Drive, though currently vacant, is slated to be occupied by AV Net, a company dealing in the distribution of computer products, semiconductors and electromechanical components. The property in the East Region is representative of the type of industries in that part of Singapore.

Independent Review of the Industrial Property Market in Singapore Page 40

F-44 4.4 SWOT Analysis

The Strengths, Weaknesses, Opportunities and Threats (SWOT) of the portfolio are summarised in Table 4.9.

Table 4.9: SWOT Analysis of Portfolio Property Strengths and Opportunities Weaknesses and Threats General Portfolio All Properties in x Shariah-certified portfolio x Fewer high-tech industrial buildings in the portfolio when Portfolio x Quality properties compared to number of warehousing buildings (5 x Geographically diversified buildings, 44% of total portfolio GFA) x Varied and diversified in terms of property type, ranging x Majority (49%) of portfolio’s GFA is in the West Region from properties dealing in chemical warehousing and of Singapore logistics, to high-tech industrial space, to conventional x Only 5% of portfolio’s GFA is in the East Region of

F-45 factories and food warehousing Singapore x Varied and diversified in terms of tenant base x Progressive land lease expiration schedule of the portfolio limits risks

High-tech Industrial Space 151 Lorong Chuan x Excellent location in Serangoon x Isolated industrial property surrounded by residential x Accessible via Central Expressway (CTE) developments x Opposite Lorong Chuan MRT station along Circle Line x Easy access to labour as property is in close proximity to residential estates x Has high-profile tenants e.g. HBO and ESPN Star Sports x Large expanse of roof space to accommodate equipment/ facilities e.g. satellite dishes x Suitable for a wide range of industrial activities such as R&D, office, high-tech industrial and warehousing

Source: DTZ Consulting, July 2010

Independent Review of the Industrial Property Market in Singapore Page 41 Table 4.9: SWOT Analysis of Portfolio (Continued) Property Strengths and Opportunities Weaknesses and Threats 8 Commonwealth Lane x Excellent location in Commonwealth x Competition with other high-tech industrial developments x Accessible via Ayer Rajah Expressway (AYE) in the vicinity x Walking distance from Commonwealth MRT station along East-West Line x Easy access to labour as property is in close proximity to residential estates x Strategically located within close proximity of tertiary and research institutions x Easy access to staff amenities e.g. food centres x Recently completed x Suitable for a wide range of industrial activities such as R&D, ancillary office, high-tech industrial and warehousing F-46

9 Tai Seng Drive x Excellent location in Tai Seng x Competition with other high-tech industrial developments x Accessible via Pan-Island Expressway (PIE) and Kallang in the vicinity Paya Lebar Expressway (KPE) x Walking distance from Tai Seng MRT station along Circle Line x Easy access to labour as property is in close proximity to residential estates x Easy access to staff amenities e.g. coffeeshops x Contains high-profile tenants DHL and Savvis Singapore

200 Pandan Loop x Accessible via Ayer Rajah Expressway (AYE) and West x Less accessible by public transport Coast Highway x Competition with other high-tech industrial developments x Easy access to labour as property is in close proximity to in the vicinity residential estates x Shuttle bus service provided during morning and evening peak hours x Suitable for a wide range of industrial activities such as data centre, F&D, high-tech industrial purposes and as Source: DTZ Consulting, July 2010

Independent Review of the Industrial Property Market in Singapore Page 42 Table 4.9: SWOT Analysis of Portfolio (Continued) Property Strengths and Opportunities Weaknesses and Threats office spaces

15 Jalan Kilang Barat x Excellent location in Bukit Merah x Competition with other high-tech industrial developments x Accessible via Ayer Rajah Expressway (AYE) in the vicinity x Near Redhill MRT station along East-West line x Easy access to labour as property is in close proximity to residential estates x Easy access to staff amenities e.g. food centres x Commands the highest rents in the portfolio Warehouse & Logistics 34 Penjuru Lane x Accessible via Ayer Rajah Expressway (AYE) x Less accessible by public transport compared to central x Located within the warehousing zone in Jurong area locations

F-47 x Versatile use and can handle various types of general x Competition with warehouse and logistics developments cargo in the vicinity x Contains Cotton On Singapore and Fisher & Paykel (Singapore)

51 Penjuru Road x Accessible via Ayer Rajah Expressway (AYE) x Less accessible by public transport compared to central x Located within the warehousing zone of Jurong area locations x Versatile use; suitable for various types of general cargo x Competition with warehouse and logistics developments x Warehouse block accommodates a specialised automated in the vicinity storage and retrieval system x Opportunity to maximise plot ratio as it has not been fully utilised

26 Loyang Drive x Accessible via Tampines Expressway (TPE) x Less accessible by public transport compared to central x Close proximity to Changi Airport locations x Suitable for a wide range of industrial activities with high x No public buses serving Loyang Industrial Park on floor loading, high floor to ceiling height, large continuous weekends floor plate and wide column span x Competition with warehouse and logistics developments x Opportunity to maximise plot ratio as it has not been fully in the vicinity utilised Source: DTZ Consulting, July 2010

Independent Review of the Industrial Property Market in Singapore Page 43 Table 4.9: SWOT Analysis of Portfolio (Continued) Property Strengths and Opportunities Weaknesses and Threats 3 Kallang Way 2A x Accessible via Pan-Island Expressway (PIE) and Kallang x Competition with warehouse and logistics developments Paya Lebar Expressway (KPE) in the vicinity x Near Aljunied MRT station along East-West line x Congestion in Central Region x Easy access to labour as property is in close proximity to residential estates x Suitable for a wide range of industrial activities including manufacturing, storage, R&D as ancillary office space and for warehousing

218 Pandan Loop x Accessible via Ayer Rajah Expressway (AYE) x Less accessible by public transport compared to central x Located in food cluster in Jurong area amongst locations companies like Delifrance, Gardenia and Pasta Fresca x Competition with warehouse and logistics developments Property is a cold store which can store perishables e.g. in the vicinity

F-48 x fresh foods and frozen meat. With the rise of Singapore’s F&B and food manufacturing industry, cold stores will continue to be in high demand x Built to specifications for halal meat products storage x Opportunity to maximise plot ratio as it has not been fully utilised

Chemical Warehouse & Logistics 33 & 35 Penjuru Lane x Accessible via Ayer Rajah Expressway (AYE), Pan-Island x Less accessible by public transport compared to central Expressway (PIE) and West Coast Highway locations x Close proximity to Jurong Island which is the hub for x Competition with other chemical warehouse and logistics Singapore’s petrochemical industry developments in the vicinity x Approved by authorities and built to specifications to handle hazardous chemical products x Opportunity to maximise plot ratio as it has not been fully utilised

Source: DTZ Consulting, July 2010

Independent Review of the Industrial Property Market in Singapore Page 44 Table 4.9: SWOT Analysis of Portfolio (Continued) Property Strengths and Opportunities Weaknesses and Threats 18 Gul Drive x Accessible via Ayer Rajah Expressway (AYE) x Less accessible by public transport compared to central x Close proximity to Jurong Island which is the hub for locations Singapore’s petrochemical industry x Competition with other chemical warehouse and logistics x Approved by authorities and built to specifications to developments in the vicinity handle hazardous chemical products

1 Tuas Avenue 4 x Accessible via Ayer Rajah Expressway (AYE) x Less accessible by public transport compared to central x Close proximity to Jurong Island which is the hub for locations Singapore’s petrochemical industry x Competition with other chemical warehouse and logistics x Approved by authorities and built to specifications to developments in the vicinity handle hazardous chemical products x Opportunity to maximise plot ratio as it has not been fully utilised F-49

General Industrial Space (Single/ Multiple User Factory) 123 Genting Lane x Accessible via Pan-Island Expressway (PIE) and Kallang x Competition with other general industrial developments Paya Lebar Expressway (KPE) in the vicinity x Near Aljunied MRT station along East-West line x Congestion in Central Region due to higher density of x Easy access to labour as property is in close proximity to buildings residential estates x Suitable for wide range of activities including light manufacturing, storage, R&D and as an ancillary office space

30 & 32 Tuas Ave 8 x Accessible via Ayer Rajah Expressway (AYE) and Pan x Less accessible by public transport compared to central Island Expressway (PIE) locations x Versatile configuration suitable for wide range of x Competition with other general industrial developments manufacturing, warehousing and R&D activities in the vicinity x Opportunity to maximise plot ratio as it has not been fully x Single-tenanted facility increases vacancy risk should utilised tenant decide not to renew lease

Source: DTZ Consulting, July 2010

Independent Review of the Industrial Property Market in Singapore Page 45 4.5 Conclusion

DTZ Fair Value IndexTM, which measures the attractiveness of investing in commercial property markets worldwide, has identified Singapore industrial property market to be a “HOT” market for investment in Q2 201022. Sabana Real Estate Industrial Trust, being the first Shariah-certified REIT in Singapore, is thus well positioned to attract institutional and retail investors.

The properties in the portfolio are well diversified. They are geographically spread-out in the West, Central, North-east and East Region of Singapore. This ensures that the portfolio has limited geographical risk. The properties in the portfolio are in varying industries, ranging from media and data centres, to chemical warehousing, to heavy-duty steel wire manufacturing, to F&B warehousing, and air & sea freight logistics. This spread of industries ensures that risks are diversified should some sectors of the economy slow. In addition, the progressive land lease expiration schedule limits risks in the portfolio.

All the properties are well-served by Singapore’s major roads and expressways. Although some properties are less accessible by public transport due to their locations, shuttle bus services are provided for tenants and visitors to the building. The properties also contain a number of high- profile tenants like DHL, Savvis, HBO, and ESPN Sports. High-profile tenants not only take up a large amount of space in a building, they provide the property owner with a steady rental stream of income. In addition, they also serve to enhance and develop the image of a property, attracting other companies to lease space and set up operations in the building.

Some tenants in high-tech industrial spaces invest a large initial capital in setting up their industrial operations. As relocation costs are high, high-tech industrial spaces tend to have a more stable tenant mix. This is similar to that of specialised warehouses & logistics spaces. With a large proportion of the portfolio being high-tech industrial space and chemical warehousing & logistics, as well as cold rooms, the tenant mix of the portfolio is likely to be relatively secure.

