Hamborner Reit Ag · XETR:HABA
Hamborner Reit — Investor Presentation (August 2017)
36 slides from Hamborner Reit's investor presentation, August 2017
Slide 1: Company Presentation
Company Presentation Dr. Rüdiger Mrotzek Hans Richard Schmitz August 2017
Slide 2: Agenda
Agenda 1 History / Capital markets track record 2 Portfolio-Management 3 Asset-Management 4 Financial Figures / Financial Position HAMBORNER REIT AG - Company Presentation - August 2017 2
Slide 3: Historical development of the company
History / Capital markets track record Historical development of the company Mining 1953 Foundation of the company: HAMBORNER founded as a mining company 1954 Listed on stock exchange as HAMBORNER Bergbau AG 1969 Integration of the mining activities into Ruhrkohle AG Asset 1970 Continuation of HAMBO
Slide 4: Real Estate Investment Trust (REIT) requirements
History / Capital markets track record [R]eal [E]state [I]nvestment [T]rust (REIT) Requirements for G-REITs ▪ Listing on the regulated market ▪ at least 45 % equity-ratio ▪ > 15% free float ▪ > 75% of assets must be real estate assets ▪ > 75% of revenues must stem from real estate assets ▪ > 90% of
Slide 5: Lean corporate structure – no holding/parent companies
History / Capital markets track record Lean corporate structure – no holding/parent companies HAMBORNER REIT AG 2 33 board members employees ▪ Directly owned property ▪ Internal management ▪ German-wide portfolio ▪ Only infrastructural building services externally ▪ Market value of properties: contr
Slide 6: Growing market capitalization and increasing free float
History / Capital markets track record Growing market capitalization and increasing free float Overview events Historic market cap (€ million) ▪ 2007: Start of new strategy 721 722 ▪ 2010: Achievement of G-REIT status and change of 596 company name to HAMBORNER REIT AG ▪ October 2010: Capital Increa
Slide 7: HAMBORNER REIT AG share
History / Capital markets track record HAMBORNER REIT AG share Development of share price and turnover 1 August 2016 = 100% Number of shares 130% 800.000 700.000 120% 600.000 110% 500.000 100% 400.000 300.000 90% 200.000 80% 100.000 70% 0 08.16 09.16 10.16 11.16 12.16 01.17 02.17 03.17 05.17 06.17 0
Slide 8: Agenda
Agenda 1 History / Capital markets track record 2 Portfolio-Management 3 Asset-Management 4 Financial Figures / Financial Position HAMBORNER REIT AG - Company Presentation - August 2017 8
Slide 9: Well defined acquisition strategy
Portfolio-Management Well defined acquisition strategy Acquisition strategy Asset focus ▪ Regional diversification in high-growth regions in West and ▪ Focus on quality properties, location and property strategy South-West Germany determined by asset type: ▪ Focus also on towns and cities outside th
Slide 10: Balanced portfolio with 100% German focus
Portfolio-Management Balanced portfolio with 100% German focus Geographical portfolio spread (as of 31 July 2017) Diversification of asset types (as of 31 July 2017) ▪ 72 properties in 56 cities in Germany Schleswig- ▪ Focus on West and South-West Holstein Mecklenburg- ▪ € 1,249 million portfolio va
Slide 11: Regional diversification
Portfolio-Management Regional diversification Federal State Number of objects Share in the market value of total portfolio (31 July 2017) Northrhine-Westphalia 25 27% Bavaria 10 19% Baden-Wurttemberg 10 18% Berlin 4 9% Hesse 7 8% Lower Saxony 6 6% North NorthRhine- Rhine- Westphalia Westphalia Schle
Slide 12: Portfolio Development
Portfolio-Management Portfolio Development Development of the HAMBORNER portfolio value (in € million) 1,249 1,115 Change of strategy 900 717 692 580 504 376 308 281 273 179 177 186 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 31 July 2017 HAMBORNER REIT AG - Company Presentation
Slide 13: Increasing value per asset through acquiring larger assets
