Stockland · ASX:SGP
Stockland — Investor Day (November 2022)
35 slides from Stockland's investor day presentation, Nov 3, 2022
Slide 1: Logistics Investor Day
For personal use only Logistics Investor Day 3 November 2022 Artist impression Melbourne Business Park VIC
Slide 2: Acknowledgement of Country
For personal use only Stockland acknowledges the Traditional Custodians and knowledge holders of the land where we live, work and play, and pay our respects to their Elders past, present and emerging Furthermore, we thank all Aboriginal and Torres Strait Islander Peoples for enriching our nation wit
Slide 3: Agenda
Agenda For personal use only Our Logistics Louise Mason Strategy CEO, Commercial Property Logistics Louise Mason fundamental drivers CEO, Commercial Property Our portfolio and Tony D'Addona development pipeline Executive GM, Logistics Louise Mason Our platform CEO, Commercial Property and capability
Slide 4: Our Logistics strategy
Our Logistics For personal use only strategy Louise Mason 4 Wetherill Park Distribution Centre, NSW
Slide 5: Group strategic priorities
Group strategic priorities Logistics is a key part of our Group strategy For personal use only Rapid growth and well positioned for further scale Capital 30-50%1,2 allocation % 10% 24% Including Workplace Completed ~$400m - developments ~$97m ~$300m $500m4 p.a. Reshape Accelerate Scale Sustainable D
Slide 6: Logistics portfolio strategy
Logistics portfolio strategy Targeted approach in delivering our priorities For personal use only Our approach Our preferred precincts Strategic priorities underpinned 1 by long-term structural factors • Develop-to-hold strategy reweighting • Based on market fundamentals1 the portfolio toward high q
Slide 7: Logistics fundamental drivers
Logistics For personal use only fundamental drivers Louise Mason 7 Coopers Paddock, Warwick Farm, NSW
Slide 8: Key thematics
Key thematics Tailwinds providing support for logistics over the long-term For personal use only Ongoing major trends Structural changes Cyclical influences Sustainable growth • Population growth rebounding in • Accelerated digitisation driven by • Elevated tenant demand driving low • Favourable dem
Slide 9: Fundamental drivers are favourable
Fundamental drivers are favourable Elevated tenant demand amidst staged release of developable land in the medium-term For personal use only • Over the long-term, fundamental drivers for logistics in Australia remain Strong face rent growth across the precincts4 favourable 40% 34.8% 3Q22 YoY% total
Slide 10: Our portfolio and development pipeline
Our portfolio and For personal use only development pipeline Tony D’Addona 10 Ingleburn Logistics Park, NSW
Slide 11: Our Logistics portfolio today
Our Logistics portfolio today High quality portfolio strategically located across the Eastern seaboard For personal use only Portfolio: $0.5bn, 16% by book value3 3.3 yrs WALE1,2 Pipeline: $0.4bn, 7% by end value6 4.1% WACR3 100% Eastern Seaboard Portfolio: $1.9bn, 61% by book value3 12.1% Average e
Slide 12: Attractive development pipeline
Attractive development pipeline Rapid expansion of a competitive pipeline For personal use only Total ~$6.4bn development pipeline2 Targeting ~5-6% yield on cost6 Targeting ~$600m development completions for FY232 1. Subject to approvals and where applicable, the acquisition and/or completion of the
Slide 13: Well positioned development pipeline
Well positioned development pipeline For personal use only • Inner and middle ring locations with high barriers to entry • Land-constrained infill and brownfield locations 1 • Stockland greenfield exposure positioned for activation ahead of In attractive competing supply locations • Infrastructure-e
Slide 14: In attractive locations – Sydney pipeline
In attractive locations – Sydney pipeline Weighted toward brownfield precincts For personal use only 1 3 2 7 Label Established Asset 4 1 Forrester Distribution Centre 8 2 Quarry Road 5 3 23 Wonderland Drive 4 Wetherill Park Distribution Centre 6 5 Granville Industrial Estate 11 6 Coopers Paddock, Wa
Slide 15: In attractive locations – Melbourne pipeline
In attractive locations – Melbourne pipeline Diversity of development product in greenfield and brownfield locations For personal use only 1 6 2 9 7 3 4 8 Label Established Asset 1 Somerton Distribution Centre KeyWest Distribution Centre, 2 Truganina 3 72-76 Cherry Lane 5 4 Altona Distribution Centr
Slide 16: Strong embedded value – acquired well in attractive locations
Strong embedded value – acquired well in attractive locations Acquired at attractive points in the cycle, in desirable locations with strong tenant demand For personal use only Landbank acquired at attractive points in the cycle1,2 Low vacancy rates in our key development submarkets QLD Precincts Va
Slide 17: Case study: Greenfield development
Case study: Greenfield development Competitive advantage leveraging the strength of our landbank and masterplanning capabilities For personal use only ~260ha site set to become one of the largest integrated logistics estates in Melbourne Australia; adjacent to Stockland’s Mt Atkinson residential dev
Slide 18: Case study: Infill and Brownfield development
Case study: Infill and Brownfield development Redevelopment of underutilised assets in land constrained, established markets For personal use only Potential intermodal redevelopment; one of the largest single landholdings in Yennora Yennora, set over 70ha Distribution In an attractive location: di
