SELOG ESTATE Feasibility Study

For Cengkareng Channel

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Details of Location

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Map of the Location

Halim Perdana Kusuma

LT: 6,400 m2
Subject of this
Rp 7,836,990/m2 Feasibility Study

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View of the Area

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View of the Area

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Feasibility Study Assumptions

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Estimated Investment

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Business Assumptions (1/2)
Rental assumptions
Total area size 6,400 m2
Total Net Leasable Area 2,250 m2 warehouse area
(NLA) 2,000 m2 open yard
Asset owner HMU
Tenant Warehouse area:
a) SELOG Express 1,500m2
b) SELOG FF 500 m2
Open yard: SELOG FF 2,000 m2
HMU Assumptions
HMU Storage rate fee Rp45,000/m2/month. Increase
5% per 2 years
Utilisation 100% rented to SELOG
Asset Depreciation 20 years for building
5 years for LVA
Other cost components Securities: Rp300,000,000
Utilities, insurance, and other
operational cost: 5% revenue

Discounted Cash Flow Assumptions

Project Period 20 Years
Income tax 10% final tax on storage fee;
25% income tax on non-
storage EBT
Debt : Equity ratio 45 : 55
Debt cost 10%, 10 year loan periods
Equity cost 20%
WACC 14.38%

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Business Assumptions (2/2)
SEF assumptions
Current target KG/year JKT 1,512,618 (89% national)
= Rp39 billion revenue;
Next target volume depends on
scenarios development
Price per KG Rp26,000;
Increase 2.5% per 2 years
Cakung portion % JKT ± 75% (Rp30 billion revenue)
Kamal portion % JKT ± 25% (Rp9 billion revenue)
Cost of sales 82% of Revenue; Percentage
decrease as volume increase
Operating Expense 12.2% of Revenue; Percentage
decreases as volume increase
Income tax 25% of EBT
ToP 30 Days
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SELOG FF assumptions
Charging rate Rp80,000 /m2/month includes
storage and handling fees;
Increase 2.5% per 2 years
Utilisation Depends on scenarios development
Cost of sales for storage Rent cost from HMU + 35% variable
and handling fee cost of revenue storage & handling
Transportation fee Truck type = CDD;
Capacity = 24 CBM;
Rate/shipment: Rp1.5 million;
Formula = area utilization x goods
turnover x revenue per shipment;
Rate increase 2.5% per 2 years
Cost of sales % 90% of transportation fee
transportation fee
Operating Expense 5% of revenue; percentage decrease
as volume increase
Income tax 25% of EBT
VAT 1% of Revenue;
VAT-In can’t be credited
ToP 30 days
9
 Scenario Developments (SEF)

Revenue (IDR Billion – Jakarta Branch Operating Profit Margin

200 16.0%
182 184
174 176
180 166 168 13.4%
159 161 14.0% 13.0%
152 154 12.6%
160 145 147 11.8%
12.2%
139 140 12.0% 11.4%
11.0%
140 129 12.0% 12.3%
11.6%
139 140 9.8% 11.2%
115 133 134 10.0% 10.8%
120 127 128 10.0%
10.4%
121 123 9.85% 9.95%
116 117 7.8% 9.51% 9.71%
100 95
107 111
112
108 111
112 9.0% 8.91% 9.11% 9.31%
106 103 107 8.0%
102 98 102 8.21%
75 94 94 97
80 89 90 93 5.8% 7.4%
80 78 82 85 86 6.0% 7.01%
55 5.8%
60 67 70
60 5.81%
39
52
4.0%
40 49
39
20 2.0%

- 0.0%
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

High Case Medium Case Low Case High Case Medium Case Low Case

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 Scenario Developments (SELOG FF)

Space Utilization (of 2,750 m2)

120%

100% 100% 100% 100% 100% 100% 100% 100% 100%

100%

90% 90% 90% 90% 90% 90% 90% 90%

80% 75%
80% 80.0% 80.0% 80.0% 80.0% 80.0% 80.0% 80.0%

70.0%
60% 65%
50% 60.0%

50% 50.0%
40%
40.0%
25% 35%
30.0%
20%
20% 20.0%

10.0%
0%
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

High Case Medium Case Low Case

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Feasibility Study Results

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Executive Summaries
A. Exclude Land Investment In Discounted Cash Flow Analysis (WACC 14.38%)

Case (Scenario) NPV IRR Discounted Payback

Period
High Case (1A) Rp104.0 billion 48.22% 3.75 Years
Medium Case (1B) Rp51.0 billion 34.40% 5.40 Years
Low Case (1C) Rp24.6 billion 25.87% 7.34 Years

B. Include Land Investment In Discounted Cash Flow Analysis (WACC 14.38%)

NPV IRR Discounted NPV IRR Discounted

Rp Billion Payback Period Rp Billion Payback Period
Land value increase 5% per year Land value increase 2.5% per year
High Case (2A) 73.8 25.78% 7.46 Years High Case 71.3 25.67% 7.46 Years
Medium Case (2B) 20.8 18.01% 13.73 Years Medium Case 18.3 17.71% 13.73 Years
Low Case (2C) (5.6) 13.30% 20.00 Years Low Case (8.15) 12.72% 20.00 Years

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High Case Scenario – Income Statement

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High Case Scenario – Discounted Cash Flow (Include Land)

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Medium Case Scenario – Income Statement

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Medium Case Scenario – Discounted Cash Flow (Include Land)

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Low Case Scenario – Income Statement

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Low Case Scenario – Discounted Cash Flow (Include Land)

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Income Statement HMU

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