REFRESHED TRANSCEND 2027
Sunway REIT’s strategic roadmap, TRANSCEND 2025 (TC2025) has set bold targets since it was introduced in 2018. Due to the COVID-19 pandemic, it is hence timely to review TC2025, given the ongoing impact and shift in megatrends of the real estate markets. There may be a need to restrategise Sunway REIT’s asset class mix, explore overseas expansion and reset financial targets.
With these in mind, Sunway REIT has assembled a team to embark on the process of redesigning TC2025 plan, with in-depth investigation of real estate trends and strategy for the future. After months of thorough research and analysis, Sunway REIT would like to present TRANSCEND 2027 ( TC2027), as summarised below, with new targets and enhanced strategic initiatives to become a balanced risk, diversified REIT.
STRATEGIC INITIATIVES
Become the Top 2 M-REIT in Malaysia
NEW TARGETS FOR TRANSCEND 2027
Sunway REIT’s future will be driven by 3 key objectives supported by multiple strategic initiatives, focused on driving scale and yield:
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value from existing
assets in the portfolio
the market
into other segments
and geographies
value from existing
assets in the portfolio
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Unlock integration synergies and opportunities
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Innovate the concept of Integrated Development into different asset classes such as business or retail parks, industrial estates, etc.
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Leverage Sponsor’s capability
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Enhance collaboration with Sponsor to maintain active pipeline acquisition plans and to further improve brand strengthening.
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Leverage Sunway Group’s property development capabilities to convert or re-develop aged buildings for new purposes.
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Portfolio optimisation
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Follow clear processes for divestment of non-performing assets.
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Diversify into defensive asset segments and foreign assets.
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Deepening of AEI actions
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Accelerate digital transformation and upgrade assets to address long-term sustainability and energy efficiency.
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Transform low-performing assets into high income-generators.
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Deepening of capabilities in the team
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Setting up a dedicated “vision team” to innovate to new targets.
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Build and enhance relationships with government agencies and economic corridors.
the market
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Scale benefits for existing and new segments
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Build specialised skills to maximise asset performance and drive up value for unitholders.
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Boost access to liquidity
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Further strengthen balance sheet to increase investors’ confidence.
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Gain access to above-average liquidity relative to competitors in order to rapidly act when attractive assets become available.
into other segments
and geographies
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Hire logistics / warehousing
/ data centre experts
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Gain access to emerging technologies and building solutions.
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Collaborate with reputable asset managers / funds
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Accelerate portfolio growth in Malaysia and overseas markets.
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Continued business development and demonstration of innovation.
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Deliver tenant satisfaction and operational excellence.
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Obtain granular-level understanding of niche aspects of new assets.
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Enter overseas markets
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Market entry via joint venture or partnership with reputable foreign developers or players to navigate the local market.
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Partner with Sunway’s local team, to better navigate issues on regulatory, market and land matters.