european property tour...document name and description hereredefine international p.l.c. 77 sa &...
TRANSCRIPT
European Property Tour
September 2013
2 Document name and description here 2 Redefine International P.L.C.
Contents
Page
• The journey to date 03
• Income focused property investment 04
• Relative positioning in UK & SA markets 05 – 11
• Addressing market perceptions 12
• Corporate and portfolio objectives 13 – 15
• Property portfolio 16 – 37
• Financial highlights 38 – 41
• Looking forward 42
3 Document name and description here 3 Redefine International P.L.C.
£127.5m capital raising
to strengthen balance
sheet
October 2012
Ciref plc
is rebranded as
Redefine International
20
40
60
80
100
120
140
160
180
200
220
240
260
280
300
320
340
360
380
400
420
440
Mar
ket
Cap
£m
RDI Market Cap
Redefine International
completes reverse take-
over of Wichford P.L.C. &
is admitted to Premium
Segment of Official List
Corovest International
Real Estate Fund
founded as an open
ended property
investment fund
Ciref plc makes initial
investment into
Wichford P.L.C.
Initial investment into
Cromwell Property
Group, Australia
Redefine Properties
International Ltd is listed
on JSE & becomes
Redefine International’s
largest shareholder
2002
July 2010 May 2006 December 2009
December 2009 2008 September 2010
August 2011 September 2013
The journey to date
Redefine Properties
increases shareholding
in Ciref plc to over 50%
Ciref plc is listed on AIM
with Redefine Properties
acquiring an initial 18%
shareholding
4 Document name and description here 4 Redefine International P.L.C.
Income focused property investment
• Portfolio and strategy focused on income within tightly defined business segments
• Each business segment supported by specialist and proven asset management teams
• Diversification provides exposure to different sources of income
• Ability to allocate capital to performing business segments
• Policy to distribute at least 90% of distributable earnings (UK REIT compliant)
• Targeted distribution growth of CPI +1% to 2% p.a. through sustainable expansion
• Development exposure to be limited but creating value through asset management is a core strategy
5 Document name and description here 5 Redefine International P.L.C.
Relative positioning (UK market)
CLS
Development Stabilised
Primary
High yielding
Helical
Bar
plc
6 Document name and description here 6 Redefine International P.L.C.
Relative positioning (SA market)
Development Stabilised
Primary
High yielding
7 Document name and description here 7 Redefine International P.L.C.
SA & UK REIT Analysis
- 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 50,000
SA Market Caps (Rm)
- 100 200 300 400 500 600 700 800
UK Market Caps (£m)
Intu
Growthpoint
Capital & Counties
Redefine Properties
Hyprop
Capital
Resilient
NEPI
Fountainhead
Redefine International
Acucap
Fortress
Vukile
Emira
Sycom
Investec
Rockcastle
Rebosis
Delta
Hospitality
Arrowhead
Dipula
Premium
Ascension
Octodec
Vunani
Vividend
Synergy
Mas
Annuity
Land Securities
British Land
Hammerson
Intu
Capital & Counties
Derwent London
SEGRO
Great Portland
Shaftesbury
Songbird
LMS
Grainger
St. Modwen
Workspace
Unite
Big Yellow
Hansteen
Quintain
CLS
Helical Bar
Redefine International
Max
LXB Retail
Primary Health
Development Securities
Mucklow
Safestore
MedicX
Assura
Condor
Conygar
Sirius
Alpha Pyrenees
8 Document name and description here 8 Redefine International P.L.C.
Relative share price performance
20.00
25.00
30.00
35.00
40.00
45.00
50.00
Aug 2
012
Aug 2
012
Aug 2
012
Sep 2
012
Sep 2
012
Oct 20
12
Oct 20
12
No
v 2
012
No
v 2
012
De
c 2
012
De
c 2
012
Jan 2
01
3
Jan 2
01
3
Jan 2
01
3
Feb
201
3
Feb
201
3
Ma
r 201
3
Ma
r 201
3
Apr
20
13
Apr
20
13
Ma
y 2
01
3
Ma
y 2
01
3
Jun 2
01
3
Jun 2
01
3
Jul 201
3
Jul 201
3
Jul 201
3
Aug 2
013
Aug 2
013
Share
price (
pence)
