HONGKONG, CHINA - Media OutReach - 4September2018 - Henderson Sunlight Asset Management Limited (the "Manager") is pleased to announce the finalresults of Sunlight REIT for the year ended 30 June 2018 (the "Year").

Bolstered by an upswing inHong Kong's retail sector and a robust trend toward office decentralization,Sunlight REIT recorded a 3.6% year-on-year ("YoY") increase in net propertyincome ("NPI") to HK$646.1 million for the Year. Annual distributable income was HK$450.5 million,up 3.7% YoY.

The Board has resolved todeclare a final distribution of HK 13.9 cents per unit. Coupledwith an interim distribution of HK 12.6 cents per unit, the total distributionper unit ("DPU") for the Year amounts to HK 26.5 cents, representing a payout ratio of 96.7% and a distribution yield of 4.9% (based on the closing unit price of HK$5.42 on the last trading day of the Year). Excluding the special distribution (of HK 7.5 cents per unit) paidin the previous financial year, DPU for the Year would imply a growth of 3.9%.

The value of Sunlight REIT'sportfolio was appraised at HK$18,754.8 million at 30 June 2018, 9.9% higherthan a year ago. Meanwhile, its net assets expanded 6.9% to HK$14,857.0 million, which translates to a net asset value of HK$9.03 per unit.

Astute asset management wasone of the highlights of the Year. The Manager is delighted to have fended offformidable competition and concluded the purchase of Fung Shun CommercialBuilding for HK$658.0 million. Further, the Manager also successfullydisposed of Palatial Stand Property at a premium of 133% over its appraisedvalue.

At 30 June 2018, the gearingratio of Sunlight REIT (defined as total borrowings as a percentage of grossassets) was 21.8% and approximately 61% of the term loan facilities were hedged to fixed rates.

Operating Highlights

The overallportfolio of Sunlight REIT recordedan average occupancy rate of 98.2% at 30 June 2018 (30 June 2017: 97.1%[1]).Average passing rent of the office and retail portfolios were HK$33.8 per sq. ft. and HK$73.9 per sq. ft. respectively, supported by rental reversions of 6.9% and 8.0%.

During the Year, SunlightTower, the flagship office property of Sunlight REIT, continued to exhibit afine performance, enjoying a rental reversion of 10.4%. Meanwhile, underpinnedby a recovery in retail spending, the NPI of Sheung Shui Centre Shopping Arcade(excluding the one-off income received in FY2016/17 in respect of an earlylease termination) grew by more than 7% YoY. Metro City Phase I Property hasonce again turned in a reassuring performance, as NPI rose by 9.3% YoY on theback of a satisfactory rental reversion of 10.5%.

Mr. Wu Shiu Kee,Keith, Chief Executive Officer of the Manager said, "The prospect of higher interest rates, jittery stock market sentimentand growing concerns regarding international trade all portend to an escalatingrisk premium for investment. Nevertheless, by adhering to the commitment toagility, Sunlight REIT is well positioned to withstand potential turbulence inthe marketplace and even capitalize on investment opportunities that may arise.I am reasonably confident that Sunlight REIT is on the right track to maintainsteady progress in the coming year."

Remarks: Attached highlights of the FY2017/18 FinalResults of Sunlight REIT.

About Sunlight REIT

Sunlight REIT (Stock Code:435) is a real estate investment trust authorized by the Securities and FuturesCommission and constituted by the trust deed dated 26 May 2006 (as amended andsupplemented by six supplemental deeds) (the "Trust Deed"), and has been listed on The Stock Exchange of HongKong Limited since 21 December 2006. Sunlight REIT offers investors theopportunity to invest in a diversified portfolio of 11 officeand five retail properties in Hong Kong with a total gross rentable area ofapproximately 1.2 million sq. ft.. The office properties are primarily locatedin core business areas, including Wan Chai and Sheung Wan/Central, as well as indecentralized business areas such as Mong Kok and North Point. The retailproperties are primarily situated in regional transportation hubs and new townsincluding Sheung Shui, Tseung Kwan O and Yuen Long, as well as in urban areaswith high population density.

About the Manager

The Manager of Sunlight REIT is an indirect wholly-ownedsubsidiary of Henderson Land Development Company Limited (恒基兆業地產有限公司) and is responsible for managing Sunlight REIT in accordance with theTrust Deed in the sole interest of the unitholders.

Highlightsof FY2017/18 Final Results:

(in HK$' million, unless otherwise specified)

Note:         Aspecial distribution of HK 7.5 cents was included in 2017. Excluding thespecial distribution, distribution per unit for the Year would imply a growthof 3.9% and the payout ratio in 2017 would have been 96.1%.

Disclaimer:

The information contained inthis press release does not constitute an offer or invitation to sell or thesolicitation of an offer or invitation to purchase or subscribe for units inSunlight REIT in Hong Kong or any other jurisdiction.