Is Gayrimenkul Yatirim Ortakligi A.s. · BIST:ISGYO
Is Gayrimenkul Yatirim Ortakligi A.s — Q3 2017 Earnings Presentation
53 slides from Is Gayrimenkul Yatirim Ortakligi A.s's earnings presentation, Sep 30, 2017
Slide 1: IS GYO
IS G¥O
Slide 2: IS Real Estate Investment Company 30.09.2017
IS REAL ESTATE INVESTMENT COMPANY 30.09.2017
Slide 3: ISGYO
ISGYO ISGYO Sector Mcap Established in 1999, by the strategic partnership of Isbank. TL 25.817 mn (Isbank is Turkey’s biggest private bank established in 1924) ISREIC TL 1.252 The 5th largest REIC in terms of Mcap with TL1.252 mn. mn 5% Our Mission is to create desirable spaces for contemporary
Slide 4: Shareholders Structure by Ownership
Shareholders Structure by Ownership *15% of the capital is held by foreign investors.
Slide 5: Why ISGYO?
WHY ISGYO?
Slide 6: Why ISGYO?
Why ISGYO? Diversified real estate portfolio, Well-qualified assets leased to financially strong and qualified tenants, Solid and steady rental income, Strong project pipeline, Low and manageable debt ratio, Stable cash dividend payments, Strong shareholder structure, Brand value as
Slide 7: ISGYO Portfolio
ISGYO PORTFOLIO isgyo.com.tr
Slide 8: Portfolio Breakdown
Portfolio Breakdown Total Portfolio TL mn % Real Estate Investments 4.758 96% Money&Capital Market Instruments 204 4% Total Portfolio Value 4.962 100% *Inventories include offices and residential units on sale in Ege Perla. **Projects include Manzara Adalar Mixed Use Project, IFC Project and İnistan
Slide 9: Real Estate Portfolio Breakdown
Real Estate Portfolio Breakdown Real Estate Portfolio TL mn Office 2.178 Projects 1.242 Retail 1.032 Land 194 Inventories 87 Hotel 24 TOTAL 4.758
Slide 10: Rent Generating Assets
RENT GENERATING ASSETS \ at isgyo.com.tr
Slide 11: Office Investments – Appraisal Values
Office Investments – Appraisal Values İş Ankara İş Towers Tuzla Ankara İş Maslak Office TUTOM Towers Ulus Office Tower 3 Office Tower Building Lamartine Tower 2 Building Appraisal TL 863 TL 387 TL 378 TL 229 TL 128 mn TL 101 mn TL 49 mn TL 44 mn Value mn mn mn mn % share in 40% 18% 17% 11% 6% 5% 2%
Slide 12: Office Investments – Rental Income
Office Investments – Rental Income İş Tuzla Maslak Ankara Office TUTOM Towers Office Building Ulus O.B. Lamartine Tower 2 Annual TL 67,2 TL 24,7 TL14,5 TL 5,1 Rental TL 4,3 mn TL 2,5 mn mn mn mn mn Income Current Annual Rental Income ≈ TL 118 mn
Slide 13: Retail Investments - Appraisal Values
Retail Investments - Appraisal Values Marmara Kanyon Ege Perla Park Tuzla Shopping Shopping Kule Çarşı Shopping Retail Center Center* Center Appraisal TL 480 mn TL 284 mn TL 147 mn TL 61 mn TL 46 mn Value % share in 47% 28% 14% 6% 4% retail investments *Ege Perla Shopping Center was opened in Sep.20
Slide 14: Retail Investments - Rental Income
Retail Investments - Rental Income Marmara Kanyon Ege Perla Park Shopping Shopping Kule Çarşı Shopping Center Center Center Expected Annual Rental Income Annual Rental TL 33,8 mn TL 17 mn* TL 17,7 mn TL 4 mn ≈ TL 72 mn Income * With the assumption of 100% occupancy. ** Figures represent the expected
Slide 15: Projects Under Development
PROJECTS UNDER DEVELOPMENT isgyo.com.tr
Slide 16: Projects Under Development
Projects Under Development Manzara Adalar Mixed Use İnistanbul Residential Istanbul Finance Center Project
Slide 17: Projects Under Development
Projects Under Development Development Cost TL Mn % Manzara Adalar Mixed Use Project TL 620-640 43% İnistanbul Residential Project TL 550-600 39% Finance Center Project (IFC) TL 260-280 18% TOTAL TL1.430-1.520 100%
Slide 18: Manzara Adalar Mixed Use Project
MANZARA ADALAR MIXED USE PROJECT
Slide 19: Manzara Adalar
Manzara Adalar Kartal Region: one of the developing areas on the Asian side of İstanbul, ongoing urban transformation in the region, easy access supported with different means of transportation, close to the industrial zone of İstanbul and planned to be «the commercial center of the future».
