Early for our third quarter update. I hope you guys can hear us. If you cannot hear us, please let us know. Before we get into it, let me share the agenda for today. We will have Choon Siang who will us through the third quarter key highlights. After that, we will dive into the Q&A. Please also note that this meeting will be recorded. A quick round of introductions of the management. We have today here, Choon Siang, our CEO. Mei Lian, our CFO. Jackie, our head of investment. Yi Zhuan, head of portfolio management. I'm Allison, investor relations at CICT. Let's bring on Choon Siang to share his highlights. Choon Siang. Hi, good morning, everyone. Somebody already has a question. His hand is up or is it he can't hear us? Oh. We can move straight to Q&A if you want. Is that everybody's view or is that? Perhaps just because actually, Choon Siang's highlights will be quite brief, if you just maybe spare us maybe about five, 10 minutes. We know you are very enthusiastic. Three minutes. You can't wait. Good morning, everyone. Thanks for joining us today. I know you guys are excited to ask questions, we'll try to spend just a couple or three minutes. Probably I'll go through the slide deck. I think, safe to say this is quite a good quarter in terms of operating performance, as well as financial performance. You can see that we are pretty much firing on all engines. Office is doing well. Retail is doing well. AEI is getting completed, contributing, and acquisitions are helping to help with the growth of the operating numbers as well as the financial numbers as well. NPI, for the year to date, we are up 0.2%, that's of course due to the fact that we sold the 31 Collyer Quay. Like-for-like up about 1.4% on a quarter basis is quite similar numbers. Gearing is up 39.2%. I think some of you might be surprised why the number went up compared to last quarter, but it is because of the distribution that we did as well as the advanced distribution that we did as a result of the EFR. There's a reason why the gearing crept up slightly. Cost of debt as expected came down slightly, 3.3%. Bear in mind that this is a year-to-date calculation of cost of debt. You don't expect it to move by quantum leaps because you are averaging over nine months, whereas every previous quarter we are averaging six months. We did a good financing, SGD 300 million over the quarter. You guys would have seen the news, 2.25%, probably the lowest financing done by the REIT this year. Operating metrics, maybe I'll just quickly skip to the next slide. I think operating metrics, we can talk about it a bit later. Next slide. AEI, I think we have announced some of this earlier, but we have now started works on these three projects already. At least from this quarter onwards. Lot One, we have gotten commitment from FairPrice to expand into basement two. This will be a conversion of the existing car park, that will be a good uplift in terms of NLA and should help contribute meaningfully from next year, toward the end of next year onwards. Tampines Mall, we have already started work. If you have visited, you would have seen some of the works at the entrance area. We will also be moving the works further in once East End Time exits. We have already gotten commitment from some of these key tenants that you see here. A very exciting list of new tenants that we hope will uplift the overall mall. Then we are also starting work on Raffles City. But this is not really a significant asset enhancement. It's more an upgrade of existing facilities, given some of the facilities are a bit dated, some of the amenities that are lacking compared to some of the newer buildings. For example, F&B facilities, which is common for new buildings now, which is not present for RCT. We're trying to add that as an amenity for our tenants in RCT, Raffles City Tower. Next slide, please. I think financial performance, we've talked about that. We are up 1.5% year-over-year in terms of gross revenue. NPI as well, up 1.6%, fairly happy with the numbers. Contributions from all areas, from rental reversions, from improvements in occupancies, as well as the acquisitions are contributing to the numbers. Next slide, please. Next slide, please. Next slide, I think year on today, we talked about it. Leverage ratios and capital management numbers. We've touched on the key numbers in terms of gearing and average cost of debt, I couldn't get into the details so much. Next slide, please. I think we don't have to focus on this. Maybe just go to the rental reversions and occupancy. Next slide, please. Yeah, maybe just a quick one on occupancy. I think all of our assets are doing well, both all in Singapore, Germany, as well as Australia. Office occupancy has improved due to improvements in Australia as well as Germany. We have leased out some additional space in 100 Arthur Street as well as MAC. That's a very positive news for us, given the lack of momentum the last few quarters for leasing for some of this, and now we are seeing some green shoots. We are very happy with the outcome. Integrated development occupancy came down slightly due to mainly Raffles City. It's accumulation of a few different buildings, so it adds up to about 0.5%, due to Raffles City Tower, as well as Funan. There are some exits, but we have already backfilled some of the spaces and are continuing to see some momentum in terms of backfilling. I don't think we see that as a major concern. Next. Rental reversions. Very pleased to say that improvements against the last quarter, you guys probably have seen the numbers already. If you look at it compared to second quarter, these numbers are up compared to last quarter. Last quarter overall, retail, we are probably up 7.7%. Now we're up 7.8%. I think the more meaningful number actually is office. Rental reversion is 6% plus compared to 4.8% last quarter. Next. Retail sales, very positive quarter. I think, as we highlighted in previous briefings, I think second quarter was a bit muted, partly into Liberation Day, right? It was feeling the effects of that in April and May. We had a slight, excluding ION, we had a slight downtick in terms of tenant sales, but now it's back up about 1% per annum year-on-year growth if you exclude ION. If you include ION, of course, there's a more significant growth rate. I think overall it does look like the momentum is swinging back to positive. Very pleased with the outcome as well in terms of our operating numbers. Okay, next. Some of the new brands, I don't think we want to spend too much time, but I think if you have visited some of our malls, I think we have quite a lot of exciting brands. Hai Kah