Redefine International FTSE All Share FTSE 250 FTSE 350 Real Estate
65.7%
36.7%
18.4%
16.3%
Source: Bloomberg
9 Document name and description here 9 Redefine International P.L.C.
Forecast dividend yields (UK)
Source: Peel Hunt Forecasts (1 September 2013)
Note: Intu dividend yield c4.9%
-
1%
2%
3%
4%
5%
6%
7%
8%
Me
dic
X (
n/r
)
Lo
ndo
nM
etr
ic P
ropert
y
Re
define
PH
P
SE
GR
O
Intu
Pro
pe
rtie
s
British
Lan
d
Ha
nste
en
Hold
ings
Mu
cklo
w
Safe
sto
re
Ha
mm
ers
on
Big
Ye
llow
La
nd S
ecuri
tie
s
De
ve
lop
men
t S
ecurities
Work
spa
ce
He
lica
l B
ar
Shaft
esbury
Gre
at
Po
rtla
nd
De
rwe
nt L
ond
on
St. M
odw
en
Ca
pital &
Re
gio
na
l
Gra
inger2
Un
ite
Co
nygar
Inve
stm
en
t
Ca
pital &
Co
unties
Alp
ha P
yre
nee
s
Song
bird
CL
S
LX
B R
eta
il
Quin
tain
Ma
x P
rop
ert
y G
roup
Assura
(n
/r)
Siriu
s R
eal E
sta
te
10 Document name and description here 10 Redefine International P.L.C.
Premium / (discounts) to NAV (UK)
(100%)
(80%)
(60%)
(40%)
(20%)
-
20%
40%
Ca
pital &
Co
unties
Me
dic
X (
n/r
)
Ha
nste
en
Hold
ings
PH
P
Work
spa
ce
Re
define
Shaft
esbury
De
rwe
nt L
ond
on
St. M
odw
en
Gre
at
Po
rtla
nd
SE
GR
O
Un
ite
Lo
ndo
nM
etr
ic P
ropert
y
Big
Ye
llow
He
lica
l B
ar
La
nd S
ecuri
tie
s
Ma
x P
rop
ert
y G
roup
CL
S
Assura
(n
/r)
British
Lan
d
Ha
mm
ers
on
Gra
inger2
Intu
Pro
pe
rtie
s
Quin
tain
Ca
pital &
Re
gio
na
l
De
ve
lop
men
t S
ecurities
Safe
sto
re
Song
bird
Siriu
s R
eal E
sta
te
Alp
ha P
yre
nee
s
Source: Peel Hunt Forecasts (1 September 2013)
Note: Intu discount to NAV c(20% )
11 Document name and description here 11 Redefine International P.L.C.
Forecast gearing (UK)
-
20%
40%
60%
80%
100%
120%
140%
160%
180%
Song
bird
PH
P
Siriu
s R
eal E
sta
te
Gra
inger2
Intu
Pro
pe
rtie
s
He
lica
l B
ar
Quin
tain
Safe
sto
re
Ca
pital &
Re
gio
na
l
CL
S
Re
define
Un
ite
British
Lan
d
SE
GR
O
Ha
nste
en
Hold
ings
Lo
ndo
nM
etr
ic P
ropert
y
St. M
odw
en
Work
spa
ce
De
ve
lop
men
t S
ecurities
La
nd S
ecuri
tie
s
Ma
x P
rop
ert
y G
roup
Ha
mm
ers
on
Shaft
esbury
Gre
at
Po
rtla
nd
De
rwe
nt L
ond
on
Big
Ye
llow
Ca
pital &
Co
unties
Source: Peel Hunt Forecasts (1 September 2013)
