RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 EMIRA PROPERTY FUND - - PowerPoint PPT Presentation

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RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 EMIRA PROPERTY FUND - - PowerPoint PPT Presentation

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EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 1 AGENDA GEOFF JENNETT GREG BOOYENS ULANA VAN BILJON GEOFF JENNETT OVERVIEW FINANCIALS PORTFOLIO

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SLIDE 1

EMIRA PROPERTY FUND

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

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SLIDE 2

EMIRA PROPERTY FUND

GEOFF JENNETT OVERVIEW › Key metrics › 5-year track record

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

AGENDA

GREG BOOYENS FINANCIALS › Distribution statement › Balance sheet › Funding ULANA VAN BILJON PORTFOLIO › Direct SA portfolio performance GEOFF JENNETT INVESTMENTS › Capex and disposals › Residential › Enyuka › Rebalancing OUTLOOK › Offshore › Summary

1

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SLIDE 3

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

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SLIDE 4

EMIRA PROPERTY FUND

DISTRIBUTIONS PER SHARE

70.65c

ACQUISITIONS

USD8.4m

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

KEY METRICS AT DECEMBER 2017

NAV PER SHARE

1761c

DISPOSALS

R236.5m

VACANCIES

4.5%

CAPEX PROJECTS

R357m

TENANT RETENTION

77%

LTV

37.2%

3

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SLIDE 5

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

5-YEAR TRACK RECORD

1 430 1 732 1 621 1 429 1 346 1 358 1 650 1 801 1 759 1 761

52 54 56 58 60 62 64 66 68 70 72

  • 200

400 600 800 1 000 1 200 1 400 1 600 1 800 2 000

DEC 13 DEC 14 DEC 15 DEC 16 DEC 17

SHARE PRICE NAV (LHS) DISTRIBUTION (RHS) 6 MONTHS

12-MONTH SHARE PRICE

  • 5.8%

TOTAL 12-MONTH RETURN OF

+4.4%

4

COMPOUND ANNUAL GROWTH RATE IN NAV OF

6.7% p.a.

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SLIDE 6

EMIRA PROPERTY FUND

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SLIDE 7

EMIRA PROPERTY FUND

Deconsolidation

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 6

ENYUKA

Equity accounted Comparatives reclassified

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SLIDE 8

EMIRA PROPERTY FUND

R’000 DEC 16 DEC 17 % CH

Disposals, vacancy take up, contractual escalations

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 7

DISTRIBUTION STATEMENT

Worley Parsons Disposals, new lease commissions Rent collection fees, staff costs

Property expenses (325 657) (303 743) (6.7) Net property expenses to revenue ratio (%) 38.6 36.1 Gross property expenses to revenue ratio (%) 20.4 17.1 Admin expenses (46 827) (46 912) 0.2 Net operating income 471 758 490 023 3.9 Net direct property income 518 585 536 935 3.5 Revenue 844 242 840 678 (0.4)

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SLIDE 9

EMIRA PROPERTY FUND

Enyuka equity accounted, contractual escalations, acquisitions

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 8

DISTRIBUTION STATEMENT continued

GOZ DPS growth, stronger R/AUD First USA acquisition, income hedges implemented Lower avg debt levels, vendor loan interest income, CCIRS Treasury shares cancelled

R’000 DEC 16 DEC 17 % CH Income from investments Growthpoint Australia (GOZ) 29 216 29 491 0.9 USA – 2 740 >100.0 Enyuka 34 140 35 985 5.4 Distribution payable 351 922 369 264 4.9 Number of shares issue 510 550 084 522 667 247 2.4 Net operating income b/f 471 758 490 023 3.9 Dividend per share (cents) 68.93 70.65 2.5

BEE shares issued June 2017

Other income 10 618 – <(100.0) Net interest cost (193 810) (188 975) (2.5)

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SLIDE 10

EMIRA PROPERTY FUND

Revaluation, developments, disposals R1.1bn held for sale

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 9

BALANCE SHEET

GOZ › Price appreciation, stronger rand USA › Equity accounted, stronger rand Derivative contracts, loans receivable LTV = 37.2% R’000 DEC 16 DEC 17 % CH

Investments GOZ 924 941 1.8 Total assets 14 564 14 913 2.4 Interest-bearing debt 5 378 5 476 1.8 Other liabilities 454 453 (0.3) Shareholder equity 8 732 8 984 2.9 Investment properties 12 671 12 727 0.4 Total equity and liabilities 14 564 14 913 2.4 Enyuka 585 614 5.0 USA – 100 >100.0 Other assets 384 531 38.3

Enyuka › Equity accounted, acquisition, revaluation

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SLIDE 11

EMIRA PROPERTY FUND

1 661 (2) 18 12 (7) 9 (4) 1 690 74 71

1 600 1 650 1 700 1 750 1 800

Jun 17 Change in # of shares Revaluation of properties Revaluation of GOZ Foreign exchange Revaluation of derivatives Change in dividend payable Dec 17

1 735 1 761

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

NET ASSET VALUE PER SHARE

10

1.5% increase in NAV per share

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SLIDE 12

EMIRA PROPERTY FUND

R1.2bn of rollovers and new loans concluded to Dec 2017

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

DEBT FUNDING MIX

R2.5bn debt maturing next 12 months Diversified sources of funding, unencumbered assets R685m of undrawn, backup facilities

11

  • 100

200 300 400 500 600 700

Feb 18 Mar 18 Mar 18 Mar 18 May 18 May 18 May 18 May 18 Aug 18 Aug 18 Sep 18 Sep 18 Nov 18 Mar 19 Mar 19 Jun 19 Sep 19 Sep 19 Sep 19 Nov 19 Nov 19 Jun 20 Sep 20 Nov 20 May 21 Sep 22

