Gav-yam Lands Corp. Ltd · TASE:GVYM
Gav-yam Lands — Q2 2021 Earnings Presentation
67 slides from Gav-yam Lands's earnings presentation, Jun 30, 2021
Slide 1: Capital Market Presentation 2021 Q2
GAV~ YAM Capital Market Presentation 2021 Q2 Winner of the award for the best office building in the world
Slide 2: About Gav-Yam
About GAV° YAM NIS 1.5 billion Liquid resources 50.5% Leverage rate 44years ——— ilAA —— __ ilAa2 Average term of S&P Maalot Moody's lease agreements bond rating bond rating 1-6.2021 NIS 232 million Cash flow from operating activities 7.0% Cap rate derived from income-producing properties Over 90 yea
Slide 3: Over 90 years of leadership in high-tech parks and offices
Over 90 years of leadership in initiating, developing and managing high-tech parks and offices, logistics and industry have established Gav-Yam as the leading income- producing property company in Israel, and among its customers are a variety of leading technology companies from Israel and around th
Slide 4: Main areas of activity
cav°vaM — Main areas 6%- of activity ™ 75% of the Company's rental revenue ¢ Wide geographical and sectoral distribution 1 9 % * Top tier international and of the Company's Israeli companies rental revenue * No significant customer who generates more than 10% of rental revenue * Strategic partnershi
Slide 5: To provide the best work environment for global technology
To provide the best work environment for global technology and for the business sector in Israel
Slide 6: Companies traded on the world's leading stock exchanges
Companies traded on the world’s leading stock exchanges Companies traded on The Company's eee customers 2.3 Order backlog in NIS billions, not including in construction (as of Dec. 31, 2020) cav°vaM — Risk diversification 2.75 NIS billions, includin« in construction (as o Dec. 31, 2020) ‘Average ter
Slide 7: The Company's customers
cav°vaM — The Company’s customers amazon é : cpr systems BB Microsoft (Pfizer) D@LLEMC (intel) Wwix « source Zerto [pe] svatasys ¥ \waronis ak. fe oe >, | RAFAELG@ Medtronic AA) yahoo! Google AVIDIA. ‘MOTORGER bor Directorate wale . tufin Regus LogistiCare Piussoo trax oracte “Siow tem —-wework. ene
Slide 8: Gav-Yam locations nationwide
GAVYAMHAIFA *@ 1 9 Gay°vanr ona Gav? yan Cities cava Gav® yam oe 5 5 GAV®YAMTLV-@ 22 ationwide “rm 4 . av yaMacea 0 % is ° OQ bs cav°vam Panera Y, we ISCTFIDUTION meee ret cavvam Sand industey °° ema eAMGDEROH GaVEYAMJERUSAL GAV®YAMNEGEV-@ 10) cupancy
Slide 9: Gav-Yam assets
SS Gav-Yam assets 1,030,000 = 343,000 N F In construction, planning and _ licensing stages, the Company's "share in the consolidation from approx. 407,000 m? In expanded solo 278,600 m? » (including approx. _ 277,000 m’? of parking) 145,000 » In City Building Plan processes, the Company's share in t
Slide 10: Connection between academic institutions and technology companies
In our technology parks, a unique connection has been created between leading academic institutions and quality human capital, alongside a variety of leading technology companies from around the world nowoiwm 4. 1 33) ADIN NOIDIN eal
Slide 11: Distribution of income-generating property
cav°vaM — Distribution of 7;0% income fe Logistics and Industry) 248,500 m? High-tech and Offices«) 4 @ 1518 NIS millions i, 6.9% <7? Caprate 709,900 m Value of income- generating property 7,797 NIS millions & Hy, 6.9% 27 Weighted average rate of return 5,847 NIS millions Commerce 51,900 m & 132, NI
Slide 12: Capital Market Presentation Q2 2021
GAV~ YAM Capital Market Presentation a2 2021
Slide 13: Signing of lease agreements Q2
GaveYAM — Signing of lease agreements Q2 average real increase 12.4% T Real increase | Existing 5.6% Exercise of properties option 9 4-6/2024 1-6/2021 13% 7 Reber of leases Aember of leases aa100 46500 T Real increase Above ground area (m?) Above ground area (m”) 125% Real increase NIS 21.9 million
Slide 14: Signing of lease agreements H1
