Gav-yam Lands Corp. Ltd · TASE:GVYM
Gav-yam Lands — Investor Presentation (December 2024)
74 slides from Gav-yam Lands's investor presentation, Dec 31, 2024
Slide 1: Presentation for the Capital Market Yearly Summary
PRESENTATION FOR THE CAPITAL MARKET YEARLY SUMMARY 1
Slide 2: The world's largest tech companies choose Gav-Yam
The world’s largest tech companies choose Gav-Yam Total area 300,000 m2, total revenue ILS 340 million Revenue from these customers constitutes 35% of Gav-Yam’s representative revenue* * After completion of projects under development 2
Slide 3: Israel's largest defense companies choose Gav-Yam
Israel’s largest defense companies choose Gav-Yam KRATOS GENERAL MICROWAVE Microwave Electronics Division KRATOS GENERAL MICROWAVE Microwave Electronics Division Total area 82,000 sqm Total revenue ILS 65 million Revenue from these customers constitutes 6% of Gav-Yam’s representative revenue* * Afte
Slide 4: 5 major deals in the shadow of war
5 major deals in the shadow of war Agreements executed for projects under development GOOGLE GOVERNMENT COMPLEX DRIVENETS GENERAL MICROWAVE TECH COMPANY TOHA 2 GAV-YAM HEBREW CAMPUS GAV-YAM RAANANA PARK GAV-YAM HEBREW CAMPUS GAV-YAM REHOVOT PARK #5 ABOVEGROUND AREA ABOVEGROUND AREA ABOVEGROUND AREA
Slide 5: The Google transaction
The Google transaction TOHA 2 Tenant 70 Aboveground leased area 60,000 sqm Annual revenue ILS 115 million 42 (shell-and-core level) Date of completion of the project Q4 2026 Data for 100% (Gav-Yam’s share 50%) 5
Slide 6: Main activity
Main activity Acquisition of residential activity from Property and Building Corp. Acquisition of projects for residential: Dafna - Tel Aviv Ramat Verber Project - Petach Tikvah Hannah Szenes and Hashaked - Kiryat Ono 550 total residential units (company share) * Simulation for illustrative purposes
Slide 7: About Gav-Yam (Jan-Sep 2024)
Main activity About Gav-Yam (Jan-Sep 2024) 1.2 million sqm 320,000 sqm 1.5 million sqm 440,000 sqm Building rights available income-generating come- areas areas under development income-generating ncome- areas for construction of income- + under development generating properties ILS 718 million ILS
Slide 8: About Gav-Yam (as of Dec 2024)
Main activity About Gav-Yam (as of 31 Dec 2024) ILS 3.6 billion ILS1.3 billion 4.9 billion revenue backlog from leases not including properties revenue nue backlog back from executed agreements ILS forecast of revenue backlog from leases for income- generating properties + executed 360 clients under
Slide 9: About Gav-Yam (as of Dec 2024)
Main activity About Gav-Yam (as of 31 Dec 2024) ILS 407 million FFO for shareholders per ILS 478million net profit for ILS 477 million cashflow from 57.0% leverage management approach* shareholders current activity 95% occupancy rate 1.77% effective weighted ILS 0.8 billion liquid assets ILS 515 mil
Slide 10: Main activity
Main activity Real increase in rent 2024 115 lease agreements for a total area renewal contract of 133,000 sqm aboveground, 12% real increase generating ILS 110 million per year, 40% with a real increase, in excess of the index increase (and offsetting TI) of 9.1%. (Negotiations with 63% of tenants
Slide 11: Project completion – 2024: Raanana
Main activity Project completion – 2024 RAANANA Area 40,000 sqm 33,000 sqm underground Total 51,000 sqm (company’s share) Annual revenue ILS 32 million (company’s share) occupancy 58% October 2024 11
Slide 12: Project completion – 2024: Holon Building #3
Main activity Project completion – 2024 Holon Building #3 e te d to Area Mark C o m p l ex e n t 20,000 sqm Governm 14,000 sqm underground Annual revenue ILS 18.5 million Fully marketed 12
Slide 13: Project completion – 2024: Haifa Bay #5
Main activity Project completion – 2024 Haifa Bay #5 ar k e te d Area M 8,000 sqm A l m o g to Annual revenue ILS 4.9 million Fully marketed * Simulation for illustrative purposes only 13
Slide 14: Under development as of Dec 2024
