SINGAPORE / BRISBANE – 11 November 2025 – The Straits Trading Company Limited (SGX:S20) (“Straits Trading”), through its wholly-owned subsidiary Straits Real Estate Pte. Ltd. (“SRE”), and Cromwell Property Group (ASX:CMW) (“Cromwell”) today announced a strategic partnership to enhance their industrial and logistics platform across Australia.

Under a series of agreements executed in connection with the partnership, Cromwell will acquire a 19.9% interest in SRE’s Australian industrial portfolio for approximately AUD 47.6 million (SGD 40.5 million¹), based on a total portfolio valuation of about AUD 470 million (SGD 400.1 million¹). The transaction will be executed in two phases. Phase 1, expected to complete by 31 December 2025, involves the acquisition of the 19.9% interest in the seed portfolio and the purchase of Terre Property Partners Pty Ltd. (“TPP”), which oversees the assets comprising the portfolio. Phase 2 will comprise a recapitalisation of the seed portfolio and is expected to commence shortly after completion of Phase 1 and conclude in FY2026. This partnership combines Cromwell’s operational expertise, Straits Trading’s institutional strength and TPP’s deep sector expertise to drive long-term value creation and future fund initiatives.

The seed portfolio comprises seven high-quality industrial assets located in key logistics hubs across South Australia and Victoria which are leased to blue-chip tenants including Coca Cola Europacific Partners, Incitec Pivot and Wengfu. Strategically positioned within established precincts such as Bayswater, Salisbury South and Port Adelaide, the assets benefit from strong connectivity and resilient occupier demand.

Following the acquisition, the TPP team will operate as part of Cromwell’s platform, bringing deep sector expertise and a proven track record in managing and repositioning industrial assets. Their integration will enhance Cromwell’s on-the-ground capabilities and support the continued growth of its investment management business, while contributing to the development of a leading investment management platform aligned with Cromwell’s capital-light strategy. SRE will remain an investor in the portfolio, supporting future growth and capital deployment initiatives.

“We’re excited to join Cromwell’s platform and contribute to the next phase of growth,” said Mr Mark Brammy, CEO, and Mr Mark Pettman, COO of Terre Property Partners. “We’ve built deep expertise across the national industrial sector and have a proven track record in developing and repositioning value-add opportunities into prime grade institutional product. Cromwell’s strategic acquisition of Terre Property Partners, makes us well placed to continue delivering performance and scale, while contributing to the growth of a leading investment management business.”

“This strategic partnership marks an important milestone in our continued focus on optimising our industrial and logistics portfolio. Cromwell’s established presence and deep operational capabilities in Australia will augment our platform and position us for long-term value creation,” said Ms Chew Gek Khim, Executive Chairman of Straits Trading.

“This initiative reflects our continued progress in repositioning Cromwell as a capital-light, investment manager. By expanding our AUM, integrating a proven management team and partnering with an institutional investor of Straits Trading’s calibre, we’re strengthening our platform and creating new opportunities to partner with capital providers in sectors where we see long-term value,” said Mr Jonathan Callaghan, CEO of Cromwell Property Group.

Australia’s industrial and logistics market continues to demonstrate strong fundamentals, with vacancy rates around 1%² and prime rents rising 5% to 8% year on year across key precincts³, underscoring the sector’s resilience and attractiveness as a long-term asset class. These favourable conditions provide a supportive backdrop for the partnership’s continued collaboration and capital redeployment across Australia.

The partnership reflects Straits Trading’s disciplined approach to capital recycling and portfolio optimisation, while advancing Cromwell’s strategy to grow its investment management business and expand assets under management through a capital-light model. Together, the collaboration provides a strong foundation for future fund initiatives and platform expansion across Australia. Both parties remain confident in the resilience of the industrial and logistics sector, supported by robust occupier demand and sustained investor interest, and will continue to focus on building institutional partnerships and delivering long-term value.

Read the full ASX announcement here

Footnotes:

¹ Based on the AUD/SGD exchange rate of 0.8512 as at 10 November 2025. Future settlement amounts may vary as exchange rates fluctuate, potentially resulting in foreign currency gains or losses upon realisation.

