Icade Sa · EURONEXT:ICAD
Icade Sa — Investor Day (November 2021)
82 slides from Icade Sa's investor day presentation, Nov 29, 2021
Slide 1: Icade well on track for 2022 and beyond
FRESK Paris 15th district/ Issy-les-Moulineaux Investor Day – November 29th, 2021 ICADE WELL ON TRACK FOR 2022 AND BEYOND DESIGNING, BUILDING, MANAGING AND INVESTING in cities, neighbourhoods and buildings that are innovative, diverse, inclusive and connected with a reduced carbon footprint. Desirab
Slide 2: Disclaimer
DISCLAIMER This presentation is not an offer or an invitation to sell or exchange securities, or a recommendation to subscribe, buy or sell Icade securities. Distribution of this document may be restricted in certain countries by legislation or regulations. As a result, any person who comes into pos
Slide 3: Agenda
Introduction 1 Post COVID-19 crisis: What have we delivered? 2 Office: Creating value in the post COVID-19 world 3 Healthcare: Growing investment pipeline & liquidity AGENDA 4 Property Development: Growth roadmap 5 Low-carbon strategy: How to accelerate? 6 Financial roadmap Conclusion ICADE WELL ON
Slide 4: Introduction
Introduction ORIGINE Nanterre, Hauts-de-Seine ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 4
Slide 5: Chairman's introduction
INTRODUCTION CHAIRMAN’S INTRODUCTION Happy to see you again! The COVID-19 crisis may not be over: Icade is more than resilient Icade’s board & main shareholders are fully supportive Board is revisiting yearly the strategy to adapt to any changes in the market environment ICADE WELL ON TRACK FOR 2022
Slide 6: Post COVID-19 crisis: What have we delivered?
LAMARTINE Post COVID-19 crisis: 1 Villejuif, Val-de-Marne What have we delivered? ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 6
Slide 7: CEO's introduction
1. POST COVID-19: WHAT HAVE WE DELIVERED? CEO’S INTRODUCTION I confirm: it’s nice to see you again! COVID-19 crisis: what have been the impacts, delays? More interesting: where are the opportunities? Current strategic plan: do we need any further changes? What is our medium-term outlook? ICADE WELL
Slide 8: Icade current strategic plan (Nov. 2020)
1. POST COVID-19: WHAT HAVE WE DELIVERED? 1. ICADE CURRENT STRATEGIC PLAN (NOV. 2020) Resumption of asset A revised Funding Property rotation, development pipeline Icade Santé Investment liquidity of Icade with more pre- Santé commitments LTV ratio Property A potential for residential development on
Slide 9: 2021: What did we achieve? (1/2)
1. POST COVID-19: WHAT HAVE WE DELIVERED? 2. 2021: WHAT DID WE ACHIEVE? (1/2) Office Property Investment Healthcare Property Investment A record year in terms Steady GRI growth of new leased space(1) €239m as of September 2021, +6.6% (+0.5% LFL) • 217,000 sq.m: total floor area of new leases YTD inc
Slide 10: 2021: What did we achieve? (2/2)
1. POST COVID-19: WHAT HAVE WE DELIVERED? 2. 2021: WHAT DID WE ACHIEVE? (2/2) Property Development CSR Financial items Strong business momentum Low-carbon strategy 2021 NCCF expected in Q3 2021 ramping up to return to 2019 level • Economic revenue up c.+55% to €776m (+31% vs. Q3 2019) Carbon footpri
Slide 11: 2021 priorities well on track
