ANNUAL RESULTS PRESENTATION - Growthpoint Statements/Growthpoint Results June... · GOZ pure industrial fund • • Moody’s upgrade Baa2 • Successful acquisition of Acucap and

for the year ended 30 June 2015

ANNUAL RESULTS PRESENTATION

GRUNDFOS, GAUTENG

AGENDA

INTRODUCTION & HIGHLIGHTS

FINANCIAL REVIEW

CAPITAL MANAGEMENT

OPERATIONAL OVERVIEW & ENVIRONMENT

PROPERTY INVESTMENT ACTIVITIES

PROSPECTS

ANNEXURES

THE OVAL, WESTERN CAPE

INTRODUCTION& HIGHLIGHTS

ILLOVO CORNER, GAUTENG

4

INTRODUCTION TO GROWTHPOINT

* Includes 100% of GOZ and 50% of V&A Waterfront; excludes Stor-Age, refer to Annexure 29

29th

largest company on the JSE – market capitalisation

R71,7 bn

#1largest South African REIT

50%ownership in V&A Waterfront

65%ownership in Growthpoint Australia

5th YEARinclusion in JSE SRI Index

RETAIL

R28,2 bn

58 properties

OFFICE

R33,0 bn

184 properties

INDUSTRIAL

R10,4 bn

229 properties

AUSTRALIA

R22,0 bn

53 properties

V&A

WATERFRONTR6,8 bn

TOTAL

R100,4 bn*

525 properties

700 STAFFinternally managed company

5

HIGHLIGHTSFOR THE YEAR UNDER REVIEW

173,4 CENTS

7.5% GROWTH

distribution per share

R2,6 bn NEW EQUITY RAISED VIA DRIP

54.6%

shareholder participation

31.9% TOTAL RETURN TO GRT

- GOZ

11.7% income yield on cost

20.2% capital growth

14.0% TOTAL RETURN7.0% income yield

7.0% capital growth

R607 m ADDITIONAL INVESTMENT

IN GOZR5,9 bn total cost

R10,9 bn market value

R18,6 bnvalue of Acucap and Sycom properties acquired

R4,2 bnacquisition and development pipeline

R4,2 bnannual distributable income

6

GROWTH IN DISTRIBUTION PER SHARE

0

20

40

60

80

100

120

140

160

180

200

FY11 FY12 FY13 FY14 FY15

Cents

Interim distribution Special interim distribution Final distribution

63,9

67,1

67,8

71,2

72,7

76,3

78,5

82,8

84,4

44,5

44,5

131,0139,0

149,0

161,3

173,4

6.1%

6.1%

7.2%

7.2%

8.0%

8.5%

7.5%

7.5%

Growth

6.1%

Growth

7.2%

Growth

8.3%

Growth

7.5%

7

GROWTHPOINT’S JOURNEY

2010 2015

R35 bn Property assets R100 bn

R24 bn Market cap R72 bn

121,2 cents Distribution per share 173,4 cents

1 552 cents Share price 2 646 cents

1 365 cents NTAV per share 2 328 cents

456 Properties* 525

•76.2% acquisition of GOZ

•First issue of short-term commercial paper

•1st year inclusion in JSE SRI Index

•2 properties acquired for R152 m

•GOZ pure industrial fund

• Moody’s upgrade Baa2

• Successful acquisition of Acucap and Sycom

• 49 properties acquired for R19 bn

• Winner of IAS Excellence in financial reporting and communications

• GOZ included in S&P / ASX200 Index

• GOZ diversified office and industrial fund

452 Staff 700

* Including 100% of GOZ and 50% of V&A Waterfront

AUD283 m GOZ market cap AUD1,8 bn

25 GOZ properties 53

8

GROWTH IN TANGIBLE ASSETS AND MARKET CAPITALISATION

0

500

1000

1500

2000

2500

3000

0

20

40

60

80

100

120

HY11 FY11 HY12 FY12 HY13 FY13 HY14 FY14 HY15 FY15

CentsRbn

Market cap (Rbn)

Tangible assets (Rbn)

NTAV per share (cents)

Share price (cents)

FINANCIAL REVIEW

OXFORD CORNER, GAUTENG

10

CONTRIBUTION TO DISTRIBUTABLE INCOME

0

500

1 000

1 500

2 000

2 500

3 000

3 500

4 000

4 500

FY13 FY14 FY15

Rm

RSA GOZ V&A Waterfront

2 728

3 497

4 232

312

332

368

394

513

658

2 022

2 652

3 206

11.4%

9.5%

8.7%

14.4%

14.7%

15.5%

74.2%

75.8%

75.8%

Growth

28.2%

Growth

21.0%

11

CONSOLIDATED DISTRIBUTION CALCULATION

1. Includes R66 m (FY14: R25 m) dividends received on treasury shares held, R4 m (FY14: R110 m) relating to cash adjustment on business acquisition

and R345 m (FY14: R165 m) also included for the distribution from Acucap and Sycom prior to the acquisition of the remaining interest on 1 April 2015

* Average exchange rate at R9.55/AUD (FY14: R9.53/AUD) for GOZ

FY15

Rm

FY14

Rm

INCREASE/

(DECREASE)

Net property income 6 115 5 036 21.4%

RSA 4 484 3 615 24.0%

GOZ 1 631 1 421 14.8%

Other operating expenses (303) (267) 13.5%

RSA (222) (182) 22.0%

GOZ (81) (85) (4.7%)

Net property income after net operating expenses 5 812 4 769 21.9%

Finance costs (2 086) (1 752) 19.1%

RSA (1 663) (1 285) 29.4%

GOZ (423) (467) (9.4%)

Finance and other investment income 982 841 16.8%

Investment income from V&A Waterfront 368 332 10.8%

Other finance income¹ 614 509 20.6%

Adjustment for NCI, foreign exchange profit and taxation (476) (361) 31.9%

Distributable profit 4 232 3 497 21.0%

Distribution for the year 4 232 3 497 21.0%

12

0

5

10

15

20

25

30

35

FY13 FY14 FY15

%

0

5

10

15

20

25

30

35

FY13 FY14 FY15

%

EXPENSE TO INCOME RATIOS

0

5

10

15

20

25

30

35

FY13 FY14 FY15

%

RSA

24.8% 24.8% 24.0%

4.0% 3.8%3.8%

GOZ

11.2% 12.1% 11.6%

4.3%5.3%

V&A Waterfront

26.6% 26.6% 27.8%

2.9% 3.3%2.9%28.8% 28.6%

27.8%

4.4%

15.5%

17.4%16.0%

29.5% 29.9%30.7%

Property expense ratio

Operating expense ratio





13

CONSOLIDATED BALANCE SHEET (EXTRACTS)

1. Includes R539 m of properties reclassified as held for sale (FY14: R265 m)

2. The property value of the equity-accounted investments are included on a

look-through principle (refer Annexure 29)

3. Closing exchange rate R9.40/AUD (FY14: R9.96/AUD)

4. Excludes fair value adjustments

FY15

Rm

FY14

Rm

INCREASE/

(DECREASE)

