GREEN & SOCIAL BOND ROADSHOW PRESENTATION Belliard 40 - - PowerPoint PPT Presentation

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GREEN & SOCIAL BOND ROADSHOW PRESENTATION Belliard 40 - - PowerPoint PPT Presentation

GREEN & SOCIAL BOND ROADSHOW PRESENTATION Belliard 40 Brussels CBD Table of contents General company presentation 3 Cofinimmos financing strategy 12 Cofinimmo & Corporate Social Responsibility 18 Sustainable development


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GREEN & SOCIAL BOND ROADSHOW PRESENTATION

Belliard 40 – Brussels CBD

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Green & Social Bond – Roadshow presentation

General company presentation Cofinimmo’s financing strategy Cofinimmo & Corporate Social Responsibility Sustainable development strategy Cofinimmo’s Green & Social Bond offering Green & Social Bond offering Use of proceeds Transparent evaluation and selection process Eligible projects Examples of eligible green projects Examples of eligible healthcare projects Management of proceeds Reporting commitments and indicators External assurances Key investment highlights Terms & Conditions

Table of contents

2

3 12 18 19 22 23 24 25 26 27 28 29 30 31 32 33

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General company presentation

Résidence Tillens – Brussels (BE)

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Green & Social Bond - Roadshow presentation 4

1st listed healthcare property investor, with pan-European combined presence in Belgium, France, the Netherlands and Germany Leading Belgian listed REIT exposed to healthcare real estate (44 %) and offices (39 %) Total market capitalisation: 2.3 billion EUR Internal real estate management platform > 130 employees REIT status in Belgium (SIR/GVV), France (SIIC) and the Netherlands (FBI) Total portfolio fair value: 3.3 billion EUR Office property investor in Belgium only

About Cofinimmo

Figures at 30.09.2016

Portfolio breakdown by segment

(30.09.2016 - in fair value)

Portfolio breakdown by country

(30.09.2016 - in fair value)

Average weighted residual lease term of the current leases: 10.2 years

72.6% 16.0% 8.4% 3.0% Belgium France Netherlands Germany 43.7% 39.1% 16.4% 0.8% Healthcare real estate Offices Property of distribution networks Others

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Green & Social Bond - Roadshow presentation 5

Over 30 years of experience

1983

Establishment of the company (6 MEUR capital)

1994

Listing on the Brussels Stock Exchange

2007

Sale and leaseback of 1,068 pubs with AB InBev

1999

Internalisation

  • f property

management

1996

Adoption

  • f B-REIT

status

2005

First acquisition

  • f healthcare

property in Belgium

2008

First acquisition

  • f healthcare

property in France

2011

Sale and leaseback

  • f 283

insurance agencies with MAAF

2012

First acquisition

  • f healthcare

property in the Netherlands

2013

Reconversion

  • f 2 office

buildings into apartments

2015

Capital increase

  • f 285 MEUR

2014

First acquisition

  • f healthcare

property in Germany

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Green & Social Bond - Roadshow presentation 6

Two complementary core segments

Long-term presence & strong internal expertise in both core segments

Healthcare real estate

driven by demography

Offices

driven by economics

Acquisitions in new markets (Germany & Netherlands) (Re)development projects in more mature markets (Belgium & France) Further diversification per country, per medical specialty and per

  • perator

Comprehensive & pro-active local operating platform In central locations: renovations and reconstructions to upgrade quality In decentralised locations: reconversions to alternative uses Arbitrage within a portfolio kept above a critical size

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Green & Social Bond - Roadshow presentation 7

2016-2018 investment target

Portfolio breakdown at 30.06.2016 2016-2018 Committed pipeline (x 1,000,000 EUR) 2016-2018 potential scenario: Uncommitted acquisitions (x 1,000,000 EUR) 2016-2018 potential scenario: Uncommitted disposals (x 1,000,000 EUR) Portfolio breakdown at 31.12.2018 Healthcare real estate 44 % 117 400

