Value and Indexed Property Income Trust PLC · LSE:VIP
Value and Indexed Property Income Trust — Shareholder Meeting (July 2022)
25 slides from Value and Indexed Property Income Trust's shareholder meeting presentation, Jul 8, 2022
Slide 1: AGM - 8 July 2022
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP AGM - 8 July 2022
Slide 2: Contents
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP CONTENTS • Overview • Update – All data 30 June 2022 unless otherwise stated • Vip Property Portfolio • Vip Equity Portfolio LONG, STRONG, INDEXED PROPERTY INCOME 2
Slide 3: Overview
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP Overview • VIP has now completed transition to a direct Property Investment Trust • VIP comprises 94% in UK direct Property and 6% in one Property Equity (at 8 July) • Strong track record of outperformance of our benchmark MSCI Quarterly Property Ind
Slide 4: VIP Update
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP VIP Update Asset Split as at 31 March 2022 Asset Split as at 30 June 2022 2.2% 14.5% 7.1% 0.8% 83.3% 92.0% UK Property £155.8m UK Property - £158.2m UK Equities - £26.9m UK Equities - £12.2m Cash - £5.2m Cash - £1.3m Source: BNP Paribas. Data 31 Marc
Slide 5: VIP borrowings
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP VIP borrowings changes in interest rates and maturities 31 March 2019 31 March 2020 7 January 2021 31 March 2021 31 March 2022 30 June 2022 Total £50,000,000 £72,000,000 £72,000,000 £57,000,000 £57,000,000 £50,000,000 Interest £4,156,000 £4,834,000 £
Slide 6: VIP Property Portfolio
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP VIP Property Portfolio to 31 March 2022 • Total Return March to March - 20.2% • Total Returns between 10% and 12% a year over the past 3, 5, 10, 20 & 35 years with Total Returns above the MSCI averages over all these periods • Real Returns above Reta
Slide 7: Property Portfolio Performance Record: Total Annualised Returns
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP VIP PROPERTY PORTFOLIO PERFORMANCE RECORD 25.0% OVER 35 YEARS TO 31MARCH 2022 20.2% 19.6% 20.0% Total Annualised Returns 15.0% 9.0% 12.2% 10.3% 10.3% 3.2% 3.4% 9.5% 9.5% 9.9% 3.0% 10.0% 4.3% 8.7% 8.5% 3.6% 8.3% 8.0% 6.7% 6.6% 6.9% 6.4% 5.7% 4.9% 5.0%
Slide 8: Property Portfolio: Valuation uplift on held properties
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP Property Portfolio Valuation uplift on held properties march 2021 to march 2022 All held Properties 23.5% Total Return Income rose by 6% on held Properties 8.6% 16.9% 17.4% 18.6% 25.1% 25.5% Pubs Supermarkets Other All Held Properties Industrials Lei
Slide 9: Property Portfolio Summary March 2022
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP Property Portfolio PORTFOLIO SUMMARY 30 June 2022 31 March 2022 Portfolio Value: £152,200,000** £155,478,000* Contracted Income: £8,230,494 £8,339,944 Total Number of Properties: 41 43 Contracted income as a % of Portfolio Value: 5.4% 5.4% Total Numb
Slide 10: % of contracted income indexed
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP % of contracted income indexed at 30 June 2022 96% 91% 86% 79% 52% 39% 2013 2017 2019 2020 2021 2022 LONG, STRONG, INDEXED PROPERTY INCOME 10
Slide 11: Forecast Average Annual Rental Income Growth over Five Years
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP Forecast Average Annual Rental Income Growth* % over Five Years 5.2% 4.8% 4.4% 4.0% 3.3% 2.0% CPI 0% CPI 2% CPI 4% CPI 6% CPI 8% CPI 10% *Annual Rental Growth assuming cpi increases 0% - 10% p.a. LONG, STRONG, INDEXED PROPERTY INCOME 11
Slide 12: Property Portfolio – at 30 June 2022
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP Property Portfolio – at 30 June 2022 INDUSTRIALS SUPERMARKETS PUBS OTHER (CARAVAN PARK & LIBRARY) • 13 Properties - £51.9m • 9 Properties - £41.0m • 10 Properties - £20.3m • 2 Properties (3 Tenants) - £13.5m • 30% of Contracted Rent £2.5m • 29% of Co
Slide 13: Sector Weighting % Capital Value
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP Sector Weighting % Capital Value at 30 June 2022 Industrials - 34% Supermarkets - 27% 4% 6% 7% Pubs - 13% 34% Other (Caravan Park & Library) - 9% 9% Roadside - 7% Hotels - 6% 13% Leisure (Bowling) - 4% 27% LONG, STRONG, INDEXED PROPERTY INCOME 13