Property portfolio¹ 93 636 70 228 33.3%

RSA² 71 612 49 369 45.1%

GOZ³ 22 024 20 859 5.6%

50% investment in V&A Waterfront 6 047 5 574 8.5%

Other property-related investments 742 4 457 (83.4%)

Nominal borrowings4 33 811 25 176 34.3%

RSA² 25 444 16 499 54.2%

GOZ³ 8 367 8 677 (3.6%)

Shareholders’ interest (NAV) 63 369 49 895 27.0%

CAPITAL MANAGEMENT

INYANDA, GAUTENG

15

RSA CAPITAL MANAGEMENT

R11,7 bn

raised via equity (incl. DRIP)

R8,9 bn

increase in debt outstanding

Investment activitiesincluding Acucap and Sycom

MOODY’S UPGRADE

National scale A1.za/P-1.za

Global scale Baa2

Stable outlook

FOR RSA FY15 FY14

Unutilised committed facilities (R bn) 4,1 3,8

Facilities earmarked for guarantees (R bn) 0,3 n/a

Weighted average term of liabilities (years) 2.9 3.5

Weighted average term of fixed interest rate profile (years) 3.5 4.3

Weighted average interest rate (%) 8.9 9.4

% debt at fixed interest rate (incl. forward starting swaps) 76.0 78.4

Unencumbered assets (incl. V&A and listed investments) (R bn) 35,1 32,8

Unsecured debt (R bn) 7,5 6,1

NEW INSTITUTIONAL FINANCIER

16

RSA CAPITAL MANAGEMENT (CONTINUED)

GENERALLYFunding from banks currently more competitive than DCM

GROWTHPOINT (INCL. ACUCAP AND SYCOM)

TREASURY POLICY GUIDELINES>75% of total debt at a fixed interest rate obligations to total debt

Cash flows from operations > committed cash outflows + debt maturities

over a rolling 12-month period

AVAILABLE MARKETABLE SECURITIESR10,9 bn in GOZ shares

DEBTShorter maturity

Lower fixed interest rate exposure

Shorter fixed interest rate maturity profile

Majority of debt secured

Lower weighted average interest rate

ACUCAP AND SYCOM

17

0

2

4

6

8

10

0

10

20

30

40

50

FY13 FY14 FY15

times%

LTV¹

Interest cover ratio (incl. V&A)

0

2

4

6

8

10

0

10

20

30

40

50

FY13 FY14 FY15

times%

LTV¹

Interest cover ratio

0

2

4

6

8

10

0

10

20

30

40

50

FY13 FY14 FY15

times%

LTV¹

Interest cover ratio

LOAN TO VALUE AND INTEREST COVER RATIOS

1. Nominal value of interest-bearing borrowings (net of cash), divided by the fair value of property assets, including investment property held for sale. For RSA and

GROUP the 50% equity investment in V&A Waterfront, other equity-accounted investments and listed investments were included in the fair value of property assets

2. Calculated in Rands

RSA

3.2x 3.5x 3.4x

23.9%

27.4%

32.1%

GOZ²

2.4x 2.9x 3.7x

46.6%

40.6%

GROUP

2.9x 3.3x 3.4x

29.6%30.8%

33.2%

36.8%

18

RSA DIVERSIFIED BORROWINGS – NOMINAL VALUE

0

5 000

10 000

15 000

20 000

25 000

30 000

FY13 FY14 FY15

Rm

Secured bank debt Secured institutional financier

Unsecured bank debt and institutional financier Corporate bonds

Commercial paper

3 0101 300

12 468

400

6 358

1 400

3 909

1 796

16 499

400

8 944

1 450

2 659

4 480

25 444

400

15 852

2 053

Debt capital

market

27.4%

Traditional

bank debt

72.6%

Unsecured

37.8%

Secured

62.2%

Debt capital

market

26.1%

Traditional

bank debt

73.9%

Unsecured

37.0%

Secured

63.0%

Debt capital

market

12.0%

Traditional

bank debt

88.0%

Unsecured

29.6%

Secured

70.4%

OPERATIONAL OVERVIEW & ENVIRONMENT

COMMERCE CRESCENT, GAUTENG

20

71.3%

21.9%

6.8%

RSA

GOZ

V&A Waterfront

CONSOLIDATED PORTFOLIO OVERVIEW

Net property income

68.9%

25.0%

6.1%

RSA

GOZ

V&A Waterfront

Property portfolio (by value)

SOUTH AFRICA

THE OVAL, GAUTENG

22

0

100

200

300

400

500

FY13 FY14 FY15

Number

Retail Office Industrial

RSA PORTFOLIO OVERVIEW

0

1 000

2 000

3 000

4 000

5 000

FY13 FY14 FY15

Rm


Net property income

34.7% 32.8%32.8%

3 276

3 615

4 484

41.3%44.0%

47.3%

24.0%

23.2%

19.9%

10.9% 9.4% 12.3%

393

436

471

30.5%37.8%

39.1%

58.6%

52.8%

48.6%

0

20 000

40 000

60 000

80 000

FY13 FY14 FY15

Rm


38.1% 31.9%

39.4%

39 168

49 369

71 612

41.4%

49.3%

46.0%

14.6%

20.5%

18.8%

Number of properties Property portfolio (by value)

23

NET PROPERTY INCOME ANALYSIS – RSA

FY15

Rm

FY14

Rm INCREASE

Gross property revenue 5 902 4 805 22.8%

Retail 1 995 1 645 21.3%

Office 2 758 2 086 32.2%

Industrial 1 149 1 074 7.0%

Property expenses (1 418) (1 190) 19.2%

Retail (525) (459) 14.4%

Office (636) (496) 28.2%

Industrial (257) (235) 9.4%


Adjustments (1 287) (605)

Acquisitions and developments (659) (249)

Acucap and Sycom acquisition (338) -

Ellerines (8) (26)

Disposals (34) (90)

Investec rent (248) (240)

Adjusted “like for like” net property income 3 197 3 010 6.2%

Retail 1 240 1 157 7.2%

Office 1 155 1 094 5.6%

Industrial 802 759 5.7%

24

KEY PERFORMANCE INDICATORS - RSA

FY15 FY14

Vacancies (%) 5.7 4.9

Total arrears (Rm) 63,7 34,7

Provision for bad debts (B/S) (Rm) 25,9 14,1

Bad debts (I/S) (Rm) 15,1 6,6

Average in force escalations (%) 7.7 8.1

Renewal success rate (%) 65.5 65.7

Weighted average renewal growth (%) 4.1 3.0

Weighted average future escalations on renewals (%) 8.3 8.3

Number of employees 700 528

Net property income per employee (R)¹ 6 405 714 6 846 591

1. The net property income per employee when recalculated on the average number of employees is R7 697 854 (FY14: R7 484 472)

25

RSA - RETAIL

FY15 FY14

Size of portfolio Rm Rm

Net property income 1 470 1 186

Portfolio value 28 213 15 756

Vacancy % %

Total portfolio 3.3 4.5

Arrears Rm Rm

Total portfolio 35,6 19,3

Bad debt provision (B/S) 14,7 8,3

Renewals % %

Renewal success rate 87.0 75.6

Weighted average renewal growth 6.0 6.9

NET PROPERTY INCOMEincreased R248 m, mainly due to acquisitions. GRT “like for like” portfolio

increased 7.2%

VACANCIESimproved to 3.3% due to sale of Arcadia and inclusion of Acucap and Sycom.

