Corporate Presentation 4th Quarter 2017 Financial Results

19 January 2018 Important Notice

This presentation is for information only and does not constitute an invitation or offer to acquire, purchase or subscribe for units in MRCB-Quill REIT (formerly know as Quill Capita Trust) (“MQReit”). The past performance of MQReit is not necessarily indicative of the future performance of MQReit. This presentation may contain forward-looking statements that involve risks and uncertainties. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these factors include (without limitations) general industry and economic conditions, interest rate trends, cost of capital and capital availability, competition from similar developments, shifts in expected levels of property rental income and occupancy, changes in operating expenses including employee wages, benefits and training, property expenses and governmental and public policy changes. You are cautioned not to place undue reliance on these forward-looking statements which are based on the manager’s current view of future events. The value of units in MQReit (Units”) and the income derived from them may fall as well as rise. Units are not obligations of, deposits in, or guaranteed by, the manager or any of its affiliates. An investment in Units is subject to investment risks, including the possible loss of the principal amount invested. Investors have no right to request the manager to redeem their Units while the Units are listed. It is intended that unitholders may only deal in their Units through trading on the Main Board of Bursa Securities Berhad. Listing of the Units on the Bursa Securities does not guarantee a liquid market for the Units. The information in this Announcement must not be published outside Malaysia.

2 MRCB-Quill REIT Presentation *January 2018* Contents

Slide No. • Financial Results 4

• Portfolio Update 11 KLCA & Cyberjaya Office Market Outlook  Retail Market Outlook

• Conclusion 24

3 MRCB-Quill REIT Presentation *January 2018* Financial Results

Quill Building 5 - IBM MRCB-Quill REIT Presentation *January 2018* MQREIT records 4Q 2017 Realised Net Income of RM21.42 million

(RM’000) (Audited) (Unaudited) Variance 4Q 2016 4Q 2017 Gross Revenue 38,929 46,051 +18.3%

Net Property Income 30,479 36,026 +18.2%

Realised Net Income 13,304 21,418 +61.0%

EPU 1 1.89 sen 2.01 sen +6.3%

1. EPU refers to Realised Earnings Per Unit

5 MRCB-Quill REIT Presentation *January 2018* FY 2017 DPU Stable Year-on-Year

(RM’000) (Unaudited) (Unaudited) Variance FY 2016 FY 2017 Gross Revenue 136,648 181,502 +32.8%

Net Property Income 107,155 141,341 +31.9%

Realised Income 59,156 88,007 +48.8%

EPU 1 8.80 sen 8.24 sen -6.3%

Distributable Income 2 59,506 92,386 +55.3%

DPU 3 8.38 sen 8.39 sen +0.1%

1 EPU refers to Realised Earnings Per Unit (after manager’s fees) 2 Distributable income for FY 2017 of RM92.39 million consist of Total Income of RM70.23 million and non-cash adjustments for manager’s fees payable in units amounting to RM3.98 million and net fair value loss on investment properties of RM18.18 million 3 DPU refers to Distribution Per Unit. FY 2017 DPU of 8.39 sen is 97.0 % of FY 2017 distributable income of RM92.39 million

6 MRCB-Quill REIT Presentation *January 2018* Total Assets – RM2.29 billion NAV per unit – RM1.2966 (Unaudited) (Unaudited) (Unaudited) (Unaudited) as at as at as at as at

31 Mar 2017 31 Jun 2017 30 Sept 2017 31 Dec 2017 (RM’000) (RM’000) (RM’000) (RM’000)

Non Current Assets 2,224,782 2,224,597 2,224,395 2,181,387 Non Current Asset held - - - 25,000 for sale Current Assets 55,827 79,963 56,715 82,005

Total Assets 2,280,609 2,304,560 2,281,110 2,288,392

Current Liabilities 19,042 21,182 136,935 142,586

Non Current Liabilities 878,422 878,952 763,605 761,082

Net Assets 1,383,145 1,404,426 1,380,570 1,384,724

No of Units 1,068,000 1,068,000 1,068,000 1,068,000

NAV per Unit (RM) 1.2951 1.3150 1.2927 1.2966

7 MRCB-Quill REIT Presentation *January 2018* Stable Financial Indicators

Unaudited Unaudited Unaudited Unaudited as at as at as at as at 31 Mar 17 31 Jun 17 30 Sept 17 31 Dec 17 Total Debts (RM’000) 853,789 853,101 854,150 853,453

