Slide 1: 2014 Annual results
2014 Annual results February 13, 2015 Rives de Bercy – Charenton-le-Pont
Slide 2: Overview
Overview Market review : Page 4 Our Portfolio : Page 9 Finance : Page 19 Appendices : Page 27
Slide 3: 2014: An Eventful Year
2014: An Eventful Year France's first property company fully certified to environmental standards All assets in the portfolio are certified to HQE Exploitation and BREEAM In-Use International standards Leases renewed on 11,200 sq.m. for six to nine years, with big corporates (Crédit Agricole, Ga
Slide 4: Share Performance in 2014
Share Performance in 2014 CGR share performance vs. EPRA and IEIF indices 28 24 20 16 Jan-13 Apr-13 Jul-13 Oct-13 Jan-14 Apr-14 Jul-14 Oct-14 Cegereal EPRA Europe Index IEIF French SIIC Index Cegereal – 2014 Annual Results – February 13, 2015 3
Slide 5: Market Review
2014 Market Review
Slide 6: Paris Region Market: rebound of rental transactions
Paris Region Market : rebound of rental transactions Vacancy rates in the main European cities (end-2014) 20% 15,9% 15% 12,9% 11,4% 10,3% 10% 7,6% 6,3% 6,2% 4,7% 5,1% 5% 0% Berlin Hamburg Madrid Milan Frankfurt Munich Brussels Greater Greater Paris London Take-up in the main European cities in 2013
Slide 7: Higher Take-up in the Paris Region in 2014
Higher Take-up in the Paris Region in 2014 Paris – IDF office take-up rate and large transactions (million sq.m. by segment) 600 520 550 500 430 460 400 370 400 360 320 320 300 250 200 100 0 < 500 m² 500 - 2000 m² 2000 - 5000 m² 5000 -20000 m² > 20000 m² 2013 2014 The office property market regain
Slide 8: Paris Region Office Market – Absorption and Market Rents
Paris Region Office Market – Absorption and Market Rents Paris – IDF absorption (thousand sq.m.) 1 000 985 1 000 800 650 535 588 600 495 515 410 430 400 285 240 200 10 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Paris – IDF average office rents (€/year) 600 500 400 300 200 Paris CB
Slide 9: Paris Region Office Investment Market
Paris Region Office Investment Market Commercial real estate investment flows in France 35 30 25 20 15 10 5 0 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Q1 Q2 Q3 Q4 Full year At €22.7 billion, office property investment volume was up by 40% in 2014, attesting to a very strong
Slide 10: Our portfolio
Our portfolio Arcs de Seine - Boulogne
Slide 11: Cegereal: Uniquely Positioned in the Paris Region Market
Cegereal: Uniquely Positioned in the Paris Region Market EUROPLAZA 50,000 sq.m in La Défense Occupancy rate : 77% Valuation as at Dec. 31, 2014 : € 333 M RIVES DE BERCY 31,900 sq.m in Charenton Occupancy rate : 100% Valuation as at Dec. 31, 2014 : € 191 M ARCS DE SEINE 45,000 sq.m in Boulogne Occupa
Slide 12: 2014 Rental Income up 3.3%, Boosted by the Lettings in Arcs de Seine
2014 Rental Income up 3.3%, Boosted by the Lettings in Arcs de Seine Cegereal – Growth in rental income, 2013-2014 (€m) 2.8 0.5 48 0.1 (1.8) (0.1) 36 €m 24 43,3 44,7 12 0 2013 Rental Indexation Arrivals Departures Renegociation Other 2014 Rental income income Cegereal – 2014 Annual Results – Februar
Slide 13: Nearly 90% Occupancy Rate
Nearly 90% Occupancy Rate As a % of total area 100% 80% Maturity 60% Next Break 40% 20% 0% Jan-15 Jan-16 Jan-17 Jan-18 Jan-19 Jan-20 Jan-21 Jan-22 Occupancy rates since the Company’s formation 100% Occupancy rate as at Dec-2014 90% 80% Arcs de Seine 60% Europlaza 40% Rives de Bercy 20% 0% 2006 2007