  • 50

50 % Offices 39 % 179

  • 100

35 % Acquisitions 60 Refurbishment 76 Reconversion 43

  • 100

Others 18 % 12 15 % Total 100 % 308 400

  • 150

100 %

308 million EUR committed 250 million EUR uncommitted

+308 MEUR

  • f committed

investments (pipeline)

+400 MEUR

  • f acquisitions
  • 150 MEUR
  • f divestments

Target by end 2018

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Green & Social Bond - Roadshow presentation 8

Healthcare portfolio at 30.09.2016

FAIR VALUE

1.5 billion EUR

NUMBER OF SITES

129

SURFACE AREA

692,000m2

(5,400 m2 per site on average)

Portfolio breakdown by country

(30.09.2016 - in fair value)

Portfolio breakdown by care speciality

(30.09.2016 - in fair value)

55.7% 28.1% 6.9% 9.3% Belgium France Germany Netherlands 65.3% 13.4% 7.1% 3.9% 3.4% 2.7% 2.6% 0.8% 0.5% 0.3% Skilled nursing facilities Revalidation clinics Wellness Psychiatric clinics Elderly care clinics Assisted living Specialised clinics Parking facilities Disabled care facilities Medical office buildings

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Green & Social Bond – Roadshow presentation

FRANCE

9

Lease length Initial yields

NETHERLANDS

Care & cure market (care of elderly or disabled people, acute care, medical office buildings)

15-20 yrs 6.5-7.5 %

Lease length Initial yields

BELGIUM

Care market (skilled nursing homes)

27 yrs 5.0-6.0 %

Lease length Initial yields

GERMANY

Care & cure market (skilled nursing homes, revalidation clinics)

20-30 yrs 5.5-7.5 %

Lease length Initial yields Care market (skilled nursing homes, revalidation & psychiatric clinics)

12 yrs 5.0-6.0 %

All leases provide for fixed rent + indexation to inflation

BELGIUM 812 MEUR FRANCE 409 MEUR NETHERLANDS 135 MEUR GERMANY 101 MEUR Amounts invested at 30.09.2016:

Market potential offering strong growth opportunities

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Green & Social Bond - Roadshow presentation 10

Office portfolio at 30.09.2016

FAIR VALUE

1.3 billion EUR

NUMBER OF SITES

85

SURFACE AREA

663,000m2

Portfolio breakdown by country

(30.09.2016 - in fair value)

Portfolio breakdown by tenant type

(30.09.2016 - in fair value)

36.4% 39.1% 10.5% 5.1% 8.9% Brussels CBD Brussels Decentralised Brussels Periphery/Satellites Antwerp Other regions 13.3% 9.2% 77.5% Belgian public sector International public sector Others

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Green & Social Bond - Roadshow presentation 11

2014-2015-2016 financial highlights

SOLID FINANCIAL RESULTS RESILIENT OPERATIONAL KPI’S EPRA financial KPI’s

Per share (EUR) FY 2014 FY 2015 FY 2016 Actual Actual Forecast Net current result (excl. IAS 39 impact) - Group share (EPRA Earnings) 6.7 6.46 6.19 Result on the portfolio - Group share

  • 2.06

0.32 n/a Net result - Group share

  • 2.93

5.23 n/a EPRA NNNAV 88.66 90.93 n/a Number of shares entitled to the result of the year 17,971,494 19,888,379 20,980,112 31.12.2004 31.12.2015 30.09.2016 Actual Actual Actual Like-for-like gross rental revenues growth 1.00%

  • 0.70%

0.80% Occupancy rate 95.20% 94.90% 95.00% Average lease maturity 11.0 years 10.5 years 10.2 years Per share (EUR) 31.12.2014 31.12.2015 30.09.2016 EPRA Earnings 6.70 6.40 4.69* EPRA Net Asset Value (NAV) 93.59 93.34 94.20 EPRA Adjusted Net Asset Value (NNNAV) 88.66 90.93 90.01 EPRA Net Initial Yield (NIY) 6.10% 6.00% 6.10% EPRA Vacancy Rate 4.90% 5.20% 5.10% EPRA Cost ratio (cost of vacancy excluded) 15.90% 17.70% 20.10%