Signing of lease agreements H1 average real increase 9.7% T Real increase Exercise of 4.9% option 15% Existing, ~~ properties 1-6/2021 4-6/2021 78 5B Real increase Number of leases Number of leases 10.5% Real increase 46,500 33,100 ‘Above ground area (m2) Above ground area (m?) 10.6% NIS 31.5 millio
Slide 15: Signing of lease agreements Herzliya North
GaveYAM — Signing of lease a The Company has signed 6 lease ag reements at Gav-Yam Park Herzliya North, in relation to a total above ground area of A/D OX. 13 thousand m2, that generate approx. NIS 13.3 million a year, with a real increasein the average rate of approx. 16%. For these agreements, the
Slide 16: The project Ramat HaNasi, Haifa sale
The project Ramat HaNasi. Haifa Sale Sold for the amount of NIS 215 million, and a conditional consideration according to the number of housing units that will be approved later. Profit will be recognized in Q3. July 2021 Number of housina units Approx. 350 units approved for construction under the
Slide 17: Capital Market Presentation Q2 2021
Capital Market Presentation Q2 2021 17
Slide 18: Financial results
GaveYAM — Financial —«. results (AKG oH 1ud SIN = N Ww ei Net profit seit EBITDA property Rental income Nol (96% of revenue) Attributed to From operating shareholders
Slide 19: Financial results
GaveYAM — Financial. ss. A = a Z. s s Gantilen Net profit FFO Same EBITDA Attributed property Wah wg) From operating Attributed to shareholders NOI activities Rental income NOI (96% of revenue)
Slide 20: Summary of financial data
Summary of financial data i —— sso (in NIS millions) Rental income NOI Same Properties NOI EBITDA Increase in fair value of investment property Cash flow from operating activities Net profit attributed to shareholders FFO attributed to shareholders
Slide 21: Summary of financial data
Summary of financial data (in NIS millions) Rental income NOI Same Properties NO! EBITDA Increase in fair value of investment property Cash flow from operating activities Net profit attributed to shareholders FFO attributed to shareholders 135 130 129 122 375 151 263 63 Q2 133 130 130 121 (2) 102 64
Slide 22: Summary of financial data
Summary of financial data (in NIS millions) Investment property Net financial debt Leverage Equity attributed to shareholders Market cap “) (1) Market cap as of July 25, 2021 - NIS 6,584 million Rate of Increase in %
Slide 23: Summary of balance sheet
Summary of balance sheet (in NIS millions Liquid resources Investment property: Property under construction Land Income-producing property Other assets Total assets 30/6/2021 | 31/12/2020 Gross financial debt 30/6/2021 | 31/12/202¢ Other liabilities Deferred taxes Non-controlling interests Total lia
Slide 24: Income-producing area growth 2012-2020
534 2020 1,0 34, 00 0 510 2019 995,000 459 2018 919,000 445 2017 892,000 421 2016 877,000 2015 392 859,000 2014 808,000 361 2013 758,000 346 2012 736,000 338
Slide 25: Forecast
745 516 490 430 441 406 377 333 349 323 2012 2013 2014 2015 2016 2017 2018 2019 2020 2024 forecast
Slide 26: Forecast
700 458 480 401 407 353 375 308 328 298 2012 2013 2014 2015 2016 2017 2018 2019 2020 2024 forecast
Slide 27: FFO 2012-2021
49 53 51 49 50 45 47 47 50 50.5 534 510 445 459 421 392 346 361 338 269 2012 2013 2014 2015 2016 2017 2018 2019 2020 1-6.2021
Slide 28: Investment property value 2012-2021
8,897 8,219 7,770 100% 100% 6,752 100% 6,379 100% 5,858 5,497 5,156 4,930 85% 4,457 86% 83% 83% 82% 84% 2012 2013 2014 2015 2016 2017 2018 2019 2020 6.2021
Slide 29: Debt maturity schedule
3.7 2.8 2.8 3.1 2.8 2.8 2.5 2.0 1,399 CPI-linked, 2,899 849 53% 756 756 606 606 425 13 07/12/2021 2022 2023 2024 2025 2026 2027 2028-2034
Slide 30: Summary of expanded solo financial data
Summary of ded solo financial data* expand (in NIS millions) Rental income NOI Same properties NOI EBITDA Increase in fair value of investment property Net financing expenses Tax expenses Net profit FFO * Share attributed to shareholders (Matam 50.1%, Gav-Yam Negev 73.25%)
