A S I A P A C I F I C R E A L E S T A T E M A R K E T O U T L O O K VIETNAM OPPORTUNITIES IN THE NEW NORMAL

Transcription

1 A S I A P A C I F I C VIETNAM OPPORTUNITIES IN THE NEW NORMAL

2 R E A L E2 S0T 1A 7 T E A SM I A RPK AE CT I OF IUC T L O O K 2

3 R E A L E2 S0T 1A 7 T E A SM I A RPK AE CT I OF IUC T L O O K 1. VIETNAM ECONOMY 3

4 E N V I R O N M E N T A L I S S U E S C H A L L E N G E S F R O M D R O U G H T, F L O O D A N D O T H E R S More than 200 tons of died fish collected in Westlake, Hanoi 4

5 U R B A N M I G R A T I O N A N D I T S N E T E F F E C T 159,501 Passenger Cars Sold in 2016 (up 36% y-o-y) 3,121,023 Motorbikes Sold in 2016 (up 9.5% y-o-y) 8,000 motorbikes/day 5

6 Real GDP Growth Rate (%) 2016 G D P G R O W T H L O W E R T H A N E X P E C T E D S T I L L A M O N G R E G I O N S S T R O N G E S T % Forecast Source: GSO, Oxford Economics

7 Interest rate (%) INFLATION PICKS UP WHILE INTEREST RATES STAYED LOW Average CPI: 2.7% y-o-y Basic Inflation: 1.83% y-o-y Source: GSO, CBRE Vietnam. Average CPI (y-o-y) Lending rate Deposit rate 7

8 Index M A J O R A S S E T C L A S S E S Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec Source: HNC, Gold.org, SJC, SBV Government Bond VN-Index Local Gold USD/VND Crude Oil 8

9 Registered FDI (US$ Billions) F D I R E A C H E D 8 - Y E A R H I G H Vietnam Registered FDI in 2016: US$24.4 billion Major Real Estate Deals, US$315m US$309m Industrial Park - Quang Ninh Township - Dong Nai Source: Vietnam Ministry of Planning and Investment. Real estate accounts for 7% of registered FDI, ranks 2 nd among sectors 3 US$300m 21-storey building - Hanoi 9

10 R E A L E S T A T E D A S H B O A R D ECONOMIC INDICATORS 2Y 1Y 6M 3M 1M Current BANKING & FINANCE 2Y 1Y 6M 3M 1M Current CPI (%) y-o-y Trade balance (US$, bil) Retail & services Turnover (VND, tril) (1.1) (0.6) (0.1) (0.1) (0.4) (0.3) VN-Index USD/VND (inter-bank) 21,458 21,881 21,862 22,156 22,156 22,161 Local gold (VND mil/tael) Lending Rate (%)* 8.8% 7.6% 7.0% 7.3% 7.7% 8.4% Deposit rate (%)** (1-year term) 6.4% 6.3% 6.7% 6.7% 6.5% 6.6% Source: GSO, Dec, 2016 Source: GSO, SBV, SJC & HSX, Jan, 2017 REAL ESTATE INDEX 2Y 1Y 6M 3M 1M Current NEW LAUNCHES 2Y 1Y 6M 3M 1M Current Real Estate Holding & Development Listed Companies Real Estate Services Listed Companies Source: Stockbiz, Jan HCMC New launches (unit) 70,902 37,278 21,088 11,926 6,272 3,957 HN New launches (unit) 45,921 25,485 17,460 10,409 5,712 2,712 Source: CBRE, Dec 2016 (*) Current lending rate is the average lending rate surveyed at ten banks, and only applicable for home loan. However, the back-dated numbers were the average rate announced publicly at that point of time, applied for all sectors and all banks. The average lending rate is for reference only. (**) Deposit rate is the average deposit rate from a sample comprised of ten banks, in which the rates are announced publicly on their websites and can be tracked backwards. 10

11 Percentage change Percentage change B C I N U M B E R S PROJECTS UNDER CONSTRUCTION, Y-O-Y CHANGE ALL FUTURE PROJECTS ( ), Y-O-Y CHANGE 300% 2017 YTD vs vs % 2017 YTD vs vs % 100% -100% HCMC Hanoi Da Nang Can Tho Khanh Hoa Vung Tau Hai Phong -100% HCMC Hanoi Da Nang Can Tho Khanh Hoa Vung Tau Hai Phong Projects Under Constructio n HCMC Hanoi Da Nang Can Tho Nha Trang Vung Tau Hai Phong Office Retail Hospitality and SA Residential Total Source: CBRE Vietnam, January All Future Projects ( ) HCMC Hanoi Da Nang Can Tho Nha Trang Vung Tau Hai Phong Office Retail Hospitality and SA Residential Total Source: CBRE Vietnam, January