Notes: (1) Gearing reflects net debt /equity (2) Intu gearing c98%
12 Document name and description here 12 Redefine International P.L.C.
Addressing market perceptions
Structure too complex
• Redefine International to be dual listed on the JSE, dual company structure to be removed
• Conversion to a UK REIT
• Management to be internalised
Diversification
• Focused on income returns
• Ability to allocate capital to performing segments
• Strong support from income focused investors
Secondary property portfolio
• Portfolio quality being improved
• Reduced cost of capital allowing investment into higher growth assets
• Conversion of vacant offices to higher value uses and recycling capital
Indifferent track record
• Global financial crisis largely past
• Wichford debt successfully restructured
• Portfolio rationalised and improved
High risk
• Leverage reduced
• Portfolio improved
• Board and management strengthened
13 Document name and description here 13 Redefine International P.L.C.
Corporate objectives
Short Term
• Complete inward listing
• REIT conversion
• Manco internalisation
• Senior appointments
• FTSE All share and FTSE 250 index inclusions (£580m entry level for FTSE 250)
• EPRA index inclusion
• Further reduce cost of capital
• Sustainable distribution growth of CPI +1% - +2% p.a. compound
• Share re-rating based on a sustainable dividend yield
• Relevant player in UK listed market
Medium Term
• Alternative sources of flexible and cost efficient capital
• Global player with Redefine Properties Long Term
14 Document name and description here 14 Redefine International P.L.C.
Portfolio objectives
Stable Income
• Further sales of non-core assets
• Focus on fewer and higher quality assets with greater emphasis on the South East
• Reposition assets with higher value alternative uses
• Move into higher growth sectors or locations
• Continued focus on income and occupancy protection
• Capital expenditure projects at Birchwood and Harrow to enhance asset quality and
value
• Rebranding of centres and development of additional sources of income
• Opportunistic acquisition of good quality, high yielding centres
UK Retail
• Focus to remain on branded, limited service hotels in Greater London
• Capital expenditure and refurbishment programme largely complete
• Capitalise on management expertise
• Exposure to be limited to 15% - 20% of total assets
Hotels
15 Document name and description here 15 Redefine International P.L.C.
Portfolio objectives (cont.)
• Recycle capital into income producing investments
• Redevelop older but well located assets
• Obtain planning permissions for higher value alternative uses
• Work with tenants looking to expand
• Ancillary income (advertising, commercialisation, managed parking)
Development
opportunities
• Co-ordinate strategy with Redefine Properties
• Liquid currency if required for deal making
• Positive diversification
Cromwell
Europe
• Enhance income security through lease extensions and indexation
• Deliver asset management opportunities from CMC acquisition
• Sale of smaller non-core assets
Europe
Stephen Oakenfull
17 Document name and description here 17 Redefine International P.L.C.
Europe
• VBG restructuring completed delivering 19% cash on cash
returns
• CMC acquisition successfully completed
• Portfolio quality enhanced through recent acquisitions and the
sale of smaller non-core assets
• Cashflow growth supported by inflation-linked leases
The European portfolio continues to be a highly cash
generative investment supported by strong covenants
on index-linked leases
0.6
2.3
0.7 0.5 0.2
10.0
1.3 1.0 1.0
9.5
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022+
Lease expiry profile Gross rent (£m)
85.6%
6.1%
8.3%
Germany £23.1m
Switzerland £1.7m
The Netherlands
£2.2m
Gross rental income
UK Stable Income
Stephen Oakenfull and Vedran Kosoric
The Observatory, Chatham
19 Document name and description here 19 Redefine International P.L.C.
UK Stable Income
• Occupancy increased to 96.8% despite challenging market
• Evidence of increased occupier demand from small to medium
private sector occupiers
• Inflation remains above target supporting cashflow growth from
index linked leases
• Opportunities to redevelop well located assets and recycle
capital in progress
The portfolio has and continues to be restructured to
provide exposure to high quality covenants, index-
linked leases and an increasing focus on Greater
London and the South East
0.1
0.8 1.2
1.5
0.4
2.4
1.1
6.4
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022+
Lease expiry profile Gross rent (£m)
