OUE Commercial REIT - Annual Report 2021

LETTER TO UNITHOLDERS MR HAN KHIM SIEW Chief Executive Officer and Executive Director MR LEE YI SHYAN Chairman and Non-Independent Non-Executive Director DELIVERING STABLE RETURNS FY 2021 amount to be distributed and distribution per Unit (“DPU”) were 6.9% and 7.0% higher year- on-year (“YoY”) at S$142.0 million and 2.60 cents respectively. While FY 2021 net property income was lower YoY due to the deconsolidation of OUE Bayfront’s performance post the divestment of a 50% interest in the property on 31 March 2021 (the “Divestment”), the decline was partially mitigated by a lower quantum of tenant rebates as well as lower property operating expenses. allowed international travel to recover modestly. Despite the uncertain environment, the Manager is pleased to present a creditable set of results for FY 2021. On the operational front, we focused on proactive asset management and made strategic decisions to safeguard the long- term value of our assets. We pushed ahead with our plans to make OUE C-REIT more nimble, resilient and ready to tap new opportunities while maintaining a prudent and disciplined capital management approach. Dear Unitholders, In 2021, Singapore’s economy grew 7.6%. The robust economic rebound was however uneven. The manufacturing and export sectors sustained their growth momentum from 2020, however retail and hospitality remain muted. With rising vaccination rates, the Singapore government has carefully and progressively relaxed various domestic restrictions and border control. The adjusted approach of living with COVID-19 endemically has improved business sentiment, increased social interaction and 16 O U E COMM E R C I A L R E I T