Centuria Industrial Reit · ASX:CIP
Centuria Industrial Reit — Investor Presentation (December 2018)
28 slides from Centuria Industrial Reit's investor presentation, Dec 4, 2018
Slide 1: Strategic Acquisitions & $51m Equity Raising
For personal use only Centuria Industrial REIT Strategic Acquisitions & $51m Equity Raising A S X:CIP 4 DECEMBER 2018 CENTURIA INDUSTRIAL REIT ASX:CIP 1 Photo: 149 Kerry Road, Archerfield
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Centuria Property Funds No. 2 Limited (ACN 133 363 185) (CPF2L or Responsible Entity) as responsible entity of Centuria Industrial REIT (ARSN 099 680 252) (CIP or REIT) in relation to a pro rata accelerated non-renounceable entitlement offer of New U
Slide 3: Disclaimer
Disclaimer This presentation does not constitute an offer to sell, or the solicitation of an offer to buy, any securities in the United States and may not be distributed or released in the United States. The New Units to be offered and sold under the Offer set out in this Presentation have not been
Slide 4: Contents
For personal use only Contents 1 Executive Summary 2 The Acquisitions and Portfolio Impact 3 Equity Raising CENTURIA INDUSTRIAL REIT ASX:CIP 4
Slide 5: Executive Summary
For personal use only SECTION ONE Executive Summary Photo: 149 Kerry Road, Archerfield CENTURIA INDUSTRIAL REIT ASX:CIP 5
Slide 6: Acquisitions and Equity Raising overview
EXECUTIVE SUMMARY Acquisitions and Equity Raising overview For personal use only • Centuria Property Funds No. 2 Limited (CPF2L), as Responsible Entity of Centuria Industrial REIT (ASX:CIP), has entered into agreements to acquire two industrial assets (the Acquisitions) for $54.4 million (excluding
Slide 7: Key post-transaction metrics
EXECUTIVE SUMMARY Key post-transaction metrics For personal use only 6.7% 6.6% 36.5% $1.1bn FY19 EPU yield1 FY19 DPU yield2 Pro Forma Gearing3 Portfolio Value 41 94.6% 4.7yrs $761m High Quality Assets Occupancy4,5 Portfolio WALE4,5 Market Capitalisation6 1. EPU yield calculated from lower end of FY1
Slide 8: Strategic rationale
EXECUTIVE SUMMARY Strategic rationale For personal use only 1 2 3 Improves CIP’s profile as Quality assets that are Positions CIP for future Australia’s leading pure- complementary to CIP’s growth opportunities play industrial REIT existing portfolio Consistent with strategy of investing in Well pos
Slide 9: Track record of active portfolio management
EXECUTIVE SUMMARY Track record of active portfolio management with 87% of properties transacted off market and $112.3 million acquired YTD For personal use only $2.2m FY18 $152.7m FY19 $168.6m 43-45 Mica St, Carole Park, QLD $11.2m Acquisition portfolio 92 Robinson Ave, $30.6m Belmont, WA 149 Kerry
Slide 10: The Acquisitions and Portfolio Impact
For personal use only SECTION TWO The Acquisitions and Portfolio Impact Photo: 149 Kerry Road, Archerfield CENTURIA INDUSTRIAL REIT ASX:CIP 10
Slide 11: Kerry Road, Archerfield, QLD
THE ACQUISITIONS AND PORTFOLIO IMPACT 149 Kerry Road, Archerfield, QLD Key characteristics For personal use only • Stable asset with high quality tenant in Bluescope Steel Limited with a long term lease commitment • Strategic location with access to infrastructure connections including the Acacia Ri
Slide 12: Lakes Road & Stirling Crescent, Hazelmere, WA
THE ACQUISITIONS AND PORTFOLIO IMPACT 155 Lakes Road & 103 Stirling Crescent, Hazelmere, WA Key characteristics For personal use only • High quality Perth metropolitan asset occupying a site area of 6.0 hectares across 2 freehold titles • Both assets are occupied by subsidiaries of ASX listed entiti
Slide 13: Portfolio metrics
THE ACQUISITIONS AND PORTFOLIO IMPACT Portfolio metrics Geographic mix For personal use only Pre Post Pre Post Acquisitions Acquisitions ACT SA ACT SA Portfolio (30 Nov 18) 1% 1% 1% 1% WA WA Number of properties 39 41 12% 13% NSW NSW QLD 40% 39% 19% QLD 21% Portfolio valuation $1,094m $1,148m VIC VI
