IDENTIFICATION Name Warehouses Estates Belgium (WEB for short) Legal form Partnership limited by shares (SCA for short) Statut Public Regulated Property Company (SIRP of SIR for short) Registered office 29 avenue Jean Mermoz, B-6041 Gosselies (Belgium) Phone +32 71 259 259 Fax +32 71 352 127 E-mail [email protected] Website www.w-e-b.be Entreprise number BE0426.715.074 LEI 549300JTAJHL7MXIM284 Date of incorporation1 04 January 1985 under the name « Temec » Date of admission to Euronext 01 October 1998 Date of approvalas SIR 13 January 2015 Duration Unlimited Share capital €10.000.000 Number of actions 3,166,337 ISIN code BE0003734481 Cotation Euronext Brussels Effective Managers Mr Laurent WAGNER, CEO Ms Caroline WAGNER, CAO Mr Antoine TAGLIAVINI, CFO Mr Laurent VENSENSIUS, CTO Manager W.E.B. Property Services Plc (WEPS Plc for short) Closing date 31 December Property Expert CBRE represented by Mr Pieter PAEPEN2 Auditor PwC represented by Mr Damien WALGRAVE3 Types of properties Commercial, logistics buildings and offices Fair value €297 412 5284 Déclaration Mr Claude DESSEILLE, as Chairman of the Board of Directors, Ms Valérie WAGNER, asDirector and ex-Chairwoman of the Board of Directors, Ms Caroline WAGNER and Mr Laurent WAGNER, as Executive Directors and Effective Managers, Messrs Daniel WEEKERS, Jean-Jacques CLOQUET and Jacques PETERS, as Independent Directors as well as Messrs Antoine TAGLIAVINI (CFO) and Laurent VENSENSIUS (CTO), as Effective Managers of Warehouses Estates Belgium SCA (hereinafter “WEB SCA”) having its registered office at Avenue Jean Mermoz 29, 6041 Charleroi (Gosselies), Belgium, declare that, to the best of their knowledge: • the financial statements, drawn up in accordance with applicable accounting standards, give a true and fair view of the Company's assets, financial situation and results et des ses filiales (également dénommées le Groupe); • the management report contains a true and fair presentation of the development of the business, the results and the situation of the Company, as well as a description of the main risks and uncertainties which it faces. Any additional information can be obtained on request by telephone at 071/259.259, by fax at 071/352.127 or by email at [email protected]. The financial report is also available in French and Dutch. Only the French version of the document is authentic; the Dutch and English versions are free translations. 1 The latest version of the coordinated Articles of Association is available on the Company's website: www.web.be. 2 The mandate of the Property Expert was renewed in January 2018 for a period of 3 years. 3 The mandate of the Auditor was renewed during the 2020 General Meeting of Shareholder’s for a period of 3 years. 4 assets held for sale included, based on the value determined by the Property Expert SOMMARY Profile 4 Letter to shareholders 6 Historical 12 Management report 14 Risk factors 36 Real estate report 48 Financial report 88 03 PROFILE WEB SCA is a Public Regulated Property Company under Belgian law (“Société Immobilière Réglementée Publique - SIRP”) subject to legal requirements in this area, in particular the Law of 22 October 2017 amending the Law of 12 May 2014, and the Royal Decree of 23 April 2018 amending the Royal Decree 04 of 13 July 2014 relating thereto. → Site 15 – Rhode-St-Genèse – Chaussée de Waterloo 198-200 – 7 806 m² – Retail and Office – Plug & Work PROFILE WEB SCA has been listed on Euronext Brussels since 1st October 1998. In accordance with its investment strategy, WEB SCA invests in property in Belgium and the Grand Duchy of Luxembourg. WEB SCA's business activities consist of making its properties available to users. Most of these are operating leases with WEB SCA retaining the risks and benefits associated with the ownership of investment properties. The rents received are recognised as rental income on a straight-line basis over the duration of the rental contract. WEB SCA has also concluded four (4) long lease contracts. Through its activities, WEB SCA aims to enhance and increase its property assets, with particular focus on commercial, office and logistics properties. WEB SCA is currently one of the investment and property management specialists in these categories. WEB SCA et ses filiales have a portfolio of more than 110 properties (excluding projects under development) representing a total property area of 291 435 m² (excluding land). 