Investor Presentation 2011 First Half Results 1
Disclaimer This document has been prepared by ANF Immobilier SA ( ANF Immobilier ) solely for the use of presentations made to investorsor analysts. ANF Immobilier makes no representations or warranties that the information contained herein is accurate, correct or complete. The information set out herein is provided as of the date of the presentation and ANF Immobilier is under no obligation to keep current the information contained in this presentation. However, this information is subject to completion and/or revision and ANF Immobilier has the right to change the content hereof, in its sole discretion, at any time without prior notice. This document may contain information regarding current or future transactions as well as pro forma information to show ANF Immobilier as it would be after said transactions have been completed. These forward-looking statements are provided for information purposes only and are not guarantees of future performance. No information provided on this document constitutes, or should be used or considered as, an offer to sell or a solicitation of any offer to buy the securities or services of ANF Immobilier or any other issuer in any jurisdiction whatsoever. Sept 1 2011 2
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H1 2011 Figures, Strategy Strength Demonstration Significant Gross Rental Income growth +12.3% portfolio like-for-like +23.4% city-center like-for-like * Impact of Printemps litigation Court fixed annual rents at 2.1M (vs 0.4M) Printemps paid 9.1M one-off including rents, overdue rents & interests Recurring cash-flow +15.2% Recurring EBITDA margin 81.5% EPRA Net Asset Value= 40.5 per share Appraisal= 1,607M +2% FY 2011 guidance: +15% like-for-like rental growth for city-center properties likely to be overtaken Long term guidance reiterated 4
H1 2011 Figures, Strategy Strength Demonstration M Reported Change 2011/2010 Reported * Reported 2011 2010 2009 H1 reported l-f-l H1 H1 Gross Rental Income 45.24 33.0% 35.9% 34.00 32.26 B&B 16.48 1.3% 0.7% 16.27 15.26 Marseille Lyon 28.77 62.2% 69.6% 17.74 17.00 Recurring GRI 37.41 10.0% 12.3% 34.00 32.26 EBITDA 38.34 40.0% 27.40 25.26 % margin 85% 4.2 81% 78% Recurring EBITDA 30.52 11.4% 27.40 25.26 % margin 82% 1.0 81% 78% Cash Flow 29.56 56.8% 18.85 17.53 Recurring Cash Flow 21.73 15.3% 18.85 17.53 RCF ( per share) 0.80 15.1% 0.69 0.67 Average # of shares 27.33 27.28 26.20 Capex 29.55-12 41.81 64.59 Change in fair value (incl KG on disp) 20.56 11 9.49-92.14 Net Income 50.11 23 27.56-77.35 M Reported Reported Reported 30/06/2011 31/12/2010 30/06/2010 Real Estate portfolio 1,607 1,573 1,542 B&B 499 492 489 Marseille Lyon 1,108 1,081 1,054 Net Debt 489 460 472 EPRA NAV ( per share) 40.5 40.3 38.5 EPRA Triple Net NAV ( per share) 39.6 39.0 36.9 LTV 30% 29% 31% 5
Balanced Assets Mix Able to Seize Growth in Resiliant Location % H1 recurring GRI ANF Portfolio Market Environment Hotels 16.7M 45% 168 hotel properties accross France Typical location around highways Budget hotel average room rate 45.5 Fixed indexed long term leases (2019) Trends : B&B remains a very solid budget hotel chain in France with growth in RevPar and occupancy cost ratio of 20% Index : Q2 2011 +2.25% Retail 10.0M 27% Residential 5.1M 14% Offices 4.8M 13% 62,000sqm in Haussmann ground floor building located in Lyon & Marseille citycenter Average size: 150sqm 129,000sqm in Haussmannbuilding located in Lyon & Marseille city-center Average size: 67sqm 54,000sqm in Haussmannbuilding located in Lyon & Marseille city-center Average size: 170sqm (Haussmann) 9,000 sqm in New buildings (Marseille) Lyon: Rue de la République one of the most attractive retail street outside Paris Prime rent above 2,500/sqm Marseille : Rue de la République on a growth path with prime rent 500-700/sqm Lyon: Strong demand and sustain turnover leading to rents increase above 12.0/sqm* Marseille : Base rent stable at 11.0/sqm* despite new supply from vacancies Furnished apartment at 20-25/sqm* * Per month Lyon: Little supply giving price power to ANF Prime rent at 250/sqm Marseille : Short of delivery in the medium term No vacancy Other rents = 0.4M (car parks, ) 6
Strong Revenue Growth Balanced Over the Portfolio Assets City-center +23.4% like-for-like 50.0 45.0 40.0 35.0 30.0 25.0 20.0 Active asset management Efficiency of residential vacancy reduction and retail renegotiation (reversion potential) 34.0 Hotels 16.3 Marseille 2.1 Hotels: +0.7% like-for-like Lyon 9.0 Long term secured stream of rents providing high visibility Lyon M Chge Retail 5.6 33% Resid. 1.5 14% Offices 2.1-1% Other 0.1 NA One-off P 7.8 NA 17.2 20.53% Hotels 0.2 Recurring 45.2 Hotels 16.5 Lyon 17.2 15.0 10.0 5.0 - Lyon 8.2 Marseille 9.5 Marseille M Chge Retail 4.3 18% Resid. 3.6 9% Offices 2.7 * 78% Recurring Other 1.0 NA 11.6 25.90% * Includes full impact of Fauchier delivery Marseille 11.6 H1 2010 Marseille Lyon Hotels H1 2011 7