The portfolio’s properties in each region are also representative of the industries in that region – chemical warehousing & logistics and F&B cold storage properties in the West Region; general light industrial properties in the Central Region; data centre and logistics facilities in the North- East Region; and electronics warehousing & logistics facilities in the East Region. This ensures that the properties will benefit from industrial clustering and be able to perform to their maximum potential.

22 “HOT” – where investors can expect to make returns higher than the risk adjusted rate of return. Markets estimated to be more than 5% under-valued are classified as HOT.

Independent Review of the Industrial Property Market in Singapore Page 46 F-50 Limiting Conditions

Where it is stated in the report that information has been supplied to us in the preparation of this report by the sources listed, this information is believed to be reliable and we will accept no responsibility if this should be otherwise. All other information stated without being attributed directly to another party is obtained from our searches of records, examination of documents or enquiries with relevant government authorities.

The forward statements in this report are based on our expectations and forecasts for the future. These statements should be regarded as our assessment of the future, based on certain assumptions on variables which are subject to changing conditions. Changes in any of these variables may significantly affect our forecasts.

Utmost care and due diligence has been taken in the preparation of this report. We believe that the contents are accurate and our professional opinion and advice are based on prevailing market conditions as at the date of the report. As market conditions do change, we reserve the right to update our opinion and forecasts based on the latest market conditions.

DTZ gives no assurance that the forecasts and forward statements in this report will be achieved and undue reliance should not be placed on them.

DTZ Debenham Tie Leung (SEA) Pte Ltd or persons involved in the preparation of this report disclaims all responsibility and will accept no liability to any other party. Neither the whole nor any part, nor reference thereto may be published in any document, statement or circular, nor in any communications with third parties, without our prior written consent of the form or context in which it will appear.

Limiting Conditions

F-51 DTZ Debenham Tie Leung (SEA) Pte Ltd 100 Beach Road #35-00 Shaw Tower Singapore 189702 Tel (65) 6293 3228 Fax (65) 6298 9328/6292 1633 www.dtz.com/sg

DTZ has over 12,500 staff operating from 140 offices in 45 countries.

F-52 APPENDIX G

G-1 ϦϴόϤΟ΃ ϪΑΎΤλ΃ ϭ Ϫϟ΁ ϰϠϋϭ ϢϳήϜϟ΍ ϪϟϮγέ ϰϠϋ ϡϼδϟ΍ϭ Γϼμϟ΍ ϭ ϦϴϤϟΎόϟ΍ Ώέ Ϳ ΪϤΤϟ΍ Pronouncement of the HSBC Amanah Central Shari’ah Committee

In the name of Allah, the Most Gracious, the Most Merciful All praise is due to Allah, the Cherisher of the world Peace and blessings be upon the Prophet of Allah, on his family and all his companions

SABANA SHARI'AH COMPLIANT INDUSTRIAL REAL ESTATE INVESTMENT TRUST ("REIT")

HSBC Amanah Central Shari'ah Committee (“The Committee”) has been presented with the structure and mechanism of Sabana Shari'ah Compliant Industrial REIT’s: (i) Commodity Murabaha financing arrangement, and (ii) Sale and purchase of commodities for affecting a Shari'ah compliant profit rate hedging arrangement.

The Committee has reviewed the structure and mechanism for the above arrangements and is of the view that the structure and mechanism are in compliance with the established principles of Shari'ah.

______Sheikh Nizam Yaquby Dr. Mohamed Ali Elgari Dr. Muhammad Imran Usmani HSBC Amanah Central Shariah Committee 48CSC/4802/10 November 3rd , 2010

G-2 APPENDIX H

TERMS, CONDITIONS AND PROCEDURES FOR APPLICATION FOR AND ACCEPTANCE OF THE UNITS IN SINGAPORE Applications are invited for the subscription of the Units at the Offering Price on the terms and conditions set out below and in the relevant Application Form or, as the case may be, the Electronic Applications (as defined below). Investors applying for the Units offered in the Offering by way of Application Forms or Electronic Applications are required to pay Offering Price, subject to a refund of the full amount or, as the case may be, the balance of the applications monies (in each case without interest or any share of revenue or other benefit arising therefrom) where (i) an application is rejected or accepted in part only or (ii) if the Offering does not proceed for any reason.

YOU MAY USE CPF FUNDS TO APPLY FOR THE UNITS You are invited to apply and subscribe for the Units at the Offering Price subject to the following terms and conditions:- 1. YOUR APPLICATION FOR THE UNITS OFFERED IN THE PUBLIC OFFER (THE “PUBLIC OFFER UNITS”) MUST BE MADE IN LOTS OF 1,000 PUBLIC OFFER UNITS OR INTEGRAL MULTIPLES THEREOF. YOUR APPLICATION FOR ANY OTHER NUMBER OF PUBLIC OFFER UNITS WILL BE REJECTED. YOUR APPLICATION FOR THE UNITS OFFERED IN THE PLACEMENT TRANCHE (THE “PLACEMENT UNITS”) MUST BE MADE IN LOTS OF 1,000 PLACEMENT UNITS OR INTEGRAL MULTIPLES THEREOF. YOUR APPLICATION FOR ANY OTHER NUMBER OF PLACEMENT UNITS MAY BE REJECTED AT OUR DISCRETION. 2. You may apply for the Units only during the period commencing at 6.00 p.m. on 22 November 2010 and expiring at 6.00 p.m. on 24 November 2010. The Offering period may be extended or shortened to such date and/or time as the Manager may agree with the Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters, subject to all applicable laws and regulations and the rules of the SGX-ST. 3. Your application for the Public Offer Units, other than the Reserved Units, may be made by way of Public Offer Units Application Forms or by way of Electronic Applications (as defined below) through ATMs belonging to the Participating Banks (“ATM Electronic Applications”) or through the Internet Banking (“IB”) websites of the relevant Participating Banks (“Internet Electronic Applications”, which together with ATM Electronic Applications, shall be referred to as “Electronic Applications”). Your application for the Placement Units may only be made by way of Placement Units Application Forms. Should you be eligible, your application for Reserved Units may only be made by way of Reserved Units Application Forms. 4. You may use up to 35.0 per cent. of your CPF Investible Savings (“CPF Funds”) to apply for the Units under the Public Offer. Approval has been obtained from the Central Provident Fund Board (“CPF Board”) for the use of such CPF Funds pursuant to the Central Provident Fund (Investment Schemes) Regulations, as may be amended from time to time, for the subscription of the Units. You may also use up to 35.0 per cent. of your CPF Funds for the purchase of the Units in the secondary market. 5. If you are using CPF Funds to apply for the Units, you must have a CPF Investment Account maintained with the relevant Participating Bank. You do not need to instruct the CPF Board to transfer CPF Funds from your CPF Ordinary Account to your CPF Investment Account. The use of CPF Funds to apply for the Units is further subject to the terms and conditions set out in the section on “Terms and Conditions for Use of CPF Funds” on page H-22.

H-1 APPENDIX H

6. You are allowed to submit only one application in your own name for the Public Offer Units or the Placement Units. If you submit an application for Public Offer Units by way of an Application Form, you MAY NOT submit another application for Public Offer Units by way of an Electronic Application and vice versa. Such separate applications shall be deemed to be multiple applications and may be rejected at the discretion of the Manager except in the case of applications by approved nominees companies, where each application is made on behalf of a different beneficiary. If you submit an application for Public Offer Units by way of an ATM Electronic Application, you MAY NOT submit another application for Public Offer Units by way of an Internet Electronic Application and vice versa. Such separate applications shall be deemed to be multiple applications and may be rejected at the discretion of the Manager. A person, other than an approved nominee company, who is submitting an application for the Public Offer Units in his own name should not submit any other applications for the Public Offer Units, whether on a printed Application Form or through an ATM Electronic Application or Internet Electronic Application, for any other person. Such separate applications will be deemed to be multiple applications and shall be rejected. Joint or multiple applications for the Public Offer Units shall be rejected. Persons submitting or procuring submissions of multiple applications for the Public Offer Units may be deemed to have committed an offence under the Penal Code, Chapter 224 of Singapore and the Securities and Futures Act, and such applications may be referred to the relevant authorities for investigation. Multiple applications or those appearing to be or suspected of being multiple applications (other than as provided herein) will be liable to be rejected at our discretion. Multiple applications may be made by any person entitled to apply for the Reserved Units, in respect of a single application for the Reserved Units and (i) a single application for the Public Offer Units; or (ii) a single application for the Placement Units (whether via the Placement Units Application Forms or in such other manner as the Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters may in their absolute discretion deem appropriate). 7. The Manager will not accept applications from any person under the age of 18 years, undischarged bankrupts, sole-proprietorships, partnerships, non-corporate bodies, joint Securities Account holders of CDP and from applicants whose addresses (furnished in their Application Forms or, in the case of Electronic Applications, contained in the records of the relevant Participating Banks) bear post office box numbers. No person acting or purporting to act on behalf of a deceased person is allowed to apply under the Securities Account with CDP in the name of the deceased at the time of the application. 8. The Manager will not recognise the existence of a trust. An application by a trustee or trustees must therefore be made in his/her/their own name(s) and without qualification or, where the application is made by way of an Application Form by a nominee, in the name(s) of an approved nominee company or companies after complying with paragraph 9 below. 9. THE MANAGER WILL ONLY ACCEPT APPLICATIONS FROM APPROVED NOMINEE COMPANIES ONLY. Approved nominee companies are defined as banks,

