Mivne Real Estate (k.d) Ltd. · TASE:MVNE
Mivne Real Estate (k.d) — Investor Presentation (2021)
53 slides from Mivne Real Estate (k.d)'s investor presentation, 2021
Slide 1: Capital Market Presentation
CAPITAL MARKET PRESENTATION
Slide 2: Investment highlights
Spread of properties from Dan to Eilat A broad variety of properties for all purposes – logistics, industry, offices, commercial and rental apartments Potential increase in rental fees Average property capitalization rate of 7.05%. Hundreds of thousands of meters for planning and development in Mivn
Slide 3: Where are we headed?
Continued increase in equity Continued presentation of growth in free cash flow (FFO) Continued presentation of growth in NOI Where Decrease in operating costs are We Continued drop in effective interest rate headed? Significantly increasing the lineup of new Company properties, mainly in high deman
Slide 4: Agenda
1 General 2 Investment property 3 Residential T 4 Solar energy 5 Development and renewal 6 Financial data as of December 31 2021 7 Disclaimer Mivne Group 2021 Capital Market 4
Slide 5: General
General
Slide 6: Key company figures
1.2 billion NIS 6.9billion NIS Balance of cash and frameworks as of this date. Equity attributed to shareholders 460 million NIS Company rating of AA by S&P FFO from cash-generating properties 1-12/2021 Short-term debt rating of A-1 D Expected FFO for 2022 470-500 million NIS 39 million NIS 5billion
Slide 7: Investment property key data
741 Thousands of square meters Potential future 10.9 Billion NIS development Value of investment property 93 % D Occupancy rate in Israel has been constantly increasing in recent 723 million NIS Value of investment years (increasing by 2.4% in 2021) property under 1.6 development 545 million m² Cash
Slide 8: Data as of December 31, 2021
293 Solar Energy Systems 1, 800 Housing Units For which agreements have been signed In advanced stages of construction for installation on the rooftops of Company and planning in leading demand areas, buildings. 93 systems installed. plus hundreds of units in advanced Expected yearly revenues from a
Slide 9: FFO growth
D 45 In Millions of NIS | In Spite of the Covid-19 Crisis 470-500 460 404 GroWth 396 366 +33% 2018 2019 2020 2021 2022F Mivne Group 2021 Capital Market 9
Slide 10: Investment property
I
Slide 11: Investment property by segment, 10 billion NIS
SHOPPING COMPOUNDS INDUSTRIAL AND LOGISTICS 2.2 billion NIS 3.9 billion NIS (202,000 m²) (1,006,000 m²) RENTAL HOUSING V 0.2 billion NIS (10,000 m²) OFFICE 3.7 billion NIS (389,000 m²) TOTAL 10 billion NIS (1,607,000 m²) * Including data of associates Mivne Group 2021 Capital Market 11
Slide 12: Mix of properties and customers
Mix of properties and CustoMers NUMBER OF CUSTOMERS % OF TOTAL RENTAL REVENUES 122 1% 500 21% 2021 469 suMMary 36% 1,658 42% Rental housing Offices Industrial and logistics Commercial Mivne Group 2021 Capital Market 12
Slide 13: Logistics and industry
O Mivne Group 2021 Capital Market 13
Slide 14: Logistics and industry by region
CENTRAL REGION SOUTHERN REGION 22.9% 39.8% 230,000 m² 400,000 m² L NORTHERN REGION 37.4% 376,000 m² TOTAL 1,006,000 m² * Including data of associates Mivne Group 2021 Capital Market 14
Slide 15: Logistics and Industry
1,006 Thousand m² 263 Million NIS NOI 1-12/2021 For the rental of logistical centers, industry and storage 14 93.8% Occupancy rate as of Million NIS increase in NOI SP 1-12/2021 Logistics December 31 2021 3.3% increase from December and 31 2020 Industry 3.9 Billion NIS Value as of December 31 2021 T
Slide 16: Logistics and Industry: 42% of rental revenues
42% of the Company’s rental revenues 1,658 customers • Distribution throughout the country • Potential compatibility of storage and industrial spaces to a Logistics broad variety of tenants with areas of 100-20,000 m² and • High yield rate creating the opportunity of future capital gains as well as
Slide 17: Offices by region
NORTHERN REGION 28% SOUTHERN REGION 104,000 m² 5.1% 19,000 m² O CENTRAL REGION 66.9% 249,000 m² TOTAL 372,000 m² * Including data of associates Mivne Group 2021 Capital Market 17
Slide 18: Offices
389,000 m² 226 For renting office buildings, Million NIS NOI 1-12/2021 67% of which are located in high- 3.7 demand areas in central Israel. Billion NIS Offices 90.8% Occupancy Rate as of December 31 2021 Value as of December 31 2021 The Company rents offices to telecommunications companies, the Isr
Slide 19: Offices: 36% of rental revenues
36% of the Company’s rental • Broad geographic distribution, with revenues, 469 customers most of the properties in high-demand areas (Gush Dan and central Israel) • The most material tenant's share of total rental revenues does not exceed 5% • High-quality buildings, Class A Offices alongside Class