Printemps Litigation A Major Step in a Long Run Value Creation Development Printemps lease - 0.4M -expired in June 2006 Printemps occupied 10,000sqm on Lyon, Place de la République Court to fix the renewal rents as both parties unable to find an agreement 9.1M one-off paid by Printemps Type Rents Amount 7.8M 0.9M Overdue rents from June 2006 to December 2010 Non recuring Jan 2011 Jun 2011 Rents Interest 0.4M Interest for the overdue period New rent fixed at 2.1M value June 2006 Court followed experts values at 450/sqm for weighted retail area No appeal by Printemps 9.1M 8
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Solid Valuation Appraisal = 1,607M City-Center Value Growth Over 4% like-for-like Appraisal = 1,607M Limited cap rate compression on the Citycenter portfolio: 10-30 bps 5-10bps cap rate compression on hotels portfolio : average cap rate = 6.58% (vs. 6.68%) 1,600 1,400 1,200 1,000 800 600 400 200-368 Marseille 233 Lyon 135 444 Marseille 275 Lyon 169 657 Marseille 409 Lyon 248 1,392 B&B 460 Marseille 581 Lyon 351 1,543 B&B 466 Marseille 627 Lyon 450 1,504 B&B 474 Marseille 613 Lyon 417 1,573 B&B 492 Marseille 646 Lyon 435 1,607 B&B 499 Marseille 655 Dec 04 Dec 05 Dec 06 Dec 07 Dec 08 Dec 09 Dec 10 Jun 11 Lyon 453 ( M) 30/06/2011 31/12/2010 Var Lyon 380 362 5% Marseille 573 565 1% City-center properties 953 927 3% Undergoing Development 155 154 1% City-center Portfolio 1,108 1,081 3% Hotels Portfolio 499 492 1% ANF Immobilier 1,607 1,573 2% Undergoing Development, no change in perimeter Restructuring: TAT, Plot 20 Dames, Pavillon Vacon, Rive Neuve New construction: Rabatau, Plot 34, Desbief Fauchier, Forbin and Plot 25 as city-center properties 10
Comfortable financing structure One of the Lowest Geared Company in Sector Loan-to-Value= 30% 70M Cash (as end of August 2011) Net financial debt = 489.1M (as 30/06/11) Cash & equivalent = 34.4M (as 30/06/11) Conservative strategy Financing balanced between available types of debt Sources of debt mixed of local and global banks Debt sources breakdown ( M) Leasing 4 51M available financing 3 credit facilities available from 3 different French banks 2011 & 2012 investment program financing secured No refinancing until 2014 95% of credit lines fully hedged by plain vanilla swaps Cost of debt = 4.38% Unsecured (corporate) 268 Secured (mortgage) 251 Outlook Current pipeline financed with debt Internal discipline not to exceed 40% LTV (covenant =50%) 11
EPRA Net Asset Value = 40.5/share (excluding fair value of hedging instruments 42.0 41.0 40.0 39.0 1.5 0.1 1.1 0.8 38.0 37.0 40.3 38.5 38.8 38.8 38.7 38.7 39.8 40.5 36.0 35.0 NAV Jun 10 NAV Dec 10 Dividend NAV Dec 10 post div Cap Increase Cash Flow FV Properties NAV Jun 11 (per share) 30/06/10 31/12/10 30/06/11 Chg 6 m Chg 12 m EPRA NAV 38.5 40.3 40.5 0.5% 5.2% EPRA NNNAV 36.9 39.0 39.6 1.5% 7.3% 12
Enlarged Free Float Drives Significant More Stock Liquidity Free float of ANF increased to 34% from 26% ( 61M) ANF Immobilier shareholding structure Liquidity increase : 2.8x more at August (vs. same period) EPRA Liquidity rule* matched since February 2011 -> objective inclusion in EPRA Index for March 2012 CEPAC + BPCE 5% CNP Generali 5% 5% Free float 34% Volume moving average over same period (2011 & 2010) 30,000 Eurazeo 51% Number of shares 27,771,170 25,000 20,000 MA Vol 2011 MA Vol 2010 2.8x more 15,000 10,000 5,000-6-May 11-May 16-May 21-May 26-May 31-May 5-Jun 10-Jun 15-Jun 20-Jun 25-Jun 30-Jun 5-Jul 10-Jul 15-Jul 20-Jul 25-Jul 30-Jul 4-Aug * EPRA Inclusion Liquidity Rule - Median daily turnover trading per month at least 0.05% of free float (rounded at 40% for ANF) - Test must pass at least 10 of the 12 months prior review - Liquidity tested on an annual basis in March. 13
Triple Source of Growth to Enhance Returns Strategy - Reducing vacancy in Marseille residential Innovative Asset Management - Capturing significant reversion potential - Expending product range Securedpipeline of investment - Restructuration of low yielding properties - Value creation on unexploited land bank in Marseille Opportunistic asset rotation - Disposal of matured properties block or unit in Lyon & Marseille - Potential new investments outside Rue de la République Cash Flow Accretive Strategy Over Medium Term 14
