Unibail-Rodamco-Westfield SE · EURONEXT:URW
Unibail-Rodamco-Westfield — Unibail-Rodamco — Investor Day (May 2016)
75 slides from Unibail-Rodamco-Westfield's investor day presentation, May 12, 2016
Slide 1: 2016 Investor Days
Christophe Cuvillier, Chief Executive Officer and Chairman of the Management Board 2016 INVESTOR DAYS
Slide 2: Disclaimer
DISCLAIMER Unibail-Rodamco S.E., a Société Européenne à Directoire et Conseil de Surveillance incorporated under French law, is a listed closed end property investment company. Unibail-Rodamco is registered with the French Authority of Financial Markets (AMF). The value of your investment may fluctu
Slide 3: Our Strategy: No Change! Differentiation
OUR STRATEGY NO CHANGE ! DIFFERENTIATION
Slide 4: Our portfolio in 2012 and today
OUR PORTFOLIO IN 2012 AND TODAY GMV split by type of asset Services Services Convention Convention & Exhibition 2% & Exhibition 1% 7% Shopping Centres 7% Shopping Centres Offices 78% Offices 80% 13% 12% DECEMBER DECEMBER 2012 2015
Slide 5: No change?
NO CHANGE ?
Slide 6: Shopping centre footprint
SHOPPING CENTRE FOOTPRINT Number of shopping centres 1 1 7 7 1 1 Group 5 4 4 5 7 10 3 2 82 72 1 1 2012 2015 34 25 2 2 1 1 16 13
Slide 7: Active portfolio management
ACTIVE PORTFOLIO MANAGEMENT Unibail-Rodamco portfolio valuation (GMV) +€4.9 Bn €37.8 Bn +€3.4 Bn €29.3 Bn +€1.8 Bn +€1.5 Bn €26.1 Bn -€3.2 Bn GMV Disposals 2012 GMV Acquisitions Change in scope Development Revaluation GMV Dec. 31, 2012 rebased for 2013- TIC Dec. 31, 2015 2015 disposals
Slide 8: Shopping centre portfolio shift
SHOPPING CENTRE PORTFOLIO SHIFT Average profile of a Unibail-Rodamco shopping centre 2012 2015 GMV €300 Mn €450 Mn GLA 59,900 m² 69,200 m² NIY 5.3% 4.6% Footfall 10.3 Mn 11.6 Mn OCR 13.1% 14.1%
Slide 9: Number of shopping centres by GMV
GMV Number of shopping centres 2012 2015 > €450 Mn 15 23 > €1.0 Bn 4 9
Slide 10: Equally active management on the liability side
EQUALLY ACTIVE MANAGEMENT ON THE LIABILITY SIDE Average cost of debt (in %) Average debt maturity (in years) 6.5 3.4% 5.9 2.9% 2.6% 5.4 2.2% 4.9 2012 2013 2014 2015 2012 2013 2014 2015
Slide 11: Increased growth profile
INCREASED GROWTH PROFILE From | +5% to +7% to
Slide 12: Where do we go from here / now?
Where bo we 6o teat HERE / NOW ?
Slide 13: Economic environment, Internet
Economic environment Internet
Slide 14: The current economic environment
THE CURRENT ECONOMIC ENVIRONMENT GDP Growth Low inflation Unemployment Migrants Terrorist threat Tourism
Slide 15: We concentrate on the best shopping centres
WE CONCENTRATE ON THE BEST SHOPPING CENTRES… Name of the SC City Footfall (Mn) Name of the SC City Footfall (Mn) Name of the SC City Footfall (Mn) 1 Les Quatre Temps La Défense 46 11 Créteil Soleil Créteil 19 21 La Maquinista Barcelona 16 2 Forum des Halles Paris 37 12 PEP Munich 19 22 Wilenska Wars
Slide 16: In the best catchment areas
… IN THE BEST CATCHMENT AREAS Paris France Spain Madrid Barcelona Sweden Stockholm Poland Warsaw region Population (Mn) 66.3 12.0 46.4 6.4 7.4 9.7 2.2 38.0 5.3 GDP per capita 30.7 51.2 22.7 29.6 26.6 40.8 56.2 9.6 15.7 (€k) Unemployment 10.0% 8.8% 22.1% 17.1% 18.6% 7.4% 7.0% 7.5% 6.4% % of Unibail-R
Slide 17: Internet?
INTERNET ? you AND I are biased !
