Total assets under
+ 21% on FY18
Properties in key
Top 20 global customers
(by net income – look through basis).
Key property investment highlights include:
- 3.4 million sqm leased equating to $478 million of annual property income
- Portfolio occupancy maintained at 98%
- Weighted average lease expiry (WALE) of 4.7 years
- Like-for-like net property income growth of 3.3%*.
* Excludes on balance sheet assets
We have a diverse range of global and local customers across industries including e-commerce, logistics, retail, automotive, pharmaceutical and technology.
Structural demand expected to drive
growth in WIP to
around $5 billion in
the near term
Work in progress as at 30 June 2019
Increased customer demand, driven by structural changes in our markets, is giving us greater confidence to escalate development activity. As a result, our development workbook is growing strongly. Commencements have increased to $4.2 billion while work in progress has increased 14% to $4.1 billion across 55 projects in 13 countries. This is expected to reach approximately $5 billion in the next 12 months.
The concentration on urban logistics developments is changing the nature of our projects. Land scarcity is driving the need for multi-storey developments, automation and robotics require higher-quality facilities, while there is an ever-increasing need to integrate sustainability features into the building. We are building properties that are flexible and adaptable to accommodate the demands of the future. These projects are more complex, however, we have the skills, infrastructure and financial resources to deliver.
Other key development highlights include:
- Development completions of $3.9 billion
- 81% committed on completion
- 80% of WIP undertaken within Partnerships.
Strong performance of the Partnerships and AUM growth is increasing earnings
Assets under management
Development completions and revaluation gains led to 22% growth in external assets under management to $43 billion. The Group delivered an average total return of 16% across the Partnerships for FY19 and 16.4% p.a. over the last five years.
We raised and deployed more capital in Partnerships to fund the growth in development work, with $900 million invested by the Group over the year.
Other key management highlights include:
- Management earnings up 48% on FY18
- Global weighted average cap rate (WACR) tightening to 5.1%
- $13.6 billion in equity commitments and available liquidity.