G City Ltd. · TASE:GCT
G City — Gazit-Globe — Investor Presentation (October 2018)
50 slides from G City's investor presentation, Oct 17, 2018
Slide 1: Paulista 1267
Bota
Slide 2: Disclaimer
DISCLAIMER aANIES 4 Na 3 This presentation may include forward-looking statements, including forecasts, evaluation, pro forma figures, estimates and other information relating to future events and issues. Forward-looking statements may relate to, among ater things, revenues, earings, cash flows, cap
Slide 3: Brazil Overview: Highly Urban Population, Low Penetration
HIGHLY URBAN POPULATION (86% OF TOTAL) LOW PENETRATION - DEMAND EXCEEDS SUPPLY ‘? BRASIL & =i OVERVIEW ie 1.290 8 80% f m1 29 29 75% i om. 7 WF ODVUSFW/ES 100M JO% USA cats ena Pomp Span Face Gey Men [2a | 65% BRAZILIAN CONSUMER SPENDING - GROWTH 50M 60% of sx USDS400BUSDS1.1T usps2.0T wmPoptten — n
Slide 4: Population Explosion, Business Capital of South America
POPULATION EXPLOSION BUSINESS CAPITAL OF SOUTH AMERICA th _ host — + Sao Paulo state has 20% of the population and is responsible for 32% of 5 WO pop hy the nations GDP, approx USHEOOE + Latin America headquarters of 65% of Fortune 500 Companies, such as 215M. rites atsoecergin weeny Google, Goldman
Slide 5: Why Gazit Brasil: Focused Strategy That Proves Itself
Value-add opportuni upgrading tenant 316Ksqm* approved rights for mixed use. Irreplaceable Real 60M annual visitors to our properties One-of-a-kind 100% So Paulo based Proactive management team with a proven portfolio, caters to all income levels that, FOCUSED STRATEGY THAT PROVES ITSELF, THAT'S WHY
Slide 6: Gazit Brasil Management Team
7 GAZIT BRASIL MANAGEMENT TEAM EXPERIENCED LOCAL MANAGEMENT WITH GLOBAL MINDSET GAZIT BRASIL IS A FULLY INTEGRATED COMPANY WITH SOUP TO NUTS MANAGERIAL CAPABILITIES Mia Stark - CEO Mia Stark became Chief Executive Officer at Gazit Brasil in 2013, working at Gazit for more than a decade; Under her ma
Slide 7: Gazit's Brasil Business Strategy
G GAZIT’S BRASIL BUSINESS STRATEGY DIFFERENTIATION INNOVATION = OUTSIZED RETURNS * Focus on Séo Paulo, with "off the * Continuous transformation of the assets * Creation of a new concept of day-to- chart" demographics that enhances the shopping experience day Life & Entertainment Centers * Cherry pi
Slide 8: At a Glance
AT A GLANCE LOCATION LOCATION LOCATION.
Slide 9: Our Portfolio
OUR PORTFOLIO man 137 tenants Fully Owned GLA: 31K sqm + Landbank: 4,624 sqm TOP CENTER 99 tenants Fully Owned Fully Owned GLA; 19K sqm INTERNACIONAL, GLA: 77K sqm CIDADE JARDIM. 192 tenants 33% ownership GLA: 37K sqm MAIS SHOPPING 179 tenants Fully Owned GLA: 14K sqm GLA 2019: 23K sqm PAULISTA 1267
Slide 10: Gazit Brasil: Malls on Main Public Transportation Routes
GAZIT BRASIL MALLS ARE LOCATED ON MAIN PUBLIC TRANSPORTION ROUTES OF SAO PAULO Shopping tight O°" 92 Top Center Loe Eldorado Mais Shopping Internacional Shopping
Slide 11: Irreplaceable Assets with Strong Demographics
