Prodea Real Estate Investment Co. Sa · ATHEX:PRODEA
Prodea Real Estate Investment Co. Sa — Investor Presentation (December 2023)
31 slides from Prodea Real Estate Investment Co. Sa's investor presentation, Dec 31, 2023
Slide 1: Prodea Investments Company Presentation Q4 2023
PRODEA INVESTMENTS Company Presentation Q4 2023
Slide 2: Topics
TOPICS • Prodea Overview • Greek Market Overview • Secured & New Projects • ESG • Capital Structure & Financials • Appendix 2
Slide 3: Prodea Overview
PRODEA OVERVIEW The leading Real Estate Investment Company in the Hellenic market PRODEA Investments has a well-balanced and diversified asset exposure, expanding into the best performing sectors of Greek Real Estate, including green offices, hotels, logistics and residential. PRODEA’s real estate p
Slide 4: Portfolio Metrics
PORTFOLIO METRICS High-quality diversified Largest REIC in Greece(1) portfolio €2.4bn (3.0bn(16) ) 92% GAV(2), (15) Occupancy (15) €2.7bn (3.1bn(16) ) 10.9(4)/ 8.3(5) AUM (7), (15) WAULT (years) (15) 330 €145.8m Number of properties(2), (15) Annualized gross rent (15) 1.4m 6.4% GLA (sqm) (15) Gross
Slide 5: Strategic Goals
STRATEGIC GOALS Benefit from the positive momentum in the Greek market; with an aim of ensuring an increased recurring income Lack of new stock Increased tenant demand for quality spaces Strong emphasis on green portfolio of office aiming to become the biggest green office owner in the region Increa
Slide 6: Investment Approach
INVESTMENT APPROACH PRODEA has a strong track record achieved with a well-defined strategy Disciplined acquisition Active asset management Optimal financing Acquisitions driven by fundamentals and a Maintain revenue visibility - high occupancy Target c.40-45% Gross LTV, c.35-40% Net LTV long-t
Slide 7: Macro Recovery Momentum in Greece
MACRO RECOVERY MOMENTUM IN GREECE After significant reforms to aid the country’s recovery from deep economic depression, Greece’s macro-outlook has strengthened, boosting investors’ confidence in the country’s prospects. The current political stability, combined with the robust economic recovery and
Slide 8: Favorable Greek RE Sector Fundamentals
FAVORABLE GREEK RE SECTOR FUNDAMENTALS Despite the evident contraction of the RE yields in Greece over the last 5-6 years, they are still attractively trailing behind those of other EU countries Evolution of Real Estate Yields in Greece Prodea vs. Greek & European Yields(1) Prime Office Yield Trends
Slide 9: Portfolio Breakdown per Sector Before and After MHV
PORTFOLIO BREAKDOWN PER SECTOR BEFORE AND AFTER MHV(16) PRODEA Group excl. MHV PRODEA Group Incl. MHV Metrics Hospitality Bank branches Bank branches 10% 14% Hospitality 12% 17% Retail / Big Retail / Big boxes boxes 16% AUM(7): 18% AUM(16): €2.7bn €3.1bn Logistics 4% Logistics 5% Offices Offices Oth
Slide 10: Investment Footprint
INVESTMENT FOOTPRINT(15) 49% 15% 21% 15% Offices Bank branches Retail Logistics / Leased Total Hotels / Other(8) No. of properties(9) 69 121 98 42 330 GLA(10) (000 sqm) 606 114 355 273 1,347 GAV Appraised value 2,420 1,197 (in €m)(10),(2) 373 494 356 91% 100% 95% 87% 92% Occupancy : WAULT incl. brea
Slide 11: Investment Footprint
INVESTMENT FOOTPRINT (15) Hellenic market: 281 properties in Greece and 21 properties in Cyprus Italy(12): 24 assets in 16 cities AUM Value: €2,189m | GLA: 1,091k sqm | Occupancy: 95.1% | Key cities(13): 85.2% AUM Value: €381m | GLA: 176k sqm | Occ.: 71.2% | Key cities(13): 60.1% Milan 6 Breakdown 1
Slide 12: Strong Tenants
STRONG TENANTS Quasi triple-net lease terms minimizing cash flow leakage 8.3 / 10.9 years WAULT including/excluding break options c.86% of annualized rents not subject to break options c.93% of the annualized rent is subject to uplift linked to inflation rate or otherwise indexed Best in class Greek
Slide 13: Mediterranean Hospitality Venture
MEDITERRANEAN HOSPITALITY VENTURE • Focus on large high-end resort hospitality investments with development potential • PRODEA holds a 80% stake in MHV • MHV’s main hospitality markets are Greece and Cyprus, which both benefit from a combination of a strong tourism industry, world-class transport in
Slide 14: Green Certified Buildings (Indicative Projects)
GREEN CERTIFIED BUILDINGS (INDICATIVE PROJECTS (1)) Total GAV of certified and under certification Green buildings (upon completion of developments): €603m c.43% of Offices will be Green certified (in terms of GAV) Asset name: The Wave, Syggrou Asset name: Karela Office Park Asset name: eLemen
Slide 15: Secured & New Projects
7 SECURED & NEW PROJECTS ‘* PRODEIA
Slide 16: Secured & New Projects
