FY25 Annual Result Section 1: Highlights and key themes Section 2: Business overview Section 3: Financial performance Section 4: Capital partnering and investment update Section 5: Portfolio update Section 6: Development update Section 7: Summary FY25 operational highlights Operational excellence • 97% portfolio occupancy 27 August 2025 Replace photo with non-construction Agenda Appendices Precinct Properties – FY25 Annual Result 2 Financial performance Active capital management Precinct Properties – FY25 A ...

V i e w p o i n t | 22 Aug 2025 05:51:13 ET │ 10 pages Hong Kong Property 1H25 Wrap: Getting Out of Woods; Higher Confidence; Time will Heal CITI'S TAKE 1H25 slight beat: We view intact DPS & better-than-expected retail reversion are overhang removals for the sector. Despite recent pullback on HIBOR spike, we see fundamentals are supported by (a) ST: pick-ups to continue in 2H25 (resi volume at stable price, retail sales, office enquiry); (b) LT: unwavering national supports to Hong Kong (flow of capital, e ...

In terms of market performance, transaction volume remain largely plateaued with primary/secondary markets recording +9%/-2% wow, sending MTD-Aug volume to -17%/flattish yoy. Sentiment held steady, with new home search activities unchanged wow, while secondary home visitor traffic improved 3% wow. However, secondary price 19 August 2025 | 7:23AM CST China Property Weekly Wrap Week 33 Wrap - Transactions remain plateaued amidst stable market sentiments Key highlights for the week: On the inventory buyback fr ...

Summary of the Conference Call on China Property Market Industry Overview - The conference call focused on the **China Property** market, specifically analyzing trends and data from July 2025, indicating a continued decline in property sales and prices across various city tiers [1][3][4]. Key Points and Arguments 1. **Decline in Property Sales**: - Property sales in July 2025 worsened, with primary sales volume in 65 cities down **21% year-on-year** compared to **24% in June**. Secondary sales in 33 cities decreased by **14% year-on-year**, worsening from **8% in June** [3]. - Year-to-date growth for primary sales is now at **-10% year-on-year**, while secondary sales show a growth of **+9% year-on-year** for the first seven months of 2025 [3]. 2. **Falling Housing Prices**: - Primary home prices in 70 cities dropped **3.4% year-on-year** and **0.3% month-on-month**. Secondary home prices fell **5.9% year-on-year** and **0.5% month-on-month** [4]. - In top-10 cities, secondary prices decreased by **5.1% year-on-year** and **0.6% month-on-month**, while in top-100 cities, the decline was **7.3% year-on-year** and **0.8% month-on-month** [4]. 3. **Increased Inventory Levels**: - Primary inventory months rose to **24.1x** in July, up from **23.8x** in June, indicating a significant increase in unsold properties across all city tiers [6]. - Tier 1 cities saw inventory levels increase to **14.5x**, tier 2 cities to **24.1x**, and tier 3 cities to **29.8x** [6]. 4. **Weakening Land Sales**: - Land sales in 300 cities decreased by **14.3% year-on-year** in gross floor area (GFA), although the value increased by **8.3% year-on-year** due to changes in city mix [7]. - The land auction failure rate rose to **8.5%**, up from **4.0% in June**, indicating a challenging environment for land sales [7]. 5. **Investment Recommendations**: - The analysis suggests a cautious approach, recommending investors to focus on quality state-owned enterprises (SOEs) with high visibility, such as **CR Land (1109.HK)** and **CR Mixc (1209.HK)**, as well as high-dividend-yield stocks like **C&D (1908.HK)** [2]. Additional Important Insights - The overall sentiment in the property market remains weak, with expectations that this trend will continue in the coming months due to high inventory and declining prices [1][2]. - The report emphasizes the importance of selecting investments carefully in a challenging market environment, highlighting the potential for alpha generation through quality SOEs [1][2]. This summary encapsulates the critical insights from the conference call regarding the current state and outlook of the China property market, providing a comprehensive overview for potential investors and stakeholders.

Key Takeaways AVB posted Q2 2025 core FFO of $2.82, up 1.8% and beating the consensus estimate.AVB lifted full-year outlook for same-store NOI, offset by delayed development occupancies.High supply in some markets and delayed development occupancies are likely to weigh on rent growth.AvalonBay Communities (AVB) is well-poised to gain from healthy renter demand for its residential properties in the high barrier-to-entry regions of the United States. The company’s efforts to leverage technology to drive margi ...

