The global economy is expected to expand 3.

7% in 2019, lower than the earlier

forecast of 3.9% (IMF, 2018). The downward revision reflects elevating policy

uncertainties with several risks stemming to growth from escalating trade tension

and outflows of capital from emerging economies. At the same time, global growth

has become less synchronized with mixed developments in advanced economies

while projection for emerging economies, in particular, developing Asia remains

favorable.

The outlook for the Malaysian economy remains resilient in the near term despite

considerable external and domestic headwinds. Real GDP is projected to expand

4.9% in 2019, respectively, supported mainly by domestic demand. Private sector

expenditure, in particular, household spending will remain as the anchor of growth

following a continuous increase in employment and wage amid benign inflation.

Meanwhile, private investment will be supported by new and ongoing projects in

the services and manufacturing sectors.

MALAYSIAN REIT
The sector has faced an early dampener of 25bps overnight policy rate (OPR) hike to 3.25% on 25 Jan
2018 which would nudge up near- term’s financing costs (for M-REITs with exposure to floating rate
borrowings). This was followed by a short-lived, sector- wide unit price easing in Mar-Apr 2018 which
believed was partly attributed to the market’s expectation of two rate hikes in 2018(including Jan 2018’s).
The M-REIT’s growth is estimated to be largely organic in 2019, via positive rental reversions and
sustained occupancy rates while there are M-REIT’s which would record full year rental income
contributions from assets which were acquired/developed in 2018. It is expected 2019’s acquisition
pipeline to be subdued and only involving smaller size assets as anticipated major pipeline and
developments would only take place from 2020 onwards.
Oversupply of retail and office space would remain as major earnings risks to M-REITs as it would
generally heighten selected
PORTFOLIO SUMMARY AND DETAILS

Al-`Aqar Healthcare REIT

21 PROPERTIES (MALAYSIA)

KPJ AMPANG PUTERI SPECIALIST HOSPITAL

KPJ DAMANSARA SPECIALIST HOSPITAL
KPJ JOHOR SPECIALIST HOSPITAL
KPJ PUTERI SPECIALIST HOSPITAL
KPJ SELANGOR SPECIALIST HOSPITAL
KPJ IPOH SPECIALIST HOSPITAL
KPJ PERDANA SPECIALIST HOSPITAL
KUANTAN WELLNESS CENTRE
SENTOSA MEDICAL CENTRE
KPJ KAJANG SPECIALIST HOSPITAL
KEDAH MEDICAL CENTRE
DAMAI WELLNESS CENTRE
KPJ PENANG SPECIALIST HOSPITAL
TAWAKKAL HEALTH CENTRE
KPJ TAWAKKAL SPECIALIST HOSPITAL
KPJ SEREMBAN SPECIALIST HOSPITAL
TAIPING MEDICAL CENTRE
KPJ HEALTHCARE UNIVERSITY COLLEGE, NILAI
KPJ INTERNATIONAL COLLEGE, PENANG
KLUANG UTAMA SPECIALIST HOSPITAL
KPJ KLANG SPECIALIST HOSPITAL
Market Cap:868 MillionNOSH:736 MillionAvg Volume (4 weeks):124,0004 Weeks Range:1.18 - 1.244
Weeks Price Volatility (%):
0.00%
52 Weeks Range:1.16 - 1.3752 Weeks Price Volatility (%):
9.52%
 DATO’ HAJI MOHD REDZA SHAH BIN ABDUL
WAHIDChairman, Independent Non-Executive Director
 OthersChairman
Yayasan Pembangunan Ekonomi Islam Malaysia
(YaPEIM)

Other Directorship

 Listed Issuer
o Al-Salām Real Estate Investment Trust
o E.A. Technique (M) Berhad
o KPJ Healthcare Berhad

WAN AZMAN BIN ISMAIL

Chief Executive Officer, Non-Independent Executive Director

Other Directorship
Listed Issuer
Al-Salām Real Estate Investment Trust

DATO’ WAN KAMARUZAMAN BIN WAN AHMAD

Independent Non-Executive Director
 
Others
o EPF Investment Panel

o Minority Shareholder Watchdog Group (MSWG)

o Malaysia Convention & Exhibition Bureau

(MyCEB)
o Bond Information Exchange

Other Directorship

 Listed Issuer
o Al-Salām Real Estate Investment Trust

DATUK SR AKMAL BIN AHMAD

Non-Independent Non-Executive Director
 Other Directorship

 Listed Issuer
o Al-Salām Real Estate Investment Trust
o
MOHD YUSOF BIN AHMAD
Non-Independent Non-Executive Director
Past Experiences
 ExecutiveJohor Land Berhad (1995)
 Valuation ExecutiveJohor Land Berhad (1996)
 Senior Valuation ExecutiveJohor Land Berhad (2002)
 Deputy ManagerJohor Land Berhad (2006)
 ManagerJohor Land Berhad (2010)
 Senior ManagerJohor Land Berhad (2012)
 Deputy General ManagerJohor Land Berhad (2014)
 General Manager of Special Projects (JB Urban Redevelopment)Johor Land (2015)
 General Manager, Special Projects (Property Division)Johor Corporation (2015)
Other Directorship
 Listed Issuer
o Al-Salām Real Estate Investment Trust

