One United Properties S.A. · BVB:ONE
One United Properties — Investor Presentation (March 2023)
68 slides from One United Properties's investor presentation, March 2023
Slide 1: Investor Presentation March 2023
INVESTOR PRESENTATION March 2023 2023 © ONE UNITED PROPERTIES CONFIDENTIAL DOCUMENT
Slide 2: Disclaimer
DISCLAIMER This presentation is not, and nothing in it should be construed as, an offer, invitation or recommendation in respect of shares issued by One United Properties S.A. (“ONE”), or an offer, invitation or recommendation to sell, or a solicitation of an offer to buy One United Properties shares o
Slide 3: Contents
Contents Executive Summary 1. About One United Properties 2. Portfolio 3. Historical Results Highlights 4. 2022P Results Highlights 5. Management 2023 © ONE UNITED PROPERTIES 3 CONFIDENTIAL DOCUMENT
Slide 4: Executive Summary
EXECUTIVE SUMMARY 2023 © ONE UNITED PROPERTIES CONFIDENTIAL DOCUMENT
Slide 5: One United Properties
One United Properties is a leading green investor and developer of residential, mixed- use and commercial real estate in Bucharest, Romania. One United Properties is an ONE UNITED innovative company dedicated to accelerating the adoption of construction practices for energy-efficient, sustainable, a
Slide 6: ONE Track Record
ONE TRACK RECORD 2022 – FUTURE 2012 – 2018 2019 – 2021 Focus on large to very large High-end and ultra-high- developments end developments Attention to quality & brand recognition Smaller developments First large-scale high-rise Consolidation of the position developments Entry to the office market on
Slide 7: ONE at a Glance
ONE AT A GLANCE Residential segment prospect Construction Planning phase phase GDV €1,478.8m €858.5m No of units 5,692 3,056 Office segment prospect 01.03.2023 Est. by 31.12.2025 Market Value (Gross Asset €425.1m €604.4m1 Value) GLA 136K 195K (1) Calculated for the completion of buildings under deve
Slide 8: Key Financial Data
KEY FINANCIAL DATA Turnover Net profit 1,169 509.7 502.6 1,120 537.4 197.4 396.4 176.9 2019 2020 2021 2022 2019 2020 2021 2022 Sales of residential property Rental income 769.5 76.9 703.3 437.5 147,4 16.5 11.8 1.7 2019 2020 2021 2022 2019 2020 2021 2022 2023 © ONE UNITED PROPERTIES 8 in million CONFI
Slide 9: Key Indicators
KEY INDICATORS Built surface1 – residential (m2) GLA office portfolio (m2) 1,047,000 136,000 101,000 483,000 350,000 47,000 270,000 23,000 2019 2020 2021 2022 2019 2020 2021 2022 Cumulated, includes both finalized and under construction. 1 Apartments sold and pre-sold2 GLA retail portfolio3 (m2) 1,732
Slide 10: ONE Today
ONE TODAY ü Above EU average CAGR of GDP per capita I Attractive Market & Macro Conditions ü Unmatched demand of residential properties amid highest overcrowding within EU-27 Proven business model ü Proven residential development process providing returns and superior margins II delivering superior
Slide 11: 1. About One United Properties
1. ABOUT ONE UNITED PROPERTIES 2023 © ONE UNITED PROPERTIES CONFIDENTIAL DOCUMENT
Slide 12: Key Investment Highlights
KEY INVESTMENT HIGHLIGHTS 1. FAVOURABLE MARKET DYNAMICS FOR RESIDENTIAL SEGMENT Between 2016-2020, Romania’s GDP per capita increased with CAGR of 7.4%, above EU CAGR of 2%. Bucharest-Ilfov region has population of 2.3 million inhabitants and GDP per capita of 164% compared to EU-27 average, making
Slide 13: Track Record of Excellence in Execution; Risk Reduction Through Pre-Sales
