Hamborner Reit Ag · XETR:HABA
Hamborner Reit — Investor Presentation (June 2017)
40 slides from Hamborner Reit's investor presentation, June 2017
Slide 1: Company Presentation
Company Presentation Dr. Rüdiger Mrotzek Hans Richard Schmitz June 2017
Slide 2: Agenda
Agenda 1 History / Capital markets track record 2 Portfolio-Management 3 Asset-Management 4 Financial Figures / Financial Position HAMBORNER REIT AG - Company Presentation - June 2017 2
Slide 3: Historical development of the company
History / Capital markets track record Historical development of the company Mining 1953 Foundation of the company: HAMBORNER founded as a mining company 1954 Listed on stock exchange as HAMBORNER Bergbau AG 1969 Integration of the mining activities into Ruhrkohle AG Asset 1970 Continuation of HAMBO
Slide 4: Real Estate Investment Trust (REIT)
History / Capital markets track record [R]eal [E]state [I]nvestment [T]rust (REIT) Requirements for G-REITs ▪ Listing on the regulated market ▪ at least 45 % equity-ratio ▪ > 15% free float ▪ > 75% of assets must be real estate assets ▪ > 75% of revenues must stem from real estate assets ▪ > 90% of
Slide 5: Lean corporate structure – no holding/parent companies
History / Capital markets track record Lean corporate structure – no holding/parent companies HAMBORNER REIT AG 2 33 board members employees ▪ Directly owned property ▪ Internal management ▪ German-wide portfolio ▪ Only infrastructural building services externally ▪ Market value of properties: contr
Slide 6: Growing market capitalization and increasing free float
History / Capital markets track record Growing market capitalization and increasing free float Overview events Historic market cap (€ million) ▪ 2007: Start of new strategy 721 737 ▪ 2010: Achievement of G-REIT status and change of 596 company name to HAMBORNER REIT AG ▪ October 2010: Capital Increa
Slide 7: HAMBORNER REIT AG share
History / Capital markets track record HAMBORNER REIT AG share Development of share price and turnover 1 May 2016 = 100% Number of shares 120% 900.000 115% 800.000 110% 700.000 105% 600.000 100% 500.000 95% 400.000 90% 300.000 85% 80% 200.000 75% 100.000 70% 0 06.16 07.16 08.16 09.16 10.16 11.16 12.
Slide 8: Agenda
Agenda 1 History / Capital markets track record 2 Portfolio-Management 3 Asset-Management 4 Financial Figures / Financial Position HAMBORNER REIT AG - Company Presentation - June 2017 8
Slide 9: Well defined acquisition strategy
Portfolio-Management Well defined acquisition strategy Acquisition strategy Asset focus ▪ Regional diversification in high-growth regions in West and ▪ Focus on quality properties, location and property strategy South-West Germany determined by asset type: ▪ Focus also on towns and cities outside th
Slide 10: Balanced portfolio with 100% German focus
Portfolio-Management Balanced portfolio with 100% German focus Geographical portfolio spread (as of 31 May 2017) Diversification of asset types (as of 31 May 2017) ▪ 71 properties in 55 cities in Germany Schleswig- ▪ Focus on West and South-West Holstein Mecklenburg- ▪ € 1,214 million portfolio valu
Slide 11: Regional diversification
Portfolio-Management Regional diversification Federal State Number of objects Share in the market value of total portfolio (31 May 2017) Northrhine-Westphalia 24 25% Bavaria 10 21% Baden-Wurttemberg 10 19% Hesse 7 8% Lower Saxony 6 7% Berlin 3 7% North NorthRhine- Rhine- Westphalia Westphalia Schles
Slide 12: Portfolio Development
Portfolio-Management Portfolio Development Development of the HAMBORNER portfolio value (in € million) 1,214 1,115 Change of strategy 900 692 717 580 504 376 308 281 273 179 177 186 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 31 May 2017 HAMBORNER REIT AG - Company Presentation
Slide 13: Increasing value per asset through acquiring larger assets
Portfolio-Management Increasing value per asset through acquiring larger assets Portfolio split by property value Average value per asset (in € million) 31 December 2006 (100% = 54 properties) 31 May 2017 (Number of properties = 71) 17.1 16.2 > € 10 million € 5-10 million 4% 15% 13.0 10.5 9.6 81% <€
Slide 14: Investments: Transfer of possession in 2016
Portfolio-Management Investments Transfer of possession in 2016 Lübeck (Haerder-Center) Ditzingen Sandstrasse Dieselstrasse Built 2008 2016 Main tenant H&M, New Yorker, REWE, mytoys hagebaumarkt Leased area approx. 13,300 m2 approx. 10,000 m2 Annual rental income € 3.3 million € 0.9 - 1.0 million (s
Slide 15: Investments: Transfer of possession in 2016
Portfolio-Management Investments Transfer of possession in 2016 Mannheim (Kurpfalz Center) Münster (Deilmann-Park) Spreewaldallee Martin-Luther-King-Weg 30/30a Built 1972 (modernized and expanded in 2012/2013) 2016 Main tenant Real, Toys‘R‘Us, ALDI, dm, Adler Mode, Golf House FOM Leased area approx.
