Results Presentation. October 2013

Transcription

1 Results Presentation October 2013

2 Contents Page Highlights and corporate restructuring 3-5 Financial results 6-12 Portfolio review Recent acquisitions Asset management Looking forward Additional information Document Redefine International name and P.L.C. description here 2

3 Highlights Strong set of financial results Distributable earnings of 3.11 pence per share Adjusted NAV up 6.2% to pence per share Total shareholder return of 58.9% Portfolio quality enhanced through asset management, sales and new acquisitions Acquisition of three high quality German shopping centres for million Contracts for acquisition of Weston Favell Shopping Centre exchanged for 84.0 million post period end at an accretive 7.2% yield Portfolio occupancy improved to 97.3% (February 2013: 95.9%) Positive restructuring of Aviva debt secured against the UK retail portfolio Pro-forma Group LTV reduced to 56.8% Legacy issues largely resolved Rationalisation of shareholding structure achieved Proposed conversion to a UK-REIT and management internalisation well advanced Document Redefine International name and P.L.C. description here 3

4 Corporate restructuring Successful secondary listing on the JSE Unbundling of intermediate shareholding structure approved Removal of the pyramid structure expected to increase liquidity and tradability of Redefine International shares Removes the duplication of certain Group costs Increase in free float Pre Restructuring RIN minorities RIN (JSE) Redefine Properties Limited (JSE) 52.2% 47.8% LSE Minorities 61.8% 34.7% Wider geographical spread of shareholders Single large supportive shareholder in Redefine Properties Limited RDI (LSE) 3.5% Announcement on proposed REIT conversion and internalisation expected in early November 2013 Post Restructuring Redefine Properties Limited (JSE) RDI Minorities (UK & SA) 33.0% 67.0% RDI (LSE & JSE) Note: (1) Shareholding as at 28 October 2013 Document Redefine International name and P.L.C. description here 4

5 Corporate objectives Short Term Intermediate shareholding structure removed, inward listing on JSE completed REIT conversion Manco internalisation Senior management appointments Index inclusion (FTSE All share, FTSE 250 and EPRA) Medium Term Further reduce cost of capital Sustainable distribution growth of CPI +1% to +2% p.a. compound Share rating based on a sustainable dividend yield Relevant player in UK listed market Long Term Alternative sources of flexible and cost efficient capital Global player with Redefine Properties Document Redefine International name and P.L.C. description here 5

6 FY2013 Results Stephen Oakenfull

7 FY2013 results highlights Operating FY2013 FY2012 Change Occupancy (by area) 97.3% 95.5% ppt Indexation 51.2% 52.0% ppt WAULT (years) Income FY2013 FY2012 Change Distributable earnings ( m) % Distributable EPS (1) (29.3%) Dividend per share (29.3%) Financial Position FY2013 FY2012 Change Adjusted NAV per share % Group LTV 60.4% 81.7% (21.3) ppt Pro-forma LTV 56.8% n/a Total shareholder return 58.9% (16.2%) n/a Improved earnings delivered from a stronger financial position Increase in full year Adjusted NAV Operating environment showing signs of growth Notes: (1) Distributable EPS reflects the additional 388.5m ordinary shares in issue during the year (after taking into account the 9 for 10 consolidation) (2) Pro-forma LTV reflects the Aviva restructuring announced post year end (3) Total shareholder return as measured by Datastream Document Redefine International name and P.L.C. description here 7

8 Earnings available for distribution Gross rental income Operating expenses Income from associates and joint ventures (2) 1.65 Income from new investments (3) Fee & other income Admin. expenses 0.44 Investment management fee 0.21 Noncontrolling interest 0.20 Net finance charges Tax & FX loss 0.19 Distributable EPS UK Stable Income, 37.5% UK Retail, 20.0% Europe, 16.9% Hotels, 25.6% Notes: (1) Distributable EPS reflects the additional 388.5m ordinary shares in issue during the year (after taking into account the 9 for 10 consolidation) (2) Includes all Cromwell distributions received for the year (3) Relates to CMC earnings from 1 June 2013 Document Redefine International name and P.L.C. description here 8