Rm FACILITY CAPITAL BALANCE CAPITAL AVAILABLE

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SLIDE 13

EMIRA PROPERTY FUND

Hedged debt

87%

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

INTEREST RATE SWAP PROFILE

Weighted average duration to expiry

3.2 years

Weighted average all in interest rate

8.0%

12

  • 200

400 600 800 1 000 1 200 JUN 18 DEC 18 JUN 19 DEC 19 JUN 20 DEC 20 JUN 21 DEC 21 JUN 22 DEC 22 JUN 23 JUN 24 DEC 24 Rm

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SLIDE 14

EMIRA PROPERTY FUND

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SLIDE 15

EMIRA PROPERTY FUND EMIRA PROPERTY FUND

60 15 23 44 46 22 43

20 40 60 80

OFFICE RURAL RETAIL (ENYUKA) URBAN RETAIL INDUSTRIAL

NUMBER OF PROPERTIES PER SECTOR – 2016 VS 2017

DEC 16 DEC 17

PROPERTY PORTFOLIO SUMMARY

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 14

164 150 146 141 148 146 142 111

60 120 180

DEC 10 DEC 11 DEC 12 DEC 13 DEC 14 DEC 15 DEC 16 DEC 17

NUMBER OF PROPERTIES

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SLIDE 16

EMIRA PROPERTY FUND

36% 31% 33%

OFFICE URBAN RETAIL INDUSTRIAL

33% 32% 35%

PROPERTY PORTFOLIO SUMMARY: SECTORAL SPLIT

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 15

45% 40% 15%

OFFICE URBAN RETAIL INDUSTRIAL

2016 VALUE SPLIT PER SECTOR (%)

R12.6bn

44% 41% 15%

2017 VALUE SPLIT PER SECTOR (%)

R12.6bn

2016 GLA SPLIT PER SECTOR (%)

1.1m m2

2017 GLA SPLIT PER SECTOR (%)

1.0m m2

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SLIDE 17

EMIRA PROPERTY FUND EMIRA PROPERTY FUND

14 547 14 910 5 255 11 586 16 541 15 801 5 362 12 370

5 000 10 000 15 000 20 000

OFFICE URBAN RETAIL INDUSTRIAL TOTAL

R/m2

AVERAGE VALUE PER m²

DEC 16 DEC 17

PROPERTY PORTFOLIO SUMMARY

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 16

96 218 43 100 119 235 45 113

50 100 150 200 250

OFFICE URBAN RETAIL INDUSTRIAL TOTAL

Rm

AVERAGE VALUE PER PROPERTY

DEC 16 DEC 17

+7% +13% +24%

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SLIDE 18

EMIRA PROPERTY FUND

37% 61% 2%

P-GRADE A-GRADE B-GRADE C-GRADE

OFFICE SECTOR EXPOSURE

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 17

73 46

2011 2017

NUMBER OF PROPERTIES

R52m

AVERAGE VALUE PER PROPERTY (Rm) GRADE OF OFFICE PORTFOLIO (%)

2011

GRADE OF OFFICE PORTFOLIO (%)

2017

R119m

20% 45% 35%

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SLIDE 19

EMIRA PROPERTY FUND

9.3% 3.4% 1.7% 4.7% 16.1% 3.1% 1.2% 7.0% 9.4% 2.2% 2.1% 4.5%

0% 2% 4% 6% 8% 10% 12% 14% 16% 18%

OFFICE URBAN RETAIL INDUSTRIAL TOTAL

DEC 15 DEC 16 DEC 17

Office vacancies decreased to 9.4% (SAPOA 11.2%)

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 18

VACANCY PROFILE BY GLA (%)

Contributors 1 Kikuyu (7 383m²) Corobay (5 510m²) Iustitia (5 141m²) Largest vacancies Corobay Corner (6 330m², 46%) Knightsbridge (3 877m², 31%) Menlyn Square (2 215m², 23%) Urban retail vacancies decreased to 2.2% (SAPOA 4.2%) Industrial vacancies increased to 2.1% (SAPOA 3.5%)

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SLIDE 20

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

TENANT RETENTION (%)

19

Expiries of 126 254m² equals 285 leases or R14.8m gross rentals per month

72% 82% 82% 73% 71% 66% 77% 70% 75%

0% 20% 40% 60% 80% 100%

m²

  • NO. OF LEASES

GROSS RENTALS

DEC 15 DEC 16 DEC 17

83% 83%

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SLIDE 21

EMIRA PROPERTY FUND

PROPERTY TENANT LEASE END GLA (m²) STATUS

12 Baker Street / 2 Sturdee Avenue Sasol Aug 17 10 239 Tuinhof Trans Caledon Tunnel Dec 17 3 757 RTT Continental RTT Group Dec 17 12 921 Podium at Menlyn SA Forestry Sep 17 2 419 Cambridge Park Itec Dec 17 5 617 Waterside Place Aecom Jul 17 2 315 Wonderpark Cashbuild Nov 17 2 227 Boundary Terraces Provident Society Investments Dec 17 1 866 Lincolnwood Office Park Altech Sep 17 2 329 Cambridge Park Netflorist Oct 17 3 423 47 114 (71% renewed – calculated on gross rental) (100% excluding Sasol)

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 20

10 MAJOR LEASE EXPIRIES BY GROSS RENTAL: 1H18

Vacated

(Residential conversion)

Renewed – 3 years Renewed – 3 years Renewed – 5 years Renewed – 7 months Renewed – 3 years and 9 months Renewed – 3 years Renewed – 1 year Renewed – 1 year Renewed – 1 year

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SLIDE 22

EMIRA PROPERTY FUND

4.9 1.5 0.2 15.4 20.8 14.3 42.9 7.1 0.6 0.7 10.7 19.6 23.9 37.4 4.5 0.4 0.3 9.3 22.4 15.3 47.8 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

VACANCY (31/12/17) VACATED DEC (31/12/17) EXPIRIES ROLLED OVER YEAR 1 (2H18) YEAR 2 (FY19) YEAR 3 (FY20) YEAR 4+ (FY21+)

DEC 15 DEC 16 DEC 17

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 21

LEASE EXPIRY PROFILE BY GLA (%)