Main activity Under development as of 31 Dec 2024 7 projects under development, total area 320,000 sqm, total investment ILS 3.9 billion (ILS 3.1 billion without land), which derive ILS 310 million in additional representative annual revenue. Projected return from these projects 7.9%. Upon completio
Slide 15: NOI Jan-Dec 2024
Main activity NOI Jan-Dec 2024 NOI 740-760 1-12.2024 1-12.2023 Increase % change 692 NOI 692 657 35 5% 657 *figures in ILS millions Projected NOI for 2025 ILS 740-760 million* 2023 2024 Forecast 2025 * Annualized per Q4 2025. 15
Slide 16: FFO Jan-Dec 2024
Main activity FFO Jan-Dec 2024 FFO per management 1-12.2024 1-12.2023 Increase % change approach FFO 415-425 PER MANAGEMENT APPROACH 407 401 6 1% 401 407 FFO PER ISRAEL SECURITIES 258 270 )12( )4%( AUTHORITY *figures in ILS millions Projected FFO (per management approach) for 2025 ILS 415-425 millio
Slide 17: Debt Raising
Debt Raising In 2024, the company and its subsidiaries raised ILS 2.2 billion in debt, with a weighted avg. duration of 3.8 years, at a weighted avg. interest rate of 3.0%, linked to the consumer price index. ILS 300 million ILS 743 million 1.585% index-linked interest 3.34% index-linked interest Ga
Slide 18: Sustainability
Sustainability Gav-Yam Rehovot #5 Gav-Yam Negev #5 TOHA Matam East Energy centers Green construction PV installations Natural gas connection Water recycling EV charging Renewable energy Renewable energy Renewable energy Renewable energy Renewable energy on all Gav-Yam sites on all Gav-Yam sites on a
Slide 19: PV installations
PV installations Number of System Construction Representative Revenue forecast Annual System status systems capacity (MW) cost (ILS millions) annual revenue 2025 (ILS million) return (ILS million) Income-generating 31 Dec 2024 52 9.6 42.1 6.2 6.2 14.8% In stages of development 19 4.9 16.9 2.8 1.4 16
Slide 20: Financial Data
F I NAN CI AL FINANCIAL DATA D ATA *ההדמיה להמחשה בלבד
Slide 21: Financial data 2024
Financial data 2024 (ILS millions) 802 757 692 657 636 611 499 478 436 397 401 407 270 258 REVENUE FROM NOI SAME PROPERTY INCREASE NET PROFIT FOR FFO FOR FFO FOR LEASED PROPERTY NOI IN FAIR VALUE SHAREHOLDERS SHAREHOLDERS SHAREHOLDERS PER AND MANAGEMENT OF INVESTMENT PER MANAGEMENT ISRAEL SECURITIES
Slide 22: Growth in NOI
Growth in NOI (ILS millions) 740-760* 114% 692 l i o n 657 3 69 mil ILS 522 555 490 516 441 406 430 377 349 323 333 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Forecast 2025 * Annualized per Q4 2025 22
Slide 23: Growth in FFO for shareholders
Growth in FFO for shareholders Per management approach (ILS millions) 415-425* 201% 401 407 i l l i o n 72 m ILS 2 313 253 231 240 199 187 159 170 135 132 132 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Forecast 2025 * Annualized per Q4 2025. 23
Slide 24: Shareholder equity
Shareholder equity (ILS millions) 208% 4,515 4,205 3,976 i l l i o n 3,611 ,051 m ILS 3 2,710 2,774 2,347 2,444 1,965 1,748 1,505 1,591 1,464 150 150 110 120 150 180 180 200 200 260 570 275 305 31.12.2102 31.12.2013 31.12.2014 31.12.2015 31.12.2016 31.12.2017 31.12.2018 31.12.2019 31.12.2020 31.12.2
Slide 25: Distribution of real estate value for investment
Distribution of real estate value for investment )ILS 15,246 million( 19% As of 31 Dec 2024 2,915 Real estate under construction 77% 4% * 11,532 605 0 Income-generating Land real estate Real estate value for investment as of 1 Jan 2013 ILS 4,532 million 25
Slide 26: Financial strength
Financial strength Change in weighted capitalization relative to change As of 31 Dec 2024 in weighted interest of company 7.45% Weighted capitalization rate 7.38% Weighted avg. effective interest, index linked Marginal cost of capital 3.34% for debenture series K, avg. duration 4 years, as of 1 Jul
Slide 27: Gross financial debt
Gross financial debt )ILS 8,656 million( As of 31 Dec 2024 1.77% weighted avg. effective 25% fixed ILS interest, index-linked 2,131 3.2 year weighted weight avg. 75% index linked 6,526 duration 27
Slide 28: Debt principal repayment schedule
Debt principal repayment schedule (ILS millions) As of 31 Dec 2024 1,759 1,530 1,063 974 706 706 522 522 522 274 78 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 28
