Cabot Circus Investor/Analyst Tour

26 November 2008 Today’s Programme

• Presentation – Bob De Barr – Robin Dobson – Keith Stone • Site tour • Lunch Background and Development

Bob De Barr Project Director Why Bristol? 3.82 million population within one hour drivetime

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Source: Mapinfo and 2001 Census 60 Mins

90 Mins

120 Mins Catchment population: proportion of ABC1’s

Kingston-Upon-Thames Guildford Bromley Watford Reading Croydon Cheltenham Brighton Edinburgh Bath Bristol Ranked 11th Aberdeen Southampton York Cardiff Norwich Nottingham Leicester Chester Leeds

0 25 50 75 Percentage of population Source: Javelin Bristol’s catchment profile

• UK’s 7th largest office centre • Growing office population • 90,000 city centre workers • Low unemployment figures • GDP per capita is 23% above the national average

OFFICE STOCK (sq ft millions) Source: HGI, PMA and ONS Broadmead before development Ring road The opportunity

• To add retail to an undersupplied city • To provide retail modules to suit 21 st century trading formats • To match the quality of the retail to the quality of the catchment • Holistic management and leasing strategies for City Retail rankings

Bristol • VENUESCORE Ranking (Pre & Post Broadmead Redevelopment) Pre… Post… * Rank Venue VENUESCORE 2006 Rank Venue VENUESCORE 2008

20th Cheltenham 244 4th Edinburgh 390 21st Bath 242 5th Liverpool 387 22nd Chester 241 6th Norwich 382 23rd Belfast 240 7th Nottingham 360 24th Bluewater 236 8th Leeds 348 25th Bristol 235 9th Bristol 340 26th York 234 10th Leicester 334 27th Plymouth 233 10th Brighton 334 28th Croydon 228 12th Hull 333 29th Sheffield 226 13th Belfast 324 30th Metrocentre 225 14th Southampton 299

* includes all known developments up to 2008 Source: Javelin The Proposals – The Site Masterplan Flexible Masterplan approach Mix of uses and architects Scheme content

• 1.5 million ft 2 mixed-use scheme occupying a 36-acre site • 140 new shops, 15 major flagship stores, 25+ new restaurants and cafés • Two anchors: House of Fraser and Harvey Nichols • 100,000 ft 2 13-screen Showcase Cinema de Lux • 260 residential units, 280 units of student accommodation, 24 affordable housing units, 2,600 car parking spaces • 150-bedroom hotel and 160,000 ft 2 of office space Green Line estate

• 85 shops in Broadmead, Merchant Street, Bond Street and Horsefair • £130 million value • Business Improvement District • Public realm works • Re-modelling of elevations How was it delivered?

Robin Dobson Project Delivery Director Design: The architectural diversity

• Individual buildings • City pride • Ownership • Destination Design: The places

• Connectivity • Civic squares • Internal to external Design: The streetscape integration Retail design across the city

• Design led • City strategy • Urban design • Quality • Opportunity Retail design across the city Mixed use: Complementary uses

• Offices • Hotel • Student accommodation • Affordable housing • Car parking Sustainability

Design phase: • Reduced energy use through intelligent lighting and natural ventilation • Low water use fittings, roof gardens, and rain water harvesting system • Barrier-free public realm and improved transport • Sustainable tenant fit-out guidance • A comprehensive range of employment and training initiatives • Artwork integral part of the scheme design • Restoration of listed buildings Sustainability

Construction phase: • 85% of waste recycled during construction • 3,500 jobs created • 70% of construction workers lived within 25 miles • Considerate contractors average score of 33 (out of 40) • Building materials with low environmental impact and mainly UK-sourced • Suppliers key to sustainability Sustainability

Post-construction: • First retail-led scheme to achieve BREEAM ‘Excellent’ rating • 23,000 job seekers registered and more than 24,000 applications submitted • 4,000 jobs created on opening • Energy savings equivalent to the energy consumed by 450 homes p.a. • Continued involvement in environmental guidance and on-site training • “Skills Shop” providing training on retail, leisure, hospitality and public transport Development Timeline

Bristol Alliance Partnership conceived Oct 2000 Planning application submitted Aug 2002 Outline planning permission granted Jun 2003 The Bristol Alliance formally constituted Jun 2004 Demolition work begins Sep 2005 Quakers Friars refurbishment begins May 2007 House of Fraser handover Sep 2007 Showcase Cinema de Lux handover Dec 2007 Harvey Nichols handover Dec 2007 Cabot Circus opening Sep 2008

Future milestones Affordable housing completion End of 2008 Future Inns Hotel opening Spring 2009 Cabot Gate offices construction start Spring 2009 Residential apartment blocks completion Winter 2009 Leasing and marketing

Keith Stone Leasing Director TO M4 TO M32

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H A a L m r Cruise B K d K e i y Disclaimer: The Bristol Alliance, its affiliates and subsidiaries, Lunson Mitchenall and G e Disclaimer: The Bristol Alliance, its affiliates and subsidiaries, Lunson Mitchenall and u n s A e r n DTZ confirm that nothing in this document comprises an offer and prospective tenants i t DTZ confirm that nothing in this document comprises an offer and prospective tenants R p g e should not place any reliance upon any statement, representation or representation of t Jerry White/Hugh Radford e p e t Peter Courtney/Richard Cripps should not place any reliance upon any statement, representation or representation of i l r fact regarding the Scheme and possible tenancy arrangements. NOT TO SCALE s e fact regarding the Scheme and possible tenancy arrangements. NOT TO SCALE s Piccolinos

Horsefair Zone A’s Original £55

Broadmead Zone A’s Original £110

Penn Street Zone A’s Original £30 Horsefair Zone A’s Original £55 Current £ 90

Broadmead Zone A’s Original £110 Current £150 Penn Street Zone A’s Original £30 Current £40 Horsefair Zone A’s Original £55 Current £ 90 Possible £110

Broadmead Zone A’s Original £110 Current £150 Penn Street Possible £175 Zone A’s Original £30 Current £40 Possible £80 Leasing Update

• 92% let or in solicitors’ hands • Prime “Zone A” rental tone - £245/ft 2 • Average lease length - 10 years • Average incentive package - 18 months rent free • Projected rental income - £31 million Commercialisation

• High footfall and wide range of consumers • Attractive to consumer brands as sponsors, promoters and advertisers • Opportunities within temporarily vacant units • Complementary to existing retail mix

Two months of trading…

• More than 120,000 consumers on day one • Half a million of visitors by the end of first trading weekend • More than one million consumers within two weeks of trading • 3.6 million visitors to date (as at 16 November 2008) Financials

John Richards and Francis Salway Financials

• Total development cost £520 million • Total income £36 million p.a. • Development yield 6.9% Summary

• Bristol’s city centre re-established as the regional retail capital • Successful mixed-use city centre regeneration • Joint Land Securities and Hammerson project team • Public/private sector partnership • Profitable development in its own right and a platform for attractive long term investment returns Questions and answers