 Public CompaniesWaqaf An-Nur Corporation Berhad

SHAMSUL ANUAR BIN ABDUL MAJID
Non-Independent Non-Executive Director
ther Directorship
 Listed Issuer
o Al-Salām Real Estate Investment Trust

o KPJ Healthcare Berhad

Working Experience

 Present AppointmentChief Investment Officer, Johor Corporation

Shariah compliance

 The Tenants of the Properties are operating as specialist hospitals in the healthcare sector, which
are permissible activities according to Shariah;
 The rental income of the Al-'Aqar Healthcare REIT are derived from Shariah permissible
activities, i.e currently from the operations of specialist hospitals and shall remain guided by the
20% benchmark as determined by the Security Commission of Malaysia for the criteria on rental
from non-permissible activities;
 The Al-'Aqar Healthcare REIT will not own real estate in which allthe tenants operate non-
permissible activities. The current tenants are alloperators of the respective specialist hospitals;
 The fund managers of Al-'Aqar Healthcare REIT must not accept a new tenant(s) whose activity
is fully non-permissible under Shariah. In the case of tenant(s) operating in mixed activities,
method of calculating the portion of rental derived from non-permissible activities from the total
rental must comply with the Guidelines for Islamic REIT;
 The Al-'Aqar Healthcare REIT will ensure all forms of investment, deposit and financing
instruments comply with Shariah principles. Al-'Aqar Healthcare REIT will be raising an Islamic
financing facility to finance the acquisitions of the Properties;
  The Manager will obtain and maintain Takaful schemes insurance coverage on the assets of
Al-'Aqar Healthcare REIT against fire and public liability, which are statutory insurance
requirements as well as loss of rent insurance and other required insurances, if applicable. Only if
the Takaful schemes are unable to provide the insurance coverage, then the Al-'Aqar Healthcare
REIT is permitted to use conventional insurance schemes;
 General compliance, where relevant, on any other requirements as stipulated under the Guidelines
for Islamic REIT; and
 The Shariah Committee Members of the Al-'Aqar Healthcare REIT has endorsed and approved
the Al-'Aqar Healthcare REIT scheme to be in compliance with Shariah principles.

The Shariah Advisory Committee

DATO’ DR. HAJI NOOH BIN GADOTChairman, Shariah Advisory Committee

Working Experience
Currently, he is an Islamic Advisor to DYMM Sultan Johor and Advisor to Johor State Islamic Council.
He is a member of the Johor Royal Council and Islamic Religious Council (Johor). He retired as Mufti of
Johor in November 2002 and continued his service until 13 November 2008 and now remains as the
Advisor to the Islamic Religious Council (Johor). He was appointed as Federal Supreme Committee of
Islamic Affairs Strengthening Management on 9 August 2018. His vast experience in Islamic practise and
jurisprudence, juristic methodology, hadith and its sciences and spirituality were gained throughout his
services as Acting Kadi, Syarie Lawyer Islamic Affair Officer Religious Department (Prime Minister
Department), Acting Assistant Examination and Registrar Religious School of Johor State and Religious
Teacher of Johor State.
Other Directorship
 Chairman of Yayasan Infaq Angkasa
 Shariah Adviser Member, Permodalan Nasional Berhad
 Director, Universiti Tun Hussein Onn Malaysia
 Director, Yayasan Wakaf Anak Yatim Malaysia
 Committee Member, Johor Islamic Council including Zakat, Wakaf, Baitulmal, Teaching
Certification and Education
 Committee Member of various companies within the JCorp Group
 Committee Member of various councils including the Johor Royal Congregational Council, Johor
Islamic Council’s Finance and Investment, Planning and Development units
PROFESOR MADYA DR. ABDUL HALIM BIN MUHAMMADMember, Shariah Advisory
Committee
Working Experience
He began his career with Universiti Kebangsaan Malaysia as the Head of Department of Quran and
Sunnah, Faculty of Islamic Studies and Lecturer at Faculty of Law Universiti Kebangsaan Malaysia.
He has served as Shariah Advisor and Shariah committee member at several corporate organisation such
as Tabung Haji, Bank Negara Malaysia, Dewan Bahasa dan Pustaka, Takaful Nasional and Terengganu
Trust Fund as well as financial institutions namely, Bank Muamalat Malaysia Berhad, Bank Kerjasama
Rakyat Malaysia Berhad, RHB Bank Berhad and Bank Pembangunan Malaysia Berhad.
Other Directorship
 Shariah Committee Member Terengganu Trust Fund
 Trust Fund Amanah Saham Darul Iman
 Kelantan Ulama Council