Investor Presentation

HY 2020 Our Investment Case

1 2 3 4

Our distinctive The scale and A well-positioned Our operational business model & quality of our development expertise & clear strategy portfolio pipeline customer insight

Increasing our focus 22.5m sq ft of Development pipeline Expertise in on mixed use places high quality assets aligned to strategy managing and leasing our assets based on our customer insight Growing London Underpinned by our Provides visibility campuses and resilient balance sheet on future earnings Residential and refining and financial strength Drives incremental Retail value for stakeholders

1 British Land at a glance 1FA, Broadgate

£15.4bn Assets under management

£11.7bn Of which we own

£521m Annualised rent

22.5m sq ft Floor space

97% Occupancy Canada Water Plymouth

As at September 2019 2 A diverse, high quality portfolio £11.7bn (BL share)

Multi-let Retail (26%) London Campuses (45%)

72% London & South East Solus Retail (5%) Standalone offices (10%)

Retail – London & SE (10%) Residential & Canada Water (4%) 3 Our unique London campuses

£8.6bn Assets under management

£6.4bn Of which we own 78% £205m Annualised rent

6.6m sq ft Floor space

97% Occupancy

As at September 2019 4 Canada Water 53 acre mixed use opportunity in Central London

5 Why mixed use?

Occupiers Employees want space which is… want space which is…

Attractive to skilled Flexible Affordable Well connected Located in vibrant Well connected Safe and promotes Sustainable and employees neighbourhoods wellbeing eco friendly

Tech Close to Aligned to Supported by Has a range of workspace Close to retail, enabled complementary their brand excellent facilities including collaborative leisure and businesses and services and quiet dining options

World class, sustainable and smart buildings + Attractive, vibrant and safe public space

6 We have created a distinctive advantage in mixed use

• Mixed use campus development – 1 Broadgate, 2-3 Finsbury Avenue, 5 Kingdom Street near & medium term – 1.3m sq ft committed developments – Further opportunities Norton Folgate, Ealing, Kingston, Woolwich, Canada Water

• Scale – Control of groundscape eg. Eataly, Exchange Park

• Operational platform – Expertise across development, planning, marketing, data and tech, sustainability – Combined asset management team with dedicated retail and offices function

• Natural partner for complex schemes Broadgate – SWFs, property specialists, Government

7 De-risked development pipeline focused on campuses

Meadowhall Leisure 333,000 sq ft 2-3 Finsbury Avenue 563,000 sq ft

135 Bishopsgate 1 Triton Square Aldgate Place, Gateway Building 335,000 sq ft 366,000 sq ft Phase 2 Norton Folgate 105,000 sq ft Completion Q1 2020 Completion Q4 2020 146,000 sq ft 335,000 sq ft

5 Kingdom Street 429,000 sq ft

1 Finsbury Avenue 100 Liverpool Street 287,000 sq ft 520,000 sq ft Eden Walk, Kingston 1 Broadgate 533,000 sq ft PC’d Q1 2019 Completion Q1 2020 532,000 sq ft

Recently Completed & Near term pipeline Medium term pipeline Committed Developments excl. Canada Water • ERV of £48m • ERV of £63m • All schemes consented • 87% pre-let or under offer 8 De-risked developments 87% Pre-let or under offer providing future income across committed schemes

Pence per share 4.6p annual EPS accretion once £m ERV committed developments fully let 5.0 70 4.5

4.0 60 To let 3.5 50 3.0 40 2.5 2.0 30 Pre-let or under offer 1.5 20 1.0 10 0.5 0.0 0 FY20 FY21 FY22 FY23 Committed Near term

Committed figures include 1 Finsbury Avenue which recently completed 9 Storey roll out

Current Locations New & Forthcoming Locations

10 Building out Storey How British Land supports Storey’s operating platform • Operational Stats Landlord • c.30% premium to traditional Services Leasing and Asset Management lettings Fit out and Channel and Furnish pricing strategy • Stabilised portfolio 81% let or under offer Development

Select and Marketing • 24 months average lease plan space & leasing

length Finance and Legal Proposition & Operating Model Technology Technology installation • Good progress since 2017 launch

• 297,000 sq ft operational Account Customer Group Technology management onboarding • Open on all 3 campuses Storey and Personalisation • Further 91,700 sq ft identified FM services HR and Other Support Services

11 Our Retail portfolio is well positioned to meet both consumer and retailer demands

BL centres Potential to reach Average rent BL asset catchments to sales ratio c.50% of the population 9%

Annual footfall of Occupancy cost ratio 302m Source: CACI Retail Footprint 2019, BL Insight team 14% Note that population reach includes Broadgate

12 Retail sales focused on assets that do not meet our criteria

The right characteristics to drive Population Large population in catchment, with Rental growth income from rents and trends growth potential potential commercialisation

Quality of The right number of the right type of Potential to grow and/or Development demographics demographic groups reconfigure the asset to meet potential future requirements

Economic Above average income and health employment levels in the catchment Potential to create a true mixed- Mixed-use use community including retail, potential leisure, office and residential uses Quantum of retail space in the local Competition area; strong competitive position relative to potential competitors Potential to become a last-mile Fulfilment fulfilment hub, considering Right size scheme – large enough potential potential to develop and quality of Critical Mass for draw, but small enough to drive local infrastructure demand:supply tension

13 Significant medium-term opportunities

Canada Water - Resolution to grant outline planning received September 2019 - £347m book value - £8m current rent roll

Located at mixed use assets: - 2-3 Finsbury Avenue, 5 Kingdom Street, m sq ft Gateway Building, Ealing, Eden Walk 7.3 - £260m book value Medium term pipeline - £6m current rent roll opportunities - c.£80m potential ERV - 3 out of 5 schemes already consented

Standalone: - Meadowhall Leisure - Flexibility over progression options - Consented scheme

14 Building a London focused, increasingly mixed use business

March 2010 Current Indicative business split 5+ years

10% 33% 66% 55% 41% 30-35% 5%

50-55%

• London focused: over 70% of group • Smaller, more focused Retail • Meaningful Residential exposure Retail Campus-focused Storey Residential • Right balance of flexible and core workspace Offices 15 Key messages from HY results

1 Continued operational resilience 2 Good progress on strategy - 1.3m sq ft leasing activity - Resolution to grant planning at - Portfolio 97% full Canada Water - Developments 87% pre let or - £236m retail sales under offer

3 Managing capital well 4 Pipeline of attractive opportunities - £125m buyback completed - 1m sq ft near term pipeline including Norton Folgate and 1 Broadgate - Well positioned with debt low - 7.3m sq ft medium term pipeline, principally Canada Water

16 Outlook

• Retail – Occupational market to remain challenging – Investment market will be tough, but growing evidence that buyers returning to the market • London – Optimistic that current momentum will continue; function of supply as well as quality and location of our space – Benefitting from our 7.3m sq ft medium term pipeline – Investment market would benefit from greater macro stability

100 Liverpool Street, Broadgate

17 Half year results 6 months ended September ‘19

18 Results Overview

16.1p 856p £11.7bn

Underlying earnings EPRA Net Asset Value Portfolio valuation per share per share -4.3% vs March 19 -6.4% vs H1 19 -5.4% vs March 19 (Retail -10.7%, Offices +0.4%)

