THE KEY OUTLOOK OF KL SENTRAL

KL Sentral Remains ’s Largest Transportation Hub 1) KL Sentral is the gateway to from KLIA, KLIA2, and Subang Skypark. 2) The seamless connectivity in KL Sentral includes a closed walkway connected to multiple transit systems – KTM, LRT, ETS, KLIA Ekspres, KLIA Transit, MRT, and Monorail.

Increasing Demand for Transport Oriented Developments (TOD) 1) Transport Oriented Developments (TOD) are in high demand in the market. With the expansion of MRT and LRT lines, the demand for both o ce and residential units in KL Sentral will continue to increase substantially. 2) As KL Sentral is Greater KL’s largest transportation hub, it has created an address for the elite class of Kuala Lumpur by oering high quality residential and commercial spaces.

The residential projects are well sought after by locals and foreigners who work in the vicinity, making KL Sentral the ideal place to live, work YOUR REASONS and play. TO INVEST ARE HERE. RIGHT AT THE HEART OF KUALA LUMPUR.

Envisioned by: Developer: Follow us on: For more info, please call: COUNTRY ANNEXE SDN BHD (439669-X) Level 30, Menara Allianz Sentral, No. 203, Jalan Tun Sambanthan, +603-2727 7510 Kuala Lumpur Sentral, 50470, Kuala Lumpur, Malaysia. KL SENTRAL IS AT THE CENTRE OF EVERYTHING. WHAT SUPPORTS THE 3 FINDINGS? In the heart of Kuala Lumpur lies the bustling business district of KL Sentral, filled with growth opportunities because of its Connectivity, Cosmopolitan Convenience, Heritage and Culture. For the past 10 years, KL Sentral A CONSTANT RISE IN KL SENTRAL OFFICE RENTS AND OCCUPANCY RATE has proven to be a high-yielding property hotspot for many investors, verified by independent research reports by JLL Research & Consultancy and Savills Malaysia. Historical Average of Gross Rents - Despite the completion of new oce buildings since 2008, AVERAGE ANNUAL GROWTH (CAGR) 2008-2017 KL Sentral’s average gross oce rent has continued to rise. A B C D - The average gross oce rent in KL Sentral has increased WHAT MAKES KL SENTRAL A PRIME LOCATION FOR 10 from RM4.40 psf per month in 2008 to RM7.00 psf per 8 6.68 6.68 7.00 7.00 month in 2017, registering an average annual growth HIGH CAPITAL GROWTH AND RENTAL YIELDS? 6.15 6.12 6 (CAGR) of +5.3%. 6.12 6.42 6.48 5.55 - Since 2016, the average gross oce rent in KL Sentral had 4 4.4 4.88 surpassed KLCC. Reason 1: - KL Sentral has evolved to a well-balanced integrated In RM p/sf per month Fast-Growing Capital Value Against development over the last 10 years, primarily attributed to 2 its unique advantage as the largest transportation hub for 0 Other Established Submarkets Greater KL. 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 - Furthermore, it has diverse o erings of Grade-A oce AVERAGE PRICE GROWTH (2007-2017) A) Completion: Mercu, UEM, Menara MIDA, Menara SSM, Axiata Tower spaces, renowned hotel operators and retail malls. B) Completion: Nu Towers (1&2) KL Sentral 7.6% - KL Sentral’s residential component has beneted from this C) Completion: 1 Sentrum, Menara CIMB, Menara Shell unique master plan registering an average price growth of D) Completion: Q Sentral KLCC (Immediate Vicinity) 2.2% 7.6%, which is noticeably higher than other established +5.3% KL Sentral +0.6% KLCC submarkets in Greater KL. 5.5% - The average residential price psf in KL Sentral has Source: JLL Research & Consultancy Independent Research Report