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SLIDE 23

EMIRA PROPERTY FUND

SECTOR AREA AVG. EXPIRY RENTAL

  • AVG. NEW

LEASE RENTAL INCREASE/ (DECREASE) % Office 41 609 136.38 129.48

  • 5.1

Urban retail 32 826 161.21 159.88

  • 0.8

Industrial 64 127 53.79 53.16

  • 1.2

Total Dec 17 138 562 104.35 101.36

  • 2.9

Total Dec 16 145 096 82.56 80.16

  • 2.9

Total Dec 15 141 128 105.73 105.64

  • 0.1

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 22

REVERSIONS – TOTAL (GROSS RENTALS)

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SLIDE 24

EMIRA PROPERTY FUND

GROSS INCOME

Improved take-up of vacancies (Corobay, Iustitia, Menlyn Square, Tramshed)

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 23

YEAR-ON-YEAR LIKE-FOR-LIKE GROWTH IN NET INCOME

(static portfolio) (%)

EXPENSES

Well managed

3.6% 12.2% (1.6%) 7.9% 7.9% 7.8%

  • 2%

0% 2% 4% 6% 8% 10% 12% 14%

GROSS INCOME EXPENSES NET INCOME

DEC 16 DEC 17

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SLIDE 25

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

RETAIL TRADING STATISTICS

Trading density growth

2.2%

Foot count growth

  • 0.6%

Spend per head growth

3.0%

24

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SLIDE 26

EMIRA PROPERTY FUND

PROPERTY TENANT LEASE END GLA (m²) STATUS

Wonderpark Builders Express Apr 18 2 483 Morgan Creek Simba May 18 4 644 Wonderpark Cashbuild Jun 18 2 227 Kramerville Corner Griffiths & Griffiths Apr 18 3 124 Wonderpark Chevron SA Jan 18 3 461 Technohub Vodacom Mar 18 3 342 Wonderpark Standard Bank May 18 960 Omni Centrum Dept of Public Works Mar 18 2 129 Wonderpark Foschini Group Apr 18 855 9 Long National Debt Advisors May 18 1 619 24 846 (70% renewed – calculated on gross rental)

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 25

10 MAJOR LEASE EXPIRIES BY GROSS RENTAL: 2H18

Renewed – 5 years Renewed – 2 years and 8 months Will vacate

(Replacement tenant BUCO)

Renewed – 1 year Renewed – 5 years Negotiating with tenant – 5 years Renewed – 10 years Negotiating with tenant – 2 years Month to month lease Renewed – 2 years

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SLIDE 27

EMIRA PROPERTY FUND

PROPERTY TENANT LEASE END GLA (m²) STATUS

Tuinhof Trans Caledon Tunnel Dec 18 3 757 Corporate Park 66 PSG Wealth Jun 19 3 161 7 Naivasha Group M Apr 19 4 673 Trellidor Trellidor Sep 18 7 794 1059 Francis Baard SABC Aug 18 2 925 14-16 Boston Circle Bidvest Data Jun 19 7 533 Wonderpark Truworths Oct 18 1 987 Quagga Centre Shoprite Checkers Nov 18 5 715 Defy Defy Sep 18 10 100 Podium at Menlyn Hatch Goba Apr 19 1 812 49 458 (100% renewed)

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 26

10 MAJOR LEASE EXPIRIES BY GROSS RENTAL: FY19

Expecting to renew Expecting to renew Expecting to renew Expecting to renew Expecting to renew Expecting to renew Expecting to renew Expecting to renew Renewed – 5 years Vacated

(Negotiating with sub-tenant)

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SLIDE 28

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 27

IN SUMMARY

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SLIDE 29

EMIRA PROPERTY FUND

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SLIDE 30

EMIRA PROPERTY FUND

BRYANSTON

GLA 31 584m2

Phase 1 GLA 12 385m2 Occupancy GLA 8 401m² Phase 2 GLA 3 564m2

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 29

KNIGHTSBRIDGE: P-GRADE

PROJECT COST

R820m

R339.2m R107.0m COMPLETION

Dec 19

Sep 17/Oct 17 Jun 18

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SLIDE 31

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 30

ROSEBANK RESIDENTIAL TO RENT

› 280 units, focus on LSM 7 – 8 › Development spend R121m › Spend to date R12m (+R81m land) › Handover/completion Jan 19 › JV with Feenstra Group › 75% co-ownership › Yield >10.5%

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SLIDE 32

EMIRA PROPERTY FUND

Yield on completion of top two projects of above

9.3%

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 31

CAPEX PROJECTS IN PROGRESS

Yield on a further nine projects

  • f R49m currently in progress

8.5%

Further projects in planning (not committed)

R672m

SPEND TO DATE (Rm) VALUE (Rm) COMPLETION Knightsbridge – Phase 2 13.5 106.5 Jun 18 The Bolton (12 Baker Street + 2 Sturdee Avenue) 93.0 201.7 Jan 19 Total 106.5 308.2

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SLIDE 33

EMIRA PROPERTY FUND

15 original assets R618m

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 32

ENYUKA

6 new assets acquired R282m R140m under contract On track for >R1.2bn assets target

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SLIDE 34

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

DISPOSALS: 1H18

5 office buildings and 1 industrial building

R236.5m Forward yield 7.6% Premium +14.8%

33

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SLIDE 35

EMIRA PROPERTY FUND

R1.1bn held for sale

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 34

REBALANCING (%)

6.5 40.5 35.3 13.4 0.2 4.1

GOZ US OFFICE URBAN RETAIL INDUSTRIAL RESIDENTIAL LAND RURAL RETAIL (ENYUKA)

DEC 2016

Unconditional offers for R210m Offshore expansion

6.5 0.8 38.2 36.0 13.3 0.6 0.3 4.3

GOZ US OFFICE URBAN RETAIL INDUSTRIAL RESIDENTIAL LAND RURAL RETAIL (ENYUKA)