* 9 months

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Cofinimmo’s financing strategy

Guimard 10-12 – Brussels CBD

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Green & Social Bond - Roadshow presentation 13

Regular access to capital markets

Bonds (x 1,000,000 EUR) Equity (x 1,000 000 EUR)

S&P credit rating Long term: BBB / Short term: A-2 Strong liquidity 284.5 million EUR capital increase in 2015 > significant investment capacity to deploy over 2015-2018 252 million EUR invested since

19 5 63 22 11 75 72 98 69 38 92 31 32 44 33 285

50 100 150 200 250 300 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Contribution in kind of assets Sale of treasury shares Stock dividend Rights issue

140 50 190 70 173 191 219

50 100 150 200 250 300 350 2011 2012 2013 2014 2015 2016 Non convertible Convertible

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Green & Social Bond - Roadshow presentation 14

Solid debt metrics

Debt breakdown (x 1,000,000 EUR) Average cost of debt and debt maturity

4.2% 4.1% 3.9% 3.4% 2.9% 2.5% 3.3 3.8 3.8 3.4 5.3 4.7 3 3.5 4 4.5 5 5.5 6 2.0% 2.5% 3.0% 3.5% 4.0% 4.5% 5.0% 2011 2012 2013 2014 2015 30.09.2016 Average cost of debt Average debt maturity (in years) 33.6% 29.1% 14.8% 22.5% Bank facilities Non-convertible bonds & long-term commercial paper Convertible bonds Short-term commercial paper & others

30.09.2016 31.12.2015 Debt ratio 42.8 % 38.6 % Average debt (x 1,000,000 EUR) 1,315.8 1,459.0 Average cost of debt 2.5 % 2.9 % Average debt maturity (in years) 4.7 5.3 ICR (excl. hedging restructuring) 4.9 4.1

Key figures

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Green & Social Bond - Roadshow presentation 15

Well-spread debt maturities

Debt maturities & refinancing (x 1,000,000 EUR)

Debts maturing in 2016 > 2019 already refinanced

171 101 347 3 445 100 204 100 146 229 200 90 100 200 300 400 500 600 700 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 Refinanced Bank facilities Capital markets

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Green & Social Bond – Roadshow presentation 16

Interest rate hedging

LHS: Notional amount of hedged debt (x 1,000,000 EUR) & RHS: Weighted average strike rate

Restructuring of hedging instruments in Nov 2016 > Optimization of future cost of debt

2.4% 2.3% 2.0% 2.3% 2.4% 1.4% 1.4% 1.4% 1.5% 1.7% 1.7% 1.7% 0.7% 1.0% 1.2%

0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 200 400 600 800 1,000 1,200 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Before restructuring After restructuring Before restructuring After restructuring

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Green & Social Bond – Roadshow presentation 17

Future debt and hedging

Assumption: total financial debt needs based on the committed pipeline on 30.06.2016 Situation after hedge restructuring Q4 2016

45% 41% 42% 42% 35% 20% 35% 35% 43% 43% 45% 47% 20% 23% 14% 15% 20% 33% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 2016 2017 2018 2019 2020 2021 Fixed rate debt Hedged debt Floating rate debt

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Cofinimmo & Corporate Social Responsibility

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Sustainable development strategy

An essential component of the Group’s global strategy

ENVIRONMENTAL FOCUS ECONOMIC FOCUS SOCIAL FOCUS

  • Energy performance and CO2

emission

  • Monitoring of portfolio consumption

data (TARGET: 100 % offices, 75 % healthcare real estate)

  • Remotely readable meters in offices

(TARGET: in all multi-tenant office buildings in 2018)

  • ISO 14001:2004 certification for

property management of offices and project management for all segments (TARGET: new ISO 14001: 2005 by 2017)