Portfolio core vacancy, excluding office component and GLA under

development is at 1.9%

ARREARSdeteriorated to 10.2% of collectables, impacted by consolidation of Acucap

and Sycom, Post Office and Platinum Group. Legal arrears at R16,8 m and

outstanding deposits at R4,2 m

LEASINGrenewal success rate improved to 87.0% with renewal growth of 6.0%,

negatively affected by lower renewal rentals at City Mall Klerksdorp

TRADINGportfolio trading densities increased by 4.7%, diluted by negative growth

at City Mall Klerksdorp and Lakeside Benoni. Affluent centres (Brooklyn,

La Lucia, Walmer Park, Constantia & Gardens) registered 7.7% growth

26

RSA - OFFICE

FY15 FY14


Net property income 2 122 1 590


Vacancy % %


Arrears Rm Rm



Renewals % %



NET PROPERTY INCOME AND PORTFOLIO VALUE increased 33.5% and 35.5% respectively, mainly due to the acquisition of

the Acucap and Sycom portfolios

VACANCIESremained constant at 8.0%, despite the SAPOA vacancies for Q2 of 2015

being 10.6%. Achieved through reasonable retention and letting of space,

and sale of non-core buildings with large vacancies (The Willows, Metropark,

Sandton Place). Vacancy in the core portfolio (excl. Acucap and Sycom) rose

slightly to 8.3%

ARREARSgrew to 5.0% of collectables, as a result of the Acucap acquisition.

Arrears for the core portfolio (excl. Acucap) remained constant at 3.5%

LEASINGrenewal success rate declined marginally to 62.0%, with renewal growth

of 1.5% reflecting tough market conditions

DEVELOPMENTSjust under 130 000 m² of developments currently being undertaken, with

over 107 000 m² in joint venture. These are located in Sandton, Century City,

Umhlanga and Bryanston, with 77% of this space pre-let

27

RSA - INDUSTRIAL

FY15 FY14


Net property income 892 839


Vacancy % %


Arrears Rm Rm



Renewals % %



NET PROPERTY INCOMEup 6.3% despite difficult trading conditions

VACANCIESdeteriorated to 5.3%

Ellerines impact still 30 000 m² (1.4%)

Positive letting activity at present

ARREARS AND PROVISIONSincreased, mainly as a result of deteriorating manufacturing sector.

Remains favourable considering economic conditions

LEASINGrenewal success rate marginally down. Offset by renewal growth and

higher escalations

DEVELOPMENTSpipeline remains healthy. Value extraction of core portfolio ongoing

ACUCAP AND SYCOMexposure to two large development JVs and self-storage as an asset class.

Stor-Age market share to increase with significant development pipeline

V&A WATERFRONT

THE SILOS, V&A WATERFRONT

29

V&A WATERFRONT PORTFOLIO OVERVIEW (50%)

0

50

100

150

200

250

300

350

400

450

FY13 FY14 FY15

Rm

Retail Office Fishing & Industrial Hotel & Residential

Net property income

51.3%52.2%53.3%

21.6%23.3%

24.4%

9.5%9.8%

10.1%

17.6%

14.7%12.2%

0

1 000

2 000

3 000

4 000

5 000

6 000

7 000

8 000

FY13 FY14 FY15

Rm

Retail Office Fishing & Industrial Hotel & Residential Bulk

53.9%54.8%55.3%

20.9%

18.7%18.3%

6.1%

6.6%6.7%

11.6%

11.5%9.0%

Property portfolio (by value)

7.5%

8.4%

10.7%

399

356

328

6 761

5 9475 549

30

KEY PERFORMANCE INDICATORS – V&A WATERFRONT (50%)

FY15 FY14



Provision for bad debts (B/S) (Rm) 8,4 6,2

Bad debts (I/S) (Rm) 2,0 (2,0)



Weighted average renewal growth (%) 7.1 4.9


Number of employees (100%) 182 178

Net property income per employee (R) (100%) 4 384 615 4 000 000

31

OPERATIONAL REVIEWV&A WATERFRONT

RETAIL

11%Retail sales growth

Greater than national retail & IPD benchmarks

Despite slowdown in tourism (new Visa requirements)

ENHANCED TENANT MIXH&M – landmark letting, largest clothing retailer globally, first in South Africa

Hamleys of London

Just Cavalli

Hackett

Lorna Jane Active

Living Room

Seafolly

0%Vacancies

23,5 million visitorsConsistent footfall with 1% growth

DEVELOPMENTPlanning consent obtained for 15 000 m² extension to

Victoria Wharf

H&M and Hamleys add an additional 5 000 m²

Opening last quarter 2015

WORKSHOP 17Official launch August 2015

Co-working and meeting hub

Fostering innovative businesses

34 businesses and over 130 members already active

WATERSHEDInnovative Design Building award at SAPOA

120 craft and design tenants trading well and above expectations

Large scale exhibition space, having shown Art of the Brick and soon to come, Titanic

32


COMMERCIAL

LOW VACANCIES4.3%

Well below national benchmark of 10.6%

STRONG AVERAGE RENEWAL RATES & RENEWAL SUCCESS RATES7% & 95% respectively

FOCUSTenant retention and letting of vacant space

GROWING COMMERCIAL OFFERING AND DEVELOPMENTc18 000 m² in Gateway Precinct, large international corporate interested in 8 000 m²

Silo District gains momentum with over 18 500 m² earmarked for PwC, Werksmans, Virgin Active

Zeitz Mocaa on track for completion early 2017

Amway building subject to planning application

Aquarium Banqueting facility opened early 2015

FISHING & INDUSTRIAL

DOCKSIDE PRECINCTWon preferred bidder for cruise liner terminal

Opportunity to link V&A Waterfront to the

terminal itself

28 000 m² extension

Phased approach to redevelopment and letting

of space

STABLE FISHING INDUSTRYLong-term leases

Positive rent reversions expected for I&J and

Viking Fishing in the second half of 2015

33


HOTEL

FAVOURABLEHotel occupancies and average room rates improved,

despite slowdown in tourism (new Visa requirements)

