2019 half-year results - Amazon Web Services · 01 Half-year overview 02 Half-year financial results 03 Portfolio overview 04 Summary and Q+A ... headline 40% 38% +2 pp LTV - fully

Bullring & Grand Central, Birmingham

2019 half-year results 29 July 2019

Agenda

01 Half-year overview

02 Half-year financial results

03 Portfolio overview

04 Summary and Q+A

Appendices

2

Facing up to the challenges

3 1 43% fully proportionally consolidated 2 By area

Debt reduction remains a key priority

75% of Italie Deux and Italik sold for €473m (£423m)

On pro forma basis net debt reduced to £3.1bn, Gearing 61%, LTV 37%(1)

Earnings drag from disposals, dividend unchanged

EPS 14.0p (-7.3%), DPS 11.1p (no change)

Valuations under pressure

UK flagship capital return -9.1%, France -3.9%, Ireland -3.2%

NAVPS 685p (-7.2%)

UK continues to be challenging

UK flagship LfL NRI -6.8%, Leasing -1% below previous passing rent, volumes 35% below record 2018

Actively managing the mix to attract visitors

92%(2) of new UK flagship leasing in H1 to non-fashion brands

Footfall up in all regions: UK flagships +0.5%; France +0.5%; Ireland +0.6%

Diverse portfolio helps to offset UK weakness

Premium outlets brand sales +10%, LfL NRI +11.1%, capital return +4.5%

Stronger leasing trends in France and Ireland

Half-year overview

The Oracle, Reading

Continued focus on debt reduction, active portfolio management and multi-use development

4

Half-year overview

Reduce debt

Capital efficiency

Exit Retail Parks and pursue portfolio-wide

disposals

Establish City Quarters

Optimised portfolio

Manage the structural shift in retail

Operational excellence


5

Half-year overview

Capital efficiency

Optimised portfolio

Reduce debt and portfolio-wide disposals

• Contracts exchanged with AXA for 75% of Italie Deux and the forward sale of the Italik extension for €473m (£423m), representing 8.5% discount to December 2018 book value, NIY 4.1%

• Total disposals of £456m YTD, pro forma net debt of £3.1bn

• Transactions taking longer

• Pursuing further disposals into 2020

Commitment to exit retail parks over the medium term

• £33m of disposals from retail parks completed year to date

Manage the structural shift in retail – actively repurposing space, maintaining vibrancy

6

Half-year overview


Softer UK leasing metrics, stronger in France and Ireland

UK flagships over last 18 months:

• Passing rents -6.2%

UK flagships H1 2019:

• Tenant restructuring a continuing theme; 45 units affected in H1 2019

• High street fashion under pressure, increased temporary leasing (<3 years)

• Principal leasing (>3 years) to target categories more resilient

2019 half-year financial results

Victoria, Leeds

H1 headline results

8

2019 half-year results

Income statement 30 June 2019 30 June 2018 Change

Net rental income (£m) 156.6 178.5 (12.3%)

Adjusted profit (£m) 107.4 120.0 (10.5%)

Adjusted EPS (p) 14.0 15.1 (7.3%)

Interim dividend (p) 11.1 11.1 —

Balance sheet 30 June 2019 31 December 2018 Change

Portfolio value (£m) 9,542 9,938 (4.0%)

EPRA NAVPS (p) 685 738 (7.2%)

Net debt (£m) 3,447 3,406 +1.2%

LTV - headline 40% 38% +2 pp

LTV - fully proportionally consolidated

46% 43% +3 pp

Portfolio valuation summary

9


1 At constant exchange rates 2 Figures on a proportionally consolidated basis

Sector H1 2019 capital return(1)

H1 2019 revaluation

change

Value at 30 June 2019(2)

Portfolio weighting(2)

% £m £m %

Flagship destinations

UK (9.1) (266) 2,655 28

France (3.9) (71) 1,820 19

Ireland (3.2) (30) 948 10

Premium outlets 4.5 111 2,590 27

Developments & UK other (9.8) (74) 776 8

UK retail parks (10.9) (93) 753 8

Total (4.4) (423) 9,542 100

See appendices slides 55-56

10

Components of capital return in H1 2019, total portfolio (%)(1)

1 On a proportionally consolidated basis 2 Developments and UK Other includes the movement in the UK Other portfolio where valuations decreased by 12.0%. Developments decreased by 9.2% 3 Development and other capital movements reflects the impact of changes in purchasers’ costs, development surpluses and capital expenditure

H1 2019 components of valuation change 2019 half-year results

-6.7%

-3.0% -3.8%

0.2%

-2.3%

-6.0%

-3.6%

-2.4%

-0.7%

0.6%

4.2%

-2.5%

-4.9%

-0.4% -0.2%

-3.9%

-0.5%

-9.1%

-3.9% -3.2%

4.5%

-9.8%

-10.9%

-4.4%

-15%

-10%

-5%

0%

5%

UK flagship destinations France flagshipdestinations

Ireland flagshipdestinations

Premium outlets Developments and UKOther

UK retail parks Group

Yield Income Development and other Total(3)

(2)

Credit ratios

11


1 Refelcts gross proceeds from sale of Iitalie Deux (75%) and Oldbury land, excluding forward sale of Italik 2 See slide 59 in appendices for calculation bases

30 June 2019 (Pro forma)(1)

Internal guidelines

30 June 2019 31 Dec 2018

Net debt £3,055m — £3,447m £3,408m

Gearing 61% <85% 69% 63%

LTV – headline(2) 37% <40% 40% 38%

LTV – fully proportionally consolidated(2) 43% <45% 46% 43%

Cash and undrawn facilities £1,129m — £736m £729m

Net debt/EBITDA 9.5x <10x 10.2x 9.5x

Weighted average cost of debt — 2.5% 2.7%

Interest cover >2.0x 3.4x 3.4x

Fixed rate debt >50% 73% 74%

GBP/EUR FX balance sheet hedging 70-90% 80% 79%


12

LfL NRI movements across the portfolio (%)

LfL NRI movements 2019 half-year results

-0.1

11.1

1.0

0.1

-7.4

-6.8

-8 -6 -4 -2 0 2 4 6 8 10 12

Group

Premium Outlets

UK Retail Parks

France Flagships

Ireland Flagships

UK Flagships

(1)