DEC 2017

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SLIDE 36

EMIRA PROPERTY FUND

› Responsible rebalancing continues › Groundwork for the future has been laid › Return to positive growth › Plan to increase offshore exposure

RESULTS FOR THE YEAR ENDED JUNE 2017 35

PREVIOUS FY18 OUTLOOK

   

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SLIDE 37

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

OFFSHORE – PRESS RELEASE – NOVEMBER 2017

36

Emira launches USA investment strategy

Diversification of assets and income Better ZAR returns, locked-in growth rates Convenient grocery anchored urban retail – resilient

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SLIDE 38

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 37

USA GDP GROWTH OVER 2010-2017 + UNEMPLOYMENT (%)

USA – largest economy and macro growth Chosen states – GDP growth, low unemployment and population growth

2 4 6 8 10 1 2 3 4

2010 2011 2012 2013 2014 2015 2015 2017

INVERTED UNEMPLOYMENT RATE GDP GROWTH RATE

US GDP GROWTH RATE UNEMPLOYMENT RATE

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SLIDE 39

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

EMIRA CO-INVESTMENT MODEL

38

› US partners that co-invest with Emira › US to US deal making – access to deals, pricing and bank funding › Like minded partners

Rainier Group

  • f companies

Dallas, Texas-based >USD1bn of assets under management Further partner/investor Stark Enterprises

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SLIDE 40

EMIRA PROPERTY FUND

Future US states US States currently invested in (1 asset in Texas and 2 assets in Ohio) US States with identified pipeline (1 asset each in Indiana and Georgia)

39

US GEOGRAPHICAL EXPOSURE

TX GA IN OH TX

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

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SLIDE 41

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 40

BELDEN PARK CROSSINGS – LOCATION AND SITUATION

OHIO

Cleveland Columbus Cincinnati

Canton Belden Park Crossings

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SLIDE 42

EMIRA PROPERTY FUND

PURCHASE PRICE USD67.0m (100%) YIELD 8.1%

41

BELDEN PARK CROSSINGS – NORTH CANTON, OHIO (17 OCT 2017)

GLA 482 534ft2 SITE EXTENT 1 958 022ft2 OCCUPANCY 93.2% WALE 3.3 years EMIRA INVESTMENT USD8.4m (46.7% preferred equity stake) CASH-ON-CASH RETURN USD 12.0%

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

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SLIDE 43

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 42

32 EAST – LOCATION AND SITUATION

OHIO OHIO

Cleveland Columbus

Cincinnati

Canton

32 East

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SLIDE 44

EMIRA PROPERTY FUND

PURCHASE PRICE USD29.1m (100%) YIELD 8.4%

43

32 EAST – CINCINNATI, OHIO (19 JAN 2018)

GLA 188 912ft2 SITE EXTENT 912 887ft2 OCCUPANCY 100% WALE 8.5 years EMIRA INVESTMENT USD4.25m (49.4% preferred equity stake) CASH-ON-CASH RETURN USD 12.0%

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

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SLIDE 45

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 44

MOORE PLAZA – LOCATION AND SITUATION

Moore Plaza

Dallas Houston

Corpus Christi TEXAS

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SLIDE 46

EMIRA PROPERTY FUND

PURCHASE PRICE USD70.6m (100%) YIELD 8.1%

45

MOORE PLAZA – CORPUS CHRISTI, TEXAS (18 JAN 2018)

GLA 380 592ft2 SITE EXTENT 1 488 010ft2 OCCUPANCY 99.2% WALE 3.8 years EMIRA INVESTMENT USD13.1m (49.5% equity stake) CASH-ON-CASH RETURN USD 12.14%

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

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SLIDE 47

EMIRA PROPERTY FUND

› Responsible rebalancing continues › Groundwork for the future has been laid and rewards are starting to come through › Continue to increase offshore exposure

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 46

FY18/19 SUMMARY

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SLIDE 48

EMIRA PROPERTY FUND

› Solid NAV underpin › Expected growth in DPS of 2.5% for FY18 › FY19 expected to return a minimum of real growth

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 47

FY18/19 OUTLOOK

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SLIDE 49

EMIRA PROPERTY FUND

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SLIDE 50

EMIRA PROPERTY FUND

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SLIDE 51

EMIRA PROPERTY FUND

CURRENCY ZAR AUD USD TOTAL Income producing assets 13 413 941 100 14 453 Total facilities (Rm) 6 165 – 6 165 Reclassified as foreign debt through CCIRS (Rm) (998) 845 153* – Adjusted total facilities (Rm) 5 167 845 153* 6 165 Drawn facilities (net of cash) (Rm) 4 434 845 102 5 381 LTV % 33.1 89.8 102.0 37.2 Fixed debt (Rm) 3 760 845 153 4 758 Fixed debt % 83.6 100.0 100.0 86.8 Weighted avg duration to expiry – facilities years 1.4 0.0 0.0 1.4 Weighted avg duration to expiry – hedges years 3.1 3.6 3.9 3.2 Weighted avg all in cost of debt % 8.9 2.2 2.2 8.0

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 50

DEBT MIX ANALYSIS

* Including CCIRS in respect of deposits paid on assets still to be transferred not yet included in income producing assets.