Lang, if you have gone to Funan, you'll see that every day there's a long queue there. Legendary Hong Kong and Jem mall doing very well. Some new brands in some of the others. Okay. I think it's probably not your focus. Maybe just one last bit, one last slide. This is the improvement in occupancy across the three countries, as you can see. We are indeed improving the occupancy, as what we promised. I think we wanted to improve the asset performance for some of our overseas assets, and we have delivered on that. Germany. We leased out a major space in MEG, which was quite stubborn. Now occupancy there is about 86%. Bear in mind, this still excludes Gallileo. If you include Gallileo, that number will probably be a little bit higher. Australia, we also managed to lease out. Actually, the only challenging asset in Australia was 100 Arthur Street. That we have leased out quite a big space over there. Now that moves the average of the three buildings up from 88% - 91.87%. Okay. Sorry, I think that's probably more than three minutes, but maybe we can move to Q&A. Okay, thanks, Choon Siang. Before we jump into the Q&A, just a few housekeeping rules. If you have any questions, please hit the raise hand button, and when you are called, please unmute yourself and ask your question away. If you prefer, you can always drop your questions into the chat box, and we can pick it up from there. I see quite a few raised hands, perhaps we will go to Mervin. Mervin, please go ahead. Congrats, Choon Siang and team. Very good business update. Can't see many negatives per se. Can you touch on the tenant sales? It actually feels a reported improvement. I'm just wondering what's happening for third quarter, and you think this will continue into fourth quarter, because during the last two Decembers been down year-on-year. The second question I have is in terms of cost of debt guidance. Noted you did for Q on Q. Do you have updated guidance for the year end as well as FY 2026? Thanks. I think that, I would say that Q2 is more an anomaly. We are back to normalized pattern. I mean, going up, normally you wouldn't have been so excited if we tell you tenant sales are up 1%. I think you will see that as business as usual. I think it was because second quarter we were down, and now it looks like an uptick. I feel that second quarter was more an anomaly. Because of Labour Day, there was a lot of caution thrown into consumer spend. I think some of that savings that people locked up in second quarter might have contributed to the uptick in third quarter. Of course, if you look at year-on-year, 1% growth means that the third quarter sales was higher than 1%. It's quite strong momentum. I think part of it was also contributed by CDC vouchers, right? Because those went out in July. Probably did not account for the full delta. In fact, we probably saw an increase overall across most of the trade categories and not just supermarkets. I think our second quarter momentum, whether we can see that continuing in Q4, I think that's a bit hard to extrapolate. It always depends on how much time people spend traveling outside of Singapore. I think that's always a big determinant of whether a lot of prosperity is in Singapore. Sorry, probably doesn't answer your question on December numbers. No, not a problem. Yeah, just wondering your thoughts. Yeah. A lot of negativity in the retail space, I think this is a positive data point. Yeah. Irvin doesn't need to keep writing on LinkedIn about how great retail in Singapore is Negative news always gets more eyeballs. That's all I can say. Don't always believe everything you read in the newspapers. The cost of debt, yeah. At the macro numbers from DBS, I think the retail sales numbers are actually up this quarter quite a bit as well. It's not just limited to sales in malls. I think overall, macro, across the country, retail sales are up quite a bit. I think, if I'm not wrong, it was about, can't remember if it was August or July, up about 4% or 5%. I think August, 4.6% retail sales. There was a question on cost of debt. Oh. The averaging down on the cost of debt, quarter-on-quarter, is that we actually are seeing a lower cost per Q. Really to be specific, it's close to about 3.17%. Driving towards the end, if we continue to see the cost of debt sliding down. To the nearest tenth, at one point it was probably close to 3.3%. Maybe it's dropped below 3.3%, but when we round up to the nearest, it's still around 3.3%. Sorry, a bit soft there. Can I say that the third quarter itself was 3.17%? Yeah. Yeah. Okay. Next year will be at least 3.1, if not 3. Yeah. Close to 3.1. Between 3.1 to 3.2. Next year. Yeah. Okay. Thanks a lot. All right. Next, shall we move on to Geraldine? Hey. Hi, morning, Choon Siang and team. Yeah, maybe just following on to Mervin's question. If your full loan book resets at today's rate, what could your average cost of borrowing look like? Oh. Well, theoretically, it should be the same as what we just borrowed, which is 2.25%, right? Oh, okay. Low. Yeah. Technically, I'm just giving a very simplistic We have the capability of borrowing at 2.25% today. If we reset the whole loan book this year, there or even lower, because that was a seven-year bond, right? Technically, our average term to maturity is four years typically, because you will have some nearer dated ones and some floating. Floating are usually even lower. Actually, 2.5 is probably conservative if you reset today. Yeah. Okay. Yeah, it's the lowest rate we've seen in a while. Maybe just on office, if I just look at three Q reversions, it looks to be closer to 10%. Yeah. Just wondering what's driving the numbers. Is it more Australia? How much of it is due to the CapitaSpring consolidation? Reversion numbers, that's not included in the Cap overseas properties. That's the Singapore reversion numbers. Okay. We got some of the leases in some of the properties the reversion number is pretty strong. Oh, okay. It's blended plus CapitaSpring conso. Yes, there's a bit of a blended effect across the board. Oh, okay. Maybe just last quick one on acquisitions. Now with CapitaSpring already under your belt, what could be next for us to excite the market? You're not excited enough? Very exciting, more could come, right? Well, we are looking at a few things, that I'm quite excited about, I don't think I'm ready to share with you. Okay, I think in terms of things that are visible, the only thing we can share, I guess, is the sponsor pipeline, right? Those are at least clearly visible. Sponsor pipeline, I think what is left in the books is Jewel. Jewel is quite an exciting project. I guess that's a matter