Mivne Real Estate (k.d) Ltd. · TASE:MVNE
Mivne Real Estate (k.d) — Investor Presentation (December 2023)
41 slides from Mivne Real Estate (k.d)'s investor presentation, Dec 31, 2023
Slide 1: Capital Market Presentation December 31 2023
Capital December 2023 31 Market Presentation 1
Slide 2: About
About One of Israel's leading real estate companies, operating in the development, acquisition, construction and management of properties for office, industrial, logistics, commercial and residential rental/sales uses. 1.65 Million m² Millions 0.3 Million m² Income Producingof Income Producing m² pr
Slide 3: About
About 2.4 Billion NIS 8.1 Billion NIS Cash and Equity attributed credit facilities to shareholders 8.0 Billion NIS 7.14% Value of Weighted Cap Rate for unpledged assets income producing properties in Israel 45.7% AA and Aa2 Debt to CAP ratio (net) Company rating by Maalot S&P and by Midroog Moody’s,
Slide 4: Activity in Israel
Activity in Israel 4 | Capital Market Presentation December 31 2023
Slide 5: All across Israel
all across Israel Metula Kiryat Katzrin Shmona Aniam Bnei Yessod Yehuda Hama’alah Ma’alot Machanayim Hatzor Shlomi Tarshicha Haglilit Menechemia Nahariya Alon Safed Tiberias 1.65 3,125 575 Tavor Beit She’an Tzippori Nof Yavniel Hagalil Kfar Tavor Migdal Ha’emek Karmiel Afula Nesher Segev GLA in Numb
Slide 6: Income producing properties in Israel
Income producing properties in Israel As of December 31, 2023 Including associated companies (expanded consolidated) Commercial 2.4 Industrial and Billion NIS (208,000 m², average occupancy logistics rate of 87.5%, average rent 73.5 NIS per m²) 4.9 Total Billion NIS (998,000 m², average occupancy ra
Slide 7: NOI in Israel
NOI in Israel (In Millions of NIS) Including solar energy NOI in Israel by segments +8% 763 Quarterly NOI in Israel +15% 11 709 15 13 196 13 189 192 280 183 186 186 263 176 Solar energy 164 Rental housing 162 Offices 290 323 Industrial and logistics Commercial 132 132 1-12/2022 1-12/2023 Q4/2021 Q1/
Slide 8: Same Property NOI in Israel
Same Property NOI in Israel (In Millions of NIS) Including solar energy NOI Same Property NOI Same Property by segments +12% +9% 745 192 189 15 182 182 11 684 177 178 11 12 169 267 162 Solar energy 160 240 Rental housing Offices Industrial and logistics 290 323 Commercial 131 129 Q4/2021 Q1/2022 Q2/
Slide 9: NOI and NOI SP in Israel
NOI and NOI SP in Israel (In Millions of NIS) Including solar energy Analysis of NOI and NOI SP growth NOI in Israel NOI SP in Israel 1-12/2022 709 684 Increase in CPI 37 36 Impact of war (4) (4) New rentals, increase in rents in leases’ renewals and management costs reduction, net 21 29 1-12/2023 7
Slide 10: FFO from income producing properties
FFO from income producing properties (In Millions of NIS) Quarterly FFO +52% +17% 157 148 150 152 142 144 603 132 544 123 122 460 396 404 2019 2020 2021 2022 2023 Q4/2021 Q1/2022 Q2/2022 Q3/2022 Q4/2022 Q1/2023 Q2/2023 Q3/2023 Q4/2023 Attributed to income producing properties in accordance with mana
Slide 11: FFO in accordance with Israel Securities Authority directives and Management's approach
FFO in accordance with Israel Securities Authority directives and Management’s approach (In Millions of NIS) 1-12/2023 1-12/2022 FFO according to Israel Securities Authority directives 404 292 Added – expense of CPI linkage differences on the debt principal and exchange rate differences 179 239 Real
Slide 12: FFO per share (In NIS)
FFO* per share (In NIS) +16% 0.202 0.208 0.196 0.198 0.188 0.191 0.176 0.164 0.160 Q4/2021 Q1/2022 Q2/2022 Q3/2022 Q4/2022 Q1/2023 Q2/2023 Q3/2023 Q4/2023 * Attributed to income producing properties in accordance with management's approach, regarding the FFO according to the Israel Securities Author
Slide 13: Actual Results in 2023
Actual Results in 2023 (In Millions of NIS) 2024 Forecast 2023 Actual 2023 Forecast 2022 Actual NOI 825-850 825 810-820 760 FFO attributed to income producing 610-630 603 590-600 544 properties* * Attributed to income producing properties in accordance with management's approach, regarding the FFO a
Slide 14: Projects under development and planning
Projects under development and planning 14 | Capital Market Presentation December 31 2023