² https://www.colliers.com.au/-/media/files/anz/australia/research/2025/quarterly-snapshots/q2/colliers-australian-industrial-and-logistics-snapshot-q2-2025.ashx

³ https://www.cbre.com.au/insights/figures/figures-australia-industrial-and-logistics-q2-2025

Cromwell Property Group (ASX:CMW) (Cromwell or the Group) announces its financial results for the year ended 30 June 2025.

Key highlights

• Strong portfolio performance, sector leading occupancy of 97.6%¹, demonstrating Cromwell’s effective leasing strategy execution.
• Investment Portfolio valuations are up $3.5 million over six months, signalling office market stabilisation, supported by ongoing active asset management.
• Platform transformation delivered, with $1.6 billion in total asset sales since 2022 to reduce debt and enable focus on growth in the Australian funds management business.
• Strong balance sheet ready for capital deployment with low gearing of 28.2% and liquidity of$504.3 million to support growth.
• Funds Management growth pipeline initiated with Barton ACT development underway, featuring a 15-year lease to a Commonwealth Government tenant, with a 5-year extension option.
• Distribution guidance of 3.0 cps is provided for FY26, to be paid quarterly.

Financial performance

Cromwell reports operating profit of $108.6 million driven primarily by the strong ongoing performance of the Investment Portfolio. The Group reports funds from operations (FFO) of $105.7 million (4.0 cps) with a payout ratio of 74.2%. Net Tangible Assets (NTA) are $0.56 per security, well above the current trading price and offering a discounted buying opportunity. Gearing reduces to 28.2% following the sale of 475 Victoria Ave, Chatswood, down significantly from 38.9% at 30 June 2024. The Group has ample liquidity of $504.3 million, providing capital for deployment into value-accretive growth opportunities.

Investment portfolio performance

Strong portfolio performance over the period with sector-leading occupancy of 97 .6%¹. Leasing markets remained active, with over 51,000 sqm² of new or renegotiated leases committed during the financial year. Portfolio valuations increased by $3.5 million (0.17%) from HY25, reflecting a stabilisation in office market values. FY26 vacancy risk has been significantly mitigated through the signing of a Heads of Agreement with a government-funded organisation at 400 George Street, Brisbane which accounts for 55% of the forecast vacancy in that period.

Strategic growth initiatives

Cromwell’s strengthened balance sheet, with ample liquidity and low debt, will support future growth initiatives to drive securityholder value. Cromwell has commenced strategic capital deployment with the recently announced 19,800 sqm office development in Barton, ACT, leased to a Commonwealth Government tenant on a 15-year lease, with 5-year option to extend. This $201 million project is anticipated to deliver a yield on cost of more than 6.3%. Cromwell will introduce capital partners at the appropriate time to reduce its ownership stake, consistent with its transition to a capital-light investment management model.

Dr Gary Weiss, Chair of Cromwell, stated: “Much was achieved during the 2025 financial year to simplify the business and strengthen its financial position. The completion of the sale of non-core assets, including the European Platform, are key steps in simplifying the business structure and reducing Group gearing. Cromwell is now positioned as a well-capitalised, Australia/New Zealand-focused investment manager with capacity to undertake accretive growth initiatives in an improving market.”

Funds management update 

Cromwell’s Funds Management business manages $2.1 billion across Australia and New Zealand. Transaction activity was muted, and valuations in the Cromwell Direct Property Fund (DPF) declined by 5.3% to $537 million over the financial year to 30 June 2025, and only 1.3% from HY25. In July 2025, DPF held a Full Periodic Liquidity Event with the outcome expected end September 2025. In December 2024, unitholders in the Cromwell Riverpark Trust also voted in favour to extend the Fund’s investment term by two years.

Register diversification following ESR exit

In May 2025, ESR Group divested 10.8% of its holding in Cromwell to a mix of new and existing institutional and sophisticated investors. In July 2025, ESR completed the sale of its remaining 19.9% interest in Cromwell to Brookfield Asset Management. The strong uptake reflects positive interest in Cromwell’s repositioned platform, strategic direction, and value proposition.

Board update 

Mr Rob Blain will step down from the Board today but will continue to support Cromwell in an advisory capacity. In line with Cromwell’s commitment to a leaner and more agile operating structure, the Board has decided not to appoint a replacement for Rob. We express sincere thanks to Rob for his outstanding contributions to Cromwell’s strategic transformation.

