NEWS & PRESS RELEASES
Starhill REIT records 15% increase in net income, revenue grows 12% to RM54 million
Kuala Lumpur, 24 January 2008
Starhill Real Estate Investment Trust ("Starhill REIT") today announced revenue of RM53.58 million for the six months ended 31 December 2007, an increase of 11.8% or RM5.64 million over RM47.94 million for the previous corresponding six months ended 31 December 2006. Meanwhile, net income for the period grew to RM40.11 million this year, compared to RM35.00 million last year, an increase of 14.6%.
The improved performance was due mainly to rental received from The Residences at The Ritz-Carlton, Kuala Lumpur, acquired in May 2007, coupled with higher rental rates received from the renewal of existing tenancies and the commencement of new tenancies at Starhill Gallery and Lot 10 Shopping Centre.
A distribution of 3.4025 sen per unit, representing approximately 100% of Starhill REIT's income after taxation for the six-month period ended 31 December 2007, was also recommended by the Board of Directors of Pintar Projek Sdn Bhd, the manager of the Trust.
Based on Starhill REIT's 5-day volume weighted average unit price of RM0.90, the proposed distribution represents an annualised yield of 7.56%.
Commenting on the half-year results, Tan Sri Dato' (Dr) Francis Yeoh Sock Ping, Chief Executive Officer of Pintar Projek Sdn Bhd, said, "Starhill REIT's portfolio of high-end, prime properties continued to register strong performance for the first half of the 2008 financial year, underscoring the high quality of these assets and their ability to generate solid and sustainable levels of rental income for the Trust."
As at 31 December 2007, Starhill Gallery and Lot 10 had occupancy rates of 96% and 98%, respectively.
About Starhill REIT
The Trust was established on 18 November 2005 and Starhill REIT was listed on the Main Board of Bursa Malaysia Securities Berhad on 16 December 2005, with a property portfolio consisting of three prime properties situated in the heart of Kuala Lumpur's Golden Triangle, namely Starhill Gallery and the adjoining JW Marriott Hotel Kuala Lumpur, and 137 parcels and 2 accessory parcels of retail, office, storage and other spaces within Lot 10 Shopping Centre. In May 2007, Starhill REIT completed the acquisition of part of The Residences at The Ritz-Carlton, Kuala Lumpur, comprising 60 serviced apartments, 4 levels of commercial podium, 1 level of facilities deck and 2 levels of basement car parks. As at 22 January 2008, Starhill REIT had a market capitalisation of approximately RM1.06 billion.
Also view the Quarterly Report at http://www.ytlcommunity.com/quarterlyreport/pdf/Stareit%202Q311207(final).pdf