Gearing Ratio ¹ 0.37x 0.37x 0.37x 0.37x

Interest Coverage 2 3.52x 3.44x 3.38x 2.40x

Average Term to Maturity (year) 3 2.91 3.30 3.05 2.79

Average Cost of Debt (p.a.) 4 4.4% 4.4% 4.4% 4.4%

Notes: 1.Gearing ratio refers to Gross Debt over Total Assets. 2.Interest coverage refers to year to date (YTD) EBITDA / YTD Interest Expense 3.Average Term to Maturity means weighted average time lapse to maturity 4.Average Cost of Debt is calculated based on YTD Interest Expense / Average Weighted Borrowing

8 MRCB-Quill REIT Presentation *January 2018* Capital Management

Prudent Capital Management

76%* of borrowings on Average cost of debt Gearing Ratio

fixed rate 60%

SC Limit 4.4% 50% Floating rate, 24% 40%

37% Fixed rateCPs, Gearing level RM118m MTN 30% RM118m 76% RM117m CPs 37% 20%

10% Total average borrowings : Below SC limit of 50% 0% RM861 mil 31-Dec

9 MRCB-Quill REIT Presentation *January 2018* Debt Maturity Profile  Next Refinancing Due in September 2018

Average debt to maturity : 2.79 years RM(mil) 450 45% 400 CP RM279mil CP TL 350 RM279mil RM110mil TL RM110mil 300 CPs RM118m RM118m 250 CPs 22% 200 CP 19% RM130mil MTN MTN MTN 150 RM60mil CP RM130mil 14% RM60 mil CP TL RM144mil CP RM117m RM61 mil 100 RM130 mil TL MTN RM117m RM20mil 50

0 2017 2018 2019 2020 2021 2022 Note; 1. MTN - Medium Term Notes 2. CP – Commercial Papers 10 MRCB-Quill REIT Presentation *January 2018* 3. TL – Term Loan Portfolio Update

Quill Building 3 - BMW MRCB-Quill REIT Presentation *January 2018* Portfolio of Quality Assets as at 31 Dec 2017

Market Value of 11 Properties: RM2.20 bil(c) Quill Building 1 Quill Building 4 Quill Building 2 - DHL 1(a) - DHL 2(a) - HSBC (a) Total NLA: Platinum Sentral 2.25 mil sq ft - KL Sentral (b) *Excluding car park area

Portfolio Quill Building 3 Quill Building 5 Quill Building 8 Occupancy - BMW(a) - IBM(a) - DHL (XPJ) (a) (d) Rate: 96.3%

Weighted Average Term to Expiry: Part of Plaza Wisma Technip (b) TESCO Building Menara Shell (b) 5.3 years Mon’t Kiara(b) Penang(a) a) The Properties were valued by Nawawi Tie Leung Property Consultants Sdn. Bhd, an independent firm of professional valuer registered with the Board of Valuers, Appraisers & Estate Agents Malaysia. b) The Properties were valued by CH Williams Talhar & Wong Sdn. Bhd, an independent firm of professional valuer, registered with the Board of Valuers, Appraisers & Estate Agents Malaysia. c) Save for Quill Building 8 – DHK (XPJ), all properties were based on valuation as at 31 December 2017. Quill Building 8 – DHK (XPJ) was based on valuation dated 17 October 2017. d) Proposed disposal of Quill Building 8 – DHL (XPJ) was announced on 8 January 2018. 12 MRCB-Quill REIT Presentation *January 2018* Market Valuation as at 31 December 2017 Name of Properties Net Book Value as Market Surplus % at 31 Dec 2017(a) Valuation at as /(Deficit) increase (prior to Proposed 31 Dec 2017 incorporated / Revaluation) (’000) into fund (decrease) (’000) (’000)

Quill Building 1- DHL1 & Quill Building 4- DHL 2(b) RM126,500 RM130,000 RM3,500 2.77

Quill Building 2- HSBC(b) RM121,700 RM122,000 RM300 0.25

Quill Building 3- BMW(b) RM 76,883 RM 79,000 RM2,500 2.75

Wisma Technip(c) RM173,000 RM173,800 RM800 0.46

Part of Plaza Mont’ Kiara(c) RM116,000 RM117,400 RM1,400 1.21

Quill Building 5 – IBM(b) RM 45,300 RM 44,000 (RM1,300) (2.87)

Quill Building 8 – DHL (XPJ) (b) (d) RM 25,000 RM 25,000 - -

Tesco Building, Penang(b) RM140,000 RM140,000 - -

Platinum Sentral(c) RM750,000 RM725,000 (RM25,000) (3.33)