30.8% 87% 4.6p

Committed developments Loan to value let or under offer Committed developments EPS accretion Incl: +120bps val’n declines, 120,000 sq ft lettings in +110bps development spend period Primarily FY21 & FY22

19 Underlying earnings per share

(1.6)

0.5 (0.5) 0.4 0.1

17.2 16.1 16.1

HY 2019 Net divestment Share Excl. impact of Retail like-for- Offices like-for- Financing HY 2020 and buybacks capital activity like income like income activities and developments other

20 Net rental income

£m

Like for like 1 Like for like 1 (20) -3.2% +1.1% 2 (5) 1 (2)

267 243

HY 2019 Sales Acquisitions Retail like-for- Offices like-for- Developments HY 2020 like income like income

1 Like for like rental growth is stated excluding the impact of surrender premia 21 CVAs & Admins

Annualised contracted rent impact by Quarter (£’m) 12 mths: £14m 12 mths: £8m

7.0

6.0 Admins - stores closing 5.0 CVAs - stores closing 4.0 CVAs - reduced rents

3.0 Incl. Debenhams and 2.0 Arcadia

1.0

0.0 Q1 FY18 Q2 FY18 Q3 FY18 Q4 FY18 Q1 FY19 Q2 FY19 Q3 FY19 Q4 FY19 Q1 FY20 Q2 FY20

Two thirds of store closures since April 2017 are either re-let, under offer or in negotiation

22 Income statement

6 months to 30 September H1 2019 H1 2020 Change %

Net rental income (£m) 267 243 (9.0%)

Fees & other income (£m) 6 7 16.7%

Administrative expenses (£m) (42) (41) (2.4%)

Net finance costs (£m) (62) (57) (8.1%)

Underlying Profit (£m) 169 152 (10.1%)

Underlying earnings per share (p) 17.2 16.1 (6.4%)

Dividend per share (p) 15.50 15.97 3.0%

23 Valuation performance

Valuation Valuation Yield ERV £m movement movement movement

Total 11,723 (4.3%) +17bps -2.3%

Offices 6,439 0.4% +0bps +0.9%

Retail 4,790 (10.7%) +37bps -4.8%

Residential 147 (2.1%)

Canada Water 347 12.4%x

24 Office valuation performance +0.4% Offices H1 valuation movement

Standing Portfolio Developments £5.4bn (-0.4%) £1.0bn (+4.9%)

0bps yield shift £48m valuation uplift

+0.9% ERV growth £125m spend in period

Lower investment volumes recently; significant capital waiting on the sidelines pending further clarity on Brexit process Occupational demand remains strong; prime rents at c.£70psf in the City and c.£110psf in the West End1

Continued strong leasing performance across newly developed and existing space

1 As published by Cushman & Wakefield 25 Retail Valuation Movements -10.7% Retail H1 valuation September ’19 movement Valuations (£’m)

3,500

3,000

2,500 Incl. Meadowhall, Glasgow Fort, Teesside Stockton, 2,000 New Mersey Speke

1,500

1,000 Incl. Drake Circus Incl. Ealing Plymouth, Bath Southgate Broadway, Kingston 500 Centre, Nugent Incl. Orbital Swindon, Orpington Beaumont Leicester - More than 0% 0% to -10% -10% to -20% More than -20% Local Multi-let Regional Multi-let Superstores Leisure Solus Department Stores

% Valuation Movement in HY20

26 EPRA net asset value

(55p)

(15p) 16p 8p (2p) (1p)

905p 856 856p

March 19 Valuation Underlying Dividends Share Financing Other Sept 19 performance Profit buyback activity

27 Strength of debt metrics

Proportionally Consolidated 31 Mar 2019 30 Sept 2019

Loan to value (LTV) 28.1% 30.8%

Weighted Average Interest Rate 2.9% 2.7%

Interest Cover 3.8x 3.7x

Available Undrawn Facilities £1.5bn £1.4bn

Weighted Average Drawn Debt Maturity 8.1yrs 7.9yrs

Senior unsecured credit rating (Fitch) A A

28 Leasing & Asset Management HY20

29 Broad and flexible leasing offer

High quality Ready to fit Fitted

Developments & Existing Space

30 671,000 sq ft Leasing well on existing as well as new space 11.1% vs ERV

Monzo New tech sector occupier 122,000 sq ft at Broadwalk House, 45,000 sq ft at 338 Euston Road, Regent’s Place Broadgate

Broadwalk House, Broadgate 338 Euston Road, Regent’s Place

31 Storey

• Fully fitted, serviced and managed space – All inclusive basis – Ability to brand own space – Targets scale ups not start ups; average headcount c. 50 – British Land-owned buildings • Evolving our offer – Storey Club – launched at Paddington Central and planned for 100 Liverpool Street – Standalone space – Orsman Road launching early 2020 • Good progress since launch – 297,000 sq ft operational; 91,700 sq ft identified – Supporting broader leasing success Storey Club, Paddington

32 Smart & Sustainable offices

• Sustainability an important theme in leasing discussions – Occupiers focused on minimising carbon footprint – Reflects employee, customer and shareholder pressure • Our long term focus on Sustainability is an important advantage – 92% of developments BREEAM Excellent or Very Good • 1 Triton Square credentials – 35,600 tonnes of embodied carbon saved by retaining the structure – BREEAM Outstanding • Smart features can support Sustainability – Piloting technology to deliver a more efficient 1 Triton Square working environment for an occupier

33 Retail leasing overview 96% Retail occupancy

Commercialisation & car park income • 70k sq ft • £0.8m headline rent • 3 years average lease length • 1 mth average incentive

Long term leasing • 230k sq ft Assets to be developed • £4.8m headline rent • 80k sq ft +1% • 15% ahead of passing rent • £0.7m headline rent vs previous passing • 3.5% ahead of ERVs 1 • 3 years average lease length rent • 7.0 years average lease length • 7 mths average incentive • 6 mths average incentive

Rates mitigation • 95k sq ft Temporary leasing • £0.2m headline rent • 130k sq ft • 9 mths average lease length • £2.2m headline rent • 20% below passing rent • 1 year average lease length • No incentive given

1 Excludes assets to be developed, rates mitigation and commercialisation & car park income 34 Operational outperformance in a challenging retail market

• 605,000 sq ft leasing activity – Leasing deals 1% ahead of previous passing rent1 – 3.5% ahead of ERV • Pragmatic approach to leasing – Focused on maintaining occupancy – Willing to accept lower rents or shorter leases • Supported operational outperformance – Footfall down 0.1%, 440 bps ahead of benchmark – LFL sales +0.5%, 420 bps ahead of benchmark

The Barcode, Plymouth

35 1 Excludes assets to be developed, rates mitigation and commercialisation & car park income A commercial approach to support operational performance

Giltbrook, Nottingham Mayflower, Basildon • 30,000 sq ft Fabb Sofas returned • 20,500 sq ft Fabb Sofas returned – 60,000 sq ft re-let to M&S; 30,000 sq ft added – Re-let to Lidl; maintaining full occupancy – 15% discount to previous rent – 19% discount to previous rent – 25 year lease • Excellent fit with the M&S Store Transformation Plan – Large catchment c. 1m people • Opportunity to respond to customer needs – Family friendly mix, including leisure and F&B – Convenience-led missions dominate with grocery increasing • “Stores remain fundamental to how we serve customers”

