The principal investment strategy of a-iTrust is to own income producing real estate used primarily as business space located in India and real estate-related assets in relation to the foregoing. a-iTrust may acquire, own and develop land primarily or uncompleted developments to be used for business space with the objective of holding the properties upon completion. Certain key provisions of the Property Funds Guidelines which govern REITs have been voluntarily adopted by a-iTrust and incorporated into the Trust Deed.

The Trustee-Manager’s key objectives are to deliver regular and stable distributions to Unitholders and to achieve long-term growth in the net asset value per Unit. The Trustee-Manager plans to achieve these objectives through the following key strategies:

  
 
(a)
 Three-pronged external acquisitions growth
  Achieve portfolio growth through a broad-based external acquisitions growth strategy supported by an identifiable acquisition pipeline and rights of first refusal from the Ascendas and Ascendas India Development Trust;


Unique growth model comprising organic growth, an “in-built” development pipeline on existing land within its property portfolio and the Trustee-Manager’s three-pronged external acquisitions strategy
 
     
 
 
     
 
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Ascendas India Development Trust’s right of first refusal
The Development Trust has granted to a-iTrust the Development Trust Right of First Refusal over the future proposed sale or acquisition by the Development Trust of income-producing properties used primarily for business space in India. The Development Trust Right of First Refusal is expected to secure a proprietary future acquisitions pipeline for a-iTrust.
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Ascendas' right of first refusal
Ascendas has also granted a-iTrust its Right of First Refusal over the future proposed sale or acquisition by Ascendas or its subsidiaries (each a “Relevant Entity”) of income-producing properties used primarily for business space in India. Ascendas currently owns The CyberVale in Chennai, an IT park comprising a proposed 1.1 million sq ft of SBA over four buildings. The first building (250,000 sq ft of SBA) is completed and tenants have committed to lease 53% of the SBA as at 31 March 2007. MindTree Consulting Limited (“MindTree”) has committed to a 99-year lease on the second building, a BTS facility (280,000 sq ft of SBA). Development of the third building (280,000 sq ft of SBA) over which MindTree has a first right to lease (99 years) and the fourth building (proposed 280,000 sq ft of SBA) is being planned. Accordingly, Ascendas' Right of First Refusal will not include the second building and the third building of The CyberVale.

Also, in the case of unlisted funds in which a Relevant Entity participates but has no control over the fund’s investment decisions, Ascendas is not in a position to grant a right of first refusal to a-iTrust.
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Third party acquisitions
The Trustee-Manager will also actively source quality third party income-producing business space properties and/or partially completed development projects across India which satisfy its investment criteria.
 
 
(b)
 Portfolio growth through in-built development pipeline
  Expansion of income-producing portfolio through phased development and leasing up of the remaining land available for development;
 
 
(c)
 Active management of assets
  Actively managing a-iTrust’s income-producing portfolio to achieve organic growth and maximise returns on the portfolio; and
 
 
(d)
 Capital and risk management
  Maintain strong balance sheet and adopt appropriate financing and hedging policies to manage interest rate volatility and foreign exchange exposure.