BE-REIT ASSOCIATION OUTLINE Introduction History EPRA Legal - - PowerPoint PPT Presentation

PRESENTATION BE-REIT ASSOCIATION

OUTLINE

Introduction History EPRA Legal framework General figures Appendices

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OUTLINE

Introduction History EPRA Legal framework General figures Appendices

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INTRODUCTION – WHAT IS A REIT?

GVVs1/SIRs2 are Real Estate Investment Trusts (REITs) that own, operate and finance income-producing real estate across a range of property sectors (offices, logistics, retail, healthcare, residential, …). Purpose:  Give any shareholder the opportunity to own a diversified portfolio of real estate  Professional long-term management of property portfolio  Provide recurrent income to shareholders in the form of dividends  Flexibility and liquidity guaranteed through stock-based trade  Attention for Corporate Social Responsibility with special focus on sustainability

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1 Gereglementeerde Vastgoedvennootschap 2 Société Immobilière Réglementée

INTRODUCTION – THE BE-REIT ASSOCIATION

The BE-REIT Association is a professional association that represents and promotes the interests of the Belgian REIT sector towards various stakeholders.

• The Association provides a forum for developing and supporting all global initiatives of importance to the BE-REIT sector:
• Collection of knowledge and relevant industry information as well as training
• Interaction on sector-level with public authorities, institutions, professional associations and other players of the real estate sector at the local,

regional, federal and international levels

• Sharing of information on the sector
• Established at 10 December 2015 as a non-profit organization under Belgian law (asbl/vzw)
• Its members all have the status of Regulated Real Estate Company (RREC/GVV/SIR)

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INTRODUCTION – BE-REIT ASSOCIATION: MEMBERS

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INTRODUCTION – SOME FACTS

• The Belgian REIT regime is one of the first that was established in the world (1995)
• All 17 Belgian GVVs/SIRs are member of the BE-REIT Association
• Strong growth and internationalisation of the assets base
• BE-REITs represented 5% of the Belgian stock market at 31/03/2019
• 2018 was a strong year for Belgian Real Estate Investment Trusts (REITs) with an average

total return of approx. 8.8%, outperforming the EPRA/NAREIT Europe developed index (EPRA, cf. infra)

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OUTLINE

Introduction History EPRA Legal framework General figures Appendices

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HISTORY - MILESTONES

1960

Origin in U.S.: U.S. Federal Law of 14/09/1960: extending fiscal transparancy to Real Estate Investment Trusts

1995

Royal Decree of 10 April 1995: Regulatory framework in place for Vastgoedbevak/SICAFI

2010

Royal Decree of 7 December 2010:

• Introduction of regulatory framework

for institutional SICAFIs

• Allow public SICAFIs to realise specific

projects with third parties

2014

Creation of Operational REIT (GVV/SIR) status:

• Law of 12 May 2014
• Royal Decree of 13 July 2014

2015

Foundation of BE-REIT Association at 10 December 2015

2017

Law of 22 October 2017:

• Extension of authorized assets and

more flexibility for partnerships

• Creation of new RREC category: the

Social RREC/GVV/SIR

2019

Law of 2 May 2019: right to issue equity through ABB3 (within 10% limit)

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3 Accelerated Bookbuilding

OUTLINE

Introduction History EPRA Legal framework General figures Appendices

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EPRA4 AT 31/12/2018

31/12/2018 Free Float Market Cap (%) Weight Div Yld (%) Total Rtn (%)

• 20Yrs

Total Rtn (%)

• 10Yrs

Total Rtn (%)

• 5Yrs

Total Rtn (%)

• 3Yrs

Total Rtn (%)

• 1Yrs

10 Yrs Vlty (%) 36M Vlty (%) FTSE EPRA/NAREIT Developed Europe Index 100,00 4,33 8,02 11,90 8,35

• 0,01
• 7,70

13,89 9,69 FTSE EPRA/NAREIT Belgium Index 4,67 5,07 7,25 9,92 12,23 9,49 8,80 10,50 7,97

• EPRA Best Practices set a standard that improved transparancy across the real estate sector
• 15 BE-REITs report in accordance with EPRA Financial Best Practices Recommendations
• Belgian REITs have been outperforming the EPRA/NAREIT Developed Europe Index with higher returns and

lower volatility

4 Non-profit organisation that represents, promotes and develops the European public real estate sector (visit www.epra.com for more information)

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EPRA AT 31/12/2018

GDP € 16.715,411 Bln. Commercial Real Estate: € 7.228,945 Bln. Listed Real Estate: € 399,778 Bln. EPRA Index: € 210,321 Bln. GDP € 477,410 Bln. Commercial Real Estate: € 201,020 Bln. Listed Real Estate: € 20,070 Bln. EPRA Index: € 9,765 Bln.