1 Value Retail 13.9%, VIA 4.1%

13

H1 2019 LfL NRI analysis

1 Includes rent reviews and indexation

Flagships LfL NRI analysis 2019 half-year results

-6.8%

-2.1%

-0.6%

-0.2%

-1.4%

-0.6%

-1.8%

UK flagships

0.1%

-0.2%

0.1%

-0.7%

2.2%

-1.3%

France flagships

-7.4%

-1.7%

-2.1%

-0.5%

1.0%

-4.1%

Ireland flagships

Leasing(1)

Tenant restructuring

Surrender premiums

Void costs

Marketing

Car park, commercialisation and other

Total

14

H1 2019 EPS walk (pence per share)

1 Other includes change in NRI due to developments (-0.1p) and impact of share buyback (+0.6p)

EPS walk 2019 half-year results

15.1

14.0

(1.9)

(0.8)

(0.2) 0.5

1.0

0.3

10.0

11.0

12.0

13.0

14.0

15.0

16.0

H1 2018 Net disposals LfL NRI Net admin Premium outlets Interest FX, tax andother

H1 2019(1)

Guidance

15


Neutral

Positive

Positive

Positive

Positive

Positive

Negative

Neutral

Positive

Negative

Positive

Negative

Future 2021+ Debt reduction phase 2019-2020

LfL NRI

Net disposals

Interest, net admin and other

Development and other

Premium outlets

EPS

Portfolio overview

The Oracle, Reading

01 UK flagships

02 Premium outlets

03 France

04 Ireland

05 Sustainability and City Quarters

17

Westquay, Southampton

Agenda 2019 half-year overview

H1 2019 operational update

18

UK flagship destinations


H1 2019 H1 2018

Occupancy (%) 96.4 97.2

Leasing activity (£m) 4.4 6.8

Leasing vs. ERV (%)(1) -4 +5

Leasing vs. previous passing (%)(1) -8 +5

In-store retail sales (%)(2) -2.0 -2.5

Footfall (%)(3) +0.5 -1.6

1 Principal leases only 2 Sales: benchmark -1.7% (Source: Visa) Retail sales on same-centre basis 3 Footfall: benchmark -3.2% (Source: Shoppertrak)

Cabot Circus, Bristol

What is happening to UK flagship rental income: 6.2% decline in passing rent over last 18 months, excluding disposal of 50% of Highcross Decline primarily driven by temporary leasing, tenant restructuring, car parking and vacancy Principal leasing more resilient and directed towards winning categories and brands


20

Movement in passing rent – 31 December 2017 to 30 June 2019 (£m)

1 Other changes in passing rent relates to car parking, commercialisation, and turnover rent

Passing rent analysis – 18 months to 30 June 2019 UK flagship destinations

175.7

161.4

151.4

(14.3)

(6.1)

(5.5)

(4.2) 1.0

4.8

140

145

150

155

160

165

170

175

180

Dec-17 Highcross (50%)disposal

Dec-17 (postdisposal)

Vacancy/Templeasing

Tenantrestructuring

Other Rentreviews/stepped

rents

New principalleasing

Jun-19(1)

-6.2%

Key stats since January 2018(1)

• 100 units affected by restructuring

• £5.5m run rate of rent lost (1.6% of passing rent)(2)

• 49% of Hammerson units subject to CVA in no rent change category vs 37% of market(3)

• 74% units trading, 64% with original occupier

21

Cumulative restructuring impact on rent - Q1 2018 – Q2 2019 (£m)

1 UK flagships only 2 Run rate of passing rent lost reflects difference between pre-restructuring rent and rent at 30 June 2019 from units affected 3 Analysis based on Hammerson leases impacted by CVAs between December 2017 and June 2019, weighted by Hammerson’s share of passing rent pre-CVA

Managing the challenge from tenant restructuring UK flagship destinations

2019 CVAs:

.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

18.0

Q118 Q218 Q318 Q418 Q119 Q219

Annualised rent pre restructuring Annualised rent lost


22

UK flagship destinations leasing(1) vs previous passing rent by category - H1 2019 (£’000s)

1 All leasing, new and renewal, ex storage and three reconfigurations

Passing rent declines driven by high street fashion


Type

£’000s No. % vs previous passing

High street fashion 1,681 13 -25%

Non-fashion consumer brands 1,442 20 +32%

F&B 407 12 +13%

Aspirational fashion 622 7 +27%

Total 4,152 52 -1%

Leasing performance varies by type

• Higher proportion of temporary leases (25%)

• New leases skewed towards target categories

• Renewal and temporary leases biased to high street fashion

-200

-150

-100

-50

50

100

150

200

250

High street fashion Non-fashion consumer brands F&B Aspirational fashion


Shifting the mix, leasing to winners

23


1 By area

Category Current mix(1)

Future mix(1)

New leasing(1)

Rent/ sq ft

Near-term rental levels

Department stores 39% c.28% nil c.£10/sq ft

High street fashion (traditional) 15% c.10% nil c.£30/sq ft

F&B 9% c.12% 31% c.£40/sq ft

High street fashion (contemporary)

8% c.12% nil c.£30/sq ft

Non-fashion and consumer brands 18% c.20% 60% >£50/sq ft

Leisure/events 7% c.10% 1% c.£15/sq ft

Fashion (aspirational) 4% c.8% 8% >£30/sq ft

100% 100% 100%

See appendices slide 73

Rapha, Victoria Leeds

Attracting winning brands

24


1 Total rent for category, not for brands shown

Principal leases - non fashion Total rent - £1.6m(1)

Principal leases – F&B Total rent - £0.5m(1)

Temporary leases Total rent - £1.1m(1)

The White Company, Westquay

LEGO, Westquay and Bullring

Waterstones, Brent Cross

Stack & Still, Silverburn

Kitty Café, Grand Central

Tandem, Highcross

Wagyu, Victoria Leeds

Myga Yoga, Bullring

Lemoni, The Oracle

65

70

75

80

85

90

2016 2017 2018

1.4

1.5

1.6

1.7

1.8

2016 2017 2018

Attracting an affluent audience looking for a ‘big day out’(1)

25


1 Hammerson’s exit survey data (c.5,000 respondents per year)

Dwell time (mins) Party size

Drive time (mins)

-6%

+7%

-4%

+1%

+9%

-1%

Age Range

0

5

10

15

20

25

30

2016 2017 2018

HMSO UK average

F&B 2017-2019 YTD

Average spend +54%

Dwell time +90%

Conversion +9ppts

Slim Chickens, Grand Central

0%

5%

10%

15%

20%

25%

18-24 25-34 35-44 45-54 55-64 >65

Growth 2016-2018

Growth 2016-2018

Growth 2016-2018

Footfall performance supported by operational excellence

Hammerson UK flagships footfall vs. national index three month moving average(1)