of timing as well. That's one potential. Not sure whether it's something for 2026 or 2027 or 2028. We'll see what happens. Also looking at some other stuff. Okay. Thanks. Thanks, Choon Siang. Yeah, very exciting. I think the other thing that is getting us also excited is also, I think we are trying to do a few AEIs, and I think those have quite meaningful contributions. They are a bit smaller in terms of capital deployment, but they do add vibrancy, add some new tenants, and also help contribute meaningfully to our numbers on a consolidated basis. We're also exploring new potential AEI for some of the other malls. As and when they are ready, we will keep sharing their next year if they come to fruition. Okay. That's all from me. Thanks a lot, Tan Choon Siang. Geraldine. Next is from Yu Xiang. Hi. Hi, Choon Siang. Three questions. The first one is on ION. Tenant sales have been very strong. How long can this sustain? Depend on the question. So far, I think so good. I would say that ION sales, if you look at it. The numbers are up because it's absent last year, right? I think on the year-on-year basis, I would not say that it's partake. I would not say that it's stronger than our other malls. I think they are probably more in line. Actually, they do trend quite similarly to some of our downtown malls. I wouldn't treat ION sales as separate in terms of trending. They still remain quite correlated with, for example, Raffles CapitaSpring, or even some of the suburban malls. Even though we see it as slightly higher end lux and maybe slightly higher tourist content, but I think at the end of the day, it's still about 70% domestic. It's still highly correlated with our domestic traffic. We are hopeful that the numbers will continue, because bear in mind, ION is not operating at 100% capacity. If you go to ION today, you will see that some of the shops are still not fully operational because we have been doing a bit of rejigging, moving some of the tenants, and trying to elevate the experience on the ground floor and shifting some of them. If you ask me on that basis, actually there is some room to grow because if all the tenants are operating, actually you should expect tenant sales to improve. I think if you look at tourist numbers in Singapore, I think ION does have some reliance on tourism, in terms of spend, right? If you look at tourist numbers, while we do not have big concerts like Taylor Swift, which contributed quite meaningfully to last year, the government and tourism board still makes a very good effort. If you look at tourist numbers, actually we are tracking higher than last year. There is still strong momentum. The MICE calendar is very strong. Bear in mind, this year, F1 was actually in October, not in September. F1 numbers on a like-to-like basis actually have not contributed to September numbers. Put that in mind. You might see some skew and some positive momentum in the October numbers. My second question is on your comment on Jewel. What's the passing rent for Jewel? Can you share? Oh, it's not our asset. I don't even know the numbers. Is there anything on the market right now that is exciting, that is making you excited other than your sponsors pipeline? You know in Singapore, there aren't that many opportunities. Those on the market are not so exciting in terms of pricing. No, I think if it's a third party, unfortunately, I think it could be exciting, but the pricing usually is not as exciting. Unless if you have to run through a competitive process, it's usually a bit harder. We also want to stay disciplined in terms of acquisitions. We want it to be exciting, but we also want the price to be exciting also. Yep. Sorry, it doesn't really answer your question. We are looking at a few things also. Yeah, I was just thinking about next year, what's the plans? Is it going to be a quiet year? This year has been relatively busy for you from the beginning of the year to date. Yeah, we hope it won't be quiet. Unfortunately, it's hard to articulate very clearly. If you look back nine months ago, you probably thought this year might be a quiet year, too. Because I look at AEIs. AEIs doesn't really lift much to your portfolio because your portfolio is so huge, right? You add another SGD 10 million, it's like it doesn't move the needle. Unfortunately, it's very hard for us to share things that we are working on unless it's quite finalized anyway. Usually these questions are very hard to answer. I'll jump back to the queue. Thanks. We are excited. In any case, next year, actually, we do still will benefit from the existing organic. Even for this year, CapitaSpring has only contributed one month, starting from September onwards. It will still continue to contribute next year. There are things that are announced already. While it's not new acquisition, like for example, JCube, it has not contributed for the last 18 months, but we are quite excited that it will start contributing early next year. Okay. This one is substantial because it's an entire building. Okay. Thanks. This is down to Hey. Hi, good morning. Can you hear me? Sorry. There you go. Yes, go ahead. Okay. Yeah, I don't know why my video is not working. Anyways. Yeah. Maybe just following on this exciting transactions or assets that you're looking at. Is it still Singapore, office or retail? If you were to look at our stuff, it will probably be Singapore for now. Okay. Office or retail, or both? I think we are open to both. We are quite pragmatic people. At the end of the day, it depends on pricing, right? Okay. We are value hunters. As long as we think it adds value to our portfolio and we think that we are able to acquire something at a reasonable valuation. It's a matter of relative to market. Okay. If you look at it simplistically, you know that retail trades at a higher yield, right? Technically, it's more feasible and easier to do retail. Of course, the risk is different, people cannot just look at yield solely as well. Okay. Is Paragon's portfolio still in your this exciting assets, or not really? I think Paragon, I'm not- Paragon Retail. Yeah. Still, right. They have to do AEI. I suspect that might take a while. I don't know, it doesn't feel like it will be in the market in the near term given that they have to do AEI. Okay. There are other assets in Paragon as well, right? Ex-Paragon. I think there's Clementi Mall. They're running a process now, right? I think that's public knowledge. Okay. The other one, no, they only have Marion after that, which is in Australia. I think these are the two assets that they have. Okay. All right. My next question is on Gallileo. Now that you have leased