Mont Kiara 2.4% increased from RM470 in 2007 to RM1,024 in 2017 and is continuing to grow. Source: Savills Malaysia Independent Research Report - The capital values of residential properties in KL Sentral Historical Average Occupancy Rate are expected to continue growing at a faster rate FORECAST OF CAPITAL VALUE (2018 – 2022) compared to other established submarkets. - In addition, the occupancy rate in KL Sentral has registered a Compound Annual Growth Rate of capital values between 2018 and 2022 AVERAGE ANNUAL GROWTH (CAGR) 2008-2017 - It is anticipated that the capital value growth will be higher level than in KLCC on average, due to its stronger oce KL Sentral KLCC Mont Kiara 97.9 space demand. 6.38% 6.37% 5.07% 3.11% accelerated by the limited lands left for development. 100% 93.9 - KL Sentral’s average occupied space increased by an average 92.0 81.8 Source: JLL Research & Consultancy Independent Research Report 80% annual growth (CAGR) of 12.7% between 2008 and 2017 80.5 compared to 4.5% in KLCC within the same period. 60% 51.4 - Some of the world’s top multinational companies now reside Reason 2: Reason 3: 40% in KL Sentral including – Google, Facebook, Shell, Cisco,

KL Sentral Rents Remain Resilient Limited Supply Is Met with High 20% Large incoming office General Electric (GE), and PricewaterhouseCoopers (PwC). supply affecting the average Demand in KL Sentral 0% KL Sentral occupancy rate 10-YEAR AVERAGE ANNUAL GROWTH (CAGR) OF RENTS FOR 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 PRIME HIGH-RISE RESIDENTIAL KL Sentral PRIME HIGH RISE RESIDENTIAL STOCK IN KL SENTRAL AND KL Sentral KLCC 7.00% OTHER LOCATIONS 6.09% Source: JLL Research & Consultancy Independent Research Report 6.00% 25,000