1. POST COVID-19: WHAT HAVE WE DELIVERED? 2021 PRIORITIES WELL ON TRACK First 11 months in line with the execution of the strategic plan Guidance increased in July • Disposal plan carried out as scheduled Up ≈+6%, excluding impact 2021 Group Office • Replenished & more secured development pipeline N
Slide 12: Office: Creating value in the post COVID-19 world
Office: Creating value PULSE 2 Aubervilliers, Seine-Daint-Denis in the post COVID-19 world ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 12
Slide 13: A recovering market favourable to high-quality assets
2. OFFICE: CREATING VALUE IN THE POST COVID-19 WORLD – OFFICE MARKET A RECOVERING MARKET FAVOURABLE TO HIGH-QUALITY ASSETS… 2021 expected take-up Transactions are back Paris Region Office Market Take-up is picking-up 1.7m sq.m ≈50 75% with new standards +20% vs. 2020 Expected transactions >5,000 sqm
Slide 14: Icade office leasing activity: 2021, a very strong year
2. OFFICE: CREATING VALUE IN THE POST COVID-19 WORLD – OFFICE MARKET ICADE OFFICE LEASING ACTIVITY: 2021, A VERY STRONG YEAR A record year in terms of new leased A strong asset management activity space (over the past 5 years) >140,000 sq.m 217,000 sq.m total floor area of leases signed or renewed Y
Slide 15: Asset rotation: Icade active & successful
2. OFFICE: CREATING VALUE IN A POST COVID-19 WORLD – ASSET ROTATION ASSET ROTATION: ICADE ACTIVE & SUCCESSFUL A successful disposal plan, investor appetite confirmed Opportunistic Value Add investments €507m €243m Total YTD 2021 disposals Initial investment (€45m under preliminary agreement) 100% le
Slide 16: Portfolio rotation: a strong five-year track record
2. OFFICE: CREATING VALUE IN A POST COVID-19 WORLD – ASSET ROTATION PORTFOLIO ROTATION: A STRONG FIVE-YEAR TRACK RECORD €3.0bn in cumulative disposals since 2016, Disposals completed on average 12% above appraised value fully reinvested in the portfolio (acquisitions & developments) Difference betwe
Slide 17: Office development pipeline: refueled up to c.€2bn
2. OFFICE: CREATING VALUE IN A POST COVID-19 WORLD – DEVELOPMENT PIPELINE OFFICE DEVELOPMENT PIPELINE: REFUELED UP TO c.€2bn, ADAPTED TO NEW MARKET ENVIRONMENT €2.5bn €2.4bn • A sound track record: Opportunistic €2.2bn 23 projects completed since Q4 €2.2bn €1.9bn 2016 (€1.8bn total investment) €1.8b
Slide 18: An attractive pipeline: significant potential for value creation
2. OFFICE: CREATING VALUE IN A POST COVID-19 WORLD – DEVELOPMENT PIPELINE AN ATTRACTIVE PIPELINE: A SIGNIFICANT POTENTIAL FOR VALUE CREATION NOT STARTED COMMITTED TOTAL Expected headline rent per year (Annualized, €m) #projects 8 6 14 33 Investment(1) €0.8bn €0.3bn €1.1bn 70% Pre-let Estimated value
Slide 19: 4 completions in 2021: pre-let at 80%
2. OFFICE: CREATING VALUE IN THE POST COVID-19 WORLD – DEVELOPMENT PIPELINE 4 COMPLETIONS IN 2021(1): PRE-LET AT 80%, HIGHEST TECHNICAL & ENVIRONMENTAL STANDARDS ORIGINE – Nanterre (Hauts-de-Seine) 65,000 sqm 4 >115,000 Occupancy rate: 79% (tenant: Technip Energies) Certifications: HQE Excellent, LE
Slide 20: Business case #1 - Fresk
2. OFFICE: CREATING VALUE IN THE POST COVID-19 WORLD – FRESK BUSINESS CASE BUSINESS CASE #1 - FRESK: VALUE CREATION IN PARIS 15 / ISSY-LES-MOULINEAUX Refurbishment with creation of additional rental space Works Before refurbishment After refurbishment Q4 2016 Q4 2018 Q1 2019 Q4 2021 Acquisition of P
Slide 21: Business case #2 - Edenn