12 T H E M A I N N E W F O C U S E S A N Y T H I N G B U T T P P Forget TPP, The Focus is now on RCEP 12

13 T H E O N E B I G M A N U F A C T U R E R Top FDI Investors, US$ million, 2016 Taiwan 1,860 China 1,875 Singapore Japan South Korea 2,419 2,590 7, % y-o-y US$ 36.4 billion Source: Vietnam Ministry of Planning and Investment. 13

14 T H A T O N E B I G D E V E L O P E R 14

15 H C M C 2 0 G O L D E N S I T E S 2 C O M P L E T E D, 4 U N D E R C O N S T R U C T I O N 16 SJC VINHOMES GOLDEN RIVER VINCOM CENTER DONG KHOI SAIGON MELINH TOWER THE SPIRIT OF SAIGON UNION SQUARE 15

16 WALKABOUT IN HCMC BUSY CONSTRUCTION ACTIVITY IN DISTRICT 1 AND DISTRICT 3 Only 2 Grade A 45 projects found on 24 streets in District 3 3 Others 10 Unknown 2 Hotels 8 Private Use 2 SAs 2 Residential 18 Offices 95 projects found on 132 streets in District 1 15 Cleared Sites 7 Hotels 33 Offices 2 Retail 5 Public Projects 6 Residential 16

17 Food & Drug Stores Telecommunications Apparel Transportation Chemical Technology Energy Engineering & Construction Household products Business Service Motor Vehicles & Parts Retailing Wholesalers Finance Health Care Industrials Food, Beverages & Tobacco Hotels, Restaurants & Aeorospaces & Defense Materials Media No. of companies FORTUNE GLOBAL 500 FORTUNE COMPANIES IN VIETNAM companies in companies in Source: CBRE Vietnam. 17

18 R E A L E2 S0T 1A 7 T E A SM I A RPK AE CT I OF IUC T L O O K 2. INFRASTRUCTURE 18

19 INFRASTRUCTURE & PUBLIC TRANSPORTATION A GROWING CONCERN AS THE FIRST METRO LINE IS CLOSE TO COMPLETION D E M A N D F O R T R A N S I T O R I E N T E D D E V E L O P M E N T S Retail Office Amenities P Parking Under construction Under planning 19

20 INFRASTRUCTURE & PUBLIC TRANSPORTATION A GROWING CONCERN AS THE FIRST METRO LINE IS CLOSE TO COMPLETION THE EIGHT METRO LINES OF HANOI D E M A N D F O R T R A N S I T O R I E N T E D D E V E L O P M E N T S Retail 3 Office Amenities P Parking 2 Under Construction Metro Line Under Planning Metro Line 20

21 MEANWHILE IN BANGKOK 21

22 R E A L E2 S0T 1A 7 T E A SM I A RPK AE CT I OF IUC T L O O K 3. CONDOMINIUM 22

23 OVERSUPPLY CONCERN Hot launches near Thu Thiem FOREIGN BUYERS AT CBRE 147 deals closed from July 2015 up to December 2016 Some projects in Thao Dien already reached the 30% threshold of foreign buyers Main groups of foreign buyers in 2016: Singapore: 18% Japan/Hong Kong/Europe: 16% each 23

24 No. of unit No. of unit N E W L A U N C H D E C R E A S E Y - O - Y B U T H I G H E R O N Y R A V E R A G E HCMC - NEW LAUNCH BY YEAR HANOI - NEW LAUNCH BY YEAR 50,000 50,000 40,000 40,000 30,000 30,000 20,000 20,000 10,000 10, Luxury High-end Mid-end Affordable Luxury High-end Mid-end Affordable HCMC HANOI ,028 units 13% Source: CBRE Vietnam, Q ,419 units 10% y-o-y y-o-y 24