9 Portfolio valuation Portfolio valuations stabilised, up 0.9% excluding non core assets Exposure to regional office assets reduced to 11.6% (1) of portfolio as planned UK Retail values supported by successful leasing and asset management strategies No economic impact from valuation changes in non-core assets Portfolio valuation movement m Proportion of portfolio by value Market value 31 August 2013 Valuation movement H2 UK Stable Income 18.3% (1.0%) UK Retail 21.1% % Hotels 18.2% % Europe 15.4% % Total like-for-like portfolio 72.9% % Acquisitions (2) 18.9% % Total investment portfolio 91.8% % Non-core assets (3) 8.2% 67.5 (8.9%) Total portfolio 100.0% (0.2%) Notes: (1) Reflects percentage of portfolio (including share of jointly controlled entities) by market value but excluding non-core assets (2) Reflects CMC transaction (part of European portfolio) (3) Non-core assets include the Delta portfolio (held for sale) and the ICC Criminal Court in the Hague Document Redefine International name and P.L.C. description here 9

10 Adjusted NAV per share Pro-forma (1) Adjusted NAV (Aug 2012) EPRA NAV (Aug 2012) +6.2% Impact of capital raise Portfolio revaluation Distributable EPS 3.11 Cromwell market value adj. Dividends Other items (2) EPRA NAV (Feb 2013) Nonrecourse and residual debt adjustments 8.23 Adjusted NAV (Aug 2013) Notes: (1) August 2012 Adjusted NAV per share of pence adjusted for the issuance of 490,384,616 new ordinary shares at 26 pence per share and the subsequent 9 for 10 share consolidation (2) Other items include 16.4m related to the gain on the write-off of VBG debt on restructuring and a performance fee accrual of ( 6.4m) in relation to the Investment Adviser s Agreement (3) Following the reduction in shareholding to 13.7%, Cromwell is now accounted for at market value which was previously an adjustment to EPRA NAV (4) All figures are per share reflecting the fully diluted number of shares of 1,017,158 shares as at 31 August 2013 Document Redefine International name and P.L.C. description here 10

11 Debt position Pro-forma (1) Group LTV reduced to 56.8% Pro-forma see through LTV including share of JVs reduced to 57.6% Pro-forma debt maturity profile significantly enhanced to 9.0 years Weighted average interest rate of 4.59% 99.9% of debt at fixed or capped rates Debt maturity profile ( m) 18.2m Hague facility conditional extension to m remaining Delta facility to be sold down (non-recourse) Planned extensions or refinancing of 2016 maturities already underway: St George s: 40.5m Hotels 85.9m Cromwell: 37.7m Ingolstadt: 11.4m Zeta: 37.7m FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 Notes: (1) Pro-forma figures include the impact of the Aviva restructuring post year end and excludes the non-recourse Delta and Hague facilities Document Redefine International name and P.L.C. description here

12 Aviva restructuring Debt facilities restructured to provide long-term sustainable funding Debt against West Orchards repaid in cash at current market value of the property ( 37.0m) Debt against Grand Arcade to be reduced by c50% to 73.0 million in return for 7.0m cash payment Redefine International to assume 100% ownership but Aviva will participate in 50% of Grand Arcade s net income and capital growth Option to acquire Aviva s 50% profit share for a maximum of 18.5m in five instalments Restructuring summary ( m) Property Value NIY Cash payment Debt Cost of debt Annual interest charge Interest reduction Old New Old New Wigan % % (2.0) Coventry % % (1.7) Total % (3.8) Notes: (1) Contracts were exchanged on the Aviva restructuring post year end Document Redefine International name and P.L.C. description here 12

13 Portfolio review Bahnhof Altona, Hamburg

14 Portfolio overview UK Stable Income UK Retail Hotels Europe Government-let offices, motor trade and roadside services, retail and residential units 73 properties 7.5% net initial yield Key occupiers include UK Government, Kwik-Fit and Malthurst Regionally dominant shopping centres and convenience retail parks 6 properties (1) 7.0% net initial yield Key occupiers include Debenhams, BHS & ASDA Note: (1) excl. Weston Favell Seven London-based budget hotels The hotels are let to Redefine Hotel Management Ltd on a fixed rental basis with annual reviews 7.0% net initial yield Branded under Holiday Inn, Holiday Inn Express and Crowne Plaza Properties located in Germany, Switzerland and the Netherlands. The portfolio comprises shopping centres, discount supermarkets and government-let offices 36 properties 6.4% net initial yield Key occupiers include Primark, VBG, Aldi, Rewe & Lidl PFS 7.7% Kwik Fit 5.5% Gross rental income ( m) Other 6.6% 15.3 Gov. 80.1% Harrow 29.5% Crewe 5.9% Gross rental income ( m) Seaham 10.1% Birch'wd 17.8% 1.9 Wigan 23.7% Coventry 13.1% Gross rental income ( m) Reading 9.4% Greater London 90.6% Swiss 7.7% Gross rental income ( m) NLD 10.5% German 81.7% Document Redefine International name and P.L.C. description here 14