up, it's looking good. Are you keen to sell, and is the market ready to sell? I think we focus on handing over to the tenant first. Actually, it's not complete, but while we have started, actually, it's a multi-phase handover. We will only be completing the handover to the tenant probably coming close to the end of Q1. Which is another four, five months left. I think we want to focus on When you do a handover, there could be hidden issues at the beginning. We'd rather try to be a good landlord and sort out all these issues with the tenants to make sure a very smooth handover first. Okay. The income from this Galileo will be full contribution starting from end first quarter, is it, when you are fully handover? Is that the case? No. It will be staggered. Contribution will also be based on business. We only get rent for the area that we have handed over. Oh, okay. When should we expect the full- Full contribution? Yeah. After maybe Q1, full probably Q2 onwards. Okay. Got it. Yeah. Keep in mind we only own 94.9% of the asset. When we say full, we mean the full contribution from our share. Yes, okay. Just one last one, quick one. In terms of ION, I know there's a rejigging. When can we expect all this rejigging to complete, and then we will see some flows in income? It will probably take a while because actually we are doing a few movements, and you cannot do all at one time. There's a bit of a musical chairs, tenant A move to tenant B, tenant B move to tenant C. It will be ongoing for a while, I think. At least it will continue until next year. At least, those that are not operating now, when they open and contribute, then it will be incremental. We don't expect everything to open up together. Okay. All right. Thank you so much. I'll jump back to the queue. Next, can we hear from Brandon? Hey, good morning, Choon Siang. Just want to touch a bit on your asset sales. Can you share what's your guidance here? We have been seeing cap rates compressing quite a bit domestically. Are you still looking to sell? If we do see that, is it more office or retail? I think we have done some divestments in the last 12 months already. In fact, yeah, it's really still within the last 12 months. We've done two asset disposals, 31 CQ and the service residence at Keppel Spring. I don't think we are in a hurry, but as you rightly pointed out, it does seem like the markets' yields are compressing quite fast, partly due to probably no good assets available for sale in the market, and also coupled with the sharp decline in interest rates in the last couple of quarters. We are looking forward to what Clementi Mall transact at eventually. We do think that, yeah, the cap rate compression is quite significant. It could make us reevaluate our portfolio a little, but I think safe to say, we are generally quite happy with our portfolio construct now. We do think that most of our portfolio are very strategic and quite core to our business. I would say that if we were to divest, we may want to look at, I think some of you alluded to some of our overseas assets that will be more meaningful for us to look at in terms of divestment. In Singapore, I don't see us divesting significantly. We could potentially look at one or two assets, but not urgently, because they are all yielding quite well. We will also have to evaluate. When you are yielding well, unless you get a very significant uplift of valuation or book value, it's likely to be dilutive. We have to evaluate that quite carefully. It depends on what kind of yield we can get. Basically at the current 39.3% gearing, you're quite comfortable. Okay. 39% is not the norm, actually, because we did advance distribution, right? In a normal quarter, if we didn't do advance distribution, this gearing would have been lower. When people compare it to, say, a few quarters ago, it does look a bit higher, but we must bear in mind that we have advance distribution. Other quarters, we normally don't have advance distribution, right? If you remove that effect of the advance distribution, the gearing would probably have been 38 plus. I guess the underlying message in your question is that should we be comfortable with 39% plus gearing? I think we would like it to be a bit lower. Okay. Just one last one. For the potential inorganic growth, would you be keen to look at some of these GLS mixed-use with a retail component, like something like the outcome central mall? In the past, we did see CSE going for both sites, right? I think we will evaluate all opportunities. It all depends on how it affects our numbers in terms of whether we have the capacity to do it and whether it's overall accretive or makes sense for us from a portfolio perspective. Yeah. I think short answer to your question is, yes, we will look at all opportunities as long as it's relevant to our portfolio. Okay. Hey, sorry, just one quick one. Is Cuscaden Peak considered your sponsor? No. No. Okay. Okay. What do you mean by sponsor? Oh, sorry. I guess sponsor, we mean we have a ROFO to their pipeline, right? The answer is no. No. Okay. Hey, thanks so much. Thank you. Thanks, Brandon. Unfortunately. Derrick, go ahead. Hi, good morning. Can you hear me? We can hear you. Hello? We can hear you. Hi. Yeah, we can hear you. Hey, good morning. Thanks for the call. Just a few questions. Firstly, on acquisitions, I'm just looking at some of your peers. I'm not sure about the peer, but gone into suburban Australia. I'm just wondering whether, is that part of the world interesting for you, or you still want to focus on Singapore for now? I think we want to focus on Singapore for now. We still see opportunities in Singapore until such time where we think that we run out of opportunities. For now, I think we still see some pipeline in Singapore. I think our investors would rather us focus on Singapore for now as well, I think. Certainly. Okay. Got it. Just to also reconfirm, I think previously, we heard from the grapevine that this Bukit Panjang Plaza was on the market, right? That is off the market already. Just any thoughts on that? Was it in the market? Don't know. No, not in the market. I just want to make sure because maybe it was there in the market before I joined. I need to verify. I cannot answer for those. Well, I'm just checking my colleagues whether it was in the market. No, right, we never said that was in the market. I think it was market speculation. Yeah, I saw the newspaper article also, I wasn't sure whether it was from us. Okay, no problem. Sorry, my last question, just a quick one. The results are really good and straightforward. Could you give us a guidance for your reversions, and maybe