H-2 APPENDIX H

merchant banks, finance companies, insurance companies, licensed securities dealers in Singapore and nominee companies controlled by them. Applications made by nominees other than approved nominee companies shall be rejected. 10. IF YOU ARE NOT AN APPROVED NOMINEE COMPANY, YOU MUST MAINTAIN A SECURITIES ACCOUNT WITH CDP IN YOUR OWN NAME AT THE TIME OF YOUR APPLICATION. If you do not have an existing Securities Account with CDP in your own name at the time of your application, your application will be rejected (if you apply by way of an Application Form), or you will not be able to complete your Electronic Application (if you apply by way of an Electronic Application). If you have an existing Securities Account with CDP but fail to provide your Securities Account number or provide an incorrect Securities Account number in Section B of the Application Form or in your Electronic Application, as the case may be, your application is liable to be rejected. Subject to paragraph 6 above, your application shall be rejected if your particulars such as name, NRIC/passport number, nationality and permanent residence status provided in your Application Form or in the records of the relevant Participating Bank at the time of your Electronic Application, as the case may be, differ from those particulars in your Securities Account as maintained with CDP. If you possess more than one individual direct Securities Account with CDP, your application shall be rejected. 11. If your address as stated in the Application Form or, in the case of an Electronic Application, contained in the records of the relevant Participating Bank, as the case may be, is different from the address registered with CDP, you must inform CDP of your updated address promptly, failing which the notification letter on successful allotment and/or allocation and other correspondence from CDP will be sent to your address last registered with CDP. 12. This Prospectus and its accompanying Application Forms have not been registered in any jurisdiction other than in Singapore. The distribution of this Prospectus and its accompanying Application Forms may be prohibited or restricted (either absolutely or unless various securities requirements, whether legal or administrative, are complied with) in certain jurisdictions under the relevant securities laws of those jurisdictions. Without limiting the generality of the foregoing, neither this Prospectus (including its Application Forms) nor any copy thereof may be taken, transmitted, published or distributed, whether directly or indirectly, in whole or in part in or into the United States and they do not constitute an offer of securities for sale into the United States or any jurisdiction in which such offer is not authorised or to any person to whom it is unlawful to make such an offer. The Units have not been and will not be registered under the Securities Act or the securities law of any state of the United States and the Units may not be offered or sold within the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state or local securities laws. The Units are being offered and sold in offshore transactions as defined in and in reliance on Regulation S. There will be no public offer of Units in the United States. Any failure to comply with this restriction may constitute a violation of securities laws in the United States and in other jurisdictions. The Manager reserves the right to reject any application for Units where the Manager believes or has reason to believe that such applications may violate the securities laws or any applicable legal or regulatory requirements of any jurisdiction.

No person in any jurisdiction outside Singapore receiving this Prospectus or its accompanying documents (including the Application Form) may treat the same as an offer or invitation to subscribe for any Units unless such an offer or invitation could

H-3 APPENDIX H

lawfully be made without compliance with any regulatory or legal requirements in those jurisdictions. 13. The Manager reserves the right to reject any application which does not conform strictly to the instructions set out in the Application Form and in this Prospectus or which does not comply with the instructions for Electronic Applications or with the terms and conditions of this Prospectus or, in the case of an application by way of an Application Form, which is illegible, incomplete, incorrectly completed or which is accompanied by an improperly drawn remittance or improper form of remittance. The Manager further reserve the right to treat as valid any applications not completed or submitted or effected in all respects in accordance with the instructions set out in the Application Forms or the instructions for Electronic Applications or the terms and conditions of this Prospectus and also to present for payment or other processes all remittances at any time after receipt and to have full access to all information relating to, or deriving from, such remittances or the processing thereof. Without prejudice to the rights of the Manager, each of the Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters, as agent of the Manager, has been authorised to accept, for and on behalf of the Manager,such other forms of application as the Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters may, in consultation with the Manager, deem appropriate. 14. The Manager reserves the right to reject or to accept, in whole or in part, or to scale down or to ballot any application, without assigning any reason therefor, and no enquiry and/or correspondence on the decision of the Manager will be entertained. This right applies to applications made by way of Application Forms and by way of Electronic Applications. In deciding the basis of allotment and/or allocation, due consideration will be given to the desirability of allotting the Units to a reasonable number of Applicants with a view to establishing an adequate market for the Units. 15. There will not be any physical security certificates representing the Units. It is expected that CDP will send to you, at your own risk, within 15 Market Days after the close of the Offering, and subject to the submission of valid applications and payment for the Units and the Offering Price being agreed upon among the Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters and the Manager, a statement of account stating that your Securities Account has been credited with the number of Units allocated to you. This will be the only acknowledgement of application monies received and is not an acknowledgement by the Manager. You irrevocably authorise CDP to complete and sign on your behalf as transferee or renouncee of any instrument of transfer and/or other documents required for the issue or transfer of the Units allocated to you. This authorisation applies to applications made both by way of Application Forms and by way of Electronic Applications. 16. In the event that the Manager lodges a supplementary or replacement prospectus (“Relevant Document”) pursuant to the SFA or any applicable legislation in force from time to time prior to the close of the Offering, and the Units have not been issued, we will (as required by law) at the Manager’s sole and absolute discretion either:- (i) within two days (excluding any Saturday, Sunday or public holiday) from the date of the lodgement of the Relevant Document give you notice in writing of how to obtain, or arrange to receive, a copy of the same and provide you with an option to withdraw your application and take all reasonable steps to make available within a reasonable period the Relevant Document to you if you have indicated that you wish to obtain, or have arranged to receive, a copy of the Relevant Document; or

H-4 APPENDIX H

(ii) within seven days of the lodgement give you a copy of the Relevant Document and provide you with an option to withdraw your application; or

(iii) deem your application as withdrawn and cancelled and refund your application moneys (without interest or any share of revenue or other benefit arising therefrom) to you within seven days from the lodgement of the Relevant Document.

Any applicant who wishes to exercise his option under paragraph 16(i) and (ii) above to withdraw his application for the Units shall, within 14 days from the date of lodgement of the Relevant Document, notify us whereupon we shall, within seven days from the receipt of such notification, return all moneys in respect of such application (without interest or any share of revenue or other benefit arising therefrom) to you and at your own risk.

In the event that at any time at the time of the lodgement of the Relevant Document, the Units have already been issued but trading has not commenced, we will (as required by law), at the Manager’s sole and absolute discretion, either :-

(iv) within two days (excluding Saturday, Sunday or public holiday) from the date of the lodgement of the Relevant Document, give you notice in writing of how to obtain, or arrange to receive, a copy of the same and provide you with an option to return to the Manager the Units which you do not wish to retain title in and take all reasonable steps to make available within a reasonable period the Relevant Document to you if you have indicated that you wish to obtain, or have arranged to receive, a copy of the Relevant Document;

(v) within seven days of the lodgement give you a copy of the Relevant Document and provide you with an option to return the Units; or

(vi) deem the issue as void and refund your payment for the Units (without interest or any share of revenue or other benefit arising therefrom) within seven days from the lodgement of the Relevant Document.

Any applicant who wishes to exercise his option under paragraph 16(iv) and (v) above to return the Units issued to him shall, within 14 days from the date of lodgement of the Relevant Document, notify us of this and return all documents, if any, purporting to be evidence of title of those Units, whereupon we shall, within seven days from the receipt of such notification and documents, pay to him all moneys paid by him for the Units without interest or any share of revenue or other benefit arising therefrom and at his own risk, and the Units issued to him shall be void.

Additional terms and instructions applicable upon the lodgement of the supplementary or replacement prospectus, including instructions on how you can exercise the option to withdraw your application or return the Units allotted to you, may be found in such supplementary or replacement prospectus.

17. The Units may be reallocated between the Placement Tranche and the Public Offer for any reason, including in the event of excess applications in one and a deficit of applications in the other at the discretion of the Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters, in consultation with the Manager.

18. In the event of an under-subscription for Public Offer Units as at the close of the Application List, that number of Public Offer Units under-subscribed shall be made available to satisfy applications for Placement Units to the extent that there is an over- subscription for Placement Units as at the close of the Application List.

H-5 APPENDIX H

Any of the Reserved Units not taken up may be reallocated between the Placement Tranche and the Public Offer at the discretion of the Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters, in consultation with the Manager. In the event of an under-subscription for Placement Units as at the close of the Application List, that number of Placement Units under-subscribed shall be made available to satisfy applications for Public Offer Units to the extent that there is an over-subscription for Public Offer Units as at the close of the Application List. In the event of an over-subscription for Public Offer Units as at the close of the Application List and Placement Units are fully subscribed or over-subscribed as at the close of the Application List, the successful applications for Public Offer Units will be determined by ballot or otherwise as determined by the Manager and approved by the SGX-ST, if required. In all the above instances, the basis of allotment of the Units as may be decided by the Manager in ensuring a reasonable spread of shareholders of Sabana Shari’ah Compliant REIT, shall be made public, as soon as practicable, via an announcement through the SGX-ST and by advertisement in a generally circulating daily press. 19. You consent to the disclosure of your name, NRIC/passport number,address, nationality, permanent resident status, CDP Securities Account number, CPF Investment Account number (if applicable) and share application amount from your account with the relevant Participating Bank to the Registrar for the Offering and Singapore Share Transfer Agent, SCCS, SGX-ST, CDP, the Manager, Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters. You irrevocably authorise CDP to disclose the outcome of your application, including the number of Units allotted to you pursuant to your application, to the Manager, Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters and any other parties so authorised by the foregoing persons. CDP shall not be liable for any delays, failures or inaccuracies in the recording, storage or transmission or delivery of data relating to Electronic Applications. 20. Any reference to “you” or the “Applicant” in this section shall include an individual, a corporation, an approved nominee and trustee applying for the Public Offer Units by way of an Application Form or by way of an Electronic Application and a person applying for the Placement Units through the placement agents and a person applying for the Reserved Units. 21. By completing and delivering an Application Form or by making and completing an Electronic Application by (in the case of an ATM Electronic Application) pressing the “Enter” or “OK” or “Confirm” or “Yes” or any other relevant key on the ATM (as the case may be) or by (in the case of an Internet Electronic Application) clicking “Submit” or “Continue” or “Yes” or “Confirm” or any other relevant button on the IB website screen (as the case may be) in accordance with the provisions of this Prospectus, you:- (a) irrevocably offer to subscribe for the number of Units specified in your application (or such smaller number for which the application is accepted) at the Offering Price and agree that you will accept such Units as may be allotted to you, in each case subject to the conditions set out in this Prospectus and the Trust Deed; (b) agree that, in the event of any inconsistency between the terms and conditions set for application set out in this Prospectus and those set out in the IB websites or ATMs of the Participating Banks, the terms and conditions set out in this Prospectus shall prevail;

