Lendlease Group · ASX:LLC
Lendlease — Macquarie Australia Conference 2015
19 slides from Lendlease's conference presentation, May 6, 2015
Slide 1: Lend Lease presentation at Macquarie Australia Conference in Sydney
ASX Announcement For personal use only Lend Lease presentation at Macquarie Australia Conference in Sydney 6 May 2015 Attached is the presentation given by Lend Lease Group Chief Financial Officer, Tony Lombardo at today’s Macquarie Australia Conference being held in Sydney. ENDS For further informa
Slide 2: Macquarie Investment Conference 2015
LEND LEASE Macquarie Investment Conference 2015 For personal use only 6 May 2015 Artist impression: The Cloud, Barangaroo South, Sydney
Slide 3: Indigenous engagement and reconciliation
Indigenous engagement and reconciliation For personal use only Lend Lease’s vision for Reconciliation is one in which all our employees acknowledge and celebrate the proud heritage of Australia’s First Peoples and promote opportunities for career development, sustainable business growth, and economi
Slide 4: Overview
Overview For personal use only 1. Residential - macro trends 2. Residential - portfolio / apartment pre-sales 3. Office developments 4. New project origination 5. Portfolio management and capital deployment 3
Slide 5: Residential macro trends
Residential macro trends Australia Australia Residential Demand & Supply For personal use only For year ended 30 June Strong population growth, driven by high 180,000 overseas migration since 2011, has fuelled housing demand especially in Sydney and No of dwellings 160,000 Melbourne 140,000 Mone
Slide 6: Residential portfolio
Residential portfolio Overview Estimated apartment Built-form backlog (units) For personal use only Substantial portfolio of over settlements (units) by year As at 31 December 2014 As at 31 December 2014 16000 20,000 built-form units, predominately apartments 12000 FY18 Circa 4,000 apartments FY
Slide 7: Residential macro trends
Residential macro trends Lend Lease Australian apartment sales – market share Australia Sales during 12 months ended 31 March 2015 For personal use only Last few years have seen an increase in apartment 2% sales in Australia, reflecting an increasing trend Australia Total ex- towards urbanisation
Slide 8: Apartment pre-sales driving further growth
Apartment pre-sales driving further growth Apartment launches since 31 December 2014 For personal use only London TOORAK PARK WEST GROVE, ARMADALE, MELBOURNE ELEPHANT PARK, LONDON 889 COLLINS STREET VICTORIA HARBOUR, MELBOURNE Launched March 2015 Launched February 2015 593 Apartments 466 Apa
Slide 9: Increasing pre-sales driving growth and earnings visibility
Increasing pre-sales driving growth and earnings visibility Pre sold and in conversion/delivery Pre-sold %1 FY15 FY16 FY17 FY18 For personal use only 2 apartment buildings: Anadara and Alexander Barangaroo South 159 units 100% 3 apartment buildings: Darling One, St Leon & Wirth House Darling S
Slide 10: Office developments
Office developments Six commercial towers in conversion and delivery K1, KING STREET For personal use only BRISBANE SHOWGROUNDS London THE INTERNATIONAL QUARTER Delivery commenced in STRATFORD, LONDON 2014 First commercial tower at TOWER 1, 2 & 3 Brisbane Showgrounds – BARANGAROO SOUTH, SYDNEY p
Slide 11: New project origination
New project origination For personal use only Increasing land prices in Australia making new project origination less attractive relative to offshore opportunities Immediate origination focus in Australia on select number of projects that offer strategic benefits (e.g. Barangaroo Central) or fil
Slide 12: New project origination
New project origination Two new urban regeneration For personal use only opportunities secured in Asia 60% JV stake in the TRX Lifestyle Kuala Lumpur Quarter – Kuala Lumpur ($2.8 billion TRX Lifestyle end development value) Quarter Singapore 30% JV stake in Paya Lebar Central Paya Lebar Centra
Slide 13: Portfolio Management
Portfolio Management For personal use only Development Construction Investments Earnings target Active 70 – 80% Recurring 20 – 30% Property 60 – 70% Earnings mix Infrastructure 30 – 40% Risk-adjusted capital allocation 35-45% 30-40% 20-30% Australia Geographic 60 – 70% Split Offshore 30 – 40% 12
Slide 14: Development capital employed
Development capital employed Development capital1 For personal use only Significant increase in production 100% capital of over 400% in last two years – delivering strong growth in 80% apartment settlements and several commercial towers at 60% major urban regeneration sites over the medium term 40
Slide 15: Indicative net cash flow from major projects in-delivery/conversion
Indicative net cash flow from major projects in-delivery/conversion at 31 December 14 For personal use only Overview FY15 FY16 FY17 Communities Net cash proceeds Cash Positive Cash Positive Cash Positive Assuming >2,000 annual lot settlements Net cash proceeds Apartments 21 apartment buildings curre
Slide 16: Summary and outlook
Summary and outlook For personal use only Residential demand in Australia and UK remains strong – growth in apartment demand illustrates urbanisation trends Expect pre-sales revenue to increase further by the end of FY15 New apartment launches in Melbourne and London in last six months Expec
Slide 17: Additional Information - East West Link
Additional Information - East West Link On 15 April 2015 Lend Lease announced that the East West Connect consortium reached an agreement (‘the agreement’) For personal use only with the Victorian Government in the form of a non-binding Heads of Agreement providing a resolution to the East West Link
Slide 18: Important Notice
Important Notice For personal use only This presentation has been prepared in good faith, but no representation or warranty, express or implied, is made as to the accuracy, adequacy or reliability of any statements, estimates, opinions or other information contained in the presentation (any of which
Slide 19: Macquarie Investment 2015 Conference
LEND LEASE Macquarie Investment 2015 Conference For personal use only 6 May 2015 Artist impression: Penthouse Terrace, One The Elephant, Elephant & Castle London
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