5.00% Units 20,000 4.00% 15,000 3.00% KLCC 10,000 2.00% 1.65% HOTELS IN KL SENTRAL OUTPERFORMED KUALA LUMPUR’S AVERAGE 1.00% 5,000 0.00% - 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 -1.00% Revenue Per Available Room (RevPAR) Bangsar Mont Kiara KL Sentral Bangsar KLCC REVENUE PER AVAILABLE ROOM FOR HOTELS IN KL -0.91% -2.00% Mont Total residential stock in 2017 450 for Hotels in KL -3.00% Kiara -1.76% KL Sentral KLCC Bangsar Mont Kiara 400 - Demand for short-term accommodation in KL Sentral for the 1,912 8,041 1,407 11,712 Source: JLL Research & Consultancy Independent Research Report 350 Hilton, RM410 business travellers and tourists has proved to be overwhelming Source: JLL Research & Consultancy Independent Research Report 300 as it is the main transport hub in Greater KL. - KL Sentral is the leading location that registered positive - Business travellers looking for long-term accommodation will - The supply of residential stock in KL Sentral has been 250 residential rent growth in correlation with increased Le Meridien, look for residential units to rent as it’s more cost-ecient. limited and this has contributed positively to the 200 RM255 capital value for the past 10 years as compared to other - The high hotel occupancy and room rates are driving demands demand for residential properties in KL Sentral. 150 established markets. for residential units and serviced residences in KL Sentral. - This is in contrast to other established areas such as 100 - The demand for residential units in KL Sentral is mainly (RM) room per available Revenue This is evident by the high demand of serviced residences in KLCC, Mont Kiara, and Bangsar. 50 driven by professionals working around the vicinity and KL Sentral namely Ascott Sentral which now commands a daily - KL Sentral has a working to residents population ratio of - frequent travellers. rate up to RM428 per night and a monthly rent of 5:2 which drives demand for sales and rent within the 2010 2011 2012 2013 2014 2015 2016 1H/2017 - In comparison, rent has been declining in the past approximately RM12,037.50. decade across other submarkets indicated by the graph KL Sentral submarkets. 3-star 4-star 5-star Average Hilton Le Meridien above. - Presently, the total supply of residential units in Source: Savills Malaysia Independent Research Report KL Sentral is only 1912 units. KL SENTRAL IS AT THE CENTRE OF EVERYTHING. WHAT SUPPORTS THE 3 FINDINGS? In the heart of Kuala Lumpur lies the bustling business district of KL Sentral, filled with growth opportunities because of its Connectivity, Cosmopolitan Convenience, Heritage and Culture. For the past 10 years, KL Sentral A CONSTANT RISE IN KL SENTRAL OFFICE RENTS AND OCCUPANCY RATE has proven to be a high-yielding property hotspot for many investors, verified by independent research reports by JLL Research & Consultancy and Savills Malaysia. Historical Average of Gross Rents - Despite the completion of new oce buildings since 2008, AVERAGE ANNUAL GROWTH (CAGR) 2008-2017 KL Sentral’s average gross oce rent has continued to rise. A B C D - The average gross oce rent in KL Sentral has increased WHAT MAKES KL SENTRAL A PRIME LOCATION FOR 10 from RM4.40 psf per month in 2008 to RM7.00 psf per 8 6.68 6.68 7.00 7.00 month in 2017, registering an average annual growth HIGH CAPITAL GROWTH AND RENTAL YIELDS? 6.15 6.12 6 (CAGR) of +5.3%. 6.12 6.42 6.48 5.55 - Since 2016, the average gross oce rent in KL Sentral had 4 4.4 4.88 surpassed KLCC. Reason 1: - KL Sentral has evolved to a well-balanced integrated In RM p/sf per month Fast-Growing Capital Value Against development over the last 10 years, primarily attributed to 2 its unique advantage as the largest transportation hub for 0 Other Established Submarkets Greater KL. 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 - Furthermore, it has diverse o erings of Grade-A oce AVERAGE PRICE GROWTH (2007-2017) A) Completion: Mercu, UEM, Menara MIDA, Menara SSM, Axiata Tower spaces, renowned hotel operators and retail malls. B) Completion: Nu Towers (1&2) KL Sentral 7.6% - KL Sentral’s residential component has beneted from this C) Completion: 1 Sentrum, Menara CIMB, Menara Shell unique master plan registering an average price growth of D) Completion: Q Sentral KLCC (Immediate Vicinity) 2.2% 7.6%, which is noticeably higher than other established +5.3% KL Sentral +0.6% KLCC submarkets in Greater KL. Mid Valley City 5.5% - The average residential price psf in KL Sentral has Source: JLL Research & Consultancy Independent Research Report

Mont Kiara 2.4% increased from RM470 in 2007 to RM1,024 in 2017 and is continuing to grow. Source: Savills Malaysia Independent Research Report - The capital values of residential properties in KL Sentral Historical Average Occupancy Rate are expected to continue growing at a faster rate FORECAST OF CAPITAL VALUE (2018 – 2022) compared to other established submarkets. - In addition, the occupancy rate in KL Sentral has registered a Compound Annual Growth Rate of capital values between 2018 and 2022 AVERAGE ANNUAL GROWTH (CAGR) 2008-2017 - It is anticipated that the capital value growth will be higher level than in KLCC on average, due to its stronger oce KL Sentral KLCC Bangsar Mont Kiara 97.9 space demand. 6.38% 6.37% 5.07% 3.11% accelerated by the limited lands left for development. 100% 93.9 - KL Sentral’s average occupied space increased by an average 92.0 81.8 Source: JLL Research & Consultancy Independent Research Report 80% annual growth (CAGR) of 12.7% between 2008 and 2017 80.5 compared to 4.5% in KLCC within the same period. 60% 51.4 - Some of the world’s top multinational companies now reside Reason 2: Reason 3: 40% in KL Sentral including – Google, Facebook, Shell, Cisco,

KL Sentral Rents Remain Resilient Limited Supply Is Met with High 20% Large incoming office General Electric (GE), and PricewaterhouseCoopers (PwC). supply affecting the average Demand in KL Sentral 0% KL Sentral occupancy rate 10-YEAR AVERAGE ANNUAL GROWTH (CAGR) OF RENTS FOR 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 PRIME HIGH-RISE RESIDENTIAL KL Sentral PRIME HIGH RISE RESIDENTIAL STOCK IN KL SENTRAL AND KL Sentral KLCC 7.00% OTHER LOCATIONS 6.09% Source: JLL Research & Consultancy Independent Research Report 6.00% 25,000

