Aroundtown Sa · XETR:AT1
Aroundtown Sa — Aroundtown Sa Ord — 9M 2022 Earnings Presentation
95 slides from Aroundtown Sa's earnings presentation, Nov 29, 2022
Slide 1: 9M 2022 Financial Results Aroundtown SA
9M 2022 FINANCIAL RESULTS AROUNDTOWN SA | NOV 2022 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA AMSTERDAM
Slide 2: Table of Contents
TABLE OF CONTENTS ↗ HIGHLIGHTS ↗ OPERATIONS AND PORTFOLIO ↗ FINANCIAL RESULTS ↗ GUIDANCE & STRATEGY ↗ APPENDIX ↗ ESG ↗ DEVELOPMENT PROJECTS ↗ MAIN CITIES AERIAL VIEW BERLIN ↗ MARKET DATA 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA 2
Slide 3: Highlights
HIGHLIGHTS | BERLIN 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA 3
Slide 4: 9M 2022 Financial Highlights
9M 2022 FINANCIAL HIGHLIGHTS OPERATIONAL RESULTS FINANCIAL DISCIPLINE CONSERVATIVE DEBT PROFILE ↗ NET RENTAL INCOME ↗ CASH AND LIQUID ASSETS ↗ CASH & SIGNED DISPOSAL PROCEEDS* COVERING DEBT REPAYMENTS €917m €2.3 bn (16% of debt) Until year-end 2025 +19% YOY SEP 2022 *Cash & liquid assets, expected d
Slide 5: Disposals – continuing but at a lower volume
DISPOSALS – CONTINUING BUT AT A LOWER VOLUME DISPOSALS OF NON-CORE AND MATURE UTILIZING THE CASH PROCEEDS SIGNED DISPOSALS AT BOOK VALUE ASSETS ACCRETIVELY Hotel 14% Office 30% YTD 2022 SIGNED ↗ Large cash proceeds from disposals are Retail 20% Q4-to-date: €170m strengthening the liquidity position
Slide 6: Operations & Portfolio
OPERATIONS & PORTFOLIO | FRANKFURT 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA 6
Slide 7: 92% office/residential/hotel, 93% in Germany, NL & London
HIGH DIVERSIFICATION, BALANCED ACROSS STRONG ASSET TYPES IN STRONG LOCATIONS 92% OFFICE/RESIDENTIAL/HOTEL, 93% IN GERMANY, THE NL & LONDON, WELL-BALANCED WITH STRONG DIVERSIFICATION AMONG WELL-DIVERSIFIED ACROSS TOP TIER CITIES WITH A FOCUS ASSET TYPES WITH DIVERSE FUNDAMENTALS ON CENTRAL LOCATIONS
Slide 8: Defensive portfolio with strong tenant structure
DEFENSIVE PORTFOLIO WITH STRONG TENANT STRUCTURE SEP 2022 Investment Lettable area Annualized EPRA Vacancy In-place rent/sqm (€) Value/sqm (€) Rental Yield WALT (years) Portfolio by asset type property (€m) (k sqm) net rent (€m) Office 11,751 3,655 10.9% 479 11.7 3,216 4.1% 4.3 Residential 8,537 3,7
Slide 9: Office: 44% of the portfolio
OFFICE PORTFOLIO – WELL-LOCATED IN TOP TIER CITIES OF GERMANY AND THE NETHERLANDS ↗ WELL-DIVERSIFIED OFFICE: 44% OF THE PORTFOLIO, WITH FOCUS ON TOP TIER CITIES ↗ No dependency on a single location, single tenant, single asset or single industry. Long lease structure with 4.3y WALT ↗ LARGEST LANDLOR
Slide 10: German office market performance 2022
GERMAN OFFICE MARKET PERFORMANCE 2022 ↗ OFFICE MARKET BRACES ITSELF AGAINST RECESSIVE TRENDS 1) ↗ Demand is robust: Strong labor market and corporate balance sheets are relatively healthy ↗ No shutdowns of projects under construction, but new-build volumes continue to fall for 2023 ↗ Vacancy remains
Slide 11: Residential (GCP): 31% of the portfolio
RESIDENTIAL PORTFOLIO ↗ GCP IS CONSOLIDATED AND THE HOLDING RATE IS 60% AS OF NOV ‘22 RESIDENTIAL (GCP): 31% OF THE (excluding the shares GCP holds in treasury) PORTFOLIO ↗ Residential asset class is the Group’s second largest asset type after offices, providing the Group with a well-balanced portfo
Slide 12: Hotel: 17% of the portfolio
HOTEL PORTFOLIO ↗ WELL-DIVERSIFIED HOTEL: 17% OF THE PORTFOLIO 152 HOTELS: Mainly in top tier European cities ↗ Across Europe with a focus on locations with large catchment areas ↗ 14.8 YEARS WALT ↗ Long fixed contracts with no variable components with over 30 different strong third-party hotel oper
Slide 13: European hotel market performance 2022