H-6 APPENDIX H

(c) agree that the aggregate Offering Price for the Units applied for is due and payable to the Manager upon application; (d) warrant the truth and accuracy of the information provided in your application, and acknowledge and agree that such information, representations and declarations will be relied on by the Manager in determining whether to accept your application and/or whether to allot any Units to you; and (e) agree and warrant that, if the laws of any jurisdictions outside Singapore are applicable to your application, you have complied with all such laws and none of the Manager, Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters will infringe any such laws as a result of the acceptance of your application. 22. Our acceptance of applications will be conditional upon, inter alia, the Manager being satisfied that:- (a) permission has been granted by the SGX-ST to deal in and for quotation for (i) all Units comprised in the Offering, (ii) the Sponsor Units, (iii) the Cornerstone Units and (iv) all the Units which will be issued to the Manager from time to time in full or part payment of the Manager’s management fees. Such permission will be granted when Sabana Shari’ah Compliant REIT has been admitted to the Official List of the SGX-ST; (b) the Underwriting Agreement referred to in the section titled “Plan of Distribution” of this Prospectus has become unconditional and has not been terminated; and (c) the Authority has not served a stop order which directs that no or no further Units to which this Prospectus relates be allotted or allocated. 23. In the event that a stop order in respect of the Units is served by the Authority or other competent authority, and (a) the Units have not been issued, we will (as required by law) deem all applications withdrawn and cancelled and the Manager shall refund the application moneys (without interest or any share of revenue or other benefit arising therefrom) to you within 14 days of the date of the stop order; or (b) If the Units have already been issued but trading has not commenced, the issue will (as required by law) be deemed void and (i) if documents purporting to evidence title had been issued to you, the Manager shall, inform you to return such documents to the Manager within 14 days from that date; and (ii) we will refund the application moneys (without interest or any share of revenue or other benefit arising therefrom) to you within seven days from the date of receipt of those documents (if applicable) or the date of the stop order, whichever is later. This shall not apply where only an interim stop order has been served. 24. In the event that an interim stop order in respect of the Units is served by the Authority or other competent authority, no Units shall be issued to you until the Authority revokes the interim stop order. 25. The Authority is not able to serve a stop order in respect of the Units if the Units have been issued and listed on a securities exchange and trading in them has commenced.

H-7 APPENDIX H

26. In the event of any changes in the closure of the Application List or the time period during which the Offering is open, we will publicly announce the same through a SGXNET announcement to be posted on the Internet on the SGX-ST website http://www.sgx.com and through one or more major Singapore newspapers. 27. We will not hold any application in reserve. 28. We will not allot Units on the basis of this Prospectus later than 12 months after the date of registration of this Prospectus. 29. Additional terms and conditions for applications by way of Application Forms are set out on pages H-9 to H-13 of this Prospectus. 30. Additional terms and conditions for applications by way of Electronic Applications are set out on pages H-13 to H-22 of this Prospectus.

H-8 APPENDIX H

ADDITIONAL TERMS AND CONDITIONS FOR APPLICATIONS USING APPLICATION FORMS Applications by way of an Application Form shall be made on, and subject to, the terms and conditions of this Prospectus including but not limited to the terms and conditions appearing below as well as those set out under the “TERMS, CONDITIONS AND PROCEDURES FOR APPLICATION AND ACCEPTANCE OF THE UNITS IN SINGAPORE” of this Prospectus, as well as the Trust Deed. 1. Your application must be made using the WHITE Application Forms and WHITE official envelopes “A” and “B” for the Public Offer Units or the BLUE Application Forms for Placement Units or the PINK Application Forms for Reserved Units accompanying and forming part of this Prospectus. We draw your attention to the detailed instructions contained in the respective Application Forms and this Prospectus for the completion of the Application Forms which must be carefully followed. The Manager reserves the right to reject applications which do not conform strictly to the instructions set out in the Application Forms and this Prospectus or to the terms and conditions of this Prospectus or which are illegible, incomplete, incorrectly completed or which are accompanied by improperly drawn remittances or improper form of remittance. 2. Your Application Forms must be completed in English. Please type or write clearly in ink using BLOCK LETTERS. 3. All spaces in the Application Forms except those under the heading “FOR OFFICIAL USE ONLY” must be completed and the words “NOT APPLICABLE” or “N.A.” should be written in any space that is not applicable. 4. Individuals, corporations, approved nominee companies and trustees must give their names in full. If you are an individual, you must make your application using your full names as it appears in your identity cards (if you have such an identification document) or in your passport and, in the case of a corporation, in your full name as registered with a competent authority.If you are not an individual, you must complete the Application Form under the hand of an official who must state the name and capacity in which he signs the Application Form. If you are a corporation completing the Application Form, you are required to affix your Common Seal (if any) in accordance with your Memorandum and Articles of Association or equivalent constitutive documents of the corporation. If you are a corporate applicant and your application is successful, a copy of your Memorandum and Articles of Association or equivalent constitutive documents must be lodged with Sabana Shari’ah Compliant REIT’s Unit Registrar and Singapore Share Transfer Agent. The Manager reserves the right to require you to produce documentary proof of identification for verification purposes. 5. (a) You must complete Sections A and B and sign page 1 of the Application Form. (b) You are required to delete either paragraph 7(c) or 7(d) on page 1 of the Application Form. Where paragraph 7(c) is deleted, you must also complete Section C of the Application Forms with particulars of the beneficial owner(s). (c) If you fail to make the required declaration in paragraph 7(c) or 7(d), as the case may be, on page 1 of the Application Form, your application is liable to be rejected. 6. You (whether you are an individual or corporate applicant, whether incorporated or unincorporated and wherever incorporated or constituted) will be required to declare whether you are a citizen or permanent resident of Singapore or a corporation in which citizens or permanent residents of Singapore or any body corporate constituted under any statute of Singapore having an interest in the aggregate of more than 50 per cent. of

H-9 APPENDIX H

the issued share capital of or interests in such corporations. If you are an approved nominee company, you are required to declare whether the beneficial owner of the Units is a citizen or permanent resident of Singapore or a corporation, whether incorporated or unincorporated and wherever incorporated or constituted, in which citizens or permanent residents of Singapore or any body corporate whether incorporated or unincorporated and wherever incorporated or constituted under any statute of Singapore have an interest in the aggregate of more than 50 per cent. of the issued share capital of or interests in such corporation. 7. Your may apply and make payment for your Units in Singapore currency as follows: - (a) Cash only — Your application must be accompanied by a remittance in Singapore currency for the full amount payable at the Offering Price, in respect of the number of Units applied for, in the form of a BANKER’S DRAFT or CASHIER’S ORDER drawn on a bank in Singapore, made out in favour of “SABANA REIT UNIT ISSUE ACCOUNT” crossed “A/C PAYEE ONLY”, and with your name and address written clearly on the reverse side. Applications not accompanied by any payment or accompanied by ANY OTHER FORM OF PAYMENT WILL NOT BE ACCEPTED. We will reject remittances bearing “NOT TRANSFERABLE” or “NON TRANSFERABLE” crossings. No acknowledgement or receipt will be issued by the Manager, Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters for applications and application moneys received. (b) CPF Funds only — You may apply for the Units using only CPF Funds. Each application must be accompanied by a remittance in Singapore currency for the full amount payable at the Offering Price, in respect of the number of Units applied for. The remittance must be in the form of a CPF CASHIER’S ORDER (available for purchase at the CPF approved bank with which the applicant maintains his CPF Investment Account), made out in favour of “SABANA REIT UNIT ISSUE ACCOUNT” with your name, Securities Account number and address written clearly on the reverse side. Applications not accompanied by any payment or accompanied by any other form of payment will not be accepted. For additional terms and conditions governing the use of CPF Funds, please refer to page H-22 of this document. (c) Cash and CPF Funds — You may apply for the Units using a combination of cash and CPF Funds, PROVIDED THAT the number of Units applied for under each payment method is in lots of 1,000 Units or integral multiples thereof. Such applications must comply with the requirements for applications by cash and by CPF Funds as set out in the preceding paragraphs. In the event that applications for Public Offer Units are accepted in part only, the cash portion of the application monies will be used in respect of such applications before the CPF Funds are used. An applicant applying for 1,000 Units must use either cash only or CPF Funds only. No acknowledgement of receipt will be issued for applications and application monies received. 8. Moneys paid in respect of unsuccessful applications are expected to be returned (without interest or any share of revenue or other benefit arising therefrom) to you by ordinary post within 24 hours of balloting of applications at your own risk. Where your application is rejected or accepted in part only, the full amount or the balance of the application moneys, as the case may be, will be refunded (without interest or any share of revenue or other benefit arising therefrom) to you by ordinary post at your own risk within 14 days

H-10 APPENDIX H

after the close of the Application List. In the event that the Offering does not proceed for any reason, the full amount of the application moneys received will be refunded (without interest or any share of revenue or other benefit arising therefrom) to you by ordinary post or telegraphic transfer at your own risk within 3 Market Days of the termination of the Offering. In the event that the Offering is cancelled by us following the issuance of a stop order by the Authority, the application moneys received will be refunded (without interest or any share of revenue or other benefit arising therefrom) to you by ordinary post or telegraphic transfer at your own risk within 14 days from the date of the stop order. 9. Capitalised terms used in the Application Forms and defined in this Prospectus shall bear the meanings assigned to them in this Prospectus. 10. By completing and delivering the Application Form, you agree that:- (a) in consideration of the Manager having distributed the Application Form to you and agreeing to close the Application List at 6.00 p.m. on 24 November 2010 or such other time or date as the Manager may, in consultation with the Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters decide and by completing and delivering the Application Form:- (i) your application is irrevocable; and (ii) your remittance will be honoured on first presentation and that any moneys returnable may be held pending clearance of your payment without interest or any share of revenue or other benefit arising therefrom; and (iii) you represent and agree that you are not a U.S person (within the meaning of Regulation S); (b) all applications, acceptances and contracts resulting therefrom under the Offering shall be governed by and construed in accordance with the laws of Singapore and that you irrevocably submit to the non-exclusive jurisdiction of the Singapore courts; (c) in respect of the Units for which your application has been received and not rejected, acceptance of your application shall be constituted by written notification and not otherwise, notwithstanding any remittance being presented for payment by or on behalf of the Manager; (d) you will not be entitled to exercise any remedy of rescission for misrepresentation at any time after acceptance of your application; (e) in making your application, reliance is placed solely on the information contained in this Prospectus and that none of the Manager, Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters the placement agents or any other person involved in the Offering shall have any liability for any information not so contained; (f) you consent to the disclosure of your name, NRIC/passport number, address, nationality, permanent resident status, CDP Securities Account number, CPF Investment Account number (if applicable) and share application amount to our Share Registrar, CDP,SCCS, SGX-ST,the Manager, Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters or other authorised operators; and (g) you irrevocably agree and undertake to subscribe for the number of Units applied for as stated in the Application Form or any smaller number of such Units that may

H-11 APPENDIX H

be allotted to you in respect of your application. In the event that the Manager decides to allot a smaller number of Units or not to allot any Units to you, you agree to accept such decision as final.

