Nextensa · EURONEXT:NEXTA
Nextensa — Leasinvest Real Estate — H1 2020 Earnings Presentation
61 slides from Nextensa's earnings presentation, Aug 20, 2020
Slide 1: Investor Presentation Half-year results 2020
INVESTOR PRESENTATION Half-year results 2020
Slide 2: Table of Contents
Table of Contents 1. Activity overview 5 2. Portfolio overview 19 3. Highlights 1H 2020 26 4. Financials & outlook 28 Appendices 37 2 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 3: Disclaimer
This presentation has been Forward looking In addition, even if the prepared by the management statements Company’s results, condition, of Leasinvest Real Estate SCA, and growth and the a Belgian public real estate These forward-looking development of the industry in investment company statements ar
Slide 4: Covid impact on 30/06/2020 results
Covid 19 impact on 30/06/2020 results Given the strong diversification of Leasinvest's real estate portfolio, the country-by-country impact was quite different: Austria: mainly retail parks and short lockdown result in limited impact Grand Duchy of Luxembourg: impact strongly depending on type of as
Slide 5: Activity overview
Activity overview 1. 5 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 6: Developments
Developments Knauf Hangar Pommerloch 26/27 (LU) (BE) Monteco Knauf (Montoyer Schmiede 14) (LU) (BE) 6 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 7: CBD Brussels (BE)
Monteco (Montoyer 14) CBD Brussels (BE) 7 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 8: Redevelopment Montoyer
Redevelopment Montoyer 14 • in the European Quarter • First higher wooden construction Office building of +/- 3,700 m² • C02 neutral passive building to redevelop • New generation of ‘recyclable buildings • Objective: BREEAM Excellent Expected Rent Price • Building permit granted - start demolition
Slide 9: Antwerp (BE)
Hangar 26/27 Antwerp (BE) 9 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 10: Hangar 26/27 Antwerp
Hangar 26/27 Antwerp (BE) • Danish architects CF Moller have been appointed to design a high-end mixed projects € 23 m with extension of offices Investment Price: and retail • Building permit request 9,171 m² delayed by Covid-19 Retail and offices • Construction works foreseen to start in Q4 2020 Ne
Slide 11: Redevelopment Knauf shopping center
Schmiede (LU) Redevelopment Knauf shopping center 11 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 12: Knauf shopping center Schmiede
Knauf shopping center Schmiede (LU) • Strengthening position as largest shopping center in the North of € 25 m Luxembourg Foreseen Capex • First renovation phase open to Q3 2021 the public Reception • Opening largest Delhaize in the Extension of Benelux (3,500 m²) & new H&M ~ 7,000 m² store (adding
Slide 13: Redevelopment Knauf shopping center
Pommerloch (LU) Redevelopment Knauf shopping center 13 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 14: Knauf shopping center Pommerloch
Knauf shopping center Pommerloch (LU) • Reception building shell September 2020 • Opening of commercial Extension units end-October 2020 of parking & additional • New parking partially commercial space opened during construction industry holiday in order to welcome tourists in the region 14 Half-yea
Slide 15: EBBC Business Park
Redevelopment EBBC Business Park 15 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 16: EBBC Business park
EBBC Business park • Redevelopment strategy finalized € 28 m • Preliminary works planned as of September Foreseen Capex 2020 • Starting with renovation of common parts and vacant spaces • Final reception end 2023 ~ 27,000 m² • Vacant spaces Benefit from new withdrawn from rental infrastructures arou
Slide 17: EBBC Business park – improvement axes
EBBC Business park – improvement axes • Facades renovation • Entrance/floors halls/restrooms renovation • Use of vacant ground floor spaces to offer new services to occupiers • Use of the full potential of outside spaces in order to create a central place and more socialization spaces. First archite
Slide 18: Leases