  • Green Charter for office portfolio

(TARGET: 30 % of office space areas by 2017)

  • Mobility
  • Increase of charging points for electric

vehicles in office buildings (TARGET: 12 new charging points by 2018)

  • Increase of shared and public parking

spaces in office portfolio

  • Innovation
  • New utility of roofs and/or garden
  • Flex Corner by Cofinimmo in 4 office

buildings

  • Cofinimmo Lounges in 2 office buildings

(TARGET: 2 new lounges by 2017)

  • Profitability for investors and

access to capital

  • Renovation of 2.7 % of total portfolio by

2018

  • Capital increase 285.4 millions EUR (May

2015)

  • Private bond placements and renewal of

credit lines

  • Decrease of average cost of debt
  • Business ethics
  • Rigorous transparency and ethic rules

(Code of conduct)

  • Internal auditor
  • Corporate Governance Charter
  • Adoption of RICS code by 2017
  • Safety and well-being
  • For subcontractors: safety

coordination on construction site

  • For employees: welcome pack, team

buildings, discussion forums

  • For building occupants: asbestos

control

  • Aesthetics, respect for

public spaces and the diversity of districts

  • Conversion of office buildings in

residential & healthcare real estate

  • Employee training
  • 82.6 % participation of employees in
  • ne ore more training courses
  • 2 % investment of the company’s gross

payroll in employee training

  • Respect for differences and

cultural diversity

  • Diversity label and charter
  • Investor in People Silver certified

(TARGET: Gold certification by 2018)

  • Gender parity (50/50 at senior

management level)

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Green & Social Bond - Roadshow presentation 20

Sustainable development strategy

An annual reviewed materiality matrix according the GRI G4 guidelines* and reflecting the company’s dialogue with its stakeholders

SOCIAL RESPONSIBILITY ACCORDING TO MAJOR TRENDS IN

HEALTHCARE REAL ESTATE

With an ageing population and evolving lifestyles, new needs arise in terms of housing for elderly and ill people and in terms

  • f

healthcare. The rapidly growing healthcare real estate sector needs to respond to the specific needs of this ever-larger proportion of the

  • population. That means more flexible healthcare buildings

according to the individual’s level of autonomy combined with tailored apartments. Cofinimmo assists operators of medical institutions in their expansion plans. It helps them to renovate and extend their property portfolio in order to meet the current and future demand for housing and care.

OFFICES

The utilisation of office space is changing worldwide with less square meters per person. The way forward is to build new high quality facilities, with flexible interiors for tenants and excellent energy performance. When a building no longer meets the current standards of modern an sustainable offices, Cofinimmo redevelops it entirely thanks to specialized internal teams.

* GRI G4 guidelines are Sustainability Reporting Guidelines set out by the Global Reporting Initiative (GRI), an international independent standards organization

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Sustainable development strategy

GOVERNANCE STRUCTURE

BOARD OF DIRECTORS EXECUTIVE COMMITTEE HEAD OF PROPERTY SERVICES & CSR ENVIRONMENTAL SUSTAINABILITY MANAGER COMMITTEE

TRANSPARENCY IN COMMUNICATION

  • Sustainability report compliant with GRI G4 guidelines and externally reviewed

(ISAE 3000)

  • Performance indicators according to the EPRA Best Practice Recommendations

(ISAE 3000) on corporate website

  • Scoreboard on corporate website

SURVEY PARTICIPATION AND SCORES

2013 2014 2015 2016

EPRA

Silver Gold Gold Gold

GRESB

38 45 57 51

CDP

81C 89C 96C B

STANDARD

EE+ EE+

ETHICS

SUSTAINABILITY COMMITTEE

  • Composed of 10 people representing
  • departments directly involved in the property management
  • f the Group’s portfolio
  • Legal, communication an HR departments
  • Proposes specific, economically reasonable measures to improve

the company’s environmental performance, its portfolio and, by extension, the spaces occupied by its tenants