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SLIDE 52

EMIRA PROPERTY FUND

FACILITY VALUE OF PROPERTIES Rm FACILITY AVAILABLE Rm FACILITY DRAWN Rm TRANSACTION LTV COVENANT % TRANSACTION LTV ACTUAL % TRANSACTION LTV ACTUAL (AVAILABLE) % CORPORATE LTV COVENANT % CORPORATE LTV ACTUAL* % CORPORATE ICR COVENANT times CORPORATE ICR ACTUAL times

Nedbank (secured) 987 700 700 n/a 70.9 70.9 40.0 37.2 2.0 2.6 Standard Bank (secured) 898 500 380 70.0 42.3 55.7 50.0 37.2 2.0 2.6 DMTN – commercial paper + bonds (unsecured) – 1 694 1 694 n/a n/a n/a 50.0 37.2 n/a n/a DMTN – bonds (secured) 1 345 500 500 40.0 37.2 37.2 50.0 37.2 n/a n/a RMB (secured) 5 533 1 966 1 666 40.0 30.1 35.5 40.0 37.2 2.0 2.6 ABSA (secured) 593 250 152 45.0 25.7 42.2 40.0 37.2 2.0 2.6 Bank of China (secured) 241 155 155 n/a 64.3 64.3 40.0 37.2 2.0 2.6 Investec (unsecured) – 200 33 n/a n/a n/a n/a n/a n/a n/a Sanlam (unsecured) – 200 200 n/a n/a n/a 50.0 37.2 n/a n/a Total secured 9 596 6 165 5 480 Unbonded properties 3 131 Total properties 12 726 GOZ investment 941 Grand total 13 667 6 165 5 480**

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 51

DEBT COVENANTS

* Actual corporate LTV calculation includes loans receivable (R72m), equity accounted investments (R714m) and cash on hand (R99m). ** Excludes unamortised debt raising fees of R4m.

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SLIDE 53

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 52

FOREIGN INCOME: WEIGHTED AVERAGE HEDGED RATE PER REPORTING PERIOD

Forward rate against ZAR: GOZ AUD USA USD Jun 18 R10.86 R13.06 Dec 18 R11.33 R13.36 Jun 19 R11.61 R13.70 Dec 19 R12.03 R14.06 Jun 20 R12.34 R14.43 Dec 20 – R14.83 Jun 21 – R15.25 Dec 21 – R15.59

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SLIDE 54

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 53

COST-TO-INCOME RATIO (%)

35.7% 17.1% 37.9% 20.4% 36.1% 17.1%

0% 5% 10% 15% 20% 25% 30% 35% 40%

GROSS NET

DEC 15 DEC 16 DEC 17

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SLIDE 55

EMIRA PROPERTY FUND

69 7 6 5 4 1 3 2 1 1 1 67 8 6 4 4 3 3 2 1 1 1 MUNICIPAL CHARGES SECURITY EXPENSES SERVICE CONTRACTS MAINTENANCE & REFURBISHMENT RENT & LEVIES PAID LEASING EXPENSES BAD DEBTS ADMINISTRATION EXPENSES CONSUMABLES STAFF EXPENSES MARKETING EXPENSES DEC 16 DEC 17

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 54

PROPERTY EXPENSE ANALYSIS (%)

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SLIDE 56

EMIRA PROPERTY FUND

DEC 2016 DEC 2017 Direct property portfolio Valuation (Rm) # 13 256 12 727 % of the portfolio valued externally * 0.0 0.0 Average value per property (Rm) ## 93 113 Average discount rate (%) ** 14.5 14.4 Average exit capitalisation rate (%) ** 9.5 9.3 Number of properties 142 111 GLA (m2) 1 170 772 1 017 950

* External valuations only performed at year end ** Calculated as the weighted average based on property value # Including land ## Excluding land

55

VALUATION PARAMETERS

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017

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SLIDE 57

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 56

GEOGRAPHIC SPREAD BY NO. OF BUILDINGS: 2016 vs 2017

56 26 20 30 6 3 1 45 24 18 20 3 1

10 20 30 40 50 60

JOHANNESBURG PRETORIA WESTERN CAPE KWAZULU-NATAL EASTERN CAPE BLOEMFONTEIN MPUMALANGA

DEC 16 DEC 17

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SLIDE 58

EMIRA PROPERTY FUND

43 29 14 10 3 1

JOHANNESBURG PRETORIA WESTERN CAPE KWAZULU-NATAL BLOEMFONTEIN MPUMALANGA

41 30 15 10 3 1

GEOGRAPHIC SPREAD BY VALUE

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 57

32 44 13 8 2 1

JOHANNESBURG PRETORIA WESTERN CAPE KWAZULU-NATAL BLOEMFONTEIN MPUMALANGA

GEOGRAPHICAL SPREAD BY VALUE (%)

2016

32 43 14 8 2 1

GEOGRAPHICAL SPREAD BY VALUE (%)

2017

GEOGRAPHICAL SPREAD BY GLA (%)

2016

GEOGRAPHICAL SPREAD BY GLA (%)

2017

slide-59
SLIDE 59

EMIRA PROPERTY FUND

Substantial reduction in B-Grade offices

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 58

OFFICE SECTOR EXPOSURE (%)

30 9

2011 2017

B-GRADE % OF TOTAL EMIRA PORTFOLIO

17 35

A- AND P-GRADE % OF TOTAL EMIRA PORTFOLIO

slide-60
SLIDE 60

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 59

VACANCY PROFILE BY SECTOR AND GRADE BY GLA (%)

12.3 9.1 1.5 3.2 6.3 16.0 11.2 1.1 2.4 7.3 11.2 7.0 1.8 2.0 5.4 0% 2% 4% 6% 8% 10% 12% 14% 16% 18%

PRIME + OFFICE A OFFICE B URBAN RETAIL INDUSTRIAL TOTAL

DEC 15 DEC 16 DEC 17

slide-61
SLIDE 61

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 60

VALUE OF THE VACANCY BY GROSS RENTAL (%)

11.2 3.2 1.5 6.3 14.3 2.4 1.1 7.3 10.2 2.0 1.8 5.4 0% 2% 4% 6% 8% 10% 12% 14% 16%

OFFICE URBAN RETAIL INDUSTRIAL TOTAL

DEC 15 DEC 16 DEC 17

slide-62
SLIDE 62

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 61

VACANCY BY SECTOR BY GROSS RENTAL AND GRADE (%)

9.4 9.1 3.4 1.7 4.7 16.4 15.5 3.1 1.2 7.0 9.9 8.0 2.2 2.1 4.5 0% 2% 4% 6% 8% 10% 12% 14% 16% 18%