4. TRACK RECORD OF EXCELLENCE IN EXECUTION ONE so far developed 8 residential projects with GDV of approx. €300m and 3 office buildings, having won numerous awards both locally and internationally. The developments are distinguishable by the exceptional interior design, made by Lemon Interior Design,
Slide 14: Strategic Keypoints
STRATEGIC One United Properties’ strategy is to invest in premium development opportunities with prospects of sustained returns and to continue leading the high-end residential development sector. The main directions KEYPOINTS of action to achieve this are: • Maintain leadership position in the prim
Slide 15: Residential Timeline
RESIDENTIAL TIMELINE ONE Herastrau ONE Vista Timpuri Noi ONE Modrogan ONE Verdi Park ONE Cotroceni Towers ONE ONE Floreasca City Vista Club ONE ONE Herastrau Floreasca City Towers ONE ONE €51.5 North ONE Cotroceni equity Lofts Downtown Park III & IV raise ONE Plaza ELIADE Athenee Tower ONE Victoriei
Slide 16: Interior Design
INTERIOR DESIGN Superior interior design is at the core of ONE’s business. All of One United Properties developments are distinguishable by the exceptional design, made by Lemon Interior Design. Lemon is a a multi-award-winning interior design and fit-out company based in Bucharest. Lemon received aw
Slide 17: Purpose Statement
PURPOSE STATEMENT One United Properties’ purpose is to improve existing and to build new communities, by developing quality, energy-efficient buildings, as well as to generate long-term value growth for the shareholders. One United Properties has pioneered mixed-use development concept in Romania, b
Slide 18: Sustainability
SUSTAINABILITY One United Properties is a member of Romanian Green Building Council (RGBC), organization promoting environmental responsibility and energy efficiency. All office developments are WELL Health and Safety certified, the most rigorous certification focused on employee wellbeing, as well as hav
Slide 19: Recognition
RECOGNITION Uncompromising quality, commitment to the environment and outstanding design, winning accolades year after year. EUROPEAN EUROPEAN PROPERTY PROPERTY AWARD AWARD 2021 2021 2020 2020 2020 2019 2019 2019 One Tower One Tower One Mircea Eliade One Floreasca City Leader Green Developer of the
Slide 20: ONE on BVB
ONE ON BVB INDICES ANALYST COVERAGE Average daily liquidity in 2022: RON 1 million P/E : 6.7 on 2022 preliminary profit 2022 DivY: 2.5%, paid semi-annually Shareholding structure as of 01.03.2023: MARKET MAKERS Victor Capitanu (through Vinci Ver Free-float Holding) 27.58% 44.84% Andrei Diaconescu (thr
Slide 21: ONE Shares Development in 2022
ONE SHARES DEVELOPMENT IN 2022 2022 In 2022, ONE was the 9th most traded stock on BVB in terms of absolute liquidity and 11th most traded by liquidity to free float. EPS in 2022 was 0,14, representing 15% earnings yield for 2022. The market capitalization as of 31.12.2022 was RON 3.2bn and the compa
Slide 22: 2. Portfolio
2. PORTFOLIO 2023 © ONE UNITED PROPERTIES CONFIDENTIAL DOCUMENT
Slide 23: Group Structure
GROUP STRUCTURE Victor Căpitanu through Vinci VER Holding Andrei Diaconescu through OA Liviu Holding Invest Free-float 27.58% 27.58% 44.84% One United Properties ONE RESIDENTIAL ONE OFFICES OTHER INVESTMENTS OPERATIONAL One Lake District One Long Term One Mircea Eliade One Peninsula One Herăstrău One
Slide 24: Opportunity: Macro Context
OPPORTUNITY: MACRO CONTEXT Macroeconomic outlook influenced by high inflation rates across Bucharest GDP per capita is at EU average level and expected to all CEE countries, while GDP growth remains modest grow by a higher CAGR (8.6% until 2025) Harmonized Index of Consumer Price (%, annual change)