Slide 18: Only share of retail sales
ONLY OF RETAIL SALES (1) Source: Centre for Retail Research 2016
Slide 19: Of the population on the internet
OF THE POPULATION ON THE INTERNET
Slide 20: Multi-channel population
OF THE POPULATION MULTI-CHANNEL
Slide 21: Amazon
amazon
Slide 22: Amazon: What else? Nespresso stores
Slide 23: Multibrand retail = no profit!
MULTIBRAND RETAIL = NO PROFIT!
Slide 24: Is Amazon profitable?
IS AMAZON PROFITABLE ? 120% 105,000 100% 85,000 80% 65,000 60% 45,000 40% 25,000 20% 5,000 0% -15000 -20% -35000 -40% -55000 -60% 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Revenues o/w Revenues from AWS Net Profit (%)
Slide 25: lee)
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Slide 26: Evian water online example
Evian Eau minérale plate 6 x 1,51 de Evian * 1 commentaire client Prix: EUR 12,59 + EUR 15,90 Livraison Tous les prix incluent la TVA. Habituellement expé ous 3 a 4 jours Date de livraison estimée entre @ 17 et 26 mai Prsque vous choisissez la Livraison Rapide lors du processUS'teefrrande. En savoir
Slide 27: Evian water online offers
Evian Eau minérale plate 6 x 1,51 Evan = Tecommantar cent 102 Offtoe pour co prodult Produits simiaios Affine par acevo Prix-s Fraisde Etat Informations sur le Livaison Options achat . expédtion livraison vondour - Uoraison gratuite Neuf wbazar ‘+ Expédié depuis France. BU) Aicvter au panic état EUR
Slide 28: Related product listings
_i= > VOIR LES RAYONS ASSOCIES DETAILS
Slide 29: What does work on the internet?
what poes work on the
Slide 30: Dematerialized goods
DEMATERIALIZED GOODS
Slide 31: Physical products: own brand, light
PHYSICAL PRODUCTS Own brand Light
Slide 32: Nespresso Volluto
Nespresso Volluto
Slide 33: 10 capsules
10 capsules 448 cm? 50g €3.50
Slide 34: 1,800 capsules
1,800 capsules 79,740 cm? 9 kg €630
Slide 35: Estimated margin
1,800 capsules EST. MARGIN
Slide 36: Estimated margin
360 capsules EST. MARGIN
Slide 37: So?
SO ?
Slide 38: Are capsule manufacturers nuts?
ARE capsule MANUFACTURERS nuts ?!
Slide 39: Slide 39
Slide 40: Slide 40
Slide 41: We believe in physical retail: customer experience
WE BELIEVE IN PHYSICAL RETAIL CUSTOMER EXPERIENCE
Slide 42: Slide 42
Slide 43: Slide 43
Slide 44: Re-designing Unibail-Rodamco
UNIBAIL-RODAMCO RE-DESIGNING
Slide 45: Re-tenanting
\ ~ y Vi 4 nz “E > Re-tenanting
Slide 46: First in a shopping centre in France
you w &Y # oN Ww OY yw Y YY Hey vw YY Syme y Scum SRY Fem) Femme find f Sn Jo mavens Seg’. , eae (VANS Y Goes y OOS) YY eam GED Y Yammy Y BO YU COSY x yo YORE N, a . rt se YN, 4 NT ae NT a Nea a No NT a NT a Ye NO Ain a shopping — 1tin a shopping 1" three stores 1in a shopping Ast ist Ast As cenlre
Slide 47: Re-designing: Re-marketing
RE-DESIGNING Re-marketing
Slide 48: UR Lab: conception and roll-out
ee? e@e URLab: e e@e ce BY UNIBAIL-RODAMCO ° °
Slide 49: UR Lab initiatives
UR LAB INITIATIVES SQuest 4 Star label het > Iconic Shop Fronts Sa a Liabinu typography 2) Digital Dream | ‘ ||| Parking Guidelines
Slide 50: And more to come: new destinations and services
… AND MORE TO COME + New destinations and services
Slide 51: Growth
GROWTH
Slide 52: Growth: Like-for-like
Like-for-like
Slide 53: Rosny 2 transformation
ROSNY 2 TRANSFORMATION BEFORE AFTER TIC: €20 Mn Sales growth post-opening(1) +1.9% Lfl YTD: +8.5% (1) Since opening of renovation (Dec-2015 – Mar-2016) vs. same period previous year (Dec-2014 – Mar-2015)
Slide 54: Re-tenanting at Rosny 2