PRIME + OFFICE A OFFICE B URBAN RETAIL INDUSTRIAL TOTAL

DEC 15 DEC 16 DEC 17

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SLIDE 63

EMIRA PROPERTY FUND

PROPERTY TENANT LEASE END GLA (m²) STATUS

RTT Continental RTT Group Dec 17 12 921 12 Baker Street and 2 Sturdee Avenue Sasol Aug 17 10 239 Cambridge Park Itec Dec 17 5 617 Tuinhof Trans Caledon Tunnel Dec 17 3 757 Cambridge Park Netflorist Oct 17 3 423 HBP Commercial Unit Spero Sensors Jul 17 2 438 Podium at Menlyn SA Forestry Sep 17 2 419 Waterside Place Aecom Jul 17 2 315 Lincolnwood Office Park Altech Radio Holdings Sep 17 2 329 Wonderpark Cashbuild Nov 17 2 227 47 676 (79% renewed)

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 62

10 MAJOR LEASE EXPIRIES BY GLA: 1H18

Renewed – 3 years Renewed – 1 year Renewed – 3 years Renewed – 1 year and 6 months Renewed – 3 years Renewed – 3 years and 9 months Renewed – 1 year Vacated (Residential conversion) Renewed – 5 years Renewed – 7 months

slide-64
SLIDE 64

EMIRA PROPERTY FUND

PROPERTY TENANT LEASE END GLA (m²) STATUS

Morgan Creek Simba May 18 4 644 Wonderpark Chevron SA Jan 18 3 342 Technohub Vodacom Mar 18 3 342 Kramerville Corner Griffiths & Griffiths Apr 18 3 124 Wonderpark Builders Express Apr 18 2 483 Admiral House Automobile Association Feb 18 2 244 Omni Centrum Dept of Public Works Mar 18 2 129 Wonderpark Cashbuild Jun 18 2 227 Randridge Mall Woolworths May 18 2 124 Umgeni Road A Ubunye Uniforms May 18 1 886 27 665 (61% renewed)

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 63

10 MAJOR LEASE EXPIRIES BY GLA: 2H18

Negotiating with tenant – 2 years Renewed – 2 years and 8 months Renewed – 1 year Renewed – 3 years Month to month lease Negotiating with tenant – 5 years Renewed – 5 years Renewed – 10 years Expecting to vacate Negotiating with tenant – 3 years

slide-65
SLIDE 65

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 64

LEASE EXPIRY PROFILE – OFFICES BY GLA (%)

9.3 1.6 0.0 19.1 24.4 17.7 27.9 16.1 1.4 0.0 13.8 20.5 19.0 29.3 9.4 0.9 0.3 9.5 23.1 17.0 39.8 0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

VACANCY (31/12/17) VACATED (31/12/17) EXPIRIES ROLLED OVER YEAR 1 (2H18) YEAR 2 (FY19) YEAR 3 (FY20) YEAR 4+ (FY21+)

DEC 15 DEC 16 DEC 17

slide-66
SLIDE 66

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 65

LEASE EXPIRY PROFILE – URBAN RETAIL BY GLA (%)

3.4 1.0 0.7 7.5 12.7 14.0 60.7 3.1 0.5 1.7 5.2 16.3 15.9 57.4 2.2 0.0 0.6 11.4 15.0 13.1 57.7 0% 10% 20% 30% 40% 50% 60% 70%

VACANCY (31/12/17) VACATED (31/12/17) EXPIRIES ROLLED OVER YEAR 1 (2H18) YEAR 2 (FY19) YEAR 3 (FY20) YEAR 4+ (FY21+)

DEC 15 DEC 16 DEC 17

slide-67
SLIDE 67

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 66

LEASE EXPIRY PROFILE – INDUSTRIAL BY GLA (%)

1.7 1.8 0.0 18.7 24.1 10.8 42.9 1.2 0.0 0.4 12.4 21.7 36.9 27.4 2.1 0.1 0.0 7.2 28.6 15.7 46.2 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

VACANCY (31/12/17) VACATED (31/12/17) EXPIRIES ROLLED OVER YEAR 1 (2H18) YEAR 2 (FY19) YEAR 3 (FY20) YEAR 4+ (FY21+)

DEC 15 DEC 16 DEC 17

slide-68
SLIDE 68

EMIRA PROPERTY FUND

SECTOR AREA AVG. EXPIRY RENTAL

  • AVG. NEW

LEASE RENTAL INCREASE/ DECREASE % Office 32 321 138.08 131.24

  • 5.0

Urban retail 26 865 161.67 162.82 0.7 Industrial 42 821 56.54 57.02 0.8 Total Dec 17 102 007 110.13 108.40

  • 1.6

Total Dec 16 115 267 74.68 75.38 0.9 Total Dec 15 113 359 108.21 107.92

  • 0.3

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 67

REVERSIONS RENEWALS (GROSS RENTALS)

slide-69
SLIDE 69

EMIRA PROPERTY FUND

SECTOR AREA AVG. EXPIRY RENTAL

  • AVG. NEW

LEASE RENTAL INCREASE/ DECREASE % Office 9 287 130.40 123.35

  • 5.4

Urban retail 5 961 159.14 146.59

  • 7.9

Industrial 21 306 48.05 45.40

  • 5.5

Total Dec 17 36 555 87.86 81.71

  • 7.0

Total Dec 16 29 829 113.50 98.66

  • 13.1

Total Dec 15 27 769 95.85 96.31 0.5

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 68

REVERSIONS NEW LEASES (GROSS RENTALS)

slide-70
SLIDE 70

EMIRA PROPERTY FUND

The following are excluded from FY18 numbers:

Purchases

› Summit Place (A, C, D, E1, E2, E3, E4 and G1), 1 West land, Discovery land, Quagga land

Disposals

› Brandwag & Kosmos flats, 1289 Heuwel Avenue, 284 Oak Avenue, Southern Life Plaza, Cochrane Avenue, Sturdee House, Midrand Motor City, Waterkloof House, Brooklyn Gardens, Brooklyn Forum, 16 Jan Smuts, 500 Smuts, The Avenues North, Tokai Shopping Centre, Convention House, 4 Kikuyu, Harbour Place, Assegaai Place-Kraaifontein, 1 Kikuyu, Riverworld Park