A Unique Property Investment Model Key Highlights The Two Most Dynamic Regional Cities A Diversified Asset Mix % of value % of rental income Eurazeo s SIIC subsidiary 850M market cap 1.6bn property portfolio B&B 31% Marseille 41% Hotels 45% Retail 27% Residential 13% Lyon 28% Other 2% Offices 13% 4 Pillars of Growth 1. Lyon 2. Marseille 3. B&B 4. Developments 80,000 sqm 453M portfolio Office, retail & residential 165,000 sqm 655M portfolio Office, retail & residential 168 hotels throughout France 499M portfolio 110,000 sqmof land reserves in Marseille & Lyon Yield on cost > 8% A Superior Rental Income Growth( M) 2005-2010: +59% like-for-like +55% CAGR 2005-2010: 10% like-for-like 107 59 65 69 23 24 30 2005 2006 2007 2008 2009 2010 2014E 15
Marseille Residential Vacancy Reduction a Value Creation Catalyst Total vacancy (technical + historical) (sqm) S1 S2 S3 S5 Marseille Areas as 31/12/2010 Total 48,348 23,586 13,126 12,808 97,868 2010 global occupancy (exc. Tech & hist) 87% 44% 62% 61% 70% Vacant as 31/12/10 Total 6,110 13,227 5,052 5,034 29,423 Vacant as 31/12/11 Total 3,600 9,927 2,052 3,034 18,613 35,000 30,000 25,000 20,000 15,000 10,000 Objectives for 2011: Reduction of 11,000sqm 29,423 1,000 1,500 1,600 1,700 3,000 2,000 Disposal Rental Vacant 18,623 Estimated vacancy at end 2011 = 18,600sqm Segment 1: no historical vacancy Segment 2: Launch of work in 2013 & sales 2012-2013 Segment 3: Launch of work for sale in 2012 Segment 5: Sale 2012-2013 New rental initiative to increase yield Flat sharing apartment Furnished apartment 3.0M new rents potential for medium term Full year run rate potential at a target rent of 11.5/sqm per month Excluding technical vacancy and disposal Base assumptions Vacant disposal= 4,600sqm New rent per month= 11.5/sqm Technical vacancy= 6% 5,000-31/12/2010 Segment 1 Segment 2 Segment 3 Segment 5 31/12/2011 16
City-center Portfolio: Significant Potential for Reversion Additional 7.6M Annual Rental Income in the Near Term +80% rental upside on standard leases maturing before 2013 = + 6.6M Marseille Lyon Area (sqm) Current ( /sqm) Target ( /sqm) Potential ( M) Area (sqm) Current ( /sqm) Target ( /sqm) Potential ( M) Retail 8,104 161 350 1.5 9,096 164 500 3.1 Office 5,387 135 160 0.2 8,689 131 200 0.6 Residential 26,065 7.04* 11.00* 1.4 6,425 10.55* 11.50* 0.1 * Rentsper month Total Marseille 2.9 Total Lyon 3.7 Potential rental upside on Loi 1948 regulated leases = + 1.0M Flat-rent lease regime subject to old regulation protective for the tenant in place 12,670 sqm average passing rent 4.21/sqm per month 17
Example of Innovative Asset Management Plot 17 Creation of student furnished apartments Plot 17 refurbishment: Creation of student furnished apartments Tranche 1 (2010): From family apartments (29) to students apartments (80) Apartments before slicing(29) Student Apartments(80) Areas 2,846sqm Less-448sqm for common areas 2,398sqm Residential rents 418,000 12/sqm 595,000 20/sqm All-in Capex Private & common areas, façade 4.7M 5.5M Yield-on-cost 6.6% 9% Tranche 2 (2011): Follow-on with demand - objective 80 units 53 units undergoing (1,638sqm) 27 units (1,138sqm) currently occupied to be refurbished when vacant Tranche 2 In 2011 Objective * Includes retail GRI Gross Rental Income* out of Residential 619,000 20/m² 811,000 20/sqm All-in Capex Private & common areas, facade 4.5M 6,7M Yield-on-cost 11% 12% Strong demand from students, further furnished apartment creations in Plot 20 (100 to 120 units) 18
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Example of Innovative Asset Management Mansardes Creation of prime apartments in attics Mansardes: Creation of new apartments in attics Tranche 1 2 3 4 Total Year 2009 2010 2011 2012 Surface (sqm) 1,404 2,128 1,757 1,236 6,525 Nb appart. (#) 24 35 33 18 110 Rents ( ) 229,133 375,379 320,039 223,963 1,148,514 Rents ( /sqm/month) 13.6 14.7 15.2 15.1 14.7 Yield-on-Cost privatif 12% 11% 12% 15% 12% 20
Example of Innovative Asset Management Mansardes Creation of prime apartments in attics 21
A Secured Pipeline of Investment with an Attractive Minimum Yield-on-Cost of 8% Restructuring New construction 6 restructuring developments on existing built assets Status Undergoing Development Pavillon-vacon Plot 25 Mansardes Launched 2012 Rive Neuve Plot 20 Dames Long term TAT 5 new construction developments on ANF lands Status Delivered Fauchier Forbin Launched 2011 Plot 34 Launched 2012 Rabateau Launched 2013 Desbief Development Development secured by major tenants Retail leases signed before works No start without costs & tenants secured 22
