Operations Review HIGH-QUALITY TENANT BASE ACROSS DIVERSIFIED TRADE SECTORS CLCT’s portfolio has a well-diversified tenant base of 3,029 leases spanning across multiple trade sectors. Throughout the year, we proactively executed our leasing strategy by introducing new brands and curating retail experiences that align with evolving consumers’ preferences. To enhance our portfolio resilience, we continue to prioritise lifestyle sectors in retail properties to ensure sustained consumer spending, while focusing on trade sectors in business parks and logistics parks that align with China’s advancements in technology and innovation. In FY 2024, our retail portfolio registered an increase in the Food & Beverage (F&B) sector from 25.7% by gross rental income (GRI) to 27.1% year-on-year (YoY), driven by the introduction of specialty F&B tenants to attract footfall. The Information & Technology sector also experienced growth, rising from 2.2% by GRI to 2.6% YoY, as it captured consumer spending in domestic brands such as Huawei. Additionally, the Engineering sector grew from 3.7% by GRI to 3.8% YoY, aligning with China’s push for technology growth. As at 31 December 2024, F&B, Fashion and Electronics maintained their positions as the top three trade sectors in the portfolio, accounting for 45.4% by GRI. BREAKDOWN OF CLCT PORTFOLIO BY TRADE SECTOR (As at 31 December 2024) BY GRI (%) Business Parks 25.8% Electronics 5.9% Engineering 3.8% Information & Communication Technology 2.8% Professional Services 2.3% Biomedical Sciences 1.9% E-Commerce 1.6% Financial Services 0.6% Logistics & Supply Chain 0.4% Other Business Park Trades 6.5% Logistic Parks 3.5% Logistics & Warehouse 2.9% E-Commerce 0.3% Distributors & Trading Company 0.1% Pharmaceuticals 0.1% Other Logistics Park Trades 0.1% Retail 70.7% Food & Beverage 27.1% Fashion 12.4% Services 4.7% Beauty & Healthcare 4.3% Leisure & Entertainment 3.6% Supermarket 2.9% Information & Technology 2.6% Jewellery/Watches/Pens 2.4% Sporting Goods & Apparel 2.3% Education 1.5% Shoes & Bags 1.4% Houseware & Furnishings 0.7% Other Retail and Product Trades 4.8% TOP 10 TENANTS During the year, we have further mitigated tenant concentration risks and enhanced portfolio stability by incorporating well represented and diversified leases across our asset classes. As at 31 December 2024, no single tenant contributed more than 1.7% of CLCT portfolio’s total gross rental income, a decline from 2.4% as at 31 December 2023. The total contribution by the top 10 tenants now accounts for only 9.3% of the portfolio’s total gross rental income as at 31 December 2024, a decline from 10.7% as at 31 December 2023. 27 Annual Report 2024
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