Appendix
NSI Full Year results 2016 I A - 1
NSI Full Year results 2016 I A - 2
Page Page
Key portfolio metrics A-3 Segment split earnings A-12
Sector split A-4 Balance sheet A-13
Geographical split A-5 Example Glass House A-14
Bridges A-6 Market Offices rents A-15
Expiries and reversion A-7 Market Offices vacancy A-16
Occupancy history A-8 Amsterdam office completions A-17
Yield A-9 Market Offices prime net yields A-18
HNK occupancy A-10 Market investment volumes A-19
Key financial metrics A-11
Appendix
Key portfolio metrics
NSI Full Year results 2016 I A - 3
Office
HNK
Dec-16
Retail
Other
Total
Dec-15
Total
Number of properties 108 13 41 3 165 194
Market value (€m) 618 149 382 12 1,160 1,203
Annual contracted rent (€m) 53 12 31 1 98 101
ERV (€m) 61 20 34 1 116 123
Lettable area (k sqm) 457 125 273 15 870 974
Vacancy (EPRA) 21.3% 37.1% 12.5% 16.5% 21.4% 24.3%
WAULT (years) 5.3 3.1 4.3 2.4 4.7 4.7
Average rent/sqm (€/p.a.) 156 167 137 98 149 144
EPRA net initial yield 6.0% 4.3% 6.4% 10.9% 6.0% 5.7%
Portfolio market value Year End €1.2bn
NSI Full Year results 2016 I 4
Sector split
Geographical split offices by market value (€m)
0
50
100
150
200
250
300
350
400
2013 2014 2015 2016
G4
Other Randstad
Other NL
+151%
-27%
NSI Full Year results 2016 I 5
Share G4 increasing
Bridge
NSI Full Year results 2016 I A - 6
Bridge investment property – balance sheet (€m)
Office HNK Retail Other Total
Market value (€m) 617.7 148.9 382.2 11.6 1,160.4
Adj asset held for sale -5.1 -382.2 -2.7 -389.9
Invest. property balance sheet 612.6 148.9 0.0 8.9 770.4
Bridge number of assets
2015 Re-class Acquisitions Disposals 2016
Office 120 -5 1 -8 108
HNK 10 4 0 -1 13
Retail 41 0 0 0 41
Other 23 1 -21 3
Total 194 0 1 -30 165
Expiries and reversion
NSI Full Year results 2016 I A - 7
0
5
10
15
20
25
2017 2018 2019 2020 2021 2022+ Total
Contracted rent (€m)
7.4 7.1 4.3 4.0 7.6 22.3 52.7
ERV (€m) 5.7 6.2 3.7 3.5 7.0 22.1 48.3
# Contracts 97 90 46 36 50 57 376
Reversion -22.9% -12.2% -14.7% -10.6% -7.8% -0.7% -8.3%
0
5
10
15
20
25
30
35
2017 2018 2019 2020 2021 2022+ Total
Contracted rent (€m)
12.6 16.1 13.5 9.7 12.1 33.8 97.8
ERV (€m) 11.1 14.9 12.6 8.7 11.1 32.9 91.3
# Contracts 488 297 184 134 146 161 1,410
Reversion -11.9% -7.4% -7.3% -9.7% -8.2% -2.7% -6.7%
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
2017 2018 2019 2020 2021 2022+ Total
Contracted rent (€m)
3.2 2.1 1.6 1.8 1.6 2.2 12.5
ERV (€m) 3.1 2.3 1.7 1.9 1.4 2.1 12.5
# Contracts 274 61 43 31 29 24 462
Reversion -2.8% 9.5% 3.4% 3.3% -7.4% -3.1% 0.3%
0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
9.0
2017 2018 2019 2020 2021 2022+ Total
Contracted rent (€m)
1.9 6.3 7.0 3.9 3.0 9.3 31.5
ERV (€m) 2.2 5.9 6.7 3.3 2.7 8.6 29.5
# Contracts 117 144 93 67 67 80 568
Reversion 51.3% -15.6% 6.0% -24.9% -18.8% -14.5% -6.3%
Total portfolio (€m) Office (€m)
HNK (€m) Retail (€m)
Occupancy history
NSI Full Year results 2016 I A - 8
Occupancy based on sqm
Financial occupancy1
1 Financial occupancy = ERV vacant space / Theoretical rent
2012 2013 2014 2015 2016
Offices 80.2% 79.8% 76.9% 75.3% 75.4%
HNK 51.0% 54.4% 51.6% 54.1% 58.8%
Retail 90.3% 87.4% 84.0% 84.3% 83.6%
Other 100.0% 100.0% 99.8% 99.8% 99.8%
Total 79.4% 78.7% 75.7% 75.4% 75.9%
2012 2013 2014 2015 2016
Offices 76.1% 75.8% 74.7% 76.7% 80.1%
HNK 36.7% 48.4% 60.7% 59.6% 62.5%
Retail 92.5% 87.2% 87.7% 84.4% 88.1%
Other 88.5% 87.8% 88.4% 77.1% 100.0%
Total 81.0% 79.4% 78.9% 77.3% 79.8%