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Opportunistic Disposals Disposals booked& undergoing (excl. dev sale) Disposals booked(signed) Year Areas (sqm) Value Disp. Price Gain 2009 12,758 45.1M 47.5 M 5% 2010 12,067 28.5M 29.7 M 4% Residential unit sale 13/15/17 rue des Archers (Lyon 2 e ) 30 units for 2,130sqm Average Sale Price Vacant Renovated 5,375/sqm Average Sale Price without renovation 4,223/sqm 2011 11,605 33.8M 35.6 M 5% Disposals secured (agreement) Year Areas (sqm) Value Disp. Price Gain 2011 3,793 m² 7.9M 9.6M 22% Undergoing disposals Areas (sqm) Value 17 997 m² 38,9M Pavillon Vacon(Marseille) 27 Pavillon : 9 units sold ; average price 3,700/sqm 50/54 Vacon : 13 units one sale 7 secured ; average price 3,953/sqm 30/35 Pavillon : 13 units one sale 4 options ; average price 4,018/sqm Secured Disposal Evolution ( M) 45 40 35 30 40 37 40 To be Completed 10 29 Disposal above appraisal 25 20 15 10 Booked 30 Strong demand for residential 5-2009 2010 2011 Undergoing 24
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Triple Source of Growth to Enhance Returns Restructuring & Developments Lead to a Secured Rent Forecast 2011 Rental Income +8% & +15% on city-center portfolio Increase of +55% in like-for-like rental income + 38M additional rents to be negotiated within 3 to 4 years Millions 110 100 Capex to completion M Properties Development Lyon 21.13 53.62 74.75 Marseille 96.92 112.41 209.33 Total 118.05 166.03 284.08 To be launched 6 Undergoing 6 Delivered 3 90 To be launched 9 80 Loi 48 1 Lyon 3 Undergoing 3 107 70 Marseille 3 Marseille 4 Fauchier& Forbin delivered 92 in 2010, full impact in 2011 80 60 69 69 72 50 2010 Rents Vacancy Reversion Restructuring New construction Target 27
Strong Investment Case Superior Platform for Growth and Returns Performance on delivery Confidence Solid financial structure Stock rewriting Strong results at 2011 H1 2011 FY Rents objective likely to be overtaken Few impact of uncertainties on ANF Immobilier Medium term guidance reiterated Limited use of debt & cash available No refinancing before 2014 Liquidity improved Free float enlarged 28
Appendices 29
Strong Investment Case Superior Platform for Growth and Returns Guidance 2011 FY Recurring GRI 73.2M City-center +15% like-for-like 6 An experienced management team with a superior track record Innovative asset management on existing properties Value creation oriented development strategy Medium Term FY GRI 107M 5 An attractive & steadily growing dividend policy Current dividend yield= 5.0% 2006-2010 dividend growth CAGR =6.4% 3 4 A best in class financing position providing flexibility to seize opportunity as they rise 30% LTV one of the lowest in sector No debt repayment due until 2014 A secured, visible and high yielding development pipeline fueled by opportunistic capital recycling strategy Reaping the Benefits of Past Restructuring Efforts 2 A resilient cash flow stream provided by hotels 168 mature hotels thouroughfrance leased back to B&B on long & indexed leases 1 A diversified high quality city-center portfolio with superior growth potential Presence in the 2 most dynamic French regional cities Substantial reversionary potential and vacation management opportunities 30
History Before 2002 In 2002 In 2004 In 2005 SCHP and partners SCHP & partners SCHP & partners SCHP & partners Rue Impériale de Lyon Sté Immobilière Marseillaise Rue Impériale Eurazeo Real estate Eurazeo Eurazeo Subsidiary Subsidiary Eurazeo Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary ANF Immobilier Subsidiary Subsidiary Subsidiary The companies Rue Impérialede Lyon and SociétéImmobilièreMarseillaise were holding companies for the investment companies Eurafrance and Gaz&Eaux Income from investments was much greater than that from real estate which was then used as capital gains provision After restructuring its capital, Eurazeo inherited real estate assets from its parent companies and decided to manage them through a dedicated subsidiary, ANF Immobilier 31
Summarized Financial Statements ( M) H1 2011 H1 2010 Change H1 2009 Gross rental income 45.2 34.0 33% 32.3 Recurring gross rental income 37.4 34.0 10% 32.3 Net operating expenses -2.0-2.1-4% -2.6 Administrative expenses -4.9-4.5 8% -4.4 EBITDA 38.3 27.4 40% 25.3 Recurring EBITDA 30.5 27.4 11% 25.3 Financial expenses -8.8-8.5 3% -7.7 Cash flow 29.6 18.9 57% 17.5 Recurring cash flow 21.7 18.9 15% 17.5 Change in fair value 20.6 9.5-92.1 Other items 0.0-0.8-2.7 Net income 50.1 46.4-59.8 Interest cover ratio 4.3 3.2 3.3 Cash flow per share ( ) 1.1 0.7 57% 0.7 Recurring cash flow per share ( ) 0.8 0.7 15% 0.7 Average number of shares (million)* 27.3 27.3 26.2 30/06/2011 31/12/2010 Change 31/12/2009 Real estate portfolio 1,607.2 1,573.4 2% 1,504.8 Net financial debt -489.1-459.8 6% -422.3 Other items -4.6-12.9-64% -21.4 NAV 1,113.4 1,100.7 1% 1,061.1 Fair value hedge -25.3-35.4-28% -29.6 Deferred taxes 0.0 0.0 0.0 NNNAV 1,088.1 1,065.3 2% 1,031.4 Loan to value ratio (%) 30 29 28 NAV per share ( ) 40.5 40.3 1% 38.9 NNNAV per share ( ) 39.6 39.0 1% 37.8 Period end number of shares (million)* 27.5 27.3 27.3 * Number of shares adjusted for bonus issue of 1 share for every 20 held in 2010. 32