Giltbrook, Nottingham Mayflower, Basildon

36 Major milestone achieved at Canada Water

• Resolution to grant outline planning from Southwark Council, covering: – 53 acre masterplan – Detailed consent on the first three buildings, covering 576,000 sq ft • Earliest start on site mid next year • Next planning steps: – Completion of S106 agreement – Formal issue of planning – Headlease drawdown

Canada Water

37 Canada Water – Illustrative Scheme

First Masterplan detailed plots

K1 Resolution to grant planning received 30th September 2019 L2

A1 H2 L1

M1 Total NIA H3 5.0m 0.6m H1 (sq ft) A2

D1 D2 Commercial 2.1m 0.3m (sq ft)

Retail & Leisure 0.7m 0.1m (sq ft)

New Homes 3,000 265 (units)

Buildings highlighted above reflect indicative First Major Scheme, totaling 1.9m sq ft 38 Note: The figures above are indicative and are likely to change as development plans evolve First detailed plots K1 – residential

Plot A1 – residential & workspace

A2 – workspace & leisure

39 Canada Water: key milestones and timeline

Acquisition of 50% of Surrey MDA signed with Southwark Council Quays shopping centre Planning application submitted 23 acres Remaining 50% of Surrey Quays shopping centre acquired 23 acres Resolution to grant planning Conditional agreement Outline masterplan to acquire Printworks Detailed first phase 14.5 acres Surrey Quays leisure park acquired 8.5 acres

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Earliest possible start on site

40 2020 Sustainability Targets: FY19 performance

FY19 2020 Target Futureproofing 92% 100% developments on track to achieve BREEAM Excellent/Very Good Capital efficiency 44% 55% improvement in energy efficiency vs 2009 baseline 96% 100% of electricity to come from renewable sources Achieved: 64% 55% improvement in carbon efficiency vs 2009 baseline 10% 15% reduction capital carbon emissions vs concept (embodied carbon) In progress Trial 3 visible interventions to improve local air quality 0.4% to landfill Zero waste to landfill Skills and 1,232 1,700 people supported into employment (cumulative) opportunity 2.4% 3% of BL workforce and priority tier 1 and 2 suppliers to be apprentices Expert people 53% 100% strategic suppliers signed up to new code of conduct In progress Pilot a Living Wage Zone at a London campus 100% / 66% 100% BL and supplier workforce at managed assets paid Living Wage Wellbeing On track Achieve WELL Certification on 100 Liverpool Street Customer orientation In progress Establish and pilot wellbeing specification for retail developments Achieved Define and trial a measurement of office productivity Achieved Research & publish on how development design impacts public health Community 92% Fully implement Local Charter at staffed assets and major developments Right places 17% 20% employee skills-based volunteering 81% 90% employee volunteering

41 Sustainability Indices Performance

FY 2019 performance Other benchmarks and awards

EPRA Sustainability Carbon Disclosure Project Global Real Estate Reporting Awards 2019: scores pending Sustainability Benchmark 2019: Gold for 8th year 2018: A- 2019: Green star for 10th year

Sustainalytics MSCI ESG Ratings ESG Ratings FTSE4Good 2019: AAA rating 2019: 96th percentile 2019: 98th percentile

MSCI disclaimer available http://www.britishland.com/sustainability/performance/benchmarks 42 Appendices

43 Continuing to outperform on key operational metrics

British Land Footfall movement vs Benchmark1 BL Footfall Benchmark Outperformance (bps) % YoY +460 +240 +340 +230 +440

0.0 3.2 0.3 -0.1 -0.9 -1.4 -2.4 -3.1 -3.2

-4.5 FY16 FY17 FY18 FY19 H1 20

1 ShopperTrak UK National Index 44 Continuing to outperform on key operational metrics

British Land LfL sales movement vs Benchmark1 BL LfL Sales Benchmark Outperformance (bps) % YoY

+260 +220 +130 +160 +420

0.0 0.5 2.4 -0.2

-1.6 -1.5 -2.2 -2.9 -3.1 -3.7

FY16 FY17 FY18 FY19 H1 20

1 BRC KPMG In-Store LFL Non-Food Index 45 BL footfall performance vs benchmark +440bps Outperformance for 6m to Sep 2019 Jan-10 = 100

115

110 BL Index 105

100

85 Tyco (formerly Experian) Inde

75 Jan-10 Jul-10 Jan-11 Jul-11 Jan-12 Jul-12 Jan-13 Jul-13 Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 Jul-18 Jan-19 Jul-19

British Land UK Market (ShopperTrak UK National Index) 46 Our portfolio is relatively affordable to our occupiers

Occupancy Cost Ratio Rent to Sales Ratio

20% 15%

15% 10% 10% 5% 5%

0% 0% BL UK Peers BL UK Peers

Data updated to September 2019 Occupancy cost ratio defined as the sum of total rent, service charge, rates, insurance as a proportion of retailer sales (net of VAT). Peers include Landsec, Hammerson and intu. Rent to sales ratio defined as total rent as a proportion of retailer sales (net of VAT). Peers include Landsec and Hammerson. Both metrics based on all stores, including MSUs and anchors. 47 Long term drivers of trading densities 10yr view

Total Retail sales growth Physical Retail sales + Shrinkage of = Sales per sq ft trajectory floorspace growth Online penetration

48 We expect online to absorb the 10yr view majority of retail sales growth… Current Pessimistic Optimistic

3.3% 2.6% 3.3% 4.2% 4.3% Total Retail Sales growth 2.5% 4.5% (pa) 10yr historic CAGR Euromonitor Historic Oxford CACI Passport growth Economics

35% 32% 19% 50% 35% Online penetration Extrapolated CACI Historic growth

Implied long run 2.5% physical sales 10yr historic -2% 2% growth (pa) CAGR

Sources: ONS (historic), Euromonitor Passport (data to 2023), Oxford Economics (data to 2029), CACI (data to 2026). Figures all nominal and represent total retail sales (includes food and groceries, excludes fuel) 49 …however with shrinking floorspace, 10yr view industry trading densities likely to grow

Pessimistic Optimistic Implied long run physical sales -2% 2% growth (pa)

Shrinkage of -1% -1.5% -1% -2% Floorspace (pa) JLL floorspace decrease JLL store closures prediction prediction

Industry sales per -1% +4% sq. ft growth (pa)

50 Source: JLL (data to 2026). Figures all nominal and represent total retail sales (includes food and groceries, excludes fuel) …and we expect to continue to outperform 10yr view

Pessimistic Optimistic

Industry sales per -1% +4% sq. ft growth (pa)

British Land historic LfL +190bps sales outperformance FY16-FY19 (pa) outperformance

Implied British Land +1% +6% portfolio sales per sq. ft (pa)

51 Multi-let Retail assets

Regional Local Attracting visitors from a wide Fitting into the daily life of local communities catchment for a planned trip

1 Southgate, Bath Mayflower, Basildon Inverness Nugent, Orpington Cornerhouse, Barrow The Woolwich Estate Botley Road, Oxford Broughton, Chester1 Hindpool, Barrow Beaumont, Leicester Deepdale, Preston1 Fort Kinnaird, Edinburgh1 Woodfields, Bury Valentine, Lincoln1 Queens, Stafford1 Glasgow Fort1 Forster Square, Bradford Mostyn Champneys, Llandudno1 Orbital, Swindon Royal Victoria Place, Tollgate, Colchester St. Peter’s, Mansfield St. Stephen’s, Hull Tunbridge Wells 1 Eden Walk, Kingston Prospect Place, Dartford Kingston Centre, Milton Keynes Giltbrook, Nottingham Serpentine Green, Crown Point, Denton Whiteley, Fareham Drake Circus, Plymouth Peterborough Wheatley, Doncaster Ealing Broadway Meadowhall, Sheffield Lion, Woking Crown Wharf, Walsall1 New Mersey, Speke1 Old Market, Hereford Studlands, Newmarket Teesside, Stockton Harlech, Newport Elk Mill, Oldham