25 M I D - E N D S E G M E N T E X P A N D I N G E A S I N G H I G H - E N D O V E R S U P P LY F E A R HCMC - NEW LAUNCH BREAKDOWN HANOI - NEW LAUNCH BREAKDOWN 100% 100% 80% 80% 36% 40% 60% 36% 40% 47% 60% 42% 56% 40% 40% 51% 20% 20% 0% Luxury High-end Mid-end Affordable Source: CBRE Vietnam, Q % Luxury High-end Mid-end Affordable Luxury: >US$3,500 per sm High-end: US$1,500 to US$3,500 per sm Mid-end: US$800 to $1,500 per sm Affordable: US$800 per sm 25

26 N EW LAUNCH REMAINS STRONG IN DECENTRALIZED D I STRICTS H C M C : E A S T A N D S O U T H H A N O I : W E S T A N D S O U T H W E S T North 7% West 11% Central 8% East 41% West 37% North 4% Midtown 7% CBD 1% East 10% CBD fringe 6% South 34% South West 24% South 12% Source: CBRE Vietnam, Q

27 F 2018F 2019F F 2018F 2019F New launch supply (units) New launch supply (units) L O W E R S E G M E N T S I N T H E L I M E L I G H T F O R T H E N E X T 3 Y E A R S HCMC - NEW LAUNCH FORECAST HANOI - NEW LAUNCH FORECAST 50,000 Forecast 50,000 Forecast 40,000 40,000 30,000 30,000 20,000 20,000 10,000 10, Luxury High-end Mid-end Affordable Luxury High-end Mid-end Affordable Source: CBRE Vietnam, Q

28 S A L E S D E C R E A S E Y - O - Y B U T I S C AT C H I N G U P F A S T W I T H N E W L A U N C H NEW SALES 2016 HCMC HANOI 35,008 units 21,188 units 4% y-o-y 2% y-o-y TOTAL SOLD UNITS (*) NEW LAUNCH (%) HCMC 2016: 94% 2015: 88% HANOI 2016: 69% 2015: 64% (*) Total sold units include both units sold at newly-launched projects in the period and at previously-launched projects Source: CBRE Vietnam, Q

29 No. of sold units No. of sold units S A L E S M O M E N T U M R E M A I N S U P B E A T HCMC - SOLD UNITS BY YEAR HANOI SOLD UNITS BY YEAR 45,000 Forecast 45,000 Forecast 40,000 40,000 35,000 35,000 30,000 30,000 25,000 25,000 20,000 20,000 15,000 15,000 10,000 10,000 5,000 5, F2018F2019F F 2018F 2019F Luxury High-end Mid-end Affordable Luxury High-end Mid-end Affordable Source: CBRE Vietnam, Q

30 H C M C : H I G H S A L E S R A T E S I N D I S T R I C T 2, 9 A N D N H A B E ~68.6% of new launches sold in 2016 Implication for districts only, not exact project location No. of Project Sales rate (%) 88% 69% 48% 48% 32% 73% 53% 57% 42% 72% 53% 62% 70% 65% 42% 50% 44% 30

31 H I G H S A L E S R A T E S I N B A D I N H, H A I B A T R U N G D I S T R I C T S ~64% of new launch in 2016 sold No. of Projects Sales rate (%) 5 62% 2 82% 5 69% 2 62% 5 86% 3 76% 13 75% 13 65% 8 48% Implication for districts only, not exact project location 7 53% 31

32 Percentage change (%) Percentage change (%) P R I M A R Y P R I C I N G U P A C R O S S S E G M E N T S 200% 150% 100% 50% HCMC - PRIMARY PRICE FORECAST Forecast 0% 200% 150% 100% 50% 0% F 2018F 2019F Luxury High-end Mid-end Affordable HANOI - PRIMARY PRICE FORECAST F 2018F 2019F Source: CBRE Vietnam, Q Note: (1) Base year is 2005 (2) No luxury projects in Hanoi until

33 R E A L E2 S0T 1A 7 T E A SM I A RPK AE CT I OF IUC T L O O K 4. OFFICE 33

34 A P A C O F F I C E R E N T A L C Y C L E Shanghai Shenzhen Auckland Bangkok Taipei Tokyo Beijing Hong Kong New Delhi Melbourne Sydney Hanoi Perth Seoul Singapore Brisbane Guangzhou Ho Chi Minh City Mumbai Bangalore Tenant - Driven Landlord Driven Source: CBRE Research, January