Indexing Applicable on the lease renewal date Indexes released ICC ILC IRL Q4 2009 1,507 101.07 117.47 Q1 2010 1,508 101.36 117.81 Q2 2010 1,517 101.83 118.26 Q3 2010 1,520 102.36 118.70 Q4 2010 1,533 102.92 119.17 Q1 2011 1,554 103.64 119.69 Q2 2011 120.31 Annual Change +3.05% +2.25% +1.73% Source: INSEE ILC: publication of the implementing degree on November 4 2008 Calculated by the INSEE using three indexes: 1) retail price index (accounting for 50%); 2) construction index (for 25%) 3) the turnover index for retail trade (for 25%) Choice of lessor or tenant for the indexing of retail leases on either construction index or commercial rent index 33
Appraisal as June 30, 2011 1,600 1,400 1,200 1,000 800 600 400 200-368 Marseille 233 Lyon 135 + 21% 444 Marseille 275 Lyon 169 + 48% 657 Marseille 409 Lyon 248 + 40% Hors B&B 1,392 B&B 460 Marseille 581 Lyon 351 + 16% Hors B&B 1,543 B&B 466 Marseille 627 Lyon 450 + 1,5% 1,504 B&B 474 Marseille 613 Lyon 417 + 4% +3,2% + 5% 1,573 B&B 492 Marseille 646 Lyon 435 + 1% +1,4% + 1% 1,607 B&B 499 Marseille 655 Dec 04 Dec 05 Dec 06 Dec 07 Dec 08 Dec 09 Dec 10 Jun 11-2% -7% +7,7% + 4% + 4% +9,5% +4,0% +4,3% Lyon 453 Like-for-like 34
Yield Applied to ANF Immobilier Portfolio valuation as June 30 2011 MARSEILLE Fourchette Juin 2011 Fourchette Dec 2010 Fourchette Juin 2010 Fourchette Dec 2009 Fourchette Juin 2009 Fourchette Dec 2008 Bureaux 6.6% 7.7% 6.6% 7.7% 6.9% 7.8% 7.20% 8.00% 7.20% 8.00% 6.65% 7.45% Commerces 5.8% 7.8% 5.8% 7.8% 5.8% 7.8% 6.00% 8.00% 5.85% 8.00% 5.75% 7.70% Habitation 4.5% 5.4% 4.5% 5.5% 4.8% 5.5% 4.80% 5.60% 4.50% 5.60% 4.00% 5.05% Loi 48 2.4% 5.2% 2.4% 5.2% 2.4% 4.9% 2.40% 5.30% 2.15% 5.30% 2.15% 4.80% LYON Fourchette Juin 2011 Fourchette Dec 2010 Fourchette Juin 2010 Fourchette Dec 2009 Fourchette Juin 2009 Fourchette Dec 2008 Bureaux 6.6% 7.2% 6.6% 7.2% 6.7% 7.3% 6.90% 7.70% 6.90% 7.70% 6.25% 7.20% Commerces 5.3% 6.1% 5.4% 6.4% 5.6% 6.4% 5.75% 6.40% 5.75% 7.45% 5.45% 6.90% Habitation 4.5% 4.9% 4.5% 4.9% 4.8% 5.0% 4.80% 5.20% 4.50% 5.20% 4.00% 4.65% Loi 48 2.4% 4.7% 2.4% 4.7% 2.4% 4.8% 2.40% 4.95% 2.15% 4.95% 2.15% 4.40% 35
New Investment to Recycle Capital at Better Yield A 100M pipeline of new investmentswithan expectedreturn of 7% Focus on French domestic market, in regional major cities Selection criteria Infrastructure & communications Proactive local development policy Density of the economic Demography 36
Lyon, France 2nd Capital Lyon 2 nd richest city after Paris and 2 nd student city in France Capital of province Industrial background UNESCO World Heritage site A strong regional influence Two millennia of urban settlement Dense transport network (air, rail, road) with a central position to main European cities Headquarters of several international major companies Rue de la République rue de la re Main shopping street of Lyon and most frequented one Served by metro, bus and tramway Pedestrian on 2/3 New developments Confluence Hotel Dieu 37
Marseille on the Move Centre Bourse 2012 Vieux-Port to be half pedestrian in 2013 Hôtel Intercontinental 2013 38
Marseille, the New French Metropolis Marseille : a new growth dynamic 2nd city in France by number of inhabitants 850,000 (INSEE) Positive in-flow of inhabitants Unemployment reduced since 1995 1st Mediterraneanharbor, 1st Frenchharbor, 4th European harbor Enterprises creation over the last 5 years Rue de la République City heart of Marseille Link between Vieux-Port and Euroméditerranée New transport services Public installations fully renovated Public investments: Euroméditerranée and Marseille European Capital of Culture 500,000 tourists for 2008; 1,000,000 tourists expected for 2011 Hotels room capacity in constant rise: new hotels under development European Capital of Culture in 2013 Public budget 98M on 4 years (excl capex) Investments 1Bn Renovation of the city Cultural conversion of unused land-banks 39