Leases Mercator: Esch: In-principle agreement fully leased thanks to awaited for 1,557 m² extension with current tenant signed for 461 m² extension with 433 m² (remaining current tenant vacant space) Knauf shopping centers: signing of a number of new leases and renewals The Crescent Anderlecht: impo
Slide 19: Portfolio overview
Portfolio overview 2. Knauf Shopping Center Schmiede (LU) 19 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 20: Portfolio overview: focused on two segments in three countries
Portfolio overview Portfolio split – Fair value 30/06/2020 AT 16% LU 53% € 1.11 Bn 01. Focused on two Portfolio split – Net income segments in three countries BE 30/06/2020 31% AT 16% Logistics 6% Offices 46% € 29 m LU € 1.11 Bn BE 50% 34% Retail 48% Logistics 5% Retail 48% Excluding stake in Retail
Slide 21: Portfolio overview: market segments and geographical diversification
Portfolio overview BE 02. A unique combination of market segments and FV | € 345.5 m geographical diversification Yield | 6.13% FV | € 1.11 bn | Yield | 5.90% LU Offices 255.6 FV | € 586.9 m Yield | 5.91% Retail Logistics Retail 50,4 39,5 299.8 Offices 264.7 AT FV | € 181.0 m Yield | 5.48% Retail Lo
Slide 22: Portfolio overview: long term growth
Portfolio overview 03. Demonstrating long term growth through a focused approach Evolution of portfolio fair value per country Evolution of split in market segments Including stake in Retail Estates Focus on two asset classes • i.e. retail and offices Focus on three countries • sale of largest part
Slide 23: Portfolio overview: occupancy rates and lease duration
Portfolio overview Duration leases till first break per 30 June 2020 04. On the back of consistent (in y) occupancy rates Occupancy rates Luxembourg Belgium Austria Total 1H 2020 Total 2019 per 30 June 220 3.4 5.0 5.3 4.3 4.3 Luxembourg Belgium Austria Total 1H 2020 Total 2019 9,7 7,8 7,5 86.95% 94.
Slide 24: Leasinvest's markets: Office Market
Leasinvest’s markets Office Market (1H 2020) Belgium Take-up Brussels low due to high activity in 2019 and Covid-19 Vacancy rate: 7.6% (CBD 3.4%) Prime rent CBD: € 320/m2/y (stable) Investments: highest volume ever Luxembourg Prime yield: 4% (LT 3.5%) Vacancy rate ~ 3.5% Take-up: 117,000 m2 (in line
Slide 25: Leasinvest's markets: Retail Market
Leasinvest’s markets Retail Market (1H 2020) Austria Investment volume down by 20%, of which retail represented 2% Luxembourg Rental market: low activity, though encouraging signs (footfall) Out of town: suffered less and prime rents remain stable Investment market: low activity, few opportunities 2
Slide 26: Highlights 1H 2020
Treesquare (BE) 3. Highlights 1H 2020 26 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 27: Highlights 1H 2020
Highlights EPRA earnings 1H 2020 from ~ € 22.1 m (2019 incl. dividend RE) to ~ € 13.1 m (ex-dividend RE) Debt ratio at 58.07% Dividend 2019 +3% Funding cost increases to € 5.25/share 2.30% from 2.14% (2019) Real estate portfolio of € 1.194 bn including Retail Estates Net result € -30.7 m vs € 25.3 m
Slide 28: Financials & outlook
4. Financials & outlook 28 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 29: Key consolidated financials 1H 2020
Key Key figures balance sheet 30/06/2020 31/12/2019 consolidated Net asset value group share (€ 1,000) 428 439 492 577 Number of shares at closing date 5 926 644 5 926 644 financials Net asset value group share per share (€) 72.3 83.1 Net asset value group share per share based on investment value (
Slide 30: EPRA KPIs
EPRA KPIs EPRA performance measures 30/06/2020 30/06/2019 1H 2020 EPRA Earnings (in € per share) (1) 2.21 3.73 EPRA NAV (in € per share) (2) 83.98 89.07 EPRA NNNAV (in € per share) (3) 74.1 80.3 EPRA Net Initial Yield (in %) (4) 4.77% 5.32% EPRA Topped up Net Initial Yield (in %) (5) 4.78% 5.33% EPR
Slide 31: Consolidated income statement
Consolidated Consolidated statement realized and unrealized results (€ 1000) 30/06/2020 30/06/2019 (+) Rental income 29 141 32 377 (+) Write-back of lease payments sold and discounted 0 0 income (+/-) Related-rental expenses NET RENTAL INCOME -948 28 193 -202 32 175 statement (+) Recovery of propert