Slide 14: Equity Raising
For personal use only SECTION THREE Equity Raising Photo: 1 Ashburn Road, Bundamba CENTURIA INDUSTRIAL REIT ASX:CIP 14
Slide 15: Sources and uses of proceeds
EQUITY RAISING Sources and uses of proceeds For personal use only • The Equity Raising will raise approximately $51.0 million, comprising Sources of proceeds $m a 1 for 13.5 accelerated non-renounceable entitlement offer Equity Raising proceeds 51.0 • In addition to the Equity Raising, the Acquisiti
Slide 16: Details of the Equity Raising
EQUITY RAISING Details of the Equity Raising For personal use only Equity Raising • The Equity Raising is a 1 for 13.5 accelerated non-renounceable entitlement offer to raise approximately $51.0 million Structure • Issue price of $2.77 per CIP unit represents a: o 3.1% discount to the last close pri
Slide 17: Indicative timetable
EQUITY RAISING Indicative timetable For personal use only Key event Date1 Trading halt and announcement of the Acquisitions and Equity Raising Tuesday, 4 December 2018 Institutional entitlement offer opens and closes Tuesday, 4 December 2018 Trading re-commences on an ex-entitlement basis Wednesday,
Slide 18: Appendix A: Financial Information
For personal use only APPENDIX A Financial Information Photo: 2 Woolworths Way, Warnervale CENTURIA INDUSTRIAL REIT ASX:CIP 18
Slide 19: Pro forma balance sheet
APPENDIX A Pro forma balance sheet ($m) Units 30 June 2018 Asset Asset Revaluations3 30 June 2018 Acquisitions & 30 June 2018 For personal use only divestments1 acquisitions2 Pro Forma (Pre) Equity Raising Pro Forma (Post) Cash ($m) 21.2 - - - 21.2 - 21.2 Investment properties ($m) 1,009.0 (10.0) 57
Slide 20: Appendix B: Property Portfolio
For personal use only APPENDIX B Property Portfolio Photo: 22 Hawkins Crescent, Bundamba CENTURIA INDUSTRIAL REIT ASX:CIP 20
Slide 21: Property portfolio
APPENDIX B Property portfolio For personal use only Property State Book value ($m) GLA (sqm) Cap rate (%) 2 Woolworths Way, Warnervale NSW 81.0 54,533 7.00% 10 Williamson Road, Ingleburn NSW 48.8 27,260 5.75% 92-98 Cosgrove Road, Enfield NSW 44.3 33,863 6.25% 29 Glendenning Road, Glendenning NSW 45.
Slide 22: Property portfolio
APPENDIX B Property portfolio For personal use only Property State Book value ($m) GLA (sqm) Cap rate (%) 324-332 Frankston-Dandenong Road, Dandenong South VIC 32.5 28,316 6.00% 24-32 Stanley Drive, Somerton VIC 27.4 24,350 6.50% 2 Keon Parade, Keon Park VIC 25.5 19,527 5.75% 500 Princes Highway, No
Slide 23: Appendix C: Key Risks
For personal use only APPENDIX C Key Risks Photo: 6 Macdonald Road, Ingleburn CENTURIA INDUSTRIAL REIT ASX:CIP 23
Slide 24: Key risks
APPENDIX C Key risks Underwriting risk CPF2L as responsible entity of CIP has entered into an underwriting agreement with the Underwriters for the Offer (other than in respect of the commitments received from certain Centuria entities) (Underwriting Agreement). The For personal use only Underwriters
Slide 25: Key risks
APPENDIX C Key risks Other factors Other factors that may affect CIP’s performance include changes or disruptions to political, regulatory, legal or economic conditions or to the national or international financial markets including as a result of terrorist attacks or war. For personal use only Leas
Slide 26: Appendix D: Offer Jurisdictions
For personal use only APPENDIX D Offer Jurisdictions Photo: 30 Clay Place, Eastern Creek CENTURIA INDUSTRIAL REIT ASX:CIP 26
Slide 27: Offer jurisdictions
APPENDIX D Offer jurisdictions This document does not constitute an offer of new units ("New Units") of CIP in any jurisdiction in which it would be unlawful. In particular, this document may not be distributed to any person, and the New Units may not be offered or sold, in any country outside Austr
Slide 28: Thank You
For personal use only Thank You CENTURIA INDUSTRIAL REIT ASX:CIP 28
Centuria Industrial REIT — Investor Presentation (December 2018) on 6ix