Slide 14: Top Property holdings by capital value
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP Top 10 Property holdings by capital value at 30 June 2022 Property Tenant Sector % of Portfolio by Capital Value Newport Isle of Wight Marks and Spencer Supermarket 8% Dover Park Resorts Caravan Park 8% Garstang Sainsbury’s Supermarket 6% Catterick P
Slide 15: Property Purchases and sales since March 2019
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP Property Purchases and sales since march 2019 At 8 July 2022 Year March to Purchases No. of Sales No. of March Properties Properties 2019/2020 £10,800,000 5 £9,200,000 5 2020/2021 £17,600,000 7 £4,750,000 2 2021/2022 £63,430,000 14 £3,280,000 2 2022/
Slide 16: by Region % Capital Value
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP by Region % Capital Value at 30 June 2022 1% South East - 34% (9 Properties) 4% North - 29% (13 Properties) 6% 6% South West - 12% (5 Properties) 34% Scotland - 8% (5 Properties) 8% East Anglia - 6% (3 Properties) Midlands - 6% (3 Properties) 12% Lon
Slide 17: Contracted Income by Tenant %
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP Contracted Income by Tenant % at 30 June 2022 Marks & Spencer 14% Co-operative Group 9% Stonegate 9% Sainsbury's Supermarkets 8% H.M. Government 7% Park Resorts 7% Local Authorities 6% Ten Entertainment Group 5% Kier Group 5% MKM Building Supplies 5%
Slide 18: Rent Review Pattern by Contracted Rent
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP Rent Review Pattern by Contracted rent 96% Indexed income 4% 23% 8% 68% Retail Price Index - 68% (31 Tenancies) Consumer Price Index - 8% (5 Tenancies) Fixed Increases - 20% (6 Tenancies) Open Market - 4% (1 Tenancy) LONG, STRONG, INDEXED PROPERTY IN
Slide 19: Rent Review Pattern by Contracted Rent
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP Rent Review Pattern by Contracted Rent 2% 2% 3% 4% 4% 23% 4% 5% 6% 20% 7% 9% 11% Retail Price Index (2%-4%) - 11 Tenancies - 23% Fixed (various 1.95%-3%) - 6 Tenancies - 20% Retail Price Index (1%-3%) - 5 Tenancies - 11% Retail Price Index (Uncapped)
Slide 20: VIP UK Equities holdings at March 2022
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP VIP UK Equities holdings at 31 March 2022 Property Backed Equities Value (£m) Percentage BMO Real Estate Investments £6.7m 25.1% Urban Logistics £4.8m 17.7% Tritax Big Box REIT £4.2m 15.8% Warehouse REIT £3.3m 12.2% Real Estate Credit Investments £3.
Slide 21: VIP UK Equities holdings at June 2022
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP VIP UK Equities holdings at 30 june 2022 Property Backed Equities Value % BMO Real Estate Investments £12,200,000 100% Source: BNP Paribas. Data to 30 June 2022 LONG, STRONG, INDEXED PROPERTY INCOME 21
Slide 22: VIP UK Equities transactions April 2022
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP vip uk equities transactions 1 April 2022 – 30 June 2022 Property Backed Equities Value Purchases BMO Real Estate Investments £6,900,000 Total £6,900,000 Property Backed Equities Value Sales PRS REIT £2,100,000 Sales Real Estate Credit Investments £3
Slide 23: Conclusion
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP conclusion • VIP’s safe, long let indexed Property Portfolio should prove resilient • Stay on the right side of structural change • Stick to strong tenants at affordable rents on long index-linked leases • VIP has outperformed in previous turbulent t
Slide 24: Disclaimer
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP Disclaimer • This document has been prepared by OLIM Property Limited solely for presentation to the Value and Indexed Property Income Trust PLC Annual General Meeting on 8 July 2022. For the purpose of this disclaimer, ‘Presentation’ shall mean this
Slide 25: AGM – July 2022, Managed by OLIM Property Limited
VALUE AND INDEXED PROPERTY INCOME TRUST PLC - VIP AGM – 8 July 2022 Managed by OLIM Property Limited
Value and Indexed Property Income Trust — Shareholder Meeting (July 2022) on 6ix