Outlook

Looking ahead, Cromwell remains focused on active asset management of the current Investment Portfolio to maintain strong occupancy and continue to maximise rental income. Prudent capital deployment will drive growth through new product development, platform acquisitions, and strategic expansion of the investment management business.

Jonathan Callaghan, CEO of Cromwell, commented: “As Cromwell enters a growth phase, our priority remains on delivering stable, long-term growth through disciplined capital management and allocation. With a simplified business model, strong liquidity, and a high-quality portfolio, we are well positioned to take advantage of emerging market opportunities to create enduring value for our securityholders.”

To view the FY25 Results Presentation, click here.

Footnotes: 

¹ Excluding 475 Victoria Avenue, Chatswood, NSW, contracted for sale.
² Includes Barton, ACT, currently under construction.

Barton, ACT development

Cromwell Property Group (ASX:CMW) (Cromwell or The Group), today announces it has entered into an agreement for lease with a Commonwealth Government entity to develop a 19,800 sqm office building in Barton, ACT. This project marks a significant milestone in Cromwell’s new strategic growth phase.

The six-level facility, designed to achieve a 6.0-star NABERS Energy and 6.0-star Greenstar rating, will be 100% occupied by a key Commonwealth Government department under a 15-year lease with an option for a 5-year extension, providing long-term income stability. The site is located in a premier location within the Parliamentary Precinct and enables the consolidation of multiple Commonwealth tenancies into a single building, close to important counterparts and Capital Hill.

Jonathan Callaghan, Cromwell CEO commented: “While broader market conditions have made new developments challenging, this project stands out as a compelling opportunity and is a strategic step forward after the completion of our business simplification process. The project will be led by Cromwell’s skilled inhouse Development team, ensuring the delivery of a top-of-the-line facility. With a long lease to the Australian Commonwealth Government, a AAA-rated, low risk tenant, this initiative is expected to drive strong returns.”

While the project will initially be funded by Cromwell, ultimately the outstanding quality of this project, and current lack of comparable opportunities, will make this asset very attractive to future capital partners as the Group transitions to a capital light investment management model.

The anticipated total cost of the development is $201 million. This includes land, construction costs, fees, finance costs, and a tenant incentive which is commensurate with market, to be taken in instalments during the delivery of the project. The projected yield on cost is expected to be greater than 6.3%.

Debt Refinance

Further positive steps forward since completion of the sale of the European platform include the renegotiation of our bilateral debt facilities, resulting in more favourable terms plus flexible covenants and longer duration. The renegotiation has resulted in a decrease in Cromwell’s weighted average drawn credit margin from 1.77% to 1.31%. Negotiation of this improvement in Cromwell’s debt terms was supported by the significantly reduced net debt and gearing position of the Group.

Gary Weiss, Cromwell Chair commented that “The journey to simplify Cromwell’s business has taken some time. We are pleased that the focus is now shifting to deployment of the Group’s strengthened balance sheet into careful and considered growth initiatives. Our business is ready and well equipped for the next stage of our journey”.

Cromwell Property Group (ASX:CMW) (Cromwell or the Group) today announces its results for the half year ended 31 December 2024.

Key highlights

• Sale of the European Platform is complete, positioning the Group as a well-capitalised Australian based investment manager with a strong balance sheet and cashflow.
• Gearing reduced to 29.1% (look-through and headline) from 38.9% at 30 June 2024 (look through 46.3%), with liquidity refreshed at $538.5 million.
• Operating profit of $55.1 million (equivalent to 2.10 cents per security (‘cps’)), with adjusted funds from operations (‘AFFO’) of $36.9 million (equivalent to 1.41 cps).
• Investment Portfolio income remains robust, supported by high building occupancy and stable rental income from a high-quality tenant mix.
• Leasing markets remain active, with 16,000 sqm of new or renegotiated leases committed over the last 6 months, representing 6.5% of total Investment Portfolio net lettable area (‘NLA’).
• Investment Portfolio valuations were down $99.0 million (4.5%) over the six months to 31 December 2024.
• Statutory loss for the half year of $28.6 million (equivalent to 1.09 cps) was driven by valuation impacts in the Investment Portfolio.