Slide 25: Market Opportunity: Bucharest
Bucharest Metropolitan Area - GDP MARKET OPPORTUNITY: evolution (EUR bn) BUCHAREST 81 88 96 66 73 58 61 For at least 20 years, in various ways, the EU is using funds to foster convergence, 54 transferring funds from the states in the developing and mature markets towards those in the emerging market
Slide 26: Residential Segment - Target
RESIDENTIAL Premium residential developments concentrate around the northern area of SEGMENT - TARGET Bucharest The target clients of One United Properties for the residential segment are: • clients looking for developments located in premium areas of Bucharest (Herăstrău, Floreasca, Primăverii, Dor
Slide 27: Residential Segment - Development
RESIDENTIAL SEGMENT ONE’S RESIDENTIAL DEVELOPMENT PROCESS - DEVELOPMENT Iden5fying the investment opportunity Feasibility analysis and urban and legal due diligence Prior to making a decision to acquire land for development, the management carries out a thorough analysis on the investment Adoption o
Slide 28: Delivered Developments
ONE MAMAIA NORD ONE HERASTRAU PLAZA ONE MIRCEA ELIADE ONE FLOREASCA LAKE ONE CHARLES ONE HERASTRAU TOWERS DE GAULLE DELIVERED DEVELOPMENTS MADRIGALULUI ONE HERASTRAU PARK RESIDENCE 2023 © ONE UNITED PROPERTIES CONFIDENTIAL DOCUMENT
Slide 29: One Herăstrău Towers, One Mamaia Nord, One Mircea Eliade, One Herăstrău Plaza
ONE ONE HERĂSTRĂU TOWERS MAMAIA NORD Phase I Phase II Starting date Oct‘18 Starting date Sep‘18 Q3’22 Completion Date Jan’22 Completion Date Jul‘21 Q4’24 RESI UNITS 147 RESI UNITS 50 86 PP 255 PP 69 148 GBA (sqm) 33,007 GBA (sqm) 8,523 19,800 Saleable (sqm) 21,985 Saleable (sqm) 6,285 10,039 - Apart
Slide 30: One Charles de Gaulle, One Herăstrău Park, Madrigalului, One Floreasca Lake
ONE ONE CHARLES DE GAULLE HERĂSTRĂU PARK Starting date Oct‘15 Starting date Aug‘15 Completion Date Jun‘18 Completion Date May‘17 RESI UNITS 33 RESI UNITS 109 PP 55 PP 155 GBA (sqm) 9,197 GBA (sqm) 27,050 Saleable (sqm) 5,378 Saleable (sqm) 17,806 - Apartments 5,378 - Apartments 17,806 GDV (m) € 22.7
Slide 31: Developments Under Construction & in Pipeline
UNDER CONSTRUCTION & IN PIPELINE DEVELOPMENTS ONE FLOREASCA ONE COTROCENI PARK ONE VISTA VERDI PARK ONE PENINSULA ONE TIMPURI NOI ONE HERASTRAU VISTA ONE LAKE DISTRICT ONE MODROGAN ONE LAKE CLUB 2023 © ONE UNITED PROPERTIES CONFIDENTIAL DOCUMENT
Slide 32: One Timpuri Noi, Floreasca Vista, Verdi Park, Modrogan
ONE ONE TIMPURI NOI FLOREASCA VISTA Starting date Apr‘19 Starting date Q2’20 Scheduled Completion Date 2023 Scheduled Completion Date 2023 RESI UNITS 147 RESI UNITS 63 PP 173 PP 73 GBA (sqm) 18,372 GBA (sqm) 11,719 Saleable (sqm) 14,113 Saleable (sqm) 9,232 - Apartments 13,148 - Apartments 9,232 - C
Slide 33: One Peninsula, Cotroceni Park, Floreasca Towers, Herăstrău Vista
ONE ONE PENINSULA COTROCENI PARK Starting date Oct‘20 Jun‘21 Starting date Scheduled Completion Date Q4’23 Q4’23 Estimated Completion Date RESI UNITS 168 868 RESI UNITS PP 287 1,361 PP GBA (sqm) 52,959 132,978 GBA (sqm) Saleable (sqm) 36,087 82,359 Saleable (sqm) - Apartments 36,087 64,651 - Apartme
Slide 34: One Lake District, Lake Club, High District, North Lofts
ONE LAKE DISTRICT ONE LAKE CLUB Starting date Q2’23 Starting date Jul ’22 Estimated Completion Date Q1’27 Estimated Completion Date Q3’25 RESI UNITS 2,076 RESI UNITS 663 PP 2,614 PP 853 GBA (sqm) 251,663 GBA (sqm) 122,479 Saleable (sqm) 178,047 Saleable (sqm) 59,290 - Apartments 177,068 - Apartments
