Helios Re Socimi, S.a. · BME:SCHLR
Helios Re Socimi — Lar España Real Estate SOCIMI — Investor Presentation (January 2019)
35 slides from Helios Re Socimi's investor presentation, January 2019
Slide 1: Corporate Presentation
Corporate Presentation January 2019
Slide 2: Index
INDEX 01 02 03 04 05 Company Investment Financial ESG Appendix Description Highlights Results Results Recognitions 2
Slide 3: Company Description
01 Company Description 3
Slide 4: Snapshot
Snapshot Shareholder Structure First IPO of a Spanish REIT listed on the Spanish Stock Exchange Other investors PIMCO 19.6% Focused on creating both sustainable income and strong capital returns for 45.6% shareholders Manager Lar España is managed by Grupo Lar, private Real Estate Asset Manager, Gru
Slide 5: Board of Directors & critical activities
Board of Directors & critical activities Independent and experienced Board: 5 independent directors (5 out of 7) Critical Activities internalized José Luis del Valle Roger Cooke Leticia Iglesias Jon Armentia Susana Guerrero Hernán San Pedro Chairman and Independent Independent Independent Corporate
Slide 6: Major corporate milestones from 2017 & 2018
Major corporate milestones from 2017 & 2018 JAN MAR MAY JUL SEP DEC FEB APR JUN AUG OCT DEC +15.8% Abadía Retail Dividend +19.5% Vidanova Parc Analyst Day Rivas Futura Dividend +34% Galaria Joan Miró Investor Day Asset Park Acquisition Payment Asset Revaluation Credit for Construction Acquisition Pa
Slide 7: Portfolio at a glance
Portfolio at a glance 90% of GAV concentrated in retail assets Assets GLA 18 €1,536 Mn 622,838 2 acquisitions in 2018 Gross Asset Value1 sqm Retail Rest of the portfolio GAV 1 90% 10% Remaining offices portfolio and unique residential project in Rental process of Income 2 93% 7% divestment Retail Of
Slide 8: Investment Strategy focused on retail
Investment Strategy focused on retail Unique shopping centres & retail parks SHOPPING CENTRES & RETAIL PARKS MAIN CHARACTERISTICS Dominant in its Value-creation Core+ catchment areas potential 100% Target levered ownership IRR>12% Unique exposure to real estate retail assets, the Resilient prime dom
Slide 9: The value of a retail platform
The value of a retail platform Main market players by owned GLA, including GLA under development1 Lar España has consolidated among the top retail operators in Spain. Now, the target is to selectively increasing GLA to generate revenue synergies Owned GLA (est.) Nbr. Assets Avg. ownership per asset
Slide 10: Strong Transformation + Innovation
Strong Transformation + Innovation TRANSFORMATION STRATEGY DIGITAL INNOVATION Customer Tenant Big Data Full Connectivity journey mix Customer Webs analysis enhancing Intelligence APPS WIFI Social Media Capex and On-site shopping Market Place Seeketing improvement centre intensive Click & Collect Mar
Slide 11: External manager: A real estate reference
External manager: A real estate reference Grupo Lar now owns Investment Management a 10% stake Agreement in Lar España, subject to a lock-up period Manager New IMA signed in 2018 Grupo LAR Key Facts 1 Family owned Company +50Y of experience Retail Offices 39 Shopping centres invested, 9 Office build
Slide 12: Business Plan Guidance 2018-2021
Business Plan Guidance 2018-2021 Target Returns ▪ 12% Target Annual Return on investments ▪ €403 Mn of divestments From Office, residential and non-core retail assets 38% realized Divestments ▪ >€119 Mn of divestments From all logistics portfolio (100% realized) 100% realized ▪ Finance all existing
Slide 13: Investment Highlights
02 Investment Highlights 13
Slide 14: Lar España 12 Ideas Clock
Lar España 12 Ideas Clock Attractive ordinary, special dividend & SBB Debt management aim to reduce interest 12 rates risk & financing costs Retail leaders in Spain 11 1 Acquisition pipeline focus on Economic growth in Spain, increase our retail platform value outperforming Europe 10 2 Strong Operat
Slide 15: Retail leaders in Spain; Economic growth
Retail leaders in Spain Economic growth 1 Annualised Assets Total GAV Retail GLA Net Rent 15 #1 Retail leaders (30/09/2018) 581,3802 retail park in Spain €1,536 Mn1 €69.2 Mn Best location sqm owner in Spain Best Retailers mix Prime Assets, dominants in their catchment areas, 100% ownership 2 • Econo
Slide 16: Strong Operating Results; Technology
Strong Operating Results Technology 3 Strong Results, active asset Time per Occupancy NOI visit Footfall Sales Growth management, Growth 11 quarters 88 min +7.6% +16.5% +2.8% +10% +7.7% prev. year 94.8%Ret. outperforming Spanish market June 2018 vs Acquisition 4 DIGITALISATION EXPERIENCE ESG Custome
Slide 17: ESG Developments
ESG Developments 5 Environmental Social Governance Lar España promotes Lar España’s portfolio Lar España continues sustainability certification assets generate social impacts to make great strides measures & adopts new that transform and build shared forward in terms of ESG a strong pillar technolog
Slide 18: Asset revaluation; Capex investments
