Stendoerren Fastigheter Ab Class B · OMXSTO:STEF_B
Stendoerren Fastigheter Ab Class B — Stendörren Fastigheter — Q4 2024 Earnings Presentation
31 slides from Stendoerren Fastigheter Ab Class B's earnings presentation, Feb 18, 2025
Slide 1: Fourth Quarter 2024
FOURTH QUARTER 2024 STENDÖRREN
Slide 2: Snapshot of Stendörren
SNAPSHOT OF STENDÖRREN PROPERTY TYPE (by rental income) GEOGRAPHY (by rental income) LIGHT INDUSTRY Warehouse and logistics, 36% Stockholm municipality, 27% LOGISTICS Rest of Stockholm, 29% Light industrial, 43% WAREHOUSE Office, 17% Rest of Mälardalen, 32% Gothenburg region, 2% Retail, 4% RESIDENTI
Slide 3: Stendörren history in short
STENDÖRREN HISTORY IN SHORT PROPERTY VALUE 2024 PROPERTY VALUE 2023 PROPERTY 14.3 VALUE 2022 BN PROPERTY 12.6 BN PROPERTY VALUE 2021 12.4 160 BN PROPERTIES PROPERTY VALUE 2020 11.7 151 BN PROPERTIES VALUE 2019 9.5 148 PROPERTY VALUE 2018 8.9 BN 135 PROPERTIES 2024 PROPERTY VALUE 2017 8.4 BN 123 PROP
Slide 4: 4 reasons to invest in Stendörren
4 REASONS TO INVEST IN STENDÖRREN 1. 2. STABLE CASH FLOW SUSTAINABLE GROWTH • High yielding asset class • Growth locations - Greater Stockholm and Mälardalen region • Long leases • Rent levels increase in urban locations – increasing demand • Diversified tenant base and stable / decreasing supply •
Slide 5: Operational highlights
OPERATIONAL HIGHLIGHTS NOI DEVELOPMENT (MSEK) STRONG RENTAL INCOME AND NOI GROWTH CAGR (year): 13% • 11% NOI increase (Q4 2024 vs Q4 2023) and 7% NOI increase (YoY) 178 174 183 185 182 163 168 157 139 144 136 ACCELERATED GROWTH DURING H2 2024 – BOTH 107 118 115 127 121 111 123 127 127 129 98 ACQ
Slide 6: Financial highlights
FINANCIAL HIGHLIGHTS EQUITY RATIO (%) ATTRACTIVE FINANCING CONDITIONS FUELING 40 41 40 40 40 40 41 43 44 43 44 42 42 41 40 39 38 37 37 39 37 GROWTH 35% 32 32 35 • Additional secured bank debt at lower margins • Strong demand from bank and capital market 20% INTEREST-RATE RESILIANCE • Approx 59%
Slide 7: SEK 1.2bn acquired during H2 2024 via seven transactions
SEK 1.2BN ACQUIRED DURING H2 2024 VIA SEVEN TRANSACTIONS Uppsala Portfolio Kalliotie 2 Mølladammen Næringspark Location Uppsala Location Tuusula, Helsinki Region Location Bærum , Oslo Region Lettable area 18,600 sq.m. Lettable area 13,600 sq.m. Lettable area 15,600 sq.m. Property value SEK 545m Prop
Slide 8: Completed projects during 2024
COMPLETED PROJECTS DURING 2024 45% 93% Combined occ. rate 55% Almnäs 5:24 (6.2) Stenvreten 8:37 Municipality Södertälje Municipality Enköping Premises Light industrial Premises Logistics 17,700 sq m Area 2,300 sq.m. Area 9,700 sq.m. Completion Q1 2024 Completion Q4 2024 Logistics Light industrial Ke
Slide 9: Value growth in projects
VALUE GROWTH IN PROJECTS PROJECT PORTFOLIO WITH LARGE POTENTIAL Estimated building Estimated Possible Municipality Envisaged main use Status Zoning right sq. m.1 Construction Start 2 • Fully developed up to an Upplands-Bro Logistics 377 000 Within current zoning 2025-2026 additional 637,000 sqm can
Slide 10: Value growth in projects – continued
VALUE GROWTH IN PROJECTS – CONTINUED ONGOING AND COMPLETED PROJECTS Q4 2024 Estimated Earliest Estimated Estimated Size remaining Occupancy rate Property Description Current Phase possible investment3 yearly NOI sq. m.2 Investment completion1 SEKm SEKm • 17,700 sqm completed SEKm Almnäs 5:23 New lig