2. OFFICE: CREATING VALUE IN THE POST COVID-19 WORLD – EDENN BUSINESS CASE BUSINESS CASE #2 - EDENN: VALUE CREATION AT LES TERRASSES DE NANTERRE Redevelopment of Defense 2 into EDENN, with rental space doubled Works Current Future Q4 2018 Q3 2021 Q4 2021 Q3 2022 Q2 2025 Beginning Departure of last A
Slide 22: Business case #3 - Icade land bank
2. OFFICE: CREATING VALUE IN THE POST COVID-19 WORLD – USING LANDBANK FOR RESIDENTIAL DEVELOPMENT BUSINESS CASE #3 – ICADE LAND BANK: SIGNIFICANT POTENTIAL FOR VALUE CREATION Leveraging our land bank(1) Synergy toward urban M Life project in Marseille regeneration in Euromed Epinay-sur-Seine • Part
Slide 23: Office conclusion
2. OFFICE: CREATING VALUE IN THE POST COVID-19 WORLD – CONCLUSION OFFICE CONCLUSION Office letting market is recovering, rents are close to stable Liquidity for core office buildings is very strong and will continue to be Development projects continue to deliver high level of value creation Combinin
Slide 24: Healthcare: Growing investment pipeline & liquidity
Healthcare: Growing investment CHAMPIGNY – MCO FACILITY 3 Val-de-Marne pipeline & liquidity ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 24
Slide 25: Healthcare property market: more than attractive!
AMBRUSSUM POST ACUTE CARE FACILITY Lunel, Clinipole 3.1. Healthcare Property Market: more than attractive! ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 25
Slide 26: Very favourable investment dynamics
3.1. HEALTHCARE PROPERTY MARKET: MORE THAN ATTRACTIVE! VERY FAVOURABLE INVESTMENT DYNAMICS… A resilient market fuelled Ageing population across Europe by favourable demographic trends x2.0 220 Population > 70 years old – base 100 • Sound demographic fundamentals: x1.8 ageing population across Europe
Slide 27: Sustained activity in Icade Santé's four priority markets
3.1. HEALTHCARE PROPERTY MARKET: MORE THAN ATTRACTIVE! SUSTAINED ACTIVITY IN ICADE SANTÉ’S FOUR PRIORITY MARKETS Average €3.5bn annual investment recorded across our 4 countries over 2016-2020 Yields are compressing across Europe Total investment volume (market data) (1) 4.9 • France: stable volumes
Slide 28: Healthcare: further delivering growth
Healthcare: further CLINIQUE DU PARC Castelnau, Clinipole 3.2. delivering growth ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 28
Slide 29: Extensive in-house capacity to source, analyse & execute deals
3.2. HEALTHCARE: FURTHER DELIVERING GROWTH GROWTH: EXTENSIVE IN-HOUSE CAPACITY TO SOURCE, ANALYSE & EXECUTE DEALS DEDICATED SOURCING, EXECUTION AND FINANCING ORGANIZATION WITH PROVEN TRACK RECORD STRATEGIC DIALOGUE WITH OPERATORS & INVESTORS Xavier Cheval Marc Nguyen Dinh Guillaume Tessler Helga Cam
Slide 30: Continuous investment roll out in Europe in 2021
3.2. HEALTHCARE: FURTHER DELIVERING GROWTH CONTINUOUS INVESTMENT ROLL OUT IN EUROPE IN 2021 As of November 25, 2021 • Acquisitions: 25 assets for €362m(1) • Greenfield projects for €97m c.€510m (7 facilities under agreement or development) Breakdown of 2021 acquisitions and greenfield projects of in
Slide 31: Significant and attractive investment pipeline, 100% pre-let
3.2. HEALTHCARE: FURTHER DELIVERING GROWTH A SIGNIFICANT & ATTRACTIVE INVESTMENT PIPELINE, 100% PRE-LET As of November 25, 2021 27 projects 1 facility of which 7 new projects signed in 2021 • International (3/4)(1) Total amount of €430m • Long term care c.70% 11 facilities Of which c.€97m signed in