35 Sydney Bangalore Melbourne Bangkok Guangzhou Gurgaon Auckland Tokyo Brisbane Mumbai Hanoi Ho Chi Minh City Taipei Delhi Seoul Hong Kong Grade A Effective Rental Growth (%) Shanghai Shenzhen Perth Beijing Jakarta Singapore W E A K E R R E N T A L G R O W T H I S E X P E C T E D Bottoming Out Peaking 2016F 2017F Source: CBRE Research, January

36 V A C A N C Y T R E N D S D I F F E R HCMC Rents Hanoi Grade A Grade B Grade A Grade B Rents US$36 US$21 US$28 US$18 1.9% y-o-y 6.2% y-o-y 2.9% y-o-y 0.6% y-o-y Vacancy rate (%) Vacancy rate (%) 8.0% 2.8% 15.8% 16.5% 3.3 ppts y-o-y 1.6 ppts y-o-y 3.3 ppts y-o-y 5.6 ppts y-o-y Rent: US$/sm/month, excludes VAT and Service charge Source: CBRE Vietnam, Q

37 Total Supply (NLA, sm) Total Supply (NLA, sm) S U P P L Y G R O W T H F A S T E R I N H A N O I HCMC - TOTAL SUPPLY HANOI - TOTAL SUPPLY 1,200,000 1,200, , , , , , , Grade A Grade B Grade A Grade B 321,557 sm 758,280 sm 415,355 sm 774,792 sm Grade A: +7.7% Grade B: y-o-y +1.5% y-o-y Grade A: +14% Grade B: y-o-y +5% y-o-y Source: CBRE Vietnam, Q

38 F 2018F 2019F F 2018F 2019F New Supply (NLA, sm) New Supply (sm, NLA) No New Supply B U T H C M C S T A R T E D T O C A T C H U P HCMC - NEW SUPPLY FORECAST HANOI NEW SUPPLY FORECAST 250, ,000 Forecast 250, ,000 Forecast 150, , , ,000 50,000 50, Grade A Grade B Grade A Grade B Source: CBRE Vietnam, Q

39 Net absorption (NLA, sm) Net Absorption (NLA, sm) N E T A B S O R P T I O N L A G S B E H I N D HCMC Net Absorption 150, ,000 50, HANOI Net Absorption 150, ,000 50, Source: CBRE Vietnam, Q Net Absorption - Grade A Net Absorption - Grade B 39

40 Asking rents (US$ psm pm) Asking rents (US$ psm pm) M O D E R A T E R E N T A L G R O W T H I N H C M C W H I L E R AT E S A R E S TA B I L I Z I N G I N H A N O I HCMC - ASKING RENTS HANOI - ASKING RENTS Grade A Grade B Source: CBRE Vietnam, Q Grade A Grade B US$36.6 Grade A: +1.9% Grade B: y-o-y US$ % y-o-y US$ 28.5 Grade A: -2.9% Grade B: y-o-y US$ % y-o-y 40

41 F 2018F 2019F F 2018F 2019F Rente (US$ psm pm) Vacancy Rate (%) Rents (US$ psm pm) Vacancy rates (%) S T I L L L A R G E L Y A T A L E O F T W O C I T I E S L I M I T E D R E N TA L G R O W T H P R O S P E C T S HCMC PERFORMANCE FORECAST HANOI PERFORMANCE FORECAST 50 Forecast 50% 50 Forecast 50% 40 40% 40 40% 30 30% 30 30% 20 20% 20 20% 10 10% 10 10% 0 0% 0 0% Source: CBRE Vietnam, Q The presented rents are rents of Q4 of each respected year. Grade A Rents Grade A Vacancy Grade B Rents Grade B Vacancy 41

42 D I S R U P T I V E T E C H & E N T R E N E U R S H I P P R O P T E C H, R E T E C H, C O -W O R K I N G S PA C E 42

43 O P P O R T U N I T I E S A B O U N D F O R T H E M A R K E T Decentralization Flight to Quality Diversified Demand Supply Growth Limited space in CBD: Rental growth for CBD buildings Certain winners in Midtown and West Big occupiers to relocate and expand to higher quality buildings High demand from traditional sectors Start-ups boom: Growth of Co-working space New supply coming from CBD and Non- CBD area to meet strong market demand Hanoi Hanoi & HCMC HCMC 43