Slide 20: Manzara Adalar
Manzara Adalar Project Land: located below the E5 highway(1,6 km) 1,8 km to the sea side, 16 km to Sabiha Gökçen airport, easy access with subway, road and sea transportation, close to hospitals, universities and the newly built court house.
Slide 21: Manzara Adalar
Manzara Adalar Location : Kartal, Istanbul Investment model: Revenue sharing model. Revenues of the project is shared with the ex-land owner in return for the land. Project type : Mixed use project *Designed by Perkins&Eastman. Projections (1): Development cost (excluding land) : TL620-640 mn Saleab
Slide 22: Manzara Adalar - Projections
Manzara Adalar - Projections Total leasable area : 49.000 sqm Total Expected rental income(ISGYO’s share) : TL16-17 mn
Slide 23: Manzara Adalar
Manzara Adalar isgyo.com.tr
Slide 24: Inistanbul Residential Project
İNISTANBUL RESIDENTIAL PROJECT
Slide 25: Inistanbul Residential Project
İnistanbul Residential Project Topkapı Region: transformation area supported with new real estate projects, industry is dominant in the north side of the region, while south side dominated by residentials, an intersection point for transportation, supported by every means of transportation,
Slide 26: Inistanbul Residential Project
İnistanbul Residential Project
Slide 27: Inistanbul Residential Project
İnistanbul Residential Project Location : Topkapı, Istanbul Acquisition date : December, 2013 Investment model: A joint venture between İş GYO and NEF. Total development cost* : TL1,1-1,2 bn Total sales revenues*: TL1,5-1,6 bn Total saleable area*≈ 250.000 sqm *Total figures. Designed by Perkins+Wil
Slide 28: Inistanbul Residential Project
İnistanbul Residential Project 1st Project 3rd Project İnistanbul GALA İnistanbul HAYAT 2nd Project 4th Project İnistanbul LOKAL İnistanbul KONSEPT
Slide 29: Basketball Court, Cinema Room, Guest Room
Basketball Court Cinema Room Guest Room Music Room
Slide 30: Istanbul Finance Center Project (IFC Project)
ISTANBUL FINANCE CENTER PROJECT (IFC Project)
Slide 31: IFC Project
IFC Project Location : Atasehir, Istanbul Project type : A mixed use project comprising offices and retail area. Estimated development cost: TL260-280 mn Estimated saleable/leasable area : ≈ 33.000 sqm Estimated rental Income : TL45-50 mn *Designed by
Slide 32: Pipeline Projects
PIPELINE PROJECTS © +c ey 9 mn et Ye) Ma Co isgyo.com.tr
Slide 33: Tuzla Residential Project
Tuzla Residential Project Tuzla is one of the developing transformation areas on the Asian side of Istanbul.