Slide 35: ONE Victoriei Plaza Eliade Tower
6 5 5 ONE Victoriei Plaza 6 Eliade Tower 2023 © ONE UNITED PROPERTIES 35 CONFIDENTIAL DOCUMENT
Slide 36: Office Segment
OFFICE Building on its residential success, One United Properties entered the office segment in November 2017 through acquisition of One North Gate. ONE focuses on development of Grade A offices, targeting a GLA of 195K sqm by the end of 2025. Out of that, 136K sqm SEGMENT are already finished (One
Slide 37: Office Market – Regional Perspective
OFFICE MARKET – REGIONAL PERSPECTIVE Bucharest provides some of the most attractive office and Main office trends(2) retail yields among main CEE cities Prime yields (%) in Q4 2022 (1) 12 month forecast ü During 2022, a total of 286.1k sqm of office space were rented in 7.75% Sofia Bucharest, a figure
Slide 38: Office Portfolio
OFFICE PORTFOLIO ONE ONE COTROCENI PARK TOWER Phase I Phase II Starting date Sep ‘19 Jun ‘21 Starting date Mar ‘18 Completion Date Dec ‘21 Dec ‘22 Completion Date Dec ‘20 TOTAL GLA 46,252 34,456 TOTAL GLA 24,039 - Offices (sqm) 43,261 32,075 - Offices (sqm) 23,287 - Terraces (sqm) 1,975 2,111 - Terrac
Slide 39: Office & Retail Portfolio
OFFICE & RETAIL PORTFOLIO ONE VICTORIEI PLAZA ELIADE TOWER Acquisition date Oct’22 Acquisition date Jul’22 TOTAL GLA 8,000 TOTAL GLA 12,000 - Offices (sqm) 8,000 - Offices (sqm) 12,000 PP 47 PP 93 BUCUR OBOR ONE GALLERY Starting date Q2’22 Acquisition date Feb ’22 Completion Date Q3’24 RETAIL GLA 26,0
Slide 40: Urban Regeneration Portfolio
URBAN REGENERATION PORTFOLIO 2023 © ONE UNITED PROPERTIES 40 CONFIDENTIAL DOCUMENT
Slide 41: 3. Historical Results Highlights
3. HISTORICAL RESULTS HIGHLIGHTS 2023 © ONE UNITED PROPERTIES CONFIDENTIAL DOCUMENT
Slide 42: Evolution of the Residential Segment
EVOLUTION OF THE RESIDENTIAL SEGMENT 703.3 769.5 41% • The decrease in the number of units sold in 2022 vs 2021 was the result of the lack of 35% 36% available stock throughout most of the year, due to significant delays from authorities in 451.6 445.5 approving the building permits. The 437.5 situa
Slide 43: Evolution of the Commercial Segment
EVOLUTION OF THE 76.9 COMMERCIAL SEGMENT • The rental income became significant as of 2022, following the delivery and the lease out 49.5 of the two major developments of One United Properties, One Tower and One Cotroceni Park Phase 1, as well as acquisition of One Victoriei Plaza in Q3’22 as well as
Slide 44: Global Result
GLOBAL RESULT 612.7 604.4 575.7 Accelerated growth in 2022 with over 4x increase in the key 573.2 • indicators between 2018 and 2022. 509.7 502.6 • Despite a significantly larger scale of business, the administrative costs have grown at tempered pace, increasing in 65% in 2022 versus 2021 (excluding
Slide 45: 4. 2022P Financial Results
4. 2022P FINANCIAL RESULTS 2023 © ONE UNITED PROPERTIES CONFIDENTIAL DOCUMENT
Slide 46: Financial Highlights
FINANCIAL 1,169 HIGHLIGHTS 1,120 +4% 769.5 703.3 +9% 612.7 604.4 573.2 -6% 575.7 -5% 2021 2022 2021 2022 2021 2022 2021 2022 CONSOLIDATED REVENUE FROM CONSOLIDATED GROSS CONSOLIDATED EBITDA TURNOVER RESIDENTIAL SALES PROFIT 2023 © ONE UNITED PROPERTIES 46 CONFIDENTIALin RON m DOCUMENT
Slide 47: Business Highlights: Residential, Office, Retail
BUSINESS HIGHLIGHTS RESIDENTIAL OFFICE RETAIL 599 apartments sold and pre-sold in 9-fold increase in the rental revenue of Acquisition of One Downtown and One 2022. One High District becomes the the commercial segment, driven by One Plaza Athénée as part of the strategy to bestselling development of