Slide 15: Projects under development and planning
Projects under development and planning Under construction Built-up Mivne Tower Herzliya Mivne Tower Kfar Saba Kiryatech Stage B Yokneam Haifa Science and High-Tech Park Stage B Mivne Kiryat Gat Ofar Ofakim Mivne Towers Yigal Alon, Hasolelim, Tel Aviv Tel Aviv
Slide 16: Projects Under Development
Projects Under Development Project Name Location Use GLA Estimated Project’s Book Estimated Expected NOI (in m²) Completion Value as of Remaining Range Company’s Date 31.12.23 construction (Millions of Share (Millions of NIS) cost NIS) (Millions of NIS) Offices, Hasolelim Tel Aviv 68,300 Q1/2026 891
Slide 17: "Hasolelim" Project, Tel Aviv
"Hasolelim" Project, Tel Aviv Construction status Rendering Land area: Offices and retail Residential: Total estimated cost of Expected NOI 16.5 GLA 360 units offices and retail: 109-117 million NIS The company's expected dunams 68,300 m²: (Company’s share 1,312 Million NIS development profit from 2
Slide 18: Herzliya project
Herzliya project Construction status Rendering Land area: Offices and retail Residential: Total estimated Expected NOI 4 GLA: 103 units cost: 27-30 million NIS (office) dunams 24,300 m² 481 million NIS 8-9 million NIS (residential) 18 | Capital Market Presentation December 31 2023
Slide 19: Kfar Saba project
Kfar Saba project Construction status Rendering Land area: Offices and retail Total estimated Expected NOI 12 GLA: cost: 19-22 million NIS dunams 26,000 m² 261 million NIS 19 | Capital Market Presentation December 31 2023
Slide 20: "Science and High-Tech Park" project, Phase B, Haifa
"Science and High-Tech Park" project, Phase B, Haifa Construction status Rendering Built-up Under construction Land area: Offices and retail Total estimated Expected NOI 31 GLA: cost : 12 million NIS* dunams 14,000 m²* 157 million NIS* *Company's share of the project – 50% 20 | Capital Market Presen
Slide 21: Main projects under planning
Main projects under planning GLA Project (In m²) Book Value Project Name Location Use Planning Status Company’s as of 31.12.23 Share (Millions of NIS) Mivne Towers Yigal Alon, Offices, retail, 125,000 Tel Aviv 714 Plan approved for validation Tel Aviv (Hameitav) residential 400 resi units Town const
Slide 22: Main projects under planning (continued)
Main projects under planning (continued) Project GLA (in m²) Book Value as of Project Name Location Use Plannig Status Company’s Share 31.12.23 Focused development (Millions of NIS) plan for utilization of Kanfei Nesharim* Jerusalem Offices 15,000 8 Conditional permit the potential embodied issued.
Slide 23: Mivne Towers Yigal Alon Project, Tel Aviv (Hameitav)
Mivne Towers Yigal Alon Project, Tel Aviv (Hameitav) Rendering Rendering Land area: Offices and retail Residential: Status 13 GLA: 400 units Plan approved for validation dunams 125,000 m² 23 | Capital Market Presentation December 31 2023
Slide 24: Expected NOI growth
Expected NOI growth Projects under development, solar projects and assets not yet activated (In Millions of NIS) 1,104 +279 176 103 825 47 As of December 31 2023 40 56 16 0 0 16 2023 2024 2025 2026 2027 Growth until the beginning of the year Additional growth over the course of the year 24 | Capital
Slide 25: Rental residential
Rental residential (In Millions of NIS) +22% * The estimated market value 771 of residential units as of 633 December 31 2023 was calculated based on sales data for similar units in identical areas (without housing cluster and student dorms). Book Value as of December 31 2023 Estimated market value
Slide 26: Residential development
Residential development 2,411 676 Total units in Units under construction and construction planning stages Project/Location Planned Units Status Company’s Share Projected development profits not yet recognized (in millions of NIS) Hasolelim, Tel Aviv 360 Underway, 84 housing units sold so far 75% 35
Slide 27: Data Centers Activity
Data Centers Activity In 2022, the Company and Digital The partnership will express the The Partnership is developing its Realty (NYSE: DLR) established a advantages of Digital Reality, as the first data center in Petach Tikva, partnership in equal shares by the largest global provider of data cente