Applications for Public Offer Units 1. Your application for Public Offer Units MUST be made using the WHITE Public Offer Units Application Forms and WHITE official envelopes “A” and “B”. ONLY ONE APPLICATION should be enclosed in each envelope. No acknowledgement of receipt will be issued for any application or remittance received. 2. You must:- (a) enclose the WHITE Public Offer Units Application Form, duly completed and signed, together with the correct remittance in accordance with the terms and conditions of this Prospectus in the WHITE envelope “A” provided; (b) in the appropriate spaces on WHITE envelope “A”:- (i) write your name and address; (ii) state the number of Public Offer Units applied for; (iii) tick the relevant box to indicate the form of payment; and (iv) affix adequate Singapore postage; (c) SEAL WHITE ENVELOPE “A”; (d) write, in the special box provided on the larger WHITE envelope “B” addressed to Boardroom Corporate & Advisory Services Pte. Ltd., 50 Raffles Place #32- 01 Singapore Land Tower, Singapore 048623, the number of Public Offer Units you have applied for; and (e) insert WHITE envelope “A” into WHITE envelope “B”, seal WHITE envelope “B” and thereafter DESPATCH BY ORDINARY POST OR DELIVER BY HAND at your own risk to Boardroom Corporate & Advisory Services Pte. Ltd., 50 Raffles Place #32-01 Singapore Land Tower, Singapore 048623,toarriveby 6.00 p.m. on 24 November 2010 or such other time as the Manager may, in consultation with the Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters decide. Local Urgent Mail or Registered Post must NOT be used. 3. Applications that are illegible, incomplete or incorrectly completed or accompanied by improperly drawn remittances or improper form of remittance or which are not honoured upon their first presentation are liable to be rejected. 4. ONLYONE APPLICATION should be enclosed in each envelope. No acknowledgement of receipt will be issued for any application or remittance received.

Applications for Placement Units 1. Your application for Placement Units MUST be made using the BLUE Placement Units Application Forms. ONLY ONE APPLICATION should be enclosed in each envelope. No acknowledgement of receipt will be issued for any application or remittance received. No acknowledgement of receipt will be issued for any application or remittance received. 2. The completed BLUE Placement Units Application Form and the correct remittance (in accordance with the terms and conditions of this Prospectus) with your name and address written clearly on the reverse side, must be enclosed and sealed in an

H-12 APPENDIX H

envelope to be provided by you. The sealed envelope must be DESPATCHED BY ORDINARY POST OR DELIVERED BY HAND at your own risk to Boardroom Corporate & Advisory Services Pte. Ltd., 50 Raffles Place #32-01 Singapore Land Tower, Singapore 048623,toarriveby6.00 p.m. on 24 November 2010 or such other time as the Manager may, in consultation with the Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters decide. Local Urgent Mail or Registered Post must NOT be used. 3. Applications that are illegible, incomplete or incorrectly completed or accompanied by improperly drawn remittances or improper form of remittance or which are not honoured upon their first presentation are liable to be rejected.

Applications for Reserved Units 1. Your application for Reserved Units MUST be made using the PINK Reserved Units Application Forms. ONLY ONE APPLICATION should be enclosed in each envelope. No acknowledgement of receipt will be issued for any application or remittance received. 2. The completed PINK Reserved Units Application Form and the correct remittance (in accordance with the terms and conditions of this Prospectus) with your name and address written clearly on the reverse side, must be enclosed and sealed in an envelope to be provided by you. The sealed envelope must be DESPATCHED BY ORDINARY POST OR DELIVERED BY HAND at your own risk to Boardroom Corporate & Advisory Services Pte. Ltd., 50 Raffles Place #32-01 Singapore Land Tower, Singapore 048623 to arrive by 6.00 p.m. on 24 November 2010 or such other time as the Manager may, in consultation with the Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters decide. Local Urgent Mail or Registered Post must NOT be used. 3. Applications that are illegible, incomplete or incorrectly completed or accompanied by improperly drawn remittances or improper form of remittance or which are not honoured upon their first presentation are liable to be rejected.

ADDITIONAL TERMS AND CONDITIONS FOR ELECTRONIC APPLICATIONS The procedures for Electronic Applications are set out on the ATM screens (in the case of ATM Electronic Applications) and the IB website screens (in the case of Internet Electronic Applications) of the relevant Participating Banks. Currently, UOB Group and DBS, are the only Participating Banks through which Internet Electronic Applications can be made. For illustration purposes, the procedures for Electronic Applications through ATMs and the IB website of UOB Group are set out respectively in the “Steps for Electronic Applications through ATMs of UOB Group” and the “Steps for Internet Electronic Applications through the IB website of UOB Group” (collectively, the “Steps”) appearing on pages H-19 to H-22 of this Prospectus. The Steps set out the actions that you must take at an ATM or the IB website of UOB Group to complete an Electronic Application. Please read carefully the terms of this Prospectus, the Steps and the terms and conditions for Electronic Applications set out below before making an Electronic Application. Any reference to “you” in the additional terms and conditions for Electronic Applications and the Steps shall refer to you making an application for Public Offer Units through an ATM or the IB website of a relevant Participating Bank. Applicants applying for the Public Offer Units by way of Electronic Applications may incur an administrative fee and/or such related charges as stipulated by the respective Participating Banks from time to time. You must have an existing bank account with and be an ATM cardholder of one of the Participating Banks before you can make an Electronic Application at the ATMs. An ATM

H-13 APPENDIX H card issued by one Participating Bank cannot be used to apply for Public Offer Units at an ATM belonging to other Participating Banks. For an Internet Electronic Application, you must have an existing bank account with and an IB User Identification (“User ID”) and a Personal Identification Number/Password (“PIN”) given by the relevant Participating Bank. The Steps set out the actions that you must take at ATMs or the IB website of UOB Group to complete an Electronic Application. The actions that you must take at ATMs or the IB websites of other Participating Banks are set out on the ATM screens or the IB website screens of the relevant Participating Banks. Upon the completion of your ATM Electronic Application transaction, you will receive an ATM transaction slip (“Transaction Record”), confirming the details of your Electronic Application. Upon completion of your Internet Electronic Application through the IB website of UOB Group, there will be an on-screen confirmation (“Confirmation Screen”) of the application which can be printed for your record. The Transaction Record or your printed record of the Confirmation Screen is for your retention and should not be submitted with any Application Form. You must ensure that you enter your own Securities Account number when using the ATM card issued to you in your own name. If you fail to use your own ATM card or if you do not key in your own Securities Account number, your application will be rejected. If you operate a joint bank account with any of the Participating Banks, you must ensure that you enter your own Securities Account number when using the ATM card issued to you in your own name. Using your own Securities Account number with an ATM card which is not issued to you in your own name will render your ATM Electronic Application liable to be rejected. You must ensure, when making an Internet Electronic Application, that your mailing address for the account selected for the application is in Singapore and the application is being made in Singapore and you will be asked to declare accordingly.Otherwise your application is liable to be rejected. You shall make an Electronic Application in accordance with and subject to the terms and conditions of this Prospectus including but not limited to the terms and conditions appearing below and those set out under the section on “TERMS, CONDITIONS AND PROCEDURES FOR APPLICATION AND ACCEPTANCE OF THE UNITS IN SINGAPORE” on pages H-1 to H-23 of this Prospectus as well as the Trust Deed. 1. In connection with your Electronic Application for Public Offer Units, you are required to confirm statements to the following effect in the course of activating your Electronic Application:- (a) that you have received a copy of this Prospectus (in the case of an ATM Electronic Application only) and have read, understood and agreed to all the terms and conditions of application for Public Offer Units and this Prospectus prior to effecting the Electronic Application and agree to be bound by the same; (b) that you consent to the disclosure of your name, NRIC/passport number, address, nationality, permanent residence status, share application amount, CPF Investment Account number (if applicable) and CDP Securities Account number and application details (the “Relevant Particulars”) with the relevant Participating Bank to the CDP, CPF, SCCS, SGX-ST, Share Registrar, the Manager, Sole Financial Adviser, Joint Global Coordinators Issue Managers, Bookrunners and Underwriters (the “Relevant Parties”); and (c) that this is your only application for Public Offer Units and it is made in your own name and at your own risk.

H-14 APPENDIX H

Your application will not be successfully completed and cannot be recorded as a completed transaction in the ATM or on the IB website unless you press the “Enter” or “Confirm” or “Yes” or “OK” or any other relevant key in the ATM or click “Confirm” or “OK” or “Submit” or “Continue” or “Yes” or any other relevant button on the IB website screen. By doing so, you shall be treated as signifying your confirmation of each of the above three statements. In respect of statement 1(b) above, such confirmation, shall signify and shall be treated as your written permission, given in accordance with the relevant laws of Singapore including Section 47(2) of the Banking Act (Chapter 19) of Singapore to the disclosure by the relevant Participating Bank of the Relevant Particulars to the Relevant Parties. 2. BY MAKING AN ELECTRONIC APPLICATION, YOU CONFIRM THAT YOU ARE NOT APPLYING FOR PUBLIC OFFER UNITS AS A NOMINEE OF ANY OTHER PERSON AND THAT ANY ELECTRONIC APPLICATION THAT YOU MAKE IS THE ONLY APPLICATION MADE BY YOU AS THE BENEFICIAL OWNER. YOU SHOULD MAKE ONLY ONE ELECTRONIC APPLICATION FOR PUBLIC OFFER UNITS AND SHOULD NOT MAKE ANY OTHER APPLICATION FOR THE PUBLIC OFFER UNITS OR PLACEMENT UNITS, WHETHER AT THE ATMS OR THE IB WEBSITES (IF ANY) OF ANY PARTICIPATING BANK OR ON THE APPLICATION FORMS. IF YOU HAVE MADE AN APPLICATION FOR PUBLIC OFFER UNITS OR PLACEMENT UNITS ON AN APPLICATION FORM, YOU SHALL NOT MAKE AN ELECTRONIC APPLICATION FOR OFFER UNITS AND VICE VERSA. 3. You must have sufficient funds in your bank account with your Participating Bank at the time you make your Electronic Application, failing which your Electronic Application will not be completed or accepted. Any Electronic Application which does not conform strictly to the instructions set out in this Prospectus or on the screens of the ATM or the IB website through which your Electronic Application is being made shall be rejected. You may make an ATM Electronic Application at the ATM of any Participating Bank or an Internet Electronic Application at the IB website of the relevant Participating Bank for the Public Offer Units using only cash by authorising such Participating Bank to deduct the full amount payable from your account with such Participating Bank. 4. Your may apply and make payment for your Units in Singapore currency as follows: - (a) Cash only — You may apply for the Public Offer Units through any ATM or IB website (as the case may be) of your Participating Bank by authorising your Participating Bank to deduct the full amount payable from your bank account(s) with such Participating Bank. (b) CPF Funds only — You may apply for the Public Offer Units through any ATM or IB website (as the case may be) of your Participating Bank using only CPF Funds by authorising your Participating Bank to deduct the full amount payable from your CPF Investment Account with the respective Participating Bank. For additional terms and conditions governing the use of CPF Funds, please refer to page H-22 of this Prospectus. (c) Cash and CPF Funds — You may apply for the Public Offer Units through any ATM or IB website (as the case may be) of your Participating Bank using a combination of cash and CPF Funds, PROVIDED THAT the number of Units applied for under each payment method is in lots of 1,000 Units or integral multiples thereof. Such applications must comply with the requirements for applications by cash and by CPF Funds as set out in the preceding