Slide 31: Summary of expanded solo financial data
Summary of expanded solo financial data* (in NIS millions) June 30, Dec. 31, 2020 Liquid resources 1 Gross financial debt ae Other liabilities Fair value of investment property Of which: Property under construction Deferred tax Land Income-producing properties Equity Other assets Total liabilities a
Slide 32: 2012 2013 2014 2015 2016 2017 2018 2019 2020
231 240 199 187 170 159 135 132 132 2012 2013 2014 2015 2016 2017 2018 2019 2020
Slide 33: Capital Market Presentation Q2 2021
Capital Market Presentation Q2 2021
Slide 34: Projects under development
Projects under development » ON 11 12 The Projects Above Ground Parking The Company's Share Construction Costs Cost Balance as of Rental Reventie" Expected Return = Matam Towers East #1 28,000 18,000 46,000 46,000 276 147 28 10.1% Matam Towers East #2 28,500 18,500 47,000 47,000 271 220 29 10.7% Mat
Slide 35: Projects under development
Projects under development. ee=reedsote" The Projects Expected Yield 1 Matam Towers East #1 23,000 138 735 2 Matam Towers East #2 23,500 1355 110 145 10.7% 3 Matam Towers East #3 17,500 865 70 10 115% 4 Gav-Yam Park Raanana #1 (2) 40,300 222 164 16 77% 5 Gav-Yam Park Hebrew University, Stage A (2) 5
Slide 36: Projects in planning
Projects in planning The Projects 1 Gav-Yam Park Holon - #3 23,000 22,000 45,000 45,000 2 Gav-Yam Park Rehovot - #5 22,000 15,000 37,000 27,000 3 av am Cassarea Business Conic") 44,500 - 41,500 5,750 4 a Park Yavne - Kiryat 35,000-40,000 - 35,000-40,000 | 35,000-40,000 5 Gav-Yam Park Negev #5 12,000
Slide 37: Projects in development
Projects in development After completion and population of Total rental projects in development Ofal rental areas (Q4/2024) approx. 1,373,000 m? (an additional 343,000 m?! Annual rental revenue from buildings approx. NIS 775 million
Slide 38: Projects in development: Offices
Projects in Offices development
Slide 39: Development of Logistics and Industry
fevsiopment ef Logistics and Industry Gav-Yam Park Haifa Bay 4/4 Gav-Yam Park Gederot 14 Gav-Yam Park Haifa Bay 34 — Gav-Yam Park Ashkelon 1 tf
Slide 40: Establishment of photovoltaic facilities on rooftops
cav°vAM — Establishment of photovoltaic facilities on the rooftops of the Company's buildings a at The Project 70 photovoltaic facilities wy Investment ~— NIS 64 million 11@ § NOI NIS 9 million es Capacity “> Approx. 16 MW Gav-Yam Caesarea @
Slide 41: Projects in development: Matam East
cav°vaM — Projects in development Matam East #1 Approx, 46,000 m? SS “| of which 28,000 m?is above aan raf Internationa ground High-tech “>> Completion date (eB) 5/2022 <= Total cost NIS 276 million © Revenue “SO NIS 28 million ©\ Matam East #2 Approx, 47,000 m2 of which 28,560 m? is above ground Co
Slide 42: Matam Towers East #1+#2
cav°vAM — Projects in development Matam Towers East #1+#2 Image: July 2021 @
Slide 43: Matam Towers East #3
GaveYAM — p roj ects n Matam Towers East #3 development os [Approx 35,000 ny -= of which 20,000 m? is above ground > Completion date Q4/2024 NIS 173 million w) <P Total cost Q = Revenue “ST NIS 20 million Yield SS 115% Total Matam Towers East #1+#2+#3 - 130 thousand m? of which 77,000 m? is above gr
Slide 44: Gav-Yam Park Raanana #1
cav°vaM — p roj ects n Gav-Yam Park Raanana #1 deve OPC Cm LL Approx. $8,000 m? "=! of which approx. 25,400 m? is above ground Completion date Q3/2023 <P Total cost NIS 222 million g Revenue 0) NIS 16 million Combination transactions ‘The Company's share 09.5% arking attributed to Stage B
Slide 45: Gav-Yam Park Raanana #1
Gav-Yam Park Raanana #1 Image: July 2021
Slide 46: Gav-Yam Park Hebrew University, Stage A
Projects in development Gav-Yam Park Hebrew University, Stage A 4s Lightricks E- A oro = Combination transactio: The Company's shan 2 66%
Slide 47: Gav-Yam Park Hebrew University, Stage A
Gav-Yam Park Hebrew University, Stage A Image: July 2021