Slide 14: First-class Tenants
First-class Tenants 1% 1% 1% 100% 90% 4% 2% 6% 4% 3% 80% 70% Rating 4 & 5 60% Rating 3 50% 100% 100% 99% 96% 96% 97% 94% 95% Rating 1 & 2 40% 30% 20% 10% 0% 2007 2008 2009 2010 2011 2012 2013 2014 Source : Dun & Bradstreet ratings Cegereal – 2014 Annual Results – February 13, 2015 13
Slide 15: Appraisal Values and Unrealized Capital Gains
Appraisal Values and Unrealized Capital Gains Unrealized capital +221m€ gains Higher appraisal € millions values +2,6% 1 100 1032 961 938 1 000 854 188 861 854 865 849 871 900 828 187 163 800 168 168 191 168 156 169 172 700 385 600 363 350 340 311 309 300 310 322 500 347 400 300 200 412 459 425 346
Slide 16: UpGreen Your Business
Sustainable Development 2020 Water -10% Energy -15% UpGreen Your Business GHG -20% 2015-2018 Action plan in 3 axis involving tenants, suppliers and Go Green investors 2011-2014 > Business 1st RE portfolio in France > Social 100% HQE Exploitation > Corporate 100% Breeam In-Use Cegereal – 2014 Annual
Slide 17: Rives de Bercy: A Majestic Campus in the Center of an Expanding Business District
Rives de Bercy: A Majestic Campus in the Center of an Expanding Business District Rives de Bercy – Growth in rental income, 2013-2014 (€m) 0.02 0.2 10 Triple net lease with Crédit Foncier since delivery in 2003 5 9.7 10.0 Renegotiation of a new nine-year lease 0 2013 rental Indexation Other 2014
Slide 18: Arcs de Seine: A Remarkable Rental Performance in 2014
Arcs de Seine: A Remarkable Rental Performance in 2014 Successful letting of Arcs de Seine 7 800 sq.m. of signed leases 1 400 sq.m. still available over a total surface of 45 000 sq.m. Occupancy rate 6.5% 3.5% 3.2% 1.6% 1.6% 80% 60% 40% 81% 97% 20% 0% 31 BBC Huawei Sagem Amgen Exclusive 31 Decem
Slide 19: Europlaza: The First Garden Tower in La Défense
Europlaza: The First Garden Tower in La Défense A multi-tenant building, with more than 700 private parking spaces, top-notch amenities and enclosed gardens, forming a campus-style office complex aligned with current demand 77% occupancy rate as of end- December 2014 Some fifteen tenants, includ
Slide 20: Finance
Finance Arcs de Seine – Boulogne-Billancourt
Slide 21: Financial Highlights
Financial Highlights Dec. 31, 2014 Dec. 31, 2013 Dec. 31, 2012 Variation 14/13 Portfolio value € 871 M € 849 M € 865 M +2.6% Loan to value ratio 46.5% 47.1% 46.2% -0.6 bps EPRA NNNAV per share € 34.8 M € 34.1 M € 35.7 M +2.1% IFRS Rental income € 44.7 M € 43.3 M € 38.6 M +3.3% IFRS net res
Slide 22: Cash Flow From Operations & EPRA earnings
Cash Flow From Operations & EPRA earnings In thousands euros 2014 2013 2012 Variance 14/13 IFRS rents 44 746 43 303 38 633 Recovered real estate expenses 13 173 10 462 8 773 Real estate expenses (13 293) (13 955) (12 312) Net rents 44 627 39 810 35 094 12% Asset management fees (3 048) (2 972) (3
Slide 23: Non recoverable Operating Expenses
Non recoverable Operating Expenses In thousands euros 2014 2013 2012 Building maintenance 20 735 431 Expenses on vacant premises 1 707 1 874 2 187 Asset management fees 3 049 2 972 3 029 Other building-related costs – lessor 243 923 2 064 Wages and salaries 550 576 512 Other overhead costs 2 376 2 0
Slide 24: Unique Bank Loan
Unique Bank Loan €405M in financing obtained from a pool of four banks, maturing in August 2017 Flexible interest rate with a boni of 25bps when the occupancy rate is above 90% Hard covenants: LTV at 70% and ICR at 1.50x New financing (Nov 15, 2012) Additional loan (Nov 21, 2014) Total amount