H-15 APPENDIX H

paragraphs. In the event that such applications are accepted in part only,the cash portion of the application monies will be used in respect of such applications before the CPF Funds are used. An applicant applying for 1,000 Public Offer Units must use either cash only or CPF Funds only. 5. You irrevocably agree and undertake to subscribe for and to accept the number of Public Offer Units applied for as stated on the Transaction Record or the Confirmation Screen or any lesser number of Public Offer Units that may be allotted to you in respect of your Electronic Application. In the event that the Manager decides to allot any lesser number of such Public Offer Units or not to allot any Public Offer Units to you, you agree to accept such decision as final. If your Electronic Application is successful, your confirmation (by your action of pressing the “Enter” or “Confirm” or “Yes” or “OK” or any other relevant key on the ATM or clicking “Confirm” or “OK” or “Submit” or “Continue” or “Yes” or any other relevant button on the IB website screen) of the number of Public Offer Units applied for shall signify and shall be treated as your acceptance of the number of Public Offer Units that may be allotted to you and your agreement to be bound by the Trust Deed. 6. We will not keep any applications in reserve. Where your Electronic Application is unsuccessful, the full amount of the application moneys will be refunded (without interest or any share of revenue or other benefit arising therefrom) to you by being automatically credited to your account with your Participating Bank within 24 hours of balloting of the applications provided that the remittance in respect of such application which has been presented for payment or other processes have been honoured and the application moneys have been received in the designated Share issue account. Trading on a “WHEN ISSUED” basis, if applicable, is expected to commence after such refund has been made. Where your Electronic Application is rejected or accepted in part only, the full amount or the balance of the application moneys, as the case may be, will be refunded (without interest or any share of revenue or other benefit arising therefrom) to you by being automatically credited to your account with your Participating Bank within 14 days after the close of the Application List provided that the remittance in respect of such application which has been presented for payment or other processes have been honoured and the application moneys have been received in the designated Share issue account. In the event that the Offering does not proceed for any reason, the full amount of the application moneys received will be refunded (without interest or any share of revenue or other benefit arising therefrom) to you by ordinary post or telegraphic transfer at your own risk with 3 Market Days of the termination of the Offering. Responsibility for timely refund of application moneys from unsuccessful or partially successful Electronic Applications lies solely with the respective Participating Banks. Therefore, you are strongly advised to consult your Participating Bank as to the status of your Electronic Application and/or the refund of any moneys to you from unsuccessful or partially successful Electronic Application, to determine the exact number of Public Offer Units allotted to you before trading the Public Offer Units on SGX-ST. You may also call CDP Phone at 6535 7511 to check the provisional results of your application by using your T-pin (issued by CDP upon your application for the service) and keying in the stock code (that will be made available together with the results of the allotment and/or allocation via an announcement through the SGX-ST and by advertisement in a generally circulating daily press). To sign for the service, you may contact CDP customer service officers. Neither the SGX-ST, the CDP, the SCCS, the Participating Banks, the Manager, Sole Financial Adviser, Joint Global

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Coordinators, Issue Managers, Bookrunners and Underwriters assume any responsibility for any loss that may be incurred as a result of you having to cover any net sell positions or from buy-in procedures activated by the SGX-ST.

7. If your Electronic Application is unsuccessful, no notification will be sent by the Participating Banks.

If you make Electronic Applications through the ATMs of the following Participating Banks, you may check the results of your Electronic Applications as follows:-

Service Expected Bank Telephone Available at ATM Operating Hours from UOB Group 1800 222 2121 ATM (Other Transactions — 24 hours a day Evening of the “IPO Enquiry”)(1) balloting day http://www.uobgroup.com(1)(2) DBS Bank 1 800 339 6666 Internet Banking 24 hours a day Evening of the (for POSB Account http://www.dbs.com(2) balloting day holders) 1800 111 1111 (for DBS Account holders) OCBC Bank 1 800 363 3333 ATM/Internet 24 hours a day Evening of the Banking/Phone Banking balloting day http://www.ocbc.com(3)

(1) If you make your Electronic Applications through the ATMs or IB website of UOB Group, you may check the results of your application through UOB Personal Internet Banking, UOB Group ATMs or UOB Phone Banking Services. (2) If you make your Internet Electronic Application through the IB website of UOB Group or DBS Bank, you may check the result of your application through the same channels listed in the table above in relation to ATM Electronic Application made at ATMs of UOB Group or DBS Bank. (3) If you made an Electronic Application through the ATMs of OCBC Bank, you may check the results of your Electronic Application through the same channels listed in the table above.

8. You irrevocably agree and acknowledge that your Electronic Application is subject to risks of electrical, electronic, technical and computer-related faults and breakdowns, fires, acts of God and other events beyond the control of the Participating Banks, the Manager, Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters and if, in any such event, the Manager, Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters and/or the relevant Participating Bank do not receive your Electronic Application, or data relating to your Electronic Application or the tape or any other devices containing such data is lost, corrupted or not otherwise accessible, whether wholly or partially for whatever reason, you shall be deemed not to have made an Electronic Application and you shall have no claim whatsoever against the Manager, Sole Financial Adviser, Joint Global Coordinators, Bookrunners and Underwriters and/or the relevant Participating Bank for Public Offer Units applied for or for any compensation, loss or damage.

9. Electronic Applications shall close at 6.00 p.m. on 24 November 2010 or such other time as the Manager may, in consultation with the Manager, Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters, decide. Subject to the paragraph above, an Internet Electronic Application is deemed to be received only upon its completion, that is, when there is an on-screen confirmation of the application.

H-17 APPENDIX H

10. You are deemed to have irrevocably requested and authorised the Manager or the Trustee to:- (a) register the Public Offer Units allotted to you in the name of CDP for deposit into your Securities Account; (b) send the relevant Share certificate(s) to CDP; (c) return or refund (without interest or any share of revenue earned or other benefit arising therefrom) the application moneys, should your Electronic Application be unsuccessful, by automatically crediting your bank account with your Participating Bank with the relevant amount within 24 hours of the balloting of applications, or within three Market Days if the Offering odes not proceeds for any reason, after the close or discontinuation (as the case may be) of the Offering, provided that remittance in respect of such application has been presented for payment or such other processes has been honoured and application monies received in the designated unit issue account; and (d) return or refund (without interest or any share of revenue or other benefit arising therefrom) the balance of the application moneys, should your Electronic Application be accepted in part only, by automatically crediting your bank account with your Participating Bank with the relevant amount within 14 days after the close of the Application List. 11. The Manager does not recognise the existence of a trust. Any Electronic Application by a trustee must be made in your own name and without qualification. The Manager will reject any application by any person acting as nominee except those made by approved nominee companies only. 12. All your particulars in the records of your relevant Participating Bank at the time you make your Electronic Application shall be deemed to be true and correct and your relevant Participating Bank and the Relevant Parties shall be entitled to rely on the accuracy thereof. If there has been any change in your particulars after the time of the making of your Electronic Application, you shall promptly notify your relevant Participating Bank. 13. You should ensure that your personal particulars as recorded by both CDP and the relevant Participating Bank are correct and identical, otherwise, your Electronic Application is liable to be rejected. You should promptly inform CDP of any change in address, failing which the notification letter on successful allotment will be sent to your address last registered with CDP. 14. By making and completing an Electronic Application, you are deemed to have agreed that:- (a) in consideration of the Manager making available the Electronic Application facility, through the Participating Banks as the agents of the Manager, at the ATMs and IB websites (if any):- (i) your Electronic Application is irrevocable; and (ii) your Electronic Application, our acceptance and the contract resulting therefrom under the Offering shall be governed by and construed in accordance with the laws of Singapore and you irrevocably submit to the non-exclusive jurisdiction of the Singapore courts; (b) neither the Manager, Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters nor the Participating Banks shall be liable for any delays, failures or inaccuracies in the recording, storage or in the

H-18 APPENDIX H

transmission or delivery of data relating to your Electronic Application to the Manager or CDP due to breakdowns or failure of transmission, delivery or communication facilities or any risks referred to in paragraph 7 above or to any cause beyond our respective controls; (c) in respect of Public Offer Units for which your Electronic Application has been successfully completed and not rejected, acceptance of your Electronic Application shall be constituted by written notification by or on behalf of the Manager and not otherwise, notwithstanding any payment received by or on behalf of the Manager; (d) you will not be entitled to exercise any remedy of rescission for misrepresentation at any time after acceptance of your application; and (e) in making your application, reliance is placed solely on the information contained in this Prospectus and that none of the Manager, Sole Financial Adviser, Joint Global Coordinators, Issue Managers, Bookrunners and Underwriters or any other person involved in the Offering shall have any liability for any information not so contained.

