Enbd Reit (ceic) Plc · NASDAQDUBAI:ENBDREIT
Enbd Reit (ceic) — Investor Presentation (June 2017)
39 slides from Enbd Reit (ceic)'s investor presentation, Jun 30, 2017
Slide 1: Investor Presentation as at 30th June 2017
Investor Presentation as at 30th June 2017 www.enbdreit.com
Slide 2: Core team
Core team Tariq Bin Hendi Tim Rose Anthony Taylor Asif Siddique Director Head of Real Estate Fund Manager Chief Financial Officer ENBD REIT ENBD REIT ENBD REIT ENBD REIT www.enbdreit.com Investor Presentation as at 30th June 2017 2
Slide 3: Snapshot
Snapshot Offices: 62% Al Thuraya 1 Binghatti Terraces Portfolio property value Properties Residential: 28% USD 352m 8 Alternative: 10% Burj Daman Arabian Oryx House Occupancy WAULT Loan-to-Value Gross yield* 86% 2.3 years 29% 8.7% DHCC 49 Remraam *on property portfolio (gross rental revenue / portfo
Slide 4: Overview
Overview
Slide 5: What is ENBD REIT?
What is ENBD REIT? A long and consistent track record ENBD REIT (CEIC) Limited (‘ENBD REIT’) is a real estate investment trust (REIT) that was formed by Emirates NBD Asset Management (the Fund Manager) to invest in a diversified portfolio of Shari'a compliant real estate, with a primary focus on the
Slide 6: REIT regulations
REIT regulations The objective of a REIT is to generate a regular dividend income stream for investors, typically derived from income from investment properties, usually in the form of rent, with the additional opportunity for capital appreciation of the underlying assets and increases in the value
Slide 7: Highlights
Highlights 30th June 2017 Property portfolio value USD 352m Cash USD 71m Gross Asset Value (GAV) USD 409m Net Asset Value (NAV) – USD 1.15 per share USD 292m Loan-to-Value (LTV) 29% Gross yield on NAV* 9.9% Net yield on NAV 7.1% Dividend (% of NAV) 6.4% Share price USD 1.08 Number of shares in issue
Slide 8: Portfolio overview
Portfolio overview 30th June 2017 Asset value as % of portfolio Total no. of properties 8 10% 6% 26% Total value USD 352m 7% 9% Leasable area (Sq. Ft.) 1,032,782 20% 11% WAULT (years) 2.3 11% Al Thuraya 1 Burj Daman Binghatti Terraces Blended occupancy rate 86% Arabian Oryx House DHCC 49 DHCC 25 Rem
Slide 9: Footprint
Footprint South View School www.enbdreit.com Investor Presentation as at 30th June 2017 9
Slide 10: Investment strategy
Investment strategy Which sectors are we focusing on? Which areas are we focusing on? Focus is on good quality The portfolio aims to be properties in the following diversified across the sectors: UAE: Office 50-60% Dubai 50-75% Residential 25-35% Alternative 20-30% Abu Dhabi 10-20% Office Residentia
Slide 11: Market overview
Market overview • Stability in the UAE’s Real Estate sector is reflected by rental and sales prices, as well as improving occupancy Office Space Occupancy (AED/SQM) UAE Residential Sales Prices and Rent (2009-2017) 100% 1980 2,000 500 1960 1,800 450 80% 1,600 400 1940 1,400 350 1920 1,200 300 60% 1,
Slide 12: Portfolio
ENBD Managed by Emirates NBD Asset Manager
Slide 13: Portfolio characteristics
Portfolio characteristics Growing annual income by sector (USDm) 40.00 2.67 30.00 0.26 9.49 Diversified asset class (% by value) 20.00 8.56 10% 10.00 18.17 18.34 0.00 YE June 2017* Annual Contractual Rental Office Residential Alternative *excludes sold assets in this period 28% Strong Occupancy 0% 2
Slide 14: Asset snapshot: Office