Marseille on the Move Towards 2013! Marseilles Provence: 2 nd French metropolis 2 million inhabitants 850,000 in Marseille Positive net balance since 2005 760,000 jobs unemployment stable at 11% 155,000 establishments, including 700 foreign companies Exceptional accessibility The leading French port: 2 million passengers, 96 million tons of freight International airport: 7 million passengers, 51% international) serving 76 cities 26 countries High-speed train link (TGV) - 3 hours to Paris: 22 millions passengers a year Brussels in 3 hours, London 7 hours Major motorway intersection: 3 hours to Lyon, 5 hours to Milan or Barcelona Industry, innovation, services: a wealth of expertise Aeronautical: world leader for helicopter manufacture Micro-electronics: leading area in France and in southern Europe Telecom: French telecoms hub Multimedia: leading media pole in Southern Europe Chemistry-petro-chemistry: 30% of French refinery capacity Food-processing: biggest industrial employer in France Logistics - transport: multi-model hub in France: air-railsea-river-road 40
ANF Immobilier at the heart of Euroméditerranée Euroméditerranée: a structuring business district 7 billion public and private investments 2nd financial services centre in France Biggest number of telecom infrastructures in Southern Europe A reference site for international trade Around Rue de la République Vieux-Port to be half pedestrian in 2013 Development of the Intercontinental Hôtel Dieu Renovation of the Centre Bourse shopping centre B 2012: World Water Forum 180 countries represented 2013: European Capital of Culture 1 billion invested in around forty projects 10 million visitors expected 6 million currently 2016: Soccer European cup Project involving the Vélodrome stadium around 100,000sqm, offices, retail outlets and residential units 2.5 billion of public and private investments 41
Lyon: Intense Business Activity Portfolio key indicators as at 31 December 2010 Overview of letting transactions over 2010 Offices Retail Residential Total Project Area 27,000 sqm 22,000 sqm 31,000 sqm 80,000 sqm 36,500 sqm Number of units 163 123 392 Occupancy rate* 98% 98% 85%** 2010 rents( M) Other = 0.105 4.461 8.766 2.859 16.192 *Excluding technical vacancy ** Includes the vacancy associated with the Mansardes and TAT development project Offices Retail Residential Total New leases signed 1,058 sqm 543 sqm 9,096 sqm 10,697 sqm Leases renewed 323 sqm 759 sqm 636 sqm 1,718 sqm Average rent on new and renewed leases 227 / sqmp.a. (+3% vs. 2009) 1,479 /sqm p.a. 13/sqm p.m. (+6% vs. 2009) 2010 leasing highlights: Desigual (retail) on 240 sqm at 2,674/sqm (vs. 514/sqm previous tenant) Orange (retail) on 303 sqm at 2,145/sqm (vs. 604/sqm previous tenant) No variable rent 42
Marseille: Intense Business Activity Portfolio key indicators as at 31 December 2010 Offices Retail Residential Total Project Area 27,000 sqm 40,000 sqm 98,000 sqm 165,000 sqm 93,000 sqm Number of units 163 307 1,524 Occupancy rate* 84%** 88% 76% 80% 2010 rents( M) Other = 1.657 3.562 7.868 7.119 20.207 *Excluding technical vacancy ** Includes vacancy for restructuring Overview of letting transactions over 2010 Offices Retail Residential Total New leases signed 3,212 sqm 3,444 sqm 14,598 sqm 21,254 sqm Leases renewed 147 sqm 1,040 sqm 2,868 sqm 4,055 sqm Average rent on new and renewed leases 167/sqm p.a. (+8% vs. 2009) 435/sqm p.a. 13/sqm p.m. (+8% vs. 2009) 2010 leasing highlights Rip Curl (retail) on 316 sqm at 506/sqm base rent Calzedonia (retail) on 85 sqm at 553/sqm base rent Variable rent for retail c.9-10% of tenant turnover in 2009-2010 (vs. 6-8% in 2007-2008) 43
168 B&B Hotels 12,124 rooms 44
B&B Key indicators Strong demand for quality budget rooms 2010 Occupancy= 73.35% (+1.05pts) Average rate= 45.45 (+3.3%) RevPar= 33.32 (+4.8%) Operationnal profitability (France) 2010 Revenues= 163.6M (+6.8%) 2010 EBIDTA= 33.6M (+9.5%) Acquisition on July 2007 Acquisition of the premises of 159 B&B hotels located all over France Cost of the transaction: 471M, including transfer taxes Triple net fixed and indexed (ILC) leases for 12 years firm, renewable twice for 12 years Sustainable rents Occupancy cost ratio=20% Main considerations Complementarities between a recurring income stream (B&B) and value creation on the assets Significant increase in the size of ANF Quality of hotel locations: 94% of sites deemed very good or good by Jones Lang LaSalle Hotels Potential renegotiation at end of lease term and indexation more favourable than ILC 45
Lyon: Intense Business Activity Prime retail rent to 2,600/sqm near Place Bellecour Latest market rent evidence Retail : 2,200 2,600/sqm Offices : 230 250/sqm Residential: 11 13/sqm (month) Latest market rent evidence Retail : 600 1,000/sqm Offices : 230 250/sqm Residential: 11 13/sqm (month) ANF Immobilier Assets 46
Marseille: Intense Business Activity New retailers show attractiveness ANF Immobilier Assets Latest market rent evidence Retail : 500 700/sqm Offices : 160 200/sqm Residential : 11 13/sqm (month) Dames Mazenod Plot 25 Forbin Public Car Park 800 spaces Fauchier Desbief Trinquet Malaval Segment 1 Segment 2 Segment 3 47