  • Develops initiatives to better incorporate Corporate Social

Responsibility into the Group’s strategy

  • Ensures that the Group complies with legal, national and

international environmental requirements

  • Communicates the Group’s accomplishments to all stakeholders
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Cofinimmo’s Green & Social Bond offering

Nursing home Zonnewende – Aartselaar (BE)

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Green & Social Bond - Roadshow presentation 23

Green & Social Bond offering

[50 - 100] million EUR issue in line with the 4 components of the ICMA Green Bond Principles*

Use of proceeds

  • Green offices: investments in existing and future assets in Cofinimmo’s global portfolio with specified sustainability

certifications (BREEAM or BREEAM In-Use with at least a ‘Very Good’ rating)

  • Healthcare real estate: investments in existing and future assets which will provide and/or promote access to essential

healthcare services for vulnerable groups of people (within psychiatrics, geriatrics and care of disabled people)

Project selection process

  • The process for evaluation and selection of eligible projects is defined, publically available on the corporate website and

supported by internal and external expertise

  • The process relies on defined criteria including the use of proceeds criteria, based on the definition of each eligible project’s

category, and additional Environmental, Social and Governance (ESG) selection criteria evaluated by Vigeo Eiris

Management

  • f proceeds
  • Transparent allocation process, based on clearly defined commitments and rules
  • 100 % refinancing of eligible projects
  • Internal tracking system put in place and integrated into the annual financial reporting

Reporting

  • Transparent and annual reporting including:
  • Use of proceeds (fund allocation)
  • Environmental and social benefits of selected projects
  • Responsible management of selected projects (in line with ESG indicators)

EXTERNAL REVIEW

  • Second party opinion by Vigeo Eiris, renewed every 3 years, on both Issuer and Green and Social Bond issuance evaluation, in line with the

ICMA Green Bond Principles

  • Annual verification by third party auditor, covering the proceeds tracking and reporting metrics

* ICMA Green bond Principles and ICMA guidance for issuers of social bonds available on http://www.icmagroup.org/Regulatory-Policy-and-Market-Practice/green-bonds/

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Green & Social Bond - Roadshow presentation 24

Use of proceeds

A [50 - 100] million EUR bond offering ensuring the financing of 2 eligible project categories:

50 % allocation to GREEN OFFICES

Investments in existing/future green offices in Cofinimmo’s portfolio with specified sustainability certifications (BREEAM

  • r BREEAM In-Use with at least a ‘Very Good’ rating).

OBJECTIVES

  • Climate change mitigation by implementing energy savings

and greenhouse gases (GHG) emissions reduction or avoidance

  • Environmental management and eco-design of projects

through

  • Performance scorecard
  • Equipment and installations upgrades
  • Extending BREEAM and /or BREEAM In-Use certification

50 % allocation to HEALTHCARE REAL ESTATE

Investments in existing/future assets which will provide and/or promote access to essential healthcare services for vulnerable groups of people and within certain medical specializations, psychiatrics, geriatrics or care of disabled people.

OBJECTIVES

  • Renovating and/or expanding the healthcare portfolio to

meet current and future demands in terms of accommodation and care for elderly and ill people (nursing and care homes, rehabilitation, psychiatric and acute care clinics)

  • Encouraging healthcare operators to reduce buildings’

carbon footprint by integrating sustainable architecture, materials and facilities with low energy consumptions (construction or renovation of the properties) CLIMATE CHANGE MITIGATION : reduction of CO2 emissions PROTECTION OF NATURAL RESOURCES : water and energy savings, use of sustainable materials, … HEALTHCARE SERVICES IMPROVEMENTS : increased offer of healthcare beds and services

SUSTAINABILITY BENEFITS

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Green & Social Bond - Roadshow presentation 25

Transparent evaluation and selection process

Ensuring the sustainable management of all financed projects A clearly defined evaluation and selection process, in line with corporate strategy

  • Publically available on corporate website
  • Use of proceeds criteria and additional ESG eligibility criteria