1 Assets held within Hercules Unit Trust or its subsidiaries and joint ventures 52 Major retail property holdings

As at 30 September 2019 BL Share Sq ft Rent (100%) Occupancy Lease Length % 000’s £m pa1,4 Rate %2,4 yrs3,4

1 Meadowhall, Sheffield 50 1,500 85 97.4 5.2

2 Drake's Circus, Plymouth 100 1,082 19 96.0 5.6

3 Glasgow Fort 78 510 21 98.0 5.8

4 Ealing Broadway 100 540 15 92.7 4.3

5 Teesside, Stockton 100 569 16 94.6 4.3

6 Speke, New Mersey 68 502 14 92.8 6.1

7 Kingston Centre, Milton Keynes 100 380 9 99.7 6.4

8 Serpentine Green, Peterborough 100 337 9 99.4 7.3

9 St. Stephen’s, Hull 100 552 10 98.1 4.1

10 Fort Kinnaird, Edinburgh 39 560 18 94.1 5.3

1 Annualised EPRA contracted rent including 100% of Joint Ventures & Funds 2 Including accommodation under offer or subject to asset management 3 Weighted average to first break 4 Excludes committed and near term developments 53 Broadgate Campus

2 FA & 3 FA • 2FA & 3FA - Innovation cluster inc. 51k sq ft of Storey space • 3FA – UBS surrendered lease in Jan 2018. ‘Light touch’ refurb completed • Current size: 189k sq ft • Potential size: 563k sq ft 1 FA • Pre-let 113k sq ft to Mimecast, 30k sq ft to Product Madness, 11k sq ft to Everyman Cinemas, 30k sq ft to Workday • 73k sq ft to be Storey space • Size: 287k sq ft • PC’d Q1 2019 135 Bishopsgate • 97% let or under offer • Pre-let 123k sq ft to TP ICAP, 148k sq ft to McCann, 44k sq ft to Eataly • Size: 335k sq ft • Completion: Q1 2020 1 Broadgate • Current size: 330k sq ft • Potential size: 532k sq ft • Planning permission secured March 2019 100 Liverpool Street • Pre-let 184k sq ft to SMBCE, 71k sq ft to Milbank LLP, 60k sq ft to BMO, 40k sq ft to Peel Hunt • Current size: 380k sq ft • Redevelopment: 520k sq ft 83% of Broadgate committed developments pre-let or under offer • Completion: Q1 2020 54 Paddington Central Campus

55 Regent’s Place Campus

56 Top 20 occupiers & occupier split by industry

Retail Top Occupiers Offices Top Occupiers Occupier Split by Industry (%)

As at % of As at % of 30 September 2019 Retail 30 September 2019 Office Rent Rent Other 11% Fashion & Tesco1 7.6 Government 6.9 Beauty 19% Next 4.8 Facebook2 4.9 Home & DIY 6% Kingfisher 3.4 Dentsu Aegis3 4.8 Walgreens (Boots) 3.4 Visa 4.4 Grocery & Sainsbury’s 3.1 Debenhams2 4.1 Convenience 7% Marks & Spencer 3.1 Herbert Smith Freehills 3.5 Debenhams 2.8 Gazprom 2.8 General Dixons Carphone 2.8 Microsoft 2.5 TMT 10% Retail 15% TJX (TK Maxx) 2.1 Vodafone 2.2 JD Sports 2.0 Deutsche Bank 2.1 Arcadia 2.0 Reed Smith 1.9 Food / Leisure 10% Sports Direct 1.9 Henderson 1.8 Banks & Financial New Look 1.9 Mayer Brown 1.6 Professional & services 11% Asda 1.7 Mimecast 1.4 Corporate 11% Virgin 1.6 Aramco 1.3 Homebase 1.5 Credit Agricole 1.3 Steinhoff 1.5 Kingfisher 1.3 1 Includes £3.4m at Surrey Quays Shopping Centre 2 Debenhams reduces to 0% following vacancy of 10 Brock Street and Facebook increases to 9.9% TGI Fridays 1.4 Misys 1.1 once they assume occupancy in November 2019 3 Taking into account their pre-let of 310,000 sq ft at 1 Triton Square, % contracted rent would rise to CK Hutchinson 1.3 Capula 1.1 13.0%. As part of this new letting, Dentsu Aegis have an option to return their existing space at 10 Triton H&M 1.3 Accor 1.1 Street in 2021. If this option is exercised, there is an adjustment to the rent free period in respect of the letting at 1 Triton Square to compensate British Land.

57 A history of CVAs

JJB “Landlord” CVA CVAs which Seek legal advice as • reduces lease payments but 3-4 Retailer “Landlord affect more House of Insolvency Act more adverse terms leaves other creditors unaffected CVAs” per year than rent Fraser introduces CVAs emerge • discounts Landlord vote by 75% appear

1986 2009 2013-2017 March 2018 June 2018

BL and group of BL CVA cross business BL engages with landlords launch Red Flags launched committee forms and insolvency practitioners legal challenge of via BPF determines strategy Regis CVA

November 2018 September 2018 July 2018

Technical On Arcadia, SteerCo of Landlords structure of via Advisor got: Debenhams CVA Landlord • access to better financial Monsoon challenged in Court Regis Steering business information Arcadia CVA Outcome awaited challenge Committee • concessions and 20% upside on CVA in court takes shape sale for all landlords

February 2019 May 2019 June 2019 September 2019 December 2019

Key: Macro events BL actions 58 Capital Activity

Since 1 April 2019 Offices Retail Residential Canada Water Total £m £m £m £m £m

Purchases1 32 - 19 - 51

Sales2 - (236) (56) - (292)

Development Spend 125 8 - 5 138

Capital Spend 20 16 - - 36

Net Investment 177 (212) (37) 5 (67)

Gross Investment 177 260 75 5 517

On a proportionally consolidated basis including the Group’s share of joint ventures and funds 1 Includes purchase of 6 Orsman Road, Haggerston for £32m which exchanged in period and completed post period end 2 Includes Clarges residential sales of £56m, of which £6m exchanged prior to FY20 and completed in the period and £3m exchanged and completed post period end 59 Capital Activity £4.0bn Gross investment activity since April 2017

Net Spend1 £m £45m (£502m) (£739m) (£721m) (£67m) 1,600

1,200

800

400

(400)

(800)

(1,200)

(1,600)

(2,000) FY16 FY17 FY18 FY19 HY20

Sales Capital Investment Purchases Net Spend

1 Previous periods have been restated to exclude transactions exchanged in the period that have now completed 60 Clarges Residential Unit Sales

Number of units £m

Completed in FY18 2 24

Completed in FY19 23 335

Completed in HY201 5 56

Total Completed 30 415

Exchanged 2 25

Total Sold 32 440

Units under offer 1 6

Units remaining 1 4

Total 34 450

1 Of which 1 unit (£3m) exchanged in the period and completed post period end 61 Purchases

Since 1 April 2019 Sector Price Price Annual (100%) (BL Share) Passing Rent £m £m £m1

