A NEW SCALE 25 July 2019 1 2019 HALF YEAR RESULTS 2 SPEAKERS - PowerPoint PPT Presentation

2019 half-year results A NEW SCALE 25 July 2019 1

2019 HALF YEAR RESULTS 2 SPEAKERS PRESENTATION Hubert RODARIE Thomas GEORGEON Bruno MEYER Chairman Chief Executive Officer Deputy Chief Executive Officer

2019 HALF YEAR RESULTS / SIGNIFICANT STEPS, A CLEAR STRATEGY 3 MAJORS STEPS IN LITTLE TIME REFURBISHMENT RENEWALS DEVELOPMENT TACTICAL ACQUISITION SNCF AND LA POSTE 1st PHASE PARIS BUILDINGS IN LEASES SACLAY NANTERRE AND IN TESSI – SALE & AIX-EN-PROVENCE C. 6% of revenues LEASE BACK OVER 100% PRE LEASED 100% LEASED 6 YEARS SIGNATURE DISPOSAL PLAN ACQUISITION PURCHASE AGREEMENT SURESNES : 1/3 OF 1 BUILDING ON THE IN WORKING THE PREMISES PARK IN BUILDING AND LAND ORDER (vacant since 01/07/19) MARSEILLE RESERVE IN AIX-EN-PROVENCE C. 2% of revenues

2019 HALF YEAR RESULTS / SIGNIFICANT STEPS, A CLEAR STRATEGY 4 TENANTS, THE FOCUS FOR OUR MODEL WELL RENTED, WELL MANAGED Unique expertise Internalized and close management TENANTS ACQUIRE, DEVELOP & ISO RSE LONG TERM HOLD REDEVELOP Pipeline worth 170 M€ under Hold 100% construction or major refurbishment of the assets in the business parks

2019 HALF YEAR RESULTS / SIGNIFICANT STEPS, A CLEAR STRATEGY 5 AT THE DAWN OF A NEW STEP OF GROWTH 2014 2019 Specialise in Greater Paris + Regions with potential  Develop land reserves  Become sole owner on business parks  Expand our Services  PORTFOLIO PORTFOLIO PORTFOLIO +70% +55% 2018 2014 2019 € 1.2bn € 0.7bn € 1.8bn

2019 HALF YEAR RESULTS / SIGNIFICANT STEPS, A CLEAR STRATEGY 6 A PROPERTY PORTFOLIO OF € 1.8BN AS AT 30 JUNE 2019 REGIONS MIxed** WITH 4% GREATER POTENTIAL* OFFICES PARIS 18% OTHERS 86% 10% 72% OTHERS 10% * Aix-Marseille, Bordeaux, ** Mixed Offices / Retail Lille, Lyon, Nantes, Toulouse

2019 HALF YEAR RESULTS / SIGNIFICANT STEPS, A CLEAR STRATEGY 7 CLEAR OBJECTIVES: 80% GREATER PARIS, 100% OFFICES Saint-Germain-en-Laye MT* 2 19 2 objective 80% 3 2 Clamart 2 Élancourt Montigny-le-Bretonneux Number of buildings Tour Eiffel X Greater Paris express 2 Greater Paris express 16 beyond 2030 Les Ulis Corbeil Essonnes * Medium Term

2019 HALF YEAR RESULTS / SIGNIFICANT STEPS, A CLEAR STRATEGY 8 PROJECTS MEETING THE CHALLENGES OF GREATER PARIS NANTERRE SEINE (Park 72 300 m²) Restructuration 6 370 m² COMPLETED, 96% LEASED Small complementary surface areas for the headquarters of the large groups  located in La Défense NANTERRE PRÉFECTURE (Delta building – 14 700 m²) Partial restructuration (5 500 m²) in occupied environment 62% OF COMPLETION 4Q 2019, 55% OCCU ¨ PIED At the foot of the future station of the EOLE line  PIPELINE ON MASSY (Copernic building16 400 m² existing) GREATER 1 st phase 12 600 m² PARIS COMPLETION H2 2019 – 36% PRE-LEASED Typology: SME multi-tenant  Perfect combination of transport / High-speed train line (TGV)  PARIS SACLAY ( Park 17 000 m² existing) 1st phase of 13 800 m² COMPLETION H2 2020 / 100% PRE-LEASED Relocation of R&D companies  Orsay Metro line planned for 2026 