Slide 48: Business & Governance Highlights
BUSINESS & GOVERNANCE HIGHLIGHTS Between Q4’22 and Q1’23, One United In February 2023, the Company acquired The unrealized revenues from sales of Properties received permits for One plot of land of 44,863 sqm on Soseaua residential property due to delays in Mamaia Nord 2, One High District, One Prog
Slide 49: Key Financial Figures
KEY FINANCIAL FIGURES 1,169 1,120 +4% The consolidated turnover of One United Properties grew 4% in 2022 compared to 2021, reaching RON 1.2bn. Turnover included revenues from apartment sales (RON 769.5m), rental and tenant services revenues (RON 76.9m), gains from office buildings under development
Slide 50: Key Financial Figures - Residential
KEY FINANCIAL FIGURES - RESIDENTIAL 769.5 703.3 +9% Revenues from residential division increased 9%, reaching RON 769.5m in 2022 vs RON 703.3m in 2021. The net income from residential property increased by 29% YoY, reaching RON 318.9m due to the major developments getting closer to the completion, h
Slide 51: Key Financial Figures - Commercial
KEY FINANCIAL FIGURES - COMMERCIAL The rental income and revenues from services to 76.9 tenants, which includes the income generated by the office as well as retail divisions, registered almost 7-fold increase, reaching RON 76.9m. The effect has been driven by the revenues 49.5 coming from tenants a
Slide 52: Key Financial Figures - EBITDA
KEY FINANCIAL FIGURES - EBITDA Excluding the extraordinary non-cash expense without effect on the equity, the G&A expenses increased 65% in 612.7 2022 vs 2021, driven by larger scale of the business, -6% 575.7 costs related to public listing and capital increase operation expenses. The non-cash SOP a
Slide 53: Assets – Residential
ASSETS – RESIDENTIAL Current assets grew 45%, reaching RON 1.9 billion due to 96% increase in trade receivables due to larger scale of business, up to RON 394.6 million, and a 93% increase in inventories (residential properties), which reached RON 663.3 million Other In Q4’22 versus Q3’22, the inven
Slide 54: Assets – Office, Retail & Landbank
ASSETS – OFFICE, RETAIL & LANDBANK The non-current assets increased 57%, reaching RON 2.3bn, appreciation driven primarily by a 55% increase in investment properties (RON 2.3bn in 2022 vs. RON 1.5bn in 2021), representing the commercial segment and the landbank. Almost all developments included in t
Slide 55: Liabilities
LIABILITIES The increase in the non-current liabilities was driven by a 67% growth of L&B, representing a major part of long-term bank loan amounting to approx. RON 632.4m, which primarily represents the amounts drawn from bank loans in subsidiaries 933.5 OVP, OCP P1 & P2, OT, OVP. 76.9 Commercial s
Slide 56: Cash Position
CASH POSITION 567 508.3 +12% The Group maintained the strong cash position of RON 567m, +12% since the beginning of the year, due to capital increase contribution which brought RON 253.7m in Q3’22 and despite continuous investments and dividend payout of RON 78.6m in the course of 2022. The loan to
Slide 57: Cash Inflow
CASH 170 INFLOW 142 128 Amounts to be received under contracts concluded with customers as of 31.12.2022, amount to EUR 231m in additional cash by 2025. Please note that these are the amounts due only for the units that were pre-sold and are to be delivered in the future, excluding any sale done aft
