- What is CapitaLand India Trust?
- Why is CLINT structured as a business trust and not a Real Estate Investment Trust (REIT)?
- Is CLINT limited to the development / owning / acquisition of only IT parks?
- How do I invest in CLINT?
- In what currency are CLINT units denominated?
- What is the financial year end of CLINT?
- What is the reporting frequency of CLINT?
- What is the cash distribution frequency of CLINT?
- Do I need to pay any tax on these cash distributions?
- How often does CLINT re-value its portfolio?
- How is CLINT related to CapitaLand Investment?
1. What is CapitaLand India Trust?
CapitaLand India Trust, or CLINT, is the first listed Indian property trust in Asia. CLINT is a business trust with the principal objective of owning primarily income-producing business space in India. CLINT may acquire, hold and develop land or uncompleted developments to be used primarily for business space with the objective of holding the properties upon completion.
2. Why is CLINT structured as a business trust and not a Real Estate Investment Trust (REIT)?
REITs are subject to a 25% development limit under the Property Funds Guidelines. As a business trust, CLINT is not subject to any limit on development activities. However, to achieve a balance between prudence and maintaining flexibility in investment strategies to maximise Unitholders' returns, the Trust Deed provides that CLINT's development activities will be limited to 20% of deposited property.
Notwithstanding, certain key safeguarding provisions under the Property Funds Guidelines have been voluntarily adopted by CLINT and incorporated into the Trust Deed to protect Unitholders' interest. These include:
- Gearing (Loan-to value) limit of 50% of deposited property;
- Distribute at least 90% of distributable income; and
- Certain restrictions on permissible investments under the Property Funds Guidelines.
3. Is CLINT limited to the development / owning / acquisition of only IT parks?
No. CLINT is mandated to invest in business space, which includes commercial, industrial and logistic space in India. The concentration of IT parks in CLINT's portfolio currently was a result of the strong demand for IT space in India.
4. How do I invest in CLINT?
You can buy units in CLINT, which is listed on the SGX-ST. For investors outside Singapore, please consult your local stockbroker who may deal in securities listed in Singapore.
5. In what currency are CLINT units denominated?
6. What is the financial year end of CLINT?
With effect from 1 April 2019, CLINT's financial year was changed from 31 March to 31 December of each year.
7. What is the reporting frequency of CLINT?
Following the amendments to Rule 705(2) of the Listing Manual which were effective from 7 February 2020, CLINT has adopted the announcement of half-yearly financial statements with effect from the financial year ending 31 December 2020 ("FY2020"). The Trustee-Manager will continue its proactive engagement with stakeholders through its various communication channels, including providing relevant business updates between the announcements of half-yearly financial statements.
8. What is the cash distribution frequency of CLINT?
Following the change in financial year end from 31 March to 31 December, CLINT will make distributions to unitholders on a half-yearly basis for every six-month period ending 30 June and 31 December.
9. Do I need to pay any tax on these cash distributions?
Distributions are exempt from Singapore income tax in the hands of all Unitholders, regardless of whether they are corporates or individuals, foreign or local. The distributions will be free of Singapore withholding tax or tax deduction at source (Tax is paid in India prior to repatriation to Singapore for distribution).
10. How often does CLINT re-value its portfolio?
Revaluations are done annually, typically coinciding with the financial year end. An additional revaluation could be done in between scheduled revaluation dates if it is expected that there be significant change to portfolio valuation in the period, including where land has been redeveloped into a building.
11. How is CLINT related to CapitaLand Investment?
CLINT is managed by CapitaLand India Trust Management Pte. Ltd. (the "Trustee-Manager"), which is an indirect wholly owned subsidiary of CapitaLand Investment (CLI).
CLI had about S$125 billion of real estate assets under management, and about S$86 billion of real estate funds under management (FUM) held via six listed real estate investment trusts and business trusts, and more than 20 private vehicles across Asia-Pacific, Europe and USA. Its diversified real estate asset classes cover retail, office, lodging, business parks, industrial, logistics and data centres.
CLI aims to scale its FUM and fee-related earnings through fund management, lodging management and its full stack of operating capabilities, and maintain effective capital management. As the investment management arm of CapitaLand Group, CLI has access to the development capabilities of and pipeline investment opportunities from CapitaLand’s development arm.
As a responsible company, CLI places sustainability at the core of what it does and has committed to achieve net zero emissions by 2050. CLI contributes to the environmental and social well-being of the communities where it operates, as it delivers long-term economic value to its stakeholders.