Super events Footfall YoY

Average drive time

New visitors

The Maze, Westquay +2.7% +14% 14%

Festival of Light, Bullring

+9.8% +24% 31%

26


1 Index source: Shoppertrak

-5%

-4%

-3%

-2%

-1%

1%

2%

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun

2018 2019

Hammerson National Index

Bullring, Birmingham


Footfall in our centres supports retailers’ omni-channel propositions

27


1 Research carried out with Hitwise (based on 12 week period before and after store opening) 2 Permission based research carried out with Rippll (from a sample of circa 100 visitors to Cabot Circus over a 90 day period)

1. Drives online presence Hammerson analysis shows typical post-opening

uplift in local web traffic(1)

2. Drives omni-channel sales Hammerson analysis June 2019

Customers online spending behaviour(2)

+20-30% Fashion

+60-90% Health & Beauty

+103% additional clothing spend online with same

brands purchased during a centre visit

>25% of click and collect customers

make additional purchases in store

Premium outlets

Freeport Lisboa, Lisbon


29

Premium outlets

Value Retail(1) VIA Outlets(1)

H1 2019 H1 2018 H1 2019 H1 2018

GAV Hammerson share (£m)

1,931 1,762 659 620

Brand sales growth (%)(2) 11 6 10 6

Footfall growth (%)(2)(3) 7 2 8 0

Average sales density growth (%)(2) 8 3 7 5

Like-for-like net rental income growth (%)(4) 14 3 4 7

Occupancy (%) 95 94 93 91

1 With the exception of LfL net rental income growth, figures reflect overall portfolio performance, not Hammerson’s ownership share. 2018 figures have been restated at 30 June 2019 exchange rates 2 Figures include assets owned for 18 months 3 2018 VIA footfall metrics have been restated following the collection of more accurate footfall figures 4 2018 like-for-like NRI has been restated to exclude the impact of extensions and reconfigurations. VIA Outlets 2018 like-for-like NRI has been restated for a foreign exchange correction (-6% impact to 2018 like-

for-like NRI)


1 Data from VIA Outlets centres. Brands include Polo Ralph Lauren, Hugo Boss, Guess, Nike, Levis and Adidas 2 Tax free sales as a proportion of total premium outlets sales 3 Year-on-year growth for the five months to the end of May 2019

Premium outlets channel outperforms average European sales growth during H1 2019(1)

Premium outlets – the drivers of success Premium outlets

19% Tax free sales(2) YoY growth(3)

+14%

14%

6%

0%

2%

4%

6%

8%

10%

12%

14%

16%

VIA sales growth Reported sales growth in Europefor all channels

Global tourism growth continues

30

France flagship destinations

Les Terrasses du Port, Marseille


32



H1 2019 H1 2018

Occupancy (%) 97.0 97.1


Leasing vs. ERV (%) +4 +2

Leasing vs. previous passing (%) +5 +4

In-store retail sales (%)(1) +1.3 +2.9

Footfall (%)(2) +0.5 +2.3

1 Sales: H1 2019 France benchmark +0.2% (Source: Banque de France, as at June 2019). Retail sales on same-centre basis 2 Footfall: H1 2019 France benchmark +0.3% (Source: CNCC)



Les 3 Fontaines

• Scheme revised to increase proportion of leisure and F&B

• Food hall opening spring 2020, 100% pre-let

• Opening of main phase Q2 2021

• Leisure phase opening mid 2023

• Good progress on pre-letting, now 39%(1) (Dec18: 23%)

• Cost to complete +£34m, annual income +£1m, YOC 5.0%

On-site extensions update

33


1 Let or in solicitors' hands by income at 26 July 2019

Les 3 Fontaines, Cergy, Paris

Italik

• 41%(1) pre-let (Dec 18: 34%)

• Opening Q3 2020

• YOC 5.3%

Italik, Italie Deux, Paris

Ireland flagship destinations

Summer Fest, Dundrum, Dublin


35



H1 2019 H1 2018

Occupancy (%) 99.5 98.9


Leasing vs. ERV (%)(1) +4 +6

Leasing vs previous passing (%)(1) +12 +23

Footfall (%) +0.6 -3.0

1 Principal leases only

Five Guys, Swords Pavilions


Significant potential in Irish portfolio

36


Pembroke Square

Stella Bowl (ex Hamleys)

€5m Cost

Target YOC

7%

€5m Cost

Target YOC

6%

Near term repurposing Future developments

Building 5

Dundrum

Pavilions Phase 3

Dublin Central

Phase 2


37

Sustainability and City Quarters

Rooftop Beehives, Silverburn, Glasgow

The Goodsyard, London

Ambitious approach to sustainability underpins everything we do

38

Sustainability

We create destinations that deliver positive impacts economically, socially and environmentally

Our target is to be net positive for carbon, resource use, water and waste by 2030

Significant reductions in resource usage during H1 2019

Electricity

-12%

Gas

-21%

Carbon

-13%

Water

-14%

Beyond retail

39

City Quarters

6,600 residential units

300,000m2

work space

1,600 hotel rooms

9 parks and public spaces

100 acres

City Quarters potential Martineau Galleries, Birmingham

100,000m2 workspace

1,300 residential units

200 hotel rooms

Restaurants, cafés, shops and high quality public realm


Summary


Clear focus on near term challenges and longer term valuation creation

41 1 43% fully proportionally consolidated 2 By area 3 Shoppertrak and CNCC


75% of Italie Deux and Italik sold for €473m (£423m)

On pro forma basis net debt reduced to £3.1bn, Gearing 61%, LTV 37%(1)

UK continues to be challenging

Tenant restructuring a continuing theme

Soft leasing metrics due to fashion renewals and temporary leases

Actively managing the mix to attract visitors and optimise income profile

92%(2) of new UK flagship leasing in H1 to non-fashion brands

Footfall up in all regions: UK and French flagships ahead of benchmarks(3)

Attracting an affluent, younger crowd for a ‘big day out’