going to next year? I think my thinking behind it is that, this year you had the consumption vouchers and boosted spending a little. I'm just wondering whether, at this moment, are you still okay to push reversions to the same level? Do you think you can maintain? No, I think we have always said that high single probably not so sustainable. Okay. We probably try to target between mid to about 2% per annum sounds more reasonable, right? Okay. The Singapore inflation is also not that high. Yeah. Got it. Sorry, just last one. If you think about ION, the LLP potential, is that still something you're working on? Is there a timeline that we can look forward to convert to LLP? Yeah. I think at the last review, we have also said that it will probably take a long time. Yeah. Probably not something that you want to work into your numbers in the short term. Of course, rest assured, at the back end, we are running at 100%, but even when you run at 100% to try to get it will still take a very long time. I will not assume it in the short term. Okay. I'll leave it at that. We are working hard to get it done. Yeah. Okay. I'll leave that as a surprise. Yeah. Okay, thanks. That's all. Thank you. Okay, Derrick. Next, can we hear from Shen please? Right. Morning. Can I follow up on the reversion? I guess you were guiding for reversion to moderate for some time, but it seems that things are actually improving. What's actually driving this positive surprise here? I guess, overall, Singapore economy is doing quite well. If you look at GDP growth, as always, it's been surprising on our side every single quarter as well. I think, generally, equity market is doing well, CDC vouchers. When people are prepared to continue to spend, when the general market is doing well. What is driving it? I guess, while we have always said CDC voucher is driving part of it, some of it was probably due to, like I mentioned, I think Q2 was a slightly lower base. Improving from Q2. Q2 was probably muted because of Labour Day. I think we probably felt it most in April and May in terms of tenant sales. Some of the bounce back is not as surprising, actually. You probably have some savings, because when people spend less in the last quarter. I think overall, market and economy is doing well. We do expect sales momentum to improve. Thanks. Second question on tax transparency. Our forecast is usually three years forward. By saying that we should not factor this in, does it mean we shouldn't expect it to happen within the next three years? No, I wasn't thinking from your point of view. I was thinking from my point of view. My point of view is 12 months. Okay. Got it. That's clear. Thank you. Thank you. Jonathan, you're up next. Good morning, Choon Siang and management team. First question, for those of us who missed the first few minutes, don't mind, could you run through what's driving the higher occupancy for the office portfolio? Then second question, as we come towards end of the year, do you expect sizable revaluation gain when you do your revaluation for December? Do you expect cap rate compression for retail and office portfolio? Which segment would contribute more divestment gain? Would it be office or retail? Thank you. Okay. Office occupancy went up largely because we managed to lease out our two assets in Germany and Australia quite well. In Germany, occupancy went up close to 5% because of MAC, which is only a single property. That was a single tenant, large lease, we're quite happy with the outcome. Australia, actually two of our office buildings are pretty much fully leased already. It's just 100 Arthur Street. We managed to lease out the 100 Arthur Street, and also a fairly large long-term lease as well to Flight Centre. They took out quite a big space. This is a three percentage point increase in Australia over three buildings. Actually the standalone building was more significant. These two contributed to the uptick in office occupancy. That was your first question. Second question is on valuation. We do hope for our Singapore assets to show improvements in valuation. As to how much, I think it's hard to say. If you look at some of the other REITs that have year-ends in September or June, they have reported healthy valuation uplift for their Singapore portfolio at least. Would it come more from retail given maybe transaction in the market? I think it'll be both office and retail. Okay. You might find that more in retail, I guess, because I think office cap rate is already quite tight. The room to move is already slightly less than retail. Of course, look at our performance, reversions, and in terms of occupancy, is also slightly higher for retail. All of those get factored into future cash flows. I was just giving some of the drivers and what could potentially move. At the end of the day, it depends on how the valuers do their numbers as well. If you look at broad numbers, of course, retail numbers seems to have a better momentum in terms of rents. Yeah. Thank you for the color. Thank you very much. Thanks, John. PJ, you have a question to share? Yeah. Hi, morning, Choon Siang. Just adding on to this, Jonathan's question, in terms of overseas markets, do you see that things have bottomed out over there? Do you expect this occupancy gain to sustain and probably can give some color in terms of incentives for some of these leases you have signed? Okay. Maybe The harder questions I have to defer to Michael please. Yeah. I would say, generally, the overseas markets, and I will go into Australia first. For Australia at this point, we do see a bit of signs of coming out and in terms of some of the occupancy vacancy that we are seeing, but we are also at the same time, incentive levels are kind of stabilizing by nearing the peak. As for the leases that we sign, I won't go too much into the details, but for the 100 Arthur Street, it's pretty much in line with what we are seeing some of the newer buildings in the area doing. Unfortunately, for North Sydney, at this point, it's on the elevated side of things compared to the main Sydney core CBD area. The good thing is, generally, what we are seeing North Sydney compared to a couple of quarters ago, the flight to centrality, where a lot of them, which has been benefiting the core CBD for a while. We are seeing a lot more inquiries now also coming for North Sydney, coming from some of the Macquarie Park, your Chatswood, and some of these other sub-precincts that is further out. Hopefully some of this translates eventually into more deals in the area. For Main Airport Center, I think it's pretty much in line with what the market is doing. The rent free is