52.4%
10.6%
7.5%
29.5%
Government £7.4m
Petrol Filling Stations £1.5m
Kwik Fit £1.1m
Other £4.2m
Gross rental income
20 Document name and description here 20 Redefine International P.L.C.
Harrow residential conversion
• Planned conversion of vacant office site to residential led mixed use scheme
• Site value enhanced through land assembly and successful planning application for 238 private residential units and approximately
30,000 sqft of commercial space
• Partnered with Metropolitan Housing Trust to agree the provision of 49 affordable units
21 Document name and description here 21 Redefine International P.L.C.
St Anne House, Croydon
• Former Home Office government building and legacy Wichford asset originally built in 1960’s
• Asset management strategy to convert now obsolete offices into hotel and residential units
• Secured planning permission and agreed 20 year lease with hotel operator and £10m pre-sale of residential apartments
St Anne House
Westfield / Whitgift Centre
Note: All pictures are architect's impressions
UK Retail
Mike Watters and Nick Gregory
Grand Arcade Shopping Centre, Wigan
23 Document name and description here 23 Redefine International P.L.C.
UK Retail
• Valuations stabilised +1.0% vs IPD Shopping Centres (-4.9%)
• Net income +1.58% vs IPD (-1.9%)
• Footfall (-2.6%) vs Experian (-3.8%)
• Sales +2.0% (BRC index +1.1%)
• Occupancy 95.9% up 0.7%
• 8 new leases signed +14,000 sqft net increase
• Key letting to Nandos at St Georges, Harrow
• Improvements in key operating metrics
• Continued investment and asset management
initiatives have been reflected in income and value
stability
2.2
0.8 0.4
2.5
1.2
0.4 0.4 0.7
3.9
8.1
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022+
Lease expiry profile Gross rent (£m)
36.1%
19.3%
12.9%
6.7%
4.5%
20.6% Wigan £7.4m
Coventry £3.9m
Birchwood £2.6m
Seaham £1.4m
Crewe £0.9m
Harrow £4.2m
Gross rental income
24 Document name and description here 24 Redefine International P.L.C.
UK Retail portfolio
• St George’s Shopping Centre, Harrow
• Valued at £57.5 million (pre refurbishment/re-letting)
• 212,000 sq ft
• Vue Cinemas, Fitness First, H&M, Boots, T.K. Maxx, Prezzo, Pizza Express, Nandos
• Leisure focused retail scheme
• Grand Arcade Shopping Centre, Wigan
• Valued at £76.4 million
• 470,000 sq ft
• Debenhams, M&S, BHS, Monsoon, Next, T.K. Maxx
• Dominant city centre modern scheme
• West Orchards Shopping Centre, Coventry
• Valued at £37.0 million
• 210,000 sq ft
• Debenhams, M&S, Body Shop, WH Smith, KFC
• Dominant city centre scheme
25 Document name and description here 25 Redefine International P.L.C.
UK Retail portfolio (cont)
• Birchwood Shopping Centre, Warrington
• Valued at £29.2 million
• 400,000 sq ft
• ASDA, Aldi, Argos, Home Bargains, New Look, QVC
• Retail park
• Byron Place Shopping Centre, Seaham
• Valued at £17.1 million
• 115,000 sq ft
• ASDA, Argos, Farmfoods, Peacocks, Wilkinson
• Retail park
• Delamere Place Shopping Centre, Crewe
• Valued at £9.2 million
• 180,000 sq ft
• BHS, Arriva
• Redevelopment
26 Document name and description here 26 Redefine International P.L.C.
Seaham
• Dominant value and convenience centre anchored by ASDA
• Scheme five years old with opportunities for further investment
• Retail demand has driven Redefine International to progress development extension