Asset revaluation Capex investments 7 € Mn Portfolio Value 1,538 76 273 195 1,536 1,275 Continuous asset 899 revaluation, including asset disposals 406 2014 2015 2016 2017 Acquisitions Divestments Revaluation Dec 2018 2018 1 2018 2 2018 1. Parque Abadía commercial gallery and Rivas Futura retail par
Slide 19: Rents upside; Acquisition pipeline
Rents upside Acquisition pipeline 9 Future Ongoing Investments Existing Income Development Generating Assets 15 110 4 15 95 6 Rents upside from 80 existing retail 70 portfolio Annualized Topped Reversionary Reversionary Reversionary Lagoh 3 Potential Annualized Future Potential Annualized Up Net Ren
Slide 20: Debt management; Attractive dividend
Debt management Attractive dividend 11 Debt management Gross Net Avg. Fixed Interest aim to reduce Financial LTV Cost Rate Cover Ratio1 interest rates risk Debt (30/09/2018) of Debt (ICR) and reduce financing costs €607.0 Mn 31% 2.27% 98% 3.02x 1. EBITDA (pre-revaluation) / Interest expenses as at 9
Slide 21: Financial Results 9M 2018
03 Financial Results 9M 2018 21
Slide 22: Solid company performance in 9M 2018
Solid company performance in 9M 2018 +12% 21% 11 quarters in Net Profit Developments & €10.76 NAV p.s. outperforming the OPERATING +44% refurbishment revaluation +13% vs 9M 2017 Spanish market RESULTS in Property Operating Result1 since June 2018 in sales & footfall VidaNova Parc Lagoh Lagasca99 Elo
Slide 23: Successful & strong financial key figures delivered in 9M 18
Successful & strong financial key figures delivered in 9M 2018 23 631,448 Assets GLA sqm €1,526 Mn +7% €58.6 Mn +2% €1,018 Mn 13.5% GAV vs 9M 2017 GRI vs 9M 2017 EPRA NAV ROE €607.0 Mn 2.27% €60.6 Mn +45% €10.76 8.0% Financial Debt Cost of Debt EBITDA1 vs 9M 2017 EPRA NAV per share ROA €478.9 Mn 31%
Slide 24: Solid retail performance driven by robust operating results in 9M 2018
Solid retail performance driven by robust operating results in 9M 2018 Retail Rest of the portfolio Retail Rest of the portfolio GAV 87% 13% Rental Income 93% 7% Retail yields Operating results Commercial activity 6.5% +3.0% Potential LfL GRI €5.8 Mn 25,461 sqm Negotiated rent Rotated area growth +4
Slide 25: Consolidated Income Statement (€ Millions)
Consolidated Income Statement (€ Millions) P&L Chg% RECURRING NON-RECURRING 9M 2018/17 9M 2018 9M 2017 9M 2018 9M 2017 9M 2018 9M 2017 Rental Income 58.6 57.2 58.6 57.2 - - Other Income 3.1 1.6 3.1 1.6 - - Property Operating Expenses (10.3) (9.6) (10.3) (9.6) - - Base Fee (6.5) (6.8) (6.5) (6.8) - -
Slide 26: ESG Results
04 ESG Results 26
Slide 27: ESG Asset Management & Environment
ESG Asset Management & Environment 1 Responsible asset management focused on consumptions and emissions Promoting sustainability certification measures, encouraging the use of new technology to improve our assets’ environmental quality and management CSR Master Plan to meet the most demanding sustai
Slide 28: ESG Corporate Governance
ESG Corporate Governance Risk Control & Management System Integrated enterprise risk management (ERM) system designed to mitigate the risks exposure 1 ERM system involves all Lar España’s staff and supervising of third parties Risk Map: the ERM system categorises risk into high, medium and low . Ris
Slide 29: Recognitions
Recognitions 2018 EPRA BPR & sBPR Awards Since June 2015: Member of FTSE EPRA/Nareit Global Estate Index First SOCIMI to be awarded with the "EPRA GOLD AWARD” in Recognized with the “EPRA Gold Financial Reporting for the Award” in Sustainability Best 4th consecutive year Practices Sustainability Cer
Slide 30: Appendix
05 Appendix RETAIL _. / Le ACTON, 30
Slide 31: Retail Assets
Retail Assets Megapark Gran Vía P. Marina El Rosal Lagoh Anec Blau As Termas Abadía Bilbao Vigo Alicante Ponferrada Seville Barcelona Lugo Toledo Development Market Value €217.9 Mn €165.0 Mn €122.5 Mn €109.0 Mn €106.2 Mn1 €95.9 Mn €85.6 Mn €80.9 Mn (Jun 2018) GLA (Sqm) 83,366 41,446 40,158 51,155 10
Slide 32: Retail Assets
Retail Assets Rivas Vidanova Parc Albacenter Vistahermosa Madrid Valencia Albacete Alicante Other Assets3 Market Value €65.4 Mn €61.6 Mn1 €57.9 Mn €49.7 Mn €103.0 Mn (Jun 2018) GLA (Sqm) 36,447 45,773 27,890 33,363 44,888 30 Jul ’14 Acquisition Date 6 Feb ´18 3 Aug ’15 16 Jun ’16 NA 19 Dec ’14 Acqui
Slide 33: Other Assets
Other Assets Offices Residential Lagasca99 Market Value Market Value €77.9 Mn1 €203.0 Mn3 (Jun 2018) (Sep 2018) GLA (Sqm) 15,255 GLA (Sqm) 26,203 Acquisition Date NA Acquisition Date 30 Jan ´15 Acquisition Price €31.7 Mn Acquisition Price €50.1 Mn4 EPRA NIY2 1.1% Construction Period 2016-2018 1. Mar
Slide 34: Disclaimer
DISCLAIMER This document has been prepared by Lar España Real Estate SOCIMI, S.A. (the “Company”) for information purposes only and it is not a regulated information or information which has been subject to prior registration or control by the Spanish Securities Market Commission. This document neit
Slide 35: Follow us
Follow us www.larespana.com info@laespana.com Lar España Real Estate SOCIMI Lar España App
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