Refurbishments

› Knightsbridge Manor, 80 Strand Street

Developments (In Progress)

› New Knightsbridge, 12 Baker Street, 2 Sturdee Avenue

Enyuka

› Bizana Shopping Centre, Central Square Idutywa, Cofimvaba Shopping Centre, Dundee Boulevard, Flagstaff Shopping Centre, Greytown Centre, Ingwavuma Shopping Centre, Kokstad Main, Kokstad Shopping Centre, Matatiele Centre, Nongoma Centre, Nqutu, Old Acre Plaza, Tin Roof, Umzimkulu Centre

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 69

PROPERTIES EXCLUDED FROM LIKE-FOR-LIKE

slide-71
SLIDE 71

EMIRA PROPERTY FUND

LEASES CONCLUDED: EMIRA PORTFOLIO (1H18)

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 70

NEW RENEWAL TOTAL Total m² 61 884 96 753 158 637 Average duration (years) 3.0 2.8 2.9 Leave value (Rm) 531.8 444.4 976.2 Number of leases 155 199 354 The weighted average duration for the total portfolio is 3.0 years (2.7 years Jun 17).

slide-72
SLIDE 72

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 71

ESCALATIONS (%)

8.3 7.6 7.6 7.8 7.9 7.6 7.6 7.7 8.0 7.4 7.6 7.7 6.8% 7.0% 7.2% 7.4% 7.6% 7.8% 8.0% 8.2% 8.4%

OFFICE URBAN RETAIL INDUSTRIAL TOTAL

DEC 15 DEC 16 DEC 17

slide-73
SLIDE 73

EMIRA PROPERTY FUND

SECTOR

  • NO. OF

BUILDINGS OCCUPIED GLA (m²)

  • AVG. NET

RENTAL (R/m²) Office: P-Grade 5 59 481 158.41 Office: A-Grade 26 148 001 127.21 Office: B-Grade 15 88 542 100.34 Urban retail 22 320 545 132.98 Industrial 43 350 634 52.01 Total Dec 17 111 967 204 101.32 Total Dec 16 127 997 106 94.77 Total Dec 15 131 1 040 821 93.63

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 72

EMIRA NET RENTALS

(excl. parking stores and vacancies)

slide-74
SLIDE 74

EMIRA PROPERTY FUND

PROPERTY TENANT LEASE END GLA (m²) STATUS

Defy Defy Sep 18 10 100 Trellidor Trellidor Sep 18 7 794 14-16 Boston Circle Bidvest Data Jun 19 7 533 Quagga Centre Shoprite Checkers Nov 18 5 715 7 Naivasha Group M Apr 19 4 673 Cambridge Netflorist Nov 18 4 551 Fosa Park Co-Lab Industries Apr 19 4 200 Steelpark Industrial Park Easylife Kitchens Jan 19 3 944 Tuinhof Trans Caledon Tunnel Dec 18 3 757 Umgeni Road B – 23 Intersite Sinclairs Panelbeaters Nov 18 3 600 55 867 (85% renewed)

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 73

10 MAJOR LEASE EXPIRIES BY GLA: FY19

Expecting to renew Renewed Expecting to renew Expecting to vacate Expecting to renew Expecting to renew Expecting to renew Expecting to renew Expecting to renew Expecting to vacate

slide-75
SLIDE 75

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 74

FY19: MAJOR VACANCIES ANTICIPATED BY GLA (±1 000m²)

PROPERTY EX-TENANT GLA (m²) FROM WHEN UPDATE

Cambridge Park Netflorist 4 551 Nov 18 Umgeni Road B – 23 Intersite Sinclairs Panelbeaters 3 600 Mar 19 Johnson & Johnson Johnson & Johnson 3 472 Dec 18 HBP Commercial Units Spero Sensors & Instruments 2 428 Feb 19 Midrand (cnr Douglas & Old Pretoria Road) V-Tech 2 532 Mar 19 HBP Industrial Units Ceramic World 1 616 Apr 19 Podium at Menlyn Hatch Goba 1 812 Apr 19 Admiral House Bakali Foodstuffs 1 036 Apr 19

21 047 Require bigger facility Require bigger facility Consolidating into own building Downsizing Require bigger facility Consolidating into own building Considering buying own building Legal

slide-76
SLIDE 76

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 75

TENANT GRADING BY GLA

GRADING

“A” Large national tenants, large listed tenants, government and major franchisees “B” National tenants, listed tenants, franchisees, large regional tenants, medium to large professional firms “C” Other

58 24 19

TOTAL PORTFOLIO (%)

A B C

52 70 52 58 28 12 29 24 20 18 19 19

0% 10% 20% 30% 40% 50% 60% 70% 80%

OFFICE URBAN RETAIL INDUSTRIAL TOTAL

PER SECTOR (%)

slide-77
SLIDE 77

EMIRA PROPERTY FUND

TENANT EXPOSURE BY GLA

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 76

22 78

TOP 10 TENANTS OTHER TENANTS

5.8 4.5 2.5 1.7 1.5 1.3 1.3 1.2 1.2 1.0 RTT GROUP PICK N PAY MASSTORES SHOPRITE CHECKERS WOOLWORTHS DEVLAND STAR DEPT OF PUBLIC WORKS LITTLE GREEN BEVERAGES DEFY TOP 10 TENANTS OF THE TOTAL PORTFOLIO (%) TOP 10 TENANTS (%) SPLIT OF THE TOTAL PORTFOLIO

slide-78
SLIDE 78

EMIRA PROPERTY FUND

TENANT EXPOSURE BY GROSS RENTAL

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 77

20 80

TOP 10 TENANTS OTHER TENANTS

3.4 3.3 3.2 2.0 1.5 1.4 1.4 1.3 1.3 1.2 MASSTORES PICK N PAY RTT GROUP STAR KING PRICE INSURANCE SA LOCAL GOVERNMENT SHOPRITE CHECKERS WOOLWORTHS DEPT OF PUBLIC WORKS MR PRICE TOP 10 TENANTS OF THE TOTAL PORTFOLIO (%) TENANT EXPOSURE – TOP 10 TENANTS (%)