EUROPEAN HOTEL MARKET PERFORMANCE 2022 ↗ ROAD TO RECOVERY ↗ Leisure travel back to pre-pandemic levels ↗ Business travel recovering well but remain below pre-pandemic levels (+62% vs 2021 & -23% vs 2019) driven by ↗ International travel (-14% vs 2019) ↗ Business events (-26% vs 2019) Sources: Graphs
Slide 14: Hotel recovery expectations
HOTEL RECOVERY EXPECTATIONS COLLECTION RATE DEVELOPMENT ASYMMETRIC RECOVERY OF DEMAND DRIVERS ↗ Fastest recovery from domestic leisure travel: due to pent-up ↗ 80%: October 2022 collection rate demand, as seen during strong summer months of 2021 & 2020. ↗ Around 75% expected collection rate for Q2-Q
Slide 15: Developments: 5% of total assets, development strategy in 3 steps
DEVELOPMENT / BUILDING RIGHTS DEVELOPMENTS: 5% OF TOTAL ASSETS. AT’S DEVELOPMENT STRATEGY IN 3 STEPS: 1) IDENTIFYING THE POTENTIAL 2) CRYSTALLIZING THE GAINS 3) SELECTIVE DEVELOPMENTS IN MARKETS WITH STRONG THROUGH SALE OF RIGHTS IN SMALL SCALE AT LOW RISK DEMAND & SCARCITY OF LAND ↗ Identifying und
Slide 16: Defense against cost inflation and increased interest rates
DEFENSE AGAINST COST INFLATION AND INCREASED INTEREST RATES ↗ Commercial portfolio excl hotels had 3.3% LFL rental growth as of Sep 2022. COMMERCIAL ↗ MOSTLY CPI-INDEXED OR STEP-UP RENTS ↗ Rent increase tailwind from indexation and step-up rents. ↗ REGULAR RENT INCREASE IN GERMANY: 20% ↗ GCP had 3.1
Slide 17: Potential impact from rising energy prices
POTENTIAL IMPACT FROM RISING ENERGY PRICES ↗ German govt. announced direct support for households & proposed a cap on gas prices for households & corporations until April 2024. ↗ To prepare for a potential impact, AT has created conservatively a provision in the amount of €25 million. ↗ Limited impa
Slide 18: Financial Results
FINANCIAL RESULTS | MUNICH 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA 18
Slide 19: Profit and Loss
PROFIT AND LOSS 1-9/2022 1-9/2021 Net rental income, recurring long-term1) (in €m) in € millions REVENUE 1,200.7 935.8 CAGR 903 +11% RECURRING LONG-TERM NET RENTAL INCOME 902.7 755.6 730 756 GCP PROPERTY REVALUATIONS AND CAPITAL GAINS 408.8 321.6 Share of profit from investment in equity-accounted i
Slide 20: Continued demand, indexations & soaring replacement costs support valuations
CONTINUED DEMAND, INDEXATIONS & SOARING REPLACEMENT COSTS SUPPORT VALUATIONS ↗ VALUATIONS ARE WELL-BELOW ↗ INDEXATION PARTIALLY PROTECTS ↗ 9M 2022 VALUATION RESULT REPLACEMENT COSTS AGAINST EXPECTED YIELD INCREASE ASSET TYPE LFL VALUE GAINS (SEP 2022 VS DEC 2021) ↗ INCREASING ERV’S & INDEXATION ~45%
Slide 21: Adjusted EBITDA
ADJUSTED EBITDA 1-9/2022 1-9/2021 in € millions ▪ Subtracted as these profits include AT’s share in non-operational profits generated by the Operating profit 1,108.8 1,002.4 Total depreciation and amortization 14.1 5.8 equity accounted investees EBITDA 1,122.9 1,008.2 ▪ Other adjustments also includ
Slide 22: FFO I & FFO II
FFO I & FFO II 1-9/2022 1-9/2021 FFO I (in €m) & FFO I per share (in €) in € millions FFO I BEFORE JV CONTRIBUTION 304.2 306.2 Contribution of joint ventures’ FFO I 30.3 60.7 301 +3% FFO I BEFORE EXTRAORDINARY COVID ADJUSTMENT 334.5 366.9 267 275 Extraordinary expenses for uncollected rent (60.0) (1
Slide 23: EPRA NAV KPIs
EPRA NAV KPI’S Sep 2022 Dec 2021 EPRA NAV KPI’s (in €m) & EPRA NAV per share KPI’s (in €) in € millions unless otherwise indicated EPRA NTA EPRA NTA EPRA NRV (/ps) EPRA NTA (/ps) EQUITY ATTRIBUTABLE TO THE OWNERS OF THE COMPANY 10,592.0 10,533.6 13,094 13,058 13,172 11,187 11,564 11,623 Deferred tax
Slide 24: Conservative capital structure