Slide 32: Consolidated balance sheet
Consolidated (€ 1,000) 30/06/2020 31/12/2019 (€ 1,000) 30/06/2020 31/12/2019 balance sheet ASSETS LIABILITIES I. NON-CURRENT TOTAL SHAREHOLDERS’ EQUITY 428 440 492 576 1 196 190 1 226 032 ASSETS I. SHAREHOLDERS’ EQUITY ATTRIBUTABLE TO THE Investment properties 1 095 730 1 092 529 428 440 492 576 SHA
Slide 33: Funding
Funding Funding diversification Rental yield vs funding cost • Cost of debt: increase from 2.14% (2019) to 2.30% 25% • Total committed lines (incl. bonds) of € 744 m 8% 7% • Duration credit facilities decreased 55% 6% from 3.88y (2019) to 3.51y 12% 5% • Available headroom credit facilities 8% 4% € 6
Slide 34: Hedging
Hedging • Debt financing – 72% fixed ratio • Hedge ratio – 85% • Fixed rate debt, incl. bonds (29%), Hedge ratio interest CAPs (13%) and interest rate swaps (43%) 100% • Duration hedges: 5.01y vs 5.54y (2019) 90% 80% 70% 60% Fix ratio Hedge ratio 50% strategy 40% 30% 20% 10% 0% jun/20 2020 2021 2022
Slide 35: Outlook FY 2020
Outlook FY 2020 Treesquare (BE) The lockdown measures following the Covid-19 pandemic, that were taken in the first half-year of 2020, impacted Leasinvest in the 3 geographical markets in which the company operates, and this mainly in the retail segment. We realize that the Covid-19 pandemic will al
Slide 36: Dividend evolution
Dividend Long term EPS & Gross DPS evolution 7,5 7,0 6,5 evolution 6,0 5,5 5,0 4,5 4,0 Dividend 3,5 3,0 Gross dividend 2019 increased +3% to € 5.25 over 2019 2000 2001 2002 2003 2004 2005 2006 2008 2009 2007 2011 2014 2017 2010 2012 2013 2015 2016 2018 2019 EPS (€) Gross dividend/share (€) (2018: €
Slide 37: Appendices
Knauf Shopping Center Schmiede (LU) 5. Appendices 37 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 38: Share price performance
Strassen (LU) 6. Share price performance 38 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 39: Share performance: share price LRE vs NAV
Share performance Share price LRE vs NAV 39 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 40: Share performance: vs EPRA, vs BEL MID
Share performance Vs EPRA Vs BEL MID 40 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 41: Share performance: performance report July 2020
Share performance Performance report July 2020 41 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 42: Investor relations team
Investor relations team Michel Van Geyte Chief Executive Officer Michel Van Geyte (54) joined Leasinvest Real Estate in August 2004. He is CEO and executive director of Leasinvest Real Estate and Leasinvest Immo Lux. michel.vangeyte@leasinvest.be Tim Rens Chief Financial Officer Tim Rens (38) joined
Slide 43: Key investment highlights
Key investment highlights 7. 43 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 44: Key investment highlights
Key investment highlights 4. 2. Proven expertise Diversified quality portfolio in (re)development on the back of dynamic of buildings asset management 1. Unique exposure to 3. the growing Luxembourg office Proactive commercial 5. and retail market approach translating into a high quality Strong divi
Slide 45: Company profile & strategic vision
8. Company profile & strategic vision 45 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 46: Company profile
Key figures 30/06/2020 Company profile 91.05% 5.90% Occupancy Rental yield AT € 1.11 bn Fair value portfolio 16% € 1.19 bn (incl. participation in Retail Estates) LU ~ € 485 m Market capitalization 12/08/2020 53% Fair Value Shareholders 4.26y 2.30% € 1.11 Bn • Ackermans & van Haaren 30.01% • AXA Bel
Slide 47: Strategic vision: investment strategy
Strategic vision Investment strategy Opportunity driven 2015 Tour & Taxis Royal Depot (BE) € 108 m landmark office building in Brussels 2012-2013 2008 Knauf shopping (LU) 2006 Metro Group retail (LU) Schmiede & Pommerloch € 170 m 100 shops Dexia Immo Lux (LU) portfolio € 50 m 3 buildings portfolio €
Slide 48: Strategic vision: investment strategy
