REAL ESTATE MARKET LEADER FOR URBAN OFFICES 2015 INTEGRATED ANNUAL REPORT Work of art. The T1 & B towers, office skyscrapers located in Courbevoie, at the heart of the Paris-La Défense business district, represent Gecina’s main acquisition, with a daring design that echoes the iconic Caesar’s Thumb sculpture. 16, rue des Capucines 75084 Paris Cedex 02 Tél. : 33 (0) 1 40 40 50 50 www.gecina.fr “Gecina is confirming its role as a socially responsible company, o better reinvent our business, harnessing our expertise to engaged in the city’s policies and sustainable innovation efforts, benefit all our stakeholders, we have chosen to realign able to integrate social and environmental concerns on an equal footing with economic goals. ourselves around urban offi ce real estate. Our ambition is to A leading real estate group in France and Europe, Gecina has chosen imagine, at the heart of Greater Paris, aesthetic, innovative, to publish an integrated annual report presenting the key aspects of its financial, environmental and social performances. This report transformable, sustainable and very high value-added real aims to reflect the Group’s analysis of its business model in relation estate solutions, in line with our customers’ uses, today and to various social and environmental issues, and describes how its tomorrow. Creating far more than just offi ces. Spaces for living, strategy, governance, performance and prospects are creating value. It therefore covers all the essential financial and non-financial issues, performance and wellbeing. closely aligned with our stakeholders”. BERNARD MICHEL Gecina’s Chairman 1 GECINA’S INTEGRATED ANNUAL REPORT Contents ABOUT GECINA OUR OUR OUR YEAR 4 Key figures CHALLENGES SUSTAINABLE OUTLOOK HIGHLIGHTING 5 Profile 18 Interview with INNOVATION 53 Value-creating OUR EXPERTISE Philippe Depoux urban projects 6 Portfolio realigned around STRATEGY 60 Asset management, urban offices 20 Executive Committee • 55 Amsterdam a systemic approach 32 Sustainable innovation • Tour Sunflower 8 2015 highlights 22 Our industry’s at the heart of our strategy 61 Financial management macro-trends • City 2 10 Message from the Chairman supporting real estate 34 Our flagship projects • Sky 56 value creation 26 At the heart 12 Board of Directors for 2015 of the value chain 62 Financial communications 14 Our value creation model 39 Confirming our leadership 28 Our vision for for urban offices in Paris 64 Stock market responsible buildings and shareholders 40 Offering a unique customer experience and range 65 Financial indicators of solutions 66 Consolidated statement 43 Creating value through of financial position expert management 67 Consolidated statement 44 Building on outstanding of comprehensive income CSR commitments to (EPRA format) support our stakeholders 46 Creating value through our HR performance 50 Company foundation taking day-to-day action 2 3 GECINA’S INTEGRATED ANNUAL REPORT URBAN OFFICE MARKET LEADER IN GREATER PARIS €574.6 million €12.9 billion Gecina owns a real estate portfolio valued at €12.9 billion at end-2015. of rental income in 2015 portfolio value at end-2015 The financial, rental and operational management of this portfolio, located primarily in the Paris Region, Paris City and Lyon, is continuously optimized by expert teams. A pioneer for CSR commitments and part of the main socially responsible indices, 447 90% Gecina is ranked as one of the best-performing companies in its industry today. employees of portfolio located It is also the first real estate company to achieve ISO 50001 certification in Paris Region for the quality of its energy management system. The Group is present throughout the real estate value chain, enabling it 100% > 4,900 to effectively manage the lifecycle of its assets. of the office space delivered direct, indirect and induced in 2015 was certified with a high jobs supported by Gecina’s INVESTMENTS level of HQE™ Construction business each year Gecina is moving forward with the rotation of its portfolio, acquiring operational certification buildings as well as properties to be built or redeveloped. CONSTRUCTION AND REDEVELOPMENT -40% Gecina manages its portfolio’s construction and redevelopment operations. target to reduce primary energy consumption between 2008 and 2016 for the office portfolio over MARKETING PHASE which Gecina has operational control When letting vacant space, Gecina ensures a strong focus on customer satisfaction. OPERATIONS -60% Gecina optimizes the management of its portfolio and the financial target to reduce the office portfolio’s greenhouse and environmental performance of its assets. gas emissions between 2008 and 2030 DIVESTMENT Gecina is moving forward with its portfolio’s rotation, PORTFOLIO VALUE FOR EACH BUSINESS AT END-2015 selling mature or non-strategic assets. 