05 The fair value of this property portfolio amounts to €297 412 528 as at 31 December 2020.1 Since its initial public listing 22 years ago, WEB SCA has offered its shareholders a remarkable return, despite the sometimes difficult socio-economic situations. It intends to continue its development by favouring the composition of a stable portfolio, creating value and long- term growth and generating income in line with its dividend policy. WEB SCA will continue to adopt a cautious and selective position in the choice of its investments so that they are always carried out under conditions particularly favourable for its shareholders, while taking into account the potential associated risks. As at 31 December 2020, the market capitalisation of the Company was €134 252 689. 1 on consolidated basis, assets held for sale included PROFILE LETTER TO SHAREHOLDERS 06 PROFILE Dear Shareholders, The year 2020 was a very unusual year, with a COVID-19 On 23 November 2020, the Board of Directors decided to pandemic affecting our country as from the beginning of distribute an interim dividend of €1.40gross per share, paid March. in December 2020. Completely unknown, its effects on the population and on At the Ordinary General Meeting of 28 April 2021, it will the economy surprised the medical profession, political propose an additional dividend of €1.75 gross. leaders and companies. As such, the overall gross amount of the dividend for the Given its property portfolio, Our Company decided to grant financial year 2020 would be €3.15, giving a gross return of certain economic facilities to tenants, and modified, or even 6.34%; the pay-out ratio therefore stands at 98.11%1 against reduced, some of its operating budgets in order to maintain 91.56% for the previous financial year. an acceptable threshold of returns. The Board of Directors and the Effective Management will In early 2020, WEB SCA acquired two companies, SA continue to favour selective growth as well as the main- Business Park Alleur and SA SPI La Louvière, which conse- tenance at the best rental level of the building stock, quently became its subsidiaries. Their returns are in line choosing to maintain sufficient profitability to generate an with forecasts and are recorded in the consolidated annual profit, which will enable them to offer an attractive accounts, with additional annual rental income of just over dividend per share to Shareholders, in accordance with the €1 400 000. strategy set out in the following pages. The 2020 financial year ended with a distributable result of We would like to thank all of the employees for the work €10 166 243. accomplished during this year, and congratulate them for the positive spirit they have demonstrated in order to 07 The fair value of the property portfolio, including investment achieve the objectives. properties, rose from €272 194 705 to €297 412 528 on a consolidated basis, i.e. an increase of 9.26%, taking into We would also like to thank all the Shareholders, whose account the following operations: loyalty to the Company strengthens our determination to pursue the profitable expansion of our portfolio • les travaux d'amélioration et de rénovation pour un mon- tant de 4 175 k€; • the acquisition of the two subsidiaries, each the owner of a building • the sale of a building located in Courcelles The Group's consolidated assets therefore rose from €277 885 774 to €304 530 271, an increase of 9.59%. The consolidated net rental result is €17 388 913, generating a property result of €16 791 866. Claude DESSEILLE Laurent WAGNER The occupancy rate is 94.77% as at 31 December 2020. President of the Board of Directors CEO 1 Note that the percentage at 12/31/2020 would be 90.24% if the Group applied the transparency or look-through approach with therefore the consolidation of the distribution obligation PROFILE KEY FIGURES 20201 PORTFOLIO’S DISTRIBUTION BY SECTOR (% FAIR VALUE) 31/12/2020 31/12/2019 DELTA Y/Y 1Retail 68,63% 72,81% -4,19% Logistic 18,51% 17,74% 0,77% Office 12,08% 6,88% 5,20% Land 0,79% 2,57% -1,78% CONSOLIDATED ACCOUNTS 31/12/2020 31/12/2019 DELTA Y/Y (%) Rental income €18 825k €18 790k 0,19% Net rental result €17 389k €18 656k -6,79% Property result €16 792k €18 142k -7,44% Operating result €12 313k €12 016k 2,47% Net result €10 105k €9 946k 1,60% CONSOLIDATED STATEMENT 31/12/20 31/12/19 DELTA (%) Fair value of portfolio €297 413k €272 195k 9,26% Shareholders’ equity €158 753k €157 038k 1,09% Intrinsic unit value of a share €50.14k €49.60k 1,09% Occupancy rate 94,77% 94,43% +0,34% Debt ratio 46,1% 41,6% 10,92% 08 DISTRIBUTION BY SECTOR 1 on consolidated basis, assets held for sale included, unless otherwise stated PROFILE CHANGE IN FAIR VALUE1 CHANGE IN SHAREHOLDERS’ CHANGE IN DEBT RATIO EQUITY 1 2 09 CHANGE IN OCCUPANCY RATE COMPARATIVE CHANGE IN EQUITY AND FAIR VALUE OF PROPERTY2 ➔ Fair value ➔ Shareholders’ equity 1 The Fair value is that determined by the Company’s independent property expert. 2 The fair value is that determine by the Company’s independent property expert.