a little bit long for the sub-market in Airport District at this point. The good thing about some of these leases is that the commitments are coming quite early, like Flight Centre, we are already seeing the tenant taking the space early next year. Okay. Would you say the occupancy has bottomed? Sorry? Would you say the occupancy has bottomed out? We will still see a little bit of volatility in the next few quarters in terms of the occupancy for our assets. There will be some exits, but I think right now the momentum in getting them backfill is actually quite okay. Okay, got it. My second question is in terms of portfolio, broadly looking at next three years, do you have any redevelopment opportunities in your portfolio like CapitaSpring or CapitaGreen, which you see in your portfolio, specifically in your portfolio or even with the sponsors assets combined together like CLAS assets or CLI assets which you can redevelop together in the next three to five years? Redevelopment. For redevelopment is of course, we do study some of the possibilities in view of some of the things we see in the master plan. A lot of all these things, we have to actually engage the authorities as well as look at what eventual scheme we are getting. It only makes sense for us most of our Let's say we get a very good GFA uplift, but if you look across most of our properties, they are trading pretty well. The kind of occupancy is actually also quite strong. There must be meaningful upside for us to undertake a redevelopment. Okay. At this point of time, you don't see any? We will have to study and see what the market can bring us. Okay. Thank you. That's all I have. Thank you. Thanks, Vijay. Can we hear from Terence, please? Hi. Thanks. Choon Siang and team, congrats on the strong results. Can I ask on the office, what drove the stronger office reversions this quarter? You report on a nine-month basis versus first half basis. It is actually quite strong, specifically for this quarter. How is tenant demand trending, especially understand AST 2 had a bit of a low occupancy in the first half of the year. How is that doing? I would say that generally, if I look at Singapore office market, the key trends are still pretty much the same. The flight to quality, people are paying for quality at this point, limited supply. Of course, we see some of the upgrading demands. Even though, generally, relocation is still something that a lot of companies are a bit careful because of the CapEx commitment. You also start to see some of the landlords in the market are starting to look at, especially for the smaller spaces, looking at fitted-out suites and fitted-out options. For this quarter in particular, we do see pretty strong reversions for two properties, mainly Capital Tower as well as 6 Battery Road. It's very hard to say why suddenly, because actually, for example, if I look at the quarter before, these are the assets that probably the reversion is on the lower end, and then, but this quarter is on the slightly higher end of things. It's really deal specific rather than anything that is jumping out as a key driver. For AST 2, how's that doing occupancy-wise? Anything that we have to worry about? AST 2, I think generally that area has a little bit of activities in the past few quarters, because we have Marina One, we also have IOI filling up. Definitely when it comes to filling spaces, it's a bit more competitive. We are in talks with some of them to backfill. I think we are in some advanced discussions with some of the tenants. Hopefully can convert them soon. With some of these supplies tightening around the area, I would say that this would probably give us a bit of opportunity to see a bit of improvement in the occupancy in the coming quarters. Can you share the occupancy this quarter for AST 2? Just give me a second. Yeah. Then, just ask a final question. For retail side, any concerns on cinema tenants that maybe, can you give us a sense of which segments are doing better, which segments are a bit more challenged? Okay. Maybe AST two this quarter, our occupancy is actually slightly higher at around 95%. Okay, great. Thanks. Yeah. As for the retail, you were talking about retail, right? Yeah. Yeah. For retail side, our good thing for cinema trade is that we are not overly exposed within our portfolio. It is less than 5% from an NOA perspective, and generally their rent contribution is even lower, say I think it is sub 2%. From GRI contribution perspective. So far, at least we do not have a real issue with our cinema. Hopefully, I think we will promise that next year there is a better lineup of shows. Hopefully it converts with less cinemas around, better shows, hopefully translates to better performance from the cinema side. As for the rest of the trades, I would say, generally we do still see for F&B, the operators generally are still quite strong interest coming from there. Dining out has been still quite resilient demand across the board. Actually a lot of the well-capitalized overseas operators are showing quite a lot of interest coming into Singapore. Having said that, I think generally, manpower limitations, wages, cost of supply also means that a lot of all these operators tend to be a bit more strategic in where they choose and also in terms of the size. We also see a little bit of shift from what used to be a lot of traditional fine dining now moving more into experiential kind of an affordable food. I think this trend will probably persist in the coming quarters. You will see a lot more new concepts in terms of food. For fashion side, generally, the fashion retailers are a little bit careful for expansion now, and a lot of them are trying out. The new-to-market brands tend to look for pop-up space. Actually there is a lot more inquiries for pop-up where they want to come in, take a space, either temp these or take out even some of these interest space for pop-ups. Then they will try to do a short campaign, and they will see to test the market whether there is acceptance for it and before they look at a more permanent kind of space outlook. This quarter, one of the standout performance is actually the hobbies. Generally, the hobbies are doing quite well this quarter. The hobbies trade. Your partner and your ActionCity, some of those are doing quite well. Last year, if I talk about entertainment, partly because maybe we will have to see how the F1 weekend goes, but generally, if you look at it, last year, there was a lot of recovery for the nightlife, the entertainment. Year-on-year, we see the entertainment coming off a bit this year for the clubs and the bars. Thanks very