Summary of Conference Call on China Property Industry Industry Overview - The conference call focused on the **China Property** industry, specifically the performance of major property developers in July 2025 [1][7]. Key Points and Arguments 1. **Sales Decline**: - Contracted sales of 30 major developers declined by **25% year-on-year (y-y)** in July 2025, indicating a continued sluggishness in the market [1][2]. - The top 50 and top 100 developers experienced deeper declines of **28% and 27% y-y**, respectively, compared to **-26%** in June [2]. 2. **Year-to-Date Performance**: - Year-to-date (YTD) sales for the top 50 and top 100 developers have declined by **13% y-y** as of July 2025 [2]. - The YTD sales for the 30 major developers tracked have fallen to **-26% y-y** [2]. 3. **Sales Performance Divergence**: - State-Owned Enterprises (SOEs) outperformed other developers, with Jinmao and Yuexiu showing increases of **49% and 19% y-y**, respectively [3]. - Conversely, several developers, including Zhongnan and Seazen, reported declines exceeding **40% y-y** [3]. 4. **Market Sentiment and Policy Response**: - The July Politburo meeting showed little focus on the property sector, suggesting a muted policy response until housing prices decline significantly [4]. - High inventory levels in both primary and secondary markets are contributing to cautious consumer sentiment regarding home prices [4]. 5. **Investment Strategy**: - Analysts recommend a defensive and selective investment approach, favoring quality SOEs with good visibility, such as CR Land and CR Mixc, as well as high-dividend-yield plays like C&D International and Greentown Management [5]. Additional Important Insights - The **43% and 38% month-on-month (m-m)** sales declines for the top 50 and top 100 developers in July were weaker than historical averages [2]. - The overall market is expected to remain weak in the coming months, influenced by factors such as trade negotiations and high inventory levels [4]. - The report emphasizes the importance of brand strength and resource availability in top-tier cities for SOEs, which contributed to their better performance compared to private developers [3].

Financial Data and Key Metrics Changes - The company reported a net loss of $7 million or a loss of $0.28 per diluted share on total revenue of $63.1 million for Q2 2025, compared to a net income of $10.6 million or $0.40 earnings per diluted share on total revenue of $64.2 million for the same period in 2024 [5][6] - Core FFO for Q2 was $18 million or $0.71 per diluted share, an increase from $0.69 per diluted share in Q2 2024 [6][7] - The company paid a second-quarter dividend of $0.51 per share, with a 1.39 times coverage by Core FFO and a payout ratio of 72.2% [7] Business Line Data and Key Metrics Changes - Same store rent and occupancy decreased by 1.3% and 0.8% respectively, leading to a 1.1% decrease in same store NOI compared to Q2 2024 [6][12] - The company completed 555 full and partial upgrades during the quarter, leasing 381 upgraded units with an average monthly rent premium of $73 and a 26% return on investment [6][7] - Since inception, the company has completed 9,113 upgrades, resulting in an average monthly rental increase of $165 and a 20.8% return on investment [6] Market Data and Key Metrics Changes - Same store total revenue was down 20 basis points, with four out of ten markets achieving at least 1% growth, particularly Atlanta and South Florida with 3.6% and 2.3% growth respectively [12][14] - The second quarter same store NOI margin registered at 60.9%, with five out of ten markets achieving year-over-year NOI growth of 1% or greater [13][14] - The national delivery outlook is expected to contract to a GFC level output of just 77,000 units per quarter, supporting the thesis on accelerating fundamentals in 2026, 2027, and 2028 [17] Company Strategy and Development Direction - The company is focused on optimizing maintenance operations and implementing AI technology to drive efficiencies and reduce staffing costs [15][22] - The company plans to maintain a balanced approach by driving occupancy, managing controllable expenses, and supporting steady NOI growth despite transitional operating environments [24] - The company is optimistic about capital recycling in the second half of the year through targeted acquisitions and dispositions [24] Management's Comments on Operating Environment and Future Outlook - Management noted that while bad debt has improved significantly, new supply pressures are expected to be short-term challenges, with stabilization anticipated in late 2025 [20] - The company expects second half 2025 revenue to be more muted than initially thought, with an average occupancy expectation of 94% [21] - Management highlighted that despite decelerating rents, growth is still expected compared to the trough in 2024, supported by stabilizing occupancy and improving collections [21][23] Other Important Information - The company entered into a new five-year $100 million SOFR swap at a fixed rate of 3.489% [8] - A $200 million corporate revolving credit facility was established, with an option to increase by an additional $200 million upon lender consent [10][11] Q&A Session Summary Question: How much of the $8 million in recurring capitalized maintenance expenditures year to date are non-revenue producing? - Management indicated that elevated spending is skewed towards non-revenue generating activities due to refinancing activities and significant projects in Nashville [27][28] Question: What drove the larger increase in the rehab program to over 500 units in Q2? - Management attributed the increase to a focus on identifying opportunities and deploying resources faster than expected [30][31] Question: What is driving the lower churn costs? - Management noted that higher retention rates and targeted upgrades to existing units are contributing to lower churn costs [43][44]