Flagship physical retail is integral to the omni-channel future

Physical stores drive web traffic and online sales

Diverse portfolio helps to offset UK weakness

Strong performance from premium outlets continues

France and Ireland provide stability with development potential

City Quarters is the future of the portfolio

Broad range of opportunities in thriving city centres

Summary

Festival of Light, Dundrum, Dublin

Questions

The Oracle, Reading

Supplementary appendices


Contents

01 Group

02 UK flagship destinations

03 France flagship destinations

04 Ireland flagship destinations

05 Premium outlets

06 City Quarters

07 UK retail parks

44

Group

45

01

Festival of Light, Bullring & Grand Central, Birmingham

0

100

200

300

400

500

600

700

2014 2015 2016 2017 2018 2019 YTD

UK flagships UK retail parks UK other UK office France Ireland

46

Hammerson annual disposal proceeds (£m)

Average of £400m disposed per year over the last five years Appendices: Group

14 countries

UK flagship destinations - £2.7bn

France flagship destinations - £1.8bn

Ireland flagship destinations - £0.9bn

Premium outlets - £2.6bn

Development & UK other - £0.8bn

UK retail parks - £0.7bn

£9.5 billion leading pan-European retail platform

47

49% non-UK assets

425m visitors

4,700 tenants

11 - UK flagship destinations

7 - France flagship destinations

3 - Ireland flagship destinations

12 - UK retail parks

20 - Premium Outlets

Top 3 market position in all chosen sectors

2.2m m2 retail space

29%

19%

10%

27%

8%

8%

53 European destinations

Our Business Model

48

Appendices: Group

Our strategy

Capital efficiency

Optimised portfolio


What we have

High-quality property in the right places A dynamic and diverse team Insight led Effective capital management

What we do Who we deliver for

Iconic destinations Retail specialism Experience led Customer first

Product experience framework

Shareholders Brands Consumers Partners Communities Our people

Positive for the environment | Positive for the community

49

H1 2019 leasing and cumulative vs. H1 2018 and H1 2017 (£m)(1)

1 Monthly leasing LHS axis, cumulative leasing RHS axis

H1 2019 Group leasing cumulative activity Appendices: Group

0

2

4

6

8

10

12

14

16

18

20

0

0.5

1

1.5

2

2.5

3

3.5

4

4.5

5

Janu

ary

Febru

ary

Marc

h

April

May

June

Monthly leasing 2019 (LHS) Cumulative leasing activity 2017 (RHS)

Cumulative leasing activity 2018 (RHS) Cumulative leasing activity 2019 (RHS)

Flagship leasing volumes

H1 19 £m

H1 18 £m

UK 4.4 6.8

France 2.8 3.6

Ireland 1.2 1.5

Total 8.4 11.9

H1 2019 portfolio leasing key metrics

50

Appendices: Group

1 Principal leases only 2 Total group leasing includes UK Other £0.2m

Leasing vs previous passing (%)(1)

Leasing vs ERV (%)(1)

Like-for-like ERV growth

(%)

New rent secured from leasing

(£m)(2)

UK flagship destinations -8 -4 -2.5 4.4

France flagship destinations +5 +4 -0.3 2.8

Ireland flagship destinations +12 +4 -0.1 1.2

UK retail parks +13 +1 -6.3 0.6

Group -1 — -2.3 9.2

Tenant restructuring: 31 December 2017 – 30 June 2019

51

Appendices: Group

1 Group passing rent = £342.1m

UK flagship

destinations

France flagship

destinations

Ireland flagship

destinations

UK retail parks

UK other

Group

Number of units impacted 100 37 3 27 12 179

Passing rent pre restructuring (£m) 17.0 2.8 1.8 6.3 2.1 30.0

Current passing rent lost – 30 June 2019 (£m) 5.5 0.3 1.6 2.1 0.7 10.2

% of Group passing rent – 30 June 2019(1) 1.6% 0.1% 0.5% 0.6% 0.2% 3.0%

52

Units in CVA or administration by month, January 2018 – June 2019

Run rate of tenant restructuring in the UK & Ireland Appendices: Group

0

5

10

15

20

25

Jan-18 Feb-18 Mar-18 Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Mar-19 Apr-19 May-19 Jun-19

H1 2019 key operational statistics

53

Appendices: Group

1 Retail sales on same-centre basis. H1 2019 UK benchmark -1.7% (Source: Visa Face to Face index); H1 2019 France benchmark +0.2% (Source: Banque de France, at 30 June 2019) 2 H1 2019 UK benchmark -3.2% (Source: Shoppertrak); H1 2019 France benchmark +0.3% (Source: CNCC) 3 Sales / OCRs in France include VAT (the UK figures exclude VAT). Also French OCRs do not account for a wide range of taxes paid separately that are not covered by rates (e.g. city tax, refuse tax, local Eco

tax). Therefore OCRs in the two countries are not directly comparable. Also away from property costs staffing costs are significantly higher in France than the UK c.30%+. 4 Excludes anchor stores. France data includes VAT

Occupancy (%) UK flagships France flagships

Ireland flagships

UK other Group

30 June 2019 96.4 97.0 99.5 89.3 96.7

31 December 2018 97.6 97.1 99.0 96.9 97.2

30 June 2018 97.2 97.1 98.9 94.5 96.6

UK flagships

France flagships

Ireland flagships

Sales(1) -2.0 1.3 n/a

Footfall(2) 0.5 0.5 +0.6

Rent: sales(3) 12.9 10.5 n/a

OCR(3) 22.2 13.5 n/a

Sales densities(4) UK £/ft2

France €/ft2

2019 240 - 580 425 - 880

2018 245 - 525 565 - 680

2017 240 - 490 455 - 700

54

H1 2019 EPRA NAV movement (pence per share)

NAVPS walk Appendices: Group

738

685 685

14

14

4

70

15

670

690

710

730

750

770

790

Dec 2018 Adjusted profit Premium outletsreval

Fx and other Reval excl. outlets Dividends June 2019

Do we need data labels for the numbers in the middle? Are some numbers negative?