Slide 11: Selected ongoing projects
SELECTED ONGOING PROJECTS ALMNÄS 5:23 VIBY 19:66 Municipality: Södertälje Municipality: Upplands-Bro Project: New light industrial Project: New logistics Area: 2,300 sq.m. Area: 5,200 sq.m. Status: Construction in progress Status: Building permit obtained VIBY 19:30 ALMNÄS 5:23 Municipality: Uppland
Slide 12: Value growth in projects – case study
VALUE GROWTH IN PROJECTS – CASE STUDY ALMNÄS – TRANSFORMING AN AREA Overview Work in progress – Partly old and partly new • Located in the coming logistics hub Stockholm Syd • Close to Södertälje and ca 45km south-west of central Stockholm. Positioned close to major, e.g. E20 and E4 • Acquired 2015
Slide 13: Sustainability - achievements
SUSTAINABILITY - ACHIEVEMENTS CLIMATE IMPACT KG CO2/SQ.M* ENERGY INTENSITY KWH/SQ.M. DISTRIBUTION OF ENERGY SOURCES 4,50 140 Renewables Non-renewables 32% 36% REDUCED CLIMATE IMPROVED ENERGY 4,00 IMPACT BETWEEN 2018- 2023 (KgCO2,e/sq.m) 130 EFFICIENCY PER SQ.M BETWEEN 2018-2023 3,50 2% 2% 120 4% 4%
Slide 14: Sustainability strategy
SUSTAINABILITY STRATEGY OVERALL GOAL: NET ZERO CARBON EMISSIONS ACROSS OUR ENTIRE OPERATIONS BY 2040 27% Reduction of energy intensity (kvh/kvm) as of December 31, 2024, compared with base year 2020 73% Environmentally certified area out of total area, as of 1,303 KWP December 31, 2024 Total capacit
Slide 15: Sustainability offering
SUSTANABILITY OFFERING Energy performance Solar panels up to 80% below required level Concrete & asphalt Recycling of with reduced CO2 construction footprint material Particle cleaning Timber frame building envelope BREEAM Geothermal certification heating Charging stations Biodiversity 15 Investor P
Slide 16: Increased focus on profitable growth
INCREASED FOCUS ON PROFITABLE GROWTH • Acquire yielding single assets / small portfolios off market ACQUISITIONS • Expand in greater Stockholm and Mälardalen • Obtain critical mass in new markets • Develop existing building rights in growth areas (~637.000 sqm vs existing portfolio of ~857.000 sqm)
Slide 17: Thank you!
STENDORREN THANK YOU!
Slide 18: Appendix
APPENDIX 18 Investor Presentation Picture: Almnäs Development Phase II
Slide 19: Introduction: business idea, market, financial objectives
INTRODUCTION BUSINESS MARKET FINANCIAL IDEA OPPORTUNITY OBJECTIVES Stendörren creates profitable growth in net The properties are strategically located in • Return on equity of at least 12 % asset value by managing, developing and growth areas (population and economic), acquiring properties mainly i
Slide 20: 4 reasons to invest in Stendörren
4 REASONS TO INVEST IN STENDÖRREN 1. 2. STABLE CASH FLOW SUSTAINABLE GROWTH • High yielding logistics, warehouse and light • Properties strategically located in growth areas such as Greater industrial properties with long leases Stockholm and the Mälardalen region • Diversified tenant base of both w
Slide 21: 1. Stable cash flow
1. STABLE CASH FLOW DIVERSIFICATION WITH FOCUS ON GREATER STOCKHOLM PROPERTY PORTFOLIO OVERVIEW • Stendörren has a property portfolio of SEK 14,300m, with a property yield of 6.4%1 as per December 31, 2024 • Rental value2 of SEK 991m with an economic occupancy rate of 92% as per December 31, 2024 •
Slide 22: 1. Stable cash flow – continued