Asset snapshot Office Al Thuraya 1 Burj Daman DHCC 49 DHCC 25 Media City DIFC Healthcare City Healthcare City Overall Office Overall Acquired: Nov Acquired: Jun Acquired: Apr Acquired: Jul Portfolio Portfolio 2006 2015 2007 2007 Market value (AED) 335m 255m 115m 92m 797m 1,291m % of portfolio value
Slide 15: Asset snapshot: Residential
Asset snapshot Residential Binghatti Terraces Arabian Oryx House Remraam Overall Residential Silicon Oasis Barsha Heights Dubailand Overall Portfolio Portfolio Acquired: May 2016 Acquired: Oct 2014 Acquired: Sep 2015 Market value (AED) 145m 142m 83m 370m 1,291m % of portfolio value 11% 11% 6% 28% 10
Slide 16: Asset snapshot: Alternative
Asset snapshot Alternative Uninest Overall Alternative Dubailand Overall Portfolio Portfolio Acquired: Jun 2017 Market value (AED) 125m 125m 1,291m % of portfolio value 10% 10% 100% Net leasable area (Sq. Ft.) 160,264 160,264 1,032,782 Occupancy rate 100% 100% 86% WAULT (years) 6.91 6.91 2.3 Gross r
Slide 17: Key tenants
Key tenants www.enbdreit.com Investor Presentation as at 30th June 2017 17
Slide 18: New acquisition: South View School
New acquisition South View School Property highlights • ENBD REIT signed a Musataha of the plot, and will construct the school at a total transaction value of AED 55 million (USD 15 million) • The total ground floor area of the school will be 132,000 sq. ft. on a plot covering 183,504 sq. ft. • The
Slide 19: Recent acquisition: Uninest, Dubailand
Recent acquisition Uninest, Dubailand Property highlights • Acquired 29th May 2017 for AED 120m • 424-bed property from global specialist, Global Student Accommodation • Built in 2016; 160,264 sq. ft. including 2 basement levels, a ground floor, 9 upper storeys as well as a roof-top swimming pool •
Slide 20: Case study: asset management - Al Thuraya 1
Case study: asset management Al Thuraya 1, Dubai Media City Active management • Parking revenue increased by 30% from Q1 to Q2 due to higher rental rate and increased demand for car parks from tenants • Car park resurfacing works completed during the quarter • Occupancy maintained above 90% • 35,000
Slide 21: Case study: asset management - Burj Daman Offices
Case study: asset management Burj Daman Offices, DIFC Active management • Over 60,000 sqft of new enquiries received during the quarter • Lease negotiations advanced with tenants • DIFC rules amended to allow DIFC tenants to obtain DED licences which is expected to boost occupancy across the freezon
Slide 22: Financials
ENBD Managed by Emirates NBD Asset Management
Slide 23: Financial position
Financial position as at 30th June 2017* INVESTMENT PROPERTIES ISLAMIC DEPOSIT MUDARABA PAYABLE AND CASH (Debt) USD 351,549,142 USD 71,241,220 USD 117,070,515 * See Appendix 1 for Statement of Financial Position www.enbdreit.com Investor Presentation as at 30th June 2017 23
Slide 24: Income statement
Income statement as at 30th June 2017* USD 12,000,000 1,578,132 10,119,282 10,000,000 5,165,287 8,000,000 7,243,571 Margin = 51% 6,000,000 US $ 3,375,863 4,000,000 2,577,471 2,000,000 298,241 0 Operating expenses Fund expenses Net profit Rental income Profit share Unrealised gain Total income * 3 mo
Slide 25: Capital structure
Capital structure as at 30th June 2017 Finance terms • Profit only 29% • Matures 2021 • 3-month EIBOR + 2.5% • Repayment: • 10% end of year 4 71% • 90% end of year 5 • Available drawdown remaining: Equity Debt USD74m • Fully drawn, LTV would be approx. 40% Equity Debt USD 292m USD 117m www.enbdreit.