CONSERVATIVE CAPITAL STRUCTURE CONSISTENTLY LOW LEVERAGE (LTV) FINANCING SOURCES MIX UNENCUMBERED INVESTMENT PROPERTIES Company BOD limit of 45% Straight bonds €23.8bn €23.5bn HEALTHY 39% 40% Loans & borrowings 38% 42% 40% BALANCE 34% 5% €15.6bn 4% SHEET Equity 3% 83% 83% of rent 57% 55% 56% of rent
Slide 25: Aroundtown bond covenants
AROUNDTOWN BOND COVENANTS EMTN CURRENT STRESS CASE* COVENANT TYPE PROGRAMME (SEP 2022) (VALUE DECREASE UNTIL COVENANT BREACH) COVENANT ↗ Implies >€15bn investment ↗TOTAL NET DEBT / TOTAL NET -40% property value decrease (out of ASSETS <=60% ✓ 34% (Total asset value loss) €29bn total investment prope
Slide 26: Ample liquidity mitigates dependency on market conditions
AMPLE LIQUIDITY MITIGATES THE DEPENDENCY ON MARKET CONDITIONS DEBT MATURITY PROFILE – excluding perpetual notes CURRENT CASH AND SIGNED DISPOSAL PROCEEDS Straight bond Bank debt 2,500 Cash and signed ↗ Cash and liquid assets €2,320m (Sep 2022) disposal proceeds 2,000 cover debt maturities until ↗ Ex
Slide 27: January 2023 perpetual notes decision
JANUARY 2023 PERPETUAL NOTES DECISION ON JANUARY 2023 PERPETUAL ↗ The Company has decided to not exercise its option to call the perpetual note with January 2023 call date. ↗ The Company will decide regarding the other perpetual note closer to its call date. ↗ A potential option to defer the coupon
Slide 28: Perpetual notes – Standard and Poor's
PERPETUAL NOTES – STANDARD AND POOR’S POINT OF VIEW FROM S&P ON NON-CALLED HYBRID CAPITAL INSTRUMENTS 1) “A Noncalled Hybrid Without Equity Content Still Provides A Benefit” “Hybrid capital instruments are designed to act like senior debt when credit conditions are good. They pay a known coupon and
Slide 29: Guidance & Strategy
GUIDANCE & STRATEGY | AMSTERDAM 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA 29
Slide 30: 2022 guidance confirmed
2022 GUIDANCE CONFIRMED FY 2022 GUIDANCE FFO I €350 million – €375 million FFO I per share €0.31 – €0.34 Dividend per share* €0.23 – €0.25 * Dividend payment will be considered based on the market condition before the AGM invitation in Q2 2023 ↗ Total FFO I to be supported by debt optimization measu
Slide 31: Navigating the current market environment with an agile & adaptive strategy
NAVIGATING THROUGH THE CURRENT MARKET ENVIRONMENT WITH AN AGILE & ADAPTIVE STRATEGY STABLE REDUCED WELL-BALANCED ESG OPERATIONS SUPPLY PORTFOLIO EFFORTS Maintaining focus on stable asset 2.6% Higher footprint in residential, Greener portfolio, classes and strong ↗ Total LFL rental growth (Sep ‘22) D
Slide 32: Appendix
APPENDIX | HAMBURG/LH 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA 32
Slide 33: Share information
SHARE INFORMATION THE SHARE SHAREHOLDER STRUCTURE Frankfurt Stock Exchange Placement (Prime Standard) Shares held in Free treasury* float 30% 55% Incorporation Luxembourg 13.07.2015 First equity issuance (€3.2 per share) of which Blackrock Avisco Group/ Vergepoint** *12% are held through TLG Immobil
Slide 34: Investment properties
INVESTMENT PROPERTIES SEP 2022 Investment Lettable area Annualized EPRA Vacancy In-place rent/sqm (€) Value/sqm (€) Rental Yield WALT (years) Portfolio by Asset Type* property (€m) (k sqm) net rent (€m) Office 11,751 3,655 10.9% 479 11.7 3,216 4.1% 4.3 Residential 8,537 3,720 4.4% 361 8.3 2,295 4.2%
Slide 35: Best-in-class Berlin portfolio – Sep 2022
BEST-IN-CLASS BERLIN PORTFOLIO – SEP 2022 LOCATED IN THE BEST 85% NEIGHBORHOODS OF BERLIN Top Tier 85% of the Group portfolio is located in top Strongly benefiting from the unique dynamics tier neighborhoods: & growth of Berlin’s most in demand Charlottenburg, Wilmersdorf, Mitte, neighborhoods, busi
Slide 36: Strategic top tier hotels in strong locations