Summary of Development Pipeline Development Location Description Financial Timing Forbin Marseille - Place de la Joliette New construction of a 125 hotel room rent to B&B Capex = 6M Delivered Q4 2010 Full impact in FY 2011 revenues Fauchier Marseille République area New construction of residential (6,500sqm fully sold) offices (13,000sqm) rent to City of Marseille Rive Neuve Marseille - Vieux-Port Restructuring of 3,200sqm offices on the HQE certified PavillonVacon Marseille - Place Charles de Gaulle Restructuring of 8,000sqmwith 3,000 sqm retail & 5,000 sqm residential (sale on progress) Capex = 23M (offices) GRI= 0.7M GRI= 1.7M retail Delivered Q4 2010 Full impact in FY 2011 revenues 24 mths works Expected delivery Q4 2013 Retail: delivered & rent Plot 20 Dames Marseille - Boulevard des Dames Restructuring of 10,000sqmof residential & retail GRI= 1.3M 12 mths works Expected delivery Q4 2012 Plot 25 Marseille - Place de la Joliette Restructuring of 3,000sqmof retail & 82 apartments at Place de la Joliette (Marseille) Mansardes Lyon Rue de la République Restructuring of 5,100sqmat top floor building allowing creation of 119 apartments Rabatau Marseille Prado area New construction of 3,900sqmoffices building HQE certified Plot 34 Marseille Euroméditerranée New construction of 26,000sqmoffices, hotel, residential block TAT Lyon Place de la République Restructuring of 10,000sqmof retail & residential in connection with Printemps renewal GRI= 2.5M Monthly rent at 14.5/sqm GRI= 0.6M GRI= 4.0M GRI= 7.0M Works under progress Expected delivery Q3 2011 Works under progress Expected delivery Q3 2011 13 mths works Expected delivery Q4 2013 Works under progress Expected delivery 2013 30 mths works subject to negotiation with Printemps Desbief Marseille - Place de la Joliette New construction of 21,000sqmoffices building GRI= 5.3M 30 mths works 48
Marseille European Capital of Culture 2013 A major advantage for ANF Immobilier E C I G B F A H ANF Immobilier developments A. Trinquet F. Dames B. Fauchier G. Plot 25 C. Forbin H. Pavillon Vacon D. Rive Neuve I. Desbief E. Plot 34 D 6 million of tourists in 2011 49
Development Delivered in 2010: Yield-on-Cost Above 8% New development Fauchier Office buildings 13,000sqm (4,000sqm sold) Delivery occurred in October 2010, one month ahead of schedule Investment funded by the Calyon credit facility (Euribor + 50bp) Office rental income = 2.1 M leased to the City of Marseilles (DGUH) Global investment = 23M (excluding VEFA (sale before completion) and residential units) Forbin Hotel B&B with 125 rooms Delivery occurred in October 2010, one month ahead of schedule Additional work on request from the lessor: Funding secured by the Martin Maurel mortgage (Euribor + 120bp) Rental income = 0.6M; Global investment = 6M Restructuring From 4,336sqm to 17,200sqm Fauchier Attic apartments Segment A Renovation 5,100sqm of residential units created (119#) 2,000sqm already delivered - project completed in 2012 Investment funded by the Calyon credit facility (Euribor + 50bp) Rental income = 0.9 M; Global investment = 15M From 870sqm to 2,975sqm Forbin Plot 17 Segment 2 Buildings 81-83-85 République Conversion into small residential units (1,700sqm) Work started in Q1 and completed in July Within 2 months, lease of 81 residential units Investment = 10M - Yield-on-Cost = 9.40% 50
Development 2011-2013: Targeted Yield Above 8% Start-up in 2011 Start-up in 2012 New building Euromed plot 34 Office space, hotel, residential units and retail areas covering 26,000sqm 30 months' work (start Q2 2011) Investment = 57M New building Rabatau Offices 3,900sqm 13 months' work (start S1 2012) Green building Investment = 7M Restructuring Dames Building used for retail and housing, 6,500m² 12 months' work (start Q4 2011) Investment = 19M Rive Neuve Mixed use building, 3,200sqm 24 months' work (start S1 2012) Green building Investment = 9M Plot 25: signature of the McDonalds lease Prime building with retail, office space and housing, 7,000sqm 12 months' work (start S1 2011) Investment = 20M Dames Plot 34 Plot 25 Rabateau Rive Neuve 51
Development to be launched in 2013: Targeted Yield Above 8% New building Restructuring Desbief Offices 20,000sqm 30 months' work (start S2 2013) Investment = 60M TAT Restructuring a full plot, 31,000sqm 30 months' work Printemps dispute Start of work? Investment = 78M Desbief TAT 52
Restructuring Lyon: TAT (31,000 sqm) Estimated lease income: 7M ANF Immobilier property 12,350 sqm Surface area created 3,300 sqm Surface area acquired 7,915 sqm ANF Immobilier 23,566 sqm Printemps 6,500 sqm Still to acquire 900 sqm i.e. 2.9% of the entire project Suggested project Printemps lease Today Tomorrow Bat A 5,500 sqm Bat B 4,500 sqm 10,000 sqm? Rents 450,000 2,800,000 Retail @ 450/sqm Buildings occupied by Printemps 53
