BENI STABILI SPA Beni Stabili Siiq - Relevant disposal of non-strategic assets

Transparency directive : regulatory news

19/12/2018 18:23

Beni Stabili Siiq
Relevant disposal of non-strategic assets
Milan: 19 December, 2018

Beni Stabili has closed today the disposal of a portfolio of non-strategic
assets including the building located in Milan, Galleria del Corso named
Excelsior and two office properties located in Turin, for a price of EUR 220.5
million, in line with last June book value (implies a net exit yield of approx.
4% (1)). With this disposal, the company crystalizes the significant value
creation made during the 1st half of the year, while increasing by ca. 2pts the
exposure of Office Milan up to 72% of the overall market value (2).

In particular, Milan, Galleria del Corso is an high-street retail building,
located in the heart of Milan, just behind the City's main Cathedral. Last July
Beni Stabili has successfully signed a new lease agreement for approximately
5,000 sqm with Hexagon, which is expected to replace the existing main tenant
COIN Excelsior during the course of 2019, after a complete refurbishment of the
building. Hexagon, part of the Percassi Group, is a vehicle dedicated to the
development of Victoria's Secret stores franchised network in Italy, France and
Spain. The Galleria del Corso property is expected to host Victoria's Secret'
largest flagship store in Italy. This disposal allows to successfully
accomplish the asset management cycle for this property which was acquired by
Beni Stabili back in 2006 and reconverted from its original destination of use
(cinema / theatre) to its current retail use, re-let with a significant rent
increase, which has been reflected in the H1 2018 asset value and allowing to
fully benefit from the positive momentum of Milan's high-street retail real
estate market.

(1) Based on rents adjusted for the impacts of the new lease agreement signed
on the Milan Galleria del Corso asset in July 2018
(2) On a group share basis

The other assets part of the portfolio consist of two multi-tenant office
buildings located in the center of Turin. The assets total over 44,000 sqm of
GLA and are almost entirely let.

This transaction confirms Beni Stabili's value proposition to focus in Milan
through a proactive capital rotation strategy based on the disposal of mature
or non-strategic assets (retail and assets outside Milan) and the reinvestment
of the proceeds into new properties or development projects in prime locations
in Milan and featured by interesting yields as well as value creation
perspectives.

For more information:

Beni Stabili Siiq

Investor Relations -
Barbara Pivetta - +39.02.3666.4630 - barbara.pivetta@benistabili.it

SEC and partners Srl

Media Contact - Matteo Steinbach - +39.346.1063989 - steinbach@secrp.com
Michele Calcaterra - + 39. 335.461985 - calcaterra@secrp.com

Beni Stabili Siiq, a leading property company in the Italian real estate
sector

Beni Stabili is the leading property player in the Italian real estate market
with total assets of over 4bn euro. Our assets portfolio is sited in key
locations of North and Central Italy's major cities and consists mainly of
offices. We pursue the appreciation of our assets to increase profitability
and create value for our clients, partners and shareholders.

As a major player in office investment and development, we foster pioneering
solutions to improve the environmental performance of our buildings for the
well-being of our clients' employees. With this in mind we are developing in
Milan a new business area dedicated to smart working: Symbiosis.

Beni Stabili is listed on the Milan and Paris Stock Exchanges and operates
through its main offices of Milan and Rome.

Beni Stabili belongs to Covivio reference in the European real estate market
with a portfolio of EUR 23bn in office, hotel and residential assets, located
in the most dynamic European cities.

BENI STABILI SPA's latest news

21/12/2018 14:57

BENI STABILI SPA Beni Stabili Siiq - Relevant disposal of non-strategic assets

Transparency directive : regulatory news

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