Slide 58: Residential Pre-Sales
RESIDENTIAL PRE-SALES 255.8 62,514 m2 599 apartments with a total surface of 52,724 sqm, -34% 978 parking spaces and other unit types, as well as 52,724 m2 early-stage apartments were sold and pre-sold for -16% a total of EUR 169.2m in 2022. 169.2 In 2021, the Group sold and pre-sold 699 apartments,
Slide 59: Resi Trends
RESI TRENDS The decrease in the number of units sold in 2022 compared to 2021 was the result of the lack of available stock throughout most of the year, due to significant delays from authorities in approving the building permits. 62% of the apartments at developments under construction were sold as
Slide 60: Resi Trends
RESI TRENDS More than half of the apartments sold by One United Note: 2 room = 1 bedroom. Properties in 2022 were two-room apartments, with a total sellable area of 22,486 sqm. This demand was particularly visible in 2022 at One High District. The Studio 5+ rooms/villas significant demand was also r
Slide 61: 5. Management Team
5. MANAGEMENT TEAM 2023 © ONE UNITED PROPERTIES CONFIDENTIAL DOCUMENT
Slide 62: Organizational Structure
ORGANIZATIONAL STRUCTURE GENERAL SHAREHOLDERS MEETING BOARD OF DIRECTORS Nomination & Risk & Audit EXECUTIVE MANAGEMENT Compensation Committee Committee PROJECT FINANCIAL LEGAL SALES INVESTMENTS DEVELOPMENT ESG Committee Internal Audit Compliance LEASING ASSET Accounting ARCHITECTURE (incl. KYC/AML)
Slide 63: Corporate Governance
CORPORATE GOVERNANCE As a listed Company, One complies with the Corporate Governance Code of the Bucharest Stock Exchange and report annually on its Corporate Governance compliance status in accordance with the Bucharest Stock Exchange requirements: • 5 independent directors out of a total of 7 • A
Slide 64: Andrei Diaconescu, Victor Căpitanu
ANDREI DIACONESCU VICTOR CĂPITANU Victor is the co-founder and Executive Andrei is the co-founder and Executive Member of the Board of Directors at One Member of the Board of Directors of United Properties, coordinating Sales, One United Properties, coordinating Marketing and Investments. Operations
Slide 65: Non-Executive Directors
NON-EXECUTIVE DIRECTORS CLAUDIO HORIA MARIUS AUGUSTA DRAGIC MAGDALENA CISULLO DIACONU SOUCEK MANDA Non-Executive Chairman of the Board Non-Executive Director Non-Executive Director Non-Executive of Directors Director Director Mr. Cisullo is the founder Mr. Diaconu is an active Mrs. Magdalena Soucek
Slide 66: Management Team (I)
MANAGEMENT TEAM (I) BEATRICE MIHAI COSMIN VICTOR IONUȚ PĂDUROIU SAMOILĂ SAVI - NIMS DUMITRESCU OCTAVIAN ZUZANNA DUMITRAȘCU CEO Office Chief Financial Chief Legal Officer Partner Office AVRĂMOIU KUREK CEO Residential Division Officer Division Partner Investor Relations Division Manager Mihai has a long c
Slide 67: Management Team (II)
MANAGEMENT TEAM (II) MARIUS ADRIAN ADRIAN ANDRA ANDREI CĂLIN RADU FLORIN CĂLIN ARENDT IONIȚĂ BIZON COROBEA-BÎRCEANU STAN NEACȘU Lead Architect Owner Design Head of Litigation Head of Financing Project Director Project Director Project Director Representative With 30+ years of Adrian has a vast Adria
Slide 68: 2023 Financial Calendar and Investor Contact
Our 2023 Financial Calendar: 14.03.2023 - ONE Investor Day 25.04.2023 – Annual GSM For any follow-up questions: 12.05.2023 – Q1 2023 Results Zuzanna Kurek, IR Manager 29.08.2023 – H1 2023 Results [email protected] 14.11.2023 – Q3 2023 Results 2023 © ONE UNITED PROPERTIES CONFIDENTIAL DOCUMENT
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