Strategic vision Investment strategy Opportunity driven 2018-2019 2018-2019 EBBC (LU) Vösendorf (AT) 2017 Owning 5 out of 6 buildings 2 retail parks near in BP in Lux airport district SCS Nordring, largest Mercator (LU) - 2018: € 64 m + shopping complex close 2019: € 47 m to Vienna € 72 m 2017: furt
Slide 49: Strategic vision: development strategy
Strategic vision Development strategy Organic (re)developments Boomerang Strassen (LU) 2017-2020: redevelopment Strassen Montoyer Brussels CBD (BE) Reconstruction by 2018 2016: 21y usufruct with EP 49 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 50: Strategic vision: development strategy
Strategic vision Development strategy Organic (re)developments Royal 20 CBD (LU) Reconstruction by 2015 Let to China Merchant’s bank Sold with capital gain of > € 20 m on investment Treesquare (BE) Reconstruction in 2018 Building of ~ 6,500 m² Let to high end occupants 50 Half-year results 2020 | Le
Slide 51: Strategic vision: commercial strategy
Strategic vision Commercial strategy Maximizing lease duration & occupancy rates 3. Knauf Pommerloch 1. Tour & Taxis 2. De Mot Half-year results 2020 | Leasinvest.be 51 20/08/2020
Slide 52: Structure & Corporate governance
Structure & Corporate governance 9. 52 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 53: Corporate Structure
Corporate Structure Ackermans & van Haaren AXA Belgium 30% 27% 100% Leasinvest Real Estate SCA/Comm. VA Leasinvest Real Estate Management SA/NV On = BE REIT/SIR/GVV = buildings in Belgium = asset management for LRE & LIL 30/06/2020 Belgium Grand-duchy of Luxembourg Austria Leasinvest Services SA/NV
Slide 54: Directors nominated by AvH/AXA
Directors nominated by AvH/AXA Board of Directors & Management as per 18/05/2020 Piet Dejonghe Director member Executive Committee Ackermans & van Haaren Wim Aurousseau Director Chief Investment Officer of AXA Belgium SA) Jan Suykens Chairman CEO & chairman Michel Jean-Louis Executive Committee Appe
Slide 55: Independent directors
Independent directors Board of Directors & Management as per 18/05/2020 Dirk Adriaenssen Eric Van Dyck Independent Independent director director Cushman & Wakefield Marcia Managing director Redevco London – Chairman Capital Switzerland Asset De Wachter Markets EMEA/ ex-CIO Management Services AG Red
Slide 56: Executive committee
Executive committee (as of 1 December 2018) Board of Directors & Management as per 18/05/2020 Michel Van Geyte Chief Executive Officer 25 years of real estate experience of which 3 years as managing partner at Knight Frank Belgium and of which 13 years as COO/CIO with LRE Tim Rens Chief Financial Of
Slide 57: Corporate governance
Corporate governance Ordinary general meeting of 18 BoD AC BRC May 2020: Jan Suykens Chairman, non-executive director X (chairman) - Renewal mandate of Jean-Louis Appelmans for a term of 1 year Michel Van Geyte Managing director - Nomination of Wim Piet Dejonghe non-executive director X Aurousseau,
Slide 58: Main assets
Strassen (LU) 10. Main assets 58 Half-year results 2020 | Leasinvest.be 20/08/2020
Slide 59: Main assets in Luxembourg
OFFICE Main assets Montimmo Avenue Monterey, in Luxembourg CBD Acquisition: 2008 RETAIL Batiself & Siemes Diekirch Acquisition: 2008 OFFICES & WAREHOUSE CFM 3,600 m² Offices en RETAIL RETAIL 10,000 m² Warehouse RETAIL Strassen Shopping center Shopping center 2 phase renovation Knauf Pommerloch Knauf
Slide 60: Main assets in Belgium
Main assets in Belgium OFFICE The Crescent Anderlecht Lenniksebaan 451, Anderlecht OFFICE / RETAIL Acquisition: 2004 Brixton Business Park Brixtonlaan 1-30, Zaventem Acquisition: 1999 OFFICE / RETAIL Tour & Taxis Avenue du Port 86C, Brussels Acquisition: 2015 OFFICE / RETAIL Hangar 26/27 Rijnkaai, A
Slide 61: Main assets in Austria
Main assets in Austria RETAIL Nordring 2-10 & 16 Vösendorf – South of Vienna Acquisition: 2019 RETAIL Hornbach Baumarkt (Stadlau 22nd district Vienna) RETAIL Acquisition: 2017 Gewerbepark Stadlau (Stadlau 22 district Vienna) nd Acquisition: 2017 RETAIL Frun Park Asten Linz - 200 KM from Vienna Acqui
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