Dr Gary Weiss, Cromwell Chair, commented, “We are pleased to have completed the sale of the European Platform at the end of 2024, simplifying the business in line with the Group’s strategy. Cromwell is now in a strong gearing and liquidity position, with low group net debt as the market starts to show signs of recovery. We are well positioned to drive growth for our securityholders through active asset management, and expansion of our investment management platform.”

HY25 performance

The Group reports a statutory loss of $28.6 million (1.09 cps), driven by valuation decline of assets in the Investment Portfolio of $99.0 million. Additional losses from derivatives were partially offset by profits from the sale of the European Platform.

Operating profit of $55.1 million (2.10 cps), represents a 34.4% decline on the prior corresponding period (‘pcp’), principally due to non-core asset sales. Net tangible asset value (‘NTA’) was similarly impacted, down 4 cps to $0.57, due to Investment Portfolio revaluations. AFFO payout ratio was 106.4% for the six months to 31 December 2024, up from 62.6% on the pcp.

Headline and look-through gearing are both now 29.1% and Group liquidity stands at $538.5 million after significant debt repayment on 10 January 2025. The Group continues to maintain an appropriate level of interest rate hedging.

Investment Portfolio

Cromwell’s Investment Portfolio, comprising eight assets valued at $2.1 billion, is underpinned by ongoing strong fundamentals, including 95.8% occupancy and a weighted average lease expiry of 5.1 years. The portfolio weighted average capitalisation rate has expanded 40 bps to 7%, with the pace of expansion slowing and the market showing early signs of recovery. Net operating income over the period was $78 million, consistent with the same period 12 months ago.

The tenant profile remains of high quality, spanning a diverse range of sectors. Stable rental income is generated from Qantas and Government tenants, which together account for more than 60% of the portfolio income. Leasing markets remain active, with 16,000 sqm (6.5% of net lettable area) of new or renegotiated leases signed during the six-month period. On a like-for-like basis, excluding nonrecurring income, portfolio net operating income increased by 2.7%. This growth was largely driven by fixed rental increases and an increase in portfolio occupancy.

Funds Management

Ongoing fees from Cromwell’s Fund Management business, which manages $2.2 billion across Australia and New Zealand, have remained steady, with operating profit up 2.6% on the pcp. Transaction activity has been muted over the period and valuations in the Cromwell Direct Property Fund are down 5% to $470.0 million.

Unitholders in the Cromwell Riverpark Trust, which owns Energex House in Brisbane, voted in favour of extending the investment term of the Trust for an additional two year period.

Outlook

Cromwell remains focused on active asset management to drive value from our Investment Portfolio. We will also seek to drive growth for securityholders through considered capital management, identifying new product opportunities for our investment management business, and exploring opportunities for platform acquisitions to increase scale and diversification.

Jonathan Callaghan, Cromwell CEO, commented, “Stable growth, through prudent capital management and deployment is key, as Cromwell enters this new phase of our business and markets begin to present investment opportunities.”

To view the HY25 Results Presentation, click here.

Real estate investor and fund manager Cromwell Property Group (ASX:CMW) (Cromwell) has secured lease renewal agreements with three long-standing tenants – Technology One, AECOM, and Bechtel – at its 540 Wickham Terrace property (HQ North), located in Brisbane’s Fortitude Valley.

These significant lease renewals come at a time that the commercial property market in the Queensland capital is reporting strong demand and interest from businesses.

According to Property Council of Australia statistics, Brisbane’s CBD vacancy rate experienced a substantial decrease from 11.7% to 9.5% over the six months to July 2024.

In addition, the overall vacancy rate for the Brisbane fringe dropped from 13.9% to 12% over the same period.

Cromwell Head of Property Operations Tessa Morrison said, “the three lease renewals at our HQ North building highlight the value of Cromwell’s strong tenant relationships, as well as our commitment to continuous property enhancements.”

“Our focus on aligning ESG objectives with the like ambitions of our tenants has driven improvements in sustainability and energy efficiency at HQ North, making it an ideal long-term home for businesses.”