Slide 20: Shopping centers NOI
EMPLOYMENT-SUPPORTING 3 OPEN SHOPPING CENTERS 10 SHOPPING CENTERS 19 102 NOI CLOSED SHOPPING CENTER 8 129 million NIS NOI * Including data of associates Mivne Group 2021 Capital Market 20
Slide 21: Shopping compounds
202,000 m² Of commercial rental space in Israel, 129 Million NIS NOI 1-12/2021 in 14 shopping compounds, spread from north to south 7 Million NIS 92.9% increase in NOI SP 1-12/2021 S Occupancy Rate as of December 31 2021 2.2 Billion NIS Value as of December 31 2021 Most of the Group’s shopping compo
Slide 22: Shopping compounds: 21% of rental revenues
21% of the Company’s rental • 14 shopping compounds, of which: revenues, 500 customers 10 open shopping compounds throughout the country, one closed compound in Nof Hagalil and 3 employment-supporting shopping compounds • Average rent per m² not creating a Shopping burden for tenants Compounds • Low
Slide 23: Rental housing projects
book value/ balance noi/ nuMber area suM paid payable expected expected 881 town usaGe noi of units (M2) (Millions of (Millions of yield (thousands nis) nis) of nis) Rent Cash- R JerusaleM controlled 317 12,353 116 - 7.2 generating 761 * Data in millions of NIS housing kiryat ono Student 113 3,334 5
Slide 24: Residential
R
Slide 25: Residential: 1,800 housing units
1,800 housing units In advanced stages of planning and 159 housing units were delivered over the construction in leading high-demand course of 2021 to the areas report's publication date Over the past few years the Company has acted to plan added housing units on its land and planned mixed usage pro
Slide 26: Residential housing units as of December 2021
residential – housinG units as of deCeMber 31 2021 proJect/location planned status cost in coMpany’s developMent housinG coMpany’s share profit no yet units books recoGnized hahaskala blvd. – 360 Underway. 79 housing 361 75% 295 tel aviv units so far MaroM hasharon, Underway. 10 housing apartMent 21
Slide 27: Residential development: housing units
Residential – Housing Units as of December 31 2021 21 Housing units underway Housing units planned 1,124 1,320 1,320 Development 918 608 444 676 181 155 293 293 232 232 152 12/2016 12/2017 12/2018 12/2019 12/2020 12/2021 Mivne Group 2021 Capital Market 27
Slide 28: Hahaskala Blvd. residential towers
H 2 residential towers (the coMpany’s share) total planned housinG units 360 (the coMpany’s share – 75%) total accuMulated cost in the books 362 (Millions of nis) Development total expected cost for coMpletion of construction 335 expected Gross profits 295 (Millions of nis) expected surpluses 992 ex
Slide 29: Marom Hasharon residential buildings
MaroM hasharon residential, buildinGs, planned (the coMpany’s share – 90%) total planned housinG 213 units total accuMulated cost in 60 the books (Millions of nis) Development total expected cost for coMpletion of 175 construction expected Gross profits 94 (in Millions of nis) expected surpluses 329
Slide 30: Apartment sales 1-12/2021
R 1-12/2021 1-12/2020 nuMber of housinG units sold 158 41 receipts froM the sale of apartMents 399 111 (before vat) Gross profits recoGnized in the stateMents froM 39 41 the sale of apartMents Development Simulation – Aminadav Stage B Mivne Group 2021 Capital Market 30
Slide 31: Solar energy
S
Slide 32: Solar energy investment
Over the course of 2020-2021 the Company 2011-2012. These systems generate 4.5 increased its investment in the field of solar million NIS per year for the Company. The energy, filing requests to arrange 277 solar total expected yearly revenues for at the energy systems on the rooftops of buildings c
Slide 33: Expected solar revenues
Expected yearly revenues from all solar energy systems after commercial operation: 33 million NIS R (The Company’s share – 26 million NIS) Expected output by solar energy systems after commercial operation: MW 43 Over the course of the year the Company signed an agreement to build solar energy stora
Slide 34: Development and renewal
: Dh DEVELOPMENT | AND RENEWAL
Slide 35: Development and renewal potential
Construction of mixed use buildings Construction of modern and attractive logistical centers Future betterment potential: “From inventory to cash- generating” utilization of D construction rights on existing land and construction of additional cash-generating properties. The Company owns a significa
Slide 36: Expected NOI increase 2022-2027
44 978 E +287 287 239 48 121 117 691 87 63 34 690 24 239 15 87 121 48 48 63 2022 2023 2024 2025 2026 2027 Mivne Group 2021 Capital Market 36
Slide 37: Projects under development
I proJect naMe location usaGe built-up estiMated estiMated expected noi area (in coMpletion cost ranGe (in M2) date balance (in Millions of Millions of nis) Yokneam nis) Haifa hahaskala blvd. Tel Aviv Offices and 68,300 Q3/2025 586 101-109 commercial Herzliya Kfar Saba Holon Offices 14,800 Q2/2022 7