Slide 34: Tuzla Residential Project
Tuzla Residential Project ~𝟐 km ~𝟖𝟎𝟎𝐦𝐭 Location : Tuzla, Istanbul Acquisition date: January, 2016 Land area: 62.655 sqm Land value: TL150 mn
Slide 35: Kadıköy Hotel Project
Kadıköy Hotel Project ~𝟏𝟎𝟎𝐦𝐭 ~𝟐 km Tepe Nautilus ~𝟖𝟎𝟎𝐦𝐭 Location : Kadikoy, Istanbul Acquisition date: December, 2016 Land area: 9.043 sqm Investment Model: ISGYO has 45% share in the project* Project type: A project comprising hotel and commercial area Land value of ISGYO’s 45% share…
Slide 36: Dividend Payout
DIVIDEND PAYOUT isgyo.com.tr
Slide 37: Dividend Payout
Dividend Payout • In ISGYO’s dividend policy dividend is determined as “ not less than 30% of the total distributable income”. The dividend may be distributed in the form of cash and/or stock. Up until now, ISGYO distributed higher than the ratio determined in the dividend policy. In the last 10
Slide 38: Debt & Cash Position
DEBT & CASH POSITION isgyo.com.tr
Slide 39: Debt & Cash Position
Debt & Cash Position Outstanding Loan Outstanding Original Original Amount Loan Bank Loans Amount mn Date of the Loan Cost Maturity mn TL mn Euro Loan € 24,2 Dec. 2010 Euribor+350 bps 10 year € 9,7 40,7 TL Dolar Loan $75,0 Oct. 2013 Libor +425 bps 10 year $57,4 203,7 TL TL Loan 593,0 TL Dec.2013-May
Slide 40: Financials
# Financials”
Slide 41: ISGYO Total Portfolio
ISGYO 7% Total Portfolio (TL mn) 2% 19% 21% 42% 5.000 39% 4.500 17% 4.000 20% 3.500 3.000 2.500 4.888 4.962 4.036 2.000 1.500 2.905 2.415 1.000 500 0 2013 2014 2015 2016 2017 3Q 42% 16% 16%
Slide 42: Balance Sheet
Balance Sheet TL, mn 30.09.2017 31.12.2016 % Change ASSETS 5.211,0 4.887,0 7% Current Assets 764,8 323,0 137% Long-term Assets 4.446,2 4.564,0 -3% LIABILITIES 5.211,0 4.887,0 7% Short-term Liabilities 514,4 188,5 173% Long-term Liabilities 1.506,0 1.537,2 -2% Shareholders' Equity 3.190,6 3.161,3 1%
Slide 43: Income Statement
Income Statement TL, mn Jan.-Sep. 2017 Jan.-Sep. 2016 Sales Revenue 369,5 309,0 Cost of Sales -229,5 -155,0 Gross Profit/Loss 140,0 154,0 General Administrative Expenses -16,3 -14,4 Marketing, Sales and Distribution Expenses -9,6 -17,9 Other Operating Income 55,6 74,9 Other Operating Expense -48,8 -
Slide 44: Income Statement
Income Statement Financials (TL, mn) Jan.-Sep. 2017 Jan.-Sep. 2016 Sales Revenue 369,5 309,0 Cost of Sales -229,5 -155,0 Gross Profit/Losses 140,0 154,0 General Administrative Expenses -16,3 -14,4 Marketing, Sales and Distribution Expenses -9,6 -17,9 Other Operating Income 55,6 74,9 Other Operating
Slide 45: Stock Performance
STOCK PERFORMANCE isgyo.com.tr
Slide 46: Trade Volume
Trade Volume Average Daily Trade Price change in TL ISGYO Volume terms 2016 TL 4,1 mn 5% 2017 TL 5,4 mn -1%
Slide 47: Stock Price vs. Index Performance
Stock Price vs. Index Performance Stock Price& Performance as of 30.09.2017 1 year 3 year 5 year BİST 100 11% 9% 57% ISGYO -4% 72% 162% XGMYO 6% 21% 38%
Slide 48: Regulation Highlights
REGULATION HIGHLIGHTS isgyo.com.tr
Slide 49: REICs
REICs Real Estate Investment Companies (REICs) can invest in; • Real estate, • Rights and capital market instruments backed by real estate, • Real estate projects and • Money&capital market instruments.
Slide 50: Regulation Highlights
Regulation Highlights REICs are subject to REIC’s communiqué issued by Capital Markets Board(CMB) of Turkey. • REICs have to offer their shares to the public equal to at least 25% of their issued capital. • REICs have to invest at least 51% of their total asset value into real estate, rights and pro
Slide 51: Regulation Highlights
Regulation Highlights • REICs can not in any way be involved in construction of real estates and can not recruit personnel and equipment with this purpose. • REICs properties must be valued by an independent appraisal company authorized by the CMB. • REICs are exempt from corporate taxes and income
Slide 52: Ratings
Ratings CREDIT RATING CORPORATE GOVERNANCE RATING 93.41 (9,34)
Slide 53: Investor Relations
Investor Relations Ayşegül Şahin Kocameşe Head Investor Relations Phone : +90 0212 325 23 50 E-mail : aysegul.sahin@isgyo.com.tr This presentation has been prepared in order to inform Mine Kurt Yıldırım investors. Assistant Manager Investor Relations Since the presentation has been prepared regardin
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