Why Invest

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The REIT Manager believes that an investment in Digital Core REIT offers the following attractions to Unitholders:

Exclusively Focused on Highly Attractive Data Centre Industry Benefiting from Robust Demand Driven by Digital Transformation

Key drivers fuelling the industry’s growth include digitisation of the economy, adoption of emerging technologies such as artificial intelligence, and growth of online streaming, social media, cloud computing, amongst others

  • Integration of digital solutions, and digital transformation and emerging technology trends accelerated by the COVID-19 pandemic
  • “Sticky” customer relationships with high historical customer retention rates of 95.8%
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High Quality, Mission Critical Portfolio Across Top Data Centre Markets

  • The ONLY 100% freehold data centre S-REIT
  • 68.5% of IPO Portfolio1 focused on hyperscale segment as demand from blue-chip cloud providers, social media giants and other technology companies led to an increase in leasing via third-party data centre providers
  • Properties strategically located in:
    • 74% - Northern Virginia and Northern California
      - #1 and #2 largest data centre markets in North America
    • 19% - Toronto, Canada’s primary data centre hub
    • 7% - Los Angeles, North America’s data centre gateway to international hubs and a key beneficiary of the U.S. entertainment industry
  • Portfolio is fully integrated into Sponsor’s global data centre platform, PlatformDIGITAL®
  • Stable and resilient portfolio with blue-chip customer base including Fortune Global 500 cloud companies, leading global colocation and interconnection providers, social media platforms and IT services companies

1 Based on annual base rent as of March 2022

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Industry-Leading Pipeline Provides Unparalleled Growth Opportunity via Global ROFR

  • Acquisition opportunities across Americas, EMEA and Asia Pacific through Sponsor’s Global ROFR pipeline of over US$15 billion in existing and under construction data centres
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Exclusive Vehicle of Best-in-Class Global Data Centre Sponsor

  • Sponsor is the largest owner, operator, developer and acquirer of data centres globally, with unparalleled global data centre expertise and boasts a record of 99.999% uptime in its facilities for 14 consecutive years
  • Management team and board of directors comprise experienced senior professionals with in-depth and extensive industry knowledge
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Balance Sheet and Initial Scale Positioned for Substantial Growth

  • Digital Core REIT’s gearing ratio at approximately 27.0% is significantly lower than other S-REIT peers with ample debt headroom to effectively execute potential future acquisitions on attractive terms
  • Initial scale of Portfolio is positioned for substantial enterprise and DPU growth over time coupled with Sponsor’s global ROFR pipeline
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Superior Total Return Profile

  • Digital Core REIT offers investors a unique investment opportunity to invest in an exclusive S-REIT vehicle of the Sponsor and provides an attractive total return* of 10.01% comprising distribution yield of 4.75% for Forecast Year 2022 and DPU growth of 5.26% from Forecast Year 2022 to Projection Year 2023.

*Total return is a measure of investment returns and includes distributions and increase in unit price. For REITs, where distributions are relatively stable over a long term, the annual DPU growth rate is a proxy for the appreciation in unit price, assuming the REIT's trading distribution yield remains unchanged. Total return for a year is defined as the distribution yield for the year plus the DPU growth from this year to the following year.

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