Slide 38: Projects under development: Hahaskala offices
O offices and supportinG coMMercial (coMpany’s share 100%) total office space (in M2) 65,000 total coMMercial space (in M2) 3,300 total accuMulated cost in the 367 Projects books (Millions of nis) Under total expected cost for coMpletion of construction 586 (Millions of nis) Development expected noi
Slide 39: Projects under development: Kfar Saba
O offices (coMpany’s share 100%) total additional office space 26,000 (in M2) (*) total accuMulated cost in the 93 books (Millions of nis) Projects total expected cost for coMpletion of construction 148 Under (Millions of nis) Development expected noi (Millions of nis) Some 23 expected construction
Slide 40: Projects under development: Mivne Tower, Herzliya
offiCes and eMployMent – Mivne toWer, herzliya offices and supportinG coMMercial (coMpany’s share 100%) total office space (in M2) 22,000 total coMMercial space (in M2) 2,300 total accuMulated cost in the Projects books (Millions of nis, includinG 111 residential section) Under total expected cost f
Slide 41: Projects under development: Aminadav
Am offices and supportinG coMMercial (coMpany’s share 100%) total planned housinG units 410 total office space (in M2) 122,000 Projects total coMMercial space (in M2) 3,000 Under total book value (Millions of nis*) 435 Development total additional expected cost (Millions of Mis) 1,400 Located in Tel
Slide 42: Mizrahi-Union transaction
On January 30 2022 the Company purchased number of properties in the Stock Exchange 24 cash-generating properties throughout the compound in Tel Aviv. country with various zoning, primarily offices The total proceeds for the transaction and commercial, from Bank Mizrahi-Union. amounted to 532 millio
Slide 43: Mizrahi-Union transaction plans
The Company intends to act and to improve the portfolio of properties purchased as follows: 1. Rental of some of the Bank Mizrahi branches, for which the rental periods may be shortened, to tenants primarily from the commercial field, while improving real rental fees. 2. Promotion of betterment plan
Slide 44: Mizrahi-Union transaction: Lincoln Street
15 Lincoln Street, Tel Aviv –the Company intends to use of the advantages embodied in the area, which implement a joint plan along with owners of nearby constitutes the intersection of the Light Rail’s Red buildings and the City of Tel Aviv, to advance a and Green lines, which gives options for incr
Slide 45: Financial data
F
Slide 46: Debt maturity schedule
E In Millions of NIS F 552 484 368 0 365 Value Value Securities Value Securities Value Securities 173 189 1,228 95 680 Securities 1,204 656 859 223 225 329 118 120 120 220 2022 2023 2024 2025 2026 2027 2028 2029 AND UP Guaranteed by lien Not guaranteed by lien Mivne Group 2021 Capital Market 46
Slide 47: Financial fortitude
Cost of debt – averaGe israeli debt interest 44 7.66% 7.50% 7.28% 7.05% Weighted cap Weighted cap Weighted cap Weighted cap rate deriving from rate deriving from rate deriving from rate deriving from cash-generating cash-generating cash-generating cash-generating property property property property
Slide 48: Equity growth
E 46 In Millions of NIS 6,902 6,073 GroWth 5,571 +114% 3,763 3,221 2017 2018 2019 2020 2021 Mivne Group 2021 Capital Market 48
Slide 49: Recovery value of company assets
E Recovery value of Company assets (net) in the long-term assuming continued activity and failure to realize assets in thousands of nis deceMber deceMber 31 2020 31 2021 equity attributable to shareholders 6,901,762 6,073,365 plus tax reserve for real estate revaluation 1,971,000 1,816,719 E epra nr
Slide 50: Balance sheet data
deceMber 31 deceMber 31 2021 2020 cash and cash equivalents 923 432 D cash-GeneratinG investMent property 12,028 11.161 and property under developMent investMents in associates 367 294 financial liabilities, includinG 6,108 5,408 debentures deferred taxes, net 1,459 1,268 total equity attributed to
Slide 51: Income statement 1-12/2021
1-12.2021 In Millions of NIS 1-12.2021 1-12.2020 P rental and ManaGeMent 899 880 fee incoMe total revenues 1,100 1,049 Gross revenues 730 712 revaluation of investMent 756 299 property and real estate under developMent operatinG profit 1,460 963 financinG expenses, net (293) (198) net profit 955 577
Slide 52: Disclaimer
This presentation was prepared by Mivne Real Estate and Company management is closely tracking future (K.D.) Ltd. and does not constitute a proposal to buy or developments. The Company’s guidelines and estimates sell Company securities or a proposal to receive such included in this presentation incl
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