Borch Group
January 2012
Property brokers Operation and maintenance
Financial advice Property
management
Company management
Funding Building projects Asset
Management
Due Diligence Facility
Management Primary analysis Lettings
2
This is Borch Group
• Established in 1996
• Main focus on the Danish market
• Over the last 12 years the Group has developed, managed and sold for over 3 BN DKK
• Borch Group has over the past 15 months completed
39 transactions for all together 1.3 BN DKK
• The Group employs 14 associates at the office in Copenhagen
3
Business Areas
Direct investments
• Development projects
• Financially distressed properties and portfolios
• New property concepts
Transactions
• Property- and company transactions
• Portfolio transactions
• Sale & Leaseback
Finance
• Advising on bank and mortgage financing
• Private equity
Strategic Advising
• Purchase- and sale
• Portfolio
Corporate Finance Private Equity
4
Full Service
• Property management
• Maintenance
• Development
• Rental service
Asset Management
Corporate Finance – Business Idea
5
Investment Strategy – Private Equity
• Attractive property compared to other asset classes
• Medium and long term perspective
• Value Adding program
• Realisation when incremented value has been reached
6
10%
9%
8%
7%
6%
5%
4%
0% 30%
RISK (STANDARD DEVIATION)
EXP
ECTE
D Y
IELD
Money-market
StateBonds
HedgeFond
Credit Bonds
Property
Shares
Private Equity
Evaluation Process – Commercial Due Diligence
• Tenant analysis
• Location • Rental level
• Net Operating Income (NOI)
• Finance
• Income and cost analysis
• Development potential
7
Goals
• Management and development of our investors’ portfolios are our key competences
• Borch Group currently manages and develop 1,4 BN DKK worth of portfolios
8
Portfolio Management
Strategy, purchase/sale, finance and reporting
Asset Management
Rental, development
Facility Management
Administration, service etc.
Projects from the past 15 months
• Largest project 500 mill. DKK • 7 mixed residential and commercial properties with
prime location in Copenhagen • 2 office properties in CBD Copenhagen • 39 apartments for Copenhagen Business School’s
foreign students
• 225 mill. DKK • Mixed residential and commercial properties in
central Copenhagen and Helsingør, School of Architecture in Aarhus, and retail store in Ålborg.
• Development of private residential property in Copenhagen area 125 mill. DKK
9
Summary
Strategic advice Portfolio management
CO
RP
OR
ATE
FIN
AN
CE P
RIV
ATE EQ
UITY
10
Management
11
Kim Borch Managing Director
Michael Facius Chief Financial Officer
The Team
• CEO and founder of Borch A/S (2008)
• CEO and founder of Borch Ejendomsadministration ApS (2004)
• CEO CEO and founder of Borch Invest A/S (2001)
• CEO and founder of Borch Holding (1996)
• CEO in Borch & Hesseldahl • Key Account Manager with Codan
Insurance (Sun Alliance) • Handelsbanken (now Danske Bank)
• CFO, Habro Gruppen • Internal Auditor, Dansk Landbrugs
Grovvareselskab • Audit assistent, Ernst & Young • Graduate Diploma in Financial and
Management Accounting (HD-R)
The Team represent a broad and solid experience with all areas of asset management.
• Architect • EngineerConstructing • MSc Economics/MBA • LLM • Msc in business administration and
commercial laws • Academic Business Degree in
Financial Management (AP)
Partners
Solicitors CLP – Oslo Lett – København Rønne & Lundgreen – København Accountant PwC Insurance Willis
Engineer COWI - København Gregersen & Olsson Member of Danish Real Estate Owners Association
12