An evaluation and selection framework based on internal and external expertise

  • Project evaluation and selection managed by Cofinimmo’s project teams in charge of the eligible projects
  • Assessment and impact studies, BREEAM requirements and other technical issues gathered externally
  • All evaluation steps validated at Cofinimmo’s Executive Committee level
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Green & Social Bond - Roadshow presentation 26

Examples of eligible projects

Status Year of construction / renovation / Date of delivery Eligibility criteria GREEN OFFICES Name City Guimard 10-12 Brussels CBD (BE) In operation 2015 BREEAM Very Good Belliard 40 Brussels CBD (BE) Under construction Q4 2017 BREEAM Excellent Arts 19H Brussels CBD (BE) Future construction Q3 2018 BREEAM Excellent HEALTHCARE REAL ESTATE Name City Tillens Brussels (BE) In operation 2015 Psycho-geriatrics Churchillaan Lopik (NL) In operation 2015 Care of disabled people Tweesprong Oosterhout (NL) In operation 2014 Geriatrics Domaine de Vontes Evres sur Indre (FR) Future renovation Q3 2018 Psychiatric clinic Ronsseweg Gouda (NL) In operation 2014 Psychiatric clinic Arcade Ermelo (NL) In operation 2014 Geriatrics Orchidee Ittre (BE) In operation 2013 Geriatrics Zonnewende Aartselaar (BE) In operation 2013 Geriatrics

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Green & Social Bond - Roadshow presentation 27

Examples of eligible green projects

GUIMARD 12

BREEAM Very Good (aimed)

  • Energy consumption level E 43

(previously 180)

  • Thermal insulation level K 27 (previously

130)

  • Frame and curtain wall with clear solar

double glazing

  • LED lighting on presence detectors with

auto shut-off

  • Heat production using heat pump and 2

gas condensing boilers

  • Anti-waste safety device containing

presence detection and solenoid valve

  • n sanitary facilities

BELLIARD 40 ARTS 19H

BREEAM Excellent (aimed)

  • Energy consumption level E 45
  • Thermal insulation level K 35
  • Triple-glazed windows with solar

protection

  • Controlling of luminous flux depending
  • n daylight
  • Condensing boilers and cooling units

with very high degree of efficiency and high ventilation units with speed regulators

  • Leak detection in sanitary facilities

BREEAM Excellent (aimed)

  • Energy consumption level: nearly zero

energy building

  • Thermal insulation level K 40
  • Triple-glazed windows with solar

protection

  • LED lighting on presence detectors &

luminous flux depending on daylight

  • Condensing boilers and cooling units

with very high degree of efficiency and high ventilation units with speed regulators

  • Leak detection in sanitary facilities
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Green & Social Bond - Roadshow presentation 28

Examples of eligible healthcare projects

RESIDENCE TILLENS

Psycho-geriatrics

  • Number of units: 86 beds
  • Creation of an environment

promoting the life course of people suffering from dementia

  • Presence of green spaces and

adapted vegetation

  • Special security for patients

CHURCHILLAAN

Care of disabled people

  • Number of units: 33
  • Energy level: 109.36 KWh/m² per year
  • Creation of an environment

promoting the autonomy of people suffering from autism or other mental disabilities

DOMAINE DE VONTES

Psychiatric clinic

  • Number of units: 60
  • Energy level: 357.00 KWh/m² per year
  • Insulation of existing roofs and

façades

  • Insulation of window frames
  • New boiler
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Green & Social Bond - Roadshow presentation 29

Management of proceeds

INTERNAL TRACKING SYSTEM

  • Net proceeds managed within Cofinimmo’s treasury liquidity portfolio, in cash or other liquidity

instruments that do not include GHG intensive activities, nor any disputable activity

  • Overall share of refinancing is 100 % in the first allocation, of which around 50 % of green projects and

50 % of social projects (refinancing of assets delivered or renovated since 2013)

