26 January 2017

Investor and Analyst TourClarges, Mayfair

@BritishLandPLC

www.britishland.com

Introduction

Tim Roberts Head of Offices & Residential

• In line with strategy

• Acquired in 2012 for £130 million

• Contributed to re-weighting of our portfolio towards West End

• Phased to follow 2010 Development Programme – 2010 Programme included The Leadenhall Building, 5

Broadgate and 10-30 Brock Street, Regent’s Place

– Generated over £1bn of profit

The Clarges Opportunity

42%58%

September 2016

60%40%

March 2012

City West End4

Office Strategy

Lifestyle orientated mixed use offices

CampusesLarge, office-led mixed use

lifestyle campuses

Campus-liteSingle assets and small clusters

Campus-Lite

• Opportunistic developments in strong locations

with well-managed environments

• Shorter investment time horizon

• Provide greater location flexibility to occupiers

74%

26%

Campus-lite Campus

5

• Entrepreneurial transaction – Opportunistic, off market purchase

– Preferred bidder due to ability to execute quickly

• Complex transaction – Relocation of Kennel Club

– Planning risk

• Delivered high quality office space– Luxury residential completing this year

An example of what we do well

6

• Meaningful transaction– c. £600m GDV (75% resi; 25% offices)

• Residential substantially de-risked– £280m of apartments sold; 63% by value

of residential

– 22 apartments sold in FY15; 1 further sale Dec 16

– 11 apartments remaining

• Office space 83% let/under offer; average £113 psf

• IRR since purchase of 20% – With further profit to come

Accretive to performance

7

• Post referendum activity – Office lettings in line with pre-

referendum ERVs

– One further apartment sold ahead of valuation

Market resilient for right product

8

Residential

James TaylorHead of Residential

• Scheme highlights– What’s special

• Sales – Current exposure

– Future strategy

– Our clients

Super Prime Residential

10

Sales

• British and British based

• Wide range of nationalities

• Value discretion

• Value service

• Value British Land’s enduring reputation

Our Clients

39

• An exceptional scheme being delivered to a high standard

• De-risked and with positive prospects for future sales

• Off market until 2018

Summary

40

Offices

Mike Wiseman Head of Office Leasing

• Launched building in September– Office space 83% let/under offer

• Average rent £113psf– Average rent free of 19 months

– In line with pre referendum ERVs

• 10 year terms secured on all floors

Office leasing overview

42

• Premium office space– In tune with core Mayfair demand

• Key features well received– Floorplate size and configuration

– Triple aspect

– Column free spaces

– Terraces

– Design aesthetic

• Impact of reception

Why have we been successful?

43

• Market for the right product still good– Letting success at Leadenhall, Yalding

House and now Clarges

• Leasing discussions on 10 potential requirements totalling 1.4m sq ftunderway – Interest at 4 Kingdom Street and next

phase of development pipeline

– Across our four campuses and from a range of sectors

Current market context

44

Conclusion

• On strategy

• Demonstrates our capabilities

• Accretive to performance

• Right product remains attractive

Summary

46