Slide 32: 2021 deals: growth strategy in Europe (1/2)
3.2. HEALTHCARE: FURTHER DELIVERING GROWTH 2021 DEALS: FULLY REFLECTING OUR GROWTH STRATEGY IN EUROPE (1/2) ENHANCED LONG-TERM RELATIONSHIPS WITH OUR TENANTS DIVERSIFYING OUR TENANT BASE ABROAD 4th transaction with KOS, the leading nursing home operator in Italy First transaction with La Villa Group
Slide 33: 2021 deals: growth strategy in Europe (2/2)
3.2. HEALTHCARE: FURTHER DELIVERING GROWTH 2021 DEALS: FULLY REFLECTING OUR GROWTH STRATEGY IN EUROPE (2/2) ENTERING SPAIN, THE 4th MOST POPULATED EUROZONE COUNTRY EXPANDING INTO THE FRENCH NON-FOR-PROFIT SEGMENT Acquisition of the real estate of a private not-for-profit hospital First transactions
Slide 34: 2021: Investment estimate full year
2.2. HEALTHCARE: FURTHER DELIVERING GROWTH 2021: INVESTMENT ESTIMATE FULL YEAR c.€500m Total estimated investment cash out in 2021(1) + c.€100m New greenfield projects signed in 2021 with expected cash out from 2022 on Acute Care Facility - Santé Atlantique • Above our 2021 guidance of €450m – €500m
Slide 35: Liquidity: moving forward
Liquidity: EHPAD SANREMO (KOS) Italy 3.3. moving forward ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 35
Slide 36: A strong medium-term growth outlook
3.3. LIQUIDITY: MOVING FORWARD A STRONG MEDIUM-TERM GROWTH OUTLOOK As of 30 As of June 2021 25 November 2021 72% international(1) Pipeline under control and launched €489m €430m 69% long-term care Acquisitions under exclusivity 74% international and framework agreements €350m €400m 41% long-term car
Slide 37: Financing the growth: learnings from the postponed IPO
3.3. LIQUIDITY: MOVING FORWARD FINANCING THE GROWTH: LEARNINGS FROM THE POSTPONED IPO June 7 Sept. 10 Sept. 21 Sept. 30 Oct. 6 Soft Intention ITF and approval Decision Order book covered Decision to Float of Registration of shareholders (c.€1bn at 115 €/s.) to postpone IPO: Document by the to launch
Slide 38: Healthcare conclusion
3. HEALTHCARE: GROWING INVESTMENT PIPELINE & LIQUIDITY – CONCLUSION HEALTHCARE CONCLUSION Continuous commitment to growing the healthcare business with a confirmed €3bn investment objective over 2021-2025 Our goal: the European leadership of the asset class Building on Icade Santé’s expertise, stron
Slide 39: Property Development: Growth roadmap
BLUE DOCK Property Development: 4 Vannes, Morbihan Growth roadmap ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 39
Slide 40: Residential market insight: demand remains strong
4. PROPERTY DEVELOPMENT: GROWTH ROADMAP RESIDENTIAL MARKET INSIGHT: DEMAND REMAINS STRONG, IN A NEW ENVIRONMENT A still challenging environment New post COVID-19 • Increased time required to obtain building permits especially customer expectations: since the 2020 municipal elections • Preference for
Slide 41: 2021 figures: Icade Promotion outperforms the market
4. PROPERTY DEVELOPMENT: GROWTH ROADMAP 2021 FIGURES: ICADE PROMOTION OUTPERFORMS THE MARKET Economic revenue At end of September 2021 +55% +31% A solid recovery reflected in Icade Promotion’s performance Change Change vs. Q3 2020 vs. Q3 2019 Housing orders Market data At end of June 2021 -12% Marke
Slide 42: Icade Promotion: a growing supply despite a challenging environment