PORTSEDGETraded for a year now

Phased re-letting of units

First tranche in line with expectations

DEVELOPMENTThe first Radisson Red in South Africa

Providing mid-market offering in the Silo district

Completion 2017

BREAKWATERDirectly opposite Victoria Wharf Shopping Centre

Completed and more than 55% let

Exceeded projections

Demonstrates demand for long-term residential product to let

DEVELOPMENTSilo no 3, 77 luxury residential apartments in design phase

Industrial look & feel

Due for release in 2015

RESIDENTIAL

AUSTRALIA - GOZ

MORT STREET, CANBERRA, ACT

35

0

10

20

30

40

50

60

FY13 FY14 FY15

Number

Office Industrial

GOZ PORTFOLIO OVERVIEW

0

300

600

900

1 200

1 500

1 800

FY13 FY14 FY15

Rm

Office Industrial

Net property income

48.8%47.4%

50.6%

1 260

1 421

1 631

51.2%

52.6%

49.4%

34.1% 31.4% 32.1%

44

5153

65.9%

68.6%67.9%

0

5 000

10 000

15 000

20 000

25 000

FY13 FY14 FY15

Rm

Office Industrial

47.8%

49.9%50.2%

15 063

20 85922 024

49.8%

52.2%

50.1%

Number of properties Property portfolio (by value)

36

KEY PERFORMANCE INDICATORS - GOZ

FY15 FY14



Provision for bad debts (B/S) (Rm) - 1,0

Bad debts (I/S) (Rm) - 0,2



Weighted average renewal growth (%) (12.7) 2.7


Number of employees 14 12

Net property income per employee (R) 116 500 000 118 416 667

37

OPERATIONAL REVIEW – GOZ

GROWING INCOME19.7 cents per share distribution for FY15 (up 3.7% on FY14)

FY15 distributable income of 21.2 cents per share above guidance

and 6% above FY14 (payout ratio of 93%)

FY16 distribution guidance of 20.5 cents per share 4.1% above FY15

GROWING PORTFOLIOAUD119,5 m of property acquisitions during FY15 with a combined

WALE of 5.9 years

Property portfolio valued at AUD2,4 bn, 14.3% increase from FY14

EXCELLENT PROPERTY FUNDAMENTALSQuality tenants diversified across office and industrial sectors located

in every Australian State and in the Australian Capital Territory

6.7 years WALE

Limited lease expiry in the short term

100% occupancy in the industrial portfolio

6% vacancy in office portfolio

PRUDENT CAPITAL MANAGEMENTGearing reduced from 40.9% (FY14) to 37.0% as of FY15

Weighted average debt maturity of 4.7 years at FY15

Investment grade credit rating from Moody’s of Baa2 maintained

First debt capital markets issuance: AUD200 m loan notes fixed for 10 years

75.8% debt hedged at FY15 with an average maturity of 5 years

HIGH TOTAL RETURN36.4% total securityholder return for FY15 in AUD vs 10.8% FY14

Recently included in the S&P / ASX200 Index

PROPERTY INVESTMENT ACTIVITIES

LAKESIDE, GAUTENG

39

HIGHLIGHTS

R504 mof acquisitions

R309 m(Growthpoint 50%) of development expenditure

R306 mof developments and capex

R475 mof commitments in terms of developments

R1,9 bnof developments and capex

R621 mof disposals

R3,3 bnof commitments

R18,6 bnacquisition of Acucap and Sycom

R237 mof disposals

R637 mof acquisitions

R460 mof commitments

RSA GOZV&A WATERFRONT (50%)

PROSPECTS

12 AUTUMN ROAD, GAUTENG

41

PROSPECTS

RSA

• Continued weakness in the domestic

economy

• Weak demand and increasing

competition

• Interest rates rising

• Negative gearing

• Pressure on property fundamentals

• Acucap and Sycom integration

V&A WATERFRONT

• Strong retail sales growth

• Exciting development opportunities

• Improved contribution from hotel and

residential sector

• Strong property fundamentals

GOZ

• Commodity based economy under pressure

• ZAR vs AUD relatively stable

• Stable interest rates with possible rate cuts

• Positive gearing

• FY16 distribution growth forecast 4% in AUD

• Withholding tax on distributions payable by

non-Australian shareholders set to increase

CONCLUSION FOR GRT

Dividend growth per share projected to be between 5% and 6% for FY16

ANNEXURES

KOLONNADE, GAUTENG

43

CONTENTS

• Annexure 1: Growthpoint’s property portfolio

• Annexure 2: Property investment activities

• Annexure 3: Split of RSA property portfolio

• Annexure 4: Acquisitions RSA

• Annexure 5: Disposals RSA

• Annexure 6: Development and capital expenditure RSA

• Annexure 7: Non-current assets held for sale RSA

• Annexure 8: Commitments RSA

• Annexure 9: Retail overview RSA

• Annexure 10: Office overview RSA

• Annexure 11: Industrial overview RSA

• Annexure 12: GLA and vacancy reconciliation RSA

• Annexure 13: Shares issued and shareholders holding >2% at FY15

• Annexure 14: Loan exposure per financier (%)

• Annexure 15: Debt expiry profile per financier (%)

44

CONTENTS

• Annexure 16: Fixed interest rate expiry profile RSA

• Annexure 17: Wealth created and distribution to stakeholders

• Annexure 18: Split of GOZ property portfolio

• Annexure 19: Acquisitions, disposals, developments and commitments GOZ

• Annexure 20: GOZ overview

• Annexure 21: Net property income analysis GOZ

• Annexure 22: GLA and vacancy reconciliation GOZ

• Annexure 23: Split of V&A Waterfront property portfolio

• Annexure 24: Acquisition, developments and commitments V&A Waterfront (50%)

• Annexure 25: Distributable income analysis V&A Waterfront (50%), “like for like” distributable income growth V&A Waterfront (50%)

• Annexure 26: V&A Waterfront overview

• Annexure 27: GLA and vacancy reconciliation V&A Waterfront (50%)

• Annexure 28: Acucap and Sycom portfolios

• Annexure 29: Equity-accounted profit/(loss) and investment

45

ANNEXURE 1: GROWTHPOINT’S PROPERTY PORTFOLIO

1. V&A Waterfront is included reflecting Growthpoint's 50% interest, GOZ is reflected at 100%

2. Based on net rental per annum

RETAIL OFFICE INDUSTRIAL RSA TOTAL GOZ¹ V&A¹

Number of properties 58 184 229 471 53 1

GLA (m²) 1 410 461 1 790 428 2 225 075 5 425 964 1 050 611 202 658

Vacancy (m²) 46 368 142 816 118 509 307 693 10 581 5 238

Vacancy (%) 3.3 8.0 5.3 5.7 1.0 2.6

Valuation (Rm) 28 213 32 963 10 436 71 612 22 024 6 761

Value per m² (excl. bulk) 19 996 17 562 4 589 12 875 20 963 30 840

Average gross rental (per m²/month) (R) 156.2 142.1 43.4 107.3 AUD188² 186.0

Forward yield (%) 7.7 8.4 10.1 8.3 7.3 7.0

Average in force escalations (%) 7.4 7.7 8.4 7.7 3.0 8.3

Weighted average lease period (years):

By gross rental 3.8 4.2 2.8 3.8 6.7 7.8

Renewal success rate (%) 87.0 62.0 61.6 65.5 32.1 92.7

Weighted average renewal growth (%) 6.0 1.5 4.9 4.1 (12.7) 7.1

Weighted average future escalations on renewals (%) 7.7 8.7 8.5 8.3 3.7 7.6

46

ANNEXURE 2: PROPERTY INVESTMENT ACTIVITIES

ANNEXURES

RETAIL

Rm

OFFICE

Rm

INDUSTRIAL

Rm

RSA TOTAL

Rm

GOZ

Rm

TOTAL

Rm

V&A (50%)