Slide 16: Investments: Transfer of possession in 2016
Portfolio-Management Investments Transfer of possession in 2016 Dortmund (DOMI) Ostenhellweg Built 1948 (modernized and expanded in 2003) Main tenant TK Maxx, Das Depot, O2, Dialysis centre Leased area approx. 9,200 m2 Annual rental income € 1.6 million Remaining lease term 6.6 years(1) Gross initia
Slide 17: Investments: Transfer of possession in 2017
Portfolio-Management Investments Transfer of possession in 2017 Cologne (O3) Hallstadt/Bamberg (Market Oberfranken) Am Coloneum Michelinstrasse Built 2006 1974 (modernized and expanded in 2006) Main tenant NetCologne Müller, tegut, C&A, Expert, ALDI Leased area approx. 26,500 m2 approx. 21,800m2 Ann
Slide 18: Investments: Transfer of possession in 2017
Portfolio-Management Investments Transfer of possession in 2017 Berlin Märkische Allee Built 2006 Main tenant Kaufland Leased area approx. 6,500 m2 Annual rental income € 0.9 million Remaining lease term 8.5 years(1) Gross initial yield 5.3 % Purchase price € 16.2 million Transfer of possession Marc
Slide 19: Investments: Transfer of possession outstanding
Portfolio-Management Investments Transfer of possession outstanding Kiel Hanau (Rondo Steinheim) Kaistrasse Otto-Hahn-Strasse Built 2017 (under construction) 2017 (under construction) Main tenant Barmer GEK REWE, ALDI, dm, Deichmann Leased area approx. 6,550 m2 approx. 12,800m2 Annual rental income
Slide 20: Investments: Transfer of possession outstanding
Portfolio-Management Investments Transfer of possession outstanding Passau (Neustiftcenter) Ratingen Steinbachstrasse/Alte Poststrasse Balcke-Dürr-Allee Built 2017 (under construction) 2017 Main tenant REWE SPIE, Capgemini Leased area approx. 4,300 m2 approx. 10,400m2 Annual rental income € 0.9 mill
Slide 21: Divestments 2016
Portfolio-Management Divestments 2016 Disposal of properties 2016 Duisburg Dinslaken Solingen Essen Kassel Selling Price: € 2.64 million Selling price: € 1.94 million Selling price: € 3.17 million Selling price: € 3.26 million Selling price: € 0.7 million Total # of properties 5 Total selling price
Slide 22: Divestments 2017
Portfolio-Management Divestments 2017 Disposal of property 2017 Duisburg Selling price € 9.5 million Kasslerfelder Kreisel Fair value as of 31 Dec 2015 € 9.2 million Book value as of 31 Dec 2016 € 7.2 million Transfer of possession 1 April 2017 Disposal of undeveloped land 2017 Undeveloped land sold
Slide 23: Divestments since change of strategy in 2007
Portfolio-Management Divestments since change of strategy in 2007 € 78.9m € 76.9m + 2.7% + 48.2% € 52.5m Disposal of 26 commercial properties: € 77.0m → Average selling price: € 3.0m → Average multiple: 14.1 → Total annual rental income: € 5.5m Book Value Fair Value Selling Price at time of disposal
Slide 24: Portfolio development 2016/2017
Portfolio-Management Portfolio development 2016/2017 Portfolio value € 1,322 million Portfolio value € 1,214 million Portfolio value € 1,115 million Portfolio value € 900 million Transfer of possession Transfer of possession Transfer of possession 2016 Jan-May 2017 2017 Lübeck (€ +54.4m)(1) Cologne
Slide 25: Agenda
Agenda 1 History / Capital markets track record 2 Portfolio-Management 3 Asset-Management 4 Financial Figures / Financial Position HAMBORNER REIT AG - Company Presentation - June 2017 25
Slide 26: High and stable occupancy
Asset-Management High and stable occupancy Occupancy rates 95.7% 98.2% 97.9% 96.5% 97.5% 98.2% 98.1% 97.5% 97.7% 98.1% 98.7% 98,7% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 31 March 2017 → Vacancy rate as at 31 March 2017 incl. rent guarantees: 1.3 % → Vacancy rate as at 31 March 2017 e
Slide 27: Long-term leases
Asset-Management Long-term leases Weighted average lease expiry by type (as of 31 March 2017, in years) 8.7 6.6 5.1 5.1 Office Highstreet lage-scale retail Total Split of lease contracts expiring by year (as of 31 March 2017) 34% 2% 10% 12% 8% 9% 7% 9% 9% 2017 2018 2019 2020 2021 2022 2023 2024 2025
Slide 28: Solid tenants