Yields
NSI Full Year results 2016 I A - 9
EPRA Net Initial Yield Reversionary yield
Dec-2016 Dec-2015 Dec-2016 Dec-2015
Offices 6.0% 6.1% 9.9% 10.7%
HNK 4.3% 3.4% 13.1% 12.3%
Retail 6.4% 5.8% 8.8% 8.7%
Other 10.9% 7.7% 10.9% 11.7%
Total 6.0% 5.7% 10.0% 10.2%
EPRA Net Initial Yield Reversionary yield
Dec-2016 Dec-2015 Dec-2016 Dec-2015
G4 5.4% 5.3% 8.0% 8.7%
Other Randstad 7.1% 7.0% 12.0% 12.4%
Other Netherlands 7.6% 7.5% 12.3% 11.9%
Transformation 4.3% 4.5% 12.8% 12.1%
Total office 6.0% 6.1% 9.9% 10.7%
EPRA Net Initial Yield Reversionary yield
Dec-2016 Dec-2015 Dec-2016 Dec-2015
Retail 6.3% 5.6% 8.7% 9.6%
Large Scale Retail 6.8% 6.6% 9.2% 8.5%
Total retail 6.4% 5.8% 8.8% 8.7%
HNK weighted average occupancy
NSI Full Year results 2016 I A - 10
53.0%
71.3%
62.3%
69.7%
0
2
4
6
8
10
12
40%
45%
50%
55%
60%
65%
70%
75%
2013 2014 2015 2016
Occupancy (lhs) Number of assets (rhs)
Note: Includes HNK assets that are open for more than 12 months
Key financial metrics
NSI Full Year results 2016 I A - 11
Q4-13 Q1-14 Q2-14 Q3-14 Q4-14 Q1-15 Q2-15 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 Q4-16
LTV 45.4% 44.9% 47.8% 47.8% 48.9% 44.9% 47.8% 36.6% 43.3% 40.1% 39.1% 43.0% 44.1%
Avg. cost of debt 5.2% 5.1% 4.9% 4.8% 4.9% 4.8% 5.2% 5.2% 3.7% 3.8% 3.8% 3.4% 2.8%
Avg. debt maturity (yrs) 2.3 2.2 2.1 1.9 1.7 1.4 4.6 4.3 3.9 3.7 4.2 3.8 4.2
Net Debt (€m) 544.9 541.6 540.1 547.4 538.1 501.6 394.4 402.3 542.3 483.2 449.4 521.4 513.8
Hedging ratio 63% 64% 64% 63% 64% 65% 85% 82% 73% 85% 86% 84% 77%
Avg. swap maturity (yrs) 4.2 3.9 3.7 3.4 3.2 3.0 3.3 3.1 4.0 3.7 3.9 4.4 4.2
ICR 2.1x 2.6x 2.6x 2.6x 2.6x 2.6x 2.6x 3.1x 3.2x 2.9x 3.4x 3.5x 3.8x
Segment split and bridge
NSI Full Year results 2016 I A - 12
EPRA Earnings, segment split and bridge to IFRS discontinued 2016 (€k)
Continued operations Discont. operations
Office HNK Other Belgium Retail Total Discont. Adj. IFRS total
Rental income 48,906 11,827 2,393 66 31,397 94,589 -31,462 63,126
Service costs not recharged -1,682 -1,852 -84 39 -569 -4,147 529 -3,618
Operating costs -7,572 -3,441 -281 -48 -4,837 -16,179 4,886 -11,294
Net revenue from operations 39,652 6,534 2,028 57 25,991 74,262 -26,048 48,214
Administrative expenses -420 -787 -6,963 -25 -179 -8,375 204 -8,170
Net financial expenses 0 4 -20,006 63 8 -19,931 -71 -20,001
Direct result before tax 39,233 5,751 -24,941 95 25,819 45,957 -25,914 20,043
Income tax expenses 0 0 54 2,253 0 2,308 -2,253 54
Direct result after tax 39,233 5,751 -24,887 2,348 25,819 48,264 -28,167 20,097
Discontinued operations 0 0 0 565 0 565 28,167 28,732
Direct result 39,233 5,751 -24,887 2,913 25,819 48,829 0 48,829
Revaluation of real estate 2,771 -5,844 -1,742 0 -49,987 -54,802 49,987 -4,815
Elimination of rental incentives -430 -19 0 16 -94 -527 77 -449
Other Income -12 0 9 1,050 0 1,047 -1,050 -3
Net result on sales of real estate -482 -67 -5,394 1,513 0 -4,430 -1,513 -5,943
Movements in financial derivatives 0 0 1,751 0 0 1,751 0 1,751
Exchange-rate differences 0 0 7 0 0 7 0 7
Allocated management costs 0 0 -1,504 0 0 -1,504 0 -1,504
Goodwill impairment -4,022 -855 -419 0 -2,909 -8,205 2,909 -5,296
Indirect result before tax -2,175 -6,785 -7,292 2,579 -52,990 -66,662 50,411 -16,252
Corporate tax 0 0 0 0 0 0
Indirect result after tax -2,175 -6,785 -7,292 2,579 -52,990 -66,662 50,411 -16,252
Discontinued operations 0 0 -50,411 -50,411
Indirect result -2,175 -6,785 -7,292 2,579 -52,990 -66,662 0 -66,662
