British Land Company PLC · LSE:BLND
British Land — Investor Presentation (January 2017)
35 slides from British Land's investor presentation, Jan 26, 2017
Slide 1: Investor and Analyst Tour Clarges, Mayfair
Investor and Analyst Tour Clarges, Mayfair 26 January 2017 www.britishland.com @BritishLandPLC
Slide 2: Introduction
Introduction Tim Roberts Head of Offices & Residential
Slide 3: The Clarges Opportunity
The Clarges Opportunity March 2012 • In line with strategy • Acquired in 2012 for £130 million 40% 60% • Contributed to re-weighting of our portfolio towards West End • Phased to follow 2010 Development Programme September 2016 – 2010 Programme included The Leadenhall Building, 5 Broadgate and 10-30
Slide 4: Office Strategy
Office Strategy Lifestyle orientated mixed use offices Campus-Lite Campuses Large, office-led mixed use 26% lifestyle campuses 74% Campus-lite Campus Campus-lite • Opportunistic developments in strong locations Single assets and small clusters with well-managed environments • Shorter investment time
Slide 5: An example of what we do well
An example of what we do well • Entrepreneurial transaction – Opportunistic, off market purchase – Preferred bidder due to ability to execute quickly • Complex transaction – Relocation of Kennel Club – Planning risk • Delivered high quality office space – Luxury residential completing this year 6
Slide 6: Accretive to performance
Accretive to performance • Meaningful transaction – c. £600m GDV (75% resi; 25% offices) • Residential substantially de-risked – £280m of apartments sold; 63% by value of residential – 22 apartments sold in FY15; 1 further sale Dec 16 – 11 apartments remaining • Office space 83% let/under offer; ave
Slide 7: Market resilient for right product
Market resilient for right product • Post referendum activity – Office lettings in line with pre- referendum ERVs – One further apartment sold ahead of valuation 8
Slide 8: Residential
Residential James Taylor Head of Residential
Slide 9: Super Prime Residential
Super Prime Residential • Scheme highlights – What’s special • Sales – Current exposure – Future strategy – Our clients 10
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Slide 23: Ati AY
Ati AY
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Slide 27: Sales
Sales
Slide 28: Our Clients
Our Clients • British and British based • Wide range of nationalities • Value discretion • Value service • Value British Land’s enduring reputation 39
Slide 29: Summary
Summary • An exceptional scheme being delivered to a high standard • De-risked and with positive prospects for future sales • Off market until 2018 40
Slide 30: Offices
Offices Mike Wiseman Head of Office Leasing
Slide 31: Office leasing overview
Office leasing overview • Launched building in September – Office space 83% let/under offer • Average rent £113psf – Average rent free of 19 months – In line with pre referendum ERVs • 10 year terms secured on all floors 42
Slide 32: Why have we been successful?
Why have we been successful? • Premium office space – In tune with core Mayfair demand • Key features well received – Floorplate size and configuration – Triple aspect – Column free spaces – Terraces – Design aesthetic • Impact of reception 43
Slide 33: Current market context
Current market context • Market for the right product still good – Letting success at Leadenhall, Yalding House and now Clarges • Leasing discussions on 10 potential requirements totalling 1.4m sq ft underway – Interest at 4 Kingdom Street and next phase of development pipeline – Across our four cam
Slide 34: Conclusion
Conclusion
Slide 35: Summary
Summary • On strategy • Demonstrates our capabilities • Accretive to performance • Right product remains attractive 46