Slide 29: Financial data
Financial data (ILS millions) Consolidated 1-9/2024 1-9/2023 [% change] NOI 514 489 5 Same property NOI 475 457 4 Fair value increase of investment real estate 357 430 )17( Cashflows from current activity* 453 443 2 FINANCING COSTS, NET** 234 189 24 Tax costs 89 118 )25( Net profit for shareholders*
Slide 30: Financial data
Financial data (ILS millions) Consolidated 31/12/2024 31/12/2023 Liquid Assets 757 1,006 Fair value of investment real estate of 15,246 13,988 Real estate under construction 2,574 2,398 Land 663 608 Income-generating real estate 12,009 10,982 Other properties 926 433 Total assets 16,929 15,427 30
Slide 31: Financial data
Financial data (ILS millions) Consolidated 31/12/2024 31/12/2023 Financial debt, gross 8,656 7,911 Other liabilities 577 334 Reserve for deferred taxes 1,749 1,666 Equity attributed to shareholders 4,515 4,205 Non-controlling rights* 1,432 1,311 Total equity and liabilities 16,929 15,427 * Share att
Slide 32: Financial data
Financial data (ILS millions) Consolidated % change from 31/12/2024 31/12/2023 2023 to 2024 Investment real estate 15,246 13,988 9 Net financial debt 7,899 6,905 14 Leverage 57.0% 55.6% 3 Shareholder equity 4,515 4,205 7 32
Slide 33: Financial data
Financial data (ILS millions) Standalone extended* 1-12/2024 1-12/2023 % change NOI 553 533 4 Same property NOI 512 493 4 Fair value increase of investment real estate 294 303 )3( Net financing expenses* 240 203 18 Tax expenses 91 103 )12( Net profit 478 499 )4( FFO to shareholders per management ap
Slide 34: Financial data
Financial data (ILS millions) Standalone extended* 30/12/2024 31/12/2023 Liquid assets 661 892 Fair value of investment real estate of which: 12,880 11,785 Real estate under construction 2,463 2,230 Land 513 458 Income-generating real estate 9,904 9,097 Other properties 888 383 Total assets 14,429 1
Slide 35: Financial data
Financial data (ILS millions) Standalone extended* 30/12/2024 31/12/2023 Gross financial debt 8,099 7,404 Other liabilities 406 99 Reserve for deferred taxes 1,409 1,352 Equity 4,515 4,205 Total capital and liabilities 14,429 13,060 * Standalone extended = share attributed to shareholders (Matam 50.
Slide 36: Income-Generating Properties
IINCOME- NCO M E- GENERATING G E N E R ATI NG PROPERTIES P R OPE RTI ES 36
Slide 37: High-Tech Parks
19 HAIFA AFULA TIRAT HACARMEL HIGH-TECH -TECH PARKS P CAESAREA logistics and industry RAANANA 16 HERZLIYA TEL AVIV HOLON BEER YAAKOV LOD NESS ZIONA MODI'IN cities REHOVOT JERUSALEM YAVNE 95% occupancy cupancy rrate BEER SHEVA 37
Slide 38: Material properties – Tel Aviv – TOHA
Material properties – Tel Aviv – TOHA 89,000 sqm income-generating properties, 205,000 sqm properties under development, total 294,000 sqm* * Simulation for illustrative purposes only * company share 50% 38
Slide 39: Material properties – Gav-Yam Herzliya
Material properties – Gav-Yam Herzliya 250,000 sqm income-generating properties, 60,000 m2 properties under development, total 310,000 sqm* Hahoshlim * Figures include all company properties in Herzliya 39
Slide 40: Material properties – Gav-Yam Herzliya
Material properties – Gav-Yam Herzliya 250,000 sqm income-generating properties, 60,000 m2 properties under development, total 310,000 sqm* * Figures include all company properties in Herzliya *Simulationforillustrativepurposesonly 40
Slide 41: Material properties – Matam Park
Material properties – Matam Park 377,000 sqm income-generating properties, 57,000 m2 properties under development, total 434,000 sqm* * Simulation for illustrative purposes only 41
Slide 42: Scope of area
Scope of area Thousands sqm 109% m en t ( 1,502 vel o p e r de m 2 u nd 5,0 0 0 1,197 )78 1,071 1,153 1,015 1,016 976 873 900 840 858 789 717 739 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Forecast 2025 * After realization of properties on an area totaling 140,000 m2 42
Slide 43: Income-generating property value
