ESR Group Limited Annual Report 2022 31 strong demand was largely been driven by e-commerce acceleration and supply chain resilience. The Group’s portfolio fundamentals remain robust with a healthy portfolio weighted average portfolio expiry of 4.5 years by income. In an inflationary environment with record low vacancies across our markets, ESR’s portfolio is very well positioned to capture the potential outsized rental growth in the market. E-commerce and 3PLs represent 64% of our portfolio lease profile by income in FY20221,2. The top 10 tenants in the portfolio accounted for 27% of the FY2022 rental income and 23% of leased area2. Amongst our top 10 tenants, nine of ten are e-commerce related as New Economy remains the main driver for the Group. WELL-SPREAD LEASE EXPIRY PROFILE The Group's portfolio enjoys stability from its well-spread lease profile, with a weighted average lease expiry (“WALE”) of about 4.3 years2 by leased area and 4.5 years2 by income as at 31 December 2022, providing a stable and secure income base while benefitting from upward rental growth momentum and external growth opportunities. With close to full occupancies in most markets, the Group will continue to focus on maintaining healthy portfolio occupancy of 95%1, and 98%1 ex-China as of 31 December 2022. 64% E-commerce & 3PL 3% Cold Chain 13% Retail 7% Manufacturing 1% Data Centre 12% Others FY2022 Portfolio Lease Profile By Income Coupang JD.com Yang Kee Logistics Softbank Logistics Amazon REC Solar Pte Ltd Zeny Emergent Cold Bidco Pty Ltd Woolworths Group DHL 7.7% 1.5% 5.7% 2.4% 2.1% 1.7% 1.6% 1.6% 1.6% 1.5% Portfolio Top 10 Tenants By Income 9 of 10 of Group's Top 10 Tenants are e-commerce related New Economy / E-commercerelated 90% 99% 98% 99% 92% 98% Greater China Japan South Korea Australia & New Zealand Southeast Asia India Portfolio Occupancy By Region Portfolio Lease Expiry Profile By Area 2% 0.5% 1% 0.2% 1% 2% 14% 17% 13% 11% 8% 31% 2023 2024 2025 2026 2027 2028 and beyond Assets held on Balance Sheet Assets held in Funds & Investment Vehicles Portfolio Leasing Metrics1,2 FY2021 (ESR) FY2022 Renewals (mil sqm) 0.6 1.3 New Leases (mil sqm) 2.7 3.3 Total Space Leased 3.3 4.6 Portfolio WALE (by area) 3.9 years 4.3 years (by income) 3.9 years 4.5 years STRATEGIC REPORT CORPORATE GOVERNANCE FINANCIAL STATEMENT
RkJQdWJsaXNoZXIy MTIwODcxMw==