69% 21% 10% Offices Residential Healthcare (77% after the healthcare (sale underway) portfolio’s sale) City 2 building, Boulogne-Billancourt – 92 4 5 ABOUT GECINA 1 Eaubonne Breakdown of the office portfolio Portfolio realigned CBD* 41% Paris (excl. CBD) 12% around urban offices Western Crescent - La Défense 38% 2 * Central Business District The sales and acquisitions in 2015 further strengthened the Poissy strong regional foundations and profile of the portfolio built No. 1 1 office real estate company Chatou up by Gecina, the market leader for urban offices at the 1 1 in France 1 heart of Greater Paris. 2 1 Gennevilliers Colombes 1 Aulnay-sous-Bois 1 1 Sarcelles 90% 1 Saint-Denis Strategic locations of portfolio located in Paris Region Saint-Ouen 1 Le Bourget 1 Villemomble Lille 71% 2 3 of office space HQE™ Courbevoie 2 In Use certified Levallois-Perret 2 1 2 1 1 Rueil-Malmaison Paris 17 th €12.9 billion 7 portfolio value, with Neuilly-sur-Seine Paris 4 26 1 th 1 29 21 5 Paris 9 Paris 8 th Rosny-sous-Bois Rennes Paris Region €9 billion 1 2 11 of offices Suresnes Paris 2 nd 1 1 2 2 2 1 3 1 Bagnolet Paris 3 rd Nantes Paris 16 th Paris 1 st 1 Paris 20 th €574.6 Paris 11 th million of rental income in 2015 2 Vincennes 1 12 1 1 2 5 1 1 3 1 2 Paris 12 th Lyon 81,500 Paris 15 th people work or live in a Gecina building 1 2 4 5 4 2 Paris 14 th 1 5 1 Bordeaux Boulogne-Billancourt Paris 13 th 447 2 employees 1 1 Issy-les-Moulineaux Ville-d’Avray 1 1 5 1 Montrouge Toulouse Marseille 1 1 2,400 Arcueil beds in operation in 1 Le Plessis-Robinson Vélizy-Villacoublay Campuséa’s student 1 Number of buildings per city or arrondissement residences Chatenay-Malabry Offices Residential Healthcare Student residences Development projects For a presentation of the portfolio’s CSR certificates 8,945 and labels, please visit our website. beds across all the healthcare facilities (sale underway) 6 7 ABOUT GECINA Integrating Transparent Second life 2015 highlights artwork carbon for an office Works of art by Jean-Michel approach building Othoniel, Xavier Veilhan and even Fabien Verschaere have been set up in On the eve of COP21, the NGO Set up in a former office build- various buildings across Gecina’s port- Carbon Disclosure Project (CDP) ing, converted following a folio. In 2015, Gecina was the first real awarded Gecina its top score of 100 for 16-month project by Studio 9 estate investment trust (SIIC) to sign up the transparency of its CSR policy in Architecture, the Campuséa to the “one building, one artwork” 2015. Identified by CDP as a market Montsouris residence hall opened charter, led by the French Ministry of leader for environmental reporting, its doors at the start of 2016. It Culture, confirming the Group’s support Gecina was included in the CDP has been fully let to New York for France’s contemporary art scene. Climate Disclosure Leadership index University Paris for housing 90 stu- for the second year running. dents in units ranging from studios to three-bedroom apartments. It is also the first building from the portfolio to be awarded the “one Gecina partners building, one artwork” label, launched in 2015 by the French with the SIMI Ministry of Culture, with a fresco by for an award on Fabien Verschaere. new office uses Gecina linked up with the first “New Commercial Property Practices” awards Gender breakdown 50% Following offices, at the 2015 SIMI event, recognizing Further of members of the Board innovative developments for new ser- strengthening the of Directors shared parking vices, products or equipment. The two winning projects chosen were “LIFI Haut representation spaces débit directionnel” and “Hémis”, Record year submitted respectively by Lucibel and of women 11% for acquisitions Ubiant. In 2015, Gecina became the top-ranked real estate company in the Ethics & Boards In line with its strategy, Gecina rolled out a very sustained acquisition policy in league table for companies with the stron- 2015, completing or securing almost €1.9 billion of investments. The main opera- gest commitment to developing the repre- 2010 2015 tions included acquisitions in the Paris Region, with City 2 in Boulogne-Billancourt, sentation of women in their governance made with the number of women on the Engie’s headquarters in La Défense, Tour Sunflower close to Gare de Lyon in Paris structures. Ranked 33 rd in the previous Board of Directors: in five years, the percen- and PSA’s headquarters on avenue de la Grande-Armée, as well as in Lyon, in the table, Gecina moved up to fifth place in tage of women Board members has been La Part-Dieu district, with the acquisition of the Sky 56 building. 2015, thanks in particular to the progress raised from 11% to 50%. At the start of 2016, Gecina signed a Gecina recognized partnership agreement with Indigo for Spaces for tomorrow’s managing a shared car park solution entrepreneurs in the Pierres d’Or covering 1,300 spaces in 37 buildings awards from Gecina’s portfolio across the Paris To better support the needs of startups, Gecina rolled out several ini- Region.