2019 HALF YEAR RESULTS / SIGNIFICANT STEPS, A CLEAR STRATEGY 9 SOLID GROWTH PIPELINES IN THE SHORT… …AND MEDIUM TERM Completions "on track" for projects in 2019, the Strong revenue potential by   majority of which are fully pre-leased exploiting the land reserves Ramp-up in the reletting of vacant assets Acquisition of several assets in Aix-   Marseille Renewals of major leases about to expire (SNCF,  La Poste) Effective and modern renovation of assets 

2019 HALF YEAR RESULTS / SIGNIFICANT STEPS, A CLEAR STRATEGY 10 A WELL ORIENTED MARKET INVESTMENT INVESTMENT Record year in perspective Most dynamic cities: Greater Paris, (€ 34bn in France) Lyon, Lille, Aix/Marseille, Toulouse, Bordeaux, Nantes 75% Greater Paris / 25% Regions TRANSACTIONS RENTS Headlines rents stable H1 down (-19%) particularly on (Timid rise in the Greater Paris large surface areas (-41%) inner rim) Incentives slightly down (from 20 to 18%) Source: BNP PARIBAS

11 AFFINE INTEGRATION: 1 A CHANGE OF SCALE A PIPELINE OF € 170M OF PROJECTS 2 « ON TRACK » SELECTED PROJECTS 3 A DISPOSAL PLAN OF € 190M SERVING THE DEVELOPMENT STRATEGY 4 FINANCIAL COMPONENTS 5 A CLEAR STRATEGY

12 AFFINE INTEGRATION: A CHANGE OF SCALE 1

2019 HALF YEAR RESULTS / 1 / AFFINE INTEGRATION, A CHANGE OF SCALE 13 TOUR EIFFEL: THE 5 th LARGEST LISTED FRENCH MARKET PLAYER IN OFFICE PROPERTY PORTFOLIO : € 1 804 bn REGIONS WITH GREATER PARIS POTENTIAL € 1 298bn € 316 bn NUMBER: 226 buildings 100 buildings 51 buildings 373 351 m² 128 713 m² SURFACE AREA: 756 306 m² EPRA occupancy EPRA occupancy rate rate 86.5% 92.0% Topped-up yield Topped-up yield OCCUPANCY RATE: 84.7 % 4.84% 5.42% YIELD*: 5.11% * EPRA Topped-up

2019 HALF YEAR RESULTS / 1 / AFFINE INTEGRATION, A CHANGE OF SCALE 14 THE CSR AT THE HEART OF THE PERFORMANCE Reduction in the 71% of the 4 th competition carbon footprint of organised by the buildings assets in Greater the company’s foundation Paris certified Objectifve 2030 -40% vs 2013 82% of assets 100% of 100% of employees < 500 m committed to developped from public the internal assets certified transport ethics charter

2019 HALF YEAR RESULTS / 1 / AFFINE INTEGRATION, A CHANGE OF SCALE 15 PICTURES OF ASSETS: GREATER PARIS SOME EXAMPLES Paris – Traversière – 7 800 m² Nanterre – Parc Eiffel – 72 300 m² Puteaux – Linea – 15 800 m²

2019 HALF YEAR RESULTS / 1 / AFFINE INTEGRATION, A CHANGE OF SCALE 16 PICTURES OF ASSETS: GREATER PARIS SOME EXAMPLES Meudon – Green Office – 5 500 m² Vélizy – Topaz – 14 100 m²

2019 HALF YEAR RESULTS / 1 / AFFINE INTEGRATION, A CHANGE OF SCALE 17 PICTURES OF ASSETS: REGIONS WITH POTENTIAL SOME EXAMPLES Aix-en-Provence – Parc du Golf Lyon – Tangram – 6 000 m² 30 300 m²

2019 HALF YEAR RESULTS / 1 / AFFINE INTEGRATION, A CHANGE OF SCALE 18 PICTURES OF ASSETS: REGIONS WITH POTENTIAL SOME EXAMPLES Lille – Lille Europe – 25 000 m² Bordeaux – Jardin des quais – 25 700 m²