• Currently in pre-application discussions with the supportive Durham Council
Options to extend
within existing
ownership
27 Document name and description here 27 Redefine International P.L.C.
The changing face of retail
• The retail environment is undergoing structural change but is definitely not dead
• The internet has not destroyed retail, rather it has changed consumer behaviour
Understanding the impact of online retailing
• The internet is fundamentally an analytical past time and
shopping is an emotional and social experience
• The most successful retailers have embraced the “omni-
channel” experience and use it to drive sales e.g. John Lewis
and Apple
• Pure-play (internet only) retailers are finding a world without
“bricks and mortar” limits sales, i.e. these retailers will start to
acquire physical space to grow their brands
The perfect storm
• Years of carefree spending in the 1980s - 1990s and
careless spending in the 2000s pushed the retail
investment and development market to unsustainable
levels
• This was followed by the “perfect storm” with worldwide
economic problems, volatile commodity prices, negative
UK wage inflation, changing consumer habits, high
consumer debt and retailer insolvencies (often driven by
poor corporate management rather than a vulnerable retail
model)
• But retail from a consumer and investor perspective
remains an attractive proposition if the strategy is correct
28 Document name and description here 28 Redefine International P.L.C.
Commercialisation
• Leveraging our experience to introduce high quality retail operations and complimentary uses
• Unique modular kiosks to reduce capex risk in the event of tenant default
• High quality commercialisation to drive additional income
Before After
29 Document name and description here 29 Redefine International P.L.C.
Focused capital expenditure
• Economic use of capex to deliver the look and feel of a new
shopping centre
• New double height shop fronts
• New ceilings, lighting, pilasters and entrance to create a fresh
look
• “Soft re-launch” in Autumn 2013 including a well researched
new brand to ensure the correct “tone of voice”
• Focused capital expenditure to encourage retailers to invest in their stores
• Combined with a tenant and marketing strategy to drive sales turnover
• Strategies targeted at improving retailer sales increasingly important in relation to rental growth
Hotels
Mike Watters
Holiday Inn Express, Southwark
31 Document name and description here 31 Redefine International P.L.C.
Hotels
• Portfolio strengthened with acquisition of Earls Court Holiday
Inn Express
• Marked increase in trading performance since June 2013
• New InterContinental Group open lobby concept completed at
Holiday Inn Brentford Lock
• Ongoing opportunities to leverage the management platform
• Current acquisition opportunities limited due to pricing and
limited availability
• Development of new product and extension of existing hotels
Focused strategy on limited service branded hotels in
London to capitalise on long-term growth in business
and leisure demand
90.6%
9.4%
Greater London £10.1m
Reading £1.0m
Gross rental income
Brentford Lock, Holiday Inn
32 Document name and description here 32 Redefine International P.L.C.
Hotel portfolio
• Holiday Inn Brentford Lock
• Valued at £25 million
• 61,064 sq ft rentable area @ £24.56 per sq ft
• 134 bedrooms and 12,743 sq ft meeting room area
• Holiday Inn Express Earls Court
• Valued at £27.0 million
• 19,957 sq ft rentable area @ £105.22 per sq ft
• 150 bedrooms and 226 sq ft meeting room area
• Holiday Inn Express Limehouse
• Valued at £23.3 million
• 23,476 sq ft rentable area @ £63.90 per sq ft
• 150 bedrooms and 159.3 sq ft meeting room area
33 Document name and description here 33 Redefine International P.L.C.
Hotel portfolio (cont)
• Holiday Inn Express Southwark
• Valued at £16.4 million
• 38,373 sq ft rentable area @ £39.09 per sq ft
• 88 bedrooms
• Holiday Inn Express Park Royal
• Valued at £24.0 million
• 61,860 sq ft rentable area @ £24.25 per sq ft
• 108 bedrooms and 1,371 sq ft meeting room area
• Holiday Inn Express Royal Docks
• Valued at £22.4 million
• 49,094 sq ft rentable area @ £30.55 per sq ft
• 136 bedrooms and 190 sq ft meeting room area
34 Document name and description here 34 Redefine International P.L.C.
Hotel portfolio (cont)
