Gdi Property Group · ASX:GDI
Gdi Property — Bell Potter Foundations Property Conference 2024
25 slides from Gdi Property's conference presentation, Oct 17, 2024
Slide 1: Bell Potter Conference Presentation
ASX ANNOUNCEMENT 17 OCTOBER 2024 BELL POTTER CONFERENCE PRESENTATION GDI1 is pleased to issue the attached presentation which is to be delivered to the Bell Potter Foundations Real Estate Conference today. Media Enquiries: Stephen Burns David Williams Managing Director Chief Financial Officer For pe
Slide 2: GDI Presentation For Bell Potter Foundations Property Conference 2024
GDI Presentation For Bell Potter Foundations Property Conference 2024
Slide 3: For personal use only
This presentation has been prepared and issued by GDI Property Group Limited (ACN 166 479 189) and GDI Funds Management Limited (ABN 34 107 354 003, AFSL Number 253 142) as responsible entity of GDI Property Trust (ARSN 166 598 161). Shares in GDI Property Group Limited are stapled to units in GDI P
Slide 4: Acknowledgement of Country
Acknowledgement of Country GDI acknowledges and pays respect to the past, present and future Traditional Custodians and For personal use only Elders of this nation and the continuation of INTRODUCTION FINANCIAL SNAPSHOT HOW WE CREATE VALUE cultural, spiritual and educational practices of Aboriginal
Slide 5: GDI represents
GDI represents > Office building total return specialist > Perth exposure – Core CBD > Syndication funds business origins > Co-living JV and car parks and car yards exposure Our point of difference > Small team (c. 1 person per $26m of market cap) For personal use only > Active with key skills in le
Slide 6: Financial Snapshot
˃ Well within policy of sub 40% ˃ LVR of 40.6% (covenant of 50%) SHARE PRICE and ICR of 2.0X (covenant 1.5X) on the syndicated facility GEARING ˃ High levels of interest rate MARKET CAP protection, but ability to participate in any interest rate reductions For personal use only ˃ All assets were ind
Slide 7: How We Create Value
For personal use only How We Create Value 6 The GDI Business Model
Slide 8: Property Portfolio Overview
For personal use only Property Portfolio 7 Overview
Slide 9: Key Statistics
Weighted average lease expiry as at 30 June 20241 Key Statistics as at 30 June 2024 100% Occupancy1 87.2% WALE1 5.39 years Weighted average capitalisation rate2 6.63% 80% Average value psm3 For personal use only $8,019 Total NLA (sqm)2 126,840 60% 1. Excludes 1 Mill Street but includes the showrooms
Slide 10: Diversified Tenant Base, Underpinned by Government Covenant
GDI Occupied Area (Wholly Owned) as at 30 June 2024 Primus Telecommunications Pty Ltd - 1.22% 100% Princebrook Pty Ltd - 1.22% Laing O'Rourke Australia - 1.22% 90% Insight Enterprise - 1.22% For personal use only Paladin Energy - 1.22% Yangibana / Hastings - 1.22% 80% Virgin Australia - 1.26% Navita
Slide 11: Delivering on Strategy
> Leased or renewed over 37,000sqm of office space, including all but filling both Westralia Square and WS2, most notably with a combined 16,347sqm lease and lease extension to the Minister of Works for over 10 years at Westralia Square > Completed additional leasing in industrial and retail and seg
Slide 12: Our Scorecard
> Renewed the Board by appointing two new highly qualified Directors following the retirement of Gina Anderson in April 2024 > Successfully navigated the first full year of operations of the Co-living JV, making a small additional acquisition and achieving our return expectations > 20% return on cap
Slide 13: Subsequent to 30 June 2024: Leasing Momentum Continues
Leasing Momentum Continues > Signed over 5,000m2 of office leases and HOA's since year end > Signed HOA over industrial lease for over 10,000m2 > Leasing momentum continues with active office enquiry and engagement across portfolio > Relentless focus on leasing outcomes Spec Fitout Strategy For pers