IRREPLEACEBLE ASSETS WITH STRONG DEMOGRAPHICS 200k 175k 150k 2 125k 100k 50k 25k ok oral Average: 5204 oe Sto Palo cy verge 7H e 250k 500k 750k 1.000k 1.250k : Population® Top CENTER INTERNACIONAL u
Slide 12: Our Growth Evolution: NOI Growth and Yield on Cost
259% NOI Growth; Yield on Cost Y 166; OUR GROWTH EVOLUTION NOI (millions of R$) Corsi al ie rin marapeat oe 1 oesot crag ees franca ectumer pont Nt 15 2
Slide 13: Our Shopping Mall Tenant Mix
— Roughly 50% of tenants are e-commerce resistant and all our Sao Paulo city malls are 100% urban high density located assets! —)) Based on Rent BE peeswensery Food Court (16%) Entertainment (7g (23) — , OUR SHOPPING MALL TENANT MIX Based on GLA \ poparet ty, EP Food Court (6%) 7sNN) GES] Non appare
Slide 14: Paulista Avenue
PAULISTA AVENUE 1.5 MILLION PEDESTRIANS PER Lively 3km avenue with public transportation, universities, museums, offices, residences and entertainment sites
Slide 15: Top Center Shopping
Gop CENTER) a SHOPPING
Slide 16: Top Center Shopping Overview
a ( Gator center een ERR, imine SHOPPING office Tove OVERVIEW [iia Occupancy LIDE RETAIL AWARD (2016) EXCELENCY IN Total Sales 2018E TENANT MIX Tenants GLA Visitors (2018E) Parking Spaces Cars (2018) DEMOGRAPHIC DATA SOCIALCLASS GENDER AGE EDUCATION URBAN MOBILITY 25% AClass 67% female 52% from 18t0
Slide 17: Top Center Shopping Case Study
Gop center HOPPING CASE STUDY + NOI Growth of the shopping - approximately 60.5% in 4 years, + Yield on Cost for the shopping center - from 68% (2014) to TRANSFORMATION SRS VALUE CREATION THROUGH PROACTIVE MANAGEMENT + Re-tenanted 95% of the mix since acquisition; © GLA: 6.5K sqm (Shopping) GLA: 6.5
Slide 18: Top Center: Maximizing Potential
Gop CENTER REE MAXIMIZING POTENTIAL Bg SHOPPING ¢ I sam @ANOI -RS10m si sam) <annualze) EXPANSION, FUTURE EXPANSION DIFFERENTIATION BeTIRE GLA (Shopping + Office Additional - 2K sqm Tower): 20K sqm Tower): 22K sqm 2 rooftops (Total area built: 36K sqm) (Total area built: 38K sqm) Food court expansio
Slide 19: Top Center: Transformation of Customer Experience
"FOREVER 21 wees Garop center fens SHOPPING TRANSFORMATION OF CUSTOMER EXPERIENCE
Slide 20: Top Center Tenant Mix
—_ Top brands from diverse segments, provide the visitors unique experience, services and day to day convenience on the go. TENANT MIX Rew Based on rent - Apparel (19%) > Restaurant (696 t Convenience/Services (19%) (4 a4 WP stmeen_~ Food Court (40%) Based on GLA o> - Apparel 16% By mn G Restaurant
Slide 21: Slide 21
Slide 22: Future: Paulista 1267 Landbank
FUTURE G PAULISTA 1267 LANDBANK Potential GLA: aK + Anchor—1K sqm; + Food-Hall | Restaurant ~ 2K Z, hes sam + Terrace Uncovered (Food- POTENTIAL Hall | Restaurant) — 1K sqm, VALUE CREATION THROUGH NEW DEVELOPMENT Common Area * Circulation | Common Area —606 sqm; * Parking | Docks — 3K sqm. © Potenti
Slide 23: Shopping Light: Downtown São Paulo
GASHOPPING LIGHT DOWNTOWN SAO PAULO ‘Where the city of Séo Paulo was founded: city hall, stock exchange, courts, universities, museums, offices, residences. and entertainment & tourism sites.