Menara Shell(b) RM648,000 RM648,000 - -

Total RM2,222,383 RM2,204,200 (RM18,183) (0.82) (a) The Net Book Value of investment properties as at 31 December 2016 (prior to the Proposed Revaluation) comprise of the brought forward net book value as at 31 December 2015 together with asset enhancement related costs incurred during the year. (b) The Properties were valued by CH Williams Talhar & Wong Sdn Bhd, an independent firm of professional valuer, registered with the Board of Valuers, Appraisers & Estate Agents Malaysia. (c) The Properties were valued by Nawawi Tie Leung Property Consultants Sdn Bhd, an independent firm of professional valuer, registered with the Board of Valuers, Appraisers & Estate Agents Malaysia. 13(d) Valuation dated 17 October 2017. MRCB-Quill REIT Presentation *January 2018* Geographical Diversification

Other Klang By Valuation Valley Area Mont' Kiara 1% 5% Cyberjaya Penang 17% 6%

¹ City Centre 8%

Klang 77% Valley Cyberjaya 17% KL Sentral Penang 6% 62%

Notes: (1) Other Klang Valley Area refers to Klang Valley generally excluding KL city centre, KL Sentral and Mont’ Kiara. Klang Valley refers to Kuala Lumpur and State excluding Kuala Selangor, Sepang and Sabak Bernam. (2) The Properties were valued by Nawawi Tie Leung Property Consultants Sdn Bhd and CH Williams Talhar & Wong Sdn Bhd, independent firm of professional valuers registered with the Board of Valuers, Appraisers & Estate Agents Malaysia.

14 MRCB-Quill REIT Presentation *January 2018* Diversified Segmental Contributions

Car Park Retail Assets 2% 9% By Valuation Other Commercial Building 1%

Office 88% Notes: (1) Office comprises Quill Buildings (excluding Quill Building 8-DHL (XPJ) at Glenmarie, Shah Alam), Platinum Sentral, Wisma Technip and Menara Shell (2) Retail refers to retail portion of Plaza Mont’ Kiara & TESCO Building Penang (3) Car Park refers to car parking bays in Plaza Mont’ Kiara (4) Other commercial building refers to Quill- Building 8- DHL (XPJ) at Glenmarie, Shah Alam (5) The Properties were valued by Nawawi Tie Leung Property Consultants Sdn Bhd and CH Williams Talhar & Wong Sdn Bhd, independent firm of professional valuers registered with the Board of Valuers, Appraisers & Estate Agents Malaysia.

15 MRCB-Quill REIT Presentation *January 2018* Tenant Mix Well Balanced Tenancy Mix

FMCG, 0.3% Manufacturing, Insurance By Net Lettable Area 0.2% 7.2% Services 0.7% Government Linked Office 14.4% IT/ Electronics 4.2%

Retail 18.8%

Oil & Gas, 30.9%

Education 0.8%

Banking 8.5% Automotive Logistics 2.4% 11.6%

16 MRCB-Quill REIT Presentation *January 2018* Lease Expiry Profile - 14% of Total NLA due in 2017 : 80% Renewal Rate

sq ft Lease Up for Renewal by NLA - 31 Dec 2017 900,000

800,000 Lease Expiring

700,000 Renewed Not Renewed 600,000

500,000

38% 400,000

300,000 26%

200,000 11% 13% 100,000 9%

3% - 2017 2018 2019 2020 2021 - 2032 % of net lettable area that are due for renewal 17 MRCB-Quill REIT Presentation *January 2018* Lease Expiry Profile - 28% of Total NLA due in 2018

sq ft Lease Up for Renewal by NLA 900000

Lease Expiring 800000

700000

600000

500000

400000 39%

300000 28%

200000 17% 15% 100000

0 1% 2018 2019 2020 2021 2022 - 2032

% of net lettable area that are due for renewal

18 MRCB-Quill REIT Presentation *January 2018* • KLCA & Cyberjaya Office Market Outlook • Klang Valley Retail Market Outlook

Wisma Technip MRCB-Quill REIT Presentation *January 2018* KL & Cyberjaya Office Market Outlook  Klang Valley Purposed-Built Office Market  (extracted from the Property Market Report on the Purpose-Built Office sector in Klang Valley and Purpose-Built Office sector in Klang Valley and Penang Island prepared CH Williams Talhar & Wong Sdn Bhd in December 2017)

 As at 3Q 2017, Klang Valley has a cumulative supply of 104.728 million sq. ft.

 Since the onset of the crude oil price crisis from mid-2015 onwards, most offices in the banking and oil & gas sectors have already undergone right-sizing of their spatial requirements.

 The average occupancy rate in Klang Valley remained stabled at 83.5% during the review period.

 The growth in the popularity of alternative office locations such as KL Sentral / Mid Valley, Petaling Jaya / Bandar Utama, coupled with improved intra city connectivity with the completion of light rapid rail (LRT) and mass rapid transit (MRT) in Klang Valley to some extent have resulted in a narrowing gap of rentals in Central KL (CKL) and Metropolitan KL (MKL) since 2008.