  • Proceeds allocated on pro-rata basis to selected projects* of both categories within 1 year after the

issuance of the Bonds

  • In case of asset divestment: Cofinimmo commits to (re)finance other eligible projects

REVIEW OF TRACKING METHOD

  • Tracking of the funds integrated into annual financial reporting and closing process
  • Management of proceeds reviewed annually by external auditor

* The projects that will be selected will comply with the criteria of the eligible projects

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Reporting commitments and indicators

Reporting commitments compliant with ICMA Green Bond Principles

  • Transparent reporting on :
  • Use of proceeds: description of financed projects with progress and fund allocation
  • Environmental and social benefits: annual estimates and/or assessment of major benefits (project and category

level) + methodology

  • Responsible management: additional ESG indicators (project and bond level)
  • Annual reporting :
  • Sustainability report
  • Corporate website www.cofinimmo.com
  • Overall annual group reporting
  • Reporting until maturity date of the bond, annually reviewed by external audit

Reporting indicators for both eligible categories

  • Fund allocation indicators at category and bond level: list and description of projects financed by bond proceeds, total

allocated amount vs. total amount of proceeds (in %)

  • Indicators on sustainability benefits: Level of BREEAM certification obtained for the building, CO2 emissions avoided, energy

and water savings (in MWh), # new beds, type and # of new beneficiaries at each facility

  • Indicators on responsible management: # of Green Charters, remote controlled meters, training for employees, % of portfolio

renewed, energy consumption and CO2 emissions produced, etc.

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External assurances

SECOND PARTY OPINION

ON SUSTAINABILITY CREDENTIALS OF THE BOND Every 3 years, the second party opinion on the sustainability credentials of the bond and on the compliance with Cofinimmo’s pre-issuance commitments and with the Green Bond Principles will be reviewed.

EXTERNAL VERIFICATION

OF TRACKING BOND PROCEEDS, COMPLIANCE OF SELECTED PROJECTS AND REPORTING METRICS Deloitte, Cofinimmo’s current Auditor, will verify the reported use of proceeds on an annual basis.

Bond issuance supported by external reviews

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Key investment highlights

  • Green and Social Bond features
  • Strong business model and operation track record
  • Active for more than 30 years
  • Experienced management team with proven track record and clear strategic outlook
  • Asset diversification

 Geographic: across 4 markets (Belgium, the Netherlands, France and Germany)  Investment segments: healthcare properties (44 %), offices (39 %) and distribution networks (16 %)

  • Strong growth opportunity in the healthcare segment
  • Most offices located inside Brussels
  • Solid legal framework (SIR/FIB/SIIC status)
  • Conservative funding strategy
  • Assets unencumbered & senior unsecured company financing
  • Well diversified sources of funding
  • Strong liquidity profile (undrawn RCF)
  • Smooth debt maturity profile
  • Low financing needs (most of the debts maturing in 2017 to 2019 already refinanced)
  • Average debt maturity at 4.7 years
  • Earnings resilience: long leases creating long term cash flow visibility with secure future cash flows
  • Investment grade rating profile with solid credit metrics and established capital market presence
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Green & Social Bond - Roadshow presentation 33

Terms & Conditions

Issuer Cofinimmo SA Guarantor No Rating of Issuer BBB, S&P (outlook: stable) Currency EUR Issue amount EUR [50 – 100 M] Denomination EUR 100,000 (and integral multiples thereof) Tranches/Tenor [7 – 8] years Interest Fixed interest rate, payable [annually] on each interest payment date Status Senior, Unsecured Form Dematerialised form Use of Proceeds Social and green eligible projects

  • 50% allocation of the proceeds to Green Offices
  • 50% allocation of the proceeds to Healthcare Real Estate

Covenants CoC, Negative Pledge with 70% of unencumbered assets, Cross Acceleration, Pari Passu Listing Alternext Paying Agent Belfius Bank Redemption Bullet, at par Tax redemption The Issuer may at any time redeem all the Bonds at par for taxation reasons. Law Belgian Global Coordinator BNP Paribas, London branch Bookrunners BNP Paribas, London branch, Belfius and DegroofPetercam