Income-generating property value )ILS 12,009 milion( 6.8% avg. rate of return 1.2 million sqm ILS 2,302 million 19% Logistics and 6.2% avg. rate of return industry ILS 9,124 million* 261,000 sqm 6.8% avg. rate of return ILS 583 million 879,000 sqm 8.0% avg. rate of return 5% 57,000 sqm retail 76% hi
Slide 44: Projects in development
Projects in development Projects under development 320,000 m2 consolidated, total investment of ILS 3.9 billion. Matam East Towers #3 43,000 sqm Server Farm 14,000 sqm (at MW10 supply) 3% marketed 100% marketed Haifa TOHA 2 101,000 sqm 38% marketed Herzliya Gav-Yam O2 61,000 sqm Gav-Yam Park Rehovot
Slide 45: Projects in development
Projects in development 58% of total aboveground areas of projects under construction have been marketed Jan-Dec 2024 Annual Rate of Revenue for Construction Above- Parking Holding Other costs as representative marketed marketed Completion Consolidated Total Total costs (including ground lot rate of
Slide 46: Projects in development
Projects in development 58% of total aboveground areas of projects under construction marketed (ILS millions) Standalone Construction Annual Rate of Revenue for extended Above- Balance of costs representative marketed marketed Completion • ground Parking lot Total costs (including land) as of 31 Dec
Slide 47: Segmented NOI from existing income-generating properties
Segmented NOI from existing income-generating properties ILS 692 million Jan-Dec 2024 ILS 229 million 33% 35% ILS Otherr 240 ● Matam Park 67% million Matam Park ● Gav-Yam Herzliya ● ToHa 24% 8% ToHa1 To a1 Gav-Yam Gav-Yam Herzliya ILS ILS 54 169 million million 47
Slide 48: Segmented projected NOI from projects under development
Segmented projected NOI from projects under development ILS 308 million per year of which ILS 170 million in executed contracts ILS48 ILS 23 million 16% (of which ILS 38 million marketed) 7% million (of which ILS 16 million marketed) Gav- v-Yam am Other* Other Hebrew Campus 46 13% 41 ILS ILS million
Slide 49: Segmented projected NOI after completion of projects
Segmented projected NOI after completion of projects under development ILS 1.1 billion per year )1.5 million sqm( ILS 360 million ● Matam Park ILS 33% ● Gav-Yam Herzliya ● ToHa 62% 210 19% million Other* Other Gav- v-Yam am ILS Herzliya Gav-Yam Hebrew Campus 5% 50 million ILS 18% ToHa 25% Matam Park
Slide 50: Hebrew Campus – 80% marketed
HEBREW CAMPUS 80% marketed Area 88,000 sqm (58,000 sqm company’s share) of which 56,000 sqm aboveground (37,000 sqm company’s share) KRATOS GENERAL MICROWAVE Microwave Electronics Division Completion date Q1 2025 Building #1 Building #2 Total cost ILS 739 million NOI ILS 48 million Return 6.5% * Sim
Slide 51: Hebrew Campus construction progress
HEBREW CAMPUS CONSTRUCTION PROGRESS Building #1 Building #2 JANUARY 2025 51
Slide 52: Negev 5
NEGEV 5 23% marketed Area 15,000 sqm Completion date Q2 2025 Total cost ILS 117 million NOI ILS 9 million Return 7.9% Figures 100% (Gav-Yam share 73.25%) * Simulation for illustrative purposes only 52
Slide 53: Negev construction progress
NEGEV 5 CONSTRUCTION PROGRESS JANUARY 2025 53
Slide 54: Rehovot
REHOVOT marketed 100% to Building #5 international tech company Area 39,000 sqm (28,000 sqm company’s share) Of which 24,000 sqm (17,000 sqm company’s share) Completion date Q2 2025 Total cost ILS 209 million NOI ILS 14 million Return 6.7% * Simulation for illustrative purposes only 54
Slide 55: Rehovot construction progress
REHOVOT CONSTRUCTION PROGRESS JANUARY 2025 55
Slide 56: Gav-Yam O2 Herzliya
100% marketed to international tech company Area 60,500 sqm Of which 38,500 sqm aboveground“ Completion date Q2 2026 Total cost ILS 714 million NOI ILS 46 million Return 6.4% After completion of campus project, will include 116,000 sqm * Simulation for illustrative purposes only 56
Slide 57: Construction progress
Construction progress 24 JANUARY 2025 57
Slide 58: Matam East Towers #3
MATAM Matam East #3 Matam East Towers #3 Area 42,500 sqm of which 29,500 sqm aboveground Completion date Q4 2026 Total cost ILS 339 million NOI ILS 30 million Return 8.9% * Simulation for illustrative purposes only 58