Completed

Aldgate Place, Phase 2 Residential 19 19 -

6 Orsman Road, Haggerston2 Offices 32 32 -

Total 51 51 -

1 BL share of annualised rent topped up for rent frees 2 Exchanged in period and completed post period end 62 Sales

Since 1 April 2019 Sector Price Price Annual (100%) (BL Share) Passing Rent £m £m £m1 Completed

Portfolio of Sainsbury’s stores Retail 429 194 12

David Lloyd Croydon Retail 22 22 1

Clarges2 Residential 56 56 -

Exchanged

Homebase Walton on Thames Retail 20 20 1

Total 527 292 14

1 BL share of annualised rent topped up for rent frees 2 £6m of which exchanged prior to HY20 and completed in the period and £3m of which exchanged and completed post period end 63 H2 FY20 income statement guidance

Gross Rents Financing • Annualised accounting gross rent of £522m • Weighted average interest rate now 2.7% as at 30 September 2019 on gross debt of £3.9bn • This incorporates the reduction to contracted rents as • Undrawn facilities of £1.4bn, with commitment a result of CVAs and administrations prior to 30th fees of c.30bps p.a. September 2019 Dividend • Retail % like for like movement, absent any material • As announced in May 2019, the dividend for the year tenant events, is expected to be at a similar level for ending 31 March 2020 is 31.93p per share (quarterly FY20 as the first half dividend of 7.9825p per share) • In Offices, rental income will primarily be driven by •Other like-for-like growth across the portfolio, including the • Capital activity has the potential to significantly impact ramp up of our Storey offering profits. For example, selling/acquiring £100m of assets Operating costs would reduce/increase profits by c.£3.4m and LTV by c.0.6%. This is based • As we become more operational and expand Storey, on an average portfolio topped up NIY of 4.8% we expect our property operational costs to increase and marginal cost of debt of 1.4% marginally but stay in line with H1 as a percentage of gross rents • Administrative costs expected to be broadly in line with H1 level

64 Illustrative future income profile breakdown (cash basis)

For the year to 31 March 2020 2021 2022 2023 2024 Total Accounting Basis As at 30 September 2019 £m £m £m £m £m £m Current Passing Rent 521 529 Contracted uplifts4 20 22 3 - 1 46 Letting of Committed Developments1 26 22 - - - 48 39 Contracted rent 615 568 Sales exchanged post year end (1) - - - - (1) - Letting of completed developments 3 - - - - 3 3 Lease Expiries – Development pipeline (1) (4) (1) - (1) (7) (7) Letting of Committed Developments1 – speculative 5 2 - - - 7 6 Letting of Near Term Developments1 - - - 29 19 48 41 RPI Linked Leases2 1 1 1 1 1 5 5 Reversion3 4 5 7 1 (3) 14 12 Vacancies 26 26 22 710 650 Letting of Medium Term Developments (excl. Canada Water & Eden Walk) 81 66

On a proportionally consolidated basis including the Group’s share of joint ventures and funds. Figures based on valuation rent and include assumptions on outstanding rent review settlements 1 Assumes lettings contracted are rent producing at practical completion 2 Assumed at 2.6% per annum 3 Includes reversion on expiries and open market rent reviews within 5 years 4 Includes £8m agreement for lease rents 65 Gross rental income1

Accounting Basis £m 6 months to 30 September 2019 Annualised as at 30 September 2019 Group JVs & Funds Total Group JVs & Funds Total West End 75 - 75 140 - 140 City 7 34 41 12 63 75 Offices 82 34 116 152 63 215 Regional 32 45 77 58 85 143 Local 44 12 56 89 22 111 Multi-let 76 57 133 147 107 254 Department Stores 8 - 8 21 - 21 and Leisure Superstores 3 3 6 5 3 8 Solus and Other 6 - 6 12 - 12 Retail 93 60 153 185 110 295 Residential2 2 - 2 4 - 4 Canada Water 4 - 4 8 - 8 Total 181 94 275 349 173 522

On a proportionally consolidated basis including the group's share of joint ventures and funds 1 Gross rental income differs from annualised rents due to accounting adjustments for fixed & minimum contracted rental uplifts and lease incentives 2 Standalone residential 66 Administrative expenses

6 months to 30 September 2018 2019 £m £m

Personnel costs 28 26

Share scheme costs (1) (1)

Other administrative expenses 18 19

Total 45 44

Capitalised costs (3) (3)

Total administrative expenses 42 41

On a proportionally consolidated basis including the Group's share of Joint ventures and Funds and excluding non-controlling interests in the Group's subsidiaries. 67 Operating costs metric

6 months to 30 September 2018 2019 £m £m

Property operating expenses 24 32

Administrative expenses 42 41

Net fees and other income (6) (7)

Ground rent costs and operating expenses de facto included in rents (4) (8)

EPRA Costs (including direct vacancy costs) 56 58

Gross rental income 291 275

Ground rent costs and operating expenses de facto included in rents (4) (8)

Gross Rental Income (EPRA basis) 287 267

EPRA Cost Ratio (including direct vacancy costs) 19.5% 21.7%

On a proportionally consolidated basis including the Group's share of Joint ventures and Funds and excluding non-controlling interests in the Group's subsidiaries. 68 Number of shares

As at 31 Mar 2019 30 Sept 2019 (m) (m)

IFRS Basic

Weighted average1 971 941

IFRS Diluted

Weighted average2 971 941

Underlying/EPRA diluted

Weighted average3 974 944

Year/Period end4 956 933

1 For use in IFRS basic earnings per share. 2 For use in IFRS diluted earnings per share. A loss in the current and prior periods results in an anti-dilutive effect, therefore no adjustment has been made for the dilutive effect of share options. 3 For use in Underlying/EPRA diluted earnings per share. 4 For use in EPRA NAV per share and EPRA NNNAV per share. 69 EPRA balance sheet

31 March 19 Group JVs & Funds 30 September 19

Total properties (£m) 12,316 8,434 3,289 11,723

Adjusted net debt (£m) (3,521) (2,794) (891) (3,685)

Other net liabilities (£m) (146) (2) (52) (54)

EPRA Net Assets (£m) 8,649 5,638 2,346 7,984

Loan to value (LTV)1 28.1% 30.8%

Weighted average interest rate 2.9% 2.7%

Interest cover 3.8x 3.7x

Weighted average maturity of drawn debt (years) 8.1 7.9

1 Group LTV based on Group Properties and net investment in Joint ventures & Funds, and Group net debt. 70 Reconciliation of EPRA NAV & NNNAV

31 March 19 30 September 19 £m Pence £m pence

IFRS Net Assets 8,689 916 7,971 860

Deferred tax arising on revaluation movements 5 6

Mark to market on derivatives and related debt adjustments 113 137

Adjust to fully diluted on exercise of share options 24 19

Surplus on trading properties 29 19

Non-controlling interests (211) (168)

EPRA NAV 8,649 905 7,984 856

Deferred tax arising on revaluation movements (11) (9)

Mark to market of debt and derivatives (477) (563)

EPRA NNNAV 8,161 854 7,412 794

71 Gross and net debt reconciliation

As at 30 September 2019 Group JVs & Funds Less non- Total £m £m controlling £m interests £m Gross Debt (principal) (3,039) (1,021) 120 (3,940)