Slide 28: Solar energy
Solar energy Within the framework of its activity in the field of solar energy, the Company filed requests to arrange 301 solar energy systems on it’s owned buildings roofs. To date, ainstallation plan of 375 systems has been approved, of which 351 systems have been activated. The total expected yea
Slide 29: Projects Abroad
Projects Abroad 29 | Capital Market Presentation December 31 2023
Slide 30: Investment Properties Abroad
Investment Properties Abroad NOI from income Fair value (thousands producing properties Country Number of Properties Uses GLA in m² Occupancy rate of NIS) 1-12.2023 (Thousands of NIS) Income producing properties Offices, retail and Switzerland 2 56,220 93.3% 443,121 28,148 logistics Offices and shop
Slide 31: Financial data as of December 31 2023
Financial data asFinancial data of December 31 2023 as of December 31 2023 31 | Capital Market Presentation December 31 2023
Slide 32: Issue and redemption of debentures during 1-12/2023
Issue and redemption of debentures during 1-12/2023 In February 2023 the Company issued In February 2023 the Company In June 2023 the Company issued 1,163,191,000 NIS NV debentures executed, at its initiative, an full early 875,747,000 NIS NV debentures (Series (Series 25) by way of a series expansi
Slide 33: Main P&L Results
Main P&L Results (In Millions of NIS) 10-12.2023 10-12.2022 1-12.2023 1-12.2022 Rental and management fee income 263 252 1,049 969 Total revenues 296 277 1,194 1,034 Gross profit 212 208 874 777 Revaluation of investment property (218) 319 (62) 1,347 and real estate under development Operating profi
Slide 34: Main balance sheet data
Main balance sheet data (In Millions of NIS) 31.12.2023 31.12.2022 Cash and cash equivalents 923 179 Investment property, under development and advance 15,202 14,725 payments Investments in associated companies 533 501 Financial liabilities, including debentures 7,831 6,602 Deferred taxes 1,839 1,79
Slide 35: EPRA NAV
EPRA NAV (In Millions of NIS) 31.12.23 31.12.2022 Equity attributable to company shareholders 8,054 7,985 Plus deferred taxes for land 2,337 2,316 EPRA NAV 10,391 10,301 Number of shares (thousands of shares) 755,388 754,870 EPRA NAV per share (in NIS) 13.8 13.6 35 | Capital Market Presentation Dece
Slide 36: Expected principal redemptions
Expected principal redemptions (In Millions of NIS) Value of Value of Value of Value of Value of Value of Value of Collateral Collateral Collateral Collateral Collateral Collateral Collateral 712 545 1,298 1,483 832 - 413 205 2047 1,160 1,238 54 1,139 0 Weighted 39 801 811 Interest Rate for Redempti
Slide 37: Average Company's debt interest rate in Israel and margin versus Cap Rate
Average Company’s debt interest rate in Israel and the margin versus the average weighted Cap Rate deriving from income producing properties 7.50% 7.28% 7.05% 6.95% 7.14% Average Average Average Average Average Cap Rate Cap Rate Cap Rate Cap Rate Cap Rate 4.27% 4.57% 4.77% 4.82% 4.83% 3.39% 3.16% 3.
Slide 38: Dividend Distributions
Dividend Distributions (In Millions of NIS) 2023 2022 2021 2020 Dividends paid to the Company 287 255 205 90 shareholders The Company has a dividend distribution policy for 2023 totaling 260 million NIS but not exceeding 50% of the Company’s total annual FFO. 38 | Capital Market Presentation Decembe
Slide 39: Summary
Summary Geographic and Segment Growth and Betterment Financial Strength Diversification Potential • 1.65 million m² of income producing • Equity of 8.1 billion NIS. • 6 projects under development leasable area in Israel. • Low leverage with a net debt to and under construction of total • 575 propert
Slide 40: Disclaimer
DISCLAIMER This presentation was prepared by Mivne Real Estate (K.D.) Ltd. and does not constitute a proposal to buy or sell Company securities or a proposal to receive such offers and is intended to provide concise information only. The information presented does not serve as basis for making inves
Slide 41: Thank You
Thank You Mivne Real Estate (K.D.) Ltd. 7 Totzert Ha’aretz, Tel Aviv *9212 / 03-9070188 www.mivnegroup.co.il 41
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