much. Thanks, guys. Derek. Thanks, Allison. Hey, morning, guys. Just a quick follow-up on that cinema percentage of GRI that's for retail, right? Overall, it'll be even lower. It's not 1%. Sorry, Derek. Yeah, you're breaking up. Can you repeat your question? No, just following up on Yi Zhuan's answer on cinema operators accounting for less than 2% of GRI. That's retail GRI, right? Overall it'd be even lower. This is actually your GRI. Yes, retail. Okay. It's retail. Right. Okay. Got it. Cool. Just could also ask on the occupancy costs for retail, given that seem a bit of disconnect between the reversions and the tenant sales. What's the occupancy cost right now and how does that compare as a quick compare? Our occupancy cost, if I compare to first half of 2025, actually it came up a little bit. Yeah, very marginally. I would say it is quite stable at around the mid-70s% as a performance. Okay. Is there a breakdown between downtown and suburban? Sure. If we are talking about cost, if we are talking about downtown, suburban generally is around 16.5% there. Well, plus minus. It will fluctuate around that area. Downtown is about 18%. Yeah. 18%. Okay, thank you. Just moving to office. I am not sure if I caught, was there a reversion outlook for office in Singapore next year? Probably around the same low to mid singles, I would say for 2026 at this point. Low to mid single digits. Okay. Got it. All right, got it. Just lastly on potential acquisitions right now. I think Tan Choon Siang did mention a more of a preference for malls, for retail. Within that, would suburban or downtown make more sense to you right now? You're right, Derek. I think we said that retail yields are higher, I don't think we have a preference for that. It all depends on the relative value. We are open to both, as evident in our last two acquisition. One was office and one was retail. It depends on what's the pricing for each of them. Of course, to make the numbers work, retail yields are higher, it's always a bit easier in terms of that. We have to look at it from a portfolio construct point of view as well. I think your question is whether it's retail. The thing about Singapore acquisitions at Prime Line is it always depends on what's the opportunity. It's hard to I don't think we are necessarily trying to ring-fence around a specific area. I think it always depends on the specific opportunity. I think we are more concerned about the location advantages and whether there is a great catchment and whether there's a great transport node attached to the asset. These are more important considerations rather than whether it's retail or whether it's suburban or office or downtown. I guess following on that, what makes sense to you also is the dominant nature of the mall, right? Let's say if it's 200,000 sq ft, that's far more attractive to you. Yes. Yeah. I think, definitely for us, it has to add meaningful scale. I think not so interesting for us if it's a very small asset. It doesn't move the needle for us. You spoke about pricing as well. Could we benchmark against on a per sq ft basis, maybe the current assets that you have, some of the more better suburban malls, for example, are SGD 3,003, SGD 3,006 per sq ft. That would be a number that's more comfortable for you, right? Yeah. I think we have to look at a few metrics. One is, cost per sq ft, as you already pointed out, that's relevant. I think the other thing, of course, because cost per sq ft can vary depending on whether it's a more horizontal mall or a more vertical mall, whether there's basement, no basement, that kind of stuff. I think the other more important metric, of course, is yield. Because at the end of the day, that's the income that we'll be getting. Also, the third number that we always focus on is accretion and whether how it contributes to our overall portfolio. These are the few things that we typically focus on and try to be disciplined around it. All right, cool. Thanks. Thanks so much for your time. Thank you. Next up, can we have Terence from UOB? Hi, good morning. My first question is on tenant sales. Do you mind sharing a bit on the third quarter year-on-year trend for retail? It seems to be flat for nine months and appears to lag that of peers. It's kind of counterintuitive because I would expect that you should have gotten the lift from the SG60 vouchers coming in from July onwards. Yeah. I think these numbers are year to date, right? If you look at it from that perspective, this quarter actually is higher than 1%. As to what it should have been, you sound like you are expecting a much larger number. Well, your peers are reporting somewhere around, say, 3%-4% year-on-year increase. Is that for three months or is that for nine months, though? Only the third quarter. Yeah. That's the difference. That's why I highlighted that this is a year-to-date numbers. Maybe we can share a bit more color. Chuan can share a bit more color. Okay. For third quarter, if by year-on-year, where it's good, just like for the properties, excluding ION they're also around three-plus%. For the retail portfolio. Okay. Perhaps you mind sharing, perhaps your thoughts next year when SG60 vouchers roll off, should we then expect sales to flatten out, potentially even decline? Actually, I wouldn't think so, to be honest. They would offset with at least some of the growth that we see and the broader economy, how it is doing. I wouldn't particularly say that that on its own would actually really transfer. Actually right now we see the SG60 vouchers, probably there's a little bit of transfer effect between people having a bit more disposable income to spend, given that some of the other day-to-day things they already use the voucher to offset. We also see some of them take the money and travel overseas and spend it overseas. I wouldn't say that actually next year we would expect this number to really come off. Okay, got it. On, I think in Tampines Mall, Isetan is due to close down November 2025. Should we expect that there will be some vacancies, or how's the backfilling progress? Yes, definitely. That one on its own, the space is about, if I'm not mistaken, around 38,000 square feet, right? As it closes down, there will be a bit of transitional vacancies that we will see. Actually at this point, we have already been in advanced discussion with a lot of the tenants. Some things we are already very close to some of these things, to just a choice. It's already kind of well backfilled. Okay, got it. Thank you. Yeah. We have some. Because actually there's a Sorry, maybe if I just elaborate a bit on this, because for Isetan it's actually sitting on two