4. PROPERTY DEVELOPMENT: GROWTH ROADMAP ICADE PROMOTION: A GROWING SUPPLY DESPITE A CHALLENGING ENVIRONMENT Market data +1.8% +35% Building Permits (BP) BP obtained over 1 year BP obtained over 1 year Icade Promotion: at the end of September 2021 at the end of September 2021 vs. September 2019 vs. S
Slide 43: Higher cost price cushioned by increasing sales prices
4. PROPERTY DEVELOPMENT: GROWTH ROADMAP HIGHER COST PRICE CUSHIONED BY STILL INCREASING SALES PRICES Indices of construction costs and prices in Q2 2021 Apartment sale price(1) Index rebased to 100 in 2015 In €/sq.m ICP-F +3.3% 4 800 ICC +4.4% 120 4 700 +3.5% 115 4 600 110 4 500 4,402 4 400 4,326 10
Slide 44: Icade Promotion roadmap on track: growth trajectory by 2025 confirmed
4. PROPERTY DEVELOPMENT: GROWTH ROADMAP ICADE PROMOTION ROADMAP ON TRACK: GROWTH TRAJECTORY BY 2025 CONFIRMED Financial Roadmap (by 2025) €1.4bn 7% revenue margin Strong identified drivers 1 2 3 Capitalising on the local network Continued contribution Diversification of the offer: 21 branches throug
Slide 45: Business case #1: Neuilly
4. PROPERTY DEVELOPMENT: GROWTH ROADMAP BUSINESS CASE #1: NEUILLY CONVERSION OF A COMMERCIAL BUILDING INTO HOUSING 1 2 3 4 January 2022 February 2022 January 2023 July 2025 Building permit filing Acquisition of the Start of Work Completion commercial building by IP 164 €210m Housing units Expected t
Slide 46: Business case #2: Equinove
4. PROPERTY DEVELOPMENT: GROWTH ROADMAP BUSINESS CASE #2: EQUINOVE POTENTIAL CONVERSION OF OFFICES INTO HOUSING 1 2 Value add acquisition by the Office Property division Potential redevelopment into housing in the medium term, in Q2 2021 in synergy with Icade Promotion(1) Exemple of a potential proj
Slide 47: Property Development: conclusion
4. PROPERTY DEVELOPMENT: GROWTH ROADMAP PROPERTY DEVELOPMENT: CONCLUSION Solid fundamentals in a supportive environment sustained recovery to continue Icade Promotion’s forward indicators well oriented (controlled land portfolio and backlog) Total expected potential revenue(1): €7.0bn in the five co
Slide 48: Low-carbon strategy: how to accelerate?
Low-carbon strategy: QUARTIER GALLY 5 Versailles, Yvelines how to accelerate? ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 48
Slide 49: Our low-carbon strategy ramped up in February 2021
5. LOW-CARBON STRATEGY: HOW TO ACCELERATE? OUR LOW-CARBON STRATEGY RAMPED UP IN FEBRUARY 2021 PROPERTY DEVELOPMENT Facilitate funding: 100% of offices over 5,000 sq.m and 50% of homes A Climate Fund with €2.5m to obtain the E+C- label with an E2C1 rating in 2022(1) OFFICE INVESTMENT -45% reduction i
Slide 50: Icade reduced its carbon footprint in 2020
5. LOW-CARBON STRATEGY: HOW TO ACCELERATE? ICADE REDUCED ITS CARBON FOOTPRINT IN 2020: -18% vs. 2019 Icade’s total emissions in 2020(1) OFFICE INVESTMENT 7% of CO2 emissions from energy consumption by office tenants and building construction(2) Scopes 1, 2 and 3 HEALTHCARE INVESTMENT PROPERTY DEVELO
Slide 51: Our business lines have achieved concrete results
5. LOW-CARBON STRATEGY: HOW TO ACCELERATE? OUR 3 BUSINESS LINES HAVE ACHIEVED CONCRETE RESULTS Icade strongly reduced its carbon intensity OFFICE INVESTMENT (in kg CO2/sq.m/year) between 2015 and 2020 -40% HEALTHCARE INVESTMENT -27% ORIGINE – Nanterre WOOD ART – Toulouse PROPERTY DEVELOPMENT Both pr
Slide 52: Office: already aligned with a 1.5°C pathway