Financial Performance - Net loss attributable to common shareholders was $(116395) thousand for the six months ended June 30, 2025[111] - Funds From Operations (FFO) was $50775 thousand for the six months ended June 30, 2025, or $015 per diluted share for Q2 2025[121] - Cash Available for Distribution (CAD) was $30546 thousand for the six months ended June 30, 2025, with a CAD payout ratio of 1726%[123] - Same Store NOI increased by 10% GAAP and 63% Cash for Q2 2025[12] Leasing and Occupancy - Wholly-owned portfolio occupancy was 886% at the end of Q2 2025, and 911% leased as of July 18, 2025[9] - Total leases executed in the wholly-owned portfolio during Q2 2025 were 233844 square feet[7] - Tenant retention for the core portfolio was 819% in Q2 2025[12] Development and Dispositions - The company recognized aggregate impairment charges of $341 million due to rezoning permit application for residential conversion of two properties within Austin segment[6] - Completed the sale of a wholly-owned office property in Austin, Texas for a gross sales price of $176 million[8] - Construction started on a 120-room luxury boutique hotel in Radnor, Pennsylvania, estimated to cost $595 million[8] Capital Structure - Issued $1500 million of 8875% guaranteed notes due 2029 for net proceeds of $1575 million[8] - Repaid construction loan of $436 million related to 155 King of Prussia Road with cash on-hand[8] - Net debt to total gross assets was 490% as of June 30, 2025[12]

Summary of the AlphaWise China Property Survey July 2025 Industry Overview - **Industry**: China Property - **Survey Conducted**: July 14-16, 2025 - **Sample Size**: 2,060 residents across Tier 1 to Tier 4 cities - **Margin of Error**: ±1.7% at 90% confidence level [6][7] Key Findings Housing Price Outlook - **Worsening Sentiment**: A net 33% of respondents expect housing prices to fall in the next 12 months, a slight improvement from 36% in April [2][15] - **Tier 1 Cities**: 50% of respondents in Tier 1 cities anticipate a decline in housing prices, compared to 45% in Tier 2 cities [2][15] Home Selling Trends - **Urgency to Sell**: 44% of potential home sellers plan to sell within the next six months, down from 47% in April [3][18] - **Willingness to Accept Losses**: 56% of homeowners are willing to take a loss on their sale, up from 43% in April. Only 18% insist on selling above their purchase price, down from 21% [3][19][22] Home Purchase Plans - **Weak Purchase Intentions**: 51% of respondents are likely to consider buying property in the future, a slight increase from 49% in April. However, only 16% are "extremely likely" to purchase, up from 15% [4][11] - **Short-term Expectations**: Only 3% expect to make a purchase within the next 12 months, indicating continued caution among potential buyers [4][11] Investment Recommendations - **Defensive Strategy**: Given the weak physical market expected to persist into Q3, a cautious and selective investment approach is recommended [5] - **Stock Suggestions**: - **Consumption Beneficiaries**: CR Land (1109.HK) and CR Mixc (1209.HK) - **High-Dividend-Yield Plays**: C&D (1908.HK) and Greentown Management (9979.HK) [5] Additional Insights - **Negative Feedback Loop**: The combination of increased inventory, weak purchase plans, and homeowners' willingness to sell at a loss may prolong declines in property sales and home prices into Q3 [1][4] - **Market Dynamics**: The survey reflects a broader trend of declining confidence in the property market, particularly in major urban centers [2][17] Conclusion The AlphaWise survey indicates a continued decline in sentiment regarding the Chinese property market, with homeowners increasingly willing to accept losses and potential buyers remaining cautious. Investment strategies should focus on defensive positions and companies with strong visibility in the current market environment.

Core Insights - Brisbane's property sales speed is the second fastest among Australian capital cities, with 64% of properties sold within 15 to 30 days, compared to the national median of 31 days [1][3] - 19% of properties in Brisbane are sold within the first 14 days of listing, indicating a healthy market with 83% of sales occurring quickly [1][3] - Perth outperforms Brisbane with 97% of properties sold within the first month, but concerns about market stability exist due to rapid growth [3][10] Market Dynamics - Brisbane's population growth is a key factor driving faster sales compared to Hobart and Canberra [5] - The average days on market for Brisbane properties is projected to increase from 18 days in June 2024 to 21 days in June 2025, while the national average is expected to rise from 29 to 31 days [7] - The overall trend shows an increase in the time properties remain on the market post-pandemic [6] Comparative Analysis - In terms of sales within 0-14 days, Perth leads with 76%, while Brisbane has 19% [9] - The distribution of sales in Brisbane shows 64% within 15-30 days, 15% within 31-60 days, and 0% beyond 90 days [9] - Factors contributing to Brisbane's strong market performance include a mild climate and significant immigration, despite rising construction costs impacting buyers [10]