15 Lease expiry profile Expiries by gross income excl. Cromwell and Delta ( m) % UK Stable Income UK Retail Hotels Europe % of total 8.5% 2.6m relates to Hamburg of which over 1.0m is already under negotiation 8.0% 6.3% 6.4% 6.3% Hague ( 1.9m) expected to be extended to % 4.2% 5.4% 5.0% % FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024+ Note: Rental income reflects Group s share of jointly controlled entities Document Redefine International name and P.L.C. description here 15

16 UK Stable Income Market Improving occupier market with regional office take-up strengthening Stronger investment market conditions Valuations stabilising or improving in major regional centres Performance Occupancy up to 97.8% reducing operating costs Portfolio value down by 1.0% Government-let offices reduced to 11.6% of portfolio Strong investment and occupier fundamentals for Southbank offices Strategy 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 Document Redefine International name and P.L.C. description here 16

17 UK Retail Market Consumer related economic indicators improving Retailer administrations reduced significantly Real rental growth limited Investor demand for good quality secondary shopping centres up sharply Performance Portfolio valuation increased 2.9% in second half of the year Marginal decline in occupancy by 0.9% to 95% largely due to recently completed units 14 new leases totalling 47,500 sq ft completed in Q4 vs 5,000 sq ft of expiries or break options during the same period Strategy Continued focus on income and occupancy protection Capital expenditure projects at Birchwood and Harrow to enhance asset quality and value largely complete Capital expenditure programmes at Coventry and Weston Favell initiated Rebranding of centres and development of additional sources of income Document Redefine International name and P.L.C. description here 17

18 Hotels Market Olympic effect out of the way Analysts forecasting 2.0% RevPar growth in 2014 in London Occupancies holding at historically high levels Regional trends behind London Performance Solid performance following slow Jan/Feb 2013 Very strong fourth financial quarter Average occupancy of 83.1% in line with FY2012 Current trading is encouraging for FY2014 Strategy Focus to remain on branded, limited service hotels in Greater London Capital expenditure and refurbishment programme ongoing Capitalise on management expertise Exposure to be limited to 15% - 20% of total assets Document Redefine International name and P.L.C. description here 18

19 Cromwell Market Economy subject to weaker Chinese activity Australian Dollar declined c15% against Sterling in the second half of FY2013 Potential bounce from recently elected Government Performance Record operating profit of AUD 102.4m Distribution increased by 3.6% to 7.25 cents Net gearing reduced to 46% LTV Occupancy maintained at 96% Distribution guidance of 7.5 cents for FY2014 Strategy Co-ordinate strategy with Redefine Properties Liquid currency if required for deal making Positive diversification Document Redefine International name and P.L.C. description here 19

20 Europe Market Germany and Switzerland remain relative safe havens Investment volumes continue to rise Increasing risk appetite Cost effective debt available for good quality assets Performance Occupancies steady at 98.6% Valuations increased 1.3% in Sterling terms Successful sales of smaller non-core assets Strategy Enhance income security through lease extensions and indexation Deliver asset management opportunities from CMC acquisition Sale of smaller non-core assets Document Redefine International name and P.L.C. description here 20

21 European portfolio update European portfolio increased to 34.3% of directly property portfolio following the CMC acquisition Acquisition activity to remain opportunistic but likely to focus on retail Attractive bank funding driving down cost of capital and enabling investment into growth assets Offices 17.6% Discount supermarkets 21.4% European portfolio by gross rental income DIY stores 10.1% Shopping centres 50.9% Document Redefine International name and P.L.C. description here 21

