G City Ltd. · TASE:GCT
G City — Gazit-Globe — Investor Presentation (March 2018)
37 slides from G City's investor presentation, Mar 5, 2018
Slide 1: Great Things Happen When You Own Great Real Estate
Slide 2: Disclaimer
Disclaimer This presentation may include forward-looking statements, including forecasts, evaluations, pro forma figures, estimates and other information relating to future events and issues. Forward-looking statements may relate to, among other things, revenues, earnings, cash flows, capital expend
Slide 3: Global Presence
Global Presence © Who are we? Global realestate company focused on the ownership, G CITYCON management, and development o high-quality med replaceable, necessity driven retail and mited use é coperties in major urban markets = Experienced and highly aligned management team with Regency proven track
Slide 4: Our Global Investments and Business Plan
Our Global Investments and Business Plan Private Investments Mid Stage Public Mature Investments Investments Growing the “Private Collection” High Quality “Institutional Create Additional Grade” Portfolios Value sp 860m sp 935m paz E so 1.3 usp 873m (wis) (wis 3.36) (nis. 426) N (0s 4.76) (wis 3.16)
Slide 5: Focus on Major Cities Across the Globe
Focus on Major Cities Across the Globe 62% of Gazit’s Asset Value is Concentrated In 11 Major Metropolitan Cities* Nordics MSA: Stockholm, Helsinki Oslo & Copenhagen 24 Assets, ~25% US MSA: New York, Miami & Boston - 3 Assets, ~2% Prague - 5 Assets, ~11% PSSA CEE MSA: Warsaw Sao Paulo MSA: 8 Tel Avi
Slide 6: Private Investments
LOCATION LOCATION LOCATION
Slide 7: Gazit Horizons, North America — Business Overview
—— Gazit Horizons, North America — Business Overview Business Strategy Established Gazit Horizons as a wholly owned subsidiary in June 2017, with the goal of investing $1-$2 billion over the next 3 years* Gazit Horizons intends to acquire and redevelop large assets in irreplaceable locations, focusi
Slide 8: Recent Gazit Horizons Acquisitions
Recent — Gazit Horizons Brickell Gateway, Miami First Acquisition of Gazit Horizons p and exp nd of the restaurant and office tenants This property was the fist as Horizons an sistent. wit 401 East 60", Manhattan , New York First Acquisition of Gazit Horizons in New Bed Bath do Bridge, with both ten
Slide 9: Gazit Brasil — Business Overview
— Gazit Brasil — Business Overview Business Strategy Asset Map manager, operator and developer in Sao Paulo, the business capital of South America Wholly owned subsidiary of Gazit-Globe, the company has > become a preeminent force in re-imagining exciting retail aS and mixed-use destinations, Throug
Slide 10: Top Center Case Study
—— Top Center Case Study Value Creation Through Proactive Management 2014 2015 2016 2017 Acquisition and Re-tenanting Acquisition of the Revamping the submission of 95% of the mix, _ office tower and lobby and signing plans to bringing in parking garage with Decathlon municipality international for
Slide 11: Latest Acquisition — Internacional Shopping
Latest Acquisition — Internacional Shopp Guarulhos, Sao Paulo metropolitan area Holding Rate~ Gazi Brasil ‘Acquisition Price 70%) GLA Gam {and Are Gam) ‘Adatioal Bung righ (qr) ng 37m (USD 281m) 310 (828,000 sa). 23,000, 200,000 (appr Ocavpaney Parking Spaces 4200 Hypermarket, food operators, __ Cin
Slide 12: Extra Itaim — Case Study
