NOTES TO THE FINANCIAL STATEMENTS
Year ended 31 December 2014
These notes form an integral part of the financial statements.
The financial statements were authorised for issue by the Manager and the Trustee on 27 February 2015.
1 GENERAL
Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (the “Trust”) is a Singapore-domiciled
unit trust constituted pursuant to the trust deed dated 29 October 2010 (as amended) (the “Trust Deed”)
between Sabana Real Estate Investment Management Pte. Ltd. (the “Manager”) and HSBC Institutional
Trust Services (Singapore) Limited (the “Trustee”). The Trust Deed is governed by the laws of the Republic of
Singapore. The Trustee is under a duty to take into custody and hold the assets of the Trust held by it or
through its subsidiaries (collectively the “Group”) in trust for the holders (“Unitholders”) of units in the Trust
(the “Units”).
The Trust was a dormant private trust from the date of constitution until its acquisition of properties on
26November 2010. It was formally admitted to theOfficial List of the Singapore Exchange Securities Trading
Limited (the “SGX-ST”) on 26 November 2010 and was included in the Central Provident Fund (“CPF”)
Investment Scheme on 26 November 2010.
The financial statements of the Group as at and for the year ended 31 December 2014 comprise the Trust
and its subsidiaries (together referred to as the “Group” and individually as “Group entities”).
The principal activity of the Trust is to invest in income producing real estate used for industrial purposes
in Asia, as well as real estate-related outlets, in line with Shari’ah investment principles. The principal
activities of the subsidiaries are set out on Note 6 of the financial statements.
The Trust has entered into several service agreements in relation to the management of the Trust and its
property operations. The fee structures of these services are as follows:
1.1 Property Manager’s fees
The Property Manager is entitled under the Property Management Agreement to the following management
fees on each property of the Group located in Singapore under its management:
• a property management fee of 2.0% per annum of gross revenue of each property; and
• a lease management fee of 1.0% per annum of gross revenue of each property.
The property management fee and the lease management fee are payable to the Property Manager in
the form of cash.
SABANA REIT
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ANNUAL REPORT 2014
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