RE-TENANTING AT ROSNY 2 New brands since 2013 TBC
Slide 55: Euralille transformation
EURALILLE TRANSFORMATION BEFORE AFTER TIC: €70 Mn Sales growth post-opening(1) +7.3% (1) Since opening of renovation (Jun-2015 – Mar-2016) vs. same period previous year (Jun-2014 – Mar-2015)
Slide 56: Re-tenanting at Euralille
RE-TENANTING AT EURALILLE New brands since 2013
Slide 57: Growth through extensions
through extensions
Slide 58: Täby Centrum transformation
TÄBY CENTRUM TRANSFORMATION BEFORE AFTER TIC: €320 Mn Sales growth post-opening(1) +21.1% (1) Since opening of last phase (Apr-2015 – Mar-2016) vs. same period previous year (Apr-2014 – Mar-2015)
Slide 59: Re-tenanting at Täby Centrum
RE-TENANTING AT TÄBY CENTRUM New brands since 2013
Slide 60: Growth through new developments
through new developments
Slide 61: Mall of Scandinavia
MALL OF SCANDINAVIA OUTSIDE INSIDE TIC: €657 Mn 7.3 Mn visits in the 1st 6 months
Slide 62: Customer experience at Mall of Scandinavia
CUSTOMER EXPERIENCE AT MALL OF SCANDINAVIA
Slide 63: Mall of Scandinavia – Home of the flagships
MALL OF SCANDINAVIA – HOME OF THE FLAGSHIPS 1st Lego in Sweden 1st Superdry in Sweden 1st Pull&Bear in Sweden Swedish Flagship H&M Swedish Flagship Bose 1st COS in a shopping centre in Sweden Swedish 1st Disney Store in Sweden 1st & Other Stories Flagship Michael in a shopping centre in Sweden Kors
Slide 64: Revenues generated through development
REVENUES GENERATED THROUGH DEVELOPMENT Retail development NRI at 100% (2013-2015) Revaluation expected in 2016 For illustrative purposes only. Not a forecast
Slide 65: Pipeline
PIPELINE
Slide 66: Extensions & renovations 2016-2020
EXTENSIONS & RENOVATIONS 2016-2020 Forum des Halles Chodov Carré Sénart Parly 2 Glòries 2016 2017 Aupark Velizy 2 Leisure extension The Spring Maquinext Shopping City Süd 2018 2019 2020 TIC: €2,067 Mn – NRI: €145-165 Mn For illustrative purposes only. Not a forecast
Slide 67: New developments 2016-2020
NEW DEVELOPMENTS 2016-2020 Wroclavia Palma Springs 2017 2018 Val Tolosa 3 Pays 2018 2020 TIC: €1,508 Mn – NRI: €106-121 Mn For illustrative purposes only. Not a forecast
Slide 68: Offices
OFFICES
Slide 69: Three years of successful deliveries
THREE YEARS OF SUCCESSFUL DELIVERIES Jan. 2013 Sept. 2014 July 2014 May 2015 33,252 m² 17,226 m² 65,565 m² 40,798 m² IRR*: 10% IRR*: 22% Expected IRR* > 10% Expected IRR* > 10% * Pre-tax, pre-leverage
Slide 70: Standing assets in motion
STANDING ASSETS IN MOTION H1-2016 H2-2018 GLA: 13,772 m2 GLA: 43,869 m2 TIC: €29 Mn TIC: €140 Mn
Slide 71: Iconic developments
ICONIC DEVELOPMENTS H2-2018 Post 2020 Post 2020 GLA: 48,693 m2 GLA: 90,366 m2 GLA: 85,140 m2 TIC: €310 Mn TIC: €629 Mn TIC: €521 Mn
Slide 72: Increased growth profile...
INCREASED GROWTH PROFILE... From +5% to +7% Ke)
Slide 73: ...But sustainable growth
… BUT SUSTAINABLE GROWTH Best scores 2015 “Global sector leader” UR for Jobs in 5 countries Connecting disadvantaged 96% of retail assets certified Best score worldwide youth with jobs in Group’s rated ≥ Excellent within the retail sector centres
Slide 74: Programme of the Investor Days
PROGRAMME OF THE INVESTOR DAYS Unibail-Rodamco in the Nordics Mall of Scandinavia Convention & Exhibition IR and M&A Human Resources Offices Digital Strategy Development Lars-Åke Tollemark Olivier Bossard Jaap Tonckens Bruno Donjon Michel Dessolain Astrid Panosyan Jean-Marie Tritant
Slide 75: www.unibail-rodamco.com
unibail-rodamco www.unibail-rodamco.com