SECURED & NEW PROJECTS c.€535m of Projects(1) | More than 259,000sqm | 97.1% Secured | 100% Green Certified In Negotiations Logistics 2,9% 15% Offices 45% Segment Energy Progress Hotels & Residential Green Certified Secured 40% 100% 97,1% Assets with solid fundamentals, rental growth and Secured Pro
Slide 17: Rent Evolution
RENT EVOLUTION Potential Annualized Rent Evolution Generated from Secured Projects 35,0 30,0 27,3 25,0 20,1 20,1 18,9 20,0 15,0 12,3 12,3 25,9 10,0 8,1 17,5 18,7 18,7 11,0 11,0 5,0 2,8 6,8 1,5 - 1,4 1,4 1,4 1,4 1,4 1,4 1,4 1,4 €'mn H1 2024 H2 2024 H1 2025 H2 2025 H1 2026 H2 2026 H1 2027 H2 2027 (b)
Slide 18: Environmental, Social, Governance
ENVIRONMENTAL, SOCIAL,GOVERNANCE 18
Slide 19: Prodea's Strategic Vision and Goals
PRODEA’S STRATEGIC VISION AND GOALS PRODEA aims to create long term value for shareholders, employees, clients, and other stakeholders, by allocating capital to property investments in a sustainable and responsible way Sustainable Environmental investments responsibility PRODEA's strategic pillars H
Slide 20: Prodea's Sustainability Highlights
PRODEA’S SUSTAINABILITY HIGHLIGHTS (2022 assessment) (2023 assessment) EPRA Sustainability Performance Report, 2023 Inaugural Sustainability Report, 2023 Green Bond Investors Report, 2023 Environment Social Corporate Governance • 43% of offices completed or on-boarded, are certified or under certifi
Slide 21: Capital Structure & Financials
CAPITAL STRUCTURE & FINANCIALS 21
Slide 22: Capital Structure
CAPITAL STRUCTURE Debt Split by Category Debt Split by Rate Type Floating 7% Public Bonds 23% Fixed 23% Key Figures as at 31 December 2023 (15) (in €m unless otherwise stated) Syndicated Bonds 77% Floating Hedged Gross Debt 1,293 70% Syndicated Bonds Public Bonds Floating Floating - Hedged Fixed Cas
Slide 23: Strong Financial Performance
STRONG FINANCIAL PERFORMANCE Financial Performance (in €m) Total shareholders’ return per share 222.5 IRR: c.11%(1) Multiple: c.2.2x 8.64 9.02 8.06 0,29 0,29 7.30 0,29 165.1 6.90 2,84 149.7 6.09 2,58 5.63 2,30 1,34 1,95 124.2(2) 5.10 5.31 1,05 116.3 4.93 0,83 102.8(2) 4.05 0,43 0,63 5,56 5,35 5,47 5
Slide 24: Appendix
APPENDIX 1. Consolidated Statement of Financial Position 2. Consolidated Income Statement 3. EBITDA & FFO Calculations 4. NAV break-down 5. Notes 24
Slide 25: Consolidated Statement of Financial Position – IFRS
CONSOLIDATED STATEMENT OF FINANCIAL POSITION – IFRS Amounts in € ’000s Dec-2021 Dec-2022 Dec-2023 Assets Non-current assets Investment property 2,279,958 2,491,284 2,314,885 Equity method investments and investments in joint ventures 104,972 157,336 161,238 Property and equipment 10,632 10,171 9,975
Slide 26: Consolidated Income Statement – IFRS
CONSOLIDATED INCOME STATEMENT – IFRS Amounts in € ’000s Dec-2021 Dec-2022 Dec-2023 Continuing Operations Revenue 134,204 186,923 168,856 Gain from disposal of investment property 197 1,367 4,329 Direct property related expenses (14,925) (16,578) (17,014) Property taxes – levies (10,087) (11,541) (13
Slide 27: EBITDA and FFO Calculations
EBITDA AND FFO CALCULATIONS EBITDA Amounts in € ’000s Dec-2021 Dec-2022 Dec-2023 Profit for the period from continuing operations 175,081 123,771 73,832 Plus: Depreciation and Amortization 556 549 505 Plus: Net Finance costs 37,776 42,754 73,980 Plus: Taxes 3,222 861 10,161 EBITDA 216,635 167,935 15
Slide 28: NAV Break-down
NAV BREAK-DOWN Amounts in € ’000s Dec-2021 Dec-2022 Dec-2023 Shareholders’ Equity 1,396,080 1,465,735 1,492,304 Plus: IFRS Adjustment (1) 251 9,500 13,471 NAV 1,396,311 1,475,235 1,505,575 (1) Difference between the NBV and the market value (as determined by the independent statutory valuers) of the
Slide 29: Notes
NOTES Source: Financial Statements and Company information for 31 December 2023 & 2022. Note: Unless stated otherwise, all data refers to the period ended 31 December 2023. (1) Based on GAV. (2) GAV includes Investment properties plus Company’s headquarters (€11.3m) and real estate inventories (€31.
Slide 30: Disclaimer
DISCLAIMER By viewing or receiving this presentation, you are agreeing to be bound by the following limitations. This corporate presentation (the CP) has been prepared by Prodea Real Estate Investment Company Societe Anonyme (the Company) and has not been independently verified. Τhe Company does not
Slide 31: Disclaimer (continued)
DISCLAIMER (CONTINUED) Forward Looking Statements Certain statements in this presentation are forward-looking. This presentation also includes certain forward-looking information related to the Company’s pipeline. Such information is given only based on Company’s reasonable expectations or estimates
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