22 Overview of recent acquisitions Schloss Shopping Centre, Berlin

23 Overview of CMC acquisition Three high quality retail assets located in the core German investment markets of Berlin, Hamburg and Ingolstadt Delivering on strategy to enhance the quality of the portfolio Portfolio valued at 189.0m reflecting a net initial yield of 5.5% 140.8m of stapled debt at a weighted average all-in interest cost of 3.12% p.a. Initial yield on equity in excess of 12.0% Consideration of 48.2m to be settled in cash (at an effective discount of c4.0%) or shares at an effective issue price of 40.0p Asset management opportunities to drive both income and capital value growth Acquisition of property owning companies - significant saving on transaction costs Document Redefine International name and P.L.C. description here 23

24 Schloss Shopping Centre, Berlin Prime shopping centre, recently redeveloped and located in an established retail location with strong transport links Primark introduced in 2012 and has seen exceptional trading since opening Opportunities to drive rents from improved footfall and turnover as well as through advertising and commercialisation Acquisition value: 93.0 Gross rental income: 5.0m Net initial yield: 5.2% WAULT: 7.1 years Indexation: 99.07% Key tenants: Stapled debt: Primark, REWE, dm, Toys R Us, Cyberport 72.0m Cost of debt: 2.94% Debt maturity: August 2017 Occupancy: 99% Document Redefine International name and P.L.C. description here 24

25 Bahnhof Altona Shopping Centre, Hamburg Established retail location, integrally linked to the Altona train station S-Bahn transport network Significant surrounding development including up to 3,500 new residential units and concept in-town IKEA store Asset management opportunities available to enhance tenant mix and create additional retail space Acquisition value: Gross rental income: 72.5m 4.4m Net initial yield: 5.8% WAULT: 3.6 years Indexation: 94.9% Key tenants: Stapled debt: Lidl, Media Markt, McDonalds, Rossman 55.5m Cost of debt: 3.68% Debt maturity: February 2020 Occupancy: 100% Document Redefine International name and P.L.C. description here 25

26 City Arkaden Shopping Mall, Ingolstadt Prominent location in one of Ingolstadt's prime retail streets Affluent retail catchment with purchasing power significantly above the German average Well advanced opportunity to re-position the centre as an institutional quality core retail asset Acquisition value: Gross rental income: 23.5m 1.6m Net initial yield: 5.5% WAULT: 5.1 years Indexation: 99.7% Key tenants: Stapled debt: Cost of debt: H&M, Thalia 13.3m 1.15% above 3 month Euribor Debt maturity: June 2016 Occupancy: 87% Document Redefine International name and P.L.C. description here 26

27 Weston Favell Shopping Centre, Northampton Centre dominates the wider catchment area Lack of supermarket competition in the northeast of Northampton Tesco accounts for 53% of the net passing rent Acquisition value: Net rental income: 84.0m 6.4m Net initial yield: 7.2% WAULT: Indexation: Key tenants: Debt: Cost of debt: 9.4 years Tesco lease linked to RPI Tesco 50.0m c 5.7% p.a. Debt maturity: November 2038 Occupancy: 97.8% Document Redefine International name and P.L.C. description here 27

28 Asset management Holiday Inn Express, Southwark

29 Harrow residential conversion Marketing process complete, preferred partner selected Strategy to recycle capital into income producing investments Maintain exposure to rising residential market through overage provisions Document Redefine International name and P.L.C. description here 29

30 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 Document Redefine International name and P.L.C. description here 30

31 St George s, Harrow Letting and asset management strategy successfully implemented Tenants investing in own stores alongside investment in the centre Retailers reporting increased footfall and turnover Nando s: 82,000 p.a (3,491 sq ft) on a new 20 year lease Frankie & Benny s: 102,480 p.a (4,270 sq ft) on a new 25 year lease with a tenant only break at year 15 H&M: 175,000 p.a (7,786 sq ft) on a 10 year lease with a tenant only break at year seven Pizza Express: 79,300 p.a (2,859 sq ft) on a new 25 year lease with a tenant only break at year 15 Vue, Prezzo, McDonalds and TK Maxx units comprehensively refurbished Document Redefine International name and P.L.C. description here 31

32 Looking Forward Mike Watters

33 Looking Forward Corporate restructuring largely complete Internationally recognised corporate and management structure to attract a wider investment audience Board and management to be strengthened Focus now firmly on assets and new opportunities Continue to improve the quality of the portfolio and long-term income security and growth potential Opportunities to diversify sources of funding and reduce cost of capital allowing investment into better quality assets 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) Document Redefine International name and P.L.C. description here 33