Slide 48: Gav-Yam Herzliya North 02 expansion + parking
Projects in development ss “Approx. 45,000 my? == of which 23,000 m? is above ground >) Completion date ©) aanbaa <P Total cost NIS 367 million © Revenue “1 NIS26 million h = Yield SS 74% Gav-Yam Herzliya North 02 expansion + parking i f iW LALA MATL
Slide 49: Partial parking ToHa2
GaAV®YAM Partial parking ToHa2 Image: April 24
Slide 50: City Building Plans in process: ToHa
City Building Plans in process ToHa 2 The Company is working to continue promoting the project, including construction of a partially underground car park in the area under the planned ToHa2 ‘tower, with an underground area of approx. 16 thousand m2, and continuing the planning of ToHaz. in 2018, th
Slide 51: Gav-Yam Park Gederot #1
Approx. 7,500 m? Completion date Q4/2021 Total cost NIS 55 million Revenue NIS 4 million Yield 73% Gav-Yam Park Gederot #1
Slide 52: Gav-Yam Park Gederot
Gav®vAM — p roj ects n Gav-Yam Park Gederot deve OPC mm Image: July 2021 @
Slide 53: Gav-Yam Park Haifa Bay #3
Projects in development ~e -L2) Approx. 6,100 m? @ Completion date Q2/2022 Total cost NIS 33 million © Revenue NIS 3 million Yield 9% ge | 6 Gav-Yam Park Haifa Bay #3 cav°vaM —
Slide 54: Gav-Yam Park Haifa Bay #4
Projects in development Approx. 20,000 m? Completion date Q4/2022 Total cost NIS 125 million Revenue NIS 10 million fer | Go) @ | | t8 Yield 8% Gav-Yam Park Haifa Bay #4 cav°vaM —
Slide 55: Gav-Yam Park Ashkelon
cav°vAM — Projects in Gav-Yam Park Ashkelon development “11 Approx. 40,500 m? Are to be built on approx. 55 dunams, in the Ashkelon industrial zone Q1/2023 i q © Total cost, z oN NIS 790 million ee Revenue NIS 12 million Completion date Q 15] jo|@ ( Ed & Yield 6% ** Upon completion of the plant's co
Slide 56: Available building rights
cav°vaM — Available an building onan ao ¢ ri g hts 18,000 m? CaesareaS"OSN 8,000 m2 RaananalatO=a 490,000 ee - O available for construction 19,000 m? Herzliya Bain a i (Company's share in 2 5®. ; the Consolidation) 17,000 m -Holon|il™ maak ——¢ Main income- generating space, not including projects 46
Slide 57: Capital Market Presentation Q2 2021
GAV~ YAM Capital Market Presentation a2 2021
Slide 58: Projects in planning: Gav-Yam Park Holon #3
Projects in planning Gav-Yam Park Holon - #3 “<)> Approx. 23,000 m?is above ) ground © 22,000 m? of underground parking me te — te = ime =: & bls fe beals be
Slide 59: Projects in planning: Gav-Yam Park Rehovot #5
Projects, in planning “p=! Approx. 22,000 m?is above 4 ground ©" 75,000 m? of underground parking “The Company's share 7 2% Gav-Yam Park Rehovot - #5
Slide 60: Gav-Yam Caesarea Business Center #1
e°sa — Projects Gav-Yam Caesarea Business Center - #1 IN planning prox 11,500 m? is ove ground Partnership with the Caesarea Development Corporation * The Company's share 50%
Slide 61: Gav-Yam Park Yavne - Kiryat Melacha
Gav-Yam Park Yavne - Kiryat Melacha Built-up area of approx. 35,000 -40,000 me
Slide 62: Gav-Yam Park Negev, Building
cav°vAM — Projects in Gav-Yam Park Negev, Building 5 planning : ran Approx. 12,000 m? is above “== groun
Slide 63: Gav-Yam Holon, residential
p roj ects n Gav-Yam Holon, residential planning SS oe a Approx. 500 housing units
Slide 64: Gav-Yam Acre residential project
Projects in planning i A residential project with 1,000 === housing units Gav-Yam Acre cav°vaM —
Slide 65: Matam Data Center, Haifa
Projects in planning — | An area of approx. 12,800 m2, Capacity of approx. 15 MW Matam Data Center, Haifa GaVeYAM
Slide 66: Givat Ram Data Center Jerusalem
Givat Ram Data Center Jerusalem An area of approx. 7,500 m2, capacity of approx. 9 MW
Slide 67: Forward-looking information disclaimer
GAV~ YAM This presentation includes forecasts, assessments, estimates and other information relating to future events and matters, for which the extent of their realization is uncertain and not solely under the control of the Company (forward-looking information) The main facts and data that served