20 MRCB-Quill REIT Presentation *January 2018* KL & Cyberjaya Office Market Outlook

 Klang Valley Purposed-Built Office Market (cont’d)  (extracted from the Property Market Report on the Purpose-Built Office sector in Klang Valley and Purpose-Built Office sector in Klang Valley and Penang Island prepared CH Williams Talhar & Wong Sdn Bhd in December 2016)

 Selected prime office buildings within CKL are currently being offered at monthly gross rents of around RM6.80 to RM11.00 per square foot (excluding Twin Towers) whereas asking gross rents of office space in MKL and CKL are generally between RM5.00 and RM6.00 per square foot per month (with the exception of office space within KL Sentral and Bangsar South development, which generally offers RM6.50 to RM7.50 per square foot per month for MSC status buildings).

 The large pipeline supply of 17.13 million square feet by year 2020 albeit soft take- up rate of 3.00 million square feet per annum indicates a mismatch of the demand and supply of purpose-built office space in Klang Valley. The purpose- built office market is expected to remain challenging. Downward pressure on occupancy rates and rentals are expected due to the slow economic growth and future oversupply.

21 MRCB-Quill REIT Presentation *January 2018* KLCA & Cyberjaya Office Market Outlook

 Cyberjaya Purposed-Built Office Market  (extracted from the Property Market Report on the Purpose-Built Office sector in Klang Valley and Purpose-Built Office sector in Klang Valley and Penang Island prepared CH Williams Talhar & Wong Sdn Bhd in December 2016)

 The existing supply of office space in Cyberjaya / Putrajaya during the review period i.e. 3Q 2017 stood at 9.010 million square feet of which 5.350 million square feet are located in Cyberjaya and 3.660 million square feet in Putrajaya.

 Within the next three (3) years, two (2) purpose-built office buildings will be completed in Putrajaya/Cyberjaya zone, namely Menara Perdana MRCB and Tower 6@ Skypark with an estimated net lettable area of 0.608 million square feet.

 For office buildings in Putrajaya/Cyberjaya, monthly gross rents are generally in the range of RM 4.00 to RM 5.00 per square foot.

 An average 79.4% occupancy rate was recorded in Cyberjaya (Putrajaya 59.7%). Cyberjaya performed better compared to Putrajaya as many buildings in this area are owner occupied coupled with the MSC status.

22 MRCB-Quill REIT Presentation *January 2018* Klang Valley Retail Market Outlook  Klang Valley Purposed-Built Retail (“PBR”) Market  (extracted from the Property Market Report on the Purpose-Built Office sector in Klang Valley and Purpose-Built Office sector in Klang Valley and Penang Island prepared CH Williams Talhar & Wong Sdn Bhd in December 2017)  Cumulative supply of retail space in Klang Valley is estimated at 57.55 million square feet as at 3Q 2017.

 The average occupancy rate of purpose-built retail centres in Klang Valley was 88.7% as at 3Q 2017, a marginal decrease of 2.0% from the previous quarter. Retail centres located within Kuala Lumpur continued to perform better than those malls located Outside Kuala Lumpur, achieving an average occupancy rate of 91% and 89% respectively.

 The average prime gross rental of the selected prime retail centres in Klang Valley is about RM16 per square foot. Kuala Lumpur retail centres in general, command higher rental rates of about RM27 per square foot whilst prime retail centres located Outside Kuala Lumpur command a lower rental rate of about RM11 per square foot.

 With an average annual take-up rate of 2.05 million square feet and the incoming supply of 13.14 million square feet, the retail sector is expected to experience a soft landing with vacancy rates increasing to approximately 10% by 2020. New developers and mall owners will have to put more efforts in analysing the consumer market to ensure that the malls appeal to and meet consumers’ need. 23 MRCB-Quill REIT Presentation *January 2018* Conclusion

Quill Building 1 – DHL 1 MRCB-Quill REIT Presentation *January 2018* In Summary

Stable FY 2017 DPU of 8.39 sen declared

FY 2017 DPU of 8.39 sen is 0.1% higher than the FY 2016 DPU of 8.38 sen

Revaluation loss of RM18.18 million from investment properties

Completed renewals due in 2017 with 80% renewals successfully in place

 MQREIT’s portfolio occupancy rate as at 31 Dec 2017 was 96.3%

Year 2018 Prospects – Ongoing Strategies

Proactive asset management strategies to focus on tenant relations and continuous building improvements

Prudent capital management strategies

Continue to explore yield accretive acquisition opportunities

25 MRCB-Quill REIT Presentation *January 2018* Thank you

For enquires, please contact: Ms Joyce Loh (General Line: 603-2786 8080) (Fax : 603-2780 0098)