Slide 24: Shopping Light Overview
Acquisition Date June 2015 Plot Area 4.9K sqm GASHOPPING LIGHT Occupancy 96.1% OVERVIEW Total Sales 20182 _RSZ66M Tenants 142 GLA 18.6K sqm Visitors (20186) 115M Parking Spaces Cars (20188) DEMOGRAPHIC DATA all < Gy SOCIALCLASS GENDER AGE EDUCATION URBAN MOBILITY 11% AClass 63% female 39% from 18 to
Slide 25: Shopping Light Overview
KASHOPPING LIGHT OVERVIEW + NOI Growth — approximately 61.3%, mainly by re-tenanting of . {60% of the mix since acquisition in a Sls TE 2015; + Potential cultural or entertainment es adtitten om Che esi Genera LANDMARK BUILDING THAT WAS TRANSFORMED INTO A SHOPPING MALL for restaurants, cinema and co
Slide 26: Historical Building in Downtown São Paulo
HISTORICAL BUILDING BUILT IN THE HEART OF DOWNTOWN SAO PAULO IN 1929 THAT WAS CONVERTED INTO SHOPPING MALL IN THE 1990s INVESTMENT R$144M. © GLA: 19K sqm (Total built area: 36.5K sqm) (Total built area: 36.5K sqm) MAXIMIZING POTENTIAL ee | GLA: 21K sqm 3K sqm Additional GLA for (Total built area: 39
Slide 27: Shopping Light: Transformation of Customer Experience
GasHopPING LIGHT TRANSFORMATION OF CUSTOMER EXPERIENCE
Slide 28: Shopping Light Tenant Mix
TENANT MIX Tommy Hilfiger —_ The only shopping mall in downtown. Comprises with a F&B options, variety of services, and daily convenience stores. Potential to transform the roof top into an unforgettable gastronomy and entrainment experience. Based on Rent FEN men Food Court (69%) Entertainment (99%
Slide 29: Shopping Cidade Jardim
Slide 30: Cidade Jardim Overview
‘Acquisition Date December 2016 CIDADE a JARDIM = Total Sales 2018E OVERVIEW aa G Brasil 33% of the mall 5 . uv GLA Ultra-Luxury mall in S40 Paulo, e é ales (montnty Sa) located on the main highway F 4 of the city (Marginal) and part meee + Visitors (2018E) of high-end residential and office mixed-u
Slide 31: Mais Shopping
Gaals pea SHOPPING
Slide 32: Mais Shopping Overview
ncenone Jan (60%) Feb (40%) “2015 Plot area 12k am OVERVIEW Oceupaney 975% Total Sales 2018E ‘RS$202M. 5 2 Tenants 179 aa 1aksam GLA~post expansion 23K sqm Visitors (20188) 135M Parking Spaces 788 Cars (20186) 552K ‘mccmone omy ell << GE SOCIALCLASS GENDER AGE EDUCATION URBAN MOBILITY bus terminal w
Slide 33: Mais Shopping Case Study
Guais a SHOPPING CASE STUDY + NOI Growth of the mall - approximately 29.6% in 3 years, *+ Re-tenanted 40% of the mix + From 14K sqm GLA in 2015 » . Fea a) ovele can METRO STATION MALL THAT IS CONTINUOUSLY GOING THORUGH IMPROVEMENTS 2019 (post expansion); WITH EXPANSIONS, TENANT MIX AND OVERALL EXPER
Slide 34: Maximizing Potential: Ongoing Expansion
MAXIMIZING POTENTIAL: VALUE CREATION, EXPANSION, DIFFERENTIATED INVESTMENT R$193M 14K sqm I built area: 49,8K sqm) ON GOING EXPANSION
Slide 35: Mais Shopping: Transformation of Customer Experience
Goals firey SHOPPING TRANSFORMATION OF CUSTOMER EXPERIENCE ‘Academia intligente,
Slide 36: Mais Shopping Tenant Mix
or_ The main shopping center in Santo Amaro, is a commuters hub that connects the adjacent university MAIS with the metro station and buses terminal in the southern part of the city. Mais Shopping is known for sone SHOPPING , , : ' ; , <u its convenience and wide options of fast food and democratic
Slide 37: Member Town Shopping
Gmorumei town Last SHOPPING
Slide 38: Member Town Shopping Overview
