Message to
Unitholders
volatility and rising interest rate trend. The year sees PLife
REIT reinforcing its capital structure by terming out all its
maturing long-term debt facilities thereby achieving a well
spread out debt maturity profile stretching up to 2021
with no immediate long-term refinancing needs till 2017.
Cognisant of our Japan exposure, we have put in place
Japan net income hedge till 1Q 2020 to guard against the
volatility in Japanese Yen and also increased the interest
rate hedge ratio from 78% to approximately 95%.
Expanding out
The acquisitions of the seven new Japan nursing
homes saw PLife REIT marking its first foray into a new
geographical area, the Aichi Prefecture. In addition it
strategically deepened its footprint in Hokkaido, Fukuoka
and Kanagawa Prefectures. Apart from “expanding” out
its geographical spread within Japan, the acquisitions
afforded the opportunity for us to further diversify our
tenant risk exposure with the addition of three new well
established nursing home operators. Cementing our
position as a credible partner with quality offerings in
this sector, these new grounds also reflect an exciting
growth platform for PLife REIT, even as we maintain our
strong fundamentals and defensive position.
Meanwhile, we continue to exercise discipline as we
seek out new opportunities in the region to drive value
and growth for PLife REIT in a sustainable manner.
LOOKING AHEAD
With overhanging concerns of an uncertain global
economy, the road ahead will continue to be challenging.
Backed by our unique core values, PLife REIT remains
well-positioned to weather the market volatility.
Notwithstanding near-term uncertainties, we remain
cautiously optimistic about our long-term prospects. On
the back of increasing ageing population, rising affluence
and rising demand for better quality private healthcare
services, PLife REIT is set to be a potential beneficiary
of the growing healthcare industry as we stay vigilant for
compelling opportunities.
Moving ahead, we seek to be nimble to market changes as
we build on our successful strategies that have enhanced
the REIT’s overall value and growth potential thus far.
Appreciation
We wish to extend our sincere appreciation to our Board
members for their invaluable advice and contributions.
We would also like to record our appreciation for our
non-executive director, Mr. Ahmad Shahizam Bin Mohd
Shariff, who retired from the Board with effect from
16 November 2015. We are also pleased to welcome
Ms. Rossana Annizah Binti Ahmad Rashid with effect
from 16 November 2015. We are confident that her
expertise and experience will contribute positively to the
growth of PLife REIT.
We would also like to take this opportunity to thank
our dedicated staff for their commitment and efforts in
delivering the sustained success of PLife REIT.
Lastly, our sincere gratitude to our Unitholders, business
partners and lessees for their confidence and support.
LIM KOK HOONG
Chairman
YONG YEAN CHAU
Chief Executive Officer and
Executive Director
ParkwayLife REIT
Annual Report 2015
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