Rm

Opening balance 15 756 24 327 9 286 49 369 20 859 70 228 5 947

Purchase price of acquisitions 4, 19, 24 - 483 21 504 637 1 141 25

Purchase price of Acucap and Sycom 28 11 324 6 789 473 18 586 - 18 586 -

Selling price of disposals 5, 19 (115) (430) (76) (621) (237) (858) -

Developments and capex 6, 19, 24 352 1 003 530 1 885 306 2 191 309

Fair value adjustment 896 791 202 1 889 1 664 3 553 480

Foreign currency translation - - - - (1 205) (1 205) -

Total 28 213 32 963 10 436 71 612 22 024 93 636 6 761

Long-term property assets 28 213 32 494 10 366 71 073 22 024 93 097 6 761

Reclassified as held for sale 7 - 469 70 539 - 539 -

Commitments 8, 19, 24 743 1 889 618 3 250 466 3 716 475

47

39%

46%

15%

Retail

Office

Industrial

26%

33%

41%

Retail

Office

Industrial

57%21%

7%

8%4%

2%

1%

Greater JHB

Western Cape

Pretoria

KwaZulu-Natal

Eastern Cape

North West

Other

59%20%

5%

11%

3%1%

1%

Greater JHB

Western Cape

Pretoria

KwaZulu-Natal

Eastern Cape

North West

Other

ANNEXURE 3: SPLIT OF RSA PROPERTY PORTFOLIO

Value GLA Value GLA

48

ANNEXURE 4: ACQUISITIONS RSA

SECTOR

PURCHASE PRICE

Rm YIELD

Inyanda 1, 2, 3 & 4, Parktown, Johannesburg (remaining 50%) Office 388,3 8.1%

Quarry Hill, Tyger Valley, Cape Town Office 55,6 8.9%

36 Wierda Road West, Wierda Valley, Sandton Office 39,1 8.5%

Monte Carlo, Pinetown, Durban Industrial 21,1 Land

Total 504,1

49

ANNEXURE 5: DISPOSALS RSA

SECTOR

SELLING PRICE

Rm

PROFIT/(LOSS)

ON COST

Rm

PROFIT/(LOSS)

ON BOOK VALUE

Rm YIELD

Arcadia Centre, Arcadia, Pretoria Retail 62,5 29,7 (2,9) 14.6%

Blackheath Rendezvous, Blackheath, Johannesburg Retail 52,0 30,4 1,1 8.8%

The Willow, Illovo, Sandton Office 165,0 71,4 - 10.5%

Metropark, Pretoria Office 90,0 34,3 (0,3) 16.5%

The Avalon, Gardens, Cape Town Office 44,7 6,5 0,6 8.6%

Sandton Place, Wierda Valley, Sandton Office 44,0 7,0 0,1 6.4%

1 River Street, Killarney, Johannesburg Office 26,0 1,8 - 8.1%

21 West Street, Houghton, Johannesburg Office 19,1 (0,3) 0,1 8.7%

The Worx Zone 1, Umhlanga Ridge, Durban Office 15,8 5,1 (0,1) Land

19 West Street, Houghton, Johannesburg Office 15,2 5,4 0,2 6.3%

6 Georgian Crescent, Sandton Office 10,7 5,4 - 5.9%

Bonanza, Fordsburg, Johannesburg Industrial 14,7 1,5 - 10.0%

Heron, Booysens, Johannesburg Industrial 14,0 (3,2) (0,5) 18.8%

Strijdom Park 347, Strijdom Park, Johannesburg Industrial 13,7 0,8 (0,3) 9.3%

Metro Cash & Carry, Vanderbijlpark Industrial 10,0 3,0 - 11.5%

Newton, Newton Park, Port Elizabeth Industrial 8,6 2,7 1,9 9.8%

Denmaree, Denver, Johannesburg Industrial 8,1 1,5 - 13.8%

Chadwick, Wynberg, Sandton Industrial 6,5 2,2 - 3.2%

Total 620,6 205,2 (0,1)