5. LOW-CARBON STRATEGY: HOW TO ACCELERATE? OFFICE: ALREADY ALIGNED WITH A 1.5°C PATHWAY -45% -40% Goal of reducing the carbon intensity of buildings Reduction in CO2 emissions between 2015 and 2025 between 2015 and 2020 Measures taken: significant investments €55m between 2017 and 2021 C.€100m betwe
Slide 53: Icade Santé committed to a low-carbon strategy with tenants
5. LOW-CARBON STRATEGY: HOW TO ACCELERATE? ICADE SANTÉ COMMITTED TO A LOW-CARBON STRATEGY WITH TENANTS -27% Case Study BELLERIVE-SUR-ALLIER Reduction in CO2 emissions between 2015 and 2020 (bordering Vichy) • Vefa acquired in October 2021 Defining more ambitious energy • A 5,360-sq.m, 110-bed nursin
Slide 54: Icade Promotion: ramp up low-carbon construction
5. LOW-CARBON STRATEGY: HOW TO ACCELERATE? ICADE PROMOTION: RAMP UP LOW-CARBON CONSTRUCTION Measures taken: -14% • Carbon impact assessment performed during the design phase for 100% of projects since Tangible achievements Reduction in CO2 emissions between 2015 and 2020 January 1st, 2021 • Low-carb
Slide 55: A CSR policy recognised by ESG rating agencies
5. (AN LOW-CARBON A SAMPLE BASIS) STRATEGY: HOW TO ACCELERATE? A CSR POLICY RECOGNISED BY ESG RATING AGENCIES… CLIMATE CHANGE NON-SPECIALISED REAL ESTATE Ranked 3rd out of 440 listed real estate companies worldwide “Sector leader” status in the category of listed diversified companies Score: 7.3/100
Slide 56: And news magazine Le Point
5. (AN LOW-CARBON A SAMPLE BASIS) STRATEGY: HOW TO ACCELERATE? AND NEWS MAGAZINE LE POINT… Icade attractiveness reinforced! ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 56
Slide 57: Conclusion: low-carbon strategy
5. LOW-CARBON STRATEGY: HOW TO ACCELERATE? CONCLUSION LOW-CARBON STRATEGY Carbon intensity/sq.m significantly reduced across our 3 business lines and anticipation of upcoming French and European regulations The 2022–2025 low-carbon investment plan will allow Icade to remain a low-carbon best-in-clas
Slide 58: Financial roadmap
ORIGINE (Nanterre, Hauts-de-Seine 6 Financial roadmap ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 58
Slide 59: Icade: a strong diversified business model
6. FINANCIAL ROADMAP ICADE: A STRONG DIVERSIFIED BUSINESS MODEL… A resilient NCCF A stable LTV ratio In €/share 6 45,0% 5,5 40,0% 5 40.1% 39.8% 38.0% 4,5 35,0% 2018 2019 2020 2021e 2019 2020 H1 2021 2021e Only one year to get back to pre-crisis level Strong balance sheet, limited impact of crisis on
Slide 60: A business model dedicated to growth and value creation
6. FINANCIAL ROADMAP A BUSINESS MODEL DEDICATED TO GROWTH AND VALUE CREATION… Since 2019 Since 2019 • 15 completions: value creation Offices of c.€450m Dynamics of the 3 business lines • Value add acquisitions: c.€370m financed by: • Office disposals: €1.6bn • Capital increases in Icade Santé: Inves
Slide 61: Financing & LTV: details by business line
6. FINANCIAL ROADMAP FINANCING & LTV: DETAILS BY BUSINESS LINE As of June 2021 Icade Icade A coherent split of the LTV ratio in line In €bn Group Santé Icade with the risk profile of each business line Debt 6.5 2.2 4.3 GAV 15.6 6.4 9.9 €9.9bn: GAV excluding value of Icade Santé... LTV ... albeit par
Slide 62: A sound and sustainable financial structure