IFRS adjustments: Issue costs and premia 12 2 (1) 13 Fair value hedge adjustments (220) - - (220) Other items 4 - - 4 IFRS gross debt (3,243) (1,019) 119 (4,143) Market value of derivatives 58 (10) 1 49 Cash 160 128 (16) 272 IFRS net debt (3,025) (901) 104 (3,822)

Adjustments: Remove market value of derivatives (47) Remove fair value hedges 188 Other adjustments (4) Adjusted net debt (3,685)

72 Loan to value (LTV)

As at Valuation Acquisitions Capital Disposals Share Other As at 31 March movement spend buyback 30 September 2019 2019 £m £m

Total properties 12,316 (531) 19 182 (263) - - 11,723

Other 151 5 - - - - 14 170 investments

LTV assets 12,467 (526) 19 182 (263) - 14 11,893

Adjusted net 3,521 - 21 185 (259) 125 92 3,685 debt

Other (19) - - - - - 2 (17)

LTV liabilities 3,502 - 21 185 (259) 125 94 3,668

LTV 28.1% 1.2% 0.1% 1.1% (1.5%) 1.0% 0.8% 30.8%

On a proportionally consolidated basis including the Group's share of Joint ventures and Funds and excluding non-controlling interests in the Group's subsidiaries. 73 Debt metrics

Proportionally Consolidated 31 Mar 2019 30 Sept 2019

Loan to value (LTV) 28.1% 30.8%

Weighted average interest rate 2.9% 2.7%

Interest cover 3.8x 3.7x

Weighted average maturity of drawn debt 8.1yrs 7.9yrs

Group 31 Mar 2019 30 Sept 2019

Loan to value (LTV) 22.2% 25.4%

Available undrawn facilities £1.5bn £1.4bn

Weighted average interest rate 2.2% 2.1%

Interest cover 4.9x 4.6x

Senior unsecured credit rating (Fitch) A A

74 Debt maturity (£m) £m

1,200

Bank RCFs Undrawn (Unsecured) 1,000 Bank RCFs Drawn (Unsecured) Debenture & loan notes (Secured) Convertible Bond (Unsecured) Sterling Bond (Unsecured) 800 US Private Placements (Unsecured) Funds – Bank drawn (Secured) JVs – Securitisations (Secured) 600

400

200

- 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040

On a proportionally consolidated basis including the group's share of joint ventures and funds and excluding non-controlling interests in the Group's subsidiaries. 75 Debt financing – diverse profile

• Issued £100m 2034 USPP floating rate note £3.9bn Drawn Debt1 (30 September 2019) – Follows repayment of a 5.5% £98m 2027 note – Extends BL debt maturity / improves profits £0.4bn £0.4bn Bank RCFs Drawn US Private Placements Convertible Bond • Extended £810m of committed bank facilities by a Sterling Bond further 1 year. £0.8bn Debenture & loan notes £1.0bn JVs Securitisations • No requirement to refinance until late 2022 JV & Funds Loans Unsecured • LTV increased by 270bps to 30.8% Secured £0.4bn – Valuation declines +120bps £0.6bn £0.3bn – Development spend +110bps

• Weighted average interest rate new low of 2.7%

• Weighted average drawn debt term maturity 7.9 years

• Long term ratings affirmed and Short term Issuer Default Rating upgraded to ‘F1’ (Fitch Sep-19)

76 1 Proportionally consolidated. HUT’s debt shown at our share (£0.4bn) within JV & Funds. Portfolio valuation by sector

As at 30 September 2019 Group JVs & Funds Total H1 Change %1

£m £m £m % £m West End 4,066 - 4,066 (0.1) (4) City 256 2,117 2373 1.3 30 Offices 4,322 2,117 6,439 0.4 26 Regional 649 1,536 2,185 (13.2) (334) Local 1,673 322 1,995 (11.1) (250) Multi-let 2,322 1,858 4,180 (12.3) (584) Department Stores and Leisure 301 - 301 (0.1) - Superstores 84 50 134 (1.5) (5) Solus and Other 175 - 175 (5.4) (10) Retail 2,882 1,908 4,790 (10.7) (599) Residential2 147 - 147 (2.1) (3) Canada Water 347 - 347 12.4 38 Total 7,698 4,025 11,723 (4.3) (538) Standing Investments 6,993 3,514 10,507 (5.2) (591) Developments 705 511 1,216 4.6 53

On a proportionally consolidated basis including the group's share of joint ventures and funds 1 Valuation movement during the period (after taking account of capital expenditure) of properties held at the balance sheet date, including developments (classified by end use), purchases and sales 2 Standalone residential 77 Valuation movement – Offices

6 months to 30 September 2019 Valuation Change Change Yield movement ERV movement £m £m %1 bps2 %2

West End 4,066 (4) (0.1) 2 (0.2)

City 2,373 30 1.3 (3) 2.9

Offices 6,439 26 0.4 - 0.9

Campuses represent 82% of the Offices portfolio

1 Valuation movement during the period (after taking account of capital expenditure) of properties held at the balance sheet date, including developments (classified by end use), purchases and sales 2 Excluding committed developments, assets held for development and residential assets 78 Valuation movement – Retail

6 months to 30 September 2019 Valuation Change Change Yield movement ERV movement £m £m %1 bps2 %2

Regional 2,185 (334) (13.2) +41 (5.5)

Local 1,995 (250) (11.1) +39 (4.7)

Multi-let 4,180 (584) (12.3) +40 (5.1)

Other 610 (15) (1.8) +14 0.0

Retail 4,790 (599) (10.7) +37 (4.8)

Multi-let assets represent 87% of the Retail portfolio

As at 30 September 2019 Group JVs & Funds Total H1 Change1

£m £m £m % £m

Shopping parks 1,384 899 2,283 (12.4) (322)

Shopping centres 927 942 1,869 (11.8) (250)

Superstores 84 50 134 (1.5) (5)

Department stores 62 - 62 (10.5) (7)

High Street 153 1 154 (9.7) (17)

Leisure 272 16 288 0.8 2

Retail & Leisure 2,882 1,908 4,790 (10.7) (599)

As at 30 September 2019 EPRA EPRA topped Overall Net Net Net ERV net initial up net initial topped up equivalent equivalent reversionary Growth 5 yield yield net initial yield yield yield % 3 % % yield % movement % 4 % bps West End 3.7 4.1 4.1 4.3 2 4.8 (0.2) City 3.4 4.0 4.0 4.7 (3) 5.5 2.9 Offices 3.6 4.0 4.0 4.4 - 5.0 0.9 Regional 5.3 5.5 5.6 5.7 41 5.8 (5.5) Local 5.9 6.1 6.2 6.3 39 6.1 (4.7) Multi-let 5.6 5.8 5.9 6.0 40 6.0 (5.1) Department Stores and 5.7 5.7 6.1 5.6 15 5.0 1.1 Leisure Superstores 5.8 5.8 5.8 5.2 3 5.1 (6.6) Solus and Other 6.5 6.7 6.7 5.8 20 4.6 (5.1) Retail 5.6 5.8 5.9 5.9 37 5.8 (4.8) Canada Water 3.3 3.3 3.3 4.0 11 4.0 (2.9) Total 4.5 4.8 4.9 5.1 17 5.3 (2.3)