STRATEGIC TOP TIER HOTELS IN STRONG LOCATIONS WITH FASTER RECOVERY POTENTIAL Hotel Rooms Brand Hotel Rooms Brand Hotel Rooms Brand Hilton Berlin Gendarmenmarkt Prime 601 NH Hotel Dortmund Prime Center 190 Mark Apart Berlin Prime Center Ku’damm 120 Center Steigenberger Hotel de Saxe Dresden Prime Cen
Slide 37: Logistics and retail portfolio
LOGISTICS AND RETAIL PORTFOLIO LOGISTICS: 2% OF THE PORTFOLIO RETAIL: 6% OF THE PORTFOLIO 5.0 YEAR WALT 4.5 YEAR WALT ↗ 6% of portfolio is retail, of which: ↗ Over 1/4 is part of other asset types (ground floor retail, service areas, etc.) ↗ REDUCED SHARE ↗ REDUCED SHARE ↗ Reduced from 7% in March 2
Slide 38: Attractive investment in Globalworth
ATTRACTIVE INVESTMENT IN GLOBALWORTH – THE LEADING LISTED OFFICE COMPANY IN POLAND & ROMANIA PRIME ASSETS & STRONG RIGHT INVESTMENT VEHICLE IN GLOBALWORTH OFFER TENANT BASE THE CEE MARKET ↗ Through a JV, AT and CPI hold together 61% of ↗ GWI is a leader in the Polish & Romanian office ↗ GWI is the r
Slide 39: Highest rated German commercial real estate company
HIGHEST RATED GERMAN COMMERCIAL REAL ESTATE COMPANY S&P Ratings Matrix Financial risk profile ↗ FINANCIAL POLICY 1 2 3 4 5 6 Minimal Modest Intermediate Significant Aggressi High ve Leverag ed ↗ LTV limit at 45% 1 aaa/ bbb- Excellent aa a+/a a- bbb Business risk profile aa+ /bb+ (Vonovia BBB+)1) 2 (
Slide 40: Perpetual notes
PERPETUAL NOTES OUTSTANDING CURRENT FIRST CALL CHARACTERISTICS OF PERPETUAL NOTES AMOUNT COUPON RESET RATE DATE 4.375% 369M EUR 3.75% 20 Jan 2023 ↗NO MATURITY: +5Y MID-SWAP ↗Perpetual notes have no maturity date. 2.345% 3.546% 641.5M USD 21 Jul 2023 (Swapped) +5Y MID-SWAP ↗NO COVENANTS & FULL OPTION
Slide 41: Upcoming new EPRA KPI – EPRA LTV
UPCOMING NEW EPRA KPI – EPRA LTV EPRA LTV DESCRIPTION ↗ The EPRA LTV disclosure aims to provide a Loan-to-Value (LTV) metric which EPRA believes is more relevant to shareholders and considers all equity which is senior to common shares not as equity but as debt. ↗ The main impact of the EPRA LTV rec
Slide 42: Capital market activity
CAPITAL MARKET ACTIVITY Capital market activity per year Capital market activity per issuance type 2015-2021 €4.6bn €4.2bn €4.2bn €4.0bn Str. Bond €12.3bn €2.6bn €1.9bn Conv. Bond €0.8bn €1.2bn Equity €6.2bn €3.2bn €0.2bn 2015 2016 2017 2018 2019 2020 2021 Equity (incl. Conversions) Perpetual notes
Slide 43: Appendix – ESG
APPENDIX – ESG | Across the portfolio 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA 43
Slide 44: Commitment to ESG
COMMITTMENT TO ESG E CLEARLY S SOCIALLY G HIGH LEVEL OF SET TARGETS RESPONSIBLE GOVERNANCE Strong commitment to maintain Management oversight from Board Reduce GHG emission high tenant satisfaction of Directors (BoD) 67% of BoD is independent/ non Reduce water consumption and Increase employee reten
Slide 45: AT's ESG Target Set Overview
AT’S ESG TARGET SET OVERVIEW 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA 45
Slide 46: Green building certifications
ESG – ENVIRONMENT PART 1: ENERGY EFFICIENT BUILDINGS GREEN BUILDING CERTIFICATIONS Building upgrades with the goal to receive certifications (DGNB, LEED, BREEAM). Development/major refurbishments aimed to build for certification eligibility ↗ Ca. 30% of the Dutch portfolio already certified with BRE
Slide 47: Conserving energy measures, reducing carbon footprint
ESG – ENVIRONMENT PART 2: CONSERVING ENERGY MEASURES, REDUCING CARBON FOOTPRINT GHG EMISSIONS REDUCTION ENERGY INVESTMENT PROGRAM ↗ Energy Investment Program: installation of Photovoltaics (PV), Combined Heat and Power (CHP), Combined Cooling, Heat & Power (CCHP), EV charging stations, smart meters,
Slide 48: Water and waste management