Slide 25: EPRA NNNAV
EPRA NNNAV +1.6 +1.6 34.8€ 34.1€ (0.7) Change in (0.4) the fair (1.5) Recurring Rent-free Change in income value of period the fair Dividends real estate assets value of debt NNNAV NNNAV Dec 31, 2013 Dec 31, 2014 (€/share) (€/share) Cegereal – 2014 Annual Results – February 13, 2015 24
Slide 26: 2014 Dividend
2014 Dividend Dividend history (in €/share) 3,1 2,7 2,8 2,6 2,4 1,8 2,0 2,0 1,7 1,65 1,85 1,7 1,5 1,5 1,1 0,6 0,7 0,3 - 2006 2007 2008 2009 2010 2011 2012 2013 2014 Cash flow from operations (€) Dividend (€) 2014 Cash flow from operations (€k) 24 785 Total number of shares 13 372 500 Cash flow fro
Slide 27: Outlook 2015
Outlook 2015 Europlaza: The first Garden Tower in La Défense Look to actively seize both arbitrage and acquisition opportunities Launch of the project « Upgreen your business » Cegereal – 2014 Annual Results – February 13, 2015 26
Slide 28: Appendices
Appendices Arcs de Seine – Boulogne-Billancourt
Slide 29: Investor Calendar
Investor Calendar Annual Q1 2015 Payment of H1 2015 Q3 2015 Shareholders' Revenue the dividend Results Revenue Meeting April 16, July 16, 2015 July 24, 2015 Oct. 22, 2015 April 15, 2015 2015 Cegereal – 2014 Annual Results – February 13, 2015 28
Slide 30: Share details
Share details Name Cegereal SA Investor Relations 21-25, rue de Balzac Listing market Euronext Paris 75008 Paris ISIN FR0010309096 Tel: +33 (0)1 42 25 76 36 Email: info@cegereal.com Symbol CGR CFI ESVUFB Registrar Type REIT BNPP Securities Services Grands Moulins de Pantin Section Eurolist compartme
Slide 31: IFRS Income Statement (consolidated)
IFRS Income Statement (consolidated) In thousands of euros, except per share data 2014 2013 12 months 12 months Rental income 44 746 43 303 Income from other services 13 173 10 462 Building-related costs (16 341) (16 927) Net rental income 41 579 36 838 Sale of building Administrative costs (3 057)
Slide 32: IFRS Balance Sheet (consolidated)
IFRS Balance Sheet (consolidated) In thousands of euros Dec. 31, 2014 Dec. 31, 2013 In thousands of euros Shareholders' equity Dec. 31, 2014 Dec. 31, 2013 Share capital 160 470 160 470 Non-current assets Legal reserve and additional paid-in capital 21 436 31 465 Consolidated reserves and retained ea
Slide 33: IFRS Statement of Cash Flows (consolidated)
In thousands of euros 2014 2013 IFRS Statement of OPERATING ACTIVITIES Consolidated net income 42 398 1 940 Cash Flows Elimination of items related to the valuation of buildings: (consolidated) Fair value adjustments to investment property (18 704) 17 145 Indemnity received from lessees for the repl
Slide 34: French GAAP Income Statement
French GAAP Income Statement In euros 2014 2013 France Exports 12 months 12 months Total Total Sales of goods for resale Sales of manufactured products Sales of services NET REVENUE 0 0 - - Change in finished goods and in-progress In euros inventory 2014 2013 In-house production 12 months 12 months
Slide 35: French GAAP Balance Sheet
French GAAP Balance Sheet In euros In euros Depr., amort. EQUITY AND LIABILITIES Dec. 31, 2014 Dec. 31, 2013 Gross amount Dec. 31, 2014 Dec. 31, 2013 ASSETS & prov. Capital Uncalled subscribed capital - - Share capital (including paid-up capital: 160,470,000) 160 470 000 160 470 000 Intangible fixed