34 Contacts Mike Watters Chief Executive Officer, RIPML t: +44 (0) e: Redefine International P.L.C. Top Floor, 14 Athol Street Douglas Isle of Man IM1 1JA t: +44(0) Stephen Oakenfull Chief Operating Officer, RIPML t: +44 (0) e: Redefine International Property Management Limited 2nd Floor, 30 Charles II Street London SW1Y 4AE t: +44 (0) Document Redefine International name and P.L.C. description here 34

35 Additional information Schloss Shopping Centre, Berlin

36 Property portfolio metrics Portfolio Analysis Total portfolio proportionately consolidated % of portfolio by market value Market value 31 August 2013 Properties Area (m 2 ) Annualised rental income Gross estimated market rental value Net initial yield Weighted average lease length Voids (by ERV) Voids (by lettable area) UK Stable Income Portfolio 18.3% 151,214, ,800 12,056,154 9,886, % % 2.2% UK Retail Portfolio 21.1% 174,560, ,686 14,364,275 15,730, % % 5.0% Hotels 18.2% 150,300, ,744 11,100,000 11,100, % % 0.0% Europe 34.3% 284,405, ,572 16,244,502 16,106, % % 1.4% Total (excl. non-core portoflio) 91.8% 760,480, ,802 53,764,932 52,823, % % 2.7% Non-core portoflio 8.2% 67,522, ,770 8,960,068 16,480, % % 2.4% Total (incl. non-core assets) 100.0% 828,002, ,572 62,724,999 69,304, % % 2.7% Document Redefine International name and P.L.C. description here 36

37 Property portfolio metrics (cont.) Portfolio Analysis Consolidated portfolio % Ow nership (effective) Market value 31 August 2013 Properties Area (m 2 ) Annualised rental income Gross estimated market rental value Net initial yield Weighted average lease length Voids (by ERV) Voids (by lettable area) UK Stable Income Portfolio Office 100.0% 100,000, ,477 8,258,081 6,026, % % 3.9% Kw ik Fit Portfolio 100.0% 14,995, ,870 1,057,411 1,016, % % 0.0% Petrol Filling Stations 100.0% 20,970, ,802 1,477,058 1,477, % % 0.0% Total UK Stable Income Portfolio 135,965, ,149 10,792,550 8,520, % % 1.8% UK Retail Portfolio Birchw ood, Warrington 100.0% 30,020, ,290 2,560,256 2,929, % % 8.3% St Georges, Harrow 100.0% 59,750, ,312 4,231,020 4,601, % % 2.4% Byron Place, Seaham 100.0% 17,860, ,719 1,456,471 1,532, % % 4.3% Crew e 100.0% 9,360, , , , % % 5.9% Total UK Retail Portfolio 116,990, ,244 9,088,587 10,021, % % 5.9% Hotels Brentford Lock 71.0% 25,300, ,673 1,870,000 1,870, % % 0.0% Southw ark 71.0% 22,600, ,181 1,500,000 1,500, % % 0.0% Limehouse 71.0% 24,700, ,747 1,800,000 1,800, % % 0.0% Royal Docks 71.0% 22,600, ,561 1,615,000 1,615, % % 0.0% Park Royal 71.0% 16,150, ,565 1,175,000 1,175, % % 0.0% Reading 71.0% 12,500, ,163 1,040,000 1,040, % % 0.0% Earls Court 42.6% 26,450, ,854 2,100,000 2,100, % % 0.0% Total Hotel Portfolio 150,300, ,744 11,100,000 11,100, % % 0.0% Europe Schloss Centre, Berlin 100.0% 75,938, ,026 4,260,037 4,324, % % 1.0% Bahnhoff Altona, Hamburg 100.0% 61,433, ,513 3,729,280 3,581, % % 0.0% City Arkaden, Ingolstadt 100.0% 19,197, ,391 1,259,121 1,308, % % 12.9% Ciref Berlin / German portfolio 96.0% 18,950, ,996 1,774,069 1,690, % % 0.2% Bremen / Lindenhoff 77.7% 5,895, , , , % % 0.0% Sw iss portfolio 100.0% 21,443, ,018 1,403,634 1,480, % % 0.0% OBI portfolio 48.0% 18,617, ,388 1,446,763 1,396, % % 0.0% Total European Portfolio 221,477, ,500 14,361,807 14,239, % % 1.7% Wholly ow ned portfolio 624,732, ,636 45,342,944 43,880, % % 2.7% Document Redefine International name and P.L.C. description here 37