6. FINANCIAL ROADMAP A SOUND AND SUSTAINABLE FINANCIAL STRUCTURE TO SUPPORT OUR ROADMAP Average debt Average cost of debt: A conservative hedging policy: maturity: >6 years 1.35% >95% in 2021; >80% over the next 3 years (as of June 30, 2021) (at an all-time low as of June 30, 2021) relevant in the c
Slide 63: Dynamic and attractive financial targets for each business line
6. FINANCIAL ROADMAP DYNAMIC AND ATTRACTIVE FINANCIAL TARGETS FOR EACH BUSINESS LINE Office Healthcare Property Development Investment Division Investment Division Division • Disposal plan: ≈€500m/€600m per year 2021/2025 growth ambition Roadmap by 2025 • Opportunistic acquisitions and €3.0bn • Reve
Slide 64: Conclusion
Conclusion PDP Aubervilliers, Seine-Saint-Denis ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 64
Slide 65: Short-term outlook: FY 2021 guidance raised
CONCLUSION SHORT-TERM OUTLOOK: FY 2021 GUIDANCE RAISED Guidance announced on February 22, 2021 Updated guidance as of July 2021 2nd Updated Guidance(1) Up ≈+6%, excluding Up ≈+8%, excluding 2021 Group Up ≈+3%, excluding impact of 2021 disposals impact of 2021 disposals NCCF impact of 2021 per share
Slide 66: Conclusion
CONCLUSION CONCLUSION Icade businesses are more than resilient: FY 2021 guidance raised once again Each business line has a clear roadmap, integrating the new challenges of the post COVID-19 environment CSR and our low-carbon strategy will contribute to the performance to be delivered by Icade in th
Slide 67: Q&A
FRESK Issy-les-Moulineaux, Hauts-de-Seine Q&A ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 67
Slide 68: Appendices
Appendices PROJET ÔM ZAC LÉON BLUM (Issy-les-Moulineaux, Hauts-de-Seine) ICADE WELL ON TRACK FOR 2022 AND BEYOND INVESTOR DAY - NOVEMBER 29TH, 2021 68
Slide 69: After 2020, take-up is picking up with new standards
APPENDICES – OFFICE MARKET AFTER 2020, TAKE-UP IS PICKING UP WITH NEW STANDARDS A rebound of take-up backed Where is the office market by enhanced macro-economic perspectives most active so far? TAKE-UP IS GRADUALLY RECOVERING LARGE TRANSACTIONS ARE BACK (ALBEIT A BIT SMALLER) Take-up in million sqm
Slide 70: Headline rents for the highest quality assets are resilient
APPENDICES – OFFICE MARKET HEADLINE RENTS FOR THE HIGHEST QUALITATIVE ASSETS – SUCH AS ICADE’S – ARE RESILIENT Paris CBD Q3 ‘21 vs. Q1 ’20 Prime rent €915 psqm +6% La Défense Q3 ‘21 vs. Q1 ’20 Avg rent (new) €824 psqm +5% Prime rent €545 psqm +3% Incentives 17% +6 pps Avg rent (new) €493 psqm +4% Va
Slide 71: Lyon and Marseille: two very dynamic regional markets
APPENDICES – OFFICE MARKET LYON AND MARSEILLE: TWO VERY DYNAMIC REGIONAL MARKETS FOR ICADE Lyon 5% of Office revenues A swift return to the long-term level of take-up for the main regional market Marseille with A resilient office market limited new supply in EuroMed 2% of Office revenues • Take-up i
Slide 72: Investments in France remain solid and attractive
APPENDICES – OFFICE MARKET INVESTMENTS IN FRANCE REMAIN SOLID AND ATTRACTIVE Lower volumes in range with pre-COVID-19 years Direct Real Estate Investments in France (Commercial Real Estate, € bn) 1 €15bn invested over 9 months, down by 17% over a year mostly because of Q1 (pre vs. post COVID-19) Q1
Slide 73: Business case #4 - M Factory
APPENDICES – ICADE OFFICE INVESTMENT STRATEGY BUSINESS CASE #4 - M FACTORY: VALUE CREATION IN THE HEART OF MARSEILLE EUROMED Construction of a new office building on a land reserve and residential development in group synergy Works Q4 2017 Q1 2021 Q3 2021 Q4 2021 Q3 2023 Acquisition Planning Disposa
