ANF Immobilier : a major real estate investor

ANF Immobilier is owner and manager of a portfolio of French property worth €1.7 billion. It is a real estate company specializing in large regional urban areas and has a major presence in Lyon and Marseille city centers where it owns the majority of the properties in each city’s Rue de la République. Since 2011 it is also building a strong presence in Bordeaux. ANF Immobilier also possesses a portfolio of hotel premises that are leased to the hotel operator B&B, France's third largest chain of economy hotels.

The constructed assets include:

88,000m² in the city center of Lyon: 43 mixed-use Haussmann-era buildings (61% retail, 16% residential, and 23% offices)*, plus 4,200m² being developed (MilkyWay project);
184,500m² in the city center of Marseille: 148 mixed-use Haussmann-era buildings (37% commercial premises, 30% residential, 24% offices, and 9% other)*, plus in excess of 50,000m² of projects;
13,000m² of offices in Bordeaux city center currently being developed.
The diversity of ANF Immobilier’s majority retail tenants and its prime central locations in cities with strong growth potential make the rental income from these assets particularly resistant to falls in consumer spending and to economic difficulties.

The 168 hotels, located throughout France are leased with 12-year fixed-term leases expiring in 2019 under fixed and indexed rents, providing a steady and secure source of rental income.
Since 2005, ANF Immobilier has been making significant improvements to its historical assets in the city centers of Lyon and Marseille. Major restructuring of the existing buildings alongside the development of new buildings on the Company’s land reserves has already generated an increase in the group’s rental income of close to 87% on a like-for-like basis. The improvement of the rental income has translated into an improvement in the margin. The EBIDTA margin grew from 44% in 2005 to 81.5% in 2011 while the group’s financial structure remained highly defensive with a debt ratio of just 29% at December 31, 2011.

Since 2011, the Company has continued its development in a new regional city, Bordeaux, and intends to pursue its expansion here and, where relevant, in other cities with the same dynamic and value-creation potential.

With a sound and resilient profile, ANF Immobilier is continuing its growth strategy based on generating new rental income and improving the return on its assets. Its aim is to raise its rental income to over €120 million like for like by 2016, while keeping its debt ratio below 35%. ANF Immobilier will also continue to selectively dispose of mature assets to invest in new projects with high value-enhancement potential.

Listed on Euronext Paris (compartment B, ISIN FR0000063091), ANF Immobilier opted for the SIIC (listed real estate investment companies - SIIC) tax status in 2006. Eurazeo, which owned 52% of the Company’s capital at the date of drafting of the Registration Document, is the principal shareholder and it ensures the stability of the Company’s shareholder structure
ANF Immobilier is listed on the EPRA index since March 2012. The EPRA index lists the largest European real estate companies and is the benchmark index for the real estate sector.

*as a percentage of 2011 rental income.