5.00% Units 20,000 4.00% 15,000 3.00% KLCC 10,000 2.00% 1.65% HOTELS IN KL SENTRAL OUTPERFORMED KUALA LUMPUR’S AVERAGE 1.00% 5,000 0.00% - 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 -1.00% Revenue Per Available Room (RevPAR) Bangsar Mont Kiara KL Sentral Bangsar KLCC REVENUE PER AVAILABLE ROOM FOR HOTELS IN KL -0.91% -2.00% Mont Total residential stock in 2017 450 for Hotels in KL -3.00% Kiara -1.76% KL Sentral KLCC Bangsar Mont Kiara 400 - Demand for short-term accommodation in KL Sentral for the 1,912 8,041 1,407 11,712 Source: JLL Research & Consultancy Independent Research Report 350 Hilton, RM410 business travellers and tourists has proved to be overwhelming Source: JLL Research & Consultancy Independent Research Report 300 as it is the main transport hub in Greater KL. - KL Sentral is the leading location that registered positive - Business travellers looking for long-term accommodation will - The supply of residential stock in KL Sentral has been 250 residential rent growth in correlation with increased Le Meridien, look for residential units to rent as it’s more cost-ecient. limited and this has contributed positively to the 200 RM255 capital value for the past 10 years as compared to other - The high hotel occupancy and room rates are driving demands demand for residential properties in KL Sentral. 150 established markets. for residential units and serviced residences in KL Sentral. - This is in contrast to other established areas such as 100 - The demand for residential units in KL Sentral is mainly (RM) room per available Revenue This is evident by the high demand of serviced residences in KLCC, Mont Kiara, and Bangsar. 50 driven by professionals working around the vicinity and KL Sentral namely Ascott Sentral which now commands a daily - KL Sentral has a working to residents population ratio of - frequent travellers. rate up to RM428 per night and a monthly rent of 5:2 which drives demand for sales and rent within the 2010 2011 2012 2013 2014 2015 2016 1H/2017 - In comparison, rent has been declining in the past approximately RM12,037.50. decade across other submarkets indicated by the graph KL Sentral submarkets. 3-star 4-star 5-star Average Hilton Le Meridien above. - Presently, the total supply of residential units in Source: Savills Malaysia Independent Research Report KL Sentral is only 1912 units. THE KEY OUTLOOK OF KL SENTRAL

KL Sentral Remains Malaysia’s Largest Transportation Hub 1) KL Sentral is the gateway to Kuala Lumpur from KLIA, KLIA2, and Subang Skypark. 2) The seamless connectivity in KL Sentral includes a closed walkway connected to multiple transit systems – KTM, LRT, ETS, KLIA Ekspres, KLIA Transit, MRT, and Monorail.

Increasing Demand for Transport Oriented Developments (TOD) 1) Transport Oriented Developments (TOD) are in high demand in the market. With the expansion of MRT and LRT lines, the demand for both o ce and residential units in KL Sentral will continue to increase substantially. 2) As KL Sentral is Greater KL’s largest transportation hub, it has created an address for the elite class of Kuala Lumpur by oering high quality residential and commercial spaces.

The residential projects are well sought after by locals and foreigners who work in the vicinity, making KL Sentral the ideal place to live, work YOUR REASONS and play. TO INVEST ARE HERE. RIGHT AT THE HEART OF KUALA LUMPUR.

Envisioned by: Developer: Follow us on: For more info, please call: COUNTRY ANNEXE SDN BHD (439669-X) Level 30, Menara Allianz Sentral, No. 203, Jalan Tun Sambanthan, +603-2727 7510 Kuala Lumpur Sentral, 50470, Kuala Lumpur, Malaysia.