Message to Unitholders Dear Unitholders, On behalf of our Board of Directors (“Board”) and management, we are pleased to present UHREIT’s annual report for the financial year ended 31 December 2025 (“FY2025”). In 2025, the global economy demonstrated resilience despite ongoing geopolitical conflicts and evolving trade dynamics. Global GDP growth was estimated to be 3.3%, supported by technologyled investment and easing financial conditions as inflation continued to moderate from prior peaks1. For 2026, the International Monetary Fund in its January report projected global growth of approximately 3.3%, reflecting a cautious outlook amid rising geopolitical tensions and concerns over potential market corrections linked to reassessed productivity expectations around artificial intelligence¹. However, a prolonged conflict in the Middle East could materially affect global energy prices, market sentiment, economic growth and inflation. In the U.S., where UHREIT’s properties are located, the economy continued to demonstrate resilience. Following a robust real GDP expansion of 2.1% in 20252, the Federal Open Market Committee projects steady real GDP growth of 2.4% for 2026 and 2.3% for 20273. Inflation moderated significantly from its peak of 9.1% in June 2022 to 2.4% in February 20264. The U.S. labour market remained broadly stable in 2025, with the unemployment rate averaging approximately 4.4%5. While employment conditions remained supportive, there were signs of gradual cooling amid moderating economic growth. In 2025, the U.S. Federal Reserve (“Fed”) lowered the federal funds rate three times, bringing the target range to 3.5%–3.75%, its lowest level in the past three years. In aggregate, the Fed has reduced interest rates by 175 basis points since September 2024. U.S. consumer spending patterns continue to favour essential goods, with shoppers increasingly leveraging omnichannel options. This trend reinforces the structural advantages of grocery-anchored strip centers, which benefit from proximity, convenience, and daily-needs spending. On the supply side, strip center construction is expected to remain constrained, with projected supply growth of just 0.3% per annum from 2026 to 2030, the lowest among traditional retail sectors6. Against this backdrop, sector fundamentals remain robust, with occupancy rates sustained at approximately 95% and lease rates expected to trend higher. U.S. retailers have continued to expand their physical footprints despite nearterm macroeconomic uncertainty, while UHREIT’s anchor tenants have continued to record healthy sales. UHREIT’s two Self-Storage properties located in the New York metropolitan area recorded an increase in rental rates during the year, while occupancy moderated throughout the year. Tan Tong Hai Chairman and Independent Non-Executive Director Gerard Yuen Chief Executive Officer UHREIT has achieved like-for-like portfolio valuation growth each year since its listing in 2020. In FY2025, UHREIT’s portfolio valuation increased by 3.8%7 compared to the previous year, marking its fifth consecutive year of growth. Overall, UHREIT’s AUM have grown by 32.4% since its listing, underscoring the effectiveness of our portfolio management strategy and the resilience of its asset class. 1 International Monetary Fund, “World Economic Outlook Update”, January 2026. 2 U.S. Bureau of Economic Analysis, “Gross Domestic Product, 4th Quarter 2025 (Second Estimate)”, 13 March 2026. 3 Federal Open Market Committee,” Summary of Economic Projections”, 18 March 2026. 4 U.S. Bureau of Labor Statistics, “Consumer Price Index – February 2026”, 11 March 2026. 5 U.S. Bureau of Labor Statistics, “The Employment Situation – February 2026”, 6 March 2026. 6 Green Street, “Strip Center Outlook”, 20 January 2026. 7 On a like-for-like basis, excluding properties acquired and divested during the year. 12 UNITED HAMPSHIRE US REIT
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