52 STRATEGICALLY ADVANCING OPERATIONS REVIEW ACTIVE LEASING MANAGEMENT The Manager works closely with tenants to seek out innovative solutions to fulfil their space needs. The diversity of our portfolio allows us to provide a wide range of space solutions for new leases, lease expansion, and build-to-suit options. Breakdown of Renewals and New Leases for FY2024 Despite ongoing uncertainties in the business environment and emerging headwinds in the financial markets, the Manager focused on renewals and attracting new tenants. Approximately 310,834 sqm of prime industrial space were leased out during FY2024, of which renewals amounted to 233,214 sqm while new leases accounted for about 77,620 sqm of space in the portfolio. A total of 122 leases were signed in FY2024. The Manager will continue to focus on tenant retention to maintain a stable portfolio occupancy against the backdrop of uncertain macroeconomic conditions. 25,516 73,860 52,104 159,354 77,620 233,214 1H2024 2H2024 FY2024 Renewal Leases New Leases Tenant Retention Rate ESR-REIT achieved a stable tenant retention rate of 76.0% as at 31 December 2024 as compared to 75.5% over the same period last year. This is a testament to our strong relationships with tenants as well as proactive lease management to improve income resilience across our portfolio. 75.5% 76.0% Tenant Retention 2023 2024 Rental Reversions for FY2024 Despite continued changes in economic structural trends, ESR-REIT delivered strong portfolio rental reversions in FY2024 at 10.3%, the third consecutive year of positive double-digit rent reversions. The strong rental reversions were broad-based across all four sub-sectors and driven primarily by the New Economy sectors of Logistics (+14.4%) and High-Specifications Industrial (+12.0%). +10.8% +11.8% +10.1% +9.6% Rental Reversion (by Quarters) 1Q2024 2Q2024 3Q2024 4Q2024 +14.4% +12.0% +10.1% +3.6% Rental Reversion (by Asset Class) Logistics HighSpecifications Industrial General Industrial Business Park INDEPENDENT MARKET STUDY REPORT 2024: For insights into industrial property market trends and the outlook for ESR-REIT’s markets, refer to the Independent Market Study Report 2024, available at https://esr-reit.listedcompany.com/ar.html
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