On a proportionally consolidated basis including the group's share of joint ventures and funds 1 Including notional purchaser's costs 2 Excluding committed developments, assets held for development and residential assets 3 Including rent contracted from expiry of rent-free periods and fixed uplifts not in lieu of rental growth 4 Including fixed/minimum uplifts (excluded from EPRA definition) 5 As calculated by IPD 81 Portfolio weighting

As at 30 September 2019 2018 2019 2019 % % £m

West End 31.9 34.7 4,066 City 15.8 20.2 2,373 Offices 47.7 54.9 6,439 Regional 22.9 18.7 2,185 Local 17.2 17.0 1,995 Multi-let 40.1 35.7 4,180 Department Stores and Leisure 4.2 2.6 301 Superstores 2.8 1.1 134 Solus and Other 1.9 1.5 175 Retail 49.0 40.9 4,790 Residential1 1.0 1.2 147 Canada Water 2.3 3.0 347 Total 100.0 100.0 11,723 Of which London 58% 65% 7,623

On a proportionally consolidated basis including the group's share of joint ventures and funds 1 Standalone residential 82 Lease length and occupancy

As at 30 September 2019 Average Lease Length (yrs) Occupancy Rate (%) To Expiry To Break EPRA Occupancy Occupancy1,2,3 West End 6.2 5.0 97.0 97.3 City 7.0 5.9 84.8 97.1 Offices 6.5 5.3 92.6 97.2 Regional 6.9 5.6 95.4 96.1 Local 6.6 5.3 95.0 95.8 Multi-let 6.8 5.4 95.2 95.9 Department Stores and Leisure 14.8 12.3 99.5 99.5 Superstores 9.2 9.1 100.0 100.0 Solus and Other 10.1 10.1 100.0 100.0 Retail 7.5 6.1 95.7 96.3 Canada Water 5.2 5.1 99.7 99.9 Total 7.0 5.8 94.3 96.8

1 Space allocated to Storey is shown as occupied where there is a Storey tenant in place otherwise it is shown as vacant. Total occupancy would rise from 96.8% to 97.3% if Storey space were assumed to be fully let. 2 Including accommodation under offer or subject to asset management 3 Where occupiers have entered administration or CVA but are still liable for rates, these are treated as occupied. Reflecting units currently occupied but expected to become vacant, then the occupancy rate for Retail would reduce from 96.3% to 95.6%, and total occupancy would reduce from 96.8% to 96.4% 83 Annualised rent & estimated rental value (ERV)

As at 30 September 2019 Annualised Rents ERV Average Rent (Valuation Basis) £m1 £m (£psf) Group JVs & Funds Total Total Contracted2 ERV

West End3 141 - 141 183 60.8 67.4 City3 7 57 64 104 50.5 58.7 Offices3 148 57 205 287 57.0 64.0 Regional 44 87 131 142 30.3 31.7 Local 110 24 134 139 22.8 23.1 Multi-let 154 111 265 281 26.0 26.7 Department Stores and Leisure 18 - 18 16 15.0 13.3 Superstores 4 4 8 7 22.3 19.8 Solus and Other 13 - 13 9 20.5 14.7 Retail 189 114 304 313 24.6 24.7 Residential4 4 - 4 4 45.2 37.7 Canada Water5 8 - 8 9 18.0 21.1 Total 349 172 521 613 30.6 33.8

On a proportionally consolidated basis including the group's share of joint ventures and funds, excluding committed, near term and assets held for development 1 Gross rents plus, where rent reviews are outstanding, any increases to ERV (as determined by the Group’s external valuers), less any ground rents payable under head leases, excludes contracted rent subject to rent free and future uplift 2 Annualised rent, plus rent subject to rent free 3 £psf metrics shown for office space only 4 Standalone residential 5 Reflects standing investment only 84 Rent subject to open market rent review

For the year to 31 March 2020 2021 2022 2023 2024 2020–22 2020–24 As at 30 September 2019 £m £m £m £m £m £m £m West End 7 10 9 23 7 26 56 City 2 9 - - 15 11 26 Offices 9 19 9 23 22 37 82 Regional 5 18 12 11 8 35 54 Local 5 12 6 17 5 23 45 Multi-let 10 30 18 28 13 58 99 Department Stores - - - - 2 - 2 and Leisure Superstores 3 - - 2 1 3 6 Solus and Other ------Retail 13 30 18 30 16 61 107 Residential - - 1 - - 1 1 Canada Water1 ------Total 22 49 28 53 38 99 190

On a proportionally consolidated basis including the group's share of joint ventures and funds excluding committed, near term and assets held for development 1 Reflects standing investment only 85 Rent subject to lease break or expiry

For the year to 31 March 2020 2021 2022 2023 2024 2020-22 2020-24 As at 30 September 2019 £m £m £m £m £m £m £m West End 15 17 22 16 15 54 85 City 2 13 2 4 12 17 33 Offices 17 30 24 20 27 71 118 Regional 11 12 13 18 20 36 74 Local 11 11 14 12 19 36 67 Multi-let 22 23 27 30 39 72 141 Department Stores - - 3 - - 3 3 and Leisure Superstores - - - 2 - - 2 Solus and Other 1 - - - - 1 1 Retail 23 23 30 32 39 76 147 Residential - 3 - - - 3 3 Canada Water1 - 1 - 1 2 1 4 Total 40 57 54 53 68 151 272 % of contracted rent 7.3 10.3 9.9 9.6 12.3 27.5 49.4

For the year to 31 March 2020 2021 2022 2023 2024 2020-22 2020-24 As at 30 September 2019 £m £m £m £m £m £m £m

Expiry of rent free periods 11 21 1 - - 33 33

Fixed uplifts (EPRA basis) - - 1 - - 1 1

Fixed & minimum uplifts - 1 1 - 1 2 3

Total 11 22 3 - 1 36 37

On a proportionally consolidated basis including the group's share of joint ventures and funds excluding committed, near term and assets held for development 87 Total Property Return (as calculated by IPD)

6 months to 30 September 2019 Offices Retail Total % British Land IPD British Land IPD British Land IPD

Capital Return 0.5 0.2 (11.0) (5.3) (4.3) (1.3)

– ERV Growth 0.9 1.3 (4.8) (2.1) (2.3) 0.0

– Yield Movement1 0 bps 3 bps 37 bps 14 bps 17 bps 5 bps

Income Return 1.6 1.9 2.9 2.6 2.1 2.2

Total Property Return 2.1 2.1 (8.4) (2.8) (2.3) 0.8

1 Net equivalent yield movement 88 Recently Completed & Committed developments

As at Sector BL Sq PC Current Cost to ERV Let & 30 September 2019 Share ft Calendar Value Come Under Year Offer % '000 £m £m1 £m2 £m