Technology One, a tenant at the property since 2010, has renewed its lease for a third time. The new seven-year agreement signed by the Australian software developer encompasses approximately 10,000 sqm of floorspace, across four tower levels, in addition to a 383 sqm area on the ground floor.

In collaboration with Cromwell, Technology One utilised the building’s ground floor to construct a gym – designed to foster a dynamic and health-conscious work environment that encourages staff to return to the office in the post-COVID era.

Expressing enthusiasm with the ongoing partnership, Edward Chung, CEO at Technology One, stated, “our continued relationship with Cromwell has been hugely beneficial to our business. Most notably, the addition of the new gym facility is a remarkable enhancement to the building, allowing us to promote a vibrant and healthy workplace for our team. We are grateful for the Cromwell team’s adaptability in meeting the changing needs of our business – and our staff.”

Global infrastructure consulting firm AECOM, also on its third extension at HQ North, signed an additional seven-year agreement for 6,622 sqm of floorspace over two-and-a half levels.

Kellie Reed, AECOM’s Director Operational Services Australia & New Zealand, said, “decarbonisation and the path to net zero is embedded in everything we do we value the ability to work together with Cromwell on our ESG objectives. The commitment to sustainable upgrades and excellent facilities at HQ North have made it an ideal location for our operations into the future.”

Tessa Morrison said Cromwell collaborates closely with its tenants to align ESG objectives, driving improvements to the buildings’ NABERS Energy rating and sustainability performance to deliver on its net zero emissions goals.

“HQ North boasts outstanding environmental credentials, earning a 6-Star Green Star v2 Office Design rating, the highest possible rating by the Green Building Council of Australia,” said Ms. Morrison.

“Recent upgrades to the building include the installation of a magnetic bearing, water-cooled electric chiller, and a standby diesel generator, which will contribute significantly to reducing carbon emissions by 89%.”

Cromwell’s ongoing amenities upgrades at HQ North include refurbishing the end-of-trip area to an ‘A’ grade standard, modernising the lobby, café, and entry areas, and installing LED lights and bathroom updates in tenancies and rooftop solar panels.

The HQ complex, consisting of two retail and office towers, is strategically positioned two kilometres from the Brisbane CBD, and offers access to public transport and major arterial routes, affirming its status as a prime location.

Earlier in 2024, long-term HQ North tenant Bechtel commenced a fourth term, six-year extended lease – with an increase in its floor space to 2,512 sqm.

Real estate investor and fund manager Cromwell Property Group (ASX:CMW) (Cromwell) has completed the conversion of a multi-bank, $1.2 billion lending facility to a sustainability linked loan that includes ambitious targets in reducing emissions and its gender pay gap.

Central to the new loan structure is:

• Greenhouse gas reductions, in line with Cromwell’s target for net zero scope 3 emissions by 2045, to reinforce Cromwell’s position as an industry leader in reducing scope 3 emissions.
• Additional targets linked to Cromwell’s target of net zero scope 1 and 2 emissions by 2035.
• To reduce Cromwell’s gender pay gap to a maximum of 12% by 2028.

Cromwell’s Group Head of ESG, Lara Young, confirmed the new loan was developed with the Commonwealth Bank of Australia (CBA) and multinational financial services company Societe Generale acting as sustainability coordinators.

Ms. Young said that the new sustainability linked loan has created an opportunity to highlight the business’s focus on several critical topics, as part of its broader environmental, sustainability, and governance policy.

“As part of our ESG report release in January, Cromwell announced our full scope 3 emissions inventory for the first time, becoming one of the few Australian commercial property organisations to publish an emissions footprint across 100% of our global network and supply chain,” said Ms. Young.

“Building on that announcement, we have been working with tenants and suppliers across all our upstream and downstream business activities – covering our entire supply chain of tenant activities; funds under management; joint ventures; and embodied carbon sources –  to stretch our net zero approach beyond our operational control.

“The progression we have made in this space has allowed us to set our most ambitious target to date, as part of this new sustainability linked loan – to reduce scope 3 greenhouse gas emissions intensity to equal, or less than, 30.16 (kgCO2e/m2) by 2028.

“This is equal to eliminating more than 4.4 million kilograms of carbon dioxide equivalent (KgCO2e) – or emissions from 784 households – by 2028, against the 2023 baseline.”