Slide 74: Development pipeline as of September 30, 2021
APPENDICES – ICADE OFFICE INVESTMENT STRATEGY DEVELOPMENT PIPELINE AS OF SEPTEMBER 30, 2021 Remaining to be Rental invested Property Estimated date Floor area income Cost(2) > Q3 2021 Project name Location Type of works In progress type of completion (sq.m) (€m) YoC(1) (€m) (€m) Pre-let FRESK Southe
Slide 75: Detailed pipeline of committed and fully pre-let projects
APPENDICES – ICADE SANTÉ DETAILED PIPELINE OF COMMITTED AND FULLY PRE-LET PROJECTS Total Remaining investment (1) to be invested Type Operator Region/town (€m) (€m) Completion 430 344 France 173 95 12 1 Le Parc polyclinic Extension Caen 21 1 2022 2 Saint-Charles PAC facility Extension SISIO La-Roche
Slide 76: Low-carbon, a top priority
APPENDICES – LOW-CARBON STRATEGY LOW-CARBON, A TOP PRIORITY… A The critical A priority global role of the Tightening for our issue real estate regulations stakeholders industry Keeping global temperatures from rising more than 2°C, 25% Éco Énergie Tertiaire, France’s energy efficiency initiative Fre
Slide 77: Increasingly stringent regulations
APPENDICES – LOW-CARBON STRATEGY INCREASINGLY STRINGENT REGULATIONS Éco Énergie National Tertiaire, French 2020 Low-Carbon France’s energy environmental Strategy efficiency initiative regulations (April 2020) for service sector properties Carbon neutrality goal for Reduce the energy • Carbon footpri
Slide 78: A clear strategy: from measurement to offsetting
APPENDICES – LOW-CARBON STRATEGY A CLEAR STRATEGY: FROM MEASUREMENT TO OFFSETTING, THROUGH HIGHER GOALS FOR EACH BUSINESS LINE Measure our Avoid/reduce emissions to move A continuous 1 carbon footprint 2 towards a 1.5°C pathway 3 improvement process Healthcare Investment Office Investment and Corpor
Slide 79: A climate fund for faster innovation
APPENDICES – LOW-CARBON STRATEGY A CLIMATE FUND FOR FASTER INNOVATION Funds to be allocated: €2.5m starting in 2021 to finance the transition and carbon offsetting • Innovative, sustainable low-carbon solutions that are easily replicable in all of our projects • Supporting our customers and launchin
Slide 80: Stepping up climate cooperation with our customers
APPENDICES – LOW-CARBON STRATEGY STEPPING UP CLIMATE COOPERATION WITH OUR CUSTOMERS Leases with climate criteria: based on COMMITMENT, PARTNERSHIP, ADAPTABILITY & MONITORING A new-generation lease for optimal climate coordination with our tenants Leases with climate criteria provide a framework allo
Slide 81: Icade's contribution to the fight against climate change
APPENDICES – LOW-CARBON STRATEGY ICADE’S CONTRIBUTION TO THE FIGHT AGAINST CLIMATE CHANGE 92,000 tonnes of CO2 financed Focus on Forestry (80%) and agricultural projects (20%) between 2020 and 2025 Le Bois des Petites Icade has got a head start and is already offsetting Charmes its residual emission
Slide 82: Innovation: concrete low-carbon solutions
APPENDICES – LOW-CARBON STRATEGY INNOVATION: CONCRETE LOW-CARBON SOLUTIONS AT EVERY LINK IN THE REAL ESTATE VALUE CHAIN RENOVATION & DESIGN CONSTRUCTION IN-USE REFURBISHMENT OPTIBAT SOLUTIONS Firm specialising in the Prefabricated walls for Passive greywater heat Platform dedicated to the design and