floors, the ground floor and the upper floor. The ground floor, as the first phase of some of the works that we are carrying out, those we have actually largely gotten the need, kind of built it up. The second floor is the one that some of the details we still have to work through to finalize with the different brands, because it involves a bit of reconfiguration. Is it fair to say that this might involve some degree of cutting up large plate into small plate and there's that effect of positive reversions coming out thereafter? Yes, there will be a bit of a reconfiguration. Some of the floors will definitely be smaller ones, especially the ground floor, you'll probably see a bit more of that. Net, we would expect it will generate higher income. Basically the per square foot rents for some of the spaces will be much higher than what it is getting today from Isetan. Got it. Thank you. Thanks, Terence. Next, Rachel. Hey, hi. Yeah, just some follow-up question. In that Isetan rejig, if I look back at your numbers, your Tampines Mall ROI is only roughly about 7%. Now you're cutting up space in Isetan. Should we expect more ROI? We have to offset with a slight loss in NLA also. Oh, okay. That 7% is taken into how Everything is referred, with ION contribution. Yes, already taken into account the effect of reconfiguration. Yes. Oh. Oh, sorry. If there's a question, yes, the whole project ROI includes everything. Oh, okay. All right. For the retail leases that were signed during COVID, has that all already been mark-to-market already, or do we still have a few more left? The scheme of the market right now is. Okay. On the office side, you said that the key trends are still there. I'm just wondering, because of the limited supply, are you still able to push rents up or generally, the rents are actually quite stable now as you discuss with tenants? I would say that at this point, generally as a market, while there's limited supply, we also see that there's actually, I wouldn't say the new demand coming in is very strong. Even though some of the leases we have seen recently, especially done at IOI and Marina One, you see big companies who actually took much bigger space than what they had previously. That kind of reflects also within our portfolio. If we see this year to date, we actually see a net expansion of space among our existing tenants. A lot of the movements in the market is actually a bit of musical chairs. I would not say that, at least at this point, there will be a lot of I would say it's actually flat-ish and very moderate growth rather than to expect your landlord suddenly really stretching rents a lot. Of course, in some instances where we actually have tenants that moved out, and some of these tenants probably have been with us for quite a while. Some of the new tenants that we bring in, like what we see in City and what we see at 6 Battery Road, there are those where opportunistically, we are able to get pretty strong reversions. Yeah. Okay, got it. Yep. The new to Singapore tenants are very small now for office? Yeah, I would say new-to-Singapore tenants demand not really that much. In fact, actually, we see startups. What we hear is that there are a bit of more startups coming from Chinese and Indian companies. Some of them also coming through for the tech space of things. Usually some of these smaller startups, they usually either go for fitted offices or they go for those kind of co-working spaces that we see. All right. Thanks for the color. Thank you so much. Thanks, Rachel. Okay, we'll circle back to Mervin again. Hi. Yeah, just got a question in terms of the office NPM margins, it fell quarter-over-quarter and year-over-year. Just wondering what's happening there. Is it the incentives you're having to pay for Germany or Australia? In terms of second question I have is electricity costs. How much are you paying today, and do you still expect further savings ahead? For 101 Miller in North Sydney, are we getting closer to bringing more substantial AEIs, especially the retail space, which is connected to the train station or at least the forecourt, to activate the space? Perhaps have a more comfortable beer o'clock. I'll probably take the last 2 questions first. For Greenwood Plaza, we are having plans to actually do some of the repositioning works for the Greenwood Plaza sometime next year. Some of the plans we are working through, and we are also talking to some of the brands, working with our JV partners definitely. We do expect to see Earlier this year, we did a bit of works around the lobby for the office site. I think the whole repositioning site for the office was materialized. We can see the uptick in the occupancy. Right now, the next one to focus on is with Greenwood Plaza. With Victoria Cross Station completing later part of this year, we also see that there's a bit of a shift in the gravity of where the traffic flow goes, the center of gravity. Definitely we need those little bit of things to anchor where and what GWP can bring in terms of football, in terms of the sales and stuff. In terms of electricity rate, I will only say that in 2026, we probably expect tariff rates to come off what we have currently in 2025. Yeah. The NPI margin for the office site, I think partly came off when we include CapitaSpring. We have that little bit of CapitaSpring's margin on average, kind of have a little bit of impact on the overall office portfolio. That's it. What is there on the portfolio. The NPI margin hasn't been this low for a while. Should it normalize high over time, or this is the new level? By about 8%-9% on a five, six, seven, end 30, end 31. The first half was abnormally high at 76.4%? I would say that it should normalize to be around 74%, 75%, thereabout. Okay. Sure. Sorry, just back on electricity costs, would it be in the mid-20s at this point in time? Going to low 20s? Longer-term expectations. You mean as in the tariff rate? Yeah. It's probably around slightly below. It'll be going to low 20s next year, I presume. You're saying 2025 or 2026? 2025, going into 20- Slightly above mid. Slightly above mid. Now we are going slightly below. Okay. Your electricity contracts, they're one-year contracts or you do more longer term? The contract itself is long. It's just the rates, it's actually reset every year. Okay. Thank you. All right. Look forward to the exciting pipeline in the future. Thank you. Anything? Any more questions? No. Okay. Looks like we've got everything covered for now. If anything else comes to mind, you know how to get to us. Thank you for your time today. Have a good week ahead. Thank you. Thank you, everyone. Thank you.