ESG – ENVIRONMENT PART 3: WATER AND WASTE MANAGEMENT WATER CONSUMPTION WASTE MANAGEMENT ↗ A new initiative to further ↗ Remote water meters create optimize waste and awareness, influence tenant operational costs through behavior, detect water leaks waste management systems and unusual water usage (i
Slide 49: ESG – Social part 1: community building
ESG – SOCIAL PART 1: COMMUNITY BUILDING AROUNDTOWN FOUNDATION LOCAL PARTNERSHIPS ↗ AT focuses on establishing productive partnerships with local stakeholders to ensure that corporate activities are aligned to the tenants and communities ↗ Numerous charities across portfolio’s locations, working in c
Slide 50: Holistic tenant management approach
ESG – SOCIAL PART 2: TENANT MANAGEMENT HOLISTIC TENANT MANAGEMENT APPROACH ENGAGEMENT AVAILABILITY POLICY ENFORCEMENT Tailor-made approach, Finalizing new tenant policy 24/7 tenant support for Main tool to monitor and customized leases, balancing which sets standardized goals residential and commerc
Slide 51: Goal to become top employer in commercial real estate
GOAL TO BECOME TOP EMPLOYER IN COMMERCIAL REAL ESTATE TO ATTRACT BEST NEW TALENT Goal to become top employer in commercial real estate to attract best new talent COLLABORATION TRAINING Dynamic & open RETENTION Employee training corporate culture, Employee retention programs to ensure fostering perso
Slide 52: Board of Directors
BOARD OF DIRECTORS BOARD OF DIRECTORS – 4/6 MEMBERS ARE INDEPENDENT/NON-EXECUVITE AND 2/6 ARE FEMALE DIVERSE MIX OF PROFESSIONALS WITH STRONG & LONG EXPERIENCE, FOCUS ON REAL ESTATE INDUSTRY & FINANCING FRANK ROSEEN – EXECUTIVE DIRECTOR MARKUS LEININGER- INDEPENDENT DIRECTOR FORMER SENIOR BANKER WIT
Slide 53: Board committees and the advisory board
BOARD COMMITTEES AND THE ADVISORY BOARD ALL COMMITTEES ARE IN PLACE WITH INDEPENDENT MEMBERS IN PLACE AUDIT RISK NOMINATION REMUNERATION ESG COMMITTEE COMMITTEE COMMITTEE COMMITTEE COMMITTEE (MAINTAINING THE INTEGRITY OF THE (ASSESSING, MONITORING AND MITIGATING (IDENTIFYING SUITABLE CANDIDATES FOR
Slide 54: Management team
MANAGEMENT TEAM MANAGEMENT BODY IS SUPERVISED BY THE BOARD OF DIRECTORS BARAK BAR-HEN – CO-CEO & COO EYAL BEN DAVID – CFO OSCHRIE MASSATSCHI – CCMO (CO-CHIEF EXECUTIVE OFFICER & CHIEF (CHIEF FINANCIAL OFFICER) (CHIEF CAPITAL MARKETS OFFICER) OPERATING OFFICER) SINCE 2013 IN THE MANAGEMENT OF SINCE 2
Slide 55: Management team – senior management
MANAGEMENT TEAM – 2 SENIOR MANAGEMENT NIKOLAI WALTER- HEAD OF ASSET & PROPERTY MANAGEMENT CHRISTIAN HUPFER - CHIEF COMPLIANCE OFFICER 20 YEARS EXPERIENCE IN THE REAL ESTATE INDUSTRY. BEFORE JOINING THE GROUP, WAS A MANAGING DIRECTOR OF SINCE 2008 IN THE MANAGEMENT OF AROUNDTOWN AND ITS SUBSIDIARIES.
Slide 56: ESG awards and indices
ESG AWARDS AND INDICES S&P Europe ↗2022: 350 ESG Index STRONG RANKING SUSTAINABILITY CONSECUTIVE EPRA WITH SUSTAINALYTICS INDICES AWARDS ↗Top 4% globally across all industries ↗Strong visibility in ESG indices like DAX 50 ↗AT received EPRA BPR Gold award for the ESG, S&P Europe 350 ESG Index and GPR
Slide 57: Appendix: Development projects
APPENDIX: DEVELOPMENT PROJECTS | TOP TIER LOCATIONS BERLIN FRANKFURT BERLIN BERLIN 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA 57
Slide 58: Development/building rights – Berlin Kreuzberg
DEVELOPMENT/BUILDING RIGHTS – BERLIN KREUZBERG PROPERTY DESCRIPTION MARKET DEMAND VALUE EXTRACTION POTENTIAL ↗ This 2k sqm, three-storey office property is centrally located in Berlin’s district Kreuzberg in a residential mix retail ↗ Given that the surrounding is mainly a residential market and the
Slide 59: Development/building rights – Berlin Ku'damm / Uhlandstr.