44 R E A L E2 S0T 1A 7 T E A SM I A RPK AE CT I OF IUC T L O O K 5. RETAIL 44

45 Supply (NLA, sm) Supply (NLA, sm) R E T A I L S U P P L Y G R O W T H A C C E L E R A T I N G I N B O T H C I T I E S HCMC HANOI 300, , , , , ,000 Forecast F 2018F 2019F Source: CBRE Vietnam, Q F 2018F 2019F 45

46 R O B U S T N E W S U P P L Y I N A N D O U T O F H C M C CBD 26,000 sm NLA Expected ,000 sm GFA Expected ,000 sm GFA Expected ,000 sm GFA Expected ,000 sm GFA Opened Q ,000 sm GFA Opened Q ,000 sm GFA Opened Q ,000 sm GFA Opened Q ,000 sm GFA Opened Q ,000 sm NLA Expected Completion (E) 2016 Opening 46

47 R E T A I L S U P P L Y I S F U R T H E R D E C E N T R A L I Z E D I N H A N O I TAY HO DONG ANH 91,000 sm GFA Expected 2019 TU LIEM 15,365 sm GFA Expected 2017 CAU GIAY BA DINH WEST LAKE HOAN KIEM LONG BIEN 24,000 sm GFA Opened Q ,000 sm GFA Opened Q ,850 sm GFA Opened Q ,450 sm GFA Expected 2017 DONG DA HAI BA TRUNG HOAI DUC 180,000 sm GFA Expected 2018 THANH XUAN GIA LAM 53,864 sm GFA Expected 2018 HOANG MAI Completion (E) 18,900 sm GFA Expected 2017 HA DONG THANH TRI 2016 Opening 47

48 P L A C E M A K I N G M A D E I T S W A Y T O V I E T N A M T R A D I T I O N A L V A L U E S W I T H A C R E AT I V E T O U C H R E TA I L E R S D E M A N D PLACEMAKING IS ABOUT CREATING AN ENVIRONMENT THAT PEOPLE WANT TO VISIT AND RETURN TO Luxury F&B Fast Fashion ASIA PACIFIC VIETNAM Sport Entertainment Source: CBRE Vietnam, Q

49 E-commerce Revenue (USD billion) CAGR C H A N G I N G D I G I T A L L A N D S C A P E I N V I E T N A M E - C O M M E R C E : F U T U R E T R E N D? % Hong Kong 36% Source: CBRE Asia Pacific, % 19% 8% India Indonesia Malaysia New Zealand 22% 12% 5% 19% 19% 29% Philippines Singapore Taiwan Thailand Vietnam Other Asia- Pacific 2015 E-commerce Revenue CAGR % 35% 30% 25% 20% 15% 10% 5% 0% 49

50 Asking Rent (US$/sm/month) Asking Rent (US$/sm/month) R E N T A L G R O W T H L I M I T E D T O CBD M A L L S CBD Non-CBD CBD Non-CBD HCMC 15.1% y-o-y -4.4% y-o-y HANOI 2% y-o-y -5.9% y-o-y CBD Non-CBD Source: CBRE Vietnam, Q (US$ per NLA sm on ground and first floor, excl. tax and service charge) CBD Non-CBD 50

51 Rent (US$/sm/month) Vacancy Rate (%) Rent (US$/sm/month) Vacancy Rate (%) R E N T A L R A T E S T O S T A B I L I Z E A M I D S T F U R T H E R S U P P L Y 80 Forecast 30% HCMC % 10% F 2018F 2019F 0% HANOI F 2018F 2019F 30% 20% 10% 0% Source: CBRE Vietnam, Q Rent Vacancy 51

52 R E A L E2 S0T 1A 7 T E A SM I A RPK AE CT I OF IUC T L O O K 6. LOGISTICS 52

53 M O R E Q UA L I T Y S U P P LY Local Foreigner RISING DEMAND FROM E-COMMERCE AND HI-TECH SECTORS E-commerce Source: CBRE Vietnam, Q Electronics Automobile & Motorcycle 53

54 NFA ('000 sqm) Vacancy Rate NFA ('000 sqm) Vacancy Rate M O V I N G U P T H E V A L U E C H A I N M O R E Q U A L I T Y S U P P LY Warehouse - New supply and vacancy rate Forecast F 2018F 2019F 30% 24% 18% 12% 6% 0% Ready-built-factory - New supply and vacancy rate Forecast F 2018F 2019F 30% 24% 18% 12% 6% 0% New Supply - South Vacancy Rate - South New Supply - North Vacancy Rate - North New Supply - South Vacancy Rate - South New Supply - North Vacancy Rate - North Source: CBRE Vietnam, Q Southern area: HCMC, Long An, Binh Duong, Dong Nai Northern area: Bac Ninh, Bac Giang, Ha Noi, Hai Phong, Hung Yen 54