—— Extra Itaim — Case Study Generating Attractive Risk Adjusted Returns on Irreplaceable Assets Unleveraged IRR 25% during a weighted average holding period of 3.5 years Gazit Brasil acquired its first 17.5% stake in 2010. Between 2013 2017, Gazit Brasil proactively increased its stake to 100% by in
Slide 13: Gazit Israel — Business Overview
Gazit Israel — Business Overview Business Strategy Asset Map * Wholly owned subsidiary of Gazit Globe, Gazit Israel is a leading Israel: Operating Assets ‘owner-operator and developer of urban, grocery-anchored, leisure and entertainment shopping centers focused on the high-density Tel Aviv metropol
Slide 14: Creating Value Through Development and Proactive Management
Creating Value ebiy aoring Through : ad acest to ain Development and ending and Proactive Management G City, Rishon Lezion it n ion NS) 315.0 (USD 89.0M Case Study 315.0 (USD 890M) LOCATION LOCATION LOCATION
Slide 15: Israel — Active Development Projects
—— Israel — Active Development Projects G City (development expansion) G Kochav Hazafon Gazits Ownership 100% Gani’ Leasehod 13,265 (142,700 Expected GLA qm) sat) . : Expected opening aus Closing une Budget illo NIS) 1575 Expected opening uno Amount invested (ition NI 058 Budget (milion NIS) (Exudin
Slide 16: Israel — Future Development Pipeline
Israel — Future Development Pipeline G City (additional rights) G Kfar Saba (adltional rights) Additional bulding rights 51,000 sqm (549,000 sa + Part of G City, pr in Rishon Lezion, the held 80,000 sqrn (19.7 acre) property = The company isin the proc ourth largest city in Irae! building rights ‘th
Slide 17: Mid Stage Investments
Mid Stage Investments Palac Pardubice, Pardubice LOCATION ae LOCATION LOCATION
Slide 18: Central & Eastern Europe — Business Overview
Central & Eastern Europe — Business Overview Business Strategy Portfolio Metries 10 = Leading owner-operator and ” developer of food anchored Number of Asa shopping centres GiAtmsam) + Opportunistic growth Neu prospects offered by emerging _Occpany markets FO (a * All properties managed by ating = S
Slide 19: Northern Europe/Nordics — Business Overview
Northern Europe/Nordics — Business Overview Business Strategy Portfolio Metrics Asset Map = Leading owner-operator and UAH) “ O Number ot Assets developer of urban, ber of AS 4 grocery-anchored shopping centres in the Nordic and SEKTOR Baltic regions + In 2015 entered Norwegian = —_ stor Aeueton sin
Slide 20: Mid Stage Investments — Citycon & Atrium
a Mid Stage Investments — Citycon & Atrium + Focus on high density urban markets + Recycling capital and enhancing portfolio quality through divestment of non-core assets, selective acquisitions and investment in major redevelopment/expansions a ATRIUM o CITYCON 6 Numot Aste" Avg Asset Size(sam'000)
Slide 21: Mature Investments
= ee Mature Investments all
Slide 22: Mature Investments — Regency Centers & First Capital
Mature Investments — Regency Centers & First Capital Best in Class Portfolios in Superior Trade Areas and Demographics Delivering Sustained Outperformance LOCATION LOCATION LOCATION
Slide 23: Generating IRRs Over Long Term Investments
Generating IRR’s Over Long Term Investments Equity One — 21% Leveraged IRR* “ $0.92B $1.28 es Lae 1992 1998 2003 Regency Founded by Equity One lists Equity One acquires a OUIFYONE Gazit onthe NYSE IR adding 92 income- Centers. producing properties Regency Centers to its portfolic Gazit Globe's U.S.