Cromwell aims to achieve this goal through a multi-purpose approach, including encouraging tenants to switch to renewable electricity, and providing tenant support through waste stream signage and education – in order to reduce their landfill waste and contamination.

“Importantly, by leveraging sustainability linked debt at the same time as meeting important social milestones, Cromwell Property Group can move significantly closer to meeting our current and future ESG responsibilities, including a Cromwell portfolio Net Zero Scope 1 and 2 target by 2035,” said Ms. Young.

In addition to emissions reductions targets, Cromwell seeks to reduce its gender pay gap to a maximum of 12% by 2028. This target forms part of Cromwell’s broader diversity commitments, which include maintaining pay parity across all roles, and maintaining 40:40:20 gender targets across all leadership levels within the organisation.

The loan is aligned with both the Asia Pacific Loan Market Association (APLMA) Green Loan Principles, as well as the APLMA Sustainability Linked Loan Principles.

CBA General Manager Major Client Group, Jon Coombes, said: “we’re really proud to support Cromwell Property Group on its sustainability journey and commitment to high-quality, energy efficient buildings that will continue to benefit Australians for years to come.”

“The portfolio of assets already met the high standards for a green loan, yet Cromwell’s desire to set even more ambitious environmental targets within the loan structure demonstrates their leadership, and recognises that the journey to net-zero is a continuous one.

“This innovative green sustainability linked loan is a great example of making ambitious commitments towards to a more sustainable future and an example of how sustainable finance products can be used to not only support, but drive sustainable outcomes.”

Tessa Dann, Head of Sustainable Finance for Australia and New Zealand at Societe Generale commented that: “Societe Generale is proud to have supported Cromwell in this innovative transaction, combining green loan and sustainability linked loan requirements. Such transactions are rare in the sustainable finance market, but a natural fit for Cromwell to showcase their ESG ambitions”

“Acting as sustainability coordinator demonstrates Societe Generale’s longstanding commitment to supporting the green transition, in this instance in the commercial real estate sector. We believe this serves as an excellent example to encourage more action on the reduction of scope 3 emissions in particular.”

Highlights

• Cromwell sells the Cromwell Polish Retail Fund (CPRF) for €285million / $465 million to Star Capital Finance (SCF), in line with asset valuations announced at HY24 results.
• The sale aligns with Cromwell’s strategy to simplify the Group by divesting of non-core investments.
• The transaction contracted and settled concurrently in Europe on 15 May 2024.
• Sale proceeds will initially be used to repay debt, reducing headline gearing to approximately 35%^[1] (look through 42%¹).

Cromwell Property Group (ASX:CMW) (Cromwell or the Group), today announces the sale of six retail centres across Poland, held by the Cromwell Polish Retail Fund for €285 million / $465 million, which is in line with asset valuations announced at HY24 results. The purchaser, SCF, is a diverse real estate investor based in Prague, Czechia.

This follows the sale of Cromwell’s 50% share of its joint venture retail asset in Ursynów, Poland, which completed on 29 February 2024, to joint venture partner Unibail Rodamco for €41.5 million / $69 million.

These transactions are a crucial step in the Group’s continued simplification through the sale of non-core assets to de-risk the business, reduce gearing and realign to Cromwell’s core fund and asset management capabilities.

Upon completion of the sale of CPRF, Cromwell will have completed $1.1 billion in asset sales since commencement of the Group’s asset sale programme in late 2021, positioning the Group to explore value accretive opportunities and continue its transition to a capital-light funds management model.

Following completion, the Group’s headline gearing reduces to approximately 35%¹ (look through 42%¹), well within the Groups target range of 30-40%. Cromwell estimates that the sale will have a proforma earnings impact of -3%^[2] and there will be no impact to adjusted funds from operations (AFFO)².

CEO Jonathan Callaghan commented, “The completion of this sale, and subsequent debt repayment, significantly simplifies our business, bringing us closer to our goal of being a capital-light fund manager. The simplification of the Group’s business model will allow us to focus on our core fund and asset management skills to drive long-term securityholder value from growth initiatives locally when market timing is conducive.”

^[1] Proforma gearing after assets sold or currently contracted for sale.

^[2] Based on FY24 proforma earnings / AFFO.