• Crowne Plaza, Reading
• Valued at £11.9 million
• 34 047 sq ft rentable area @ £44.06 per sq ft
• 122 bedrooms and 386 sq ft meeting room area
Cromwell
Mike Watters
36 Document name and description here 36 Redefine International P.L.C.
Cromwell
• Record operating profit for FY2014 of A$102.4m
• FY2014 EPS guidance of 8.3 cents (+8.8%)
• FY2014 DPS guidance of 7.5 cents (+3.4%)
• Gearing reduced to 46% LTV
• A$641m of acquisitions provide significant opportunities
• Recent ASX 200 inclusion
• Opportunity to expand funds management
• Redefine Group to maintain a 25% - 30% shareholding
Cromwell has delivered exceptional income and
capital growth and remains well positioned to
outperform their A-REIT peer group
28%
25%
23%
20%
3% Queensland
£5.3m
Victoria £4.7m
ACT £4.4m
New South Wales £3.8m
Other £0.6m
Gross rental income
Notes:
(1) Cromwell data reflects share of underlying Cromwell portfolio as at 28 February 2013
37 Document name and description here 37 Redefine International P.L.C.
0.00
0.20
0.40
0.60
0.80
1.00
1.20
1.40
Dec 2
009
Jan
2010
Fe
b 2
010
Ma
r 20
10
Ap
r 201
0
Ma
y 2
010
Jun
2010
Jul 2010
Au
g 2
010
Se
p 2
010
Oct 201
0
Nov 2
010
Dec 2
010
Jan
2011
Fe
b 2
011
Ma
r 20
11
Ap
r 201
1
Ma
y 2
011
Jun
2011
Jul 2011
Au
g 2
011
Se
p 2
011
Oct 201
1
Nov 2
011
Dec 2
011
Jan
2012
Fe
b 2
012
Ma
r 20
12
Ap
r 201
2
Ma
y 2
012
Jun
2012
Jul 2012
Au
g 2
012
Se
p 2
012
Oct 201
2
Nov 2
012
Dec 2
012
Jan
2013
Fe
b 2
013
Ma
r 20
13
Ap
r 201
3
Ma
y 2
013
Jun
2013
Jul 2013
Au
g 2
013
Cro
mw
ell
Sh
are
Pri
ce
AU
D
Cromwell Cromwell (GBP) ASX 200 Closing
Cromwell
• Identified as an undercapitalised company at the bottom of the cycle with a strong management team
• Provided strategic support as a cornerstone shareholder and underwriter to raise growth capital
• Remain a strategic shareholder (13.7%) together with parent company (12.4%)
Initial acquisition
of 12.97% at
$0.70
Sale of 84.5m
securities between
$0.90 and $0.94
Supported placement
and rights issue at
$0.72 – $0.75
Supported rights
issue at $0.71
Supported
entitlement offer
at $0.68
Supported
capital raising at
$0.79
• Share price (AUD) +40.5% since entry
• Share price (GBP) +49.2% since entry
Share price of $1.04 as at 6 September 2013
Financials
39 Document name and description here 39 Redefine International P.L.C.
HY2013 results highlights
• Successful £127.5m capital raise and improved capital structure
• Improvements in key operating metrics
• Distributable EPS ahead of post capital raising consensus
• Distributable earnings delivered off a substantially stronger capital base
• Investment of capital raising proceeds yet to be fully reflected
Notes:
(1) Excluding the Delta portfolio
• EPS figures reflect 962,855,467 ordinary shares outstanding as at 28 February 2013 following the capital raise
Operating HY2013 FY2012 Change
Occupancy (by area) 95.9% 95.5% + 0.4 ppt
Indexation 58.4% 52.0% + 6.4 ppt
WAULT(1)
(years) 8.5 8.6 (0.1)
Income HY2013 HY2012 Change
Distributable earnings (£m) 14.4 12.9 + 11.6%
Distributable EPS 1.50 2.23 (32.7%)
Dividend per share 1.475 2.10 (29.8%)
Financial Position HY2013 FY2012 Change
Adjusted NAV per share 40.29 36.41 +10.7%
Group LTV 51.2% 81.7% (30.5) ppt
40 Document name and description here 40 Redefine International P.L.C.
39.6 40.7
211.6
76.3
72.3
12.1
47.8
275.9
FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023+
Debt maturity profile (£m)
Debt position
• Group LTV reduced to 51.2% (43.6% excluding the Delta facility)
• See through LTV including share of JVs reduced to 61.9% (56.0% excluding the Delta facility)
• Debt maturity profile significantly enhanced to 8.2 years (excluding the Delta facility)
• Weighted average interest rate reduced to 4.3% (5.0% excluding the Delta facility)
• 99.9% of debt at fixed or capped rates
Note: The Delta facility remains non-recourse to the Group and is subject to an agreed sales process which will be utilised to repay debt