H1 2019 valuation data

55

Appendices: Group

UK flagships France flagships

Ireland flagships

UK retail parks

UK other Total

True equivalent yield (%)

30 Jun 2019 5.9 4.5 4.6 7.2 8.7 5.5

31 Dec 2018 5.5 4.2 4.5 6.8 8.0 5.3

Change 6 months 40bp 20bp 10bp 40bp 70bp 20bp


Net initial yield (%)

30 Jun 2019 5.2 3.8 4.0 6.8 6.0 4.8

31 Dec 2018 4.8 3.7 3.9 6.0 5.7 4.6


Change 12 months 80bp (10bp) 10bp 130bp 70bp 40bp

H1 2019 valuation data

56

Appendices: Group

UK flagships France flagships

Ireland flagships

UK retail parks

UK other Total

ERV (£m)

30 Jun 2019 164.0 89.9 45.3 59.7 12.9 366.1

31 Dec 2018 169.3 89.4 45.3 59.7 13.3 377.0

LfL change 6 months (%) -2.5% -0.3% -0.1% -6.3% -3.1% -2.3%

LfL change 12 months (%)

-4.4% +0.6% +0.8% -8.1% -3.0% -3.1%

Key disposals achieved 2017 – 2019

57

Appendices: Group

1 Gross proceeds 2 Total annual gross proceeds (includes ancillary disposals): 2017 - £402m; 2018 - £570m , 2019 - £456m

Proceeds(1)

£m Buyer

2017: average -3% below book value

Westwood and Westwood Gateway Retail Parks, Thanet 80 BMO (private equity)

Saint Sébastien, Nancy 140 AEW (private equity)

Place des Halles, Strasbourg 167 Greenstone Oxford Limited

2018: average -7% below BV

Battery Retail Park, Selly Oak 58 NFU Mutual

Wrekin Retail Park, Telford 35 Ediston/Europa

Imperial Retail Park, Bristol/Fife Central Retail Park, Kirkcaldy 164 Capreon (private equity)

Highcross, Leicester (50%) 236 Asian investor, introduced by M&G Real Estate


Dallow Road RP, Luton 24 Private equity

Italie Deux, Paris (75%) 423 AXA

Total 2017 – 2019(2) 1,428

3,406

3,447

3,055

22

95

5

118

35 392

3000

3050

3100

3150

3200

3250

3300

3350

3400

3450

3500

Dec 2018 Disposalproceeds

Net operatingcashflow

Other Dividend Capex Jun 2019 Future disposalproceeds

Pro-forma

58 1 On a proportionally consolidated basis, excluding premium outlets 2 Reflects gross proceeds from sale of Italie Deux (75%) and Oldbury land, excluding forward sale of Italik

Net debt analysis (£m)(1)

Net debt analysis Appendices: Group

(2)

59

Debt maturity profile 30 June 2019 (£m)(1)

1 Proportionally consolidated, excluding premium outlets

Debt maturity profile

Appendices: Group

0

100

200

300

400

500

600

700

800

900

1,000

2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031

Revolving credit facilities

Private placement

Sterling bonds

Euro bonds

Secured debt

LTV methodology

60

Appendices: Group

30 June 2019 (pro forma)(1) 30 June 2019 31 December 2018

Net debt Headline

(£m) Fully proportionally

consolidated (£m) Headline


consolidated (£m) Headline


consolidated (£m)

Group 3,055 3,055 3,447 3,447 3,406 3,406

VIA Outlets 234 234 - 242

Value Retail 667 667 - 658

Loan 3,055 3,956 3,447 4,348 3,406 4,306

Property values

Group 6,545 6,545 6,951 6,951 7,480 7,480

VIA Outlets 659 659 - 636

Value Retail 1,931 1,931 - 1,823

VIA Outlets net assets 352 - 352 - 326 -

Value Retail net assets 1,309 - 1,309 - 1,211 -

Value 8,206 9,135 8,612 9,541 9,017 9,939

LTV 37% 43% 40% 46% 38% 43%

1 Reflects gross proceeds from sale of Italie Deux (75%) and Oldbury land, excluding forward sale of Italik

Gearing sensitivity(1)

61

Appendices: Group

1 Pro forma - reflects sale of Italie Deux (75%) and Oldbury land, excluding forward sale of Italik 2 Gearing sensitivity on changes in 30 June 19 values and future disposal proceeds. Values on a proportionally

consolidated basis including premium outlets 3 Calculations assume disposals are achieved at 30 June19 book values 4 Group’s tightest gearing covenant on unsecured bank facilities and private placement senior notes

Disposals (£m)(3)

0 100 200 300 400 500 600 700 800 900 1000

Red

uct

ion in G

roup

va

lues(

2)

0% 61% 59% 57% 55% 53% 51% 49% 47% 45% 43% 41%

5% 67% 65% 63% 61% 59% 56% 54% 52% 50% 48% 45%

10% 75% 73% 70% 68% 65% 63% 60% 58% 55% 53% 50%

15% 85% 82% 79% 76% 73% 71% 68% 62% 62% 60% 57%

20% 97% 94% 90% 87% 84% 81% 78% 75% 71% 68% 65%

25% 113% 110% 106% 102% 98% 95% 91% 87% 84% 80% 76%

Gearing covenant 150%(4)

62

Breakdown of annual cost savings (£m)

2019 reinvestment (£m)

Cost savings delivery on track to support reinvestment

Appendices: Group

£7m p.a. of cost savings

delivered

£1.0m p.a. from future disposals

Board and management

£3.9m

Operational £2.7m

Disposals £0.4m

£8m p.a.

£4m p.a.

Technology and innovation

£2m

Super events £2m

Committed 2018

Actual

£m

2019

Forecast

£m

2020

Forecast

£m

On-site developments 95 70 80

Other committed capex(1) 74 25 -

169 95 80

Discretionary

Flagship destination investment 43 38 40

City Quarters 2 7 20

45 45 60

Total 214 140 140

63 1 2018 includes £31 million held in escrow for future Croydon land acquisitions

Defer start of Brent Cross development

Capex 2018-2020

Flexibility over future capital expenditure

Appendices: Group

Examples: Income accretive: Repurposing and reconfiguration, capital contributions, digital screens Other (partly recoverable from tenants): Wayfinding projects, WC upgrades, LED relamping, seating upgrades, family rooms, smart metering

UK flagships

France flagships

Ireland flagships

Total

Service charge income (£m) 45 25 12 82

Maintenance expenditure within service charge (£m) 7 4 2 13

64

Capitalised Recoverable from tenant

Direct/indirect return?