EUROPE BELGIUM

OUTLINE

Introduction History EPRA Legal framework General figures Appendices

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LEGAL FRAMEWORK (RREC/GVV/SIR)

Supervision by the Belgian regulator (FSMA)

• At least 30% of the shares must be trading on a Belgian regulated market (Euronext Brussels)
• Statutory maximum gearing ratio of 65% of its assets
• Obligation to pay out at least 80% of its adjusted result
• Strict rules regarding conflicts of interest
• Quarterly valuation of the fair value of the real estate by an independent property expert
• Diversification of its real estate in such a manner that the risks are spread in an appropriate way, for each type of real

estate, for each geographical area, and for each category of user or tenant

• A transaction must not result in more than 20% of its consolidated assets constituting one single real estate complex
• Specific rules regarding internal control structures

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OUTLINE

Introduction History EPRA Legal framework General figures Appendices

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AGGREGATE GENERAL NUMBERS AT 31/12/2018

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Total market capitalisation € 13.058 million Fair value of total property portfolio € 20.593 million Total number of employees ca 630

GENERAL FIGURES – MARKET CAPITALISATION

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11% 3% 10% 3% 19% 2% 0% 4% 4% 6% 1% 7% 2% 20% 1% 5% 4%

Market capitalization at 31/12/2018 (% of sector)

Aedifica Ascencio Befimmo Care Property Invest Cofinimmo Home Invest Belgium Immo Moury Intervest Offices & Warehouses Leasinvest RE Montea Qrf Retail Estates Vastned Retail Belgium WDP WEB Wereldhave Belgium Xior

Aedifica 1451 Ascencio 329 Befimmo 1242 Care Property Invest 390 Cofinimmo 2421 Home Invest Belgium 302 Immo Moury 19 Intervest Offices & Warehouses 500 Leasinvest RE 518 Montea 766 Qrf 78 Retail Estates 880 Vastned Retail Belgium 208 WDP 2657 WEB 155 Wereldhave Belgium 620 Xior 523 TOTAL 13058 € million

GENERAL FIGURES – PROPERTY PORTFOLIO

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13% 3% 13% 2% 18% 3% 0% 4% 5% 5% 1% 4% 2% 17% 1% 5% 4%

Fair value of property portfolio at 31/12/2018 (% of sector)

Aedifica Ascencio Befimmo Care Property Invest Cofinimmo Home Invest Belgium Immo Moury Intervest Offices & Warehouses Leasinvest RE Montea Qrf Retail Estates Vastned Retail Belgium WDP WEB Wereldhave Belgium Xior

Aedifica 1964 Ascencio 624 Befimmo 2655 Care Property Invest 521 Cofinimmo 3728 Home Invest Belgium 544 Immo Moury (31/03/2019) 23 Intervest Offices & Warehouses 867 Leasinvest RE 1037 Montea 912 Qrf 272 Retail Estates (31/03/2019) 1530 Vastned Retail Belgium 372 WDP 3450 WEB 267 Wereldhave Belgium 957 Xior 872 TOTAL 20593 € million

GENERAL FIGURES – PROPERTY PORTFOLIO

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67 61 95 95 66 90 100 82 35 49 90 77 100 35 100 100 31 15 5 10 11 18 35 10 23 48 69 34 14 16 4 5 55 1 18 11 5 10 13

GEOGRAPHIC BREAKDOWN OF THE PORTFOLIO5 (%) AT 31/12/20186

Belgium The Netherlands France Luxembourg Germany Other

5 According to fair value except for Care property Invest (breakdown based on number of residential units) 6 Except Ascencio (30/09/2018), Immo Moury (31/03/2019) and Retail Estates (31/03/2019)

GENERAL FIGURES – PROPERTY PORTFOLIO

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7 Except Ascencio (30/09/2018), Immo Moury (31/03/2019) and Retail Estates (31/03/2019)

100 34 3 25 40 51 7 10 11 11 88 26 85 100 50 15 17 60 6 100 100 19 99 10 16 43 100 97 100 70 90 87 4 1 1 16 3 4 2

SECTORAL BREAKDOWN OF THE PORTFOLIO (%) AT 31/12/20187

Offices Residential Healthcare Logistics Retail Student rooms Other

GENERAL FIGURES – PROPERTY PORTFOLIO

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8 Except Ascencio (30/09/2018) and Immo Moury (31/03/2019)

98,9 96,2 96,2 97,5 98,0 98,0 94,8 99,1 94,3 93,0 95,5 96,4 95,8 100,0 94,5 97,3 99,0 90,0 91,0 92,0 93,0 94,0 95,0 96,0 97,0 98,0 99,0 100,0 Xior Wereldhave Belgium WEB WDP Vastned Retail Belgium Retail Estates Qrf Montea Leasinvest RE Intervest Offices & Warehouses Immo Moury Home Invest Belgium Cofinimmo Care Property Invest Befimmo Ascencio Aedifica

Occupancy rate at 31/12/20188 (%)

GENERAL FIGURES – FINANCE

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GVV/SIR requirement: Statutory maximum gearing ratio of 65% of its assets.