Leases Maturity Marseille Sqm 25,000 20,000 15,000 10,000 5,000 - < 2011 2012 2013 2014 2015 2016 2017> Offices Retail Residential 54
Leases Maturity Lyon Sqm 9,000 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000 - < 2011 2012 2013 2014 2015 2016 2017> Offices Retail Residential 55
Stock price January-August 2011 /share 36.00 100,000 Volume 35.00 34.00 33.00 32.00 31.00 90,000 80,000 70,000 60,000 30.00 50,000 29.00 28.00 27.00 26.00 25.00 Volumes ANF EPRA SBF 250 CAC 40 40,000 30,000 20,000 10,000 24.00-56
Significant Increase in Distribution Dividend per share= 1.54 Yield above 5%* Increase in distribution Dividend per share +8% Total distribution +13% 1.60 1.55 1.50 1.45 1.40 1.35 1.30 1.25 1.20 1.15 1.10 1.54 1.43 1.30 1.30 1.15 1.20 2005 2006 2007 2008 2009 2010 Distribution= 42.3M, above SIIC requirements ( 9.5M) Requirements from rental activity= 4.5M Requirement from disposal= 5.0M 2011 Distribution +13% * Based on average share price at 31/12/2010 57
ANF Immobilier, Social Responsibility Corporate Social Responsibility Integrated into ANF Immobilier Practices Sustainable development in the development pipeline ANF Immobilier among first companies to be granted BBC label (low consumption building) in renovation New developments at High Quality Environment standards Process of evaluating day-to-day change for all employees in regards of sustainable developments A transparent company governance Company with Executive board and Supervisory board Board committees (audit, properties, compensation) Full Registration Document filled since 2007 Ethic code signed by all employees A motivating and ambitious HR policy Profit sharing agreement for all employees Shareholder and senior staff interest aligned Broaden social aids Supplementary retirement plan for all employees Community involvement with non-for-profit organizations to help young form difficult suburbs 58
Compensation Scheme Historic 2006 Free share plan 2006 BSA @ 35.00 Maximum number of share attributed 2007 Stock option @ 47.00 2008 Stock option @ 28.00 2009 Stock option @ 31.96 2010 Stock option @ 31.16 Bruno Keller 24,081 134,478 56,966 62,108 80,000 84,283 Xavier de Lacoste Lareymondie 13,246 70,999 25,534 37,105 38,500 40,632 Brigitte Perinetti 2,109 11,962 2,834 3,483 4,000 - Ghislaine Seguin - - - 4,787 8,500 9,060 Executive Board 39,436 217,439 85,324 101,083 131,000 133,975 Staff 17,647 87,505 22,708 27,270 27,500 32,945 Total 57,083 304,944 108,032 128,353 158,500 166,920 Strike price not adjusted 59
Corporate Governance Half of Supervisory Board Independant Alain Lemaire* (vice-président) Philippe Audouin Sébastien Bazin* Bruno Bonnel* Jean-Luc Bret Fabrice de Gaudemar Supervisory Board (12) Patrick Sayer, President Executive Board (3) Bruno Keller, Chairman Xavier de Lacoste Lareymondie, COO Ghislaine Seguin Eric Le Gentil* Philippe Monnier* Jean-Pierre Richardson Isabelle Xoual* Théodore Zarifi Audit Committee Philippe Audouin, Théodore Zarifi, Eric Le Gentil* Remuneration and Selection Committee Philippe Monnier*, Sébastien Bazin*, Isabelle Xoual* Property Committee Patrick Sayer, Sébastien Bazin*, Jean-Luc Bret, Philippe Monnier* Headcount ANF Immobiilier 57 Management 5 Property mgmt 13 Development 16 Accounting 15 Support 8 * Independant 60
About ANF Immobilier ANF Immobilier owns and manages a real-estate portfolio of 1.6 billion euros in the city centres of Lyon and Marseilles as well as a portfolio of 168 hotel properties in France, all operated by the B&B chain It is a real estate company with SIIC status, targeting residential and third party property rentals with significant operations in Lyon and Marseille city centres Listed on Eurolist B of NYSE EuronextParis, ANF Immobilier is part of the Eurazeo group. Financial Calendar 2011 Q3 Revenue November 1, 2011 2011 FY Results March 15, 2012 2012 Q1 Revenue May 10, 2012 2012 H1 Results August 28, 2012 Investor Relations Contact investorrelations@anf-immobilier.com +33 1 44 15 01 11 Research on ANF Immobilier Exane: Valerie Guezi HSBC: Stéphanie Dossmann Invest Securities: Benoit Faure-Jarrosson, Paul Arkwright Tradition Securites: Laetitia d'eprémesnil Kepler: Samuel Henry-Diesbach Aurel BGC: Julien Guez ANF shares ISIN code: FR0000063091 Bloomberg/Reuters: ANF FP, ANF.pa Listed on Euronext Eurolist B Indices: SBF 250, CAC All Shares, IEIF SIIC France 27,771,170 shares in circulation Statutory threshold declarations 1% 61
www.anf-immobilier.com investorrelations@anf-immobilier.com 62