Capital expenditure – no additional area

3a + 3b

A

B

A/B

3b

Maintenance capex – FY 2018 Appendices: Group

Capital expenditure

Gross rental income (£m) 178 84 44 306

Capital expenditure – no additional area (£m) 28 25 - 53

Yield on cost from capital expenditure – no additional area (%) 9% 4% n/a 6%

Capital expenditure – no additional area: gross rental income (%) 16% 30% n/a 17%

Selection of examples

Painting, flooring upkeep, M&E: CCTV, wifi , IT systems maintenance

Direct: Repurposing and reconfiguration, capital contributions, Indirect: Wayfinding projects, WC upgrades, LED relamping, public seating upgrades, family room implementation & upgrade, smart metering

Service charge (maintenance)

Examples: Painting, flooring upkeep, M&E: CCTV, wifi , IT systems maintenance

Delivering against our Positive Places Strategy

65

Our progress against 2019 plans

2019 Target Progress

Reducing energy demand across the managed retail portfolio by a further 11%

-14.2% H1 2018 vs. H1 2019 reduction achieved

Installing additional renewable electricity capacity at three sites

1 complete, 2 programmed for H2 2019

Reviewing our energy procurement model to leverage additional renewable capacity and offer grid balancing

Market review of potential renewable capacity underway

Working with retailers to support efficiency improvements through fit out

Joint retailer workshop held in January 2019 with collaborative outputs published

Embedding Positive Places within City Quarters concept

Sustainability a key USP for our City Quarters concept

Working with our design teams to deliver best in class sustainability in our Dublin developments

Building 5 on track to achieve BREEAM Excellent and NZEB requirements

Working with regional water companies to support water reduction initiatives

Relationship with Thames Water established

Working with re-use partners to reduce waste Partnership with Globechain established to trial re-use concept

Continuing our programme of portfolio-wide, locally focused community engagement initiatives

Community activities run in each asset

Hammerson has set a target to be Net Positive for carbon, water, resource use and socio-economic impacts by 2030

Carbon Net Positive for carbon means carbon emissions avoided exceed emissions generated.

Resource Use Net Positive for resource use means waste avoided, recycled or re-used exceeds materials used that are neither recycled, renewable nor sent to landfill.

Water Net Positive for water means water replenished by external projects exceeds water consumed from mains supply.

Resource Use Net Positive for socio-economic impacts means making a measurable positive impact on socio-economic issues relevant to our local communities beyond a measured baseline.

“Hammerson was the first real estate company globally to set such comprehensive, challenging Net Positive targets and we are making good progress. Creating Positive Places underpins our delivery of best in class retail assets that respond to the major challenge presented by climate change.” David Atkins, CEO

66

Steps to becoming Net Positive Our phase one target is to be Net Positive for landlord controlled carbon emissions, water demand, resource use and socio-economic impacts by the end of 2020

67

2015

27,000 tonnes CO2e

539,082 m3 water

18,243 tonnes waste not recycled or reused

2016

24,000 tonnes CO2e

511,888 m3 water

17,293 tonnes waste not recycled or reused

40,000 FTE jobs supported across our assets

2017

Delivered carbon neutral development at Rugby

Installed 3 further solar PV arrays

Reduce energy demand by further 8% v 2015 baseline

Achieved 73% recycling rate and reduced net operational resource use from 3,000 tonnes to1,200 tonnes

2018 32% reduction in phase 1 NP Carbon footprint

23 tonnes CO2e savings from EV charging

Generated 450mWh clean power

4 additional PV arrays installed

16% reduction in phase 1 NP water demand

34% reduction in Phase 1 NP resource use footprint

150+ business start ups supported

2019-2021

Landlord CO2 e reductions optimised and offset opportunities in place for remainder

Energy procurement model driving additional renewable capacity

Net positive approach embedded in City Quarters

Increase onsite renewable and EV capacity

Improve energy efficiency of retail units


68

02


H1 2019 UK flagship leasing performance

69

Appendices: UK flagship destinations

1 Principal leases only 2 Excludes temporary leases (FY2018: average lease term 11 years, average incentive 8 months)

H1 2019 UK flagship destinations leasing (£m)

UK flagship leasing key facts

Leasing vs. Dec 18 ERV -4%(1)

Leasing vs. previous passing -8%(1)

Average lease term: 9 years(2)

Average incentive: 3 months(2)

0

1

2

3

4

5

6

7

8

0

0.5

1

1.5

2

2.5

3

3.5

4

4.5

5

Janu

ary

Febru

ary

Marc

h

April

May

June



H1 2019 leasing

£m

Principal leasing 3.1

Reconfigurations 0.2

Temporary and other

1.1

Total 4.4

-200

-150

-100

-50

50

100

150

200

70

UK flagship destinations leasing(1) vs previous passing rent – H1 2019 (£’000s)

1 All leasing, new and renewal, excluding storage and three reconfiguration lettings of £0.2m

Profile of leasing at UK flagship destinations Appendices: UK flagship destinations

Type No. £’000s % vs previous passing

% vs ERV

Principal 26 2,577 -8% -4%

Temporary 19 1,082 -26% -55%

Temporary/ vacant to principal

7 494 626% -2%

Total 52 4,152 -1% -25%

H1 2019 Sales

Hammerson -2.0%

Index -1.7%(1)

H1 2019 Footfall Hammerson +0.5%

Index -3.2%(2)

H1 2019 price deflation(3)

Non-food -0.6%

Clothing -7.2%

Differentiation between categories and brands in our UK portfolio

71


1 Source: Visa F2F Index 2 Source: Shoppertrak 3 BRC Nielsen shop price index

Hammerson UK flagship destinations category sales and range

6.6% 3.4% 3.4% 2.2%

-0.2% -2.2% -3.6% -4.1% -5.9% -6.9% -8.3%

-40%

-20%

0%

20%

40%

60%

Jewellery &PersonalLuxuries

Dept Store -Aspirational

F&B Sportswear Fashion -Aspirational

Health &Beauty

Fashion -Modern

Home,ConsumerBrands &

Gifts

Leisure Dept Store -Mainstream

Fashion -Traditional

72

Hammerson exposure to department stores in UK

Exposure to department stores


Number of stores

Floorspace

(‘000 m2)

Hammerson sales growth

Harvey Nichols 2 8

Selfridges 1 24

John Lewis 5 114

Marks & Spencer 4 28

Fenwick 1 16

Debenhams 5 75

House of Fraser 3 46

Total 21 311

-ve

+ve


Proactively reconfiguring department store space

73


House of Fraser Highcross, Leicester

Replaced with upsized Zara and JD Sports flagships, Adventure Golf, restaurants and additional car

parking

Additional £1.5m of rental income

£17m project cost

Indicative plans for further repurposing

Upsized Zara store


74

03


Les Terrasses du Port Italie Deux Les 3 Fontaines Other

89%

Portfolio remains weighted towards flagship assets

75

Appendices: France flagship destinations

Portfolio value: £2.0bn

Largest three assets 89% of portfolio(1)