44,3 40,8 45,8 45,7 43,0 50,2 17,3 43,5 53,5 51,3 52,1 52,6 27,5 51,8 40,7 29,7 49,3 0,0 10,0 20,0 30,0 40,0 50,0 60,0 70,0

Aedifica Ascencio Befimmo Care Property Invest Cofinimmo Home Invest Belgium Immo Moury Intervest Offices & Warehouses Leasinvest RE Montea Qrf Retail Estates Vastned Retail Belgium WDP WEB Wereldhave Belgium Xior

Debt ratio (%) at 31/12/2018 or closest financial year-end9

9 Cf. Appendix B: End of financial year

GENERAL FIGURES - PERFORMANCE

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10 Calculated as gross dividend divided by closing share price of financial year 11 Cf. Appendix B: End of financial year

3,3 6,3 8,5 4,2 7,0 5,2 5,8 3,8 5,8 6,8 5,0 5,2 5,1 3,6 7,1 6,6 3,6 0,0 1,0 2,0 3,0 4,0 5,0 6,0 7,0 8,0 9,0

Xior Wereldhave Belgium WEB WDP Vastned Retail Belgium Retail Estates Qrf Montea Leasinvest RE Intervest Offices & Warehouses Immo Moury Home Invest Belgium Cofinimmo Care Property Invest Befimmo Ascencio Aedifica

Gross dividend yield10 (%) at 31/12/2018 or closest financial year-end11

GENERAL FIGURES - PERFORMANCE

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12 Cf. Appendix B: End of financial year 13 Calculated as closing share price at 31/12/2018 divided by IFRS NAV

150,9 92,4 86,1 170,3 119,6 111,7 91,4 105,0 108,8 176,8 60,5 131,0 77,4 168,2 98,8 91,4 127,6 0,0 20,0 40,0 60,0 80,0 100,0 120,0 140,0 160,0 180,0 200,0

Premium P/IFRS NAV13 (%)

At 31/12/2018 or closest financial year-end12

OUTLINE

Introduction History Mission Legal framework General figures Appendices

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GVVs/SIRs* are Real Estate Investment Trusts (REITs) that own, operate and finance income- producing real estate across a large range of property sectors (offices, logistics, retail, healthcare, residential, …).

• The BE-REIT Association:
• 17 members with an aggregate market capitalisation of € 13,1 billion at 31/12/2018, representing 5% of the Belgian

stock market

• Professional management of an aggregate property portfolio worth more than € 20,5 billion as of end 2018
• Obligation to distribute 80% of the adjusted result combined with tax transparancy
• For the financial year ending in 2018: average gross dividend yield of 5 %
• Supervision by the FSMA focused on the protection of the shareholders (specific legal framework)
• Internationalisation of the assets base
• GVVs/SIRs are considered as a reliable, defensive investment

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APPENDIX A: BE-REITs IN A NUTSHELL

* Gereglementeerde Vastgoedvennootschap/Société Immobilière Réglementée

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APPENDIX B: END OF FINANCIAL YEAR

Financial year-end

Aedifica 30/06/2018 Ascencio 30/09/2018 Befimmo 31/12/2018 Care Property Invest 31/12/2018 Cofinimmo 31/12/2018 Home Invest Belgium 31/12/2018 Immo Moury 31/03/2019 Intervest O&W 31/12/2018 Leasinvest RE 31/12/2018 Montea 31/12/2018 Qrf 31/12/2018 Retail Estates 31/03/2019 Vastned Retail Belgium 31/12/2018 WDP 31/12/2018 WEB 31/12/2018 Wereldhave Belgium 31/12/2018 Xior 31/12/2018

31/12/2018 Aedifica Ascencio Befimmo Care Property Invest Cofinimmo Home Invest Belgium Immo Moury Intervest O&W Leasinvest RE Montea Qrf Retail Estates Vastned Retail Belgium WDP WEB Wereldhave Belgium Xior 28

APPENDIX C: FREE FLOAT

Free float (%)

100,0 78,4 75,9 100,0 100,0 50,2 33,9 85,0 36,1 58,2 79,4 100,0 34,5 75,0 44,3 34,1 71,2

BE-REIT Association (p/a Citco Belgium sa/NV) Boulevard Louis Schmidt 87 B-1040 Brussels e-mail: info@be-reit.be Laurent Carlier Cédric Biquet Mickaël Van den Hauwe Chairman Secretary Treasurer + 32 (0)2 679 38 60 +32 (0)2 732 19 00 +32 (0)52 338 400

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CONTACT