Resultaat 37,057 -1,033 -32,179 5,493 -27,171 -17,833 0 -17,833
Direct result 39,233 5,751 -24,887 2,913 25,819 48,829 48,829
Adjustments 0 0 -1,504 0 0 -1,504 -1,504
EPRA Earnings 39,233 5,751 -26,391 2,913 25,819 47,325 47,325
EPRA Earnings per share 0.33 0.33
Balance sheet
NSI Full Year results 2016 I A - 13
(€k) 31/12/2016 31/12/2015
Real estate investments 770,434 1,134,617
Assets held for sale 389,923 68,848
Other assets 4,038 62,773
Cash 2,067 22,306
Total assets 1,166,462 1,288,544
Total shareholders’ equity attributable to shareholders 604,254 660,748
Non-controlling interest - -28
Total shareholders’ equity 604,254 660,720
Interest-bearing loans 510,904 564,618
Debts to credit institutions 3,429 20
Other liabilities 47,875 63,186
Total liabilities 562,208 627,824
Total shareholders’ equity and liabilities 1,166,462 1,288,544
Value add capital recycling
• Acquired with proceeds sale industrial portfolio and
shares IOW
• Letting risk in excellent location at 11% GIY
• New 10 year lease agreed within 6 months
• 14% value increase
• 46% IRR, 1.2x Multiple
Example Glass House
NSI Full Year results 2016 I 14
130
150
170
190
210
230
2006 2008 2010 2012 2014 2016
Amsterdam
Rotterdam
The Hague
Utrecht
Offices G4 rents
Source: Jones Lang LaSalle
180
220
260
300
340
380
2006 2008 2010 2012 2014 2016
Amsterdam
Rotterdam
The Hague
Utrecht
-10%
-8%
-6%
-4%
-2%
0%
2%
4%
6%
8%
2006 2008 2010 2012 2014 2016
Amsterdam
Rotterdam
The Hague
Utrecht
-20%
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%
2006 2008 2010 2012 2014 2016
Amsterdam
Rotterdam
The Hague
Utrecht
Prime rents (€/sqm) Average rents (€/sqm)
Prime rental growth Average rental growth
NSI Full Year results 2016 I A - 15
0%
1%
2%
3%
4%
5%
6%
7%
2006 2008 2010 2012 2014 2016
Amsterdam
Rotterdam
The Hague
Utrecht
0%
1%
2%
3%
4%
5%
6%
7%
8%
2006 2008 2010 2012 2014 2016
Amsterdam
Rotterdam
The Hague
Utrecht
0%
1%
2%
3%
4%
5%
6%
7%
2006 2008 2010 2012 2014 2016
Amsterdam
Rotterdam
The Hague
Utrecht
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
20%
2006 2008 2010 2012 2014 2016
Netherlands
Amsterdam
Rotterdam
The Hague
Utrecht
Offices G4 vacancy, take-up, completions
Source: Jones Lang LaSalle
Total vacancy (sqm) as % of total stock Total take up (sqm) as % of total stock
Grade A vacancy (sqm) as % of total stock Total completions (sqm) as % of total stock
NSI Full Year results 2016 I A - 16
Amsterdam office completions and vacancy
Source: Jones Lang LaSalle
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
0
20
40
60
80
100
120
140
160
2006 2008 2010 2012 2014 2016
Va
ca
nc
y ra
te %
C
om
ple
tio
ns x
1,0
00
sq
m
Completions Average completions Vacancy Vacancy Grade A
Avg. 1.2% of total stock
NSI Full Year results 2016 I A - 17
Offices G4 prime net yields
Source: Jones Lang LaSalle
4.25%
5.25%
5.75%
4.0%
4.5%
5.0%
5.5%
6.0%
6.5%
2008 2009 2010 2011 2012 2013 2014 2015 2016
Amsterdam Rotterdam The Hague Utrecht
NSI Full Year results 2016 I A - 18
Offices G4 investment volumes
Source: Jones Lang LaSalle
0
200
400
600
800
1,000
1,200
1,400
1,600
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Amsterdam Eindhoven Rotterdam The Hague Utrecht
+346%
NSI Full Year results 2016 I A - 19
NSI Full Year results 2016 I A - 20
For additional information please contact
NSI N.V.
Investor Relations
Dirk Jan Lucas
T +31 (0)20 763 0368
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