50

ANNEXURE 6: DEVELOPMENT AND CAPITAL EXPENDITURE RSA

SECTOR

FY15

Rm

Vaal Mall (77.9%), Vanderbijlpark, Johannesburg Retail 44,4

Greenacres, Greenacres, Port Elizabeth Retail 43,7

Watercrest Mall (50%), Waterfall, Durban Retail 35,9

Other Retail below R30,0 m Retail 227,7

Discovery Head Office (55%), Sandhurst, Sandton Office 420,2

Bridgeway Park, Century City, Cape Town Office 82,6

Ridgeview, Umhlanga Ridge, Durban Office 65,5

The Annex (50%), Sandton Office 45,2

The Boulevard, Umhlanga Ridge, Durban Office 31,0

Other Office below R30,0 m Office 358,7

Hilltop Industrial Park, Elandsfontein, Johannesburg Industrial 64,2

Meadowbrook Estate (Gundle Site), Meadowbrook, Germiston Industrial 43,1

Greenfield Industrial Park, Airport Industrial, Cape Town Industrial 41,1

Trafford Park, Pinetown, Durban Industrial 40,0

Range Industrial Park, Bellville, Cape Town Industrial 39,8

Midrand Central Business Park, Midrand, Johannesburg Industrial 34,9

Other Industrial below R30,0 m Industrial 267,0

Total 1 885,0*

* Development expenditure – R1 219 m

Capital expenditure - R666 m

51

ANNEXURE 7: NON-CURRENT ASSETS HELD FOR SALE RSA

PROPERTIES HELD FOR SALE SECTOR

FY15

Rm

Discovery Head Office (45%), Sandton Office 380,0

132 Jan Smuts Avenue, Sandton Office 89,3

Laser Clayville, Midrand, Johannesburg Industrial 35,7

Linus, Parow, Cape Town Industrial 20,4

Laser New Brighton, New Brighton, Port Elizabeth Industrial 13,7

Total RSA 539,1

52

ANNEXURE 8: COMMITMENTS RSA

COMMITMENTS SECTOR

FY15

Rm

Developments

Vaal Mall (77.9%), Vanderbilpark Retail 264,1

Greenacres, Greenacres, Port Elizabeth Retail 195,6

Sunward Centre, Boksburg Retail 82,7

Watercrest Mall (50%), Waterfall, Durban Retail 56,2

Discovery Head Office (55%), Sandhurst, Sandton Office 1 199,5

Anslow Phase 2, Bryanston, Sandton Office 148,0

Golf Park 5, Mowbray, Cape Town Office 81,9

Ridgeview, Umhlanga Ridge, Durban Office 75,8

Bridgeway Park, Century City, Cape Town Office 133,0

The Boulevard, Umhlanga Ridge, Durban Office 49,2

Greenfield Industrial Park, Airport Industrial, Cape Town Industrial 94,3

Other below R40,0 m 339,0

Subtotal 2 719,3

Acquisitions

33 Fricker Road, Illovo, Sandton Office 115,0

Samrand vacant land, Midrand, Johannesburg Industrial 360,0


Subtotal 531,0

Total commitments 3 250,3

53

ANNEXURE 9: RETAIL OVERVIEW RSA

TOP 10 PROPERTIES BY VALUE

FAIR VALUE

Rm

GLAm²

Brooklyn Mall & Design Square (75%), Brooklyn, Pretoria 2 079 55 935

Festival Mall, Kempton Park, Johannesburg 1 730 81 146

Waterfall Mall, Rustenburg 1 361 49 196

Lakeside Mall, Benoni 1 274 67 536

Vaal Mall (77.9%), Vanderbijlpark 1 239 38 337

Bayside Centre, Table View, Cape Town 1 159 45 646

Key West, Krugersdorp 1 144 52 245

Greenacres, Port Elizabeth 1 134 40 424

La Lucia Mall, La Lucia, Durban 1 123 36 424

Kolonnade (50%), Montana Park, Pretoria 1 033 38 098

Subtotal 13 276 504 987

Balance of the sector 14 937 905 474

Total for the sector 28 213 1 410 461

TOP 10 TENANTS

GLA¹m²

Edcon Holdings (Pty) Ltd 129 046

The Foschini Group Ltd 53 860

Shoprite Holdings Ltd 149 133

Mr Price Group Ltd 55 921

Pick n Pay Stores Ltd 115 430

Pepkor Holdings Ltd 49 325

Truworths International Ltd 32 653

Massmart Holdings Ltd 66 900

Woolworths Holdings Ltd 85 872

Clicks Group Ltd 27 922

Subtotal 766 062

Balance of the sector 598 031

Total for the sector (excl. vacancies) 1 364 093

13.6

12.2

17.8

17.2

15.2

16.1

4.0

3.9

FY21 and beyond

By FY20

By FY19

By FY18

By FY17

By FY16

Monthly

Vacant

LEASE EXPIRY (% OF GLA)²

9.4

10.2

17.4

20.0

17.2

18.3

4.6

2.9

FY21 and beyond

By FY20

By FY19

By FY18

By FY17

By FY16

Monthly

Vacant

LEASE EXPIRY (% OF GROSS MONTHLY RENTAL)²

1. Ranked i.t.o. gross monthly rental

2. Excludes Acucap and Sycom portfolios

54

ANNEXURE 10: OFFICE OVERVIEW RSA


FAIR VALUE

Rm

GLAm²

The Woodlands Office Park, Woodmead, Johannesburg 2 609 114 396

Investec, 100 Sandton Drive, Sandton 2 338 70 945

Constantia Office Park, Roodepoort, Johannesburg 1 023 72 420

The Place, Sandton 1 001 34 077

Inanda Greens, Wierda Valley, Sandton 890 40 760

Harrowdene Office Park, Woodmead, Johannesburg 791 42 082

Growthpoint Business Park, Midrand 598 70 201

Tygerberg Park, Plattekloof, Cape Town 580 28 726

Montclare Place, Claremont, Cape Town 551 29 446

Turbine Square Hall, Newtown, Johannesburg 487 22 796

Subtotal 10 868 525 849

Balance of the sector 22 095 1 264 579


TOP 10 TENANTS

GLA¹m²

Investec Bank Ltd 85 134

Deloitte & Touche (South Africa) 51 202

Transnet Ltd 31 535

ABSA Bank Ltd 27 516

Netcare Hospitals (Pty) Ltd 17 867

Business Connexion (Pty) Ltd 36 093

EOH Mthombo (Pty) Ltd 26 906

Mobile Telephone Networks (Pty) Ltd 20 281

Anglogold Ashanti Ltd 19 381

Hatch Goba (Pty) Ltd 20 167

Subtotal 336 082

Balance of the sector 1 311 530


19.5

6.1

10.9

16.1

18.5

16.7

3.9

8.3

FY21 and beyond

By FY20

By FY19

By FY18

By FY17

By FY16

Monthly

Vacant


25.9

5.3

10.3

15.4

17.7

15.3

4.1

6.0

FY21 and beyond

By FY20

By FY19

By FY18

By FY17

By FY16

Monthly

Vacant




55

ANNEXURE 11: INDUSTRIAL OVERVIEW RSA

TOP 10 TENANTS

GLA¹m²

The Bidvest Group Ltd 57 036

Adcock Ingram Holdings Ltd 27 280

Scania SA (Pty) Ltd 23 341

Kulungile Metals (Pty) Ltd 49 000

Distell Ltd 45 658

The Laser Transport Group (Pty) Ltd 36 013

Allied Electronics Corporation Ltd 27 872

Pioneer Foods (Pty) Ltd 20 734

Barloworld Ltd 18 516

DCD Dorbyl (Pty) Ltd 72 252

Subtotal 377 702

Balance of the sector 1 728 864


7.2

6.5

11.8

14.9

22.5

27.1

4.9

5.1

FY21 and beyond

By FY20

By FY19

By FY18

By FY17

By FY16

Monthly

Vacant


7.7

6.9

13.1

16.3

20.0

27.4

4.0

4.6

FY21 and beyond

By FY20

By FY19

By FY18

By FY17

By FY16

Monthly

Vacant



FAIR VALUE

Rm

GLAm²

Growthpoint Industrial Estate, Meadowdale, Germiston 388 61 245

Hilltop Industrial Park, Elandsfontein, Johannesburg 325 74 089

Montague Business Park (25%), Montague Gardens, Cape Town 322 19 470

Adcock Ingram, Midrand, Johannesburg 205 21 536

Rivonia Crossing 2, Sunninghill, Sandton 186 19 778

N1 Business Park (20%), Midrand, Johannesburg 183 18 937

Omni Park, Aeroton, Johannesburg 178 41 331

Central Park, Goodwood, Cape Town 163 49 135

Kulingile Building, Isando, Johannesburg 153 49 000

Meadowbrook Estate, Meadowbrook, Germiston 142 9 684

Subtotal 2 245 364 205

Balance of the sector 8 191 1 860 870




56

ANNEXURE 12: GLA AND VACANCY RECONCILIATION RSA

1. 19.7% of opening balance GLA expired during the year under review

2. Retention % of 65.5% compared to 65.7% for the year to FY14

TOTAL GLAm²

VACANT AREAm² VACANCY

Balance at 1 Jul 2014 4 562 946 222 179 4.9%

GLA adjustments (34 041) (23 964)

Disposals (82 054) (14 880)

Acquisitions 943 191 46 800

Developments and extensions 35 922 -

Leases expired in the year¹ 896 935

Renewals of expired leases² (587 683)

New letting of vacant space (411 407)

Leases terminated 179 713

Balance at 30 Jun 2015 5 425 964 307 693 5.7%

57

ANNEXURE 13: SHARES ISSUED AND SHAREHOLDERS HOLDING >2% AT FY15

SHARES

Opening balance 1 Jul 2014 2 284 908 257

Share issued for acquisition (Sep 2014) 3 792 120

Distribution reinvestment (Sep 2014) 42 221 311

Distribution reinvestment (Mar 2015) 46 472 377

Acucap share issue (Apr 2015) 317 370 060

Special distribution reinvestment (Apr 2015) 16 292 139

Closing balance Jun 2015 2 711 056 264

Treasury shares held for staff share scheme (30 631 827)