38 Property portfolio metrics (cont.) JVs and subsidiaries proportionate share Market value 31 August 2013 Properties Area (m2) Annualised rental income Gross estimated market rental value Net initial yield Weighted average lease length Voids (by ERV) Voids (by lettable area) UK Stable Income Portfolio 15,249, ,652 1,263,605 1,366, % % 10.6% UK Retail Portfolio 57,570, ,442 5,275,689 5,709, % % 2.8% Europe 62,928, ,072 1,882,695 1,867, % % 0.3% Total share 135,747, ,166 8,421,988 8,942, % % 2.6% Total portfolio 760,480, ,802 53,764,932 52,823, % % 2.7% Non core portfolio Delta 100.0% 55,150, ,892 7,047,056 4,108, % % 3.0% Hague 100.0% 12,372, ,878 1,913,012 12,372, % % 0.0% Total non core portfolio 67,522, ,770 8,960,068 16,480, % % 2.4% Document Redefine International name and P.L.C. description here 38

39 Jointly controlled entities JVs and jointly controlled entities % Ow nership Market value 31 August 2013 Properties Area (m2) Annualised rental income Gross estimated market rental value Net initial yield Weighted average lease length Voids (by ERV) Voids (by lettable area) UK Stable Income JV and subs Churchill Court 25.0% 11,300, ,813 1,473,058 1,795, % % 24.5% Pearl House, Sw ansea 50.0% 1,449, , , % % 0.0% The Esplanade, Jersey 50.0% 23,400, ,514 1,630,600 1,630, % % 0.0% Total 36,149, ,210 3,263,738 3,630, % % 10.6% UK Retail Portfolio JVs and subs Grand Arcade, Wigan 50.0% 77,740, ,353 6,797,473 7,091, % % 2.8% West Orchards, Coventry 50.0% 37,400, ,530 3,753,904 4,327, % % 2.8% Total UK Retail Portfolio 115,140, ,883 10,551,377 11,418, % % 2.8% Europe Waldkraiburg 48.5% 8,489, , , , % % 0.0% Kaiserlautern 48.5% 5,383, , , , % % 0.0% Hucklehoven 48.5% 9,803, , , , % % 0.0% Premium 48.0% 27,841, ,780 2,141,814 2,143, % % 1.0% Retail sub-total 51,518, ,706 3,905,016 3,872, % % 0.6% VBG portfolio 49.0% 77,730, ,316 6,522,877 3,508, % % 0.0% Total Europe 129,249, ,021 10,427,894 7,381, % % 0.3% Total 280,538, ,115 24,243,009 22,430, % % 2.2% Note: (1) Figures are shown as 100%. Ownership % included in table (2) Annualised rental income reflects gross rents less headlease payments Document Redefine International name and P.L.C. description here 39

40 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024+ FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024+ FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024+ FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024+ Segmental lease expiry profiles UK Stable Income Gross rent ( m) 4.1 UK Retail Gross rent ( m) Hotels Gross rent ( m) 11.1 Europe Gross rent ( m) Document Redefine International name and P.L.C. description here 40