Portfolio-Management Increasing value per asset through acquiring larger assets Portfolio split by property value Average value per asset (in € million) 31 December 2006 (100% = 54 properties) 31 July 2017 (Number of properties = 72) 17.3 > € 10 16.2 million € 5-10 million 4% 15% 13.0 10.5 81% <€5 9
Slide 14: Investments 2017
Portfolio-Management Investments 2017 Cologne (O3) Hallstadt/Bamberg (Market Oberfranken) Am Coloneum Michelinstrasse Built 2006 1974 (modernized and expanded in 2006) Main tenant NetCologne Müller, tegut, C&A, Expert, ALDI Leased area approx. 26,500 m2 approx. 21,800 m2 Annual rental income € 2.8 m
Slide 15: Investments 2017
Portfolio-Management Investments 2017 Berlin Ratingen Märkische Allee Balcke-Dürr-Allee Built 2006 2017 Main tenant Kaufland SPIE, Capgemini Leased area approx. 6,500 m2 approx. 10,400 m2 Annual rental income € 0.9 million € 1.9 million Remaining lease term 8.2 years(1) 8.4 years(1) Gross initial yi
Slide 16: Investments 2017 – Transfer of possession outstanding
Portfolio-Management Investments 2017 Transfer of possession outstanding Kiel Hanau (Rondo Steinheim) Kaistrasse Otto-Hahn-Strasse Built 2017 (under construction) 2017 (under construction) Main tenant Barmer GEK REWE, ALDI, dm, Deichmann Leased area approx. 6,550 m2 approx. 12,800 m2 Annual rental i
Slide 17: Investments 2017 – Transfer of possession outstanding
Portfolio-Management Investments 2017 Transfer of possession outstanding Passau (Neustiftcenter) Steinbachstrasse/Alte Poststrasse Built 2017 (under construction) Main tenant REWE Leased area approx. 4,300 m2 Annual rental income € 0.9 million Remaining lease term 11.5 years(1) Gross initial yield 5
Slide 18: Divestments 2017
Portfolio-Management Divestments 2017 Divestments H1 2017 Recent Divestment Duisburg „Kasslerfelder Kreisel“ Minden Selling price: € 9.5 million Selling price: € 4.5 million Fair value as of 31 Dec 2015: € 9.2 million Fair value as of 31 Dec 2016: € 4.5 million Book value as of 31 Dec 2016: € 7.2 mi
Slide 19: Divestments since change of strategy in 2007
Portfolio-Management Divestments since change of strategy in 2007 € 78.9m € 76.9m + 2.7% + 48.2% € 52.5m Disposal of 26 commercial properties: € 77.0m → Average selling price: € 3.0m → Average multiple: 14.1 → Total annual rental income: € 5.5m Book Value Fair Value Selling Price at time of disposal
Slide 20: Portfolio development 2017
Portfolio-Management Portfolio development 2017 Portfolio value € 1,317 million Portfolio value € 1,249 million Portfolio value € 1,115 million Transfer of possession Transfer of possession Jan-July 2017 H2 2017 Cologne (€ +50.3m)(1) Hanau (€ +37.5m)(2) Bamberg (€ +42.0m)(1) Kiel (€ +20.9m)(2) Berli
Slide 21: Agenda
Agenda 1 History / Capital markets track record 2 Portfolio-Management 3 Asset-Management 4 Financial Figures / Financial Position HAMBORNER REIT AG - Company Presentation - August 2017 21
Slide 22: High and stable occupancy
Asset-Management High and stable occupancy Occupancy rates 95.7% 98.2% 97.9% 96.5% 97.5% 98.2% 98.1% 97.5% 97.7% 98.1% 98.7% 98.5% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 30 June 2017 → Vacancy rate as at 30 June 2017 incl. rent guarantees: 1.5 % → Vacancy rate as at 30 June 2017 excl
Slide 23: Long-term leases
Asset-Management Long-term leases Weighted average lease expiry by type (as of 30 June 2017, in years) 8.5 6.4 5.0 4.9 Office Highstreet large-scale retail Total Split of lease contracts expiring by year (as of 30 June 2017) 35% 2% 8% 8% 12% 9% 8% 9% 9% 2017 2018 2019 2020 2021 2022 2023 2024 2025 a
Slide 24: Solid tenants
Asset-Management Solid tenants Top 10 tenants (as of 30 June 2017, % of annual rent) Tenant Sector % of annual rent* EDEKA-Group Discount food retail 10.8% Kaufland Group Discount food retail 7.8% real,- Discount food retail 6.3% OBI Retail (DIY) 5.9% Jobcenter Government Agency 3.8% NetCologne Tele
Slide 25: Agenda