Asset-Management Solid tenants Top 10 tenants (as of 31 March 2017, % of annual rent) Tenant Sector % of annual rent* EDEKA-Group Discount food retail 10.7% Kaufland Group Discount food retail 7.8% real,- Discount food retail 6.2% OBI Retail (DIY) 5.9% Jobcenter Government Agency 3.8% NetCologne Tel
Slide 29: Agenda
Agenda 1 History / Capital markets track record 2 Portfolio-Management 3 Asset-Management 4 Financial Figures/Financial Position HAMBORNER REIT AG - Company Presentation - June 2017 29
Slide 30: Strong first quarter 2017
Financial Figures / Financial Position Strong first quarter 2017 Highlights ▪ Increase in income from rents and leases: + 20.3% ▪ FFO increase: + 19.9% ▪ Vacancy rate: 1.3 % ▪ Total invested volume: € 108.9 million (3 assets) ▪ Total portfolio volume: € 1,224 million as of 31 March 2017 ▪ NAV per sh
Slide 31: Significant key figures for first quarter 2017
Financial Figures / Financial Position Significant key figures for first quarter 2017 Key figures 31 Mar 2017 31 Mar 2016 Change Income from rents and leases € 17.6 million € 14.7 million + 20.3 % Operating result € 7.7 million € 7.0 million + 8.8 % Profit for the period € 4.4 million € 6.1 million
Slide 32: Benefitting from economies of scale
Financial Figures / Financial Position Benefitting from economies of scale Portfolio value (€ million) and overhead cost margin* 1400 1,224 1200 1,115 2006 20% 22.2 % 1000 900 800 717 692 580 600 504 10% 376 400 281 308 273 Q1 2017 186 7.9 % 200 0 0% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Slide 33: Stable and predictable cost of debt
Financial Figures / Financial Position Stable and predictable cost of debt Expiration of fixed interest rates (31 March 2016; % of total financial debt) ▪ REIT equity ratio: 62.6 % Follow-up financing ▪ LTV: 35.1 % 2017 completed ▪ Financial debt: € 442.6 million ▪ Additional loan agreements: € 114.
Slide 34: Increasing FFO and dividend per share
Financial Figures / Financial Position Increasing FFO and dividend per share Funds From Operations (FFO) (1) Calculation of FFO per share with outstanding shares at the respective time Capital Increase 2 Capital Increases 79.7 Capital 62.0 36.1 Increase 50.0 Capital 45.5 45.5 45.5 29.2 Increase 23.8
Slide 35: Summary and outlook
Summary and outlook Conclusion/Summary ▪ Successful first quarter 2017 with positive development of operational business ▪ Vacancy rate: 1.3% ▪ Transfer of possession of three assets in Cologne, Hallstadt/Bamberg and Berlin ▪ Portfolio value: €1.2 billion Forecast 2017 ▪ Rental income: + 16 - 18% ▪
Slide 36: Many thanks for your attention!
Financial Calendar HAMBORNER REIT AG Financial Calendar Interim Report for 1st half 2017 8 August 2017 Interim Report for 3rd quarter 2017 9 November 2017 Annual Report 2017 21 March 2018 Interim Report for 1st quarter 2018 25 April 2018 AGM 2018 26 April 2018 Many thanks for your attention! HAMBORN
Slide 37: TOP Properties (1/2)
Appendix TOP 10 Properties (1/2) Mannheim Lübeck Munich Cologne Berlin Kurpfalz Center Haerder-Center NuOffice O3 EUREF-Campus Asset type Retail High Street Office Office Office Year of acquisition 2016 2016 2013 2017 2013 Purchase price € 80.0 million €49.1 million € 40.1 million € 48.9 million € 3
Slide 38: TOP Properties (2/2)
Appendix TOP 10 Properties (2/2) Hallstadt/Bamberg Dortmund Gießen Karlsruhe Celle Market Oberfranken DOMI Westoria Gießen Asset type Retail Retail/Office Retail Retail/Office Retail Year of acquisition 2017 2012 2015 2016 2015 Purchase price € 43.7 million € 37.0 million € 35.2 million € 30.8 milli
Slide 39: Contact
Contact Dr. Rüdiger Mrotzek – Member of the Board T +49 (0)203 / 54405-55 M r.mrotzek@hamborner.de Hans Richard Schmitz – Member of the Board T +49 (0)203 / 54405-21 M h.schmitz@hamborner.de Christoph Heitmann – Investor Relations T +49 (0)203 / 54405-32 M c.heitmann@hamborner.de HAMBORNER REIT AG -
Slide 40: Disclaimer
Disclaimer This presentation was exclusively prepared for the addresses specified on the title page and/or the participants at the mentioned event. The information in this presentation is based on both public information and documents as well as information which was made available to HAMBORNER REIT