Slide 19: Our platform and capability
Our platform and For personal use only capability Louise Mason and Tony D’Addona 19 Artist impression, Melbourne Business Park, VIC
Slide 20: Proven Logistics platform with strong leadership and capability
Proven Logistics platform with strong leadership and capability For personal use only Diversified platform with deep and broad expertise • Strong leadership team driving operational excellence and strategic focus Louise Mason Tony D’Addona Petie Walker Craig Lenarduzzi Robert Salerno • Diversified p
Slide 21: Diversified platform with end-to-end capability
Diversified platform with end-to-end capability Leveraging competitive benefits for origination, development and asset management For personal use only Diversified platform Vertically integrated capability • Cross-sector origination opportunities and • Dedicated in-house Logistics team masterplannin
Slide 22: Strong track record
Strong track record Creation and curation of high-quality product For personal use only 263,000 sqm over Gregory Hills, NSW Leppington Business Park, NSW (Stage 1) FY18-FY22 Coopers Paddock, KeyWest Yatala Distribution Warwick Farm, NSW Distribution Centre, QLD Centre, VIC (Stage 1 and 2) Melbourne
Slide 23: Summary
For personal use only Summary Louise Mason Artist impression Ingleburn Logistics Park Stage 3, NSW 23
Slide 24: Accelerating Group strategic priorities
Accelerating Group strategic priorities Delivery of our development pipeline creating value and high quality recurring income For personal use only Indicative development expenditure and completions profile ~$1.2bn 1,2 Forecast end value on completion of active projects ~$5.2bn1 5-6%3 Target yield o
Slide 25: Our Logistics business
Our Logistics business Strong platform with clear strategic priorities and proven execution capability For personal use only Yennora Distribution Centre, NSW Coopers Paddock, Warwick Farm, NSW Ingleburn Logistics Park, NSW Strategic priorities underpinned High quality portfolio and Proven platform w
Slide 26: Annexure
For personal use only Annexure 26 Willawong Distribution Centre, QLD
Slide 27: Asset map – Sydney portfolio
Asset map – Sydney portfolio For personal use only 1 3 2 Label Established Asset 7 4 Forrester Distribution 1 Centre 8 2 Quarry Road 5 3 23 Wonderland Drive Wetherill Park Distribution 4 Centre 6 5 Granville Industrial Estate 11 Coopers Paddock, 9 6 Warwick Farm 7 Kemps Creek 10 Yennora Distribution
Slide 28: Asset map – Melbourne portfolio
Asset map – Melbourne portfolio For personal use only 1 Label Asset 6 Somerton Distribution 1 2 Centre 9 KeyWest Distribution 2 7 3 Centre, Truganina 4 8 3 72-76 Cherry Lane 4 Altona Distribution Centre 5 Oakleigh Industrial Estate 5 6 Melbourne Business Park 20 and 42 Amherst Drive, 7 Truganina 8 A
Slide 29: Asset map – Brisbane portfolio
Asset map – Brisbane portfolio For personal use only 1 2 3 5 4 Label Asset 1 Hendra Industrial Estate 787 Boundary Road, 2 Richlands 182 Bowhill Road, 3 Willawong Willawong Distribution 4 Centre 39 Silica Street, Carole 5 Park 6 Yatala Distribution 6 Centre1 1. Comprises Yatala Distribution Centre a
Slide 30: Development pipeline – Priority precincts
Development pipeline – Priority precincts Precinct selection based on strong fundamentals; differentiated approach to each precinct For personal use only Sydney precinct: Sydney industrial vacancy1 Growing our Sydney portfolio is central to our Logistics strategy. Stockland’s diversified Sydney port
Slide 31: Development pipeline – strong market fundamentals across the Eastern seaboard
Development pipeline – strong market fundamentals across the Eastern seaboard For personal use only Eastern Seaboard vacancy – 3Q21 to 2Q221 Eastern Seaboard vacancy – 2012 to 20221 900 2500 800 700 2000 600 1500 ‘000s sqm ‘000s sqm 500 400 1000 300 200 500 100 0 0 Melbourne Brisbane Sydney 2012 201
Slide 32: Case study: Smeg Distribution Centre
Case study: Smeg Distribution Centre Potential to deliver a modern efficient industrial estate in south Sydney For personal use only 11km south of Sydney CBD, population of ~4.3m In an within 45-min drive1 attractive location Close proximity to Port Botany and the M1 motorway Strong Potential
Slide 33: Case study: 96-112 Gow Street, Padstow
Case study: 96-112 Gow Street, Padstow Potential multi-storey facility ideal for ‘last-mile’ logistics in an strategic infill location For personal use only 17km southwest of Sydney CBD, population of In an ~4.5m within 45-min drive1 attractive location Proximity to precinct amenity and major ar
Slide 34: Case study: Yennora Distribution Centre
Case study: Yennora Distribution Centre Potential intermodal redevelopment on a 70ha site; one of the largest single landholdings in Yennora For personal use only Strategically located with direct rail access, links In an to Port Botany (39km), Sydney Airport (31km) attractive and Cumberland Highw
Slide 35: Important Notice
Stockland Corporation Limited ACN 000 181 733 Stockland Trust Management Limited ACN 001 900 741; AFSL 241190 As responsible entity for Stockland Trust For personal use only ARSN 092 897 348 LEVEL 25 133 Castlereagh Street SYDNEY NSW 2000 Important Notice This Presentation and its accompanying Annex