Steps for Electronic Applications through ATMs and the IB website of UOB Group The instructions for Electronic Applications will appear on the ATM screens and the IB website screens of the respective Participating Banks. For illustrative purposes, the steps for making an Electronic Application through UOB Group’s ATMs or through the IB website of UOB are shown below. Instructions for Electronic Applications appearing on the ATM screens and the IB website screens (if any) of the relevant Participating Banks (other than UOB Group) may differ from that represented below. Owing to space constraints on UOB Group’s ATM screens, the following terms may appear in abbreviated form:- ‘‘&” : and “A/C” and “A/CS” : ACCOUNT AND ACCOUNTS, respectively “ADDR” : ADDRESS “AMT” : AMOUNT “APPLN” : APPLICATION “CDP” : THE CENTRAL DEPOSITORY (PTE) LIMITED “CPF” : CENTRAL PROVIDENT FUND BOARD “CPFINVT A/C” : CPF INVESTMENT ACCOUNT “ESA” : ELECTRONIC SHARE APPLICATION “IC/PSSPT” : NRIC or PASSPORT NUMBER “NO” or “NO.” : NUMBER “PERSONAL NO” : PERSONAL IDENTIFICATION NUMBER “REGISTRARS” : SHARE REGISTRARS “SCCS” : SECURITIES CLEARING & COMPUTER SERVICES (PTE) LTD “TRANS” : TRANSACTIONS Steps for an ATM Electronic Application through ATMs of UOB Group Step 1: Insert your personal Unicard, Uniplus card or UOB VISA/MASTER card and key in your personal identification number 2: Select “CASHCARD/OTHER TRANS” 3: Select “SECURITIES APPLICATION” 4: Select the share counter which you wish to apply for

H-19 APPENDIX H

5: Read and understand the following statements which will appear on the screen:-

k THIS OFFER OF SECURITIES (OR UNITS OF SECURITIES) WILL BE MADE IN, OR ACCOMPANIED BY, A COPY OF THE PROSPECTUS/ OFFER INFORMATION STATEMENT/ DOCUMENT OR SUPPLEMENTARY DOCUMENTS. ANYONE WISHING TO ACQUIRE THESE SECURITIES (OR UNITS OF SECURITIES) WILL NEED TO MAKE AN APPLICATION IN THE MANNER SET OUT IN THE PROSPECTUS/ OFFER INFORMATION STATEMENT/ DOCUMENT OR SUPPLEMENTARY DOCUMENTS (Customer to press “ENTER” to continue)

k PLEASE CALL 1800 222 2121 IF YOU WOULD LIKE TO FIND OUT WHERE YOU CAN OBTAIN A COPY OF THE PROSPECTUS/ OFFER INFORMATION STATEMENT/ DOCUMENT OR SUPPLEMENTARY DOCUMENT. WHERE APPLICABLE, A COPY OF THE PROSPECTUS/ OFFER INFORMATION STATEMENT/ DOCUMENT OR SUPPLEMENTARY DOCUMENT HAS BEEN LODGED WITH AND/OR REGISTERED BY THE MONETARY AUTHORITY OF SINGAPORE WHO ASSUMES NO RESPONSIBILITY FOR THE CONTENTS OF THE PROSPECTUS/ OFFER INFORMATION STATEMENT/ DOCUMENT OR SUPPLEMENTARY DOCUMENT (Customer to press “ENTER” to continue) 6: Read and understand the following terms which will appear on the screen:-

k YOU HAVE READ, UNDERSTOOD AND AGREED TO ALL TERMS OF THE PROSPECTUS/ OFFER INFORMATION STATEMENT/ DOCUMENT/ SUPPLEMENTARY DOCUMENT AND THIS ELECTRONIC APPLICATION. (Customer to press “ENTER” to continue)

k YOU CONSENT TO DISCLOSE YOUR NAME, IC/ PASSPORT,NATIONALITY, ADDRESS, APPLICATION AMOUNT, CPF INVESTMENT ACCOUNT NUMBER AND CDP ACCOUNT NUMBER FROM YOUR ACCOUNTS TO CDP, CPF, SCCS, SHARE REGISTRARS, SGX-ST AND ISSUER/ VENDOR(S).

k THIS IS YOUR ONLY FIXED PRICE APPLICATION AND IS IN YOUR NAME AND AT YOUR RISK, (Customer to press “ENTER” to confirm) 7: Screen will display:- NRIC/Passport No. XXXXXXXXXXXX IF YOUR NRIC / PASSPORT NUMBER IS INCORRECT, PLEASE CANCEL THE TRANSACTION AND NOTIFY THE BRANCH PERSONALLY. (Customer to press “CANCEL” or “CONFIRM”) 8: Select mode of payment i.e. “CASH ONLY”, “CPF ONLY” OR “CASH & CPF”. Where the mode of payment involves cash payment, you will be prompted to select the Cash Account type to debit (i.e., “CURRENT ACCOUNT / I- ACCOUNT”, “CAMPUS” OR “SAVINGS ACCOUNT / TX ACCOUNT”). Should you have a few accounts linked to your ATM card, a list of linked account numbers will be displayed for you to select. 9: After you have selected the account, your CDP Securities Account number will be displayed for you to confirm or change (This screen with your CDP Securities Account number will be shown if your CDP Securities Account number is already stored in the

H-20 APPENDIX H

ATM system of UOB). If this is the first time you are using UOB’s ATM to apply for Units, your CDP Securities Account number will not be stored in the ATM system of UOB, and the following screen will be displayed for your input of your CDP Securities Account number 10:Read and understand the following terms which will appear on the screen:- 1. YOU ARE REQUIRED TO ENTER YOUR CDP ACCOUNT NUMBER FOR YOUR FIRST IPO/ SECURITIES APPLICATION. THIS ACCOUNT NUMBER WOULD BE DISPLAYED FOR FUTURE APPLICATIONS. 2. DO NOT APPLY FOR JOINT ACCOUNT HOLDER OR THIRD PARTIES. 3. PLEASE ENTER YOUR OWN CDP ACCOUNT NUMBER (12 DIGITS) & PRESS “ENTER”. (If you wish to terminate the transaction, please press “CANCEL”) 11:Select your nationality status 12:Key in the quantity of Public Offer Units you wish to apply for and press the “ENTER” key 13:Check the details of your Electronic Application on the screen and press “ENTER” key to confirm your Electronic Application 14:Select “NO” if you do not wish to make any further transactions and remove the Transaction Record. You should keep the Transaction Record for your own reference only Owing to space constraints on UOB’s IB website screens, the following terms will appear in abbreviated form:- “CDP” : The Central Depository (Pte) Limited “CPF” : The Central Provident Fund “NRIC” or “I/C” : National Registration Identity Card “PR” : Permanent Resident “SGD” or S$ : Singapore Dollars “SCCS” : Securities Clearing & Computer Services (Pte) Ltd “SGX” : Singapore Exchange Securities Trading Limited Steps for an Internet Electronic Application through the IB website of UOB Group Step 1: Connect to UOB website at http://www.uob.com.sg 2: Locate the “UOB Online Service Login” icon on the top right hand side of the Home Page 3: Point on “UOB Online Service Login” icon and at drop list select “UOB Personal Internet Banking” 4: Enter your Username and Password and click “Submit” 5: Click “EPS/IPO/CPFIS”, select “Initial Public Offering” and click on “IPO Application” 6: Read the IMPORTANT notice and complete the declarations found on the bottom of the page by answering Yes/No to the questions 7: Click “Continue” 8: Select your country of residence (you must be residing in Singapore to apply, and click “Continue”) 9: Select the IPO counter from the drop list (if there are concurrent IPOs, and click “Continue”)

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10:Check the share counter, select the mode of payment and account number to debit and click on “Submit” 11:Read the important instructions and click on “Continue” to confirm that:- 1. You have read, understood and agreed to all terms of this application and Prospectus/Document or Supplementary Document. 2. You consent to disclose your name, I/C or passport number, address, nationality, CDP Securities Account Number, CPF Investment Account Number (if applicable), and application details to the share registrars, SGX, SCCS, CDP,CPF Board and issuer/vendor(s). 3. This application is made in your own name, for your own account and at your own risk. 4. For FIXED/MAX price shares application, this is your only application. For TENDER price shares application, this is your only application at the selected tender price. 5. For FOREIGN CURRENCY securities, subject to the terms of the issue, please note the following: The application monies will be debited from your bank account in SGD, based on the Bank’s exchange profit or loss, or application monies may be debited and refunds credited in SGD at the same exchange rate. 6. For 1st-COME-1st SERVE securities, the number of securities applied for may be reduced, subject to the availability at the point of application. 12:(a) Check your personal details, details of the share counter you wish to apply for and account to debit. (b) Select your “Nationality” (c) Enter (i) your CDP securities account number; and (ii) the number of Public Offer Units applied for. 13:Check the details of your application, your NRIC /Passport No., CDP securities account number, share counter, payment mode and account to debit and enter the number of Public Offer Units you wish to apply for. 14:Click “Edit” or “Confirm” as applicable. 15:Validate your entries on the screen and click on “Confirm” to proceed. 16:Print the Confirmation Screen (optional) for your own reference and retention only.

Terms and Conditions for Use of CPF Funds 1. If you are using CPF Funds to subscribe for the Units, you must have a CPF Investment Account maintained with a relevant Participating Bank at the time of your application. If you are applying for the Units through an ATM Electronic Application, you must have an ATM card with that Participating Bank at the time of your application before you can use the ATMs of that Participating Bank to apply for the Units. For an Internet Electronic Application, you must have an existing bank account with, and a User Identification (“User ID”) as well as a Personal Identification Number (“PIN”) given by, the relevant Participating Bank. Upon the completion of your Internet Electronic Application through the IB website of the relevant Participating Bank, there will be a Transaction Completed Screen of the application which can be printed out by you for your record. This printed record of the Transaction Completed Screen is for your retention and should not be

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submitted with any printed Application Form. The CPF Investment Account is governed by the Central Provident Fund (Investment Schemes) Regulations, as amended. 2. CPF Funds may only be withdrawn for applications for the Units in lots of 1,000 Units or integral multiples thereof. 3. If you are applying for the Units using a printed Application Form and you are using CPF Funds to apply for the Units, you must submit a CPF Cashier’s Order for the total amount payable for the number of Units applied for using CPF Funds. 4. Before you apply for the Units using your CPF Funds, you must first make sure that you have sufficient funds in your CPF Investment Account to pay for the Units. You need not instruct the CPF Board to transfer your CPF Funds from your CPF Ordinary Account to your CPF Investment Account. If the balance in your CPF Investment Account is insufficient and you have sufficient investible CPF Funds in your CPF Ordinary Account, the Participating Bank with which you maintain your CPF Investment Account will automatically transfer the balance of the required amount from your CPF Ordinary Account to your CPF Investment Account immediately for you to use these funds to buy a CPF Cashier’s Order from your Participating Bank in the case of an application by way of a printed Application Form or submit your application in the case of an application by way of an Electronic Application. The automatic transfer facility is available until the close of the Public Offer, and the operating hours of the facility are between 8.00 a.m. and 10.00 p.m. from Mondays to Saturdays, and between 8.00 a.m. and 5.00 p.m. on Sundays and public holidays. 5. The special CPF securities sub-account of the nominee company of the Participating Bank (with whom you maintain a CPF Investment Account) maintained with CDP will be credited with the principal amount of the Units you subscribed for with CPF Funds. 6. Where you are using CPF Funds, you cannot apply for the Units as nominee for any other person. 7. All instructions or authorisations given by you in a printed Application Form or through an Electronic Application are irrevocable. 8. CPF Investment Accounts may be opened with any branch of the Participating Banks. 9. All information furnished by the CPF Board and the relevant Participating Banks on your authorisation will be relied on as being true and correct.