Shares in issue (net of treasury shares) 2 680 424 437

% HOLDING SHARES HELD

Public Investment Corporation (PIC) obo GEPF 13.6 369 612 734

Southern Palace Properties 6.1 165 985 203

Stanlib 5.0 134 760 498

Investec 3.4 91 565 956

Old Mutual Group 3.3 88 992 652

Vanguard 3.0 82 511 911

BEE Consortium 3.0 80 166 667

Momentum 2.9 77 811 726

Investment Solutions 2.4 64 528 014

Coronation Fund Managers 2.4 63 921 521

Sanlam Group 2.2 59 916 744

Eskom Pension & Provident Fund 2.2 59 647 476

Total shareholders holding >2% 49.5 1 339 421 102

Other 50.5 1 371 635 162

Total 100.0 2 711 056 264

Foreign shareholding 20.7%

58

ANNEXURE 14: LOAN EXPOSURE PER FINANCIER (%)

34

2012

12

7

5

53 11 Nedbank

RMB

Standard Bank

JSE

OMSFIN

Investec

LibFin

ABSA

Sanlam

China Construction Bank

59

ANNEXURE 15: DEBT EXPIRY PROFILE PER FINANCIER (%)

0

5

10

15

20

25

FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24

%

ABSA China Construction Bank Investec JSE LibFin Nedbank OMSFIN RMB Sanlam Standard Bank

23 23

17

109

8

3

0

7

60

ANNEXURE 16: FIXED INTEREST RATE EXPIRY PROFILE RSA (%)

24 3 15 15 15 11 13 0 0 4 0

5

10

15

20

25

30

Floating FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24

%

61

ANNEXURE 17: WEALTH CREATED AND DISTRIBUTION TO STAKEHOLDERS

0

1 500

3 000

4 500

6 000

7 500

9 000

FY13 FY14 FY15

Rm

Employees Shareholders/linked unit holders Minority interest holders

Providers of debt Governments - direct taxes Reinvested in the Group

5 653

6 652

8 060

6.2%

48.3%

4.4%

32.2%

8.3%0.6%

1 820

248

469

353

2 728

35

6.3%

52.6%

4.4%

27.1%

9.0%0.6%

1 802

293

602

418

3 497

40

5.7%

52.5%

4.1%

27.5%

9.3%0.9%

2 215

329

747

463

4 232

74

62

ANNEXURE 18: SPLIT OF GOZ PROPERTY PORTFOLIO

Value

50%50%

Office

Industrial

GLA

18%

82%

Office

Industrial

Value

30%

31%

7%

22%

6% 3%1%

Queensland

Victoria

South Australia

New South Wales

Western Australia

ACT

Tasmania

GLA

17%

51%

11%

11%

8%1%

1%

Queensland

Victoria

South Australia

New South Wales

Western Australia

ACT

Tasmania

63

ANNEXURE 19: ACQUISITIONS, DISPOSALS, DEVELOPMENTSAND COMMITMENTS GOZ

ACQUISITIONS SECTOR

FY15

Rm AUDm

211 Wellington Road, Mulgrave, VIC Office 66,8 7,0

1500 Ferntree Gully Road &

8 Henderson Road, Knoxfield, VIC

Industrial 366,6 38,8

6 Kingston Park Court, Knoxfield, VIC Industrial 111,4 11,8

3 Millennium Court, Knoxfield, VIC Industrial 92,5 9,8

Total 637,3 67,4

DISPOSALS SECTOR

FY15

Rm AUDm

42-44 Garden Street, Kilsyth, VIC Industrial 165,4 17,4

306-318 Abbotts Road, Lyndhurst, South, VIC Industrial 71,4 7,7

Total 236,8 25,1

DEVELOPMENTS AND

CAPITAL EXPENDITURE SECTOR

FY15

Rm AUDm


Other 54,5 5,4

Total 306,4 32,7

COMMITMENTS SECTOR

FY15

Rm AUDm


Other 197,3 21,0

Total 466,0 49,0

64

TOP 10 PROPERTIES BY VALUE SECTOR

FAIR VALUE

Rm

GLAm²

1 Charles Street, Parramatta, NSW Office 2 457 31 954

70 Distribution Street, Larapinta, QLD Industrial 1 818 75 425

20 Colquhoun Road, Perth Airport, WA Industrial 1 259 80 374

Building C, 219-247 Pacific Highway, Artarmon, NSW Office 973 14 496

1231-1241 Sandgate Road, Nundah, QLD Office 876 12 980

333 Ann Street, Brisbane, QLD Office 855 16 490

10-21 Mort Street, Canberra, ACT Office 799 15 398

CB1, 22 Cordelia Street, South Brisbane, QLD Office 780 11 529

28 Bilston Drive, Wodonga, VIC Industrial 756 57 440

572-576 Swan Street (Building 2), Richmond, VIC Office 738 14 660

Subtotal 11 311 330 746

Balance of GOZ 10 713 719 865

Total for GOZ 22 024 1 050 611

ANNEXURE 20: GOZ OVERVIEW

TOP 10 TENANTS

GLA¹m²

Woolworths 406 941

NSW Police 31 954

GE Capital Finance Australasia 24 910

Linfox 58 077

Commonwealth of Australia - DEEWR 15 398

Jacobs Engineering 9 595

Energex 8 754

Fox Sports 8 092

Star Track Express 44 424

Downer EDI Mining 5 636

Subtotal 613 781

Balance of GOZ 426 249

Total for GOZ (excl. vacancies) 1 040 030

6 1 2

169

2

64

19 4 5

15

66

0

20

40

60

80

Vacant By FY16 By FY17 By FY18 By FY19 By FY20 FY21 andbeyond

%

Office Industrial

LEASE EXPIRY (% OF GLA)

7 2 314

8 4

62

0 1 6 5 414

70

0

20

40

60

80


%

Office Industrial

LEASE EXPIRY (% OF GROSS MONTHLY RENTAL)


65

ANNEXURE 21: NET PROPERTY INCOME ANALYSIS GOZ

FY15

Rm

FY14

Rm

INCREASE/

(DECREASE)

Gross property revenue 1 844 1 617 14.0%

Property expenses (213) (196) 8.7%


Adjustments (300) (88)

Foreign exchange impact (4) -

Acquisitions and developments (290) (70)

Disposals (6) (18)

Adjusted “like for like” net property income¹ 1 331 1 333 (0.2%)

Office 652 675 (3.4%)

Industrial 679 658 3.2%

1. An increase in vacancies and decrease in rentals compared to FY14 for four properties had a significant impact on the "like for like".

