British Land Company Plc · LSE:BLND
British Land — Shareholder Meeting (2014)
26 slides from British Land's shareholder meeting presentation, 2014
Slide 1: 2014 Annual General Meeting
WWW.BRITISHLAND.COM @BRITISHLANDPLC 2014 ANNUAL GENERAL MEETING
Slide 2: 2014 AGM - John Gildersleeve, Chairman
2014 AGM John Gildersleeve Chairman
Slide 3: Performance Highlights
PERFORMANCE HIGHLIGHTS FY to 31 March 2014 % Change NAV per Share 688p +15.4% UK Valuation £12.0bn +8.3% Total Property Return 14.2% Underlying Profit Before Tax £297m +8.4% Dividend per Share 27.0p +2.3% Total Accounting Return 20.0% 3
Slide 4: Executing Smartly Ahead of Plan
EXECUTING SMARTLY AHEAD OF PLAN • Gross investment of £1.3bn focused on London and South East 1 Timely Investment • Placing proceeds invested ahead of plan; accretive to EPS and NAV • Completed 5 of our 2010 London developments on schedule; total estimated profits of £636m 2 Profitable development •
Slide 5: Timely Investment – Paddington Central
TIMELY INVESTMENT – PADDINGTON CENTRAL Campus already increased in value by over 11% No 94% let (up from 91%) Significant opportunities to develop as major West End campus Transfer our experience from Regent’s Place 5
Slide 6: Timely Investment – Bath Southgate
TIMELY INVESTMENT – BATH SOUTHGATE 50% acquired for £101m 430,000 sq ft Locally dominant; prime, open air retail scheme Large and affluent catchment Top 10 tourist destination Annual footfall of c. 18m visitors 6
Slide 7: Profitable Development – 2010 Programme
PROFITABLE DEVELOPMENT – 2010 PROGRAMME • Completed developments REGENT’S PLACE PORTMAN SQUARE MARBLE ARCH HOUSE 39 VICTORIA STREET Office Office Mixed use Office 199 BISHOPSGATE WHITELEY BEDFORD STREET GLASGOW FORT Office Retail Residential Retail 7
Slide 8: Development – Leadenhall on Track
DEVELOPMENT – LEADENHALL ON TRACK 610,000 sq ft office building Tallest building in the City Completing soon Good levels of letting interest 53% pre-let Corporate Legal 8
Slide 9: Replenishing Our Development Pipeline – Recently Committed Projects
REPLENISHING OUR DEVELOPMENT PIPELINE – RECENTLY COMMITTED PROJECTS CLARGES ALDGATE PLACE Mixed use Residential THE HEMPEL YALDING HOUSE Residential Office 9
Slide 10: Reshaping the Retail Portfolio
RESHAPING THE RETAIL PORTFOLIO • £390m retail disposals; £500m acquisitions • Nearly 700,000 sq ft retail developments completed in the year WHITELEY SHOPPING, HAMPSHIRE HEREFORD OLD MARKET 10
Slide 11: Strong Operational Performance
STRONG OPERATIONAL PERFORMANCE • Continue to sign lettings/renewals ahead of ERV • Leasing activity added £24 million of new annual rent in FY 2014 • Good start to the new year FY to 31 March 2014 Retail Office Total Lettings and renewals (000 sq ft) 1,674 632 2,306 Investment lettings/renewals vs E
Slide 12: Repositioning Portfolio Around Key Themes
REPOSITIONING PORTFOLIO AROUND KEY THEMES • Focused on creating “Places People Prefer” 1 Attractive environments • Well managed environments at our Office campuses and Retail destinations London as a • Committed more capital to London and South East: increased 2 leading global City weighting to over
Slide 13: Market Outlook
MARKET OUTLOOK • UK economy growing – Unemployment falling; consumer confidence rising – Differential between property bond yields historically wide • Positive about long-term prospects for London – Occupational demand picking up and supply remains constrained – Performance to be driven primarily by
Slide 14: 2014 AGM - Chris Grigg, Chief Executive
2014 AGM Chris Grigg Chief Executive 14
Slide 15: 1. Creating Attractive Environments
1. CREATING ATTRACTIVE ENVIRONMENTS 15
Slide 16: Creating Great Environments - Regent's Place
CREATING GREAT ENVIRONMENTS - REGENT’S PLACE Excellent transport links Broad food and leisure offering Diverse occupier mix, including oil & gas, media and technology 150 high end apartments 160 affordable homes Excellent BREEAM sustainability rating 15.5% valuation uplift in FY 2014 16
Slide 17: Creating Great Environments - Whiteley Shopping
CREATING GREAT ENVIRONMENTS - WHITELEY SHOPPING 320,00 sq ft open air retail New 321,000 sq ft shopping scheme destination Opened May 2013 Over 20% valuation uplift Leading national brands, Annual footfall of 4.7m including Fat Face, H&M, Next, Phase Eight Estimated annual sales of £90m; £5.8m annua
Slide 18: 2. London as a Leading Global City
2. LONDON AS A LEADING GLOBAL CITY • Ranked as one of the most important global cities – Location: overlap of US and Asia time zones – Highly developed legal and financial system • Pre-eminent financial centre • Leading ‘technology hub’ – In 2013, TMT sq ft take up greater than Silicon Valley or Bei
Slide 19: 3. Importance of Transport Infrastructure
3. IMPORTANCE OF TRANSPORT INFRASTRUCTRE • More than £3bn British Land assets close to Crossrail stations Ealing Broadway Shoreditch Paddington Leadenhall Central Marble Arch Broadgate Regents Place Clarges 19
Slide 20: Broadgate – Implementing Our Long-Term Vision
BROADGATE – IMPLEMENTING OUR LONG-TERM VISION New long-term JV partner with GIC Evolving campus to broaden occupiers and uses Access enhanced by Crossrail in 2018 Development of 5 Broadgate and Broadgate Circle completing shortly Next opportunity will be at Corporate 100 Liverpool Street Legal 20
Slide 21: 4. Key Role of High Quality Physical Retail
4. KEY ROLE OF HIGH QUALITY PHYSICAL RETAIL 21
Slide 22: 5. Development
5. DEVELOPMENT • 2010 programme has delivered value for shareholders • Architects appointed at Blossom Street; planning to be submitted in Autumn • Expect to commit to 4 Kingdom Street later this year • Expect to submit planning on 5 Kingdom Street next year CLARGES THE ALDGATE YALDING 4 KINGDOM SHO
Slide 23: Paddington Central – Creating Value Through Development
PADDINGTON CENTRAL – CREATING VALUE THROUGH DEVELOPMENT 4 Kingdom St 147,000 sq ft office space 4 KINGDOM STREET Expect to be on site later this year 5 Kingdom St 240,000 sq ft office space Expect to submit planning for a larger scheme next year Public realm improvements already underway Integral pa
Slide 24: Our Priorities
OUR PRIORITIES • Focused on driving rental growth • Progressing our new development programme • Continue to reshape our Retail portfolio • Invest in the portfolio 24
Slide 25: Summary
». British Land fi RRA ERE ERR REP AARNE ik ii
Slide 26: British Land
& British Land 26