H-23 [This page is intentionally left blank] APPENDIX I

LIST OF PRESENT AND PAST PRINCIPAL DIRECTORSHIPS OF DIRECTORS AND EXECUTIVE OFFICERS (A) Directors of the Manager (1) Steven Lim Kok Hoong Current Directorships Past Directorships (for a period of five years preceding the Latest Practicable Date) Olura Sarl (Switzerland) AA-BC Pte. Ltd. Hoe Leong Corporation Ltd. (Singapore) Behringer Corporation Limited Genting Singapore PLC (The Isle of Man) GES International Limited AA-FAS Pte. Ltd. Oakville Ventures Co., Ltd B2C Network Pte Ltd (Singapore) Radica Reviva Associates (S) Pte. Ltd. Genting Integrated Resorts Operations SembCorp Logistics Ltd Management Pte. Ltd. Stonegate China Properties Ltd. Lami Ltd. (Cayman Islands) Transcu Group Limited (Singapore) Parkway Trust Management Limited (Singapore) Singapore Tourism Board (Singapore) Thala SA (Switzerland) Global Logistics Properties Limited Timberlay SA (Switzerland) Amtek Engineering Ltd

(2) Yong Kok Hoon Current Directorships Past Directorships (for a period of five years preceding the Latest Practicable Date) InnoTek Limited Magnecomp Corporation Mansfield Manufacturing Company Limited Indest Corporation Feng Chuan Tooling Company Limited Acrathon Precision Technologies, Inc. Lens Tool & Die (H.K.) Limited Magnecomp Technology Limited Go Smart Development Limited Acrathon Precision Technologies (HK) Ltd Magix Mechatronics Company Limited Optimal Technology Limited Mansfield Industrial Company Limited ME Electronic Products Limited Magix Industrial Company Limited Magnecomp (Thailand) Limited Mansfield Manufacturing (Dailian) Magnecomp Precision Technology Public Company Limited Company Limited Exerion Precision Technology Holding B.V. Acrathon Precision Technologies Ltd Mansfield (Suzhou) Manufacturing Co. Ltd Magnecomp Labuan Inc. Feng Chuan Tooling (Dongguan) Company Limited Dongguan Mansfield Metal Forming Company, Ltd. Magix Mechatronics (Dongguan) Company LImited Sun Mansfield Manufacturing (Dongguan) Company, Ltd

I-1 APPENDIX I

(3) Muhammad Faishal Bin Ibrahim Khan Surattee Current Directorships Past Directorships (for a period of five years preceding the Latest Practicable Date) Singapore Polytechnic Nil Yayasan MENDAKI (Singapore)

(4) Kevin Xayaraj Current Directorships Past Directorships (for a period of five years preceding the Latest Practicable Date) Blackwood Investment Pte. Ltd. Nil Sabana Investment Partners Pte. Ltd. Sabana Property Management Pte. Ltd. Sabana Real Estate Investment Management Pte. Ltd.

(5) Ng Shin Ein Current Directorships Past Directorships (for a period of five years preceding the Latest Practicable Date) NTUC Fairprice Co-operative Ltd. Nil First Resources Limited Yanlord Land Group Limited Blue Ocean Associates Pte. Ltd.

(6) Henry Chua Tiong Hock Current Directorships Past Directorships (for a period of five years preceding the Latest Practicable Date) Busan Cross Dock Co., Ltd (Korea) United Relocations (S) Pte Ltd Crystal Freight Services Distripark Pte Ltd Freight Links Express Crystal Freight Services Pte Ltd Logistics (Australia) Pty Ltd Crystal Shipping Line (H.K.) Limited (Hong Freight Links Express Kong) Holdings (Australia) Limited Far East Continental Shipping Line Limited (Hong Kong) FLE Shipping Line Pte Ltd Flex Integrated Marketing Pte. Ltd. Freight Link M & S (H.K.) Limited (Hong Kong) Freight Links Express (M) Sdn Bhd (Malaysia) Freight Links Express (Penang) Sdn Bhd (Malaysia) Freight Links Express (Thailand) Co., Ltd (Thailand)

I-2 APPENDIX I

Freight Links Express Air Systems Pte Ltd Freight Links Express Airfreight Pte Ltd Freight Links Express Archivers Pte Ltd Freight Links Express Districentre Pte Ltd Freight Links Express Distrihub Pte Ltd Freight Links Express Distripark Pte Ltd Freight Links E-Logistics Technopark Pte Ltd Freight Links Express Holdings Limited Freight Links Express International Ltd (Thailand) Freight Links Express Logisticentre Pte Ltd Freight Links Express Logisticpark Pte Ltd Freight Links Express Pte Ltd Freight Links Fabpark Pte. Ltd. Freight Links Logistics Pte. Ltd. Freight Links Properties Pte. Ltd. Freight Management Holdings Berhad (Malaysia) Fudao Petrochemicals Group Pte. Ltd. Harbour Investors, Inc. (Philippines) Lee Thong Hung Trading & Transport Sdn Bhd (Malaysia) LTH Distripark Pte Ltd LTH Logistics (Malaysia) Sdn Bhd (Malaysia) LTH Logistics (Singapore) Pte Ltd Piow Hong (Philippines) Inc. (Philippines) Piow Hong Pte Ltd Singapore Enterprises Private Limited Chemode Global Pte. Ltd. Sinmachem Sdn Bhd (Malaysia)

(B) Executive Officers of the Manager

(1) Kevin Xayaraj

Current Directorships Past Directorships (for a period of five years preceding the Latest Practicable Date) See “List of Present and Past Principal Nil Directorships of Directors and Executive Officers — Directors of the Manager — Kevin Xayaraj”

(2) Bobby Tay Chiew Sheng

Current Directorships Past Directorships (for a period of five years preceding the Latest Practicable Date) Blackwood Investment Pte. Ltd. Sabana Real Estate Investment Sabana Property Management Pte. Ltd. Management Pte. Ltd.

I-3 APPENDIX I

(3) Eric Michael Peter Pascal Current Directorships Past Directorships (for a period of five years preceding the Latest Practicable Date) Nil Nil

(4) Aw Wei Been Current Directorships Past Directorships (for a period of five years preceding the Latest Practicable Date) Nil Nil

I-4 SABANA SHARI’AH COMPLIANT INDUSTRIAL REAL ESTATE INVESTMENT TRUST

MANAGER

Sabana Real Estate Investment Management Pte. Ltd. 9 Raffles Place #18-20/21, Republic Plaza Singapore 048619

SPONSOR

Freight Links Express Holdings Limited 51 Penjuru Road, #04-00 Freight Links Express Logisticentre Singapore 609143

SOLE FINANCIAL ADVISER

The Hongkong and Shanghai Banking Corporation Limited, Singapore Branch 21 Collyer Quay #03-01 HSBC Building Singapore 049320

JOINT GLOBAL COORDINATORS, ISSUE MANAGERS, BOOKRUNNERS AND UNDERWRITERS The Hongkong and United Overseas Bank Daiwa Capital Markets Shanghai Banking Limited Singapore Limited Corporation Limited, 80 Raffles Place 6 Shenton Way #26-08 Singapore Branch UOB Plaza DBS Building Tower Two 21 Collyer Quay Singapore 048624 Singapore 068809 #03-01 HSBC Building Singapore 049320

TRUSTEE

HSBC Institutional Trust Services (Singapore) Limited 21 Collyer Quay, HSBC Building, #14-01, Singapore 049320

LEGAL ADVISERS

Legal Adviser to the Offering and to the Manager

Allen & Gledhill LLP One Marina Boulevard #28-00 Singapore 018989

Legal Adviser to the Joint Global Legal Adviser to the Trustee Coordinators, Issue Managers, Shook Lin & Bok LLP Bookrunners and Underwriters 1 Robinson Road Allen & Overy LLP #18-00 AIA Tower 24 Raffles Place Singapore 048542 #22-00 Clifford Centre Singapore 048621 INDEPENDENT REPORTING ACCOUNTANTS

KPMG LLP 16 Raffles Quay #22-00 Hong Leong Building Singapore 048581

INDEPENDENT TAX ADVISER

KPMG Services Pte. Ltd. 16 Raffles Quay #22-00 Hong Leong Building Singapore 048581

UNIT REGISTRAR AND UNIT TRANSFER OFFICE Boardroom Corporate & Advisory Services Pte. Ltd. 50 Raffles Place #32-01 Singapore Land Tower Singapore 048623

INDEPENDENT VALUERS Cushman & Wakefield VHS Pte. Ltd. CKS Property Consultants Pte Ltd 3 Church Street Raffles City Tower #09-02 #09-03 Samsung Hub 250 North Bridge Road Singapore 049483 Singapore 179101

INDEPENDENT MARKET RESEARCH CONSULTANT

DTZ Debenham Tie Leung (SEA) Pte Ltd 100 Beach Road #35-00 Shaw Tower Singapore 189702

SHARI’AH ADVISER

Five Pillars Pte. Ltd. 141 Cecil Street Tung Ann Association Building Singapore 069541