Slide 59: Matam construction progress
MATAM Construction progress JANUARY 2025 59
Slide 60: TOHA 2
38% marketed to Area 201,000 sqm of which 156,000 sqm aboveground Completion date Q4 2026 Total cost ILS 3.3 billion NOI ILS 300 million Return 9.1% Figures are 100% (Gav Yam’s share 50%) * Simulation for illustrative purposes only 60
Slide 61: Construction progress
Construction progress 70 42 January 2025 61
Slide 62: TOHA #2 and acquisition of bordering properties
TOHA #2 Gav-Yam and Amot are TOHA #3 purchasing properties bordering the ToHa complex in order to further develop and increase building rights TOHA #1 in the complex for purposes of constructing ToHa #3. * Simulation for illustrative purposes only OCTOBER 2024 62
Slide 63: Server Farms
SERVER FARMS Area 13,500 sqm 100% marketed Completion date Q3 2027 Total cost ILS 150 million NOI ILS 11 million *ההדמיה להמחשה בלבד * Simulation for illustrative purposes only 63
Slide 64: Projects at planning and licensing stages
Projects at planning and licensing stages Haifa Total 120,000 m2 Herzliya North Western Building #116,000 sqm 10,000 sqm aboveground Herzliya Matam Park Central #1 16,000 sqm aboveground 10,000 sqm parking lot Gav-Yam Rehovot Park #6 Rehovot Gav-Yam Hebrew Campus #3 15,000 sqm aboveground Jerusalem
Slide 65: Gav-Yam Residential
G AV-YAM GAV-YAM RESIDENTIAL R E S ID E NTIAL 65 *ההדמיה להמחשה בלבד
Slide 66: Residential
Residential Acre Kiryat Yam #1+#2 - urban renewal ACO Haifa - Lot 8001 KIRYAT YAM Afula HAIFA AFULA Tel Aviv - Dafna Project - urban renewal Herzliya North - Micro Units HERZLIYA Tel Aviv - TOHA - lot 300 TEL AVIV PETAH TIKVA Petah Tikva - Ramat Verber KIRYAT ONO Urban Renewal HOLON REHOVOT Kiryat O
Slide 67: Residential
Residential Project/Town Building Plan Residential units (company’s share) Urban renewal – construction and Tel Aviv – Dafna – complex 505* 102 (incl. 21 rental units) marketing: Tel Aviv – Dafna – complex 501* 171 (incl. 35 rental units) Urban renewal - Tel Aviv – Dafna – complex 502* 88 (incl. 18
Slide 68: Residential
Residential Under construction Short term (1-2 years) Long term (5 years +) Complex 505 – Dafna Complex 501 – Dafna Kiryat Ono #1+#2 Herzliya North #1 Holon (parcel 21) Kiryat Ono #2 Old Rehovot ToHa – lot 300 Herzliya North #2 Holon (parcel 27) Lot 8001 (Matam) Projects Acre Complex 502 – Dafna Pet
Slide 69: Tel Aviv - Dafna Complex
TEL AVIV - DAFNA COMPLEX 505 units 232 of which 124 for sale, 76 for rights holders and 32 for rent Retail 300 sqm Projected revenue* ILS 845 million Projected expenses* ILS 710 million Projected profit ILS 135 million Projected profit, Gav-Yam’s share ILS 58 million** 44 apartments have been sold F
Slide 70: Herzliya Herzliya North #1
HERZLIYA Herzliya North #1 300 residential units Micro units of 50 sqm on average, a master plan is being prepared for publication for validation via detailed planning process. * Simulation for illustrative purposes only 70
Slide 71: Tel Aviv Lot 300
TEL AVIV LOT 300 Joint project with equal share between Gav-Yam and Amot Units 47 units (company’s share) * Simulation for illustrative purposes only 71
Slide 72: Tel Aviv - Dafna Complex
TEL AVIV - DAFNA COMPLEX 501 Units 391, of which 209 for sale, 128 for rights holders and 54 for rentֿ 99% execution rate Application for building permit submitted Figures 100% (Gav-Yam share 65%) * Simulation for illustrative purposes only 72
Slide 73: Kiryat Ono #2
KIRYAT ONO #2 Units 93 residential units (company’s share) A design plan has been approved and a building permit application has been submitted Future contingent rights that the company has not yet completed acquiring * Simulation for illustrative purposes only 73
Slide 74: Forward-looking information
Forward-looking information This presentation includes forecasts, assessments, estimates and other information relating to future events and matters, where there is uncertainty regarding the degree to which they might materialize and which are outside the company’s exclusive control (forward-looking
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