Slide 14: Subsequent to 30 June 2024
Register Changes > Left the REIT 300 Index > Welcomed a number of new shareholders, in particular one large small cap investor with c. 7.4% > Turnover of various index and quant related funds, providing greater stability For personal use only Board Changes Finalised > John Tuxworth retired and Patri
Slide 15: Perth Market Key Trends
> Positive net absorption continues +12,000sqm Q2, 2024 and 2,860sqm Q3, 2024 > Overall vacancy of 15.7% > Last twelve month A grade absorption of +74,000sqm compared to only 2,252sqm in Premium, reflecting shift in dynamic from ‘flight to quality’ to ‘flight to value’ > Leasing activity levels are
Slide 16: WA Economy
GSP Growth Population Growth GROSS STATE PRODUCT PROJECTED TO 2031 AVG. OVER 4 YEARS Gross State Product (GSP) growth Total population to increase by 11% to forecast to average 1.8% over the next 3.2 million people through 2031. four years. For personal use only Exports Infrastructure Spend % OF AUS
Slide 17: Net Absorption
The Perth market has been the strongest performing office market over the last two years to 30 June 2024 120.0 100.0 80.0 34.87* For personal use only 60.0 40.0 20.0 (,000sqm) 67.77 78.42 73.83 0.0 -87.99 -61.46 -20.0 -40.0 -60.0 -80.0 -100.0 Adelaide CBD Brisbane CBD Melbourne CBD Perth CBD Sydney
Slide 18: Perth CBD enquiry, utilisation and supply
Perth CBD Enquiry Volume Perth CBD 500+ sqm Deals – Size Change Volume (Sqm) Number (RHS) Expansion No Change Reduction 140,000 160 60 120,000 140 50 12 20 16 120 40 14 100,000 100 30 80,000 9 For personal use only 80 20 43 33 35 37 60,000 6 60 10 18 40,000 11 40 0 -2 -4 -8 -7 -4 -5 20,000 20 (10) 0
Slide 19: Property Division FFO higher than previous corresponding period
Property Division FFO1 higher than previous corresponding period > FFO contribution from Westralia Square and WS2 of $23.7 million, up from $18.1 million from the prior year > Contribution from both assets will continue to grow as leases commence at WS2 > At Mill Green, FFO contribution was lower at
Slide 20: Debt facilities
As at 30 June 2024, Principal Facility drawn to $347.3 million with undrawn debt of $49.1 million 30 June 2024 Maturity Facility Utilised Unutilised Secured Date $’000 $’000 $’000 Syndicated Facility Tranche A Yes December 2026 346,500 322,331 24,169 A combination of interest rate caps and swaps pro
Slide 21: Property Portfolio
For personal use only Westralia Square, Perth WS2, Perth 197 St Georges Tce, Perth 5 Mill Street, Perth Valuation Date 31 December 2023 31 December 2023 31 December 2023 31 December 2023 Valuation ($m) 379.0 94.0 205.0 54.0 Carrying Value ($m) 385.2 99.1 209.5 53.9 NLA (sqm) 32,618.7 9,472.6 26,126
Slide 22: Property Portfolio
For personal use only 1 Mill Street, Perth 180 Hay Street, Perth Murray Street, Perth 301-311 Wellington Street, Perth 3 Valuation Date 31 December 2023 31 December 2023 31 December 2023 31 December 2023 Valuation ($m) 38.3 18.8 42.9 24.4 Carrying Value ($m) 38.3 18.8 43.1 24.4 NLA (sqm) 6,648 4,927
Slide 23: Property Portfolio
For personal use only Autoleague WA Stanley Place, Townsville Valuation Date 31 December 2023 2 April 2024 Valuation ($m) 140.57 43.50 Carrying Value ($m) 140.50 43.50 NLA (sqm) n/a 12,820 Value ($/sqm) - 3,393 Discount Rate (%) 7.263 8.50 Capitalisation rate (%) 6.443 8.00 Occupancy1 (of NLA) (%) 1
Slide 24: Unlisted funds updates
GDI No. 43 Property Trust GDI No. 36 Perth CBD Office Trust Council approval to remove both the road Lease transactions with existing tenants has reduced easement and the fixed term right of use provides short-term expiry risks IKEA with the opportunity for long-term tenure and Capital support from
Slide 25: For personal use only
For personal use only
GDI Property Group — Bell Potter Foundations Property Conference 2024 on 6ix