41 Analysis of debt facilities Group Debt Analysis (on balance sheet) % Ow nership (effective) Principal 31 August 2013 Weighted average interest rate (%) Debt Facilities JVs and jointly controlled entities % Ow nership Principal 31 August 2013 Weighted average interest rate (%) UK Stable Income Portfolio Office 100.0% 43,779, % Kw ik Fit Portfolio 100.0% 10,734, % Petrol Filling Stations 100.0% 9,026, % Total UK Stable Income Portfolio 63,540, % UK Retail Portfolio Birchw ood, Warrington 100.0% 29,150, % St Georges, Harrow 100.0% 40,537, % Byron Place, Seaham 100.0% 16,749, % Total UK Retail Portfolio 86,437, % Hotels Holiday Inn Portfolio 71.0% 73,543, % Earls Court 42.6% 12,359, % Total Hotel Portfolio 85,903, % Europe Schloss Centre, Berlin 100.0% 61,433, % Bahnhoff Altona, Hamburg 100.0% 47,303, % City Arkaden, Ingolstadt 100.0% 11,357, % Ciref Berlin / German portfolio 96.0% 18,211, % Bremen / Lindenhoff 77.7% 4,015, % Sw iss portfolio 100.0% 11,927, % OBI portfolio 48.0% 13,465, % Total European Portfolio 167,714, % Cromw ell 100.0% 34,522, % Total core debt 438,118, % UK Stable Income JV and subs Churchill Court 25.00% 9,780, % Pearl House, Sw ansea 50.00% 1,269, % The Esplanade, Jersey 50.00% 20,055, % Total UK Stable Income 31,104, % UK Retail Portfolio JVs and subs Grand Arcade, Wigan 50.00% 144,240, % West Orchards, Coventry 50.00% 18,635, % Total UK Retail Portfolio 162,875, % Europe Waldkraiburg 48.47% 5,714, % Kaiserlautern 48.47% 3,559, % Hucklehoven 48.47% 6,690, % Premium 48.00% 21,950, % Retail sub-total 37,914, % VBG portfolio 49.00% 48,549, % Total Europe 86,464, % Total 280,443, % Notes: Figures reflect 100% Effective shareholding shown under % ownership Non core debt Delta & The Hague 100.0% 97,370, % Total debt 535,488, % Document Redefine International name and P.L.C. description here 41

42 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 Document Redefine International name and P.L.C. description here 42

43 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 Document Redefine International name and P.L.C. description here 43

44 UK Retail portfolio (cont.) Weston Favell Shopping Centre, Northampton Valued at 84.0 million 307,763 sq ft Tesco, Wilkinsons, Boots and New Look Edge of Town Note: Weston Favell does not yet form part of the portfolio. Contracts were exchanged to acquire the centre post year end. Document Redefine International name and P.L.C. description here 44

45 Hotel portfolio Holiday Inn Brentford Lock Valued at 25 million 61,064 sq ft rentable 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 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 per sq ft 150 bedrooms and sq ft meeting room area Document Redefine International name and P.L.C. description here 45

46 Hotel portfolio (cont.) Holiday Inn Express Southwark Valued at 16.4 million 38,373 sq ft rentable per sq ft 88 bedrooms Holiday Inn Express Park Royal Valued at 24.0 million 61,860 sq ft rentable 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 per sq ft 136 bedrooms and 190 sq ft meeting room area Document Redefine International name and P.L.C. description here 46

47 Hotel portfolio (cont.) Crowne Plaza, Reading Valued at 11.9 million 34,047 sq ft rentable per sq ft 122 bedrooms and 386 sq ft meeting room area Document Redefine International name and P.L.C. description here 47

48 Dec 2009 Jan 2010 Feb 2010 Mar 2010 Apr 2010 May 2010 Jun 2010 Jul 2010 Aug 2010 Sep 2010 Oct 2010 Nov 2010 Dec 2010 Jan 2011 Feb 2011 Mar 2011 Apr 2011 May 2011 Jun 2011 Jul 2011 Aug 2011 Sep 2011 Oct 2011 Nov 2011 Dec 2011 Jan 2012 Feb 2012 Mar 2012 Apr 2012 May 2012 Jun 2012 Jul 2012 Aug 2012 Sep 2012 Oct 2012 Nov 2012 Dec 2012 Jan 2013 Feb 2013 Mar 2013 Apr 2013 May 2013 Jun 2013 Jul 2013 Aug 2013 Cromwell Share Price AUD 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 Shareholding reduced to 13.7% 1.40 Cromwell Cromwell (GBP) ASX 200 Closing Share price (AUD) +39.9% since entry Share price (GBP) +45.2% since entry 1.20 Initial acquisition of 12.97% at $0.70 Supported rights issue at $0.71 Share price of $1.035 as at 30 August 2013 Supported capital raising at $ Supported placement and rights issue at $0.72 $0.75 Supported entitlement offer at $0.68 Sale of 84.5m securities between $0.90 and $ Document Redefine International name and P.L.C. description here 48

49 Aug 2012 Sep 2012 Oct 2012 Nov 2012 Dec 2012 Jan 2013 Feb 2013 Mar 2013 Apr 2013 May 2013 Jun 2013 Jul 2013 Aug 2013 Sep 2013 Oct 2013 Share price (pence) Relative share price performance Redefine International FTSE All Share FTSE 250 FTSE 350 Real Estate 75.2% % % % Source: Bloomberg Document Redefine International name and P.L.C. description here 49