slide-79
SLIDE 79

EMIRA PROPERTY FUND

MAJOR PROJECTS BEING CONSIDERED TYPE m² VALUE (R) CONSTRUCTION TIME

1 West Parking space/future mixed use 3 430 850 000 2 months 267 West Parking space 3 702 18 000 000 8 months Quagga Centre – Extension Urban retail 3 828 72 467 424 12 months Quagga Centre Urban retail 4 952 200 000 000 20 months Southern Centre Urban retail – 35 000 000 10 months The Heights Mixed use 3 000 45 000 000 10 months Tramshed Urban retail 12 096 41 359 411 14 months Wonderpark Extension 2 Urban retail 10 000 260 000 000 22 months Total 37 578 671 826 835

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 78

POTENTIAL NEW CAPEX PROJECTS – NOT COMMITTED

slide-80
SLIDE 80

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 79

SUSTAINABILITY PLANNING

GREEN BUILDINGS

› Knightsbridge 4-star GBCSA ratings certifications achieved

WATER EFFICIENCY

› 22 400kl recorded water savings to date in 18 Gauteng buildings › Cape Town actions implemented » Water savings and rainwater harvesting approved » Reduce water pressure and flush times » Dual flush toilets » Hand sanitisers » Replaced evaporative central aircon systems

CLEAN ENERGY PRODUCTION

› 1.0 GWh of clean electricity generated to November 2017 with a total electrical savings of 3 034 kVA at Randridge Mall » 1 000tCO2e saved » 2GWh forecast generation in the first year › Third Solar Farm project completed at Mitchells Plain

CARBON FOOTPRINT REPORTING

› New online Eco business intelligence dashboard created and active » Real time raw consumption data analysis – emissions and intensity » Monitoring of electrical and water consumption fluctuations » New waste target set, with waste data collection, analysis and monitoring done through portal » Reduction targets monitored

slide-81
SLIDE 81

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 80

DISPOSALS

PROPERTY LOCATION SECTOR GLA (m2) BOOK VALUE (Rm) SALE PRICE (Rm) EXIT YIELD (%) EFFECTIVE DATE

Convention House Durban Office 6 249 45.0 44.0 11.7 Oct 17 4 Kikuyu Road Johannesburg Office 4 608 27.2 28.0 6.9 Oct 17 Harbour Place Cape Town Office 5 015 52.0 90.0 6.9 Nov 17 Assegaai Place – Kraaifontein Cape Town Industrial 2 877 21.6 20.0 10.8 Dec 17 1 Kikuyu Road Johannesburg Office 7 383 37.0 31.0 0 – Vacant Dec 17 Riverworld Park Johannesburg Office 5 079 23.2 23.5 10.8 Dec 17 Total 31 211 206.0 236.5 7.6

slide-82
SLIDE 82

EMIRA PROPERTY FUND RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 81

TOP TEN PROPERTIES BY VALUE

PROPERTY NODE CLASSIFICATION GLA (m2) MAJOR TENANTS Wonderpark Shopping Centre Pretoria North Regional S/centre 90 882 Pick n Pay (12 867m²), Game (5 292m²), Woolworths (4 642m²), Edgars (3 998m²), Checkers (3 981m²), Virgin Active (3 508m²), Caltex (3 461m²) Menlyn Corporate Park Menlyn Offices 26 659 King Price Insurance (8 948m²), SALGA (7 025m²), Santam (4 524m²), BVI Engineering (1 533m²) Quagga Centre Pretoria West Small regional S/centre 29 409 Shoprite (5 715m²), Pick n Pay (4 878m²), Woolworths (1 807m²), FNB (1 367m²), Edgars (1 065m²) Summit Place Menlyn Mixed use (office and retail) 14 592 Assupol Life (3 601m²), Kempster Sedgwick (2 484m²), Sizwe Ntsaluba Gobodo (2 402m²), Planet Fitness (1 469m²), Grant Thornton (539m²) Knightsbridge Bryanston Offices 12 385 WSP Group (5 829m²), Gold One Management (1 122m²), Odyssey Capital (725m²), Emira (725m²) Makro Selby Selby Community S/centre 19 705 Makro (19 705m²) Randridge Mall Randpark Ridge Community S/centre 22 447 Pick n Pay (4 473m²), Woolworths (2 124m²), Dis-Chem (2 035m²), Health-Worx medical centres (697m²), FNB (615m²), Foschini (594m²), Mr Price (581m²) RTT Acsa Park East Rand Industrial (warehouse) 46 673 RTT Group (46 673m²) Corobay Corner Menlyn Offices 13 865 Council for the Built Environment (2 236m²), Royal Energy Management (1 233m²), Christinme International (995m²), X-DSL Networking Solutions (863m²), Eris Property Group (803m²) Hyde Park Lane Hyde Park Offices 15 539 Standard Bank (1 722m²), DTH Service (1 616m²), Bowden & Company (650m²), Truffle Asset Management (595m²), Deutsche Lufthansa Group (489m²) 291 188 43% of the portfolio by value

slide-83
SLIDE 83

EMIRA PROPERTY FUND

DEC 2016 DEC 2017 Number of properties 15 21 Property portfolio value R584m R901m Average value per m² R7 305 R8 428 Average value per property R39m R43m LTV (excluding shareholder loans) 0% 24.4% Vacancy profile by GLA 5.5% 3.8% Tenant retention % of GLA 97.6% 70.3% % of Number of leases 86.7% 65.2% % of Gross rentals 96.8% 70.1% Rent reversions – total (gross rentals) 5.5% 0.7% Like-for-like growth in net income

  • 0.1%

4.8% Escalations 7.4% 7.5%

RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2017 82

ENYUKA