1 Finsbury Avenue Office 50 287 Q1 2019 171 - 8.3 6.5

Total Completed in the Year 287 171 - 8.3 6.5

100 Liverpool Street Office 50 520 Q1 2020 317 55 19.2 14.9

135 Bishopsgate Office 50 335 Q1 2020 184 22 9.7 9.4

1 Triton Square3 Office 100 366 Q4 2020 340 77 22.7 21.8

Plymouth (Leisure) Retail 100 108 Q4 2019 33 6 3.1 2.1

Total Committed 1,329 874 159 54.7 48.2

Retail Capital Expenditure4 65

On a proportionally consolidated basis including the group's share of joint ventures and funds (except area which is shown at 100%) 1 From 1 October 2019. Cost to come excludes notional interest as interest is capitalised individually on each development at our capitalisation rate 2 Estimated headline rental value net of rent payable under head leases (excluding tenant incentives) 3 ERV let & under offer of £21.8m represents space taken by Dentsu Aegis. As part of this letting, Dentsu Aegis have an option to return their existing space at 10 Triton Street in 2021. If this option is exercised, there is an adjustment to the rent free period in respect of the letting at 1 Triton Square to compensate British Land 4 Capex committed and underway within our investment portfolio relating to leasing and asset management 89 Near term development pipeline

As at Sector BL Sq ft Expected Current Cost to ERV Let & Planning 30 September 2019 Share Start on Value Come Under Status Site Offer % '000 Calendar £m £m1 £m2 £m Year

Near Term Pipeline

Norton Folgate Office 100 335 Q1 2020 83 243 23.0 - Consented

1 Broadgate Office 50 532 Q4 2020 91 204 19.0 - Consented

Aldgate Place, Phase 2 Residential 100 146 Q4 2020 37 86 6.0 - Consented

Total Near Term 1,013 211 533 48.0 -

Retail Capital Expenditure3 45

On a proportionally consolidated basis including the group's share of joint ventures and funds (except area which is shown at 100%) 1 From 1 October 2019. Cost to complete excludes notional interest as interest is capitalised individually on each development at our capitalisation rate 2 Estimated headline rental value net of rent payable under head leases (excluding tenant incentives) 3 Forecast capital commitments within our investment portfolio over the next 12 months relating to leasing and asset enhancement 90 Medium term development pipeline

As at 30 September 2019 Sector BL Share Sq ft Planning status

% '000

Medium term Pipeline

2-3 Finsbury Avenue Office 50 563 Consented

Gateway Building Leisure 100 105 Consented

5 Kingdom Street1 Office 100 429 Consented

Meadowhall (Leisure) Retail 50 333 Consented

Ealing – 10-40 The Broadway Retail 100 292 Pre-submission

Eden Walk Retail & Residential Mixed Use 50 533 Consented Resolution to grant Canada Water2 Mixed Use 100 5,000 planning Total Medium Term 7,255

1 Planning consent for previous 240,000 sq ft scheme 2 On drawdown of the Master Development Agreement, ownership reduces to 80% with LBS owning 20%. LBS ownership will adjust over time depending on level of investment by Southwark 91 Estimated future development spend and capitalised interest

As at 30 September 2019 PC Cost to Come £m Calendar (excluding notional interest) – 6 months breakdown Year Mar-20 Sept-20 Mar-21 Sept-21 Mar-22 Sept-22 Mar-23 Sept-23 Total1 100 Liverpool Street Q1 2020 33 20 2 - - - - - 55

135 Bishopsgate Q1 2020 22 ------22

1 Triton Square Q4 2020 41 16 20 - - - - - 77

Plymouth (Leisure) Q4 2019 6 ------6

Total Committed 102 36 22 - - - - - 159

Norton Folgate 2022 15 20 35 61 67 27 14 4 243

1–2 Broadgate 2024 10 10 10 17 26 31 32 28 204

Aldgate Place, Phase 2 2023 5 7 9 18 21 19 6 1 86

Total Near Term 30 37 54 96 114 78 52 33 533 Indicative Interest Capitalised 4 3 4 4 5 3 2 2 on above at attributable rates

1 Includes costs to come post September 2023 92 Central London development pipeline

Q3 2019 Completed U/C Pre-let Pipeline Pre-let m sq ft U/C – Speculative Potential Speculative 10 year average new and under-construction take-up 12.0 10 year average development completions

10.0

8.0

6.0 5.2m 4.0 4.4m

2.0

0.0 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Source: CBRE

Note: Forecast reflects CBRE’s estimate of earliest completions. Central London comprises the City, Docklands, Midtown, Southbank and West End areas. 93 West End development pipeline

Q3 2019 Completed U/C Pre-let Pipeline Pre-let m sq ft U/C – Speculative Potential Speculative 10 year average new and under-construction take-up 3.0 10 year average development completions

2.5

2.0

1.5

1.0 1.1m

0.5

0.0 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Source: CBRE

Note: Forecast reflects CBRE’s estimate of earliest completions 94 City development pipeline

Q3 2019 Completed U/C Pre-let Pipeline Pre-let m sq ft U/C – Speculative Potential Speculative 10 year average new and under-construction take-up 6.0 10 year average development completions

5.0

4.0

3.0 2.5m 2.0 2.0m

1.0

0.0 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Source: CBRE

Note: Forecast reflects CBRE’s estimate of earliest completions 95 London office market rental outlook

Prime London Office Rents West End

City £ psf

140

120

100

20 Actual Forecast

0 1990 1995 2000 2005 2010 2015 2020

Source: CBRE (historic) and Average Agents' Consensus for forecasts 96 Vacancy Central London

West End

West End & City Vacancy Rates West End 10 year average

City 20 City 10 year 18 average

6 5.3% 4 3.4% 2

0 1985 1990 1995 2000 2005 2010 2015 Q3 2019

Source: CBRE (historic) 97 Disclaimer

The information contained in this presentation has been extracted looking statements regarding past trends or activities should not be or invitation to sell or issue, or the solicitation of an offer to subscribe largely from the Half Year Results Announcement for the six month taken as a representation that such trends or activities will continue in for or buy, or any recommendation or advice in respect of, any period ending on 30 September 2019. For the purpose of this the future. 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Any forward-looking statements made by or on presentation, nor the fact of its distribution, shall form the basis of or document or the oral briefing through The Regulatory News Service. behalf of British Land speak only as of the date they are made. be relied on for any purpose, including in connection with any contract This document is incomplete without reference to, and should be or engagement or investment decision in any jurisdiction, and viewed solely in conjunction with, the wider presentation. Other than in accordance with our legal and regulatory obligations recipients are cautioned against relying on this presentation. 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Certain ‘due’, ‘possible’, ‘plans’, ‘seeks’, ‘projects’, ‘goal’, ‘outlook’, ‘schedule’, www.britishland.com) (as updated or supplemented by the "Risk other information has been extracted from unpublished sources ‘budget’, ‘target’, ‘aim’, ‘may’, ‘likely to’, ‘will’, ‘would’, ‘could’, ‘should’ Management and Principal Risks" and the "Forward-looking prepared by other parties which have been made available to British or similar expressions or in each case their negative or other statements" sections of the Half Year Results Announcement) Land. British Land has not carried out an independent investigation to variations or comparable terminology. verify the accuracy and completeness of such third party information. 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There profit estimate, or be taken as implying that the earnings of British regulation and therefore any persons who are subject to the laws of can be no assurance that such statements will prove to be accurate. Land for the current year or future years will necessarily match or any jurisdiction other than the UK should inform themselves about, Forward-looking statements are not guarantees of future performance exceed the historical or published earnings of British Land. and observe, any applicable requirements. All opinions expressed in and hence may prove to be erroneous. Actual outcomes and results this presentation are subject to change without notice and may differ may differ materially from any outcomes or results expressed in or This presentation is published solely for information purposes, and is not to be reproduced or distributed, in whole or in part, by any person from opinions expressed elsewhere. This presentation has been implied by such forward-looking statements. 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