SWISS PRIME SITE AG 2023 CAPITAL MARKETS DAY
Z U R I C H , O C T O B E R 2 5 T H 2 0 2 3
W E L C O M E
A warm welcome, we are looking at a diverse programme
9:00
10:15
10:30
11:30
12:00
12:30
14:00
Management Presentations including Q&A Coffee Break
Site Visit Müllerstrasse
Short walk to Jelmoli Building
Site Visit Jelmoli
Lunch at Jelmoli Restaurant Sopra Wrap up
2023 CAPITAL MARKETS DAY | 2 |
Agenda
- STRATEGIC UPDATE
- PORTFOLIO & PIPELINE
- ASSET MANAGEMENT
- FINANCE
- SUSTAINABILITY
2023 CAPITAL MARKETS DAY | 3 |
S T R A T E G I C U P D A T E
Strong operating environment continues
Transactions | Lettings | Valuations |
- Momentum in transaction market continues to increase, albeit still at lower levels
- Larger transactions and continuously more institutional buyers in the market
- Portfolio optimization continues to be the key driver; no distressed or forced sellers in the market
- Sale prices still above estimated fair values
- Increasingly strong demand for central locations and high quality
- Current market evidence
- Positive outlook from surveys
- Increasing demand for larger connected space in CBD areas
- Interest in both long-term rental agreements (unchanged 10 years) and short-term (e.g. FlexOffice)
- Trend of undersupply continues especially in Zurich (lower construction activity and fewer building permits)
- Downside from discount rate effects expected to continue
- Negative discount rate effects typically across main use types and locations; positive effects on individual properties
- General valuation uplift from developments
- Upside effects will persist
- Indexation
- Active portfolio management
- Reversion
- Vacancy reductions
2023 CAPITAL MARKETS DAY | 4 |
S T R A T E G I C U P D A T E
We have achieved a lot over the last 12 months…
Strategic
Portfolio
Financials
- Jelmoli Repositioning
- Wincasa sold at CHF 146 m profit
- Growth in Assets under Management
- CHF 340 m assets sold at profit
- Rent growth through successful lettings and indexation
- Key projects delivered to plan
- CHF 3.4 bn refinanced or extended
- Dividend delivered based on stable cashflow
- in a more challenging market environment
2023 CAPITAL MARKETS DAY | 5 |
S T R A T E G I C U P D A T E
Evolving to a pure play Real Estate company
Earnings profile
2018 | Today | 2025 target |
20% | ~20% | ||||||
33% | |||||||
45% | 7% | − Repositioning of | |||||
− Sale of Tertianum | ~80% | ||||||
(CHF 204 m profit) | 73% | Jelmoli | |||||
11% | − Sale of Wincasa | − Asset management | |||||
10% | |||||||
(CHF 146 m profit) | growth | ||||||
1% | |||||||
Rental Income & Development | Asset Management | Property | Retail | Assisted Living | |||
Management |
∙ Real estate-related activities for | ∙ Focus on investment and development of | |
diversification | real estate - with own and third-party | |
funds | ||
- Expansion of asset management
- Further growth in own portfolio through developments
Note: 2018 shows turnover distribution for the entire 2018 financial year, Today shows the first half-year of 2023, and 2025 is an illustrative representation of the expected turnovers of the future.
2023 CAPITAL MARKETS DAY | 6 |
S T R A T E G I C U P D A T E
The transformation over the last few year implies…
Less Operational Risk | 0% of earnings from «operations» |
Less Financial Risk | <40% LTV |
Premier Asset Quality | 80%+ rated Most Prime |
Higher Efficiency | <20% cost ratio |
2023 CAPITAL MARKETS DAY | 7 |
S T R A T E G I C U P D A T E
Our platform strategy strives in the current environment
Property Portfolio | Asset Management | ||
CHF 13.1 bn | 5%+ | CHF 8.2 bn | 25%+ |
Investment Properties | Return on Equity | ||
AuM | Return on Equity | ||
We have OUTPERFORMANCE CATALYSTS…
Active Asset Management | Development Expertise | Access to Capital |
…and the scale to overcome HIGHER HURDELS | ||
Sustainability standards | Building regulations | Reporting requirements |
2023 CAPITAL MARKETS DAY | 8 |
S T R A T E G I C U P D A T E
Strategic priorities for our two Business Pillars
One Platform
Property Portfolio
- Rent growth
- Indexation
- Vacancy reduction
- Reversion
- Strategic landmark projects
- Jelmoli, Zurich
- Maag, Zurich
- Grand Passage, Geneva
- Cost efficiency
› Maximize synergies
Asset Management
- Gain market share
- Broaden investor base
- Seize pipeline opportunities
- Partnerships (contribution-in-kind,co-investment)
2023 CAPITAL MARKETS DAY | 9 |
Agenda
- STRATEGIC UPDATE
- PORTFOLIO & PIPELINE
- ASSET MANAGEMENT
- FINANCE
- SUSTAINABILITY
2023 CAPITAL MARKETS DAY | 10 |
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
Swiss Prime Site AG published this content on 25 October 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 25 October 2023 05:18:06 UTC.