2019 HALF YEAR RESULTS / 1 / AFFINE INTEGRATION, A CHANGE OF SCALE 19 A SOLID BASE FOR RENTAL INCOME EPRA TOPPED-UP YIELD OFFICES/MIXED REGIONS WITH POTENTIAL € 104 M 18% annualized OFFICES 6.38% rents 5.42% GREATER 5.11% 4.84% OTHERS PARIS 16% 66% OFFICES WAREHOUSES PARCEL DEPOTS Greater Paris RETAIL Regions with potential LIGHT INDUSTRIAL Other Portfolio

2019 HALF YEAR RESULTS / 1 / AFFINE INTEGRATION, A CHANGE OF SCALE 20 EVOLUTION AND STRUCTURE OF RENTS RENTAL INCOME CHANGE IN €M -0.9 -3.6 +2.6 Affine 16.6 49 48.9 34.4 34.2 28.9 26.1 H1 2015 H1 2016 H1 2017 H1 2018 Disposals Net relettings / Completions / H1 2019 Indexation Acquisitions

2019 HALF YEAR RESULTS / 1 / AFFINE INTEGRATION, A CHANGE OF SCALE 21 STRONG DILUTION IN RENTAL RISK EVOLUTION OF OCCUPANCY RATE 6% CapGemini* La Poste* 6% SNCF* 4% 3.1% Altran* 3% Air Liquide 3% 3.5% Orange* 3% 2% C&S 2% Atos* Ministère de l’intérieur 2% Close to SCI S.A.M 2% Yokogawa 2% 89.7% 650 LEASES Baxter 2% 87.5% 87.5% 85.2% 84.7% 2% Pôle Emploi* NXP 2% 2% Automativ Trw Commune de Corbeil 1% 1% Bourjois/Coty 1% Monuments Nationaux Sogitec 1% Rectorat Versailles 1% INSEEC 1% NXTO 1% 31/12/2015 31/12/2016 31/12/2017 31/12/2018 30/06/2019 WALT WALB 5.0 2.7 50% of rents : first rank Portfolio Impact Suresnes Impact Massy Copernic companies years years (leave Capgemini) (leave GE/Alstom) (*) Multisites No exposition to co-working

2019 HALF YEAR RESULTS / 1 / AFFINE INTEGRATION, A CHANGE OF SCALE 22 TRANSFORMING WORK ON KEY ASSETS Offices Court MASSY COPERNIC SURESNES SEINE ETOILE Cafetaria Hall

23 A PIPELINE OF €170M OF PROJECTS « ON TRACK » 2 SELECTED PROJECTS

2019 HALF YEAR RESULTS / 2 / A PIPELINE OF €170M OF PROJECTS « ON TRACK » 24 MASSY: A STRONG MODULARITY AN OFFER ADAPTED TO ALL TYPE OF COMPANY, FROM SMES TO BIG ONES Campus 1 st phase of EXISTING 12 600 m² under construction 16 400 m² (Lavoisier, Celsius, Pascal, Edison) Operation launched 10/17 Completion scheduled Q3 19 Invest. PIPELINE Certified HQE Excellent € 32.9M Pre-leased at 36% 12 600 m² 2 nd phase of EXCL. PIPELINE 12 000 m² in project 12 000 m² Market. 36% Existing land reserve Expected revenues Copernic € 2.8M Existing building under renovation 16 400 m² Land Reserve

2019 HALF YEAR RESULTS / 2 / A PIPELINE OF €170M OF PROJECTS « ON TRACK » 25 PARC EIFFEL PARIS SACLAY : TOUR EIFFEL, PIONEER DEVELOPER AT THE HEART OF THE FRENCH SILICON VALLEY 300 m from the future Grand Paris station scheduled in 2026 (metro line 18) EXISTING 17 000 m² Occupancy rate: 78% Invest. € 40.9M PIPELINE 13 800 m² Existing land reserve Market. 100% Expected revenues 1 st phase of 13 800 m² € 2.6M Works launched in October 2018 Fully pre-leased Completion scheduled in H2 2020