Slide 26: Appendix
ENBD Managed by Emirates NBD Asset Management
Slide 27: Statement of financial position (USD)
Statement of financial position (USD)* Appendix 1 Investment properties 351,549,142 Islamic deposit 67,224,758 Trade and other receivables 1,618,282 Cash and cash equivalent 4,016,463 Total current assets 72,859,503 Total assets 424,408,645 Current liabilities Trade and other payables 14,912,288 Tot
Slide 28: Statement of comprehensive income (USD)
Statement of comprehensive income (USD)* Appendix 2 Rental income 7,243, 571 Profit share 298,241 Net realised/unrealised gain 2,577,471 Total income 10,119,282 Operating expenses 1,578,132 Operating profit 8,541,150 Margin 84.40% Audit & accounts fee 32,038 Legal fee 13,261 Management fee 950,169 P
Slide 29: Fund Management corporate structure
Corporate structure Appendix 3 Asset Management Board of Directors HR Fund Management Investor Relations Support Functions Emirates NBD Asset Management Emirates NBD Group Governance Oversight Committee Independent Finance Audit Investment Committee Operations Risk Shari’a Board Compliance www.enbdr
Slide 30: Third party support functions
Third party support functions Appendix 4 Administrator, custodian and Legal counsel company secretary K&L Gates Apex Fund Services Independent auditor Public relations KPMG Instinctif Partners Independent valuation Independent valuation CBRE Cavendish Maxwell www.enbdreit.com Investor Presentation a
Slide 31: Management
Management Appendix 5 Tim Rose, Head of Real Estate Julia Ward-Osseiran, Investor Relations Officer Tim Rose has over twenty three years’ Real Estate experience throughout New Zealand, UK, Julia is Investor Relations Officer for ENBD REIT, having been Senior Manager, Institutional Europe and the Mid
Slide 32: Board of Directors
Board of Directors Appendix 6 Tariq Bin Hendi, Director Tariq is currently an Executive Vice President and the Head of Products & Advisory at Emirates NBD Group, having previously served as the CEO of Emirates NBD Asset Management. He has over 18 years of experience, with a primary focus on asset ma
Slide 33: Investment Committee
Investment Committee Appendix 7 Khalid Al Fahim Khalid has over 15 years of professional experience in management and board advisory, and has been an active member of various organisations and industries in the UAE, including Al Fahim Group (UAE), where he has held offices from business development
Slide 34: Oversight Committee
Oversight Committee Appendix 8 Abdulla Mohammed Al Awar, CEO, Dubai Islamic Economic Development Centre Abdulla is CEO of the Dubai Islamic Economy Development Centre (DIEDC), with responsibility for delivering the ‘Dubai: Capital of Islamic Economy’ strategy. Prior to his role at DIEDC he was CEO o
Slide 35: Shari'a Supervisory Board
Shari’a Supervisory Board Appendix 9 Dr. Hussein Hamid Hassan, Chairman Dr. Hussein Hamid Hassan currently chairs or is a member of the Shari’a boards of over 18 Islamic Financial Institutions, including Emirates NBD Asset Management Limited, Emirates Islamic Bank PJSC, Dubai Islamic Bank PJSC, Shar
Slide 36: The Fund Manager
The Fund Manager Appendix 10 Emirates NBD Asset Management is the award winning, wholly owned subsidiary of Emirates NBD Bank PJSC. The Company provides a full range of investment solutions, including in-house managed funds and tailor made discretionary solutions, offering exposure to the regional M
Slide 37: Contact us
Contact us General Enquiries ENBDREITIR@emiratesnbd.com +971 (0)4 509 3010 Investor Relations Julia Ward-Osseiran juliao@emiratesnbd.com +971 (0)4 509 3016 Company Secretary Jean Kenny Labutte jeank@apexfunddubai.ae +971 (0)4 428 9221 Tenants/Leasing Ben Coombe benjaminc@emiratesnbd.com +971 (0)4 50
Slide 38: Disclaimer
Disclaimer The information, estimates and opinions (“Information”) expressed herein are made in good faith and are based on sources believed to be reliable, but no representation or warranty, express or implied, is made as to the accuracy, completeness or correctness of the Information. The Informat
Slide 39: Thank you
Thank you www.enbdreit.com