1. STABLE CASH FLOW – CONTINUED DIVERSIFIED TENANT BASE LARGEST TENANTS AS PER Q4 2024 MATURITY STRUCTURE LEASE AGREEMENTS Rental Rental area, Share of total Tenant income, th. sq.m. rental income SEKm 513 392 Fortifikationsverket 73 129 8% Åtta.45 Tryckeri AB 14 11 2% Mountain Top 12 9 1% Stockholm
Slide 23: 2. Sustainable growth
2. SUSTAINABLE GROWTH WHY FOCUS ON THE STOCKHOLM REGION? POPULATION STOCKHOLM REGION STOCKHOLM REGION 2022 – 2040 3 000 000 Forecasted CAGR of 0.77 % • The gross regional product in Stockholm per capita is ca 40% Forecasted population 2010 – 2021 growth of 19,900 higher than the national average 2 7
Slide 24: 3. Value growth in projects – case studies
3. VALUE GROWTH IN PROJECTS – CASE STUDIES ALMNÄS – TRANSFORMING AN AREA Overview Work in progress – Partly old and partly new • Located in the coming logistics hub Stockholm Syd • Close to Södertälje and ca 45km south-west of central Stockholm. Positioned close to major, e.g. E20 and E4 • Acquired
Slide 25: 3. Value growth in projects – case studies
3. VALUE GROWTH IN PROJECTS – CASE STUDIES STENVRETEN 8:37 – “ADVANIA DREAM HOUSE” Overview Renderings of completed building • Stendörren’s existing tenant Advania decided to significantly expand their Enköping premises during the fall of 2023 • Construction is ongoing of 9,500 sqm of state of the a
Slide 26: 3. Value growth in projects – continued
3. VALUE GROWTH IN PROJECTS – CONTINUED RESIDENTIAL CONVERSIONS TEGELBRUKET – TRAVERSEN - SKRUBBA - NYGÅRD • Identifying underutilized assets in urban locations with potential for residential development • The assets have been acquired as cash flow generating properties • As an example, the asset Te
Slide 27: 4. Finance: highlights from Q4 report
4. FINANCE HIGHLIGHTS FROM Q4 REPORT NET LETTING (MSEK) ECONOMIC OCCUPANCY (%) Excluding bankruptcy of second largest tenant Exploria 95 24 94 94 94 93 93 93 92 92 16 15 17 91 91 14 14 90 89 89 89 8 7 8 7 88 88 5 87 87 87 1 1 1 -2 -1 -2 -4 -4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
Slide 28: 4. Finance – continued: financial targets
4. FINANCE – CONTINUED FINANCIAL TARGETS ROE (%) NAV GROWTH (%) 37 35 26 26 29 22 25 20 22 18 16 17 18 15 14 15 13 12 9 9 10 9 15% 11 11 10 9 12% 8 7 7 7 9 8 5 1 1 4 -3 -6 -5 -5 -2 0 -1 -5 -8 -3 -4 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q
Slide 29: 4. Finance – continued: debt funding
4. FINANCE – CONTINUED DEBT FUNDING DEBT FUNDING OVERVIEW LOAN MATURITY INTEREST FIXING SEKm SEKm 4 500 4 126 3 500 3 232 4% 4 000 3 000 2 700 16% 3 500 2 876 3 000 2 500 1 900 2 500 2 000 2 000 1 500 1 500 822 1 000 1 000 80% 500 0 0 9 500 0 0 0 0 0 Bank debt Sr Unsecured bond Hybrid bond • Total i
Slide 30: 4. Finance – continued: ownership overview
4. FINANCE – CONTINUED SHAREHOLDER % OF CAPITAL % OF VOTES KEY EQUITY RATIOS AND OWNERSHIP OVERVIEW STENDÖRREN REAL ESTATE AB 38,8 56,1 ALTIRA AB 10,0 14,2 SEKm SEK/share SEB INVESTMENT MANAGEMENT 13,2 7,7 7 000 350 LÄNSFÖRSÄKRINGAR FASTIGHETSFOND 9,1 5,3 CARNEGIE FONDER 4,0 2,3 6 000 300 Handelsban
Slide 31: Assessed earnings capacity as of January 2025
4. FINANCE – CONTINUED ASSESSED EARNINGS CAPACITY AS OF 1 JANUARY 2025 • According to the company’s assessment, the total rental income (after deductions for vacancies and Assessed earnings capacity discounts) on a rolling 12-month basis amounts to Rental Income 991 approximately SEK 991 million. To
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