INFO Gmorumei town a SHOPPING Plot Area Occupancy 99.496 OVERVIEW Total Sales 2018E RS291M “GRANDES a F, Tenants 137 CONSTRUCOES” ° é AWARD (2016) Le § a \ Ha cia 31K sqm MOST EFFICIENT | fi . | " E é CONSTRUCTION IN - Bn ABA r 74 a Visitors (20186) BRAZIL £ Be a Ay) LIDE RETAIL AWARD F Parking Spac
Slide 39: Member Town Case Study
Gmorumei Town HOPPING CASE STUDY + 96% occupancy at opening in Dec 2016; + Flagship stores suchas Ginesystem (cinema), Zaffari (hypermarket), Tramontina (home goods), Bio Ritmo (gym), Anaca (dancing school) and many GROUND UP DEVELOPMENT FOCUSED ON FAMILY EXPERIENCE AND CONVENIENCE entertainments; M
Slide 40: Inaugurated in December 2016, Under Stabilization
INAUGURATED IN DECEMBER 2016 - UNDER STABILIZATION + 3 Restaurants GLA: 37K + International anchor; {Total built area: 103K sqm) * —_- Expansion of Bio Ritmo (gym); + 14Satellites; + 4Mega Stores. GLA: 31K sqm : (Total built area: 94K sqm) 40
Slide 41: Member Town: Transformation of Customer Experience
LLL£466554 rtetttit titi INA_ Seasecseaeeses: Gamorumertown = TRANSFORMATION Fa LA eave er OF CUSTOMER EXPERIENCE i le uy SAY ie oe Ay y J X y
Slide 42: Member Town Tenant Mix
—_ MBI TOWN Innovative mall with a focus on services, convenience and entertainment for kids ani families, in a very inviting and brightening atmosphere for their daily visits. Roughly 63% of tenant mix are e-commerce proof. TENANT MIX aac? Based on Rent Food Court (17% TD TLS] Non apparel retail (1
Slide 43: Eldorado Overview
\\ Eidvtado OVERVIEW Gazit Brasil owns 4.3% shares of the mal (REIT) ‘A trophy asset and one of the most established malls in Brazil in which Gazit has full ROFR mechanism to acquire all of the remaining ownership of the asset INFO sasofaais
Slide 44: Internacional Shopping
Gin TERNACIONAL y SHOPPING
Slide 45: Internacional Shopping Overview
Pino sc | Ginternacionat res a ees SHOPPING. OVERVIEW a Plot Area 125K sqm Gazit Brasil owns 70% of the mall = ‘Occupancy 96.4% Gazit’s latest acquisition and most relevant single investment in Brazil for Gazit Globe: R$956M_— with an expected annualized yield of 7.8% in 2018 Total Sales 2018E ——RS1
Slide 46: Internacional Shopping: Latest Acquisition
GInTERNACIONAL ees SHOPPING OVERVIEW Gazit Brasil owns 70% of the mall + Occupancy increased to 98.0% in August, 2018 (962% upon acquisition on April 2nd, 2018) + Since April - 2018 ~ 26 new store leases (LS 169%) and 22 new Kiosk contracts; + 286M annual mall visitors and $1.18 in sales; + Average
Slide 47: Internacional Shopping Expansion Potential
y SHOPPING INTERNACIONAL EXPANSION POTENTIAL 198K SQM - MAXIMIZING POTENTIAL: VALUE CREATION, EXPANSION, DIFFERENTIATED INVESTMENT RS956M MAXIMIZING POTENTIAL GLA: 77K sqm (Total built area: 124K sqm) FUTURE EXPANSION FUTURE EXPANSIONS Phase I (2018) Additional Expansion GLA 6K sqm + 1 Restaurant +
Slide 48: Internacional: Transformation of Customer Experience
INTERNACIONAL iciezum SHOPPING TRANSFORMATION OF CUSTOMER EXPERIENCE
Slide 49: Internacional Shopping Tenant Mix
—_ GAnTERNACIONAL SHOPPING One of the top trophy malls in Sao Paulo metro area, Internacional Shopping has off the chart foot traffic providing convenience, services and leisure, in addition it has 197K sqm expansion TENANT MIX rights that can be transformed to an attractive mixed use project ” Base
Slide 50: Thank You for Visiting Us!
THANK YOU FOR VISITING US! RuaDlimpiadas66, 4 andar Vila Olimpia Sa0 Paulo Brazil 04551-000 Tek +55-11-35080800