DEVELOPMENT/BUILDING RIGHTS – BERLIN PRIME CENTER OFFICE KU’DAMM / UHLANDSTR. PROPERTY DESCRIPTION MARKET DEMAND VALUE EXTRACTION POTENTIAL ↗ This 5k sqm office building is located in Berlin’s western prime center, Ku’Damm, attractive for all use types: prime offices, ↗ Refurbishment of the asset wi
Slide 60: Development/building rights – Berlin Alexanderplatz
DEVELOPMENT/BUILDING RIGHTS – BERLIN PRIME CENTER ALEXANDERPLATZ PROPERTY DESCRIPTION MARKET DEMAND VALUE EXTRACTION POTENTIAL ↗ The 11k sqm property is in the heart of Berlin Alexanderplatz, one of Berlin’s prime centers for both visitors and residents. The ↗ Complete renovation and refurbishment i
Slide 61: Development/building rights – Berlin Mitte Annenstraße
DEVELOPMENT/BUILDING RIGHTS – BERLIN MITTE ANNENSTRAßE PROPERTY DESCRIPTION MARKET DEMAND VALUE EXTRACTION POTENTIAL ↗ This neighborhood retail property is situated in Berlin’s central Mitte district, next to the St. Michael church and the ↗ Re-Development into mixed-use property Engelbecken, and co
Slide 62: Development/building rights – Kassel logistics/industrial center
DEVELOPMENT/BUILDING RIGHTS – KASSEL LOGISTICS/INDUSTRIAL CENTER PROPERTY DESCRIPTION MARKET DEMAND VALUE EXTRACTION POTENTIAL ↗ Identified underutilized and unused land plot. ↗ Kassel is strategically located in the center of Germany. Its ↗ Development of the land plot into 11k sqm logistics hall,
Slide 63: Development/building rights – Berlin Tempelhof-Schöneberg logistics
DEVELOPMENT/BUILDING RIGHTS – BERLIN TEMPELHOF-SCHÖNEBERG LOGISTICS PROPERTY DESCRIPTION MARKET DEMAND VALUE EXTRACTION POTENTIAL ↗ Berlin’s logistics market continues to experience a shortage of logistics space in areas close to the city center along motorways 1). ↗ Identified underutilized land pl
Slide 64: Development/building rights – Berlin Tempelhof-Schöneberg logistics
DEVELOPMENT/BUILDING RIGHTS – BERLIN TEMPELHOF-SCHÖNEBERG LOGISTICS PROPERTY DESCRIPTION MARKET DEMAND VALUE EXTRACTION POTENTIAL ↗ The 7k sqm property comprises a newly developed logistics and ↗ Berlin’s logistics market continues to experience a shortage of ↗ Identified underutilized land plot to
Slide 65: Development/building rights – Berlin Alexanderplatz prime city center office
DEVELOPMENT/BUILDING RIGHTS – BERLIN ALEXANDERPLATZ PRIME CITY CENTER OFFICE PROPERTY DESCRIPTION MARKET DEMAND DEVELOPMENT POTENTIAL ↗ This large office property, covering 24k sqm, is situated in one of Berlin’s prime city centers, the central Alexanderplatz. The property is directly ↗ The asset’s
Slide 66: Development/building rights – Berlin Tiergarten office
DEVELOPMENT/BUILDING RIGHTS – BERLIN TIERGARTEN OFFICE VALUE POTENTIAL & PROPERTY DESCRIPTION DEVELOPMENT POTENTIAL MARKET DEMAND ↗ Complete demolition and re-development of the resi building & an ↗ The properties are situated in Berlin’s western center, walking distance ↗ The resi building is surro
Slide 67: Development/building rights – Berlin Marzahn-Hellersdorf
DEVELOPMENT/BUILDING RIGHTS – BERLIN MARZAHN-HELLERSDORF PROPERTY DESCRIPTION MARKET DEMAND DEVELOPMENT POTENTIAL ↗ Demolition of existing and re-development of new residential properties ↗ The property is situated in Berlin’s eastern residential district of ↗ The existing structure of the former re
Slide 68: Development/building rights – Berlin prime center Ku'damm
DEVELOPMENT/BUILDING RIGHTS – BERLIN PRIME CENTER KU’DAMM PROPERTY DESCRIPTION MARKET DEMAND DEVELOPMENT POTENTIAL ↗ This 7k sqm property is located at Kurfürstendamm 69, 10707 Berlin, on ↗ Addition of new floors with condominiums expected to be Adenauerplatz in Berlin’s western prime center, Ku’Dam
Slide 69: Development/building rights – Berlin prime center Ku'damm
DEVELOPMENT/BUILDING RIGHTS – BERLIN PRIME CENTER KU’DAMM PROPERTY DESCRIPTION MARKET POSITION DEVELOPMENT POTENTIAL ↗ This 4k sqm property is located on Adenauerplatz in Berlin’s ↗ Addition of new floors with office space western prime center, Ku’Damm, an area attractive for prime ↗ The area surrou
Slide 70: Development/building rights – Berlin Potsdamer Platz
DEVELOPMENT/BUILDING RIGHTS – BERLIN POTSDAMER PLATZ PROPERTY DESCRIPTION MARKET DEMAND VALUE EXTRACTION POTENTIAL ↗ The 10k sqm property is situated in the prime center of Berlin, between ↗ Full property repositioning into hotel and serviced apartments Potsdamer Platz and Anhalter Bahnhof. The prop