Agenda 1 History / Capital markets track record 2 Portfolio-Management 3 Asset-Management 4 Financial Figures/Financial Position HAMBORNER REIT AG - Company Presentation - August 2017 25
Slide 26: Strong first half year 2017
Financial Figures / Financial Position Strong first half year 2017 Highlights ▪ Increase in income from rents and leases: + 19.7% ▪ FFO increase: + 28.1% ▪ Vacancy rate: 1.5 % ▪ Total invested volume: € 108.9 million (3 assets) ▪ Total portfolio volume: € 1,214 million as of 30 June 2017 ▪ NAV per s
Slide 27: Significant key figures for first half year 2017
Financial Figures / Financial Position Significant key figures for first half year 2017 Key figures 30 June 2017 30 June 2016 Change Income from rents and leases € 35.8 million € 29.9 million + 19.7 % Operating result € 15.5 million € 13.3 million + 16.7 % Profit for the period € 10.9 million € 8.8
Slide 28: Benefitting from economies of scale
Financial Figures / Financial Position Benefitting from economies of scale Portfolio value (€ million) and overhead cost margin* 1400 1,214 1200 1,115 2006 20% 22.2 % 1000 900 800 717 692 580 600 504 10% 376 400 281 308 273 H1 2017 186 7.7 % 200 0 0% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Slide 29: Stable and predictable cost of debt
Financial Figures / Financial Position Stable and predictable cost of debt Expiration of fixed interest rates (30 June 2017; % of total financial debt) ▪ Financial debt: € 486.3 million ▪ Liquid funds: € 29.1 million 25% ▪ REIT equity ratio: 61.1 % Refinancing/ ▪ LTV: 37.7 % Repayment ▪ Average matu
Slide 30: Increasing FFO and dividend per share
Financial Figures / Financial Position Increasing FFO and dividend per share Funds From Operations (FFO) (1) Calculation of FFO per share with outstanding shares at the respective time Capital Increase 2 Capital Increases 79.7 Capital 62.0 36.1 Increase 50.0 Capital 45.5 45.5 45.5 29.2 Increase 23.8
Slide 31: Summary and outlook
Summary and outlook Conclusion/Summary ▪ Successful first half 2017 with positive development of operational business ▪ Vacancy rate: 1.5% ▪ Transfer of possession of three assets in Cologne, Hallstadt/Bamberg and Berlin ▪ Transfer of possession of further office building in Ratingen on 11 July 2017
Slide 32: Many thanks for your attention! Financial Calendar
Financial Calendar HAMBORNER REIT AG - Financial Calendar Interim Report for 3rd quarter 2017 9 November 2017 Preliminary figures 2017 8 February 2018 Annual Report 2017 21 March 2018 Interim Report for 1st quarter 2018 25 April 2018 AGM 2018 26 April 2018 Many thanks for your attention! HAMBORNER R
Slide 33: TOP Properties (1/2)
Appendix TOP 10 Properties (1/2) Mannheim Lübeck Munich Cologne Berlin Kurpfalz Center Haerder-Center NuOffice O3 EUREF-Campus Asset type Retail High Street Office Office Office Year of acquisition 2016 2016 2013 2017 2013 Purchase price € 80.0 million €49.1 million € 40.1 million € 48.9 million € 3
Slide 34: TOP Properties (2/2)
Appendix TOP 10 Properties (2/2) Hallstadt/Bamberg Ratingen Dortmund Karlsruhe Celle Market Oberfranken DOMI Asset type Retail Retail/Office Retail Office High-Street/Office Year of acquisition 2017 2012 2015 2017 2016 Purchase price € 43.7 million € 37.0 million € 35.2 million € 34.4 million € 30.8
Slide 35: Contact
Contact Dr. Rüdiger Mrotzek – Member of the Board T +49 (0)203 / 54405-55 M r.mrotzek@hamborner.de Hans Richard Schmitz – Member of the Board T +49 (0)203 / 54405-21 M h.schmitz@hamborner.de Christoph Heitmann – Investor Relations T +49 (0)203 / 54405-32 M c.heitmann@hamborner.de HAMBORNER REIT AG -
Slide 36: Disclaimer
Disclaimer This presentation was exclusively prepared for the addresses specified on the title page and/or the participants at the mentioned event. The information in this presentation is based on both public information and documents as well as information which was made available to HAMBORNER REIT