Focus on flagship destinations

7 France flagship destinations

1 By value at 30 June 2019 including developments

H1 2019 leasing performance

76


1 Principal leases only 2 Excludes temporary leases (FY2018: average lease term 10 years, average incentive 3 months)

H1 2019 leasing and cumulative vs. H1 2018 and H1 2017 (£m) H1 2019 leasing

£m

Principal leasing 1.7

Reconfigurations 0.8

Temporary and other

0.3

Total 2.8

France flagship leasing key facts

Leasing vs. Dec 18 ERV +4%(1)

Leasing vs. previous passing +5%(1)

Average lease term: 10 years(2)

Average incentive: 0 months(2)

0

1

2

3

4

5

6

7

0.0

0.2

0.4

0.6

0.8

1.0

1.2

1.4

1.6

Janu

ary

Febru

ary

Marc

h

April

May

June



H1 2019 Sales

Hammerson +1.3%

Index +0.2%(1)

H1 2019 Footfall

Hammerson +0.5%

Index +0.3%(2)

Differentiation between categories and brands in France

77


1 Source: Banque de France (YTD 30 June 2019) 2 Source: CNCC

Hammerson UK flagship destinations category sales and range

9.5% 8.0% 3.1% 2.0% 1.3% 0.7% 0.0%

-0.2% -0.4% -0.5% -0.6%

-40%

-20%

0%

20%

40%

60%

Fashion -Aspirational

Sportswear Health &Beauty

Fashion -Modern

Dept Store -Aspirational

F&B Home,ConsumerBrands &

Gifts

Dept Store -Mainstream

Jewellery &PersonalLuxuries

Leisure Fashion -Traditional


78

04

Dundrum, Dublin

200,000m2 of prime space plus sustainable development opportunities

79

Appendices: Ireland flagship destinations

1 By value at 30 June 2019 including developments

Portfolio value: £1.1bn

Dundrum 68% of portfolio(1)

Focus on flagship destinations

Les 3 Fontaines, Cergy

Major 44,300m2 extension started in Jan-18

23% pre-let

Italie Deux, Paris

Transforming the centre into a cultural destination

Italik extension launched in Jun-18


Consistently strong footfall growth +5%

New brands including Boggi Milano, Polo Ralph Lauren

Dundrum Pavilions Ilac Developments

Key retail centres map

80

Appendices: Ireland flagship destinations

Premium outlets 05

Freeport Lisboa, Lisbon

17%

9%

8%

5% 4%

4% 4% 4%

4%

41%

McArthurGlen

Neinver

VIA

Value Retail

Realm

Landsec

ROS

Multi

Concepts &Distribution

Other

82 1 Source: FSP’s European Outlet Industry Report March 2017 2 Source: Cushman & Wakefield. Market share by GLA. Total GLA – c. 3.5 million m2

Number of outlets in Europe(1) Leading operators by GLA(2)

Limited number of outlets in Europe with high barriers to entry

High concentration – c. 60% of GLA managed by nine operators

Include Other – is it 213 in total? Unable to find the total number

43

30

25

25

17

13

60 UK

Italy

France

Spain

Germany

Poland

Other

circa 3.5million m2

213 outlets

Overview of European outlet market Appendices: Premium outlets

83

International fashion and luxury brands

Mainstream fashion brand outlets

Low-end discount outlets <€2,000

€2,000–€10,000

€30,000+

Sales densities €/m2

Tiered European outlet market Appendices: Premium outlets

Value Retail Villages VIA Outlets centres

Bicester Village, Oxford

GLA: 28,000m2

Boutiques: 163

Batavia Stad Amsterdam Fashion Outlet

GLA: 30,800m2 Units: 124

La Roca Village, Barcelona GLA: 22,800m2 Boutiques: 131

Fashion Arena Prague Outlet GLA: 24,600m2 Units: 101

Las Rozas Village, Madrid GLA: 16,500m2 Boutiques: 95

Freeport Lisboa Fashion Outlet GLA: 36,700m2 Units: 126

La Vallée Village, Paris GLA: 21,900m2 Boutiques: 106

Hede Fashion Outlet, Gothenburg GLA: 16,700m2 Units: 53

Maasmechelen Village, Brussels GLA: 20,000m2 Boutiques: 102

Landquart Fashion Outlet, Zürich GLA: 21,200m2 Units: 78

Fidenza Village, Milan GLA: 20,900m2 Boutiques: 119

Mallorca Fashion Outlet GLA: 32,600m2 Units: 77

Wertheim Village, Frankfurt GLA: 21,200m2 Boutiques: 118

Wroclaw Fashion Outlet, Poland GLA: 13,700m2 Units: 88

Ingolstadt Village, Munich GLA: 21,100m2 Boutiques: 115

Seville Fashion Outlet GLA: 15,900m2 Units: 65

Kildare Village, Dublin GLA: 16,700m2 Boutiques: 97

Zweibrücken Fashion Outlet, Germany GLA: 29,100m2 Units: 114

Vila do Conde Porto Fashion Outlet GLA: 28,100m2 Units: 121

Oslo Fashion Outlet GLA: 13,400m2 Units: 95

Premium outlets portfolio

84

Hammerson’s total investment in Value Retail

85

Appendices: Premium outlets

1 Total Village ownership calculated as economic entitlement of directly held and indirectly held interests

Holding companies 25% equity

Bicester Village

37

50

La Roca Village

29

41

Las Rozas Village

25

38

La Vallée Village

14

26

Maasmechelen Village

14

27

Fidenza Village

22

34

Wertheim Village

33

45

Ingolstadt Village

2

15

Kildare Village

29

41

Village ownership via LPs (%)

Total Village ownership (%)(1)

Premium outlets value creation (£m)(1)

86

7.5 year IRR - 24%

214

653

(132)

(313)

1,220

1,641

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

Premiumoutlets NAV

Jan-12

Capitalinvested

Distributions- operating

Distributions- refinancing

Valuationuplift

Premiumoutlets NAV

Jun-19

La Roca Village, Barcelona

1 IFRS NAV of Value Retail and VIA Outlets 1 January 2012 to 30 June 2019. Capital invested includes acquisition of VR investment stakes and VIA Outlet acquisitions. 2 Premium outlets NAV as at 30 June 2019 includes liabilities in respect of distributions received in advance of £20m which will be repayable upon disposal of stakes in Value Retail.

