European Residential Real Estate Invt Tr
European Residential Real Estate Invt Tr — European Residential Real Estate Investment Trust — Q2 2024 Earnings Presentation
14 slides from European Residential Real Estate Invt Tr's earnings presentation, Aug 7, 2024
Slide 1: Canada's only European-focused multi-residential REIT
Canada’s only European-focused multi-residential REIT Second Quarter 2024 Conference Call 1 | SECOND QUARTER CONFERENCE CALL
Slide 2: Disclaimer
Disclaimer This presentation and our answers to questions in today’s session may contain forward-looking information within the meaning of applicable securities laws. Forward-looking information may relate to the REIT’s future outlook and anticipated events or results. These statements are based on
Slide 3: Presenters
Presenters • President, CEO and Trustee at CAPREIT Mark Kenney • CAPREIT since 1998 CEO and Trustee • Director on Board of REALPAC • Former Board member & Chair of the Fed. of Rental Housing Providers of Ontario • Former founding Board member of the Greater Toronto Apartment Association • Vice Presi
Slide 4: Strong Operational Performance
Strong Operational Performance 97.7% €1,100 €1,050 ERES has achieved €1,000 strong growth in AMR alongside consistently high occupancy, even €950 within the continuously changing regulatory €900 framework. €850 €800 Q4'19 Q1'20 Q2'20 Q3'20 Q4'20 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23
Slide 5: Second Quarter Update
Second Quarter Update Business Update • Since Q1, the REIT closed on 56 single-suite dispositions for a combined total1 of €15.1 million. • In June 2024, the REIT disposed of one residential portfolio consisting of 66 suites in the Netherlands for gross consideration of €14.2 million. • Post period
Slide 6: Financial Performance
Financial Performance Jenny Chou Chief Financial Officer 6 | SECOND QUARTER CONFERENCE CALL
Slide 7: Second Quarter Financial Results
Second Quarter Financial Results Same Property Same Property Same Property Occupancy AMR Growth NOI 97.8% +6.3% +5.4% Same Property FFO per Unit AFFO Payout NOI Margin (diluted) Ratio 78.8% -4.9% 81.1% 7 | SECOND QUARTER CONFERENCE CALL
Slide 8: Six Months 2024 Financial Results
Six Months 2024 Financial Results Six Months Ended June 30, 2024 2023 %∆ Operating Revenues (000s) €48,895 €46,753 4.6% Net Operating Income (NOI) (000s) €38,446 €36,379 5.7% Net Operating Income Margin1,2 78.6% 77.8% 0.8% Funds From Operations (FFO) €18,318 €18,896 3.1% FFO per Unit (Diluted) €0.07
Slide 9: Financial Position and Liquidity
Financial Position and Liquidity 60% 57% 58% 58% 57% 56% 54% 51% 49% €55 €43 €37 €30 ERES actively €29 €21 €28 €29 monitors leverage and Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 coverage ratios Available Liquidity (€M) 1 Ratio of Adjusted Debt to Market Value of Portfolio Covenant to ensure c
Slide 10: Mortgage Renewal (€)
Staggered Mortgage Renewal Profile Weighted Average Mortgage Term of 2.5 Years 4.75% 400 3.29% 2.15% 2.21% Nearly all of ERES’s 300 1.69% Mortgage Renewal (€) 1.15% 1.47% mortgages are financed with terms and 200 arrangements that result in fixed interest 100 234.7 219.6 payments, mitigating 187.8 1
Slide 11: Closing Remarks
Closing Remarks Mark Kenney Chief Executive Officer 11 | SECOND QUARTER CONFERENCE CALL
Slide 12: Maximizing Value for Unitholders
Maximizing Value for Unitholders Value Maximization Rent Maximization Turnover Indexation Conversion Individual Suite Strategic Suite Reletting Privatization Portfolio Sales 12 | SECOND QUARTER CONFERENCE CALL
Slide 13: Investment Highlights
Investment Highlights 1. Opportunity to invest in unique Canadian-listed European multi-residential REIT with initial focus on the attractive Netherlands market ERES has strong 2. Strong sponsorship by CAPREIT, Canada’s largest and best-in-class publicly sponsorship by traded residential housing pro
Slide 14: Contact Us
Contact Us European Residential REIT 11 Church Street, Suite 401 Toronto, Ontario M5E 1W1 Canada m.kenney@capreit.net j.chou@capreit.net www.eresreit.com 14 | SECOND QUARTER CONFERENCE CALL
European Residential Real Estate Investment Trust — Q2 2024 Earnings Presentation on 6ix