Slide 71: Development/building rights – Berlin Mitte Rosa-Luxemburg-Platz
DEVELOPMENT/BUILDING RIGHTS – BERLIN PRIME CENTER MITTE ROSA-LUXEMBURG-PLATZ PROPERTY DESCRIPTION MARKET POSITION REPOSITIONING ↗ Complete upgrade, redesign and new branding expected to be finalized in 2022 ↗ The hotel is situated in Berlin’s prime central district, Mitte, adjacent Rosa-Luxemburg-Pl
Slide 72: Development/building rights – Brussels prime center
DEVELOPMENT/BUILDING RIGHTS – BRUSSELS PRIME CENTER PROPERTY DESCRIPTION MARKET POSITION REPOSITIONING ↗ The Brussels Hotel is situated in the center of Brussels on the main ↗ Repositioning and rebranding into Cardo by Autograph inner-city boulevard. The hotel is located at the main shopping street
Slide 73: Development/building rights – Frankfurt prime center InterContinental
DEVELOPMENT/BUILDING RIGHTS – FRANKFURT PRIME CENTER INTERCONTINENTAL PROPERTY DESCRIPTION MARKET POSITION DEVELOPMENT POTENTIAL ↗ The large hotel is situated in the center of Frankfurt, right on the bank of ↗ Hotel refurbishment, with floor additions, adding new built the river Main and in close pr
Slide 74: Development/building rights – Hotel Paris city center
DEVELOPMENT/BUILDING RIGHTS – HOTEL PARIS CITY CENTER PROPERTY DESCRIPTION MARKET POSITION REPOSITIONING ↗ The 4-star hotel is centrally located in the 14th arrondissement ↗ Complete renovation and refurbishment, with a dual brand, of Paris. The surrounding area has a large variety of restaurants, h
Slide 75: Development/building rights – Hilton Berlin Gendarmenmarkt
DEVELOPMENT/BUILDING RIGHTS – HILTON BERLIN PRIME CENTER GENDARMENMARKT PROPERTY DESCRIPTION MARKET DEMAND VALUE EXTRACTION POTENTIAL ↗ The asset’s district “Mitte” is Berlin’s top office district with highest rents in ↗ The 4 star Hilton Hotel is located in the heart of Berlin on the city1). Averag
Slide 76: Development/building rights – Berlin Treptow-Köpenick Brewery project
DEVELOPMENT/BUILDING RIGHTS – BERLIN TREPTOW-KÖPENICK – THE BREWERY PROJECT PROPERTY DESCRIPTION MARKET DEMAND VALUE EXTRACTION POTENTIAL ↗ This office property is located at Schnellerstraße 137, 12439 Berlin, in ↗ Conversion and development into mixed use urban quarter. Ca the Niederschöneweide qua
Slide 77: Development/building rights – Frankfurt main central train station
DEVELOPMENT/BUILDING RIGHTS – FRANKFURT MAIN CENTRAL TRAIN STATION PROPERTY DESCRIPTION MARKET DEMAND VALUE EXTRACTION POTENTIAL ↗ The office tower is located at the corner of Bahnhofsviertel, ↗ Refurbishment and creating additional sqm: ↗ The 22-storey office tower covers 20k sqm and is situated Eu
Slide 78: Development/building rights – Berlin Kreuzberg/Alt-Treptow
DEVELOPMENT/BUILDING RIGHTS – BERLIN KREUZBERG/ALT-TREPTOW PROPERTY DESCRIPTION MARKET DEMAND VALUE EXTRACTION POTENTIAL ↗ Located between Mediaspree and Adlershof Science Park, Alt- ↗ The cinema center holds 7k sqm & is located across the Park Treptow office market has a strong demand Center retail
Slide 79: Appendix: Focus on central locations of top tier cities
APPENDIX: FOCUS ON CENTRAL LOCATIONS OF TOP TIER CITIES | TOP TIER LOCATIONS DRESDEN BERLIN AMSTERDAM BERLIN 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA 79
Slide 80: Berlin Alexanderplatz: the prime commercial and tourist center
BERLIN ALEXANDERPLATZ: THE PRIME COMMERCIAL AND TOURIST CENTER Landmark AT property 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA 80
Slide 81: Berlin Potsdamer Platz: the prime commercial and tourist center
BERLIN POTSDAMER PLATZ: THE PRIME COMMERCIAL AND TOURIST CENTER Landmark Potsdamer Platz Office AT property Potsdamer Platz Checkpoint Charlie Mixed-use Residential/Office/Hotel (GCP) Office Potsdamer Platz Checkpoint Charlie Office Office Gendarmenmarkt Office Gendarmenmarkt Gendarmenmarkt Office R
Slide 82: Berlin Ku'damm: the prime commercial and tourist center
BERLIN KU’DAMM: THE PRIME COMMERCIAL AND TOURIST CENTER Berlin City Center Mitte Retail Potsdamer Platz Landmark Moxy by Marriot Berlin Mitte Ku’Damm KaDeWe Residential Hotel (GCP) AC by Marriot Berlin Mitte Hotel AT property Ku’Damm KaDeWe Office Berlin City Center Mitte Office Ku’damm /Uhlandstr.