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Disclaimer

IMPORTANT NOTICE The securities described in this document are intended for investors who have the necessary knowledge and experience to assess the benefits and risks of an investment in this type of product, based on their financial situation. This document has been prepared by Cofinimmo SA/NV, a public limited liability company with registered seat at Boulevard de la Woluwe, 58, 1200 Woluwe-Saint-Lambert (RLE (Brussels) 0426.184.049) (the "Issuer") in the context of a potential private placement of bonds. This document is being furnished to you solely for your information on a confidential basis and in the context of the potential private placement of bonds to be issued by Cofinimmo . It may not be reproduced, redistributed or passed on, in whole or in part, to any other person. In particular, neither this document nor any copy thereof may be taken or transmitted or distributed, directly or indirectly, into any country other than Member States of the EEA. Any failure to comply with these restrictions may constitute a violation of law. This document does not constitute or form part of, and should not be construed as, an offer or invitation to subscribe for or purchase any securities, and neither this document nor anything contained herein shall form the basis of or be relied on in connection with or act as any inducement to enter into any contract or commitment whatsoever. This document does not purport to be all-inclusive or to contain all the information that an investor may desire in deciding whether to buy or subscribe for the securities referred to in this document. The Issuer, BNP Paribas, London branch, Belfius Bank SA/NV and Bank Degroof Petercam SA/NV, their affiliates and their respective representatives expressly disclaim any and all liability which may be based on this document or such information, and any errors therein or omissions therefrom. Any decision to purchase or subscribe for securities in any offering must be made solely on the basis of the information contained in the

  • ffering circular in connection with such offering (the "Offering Circular").

This document has been prepared on the basis that any offer of bonds in any Member State of the EEA which has implemented the Prospectus Directive (each, a “Relevant Member State”) will be made pursuant to an exemption under the Prospectus Directive from the requirement to publish a prospectus for offers of bonds. The expression “Prospectus Directive” means Directive 2003/71/EC (and amendments thereto, including the 2010 PD Amending Directive, to the extent implemented in the relevant Member State), and includes any relevant implementing measure in the relevant Member State and the expression “2010 PD Amending Directive” means Directive 2010/73/EU. This document is not for release, publication or distribution, directly or indirectly, in or into the United States (as defined in Regulation S under the US Securities Act of 1933, as amended (the "Securities Act"). This document is not an offer to sell securities or the solicitation of any offer to buy securities, nor shall there be any offer or sale of securities in any jurisdiction in which such offer or sale would be unlawful. The securities mentioned in this document have not been and will not be registered in the United States under the Securities Act, and may not be offered or sold in the United States absent registration or an exemption from registration under the Securities Act. There will be no public offer of the securities in the United States. This document includes forward-looking statements. By their nature, forward-looking statements are subject to inherent risks and uncertainties, both general and specific, and the predictions, forecasts, projections and other forward-looking statements contained in this document could be materially different from what actually occurs in the future. Although the Issuer believes that its expectations with respect to forward- looking statements are based on reasonable assumptions within the bounds of its knowledge of its business and operations at the date of this document, prospective investors are cautioned that a number of important factors could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements. BNP Paribas, London branch, Belfius Bank SA/NV and Bank Degroof Petercam SA/NV (or its officers, directors or employees) may, to the extent permitted by law, have a position in the securities of (or options, warrants or rights with respect to, or interest in the shares or other securities of) the Issuer. BNP Paribas, London branch, Belfius Bank SA/NV and Bank Degroof Petercam SA/NV may make a market or act as a principal in any transaction in such securities.

FOR MORE INFORMATION CONTACT: Valérie Kibieta Ellen Grauls Head of External Communication & Investor Relations Investor Relations Manager T +32 (0)2 373 60 36 T +32 (0)2 373 94 21 vkibieta@cofinimmo.be egrauls@cofinimmo.be www.cofinimmo.com