If the effect thereof was excluded, the "like for like" is 2.0%

• Average exchange rate R9.55/AUD (FY14: R9.53/AUD)

66

ANNEXURE 22: GLA AND VACANCY RECONCILIATION GOZ


2. Retention % of 32.1% compared to 76.0% for the year to FY14

TOTAL GLAm²

VACANT AREA(m²) VACANCY

Balance at 1 Jul 2014 1 036 740 15 786 1.5%

GLA adjustment 60 (60)

Disposals (36 601)

Acquisitions, developments and extensions 50 412

Leases expired in the year¹ 12 888




Balance at 30 Jun 2015 1 050 611 10 581 1.0%

67

ANNEXURE 23: SPLIT OF V&A WATERFRONT PROPERTY PORTFOLIO

Property portfolio by value

54%

21%

6%

11%

8%

Retail

Office

Fishing & Industrial

Hotel & Residential

Bulk

Property portfolio by GLA

22%

25%28%

25%

Retail

Office


Hotel & Residential

Developed vs undeveloped by value

92%

8%

Developed

Undeveloped

Net property income

51%

22%

9%

18%

Retail

Office


Hotel & Residential

68

ANNEXURE 24: ACQUISITIONS, DEVELOPMENTS AND COMMITMENTSV&A WATERFRONT (50%)

DEVELOPMENTS SECTOR

FY15

Rm

Watershed Retail 30,5

Grain Silo – Zeitz Mocaa Museum 66,5

Silo – Phase 2 extended car park Office 48,5

Breakwater Hotel & Residential 43,5


Total 309,0

COMMITMENTS SECTOR

FY15

Rm

No. 5 Silo - PwC and Werksmans Office 111,0

Silo – Phase 2 extended car park Office 41,0

No. 3 Silo - Residential for sale Hotel & Residential 170,0

No. 4 Silo - Virgin Active Classic Club Hotel & Residential 36,0

Grain Silo – Zeitz Mocaa Museum 90,0


Total 475,0

ACQUISITIONS SECTOR

FY15

Rm

Amway Office 25,0

Total 25,0

69

ANNEXURE 25: DISTRIBUTABLE INCOME ANALYSIS V&A WATERFRONT (50%),“LIKE FOR LIKE” DISTRIBUTABLE INCOME GROWTH V&A WATERFRONT (50%)

ACQUISITIONS

FY15

Rm

FY14

Rm

INCREASE/

(DECREASE)

Gross property revenue 553 485 14.0%

Property expenses (154) (129) 19.4%

Net property income 399 356 12.1%

Other operating expenses (16) (16) -

Net finance (costs)/income (20) (14) 42.9%

Other non-distributable amounts 5 6 (16.7%)

Distributable income 368 332 10.8%

Adjustments (28) (25)

Amway acquisition (1) -

Pick n Pay development of new and existing space (16) (9)

Other developments (11) (16)

Adjusted “like for like” distributable income 340 307 10.8%

70

ANNEXURE 26: V&A WATERFRONT OVERVIEW

TOP 10 TENANTS (100%)

GLA¹m²

Allan Gray (Pty) Ltd 18 500

Nedbank Group Ltd 25 432

Sun International Hotels 17 100

Legacy Hotels 16 226

Woolworths Holdings Ltd 7 682

Edcon Holdings (Pty) Ltd 7 162

Newmark Hotels 7 564

Tourvest Holdings (Pty) Ltd 3 212

The Foschini Group Ltd 2 824

National Department of Public Works 14 600

Subtotal 120 302

Balance of V&A Waterfront 274 538

Total for V&A Waterfront (excl. vacancies) (100%) 394 840

13 1023 20

1123

411 9 8 5 2

61

2 1 19

87

2 1 18

88

0

20

40

60

80

100


%


LEASE EXPIRY (% OF GLA)

1

20 1522 20

9 137 8 7 4 1

73

1 2

51 46

1 1 3

95

0

20

40

60

80

100


%


LEASE EXPIRY (% OF GROSS MONTHLY RENTAL)


71

ANNEXURE 27: GLA AND VACANCY RECONCILIATION V&A WATERFRONT (50%)


2. Retention of 92.7% compared to 89.1% for the year to FY14

TOTAL GLAm²

VACANT AREA(m²) VACANCY

Balance at 1 Jul 2014 195 700 2 974 1.5%

GLA adjustment (2 246) 42

Developments and extensions 9 204 9 204

Leases expired in the period¹ 9 819




Balance at 30 Jun 2015 202 658 5 238 2.6%

72

ANNEXURE 28: ACUCAP AND SYCOM PORTFOLIOS

1. Industrial portfolio consists of Montague Business Park and N1 Business Park, which are under development

TOTAL

Number of properties 46

100% 38

Between 100% and 50% 4

Below 50% 4

GLA (m²) 913 352

Retail 534 136

Office 340 809

Industrial 38 407

Vacancy at 30 Jun 2015 (%) 4.5%

Retail 2.3

Office 6.5

Industrial 16.6¹

73

ANNEXURE 28: ACUCAP AND SYCOM PORTFOLIOS (CONTINUED) FY15

Rm

Fair value of properties 18 586

Net working capital (390)

Other assets 1 212

Fair value of borrowings (7 736)

Net asset value 11 672

Funded by issue of share capital (8 955)

Fair value of previously held investment in Acucap (5 631)

NCI, based on their proportionate interest in the recognised amounts of the assets and liabilities (64)

Goodwill (2 978)

Net cash inflow (included in net asset value) 80

Effective date 1 April 2015

74

EQUITY-ACCOUNTED INVESTMENTS INCLUDED

FOR MANAGEMENT ACCOUNTS

FY15

Rm

Investment property 62

Current assets 3

Current liabilities (4)

Other liabilities (6)

Owners’ equity and loan 55

ANNEXURE 29: EQUITY-ACCOUNTED PROFIT/(LOSS) AND INVESTMENT

EQUITY-ACCOUNTED PROFIT INCLUDED


FY15

Rm

Gross property income 6

Property expenses (1)

Net property income and equity-accounted profit

before taxation

5

Taxation (1)

Equity-accounted profit after taxation 4

Distribution made (4)

Newshelf 919, 50% owned by Growthpoint

75

EQUITY-ACCOUNTED INVESTMENTS INCLUDED


FY15

Rm

Investment property 569

Other assets 1

Current assets 7

Interest-bearing borrowings¹ (502)

Other liabilities (18)

Other current liabilities (9)

Owners’ equity and loan 48

ANNEXURE 29: EQUITY-ACCOUNTED PROFIT/(LOSS) AND INVESTMENT(CONTINUED)

EQUITY-ACCOUNTED PROFIT/(LOSS) INCLUDED


FY15

Rm

Gross property income 13

Property expenses (4)

Net property income 9

Other operating expenses (3)

Net finance costs (11)

Equity-accounted profit before taxation (5)

33 properties: Stor-Age, 33.3% owned by Growthpoint

1. Includes R314 m owed to Growthpoint

THANK YOU

DELOITTES, KWAZULU-NATAL

ANNUAL RESULTS PRESENTATION - Growthpoint Statements/Growthpoint Results June... · GOZ pure industrial fund • • Moody’s upgrade Baa2 • Successful acquisition of Acucap and

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