55 Rental rate (US$/sm/month) % Growth Y-o-Y Rental rate (US$/sm/month) % Growth Y-o-Y M O D E S T R E N T A L G R O W T H P R O S P E C T S Warehouse - rental rate Ready-built-factory - rental rate 5 Forecast 15% 5 Forecast 15% 4 12% 4 12% 3 9% 3 9% 2 6% 2 6% 1 3% 1 3% F 2018F 2019F 0% F 2018F 2019F 0% Rents - South Rental Growth - South Rents - North Rental Growth - North Rents -South Rental Growth - South Rents - North Rental Growth - North Source: CBRE Vietnam, Q Southern area: HCMC, Long An, Binh Duong, Dong Nai Northern area: Bac Ninh, Bac Giang, Ha Noi, Hai Phong, Hung Yen 55

56 R E A L E2 S0T 1A 7 T E A SM I A RPK AE CT I OF IUC T L O O K 7. CAPITAL MARKET 56

57 Perth Hanoi Brisbane Tokyo Auckland Ho Chi Minh City Bangkok Melbourne Seoul Sydney Mumbai Kuala Lumpur Taipei Beijing Shanghai New Delhi Guangzhou Bangalore Singapore Shenzhen Hong Kong Office Yield Spread 8% 6% Y I E L D S P R E A D C O N T I N U E S A T L O W L E V E L S O F F I C E Y I E L D V S 1 0 -Y E A R G O V E R N M E N T B O N D Y I E L D Yield spread narrowed to 100 bps or below 4% 2% 0% -2% -4% Ten Year High 2017F Ten Year Low Source: CBRE Research, December

58 A Y E A R O F M & A Hanoi International Centre KEPPEL LAND LTD. US$ 13.8 MIL. OFFICE Source: RCA. 58

59 T O P 1 0 R E A L E S T A T E S T O R I E S 1. Growing Hospitality Market 2. Issuance of 06/2016/NHNN Circular 3. The end of billion VND package 4. Public announcement of mortgaged projects 5. Name projects that are unqualified for Fire Safety 6. Active M&A market 7. Trend of green in buildings development 8. The growth of affordable segment 9. Renovation of old apartments 10. The entrance of non-real estate players 59

60 R E A L E2 S0T 1A 7 T E A SM I A RPK AE CT I OF IUC T L O O K 60

61 R O A D S H O W S A V E T H E D A T E ASIA PACIFIC REGIONAL REPORT JANUARY 24 City Venue Date Singapore Arts House January 24 Seoul, South Korea Four Seasons February 14 Sydney, Australia Sydney Conservatorium of Music February 22 Brisbane, Australia To be announced March 7 Melbourne, Australia Park Hyatt Melbourne March 9 Auckland, New Zealand To be announced March 14 Hong Kong To be announced April 5 New Delhi, India To be announced April 19 Adelaide, Australia To be announced May 9 Perth, Australia To be announced May 11 Tokyo To be announced June 2 VIETNAM NATIONAL REPORT MID-FEBRUARY 61

62 D I S C L A I M E R S A N D W A I V E R S This presentation has been prepared in good faith based on CBRE s current views of the commercial realestate market. Although CBRE believes its views reflect market conditions on the date of this presentation, they are subject to significant uncertainties and contingencies, many of which are beyond CBRE s control. In addition, many of CBRE s views are opinion and/or projections based on CBRE s subjective analyses of current market circumstances. Other firms may have different opinions, projections and analyses, and actual market conditions in the future may cause CBRE s current views to later be incorrect. CBRE has no obligation to update its views herein if its opinions, projections, analyses or market circumstances later change. Nothing in this presentation should be construed as an indicator of the future performance of CBRE s securities or of the performance of any other company s securities. You should not purchase or sell securities of CBRE or any other company based on the views herein. CBRE disclaims all liability for securities purchased or sold based on information herein, and by viewing this presentation, you waive all claims against CBRE and the presenter as well as against CBRE s affiliates, officers, directors, employees, agents, advisers and representatives arising out of the accuracy, completeness, adequacy or your use of the information herein. 62

63 Thank You