Significant contribution to Group performance Appendices: Premium outlets

(2)

87

10%

7%

13%

9%

12%

11% 11%

8% 8% 8%

0%

2%

4%

6%

8%

10%

12%

14%

0

500

1,000

1,500

2,000

2,500

3,000

3,500

2012 2013 2014 2015 2016 2017 2018

VR Sales (LHS) VIA Sales (LHS) VIA Sales Growth (RHS) VR Sales Growth (RHS)

VR and VIA Sales and Sales Growth 2012 - 2018 (€m)(1)

1 Figures have been restated at constant FX rates. Sales growth include assets owned for 24 months. Sales include assets acquired from the date of acquisition.

€m

Absolute sales growth delivered through active management, acquisitions and extensions


88

7%

18%

10%

5%

13%

8% 9%

5% 5% 4%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

2012 2013 2014 2015 2016 2017 2018

VR Average Sales Densities (LHS) VIA Average Sales Densities (LHS)

VIA Average Sales Density Growth (RHS) VR Averge Sales Density Growth (RHS)

VR and VIA Average Sales Densities (€/m2) and Average sales Density Growth 2012 – 2018(1)

1 Figures have been restated at constant FX rates. Sales densities include assets owned for 24 months. Sales density growths have been calculated as the weighted average of entities owned for 12 months.

Sales densities growth demonstrates underlying sales performance Appendices: Premium outlets

89

GRI: 70% fixed, remainder turnover; includes brand inducement amortisation

Property outgoings: includes significant marketing costs, as well as other property outgoings, e.g. leasing and car park costs, net of service charge income

£m

11.1

20.4

41.6

(1.3)

(8.0)

(21.2)

(18.1)

59.7

0 10 20 30 40 50 60 70

EPRA Earnings

Tax

Interest & other

EBIT

Administration Costs

NRI

Property outgoings

GRI 118

Value Retail – H1 2019 earnings walk (£m)

Administration costs: roughly one-third local; two-thirds group

Interest & other: secured debt structure; weighted average cost of debt of 2.7%; net of participative loan earnings from investments in LP stakes in the Spanish villages

Tax: corporation tax ranges from 19% in the UK to 31% in France

34.2% EBIT margin(2)

18.6% EPRA Earnings margin(3)

1 All figures at Hammerson share 2 FY 2018: EBIT margin 36.9% 3 FY 2018: EPRA Earnings margin 22.1%

Luxury outlets incur higher costs to generate outperformance Appendices: Premium outlets

20.5

6.7

(1.4)

(4.0)

12.1

(3.7)

15.8

(4.7)

- 5.0 10.0 15.0 20.0 25.0

EPRA Earnings

Tax

Interest

EBIT

Administration costs

NRI

Property outgoings

GRI

90

£m

GRI: >80% fixed, remainder turnover; includes car park income and inducement amortisation

Property outgoings: includes local marketing costs and leasing costs, net of service charge

Administration costs: include Value Retail advisory fees, internal staff costs and group marketing costs

Interest: secured debt structure; weighted average cost of debt of 2.1%

VIA Outlets – H1 2019 earnings walk (£m)

(11)

43

32

(7)

(7)

(2)

15

Tax: corporation tax ranges from 15.8% in Germany to 25% in Spain and the Netherlands

59.0% EBIT margin(2)

32.7% EPRA Earnings margin(3)

1 All figures at Hammerson share 2 FY 2018: EBIT margin 58.1% 3 FY 2018: EPRA Earnings margin 32.7%

Lower cost model operated below luxury end of premium outlets market


Multi-phase extensions – a source of significant growth

91


Bicester Village, Oxfordshire La Roca Village, Barcelona

Completed Future

Batavia Stad, Amsterdam Hede Fashion Outlet, Gothenburg

5,800m2

33 units

£100m TDC

YOC

+15%

Q4 2017

5,500m2

45 units

€26m TDC

YOC

+11%

Q2 2017

2,500m2

15 units

€11m TDC

Opening Q4 2019

2,500m2

21 units

€50-60m TDC

OpeningQ4 2020

City Quarters 06

Martineau Galleries, Birmingham

The City Quarters opportunity

93

Appendices: City Quarters

Key schemes Area Next

planning submission

Start on site

Retail F&B Residential Workspace Leisure Education Culture Hotel Public spaces

Nea

r te

rm

Les 3 Fontaines, Cergy 8,400m2 n/a On site

Citywall House, Southampton 2,800m2 2019 Q2 2020

Dundrum Building 5, Dublin 10,000m2 2019 Q3 2020

Victoria Hotel, Leeds

8,400m2 2019 Q3 2020

Ladywood House, Birmingham 9,300m2 2020 Q4 2020

Str

ate

gic

Martineau Galleries, Birmingham 7 acres 2019

Callowhill Court, Bristol 9 acres 2020

Dublin Central 6 acres 2021

Dundrum Phase 2 6 acres 2021

Pavilions Phase 3, Swords 18 acres 2021

Victoria Phase 2, Leeds 10 acres 2021

Ma

jor

Brent Cross 15 acres n/a

Croydon 22 acres n/a

The Goodsyard, London 10 acres 2019

TOTAL 103 acres

UK Retail Parks 07

The Orchard Centre, Didcot


95

Appendices: UK retail parks

1 Principal leases only 2 H1 2019 UK benchmark +0.3% (Source: Springboard Retail Parks Index)

UK retail parks

H1 2019 H1 2018

LfL NRI (%) 1.0 -3.4

Occupancy (%) 96.7 94.5


Leasing vs. ERV (%)(1) +1 +4

Leasing vs previous passing (%)(1) +13 +2

Footfall (%)(2) +0.6 -1.9

Key retail park disposals 2016 to 2019

96

Appendices: UK retail parks

1 Gross proceeds 2 Total annual gross proceeds: 2016 - £221m; 2017 - £86m; 2018 - £257m , 2019 - £33m

Proceeds(1)

£m Buyer

2016: average 7% below BV

Thurrock Shopping Park, Thurrock 100 TH Real Estate

Cramlington Retail Park, Cramlington 78 Arch (local authority)

Westmorland Retail Park, Cramlington 36 Arch (local authority)


Thanet Retail Parks, Kent 80 BMO (private equity)


Battery Retail Park, Selly Oak 58 NFU Mutual

Wrekin Retail Park, Telford 35 Ediston/Europa

Imperial Retail Park, Bristol/Fife Central Retail Park, Kirkcaldy 164 Capreon (private equity)


Dallow Road RP, Luton 24 Private equity

Total 2016 – 2019(2) 571

Documents

2019 half-year results - Amazon Web Services · 01 Half-year overview 02 Half-year financial results 03 Portfolio overview 04 Summary and Q+A ... headline 40% 38% +2 pp LTV - fully