Slide 24: Strong internal growth
Strong internal gr dr G LOCATION As of malet cose 2 Mac 2018 s LOCATION LOCATION
Slide 25: Arkady Pankrac, Prague
Arkady Pankrac, F | nan Cl fe S Prague, Czech
Slide 26: FFO and FFO per share
FFO and FFO per share Economic FFO” Economic FFO“! Per Share NIS Millions 688-700 620 585598 sot 341 aga 388 533 S28 ‘9M YTD - 535 3.02 psa 282 405 aso | 353-359 i 2 2 8 & 26
Slide 27: Investment-grade credit rating group wide
Investment — grade credit rating group wide Regency Centers. CICITYCON Pra ‘S&P Maalot (Local Rating) Midroog (Moody's affiliate) (Local Rating) Moody's S&P DBRS Moody's sap Moody's sap Fitch IAA. | Stable Aadil | Stable Baa? | Stable BBB: | Stable BBB (High) | Stable Baaz | Stable BBB | Negative Ba
Slide 28: Focus on Urban, High-Density Assets in Stable and Growing Markets
J Focus on Urban, High- Density Assets in Stable and Growing Markets NOI Diversification Country Snapshot a Hungary BBE. 0.8% 3.5% (Otheriinvestment Grade 28.7% l Russia BBs 67% 1.8% Brazil 8B 7.2% 2.5% BEOWIVCSSRE GRAS 12.9% "AAs and Above = Other Investment-Grade Below Investment-Grade
Slide 29: Liquidity and financial strength
— Liquidity and financial strength Liquidity © Leverage Neolion Consolidated Expanded Solo 70 30/09/2017 12/31/2016 9/30/2017 12/31/2016 9/30/2017 Lines of Credit Unencumbered Pool of Assets) USD billons 4.3 1a Nis blfons Consolidated 12/31/2016 9/30/2017 30/09/2017 stinternational banks = Local ban
Slide 30: Well staggered debt maturity schedule
Well staggered debt maturity schedule — Expanded Solo Debenture Maturity Schedule® NI Mion 13.8% tno. 11.8%. 2.6% + 0.8% 9.6% se 8.0% os 2% oN A “oo StH 45% 86K 1,179 7 sere 4,202 a “}.050 way (1828 iz ia ie a lia a ‘ft 0 a zoe 20190202021 2022 ORS = 2026 2027 and ter [stam | [sox | BABB [sre | [sto
Slide 31: Equity book value vs. market value
el Equity book value vs. market value and implied cap +100 2,756 2,756 Properties under Development and Land (1,382) 100 2,216 2,112 ‘Less Regency Shares, (4,046) uy 53.9%
Slide 32: Attractive valuation — FFO multiple of 9.55X, implied cap of 7.05%
Attractive valuation — FFO multiple of 9.55X, implied cap of 7.05% se Fo Mutinle = — imped cap Rate 10.0% 30x 9.0% 25x 8.0% 755% 7.42% 28K 730% Se 10% 7.10% 7.09% 7.19% 7.00% 18. sese-L2 7.0% 20x 6.0% 135 167% 15a 51 go! en 15.2% 5.0% 134, ‘sa 14Ox 14.14 137% 15x HD Tea2.s ae Big 5! Soa TA BOK 4.0%
Slide 33: Appendix
Slide 34: Evolution of Gazit Globe
Evolution of Gazit Globe Equity One Gauit-Giove acqutestat || estattshesa || expandsinio || guccossut ‘quires || Gack-clobe quyone's || Gaxtclove || caunyonenste || sadings? || presence in. | |cEEtroughthe || ,S4ee#23t4 | | Norway's Sextr || Launches US. foundeainthe || enersinto || Elly One income
Slide 35: Management
Management &8'23'81 CHAIM KATZMAN Founder & CEO ADIJEMINI EVP and CFO RAMI VAISENBERGER VP & Controller ZVIGORDON VP of Investments Chaim Katzman is the Founder, Chief Executive Officer and controling shareholder of Gazit Globe Lid Chairman of Citycon Oyj (since 2 Founder, CEO and Chairman Equity On
Slide 36: International and Independent Board
International and Independent Board
Slide 37: Contact Information
Contact Information Adi Jemini EVP & CFO +972.3.6948000 Doron Lavi Segelson Head of Investor Relations dlavi@gazitgroup.com +972.3,6948037