Slide 83: Frankfurt: quality assets in central locations
FRANKFURT: QUALITY ASSETS IN CENTRAL LOCATIONS Landmark AT property Frankfurt Büro Center (FBC) Frankfurt Stadtmitte InterContinental Frankfurt Frankfurt HBF Frankfurt Office Campus Office Office Hotel Office Office European Central Bank Headquarters Frankfurt Hauptbahnhof Banking District (Central
Slide 84: Frankfurt: quality assets near main central train station and Messe
FRANKFURT: QUALITY ASSETS NEAR MAIN CENTRAL TRAIN STATION AND MESSE Frankfurt Stadtmitte Office Landmark Frankfurt Büro Center (FBC) Office Frankfurt Messe Frankfurt Messe Frankfurt Messe AT property Office Office Office Intercontinental Frankfurt Hotel Frankfurt Banking District Frankfurt HBF Offic
Slide 85: Munich: assets in central locations, near exhibition center
MUNICH: ASSETS IN CENTRAL LOCATIONS, NEAR EXHIBITION CENTER & COMMERCIAL HUBS Landmark Global HQs of Allianz Global Corporate & German HQs of Generali Specialty Insurance AT property Global HQs of Wacker Chemie AG Munich Messe Munich Siemens Office Campus Office Global HQs of BSH Office Group Melia
Slide 86: Amsterdam – centrally located high quality assets
AMSTERDAM – CENTRALLY LOCATED HIGH QUALITY ASSETS Amsterdam Zuidoost Landmark Amsterdam Zuidoost Amsterdam Office Office Sloterdijk Train Station Amsterdam West AT property Office Complex Office Amsterdam Arena Office Amsterdam Sloterdijk Office Amsterdam Westpoort Office Amsterdam Arena Amsterdam A
Slide 87: Hamburg – well placed across Germany's second-largest city
HAMBURG – WELL PLACED ACROSS GERMANY’S SECOND-LARGEST CITY Landmark Hamburg Business District AT property Office Hamburg Business District Office Hamburg Business District Science Campus Office Altstadt Main Central Train Station HafenCity Hamburg City Center Dev Office 9M 2022 FINANCIAL RESULTS ARO
Slide 88: Dresden – prime assets in historic city center
DRESDEN – PRIME ASSETS IN HISTORIC CITY CENTER Dresden main central train Landmark Main central train station station Hotel AT property Main central train station Office City Center Office Main High Street Retail City Center Office Zwinger Palace City Center Office Steigenberger Hotel Hotel Frauenki
Slide 89: Leipzig – centrally located top tier assets at Hauptbahnhof
LEIPZIG – CENTRALLY LOCATED TOP TIER ASSETS AT HAUPTBAHNHOF Landmark Main central train station Office Leipzig main central AT property train station Main central train station Hotel Main central train station Office City Center Promenade Nikolaikirche Office/Retail University of Leipzig 9M 2022 FIN
Slide 90: Appendix: Market data
APPENDIX: MARKET DATA | TOP TIER LOCATIONS ROTTERDAM DRESDEN COLOGNE LEIPZIG 9M 2022 FINANCIAL RESULTS AROUNDTOWN SA 90
Slide 91: Regional market overview
REGIONAL MARKET OVERVIEW Amsterdam Berlin ◼ GDP growth: 3.5% p.a. (avg 2016-2020) ◼ GDP growth: 4.5% p.a. (avg 2016-2020) ◼ Net migration: 6k p.a. (avg 2016-2020) GERMANY ◼ Net migration: 28k p.a. (avg 2016-2020) ◼ Population density: 5.3k per km2 ◼ Population density: 4.1k per km2 Utrecht Hamburg ◼
Slide 92: Supportive market environment
SUPPORTIVE MARKET ENVIRONMENT ↗ “Fueled by pent-up demand, take-up of office space in Germany’s Top 7 cities has GERMANY TOP 7 OFFICE MARKETS (LINK) reached pre-crisis levels. Although higher interest rates are currently holding some market players back, investment markets look set to rebound before
Slide 93: Resilient German residential market
RESILIENT GERMAN RESIDENTIAL MARKET POSITIVE NET MIGRATION RESULTS REDUCTION OF HOUSEHOLD SIZE SIGNIFICANT UNDERSUPPLY IN HIGH DEMAND RESULTS IN HIGH DEMAND ↗ Positive Net Migration in Germany 1) ↗ Increase in the share of 1 person households1) ↗ Building permits at low levels, significantly below d
Slide 94: Hotel market – leisure back to pre-pandemic, business travel recovering
HOTEL MARKET – LEISURE BACK TO PRE-PANDEMIC, BUSINESS TRAVEL IS RECOVERING BUT REMAINS SUBDUED HIGHEST SHARE OF DOMESTIC TRAVEL IN GERMANY, UK, AND NL HELPS PARTIALLY INSULATE HOTEL PERFORMANCE FROM WIDER INTERNATIONAL TRAVEL & BUSINESS TRAVEL FLUCTUATIONS ↗ Europe leisure travel back to pre pandemi
Slide 95: Disclaimer
DISCLAIMER IMPORTANT: This presentation has been provided for information purposes only and is being circulated on a confidential basis. This presentation shall be used only in accordance with applicable law, e.g. regarding national and international insider dealing rules, and must not be distribute