£81.1m remaining
Delta facility to be
sold down
(non-recourse) Discussions
underway to extend
or refinance £173.2m
of debt maturing in
FY2016
41 Document name and description here 41 Redefine International P.L.C.
Lease expiry profile
• Strong income visibility
• Indexation increased to 58.4% of portfolio rental income
• Exposure to regional offices and Government occupiers significantly reduced
3.0 3.9
2.3
4.5
1.8
12.7
1.7 1.6
6.0
35.1
4.1%
5.4%
3.2%
6.2%
2.4%
17.5%
2.3% 2.3%
8.3%
48.3%
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022+
Lease expiry profile Gross income excl. Cromwell and Delta (£m)
UK Stable Income UK Retail Europe Hotels % of total
Note: Rental income reflects 100% of property assets including joint ventures
42 Document name and description here 42 Redefine International P.L.C.
Looking Forward
• Finalise proposed corporate restructuring including inward listing
• Progress conversion to a REIT and management internalisation
• Continue to improve the quality of the portfolio and long-term income security and growth potential
• Selective redevelopment and investment into existing assets to support income growth
• Opportunistic approach to new acquisition opportunities
• Continue to recycle capital across the portfolio into performing sectors
• Manage risks (increasing interest rates, asset price bubbles)
43 Document name and description here 43 Redefine International P.L.C.
Contacts
Mike Watters
Chief Executive Officer, RIPML
t: +44 (0)20 7811 0100
Stephen Oakenfull
Chief Operating Officer, RIPML
t: +44 (0)20 7811 0100
Redefine International P.L.C.
Top Floor, 14 Athol Street
Douglas
Isle of Man IM1 1JA
t: +44(0)1624 689 589
www.redefineinternational.com
Redefine International Property Management
Limited
2nd Floor, 30 Charles II Street
London SW1Y 4AE
t: +44 (0)20 7811 0100
44 Document name and description here 44 Retail Presentation – May 2013
Additional information
45 Document name and description here 45 Redefine International P.L.C.
Business segments – portfolio metrics
Group Hotels
Gross asset value £1,099.4m Gross asset value £150.2m
Gross rent £91.4m Gross rent £11.1m
ERV £87.2m ERV £11.1m
Ave. rent per sq. ft 14.31 Ave. rent per sq. ft 38.6
Net intial yield (%) 7.3 Net intial yield (%) 7.0
Occupancy (by area) 97.0% Occupancy (by area) 100.0%
Total area (sq. ft '000) 6,389 Total area (sq. ft '000) 288
No. of assets 150 No. of assets 7
WAULT 8.5 WAULT 10.3
UK Stable Income Europe
Gross asset value £174.8m Gross asset value £372.6m
Gross rent £14.1m Gross rent £27.0m
ERV £13.0m ERV £23.5m
Ave. rent per sq. ft 9.0 Ave. rent per sq. ft 12.9
Net intial yield (%) 7.5 Net intial yield (%) 6.6
Occupancy (by area) 96.4% Occupancy (by area) 98.6%
Total area (sq. ft '000) 1,562 Total area (sq. ft '000) 2,092
No. of assets 74 No. of assets 37
WAULT 9.2 WAULT 7.1
UK Retail Cromwell Property Group
Gross asset value £226.3m Gross asset value £175.4m
Gross rent £20.5m Gross rent £18.7m
ERV £20.9m ERV n/a
Ave. rent per sq. ft 12.8 Ave. rent per sq. ft n/a
Net intial yield (%) 7.5 Net intial yield (%) 8.4
Occupancy (by area) 95.9% Occupancy (by area) 94.9%
Total area (sq. ft '000) 1,602 Total area (sq. ft '000) 846
No. of assets 6 No. of assets 26
WAULT 11.0 WAULT 6.0
Note: All figures are pro-forma reflecting the portfolio at 28 February 2013 and adjusting for subsequent acquisitions or disposals