SEGRO (SGRO) Investor update summary

Strategic positioning and portfolio strength

• Holds an irreplicable portfolio in Europe's most supply-constrained urban and logistics markets, focusing on major cities like London, Paris, Düsseldorf, Berlin, and Warsaw.

• Urban assets are overweighted in densely populated, high-growth cities, supporting superior rental growth and property returns.

• Unique operating platform with deep local expertise and strong stakeholder relationships enables value creation and outperformance.

• Data center platform is differentiated by power, planning, and land positions, with over 3.0 GVA of power capacity and more than 30 data centers in Slough.

• Slough Trading Estate benefits from a unique simplified planning zone, secured until 2035, supporting rapid development and high customer satisfaction.

Embedded value and development pipeline

• Exceptional industrial and logistics land bank offers GBP 282 million of future income, with an additional GBP 147 million from land options.

• Industrial and logistics development pipeline represents almost GBP 430 million of potential additional income, with GBP 150 million of potential rent expected to start construction within two years.

• CBRE values the undiscounted pipeline at GBP 1.6 billion, based on real sites with planning or zoning in place and improving demand.

• Data center pipeline offers GBP 2.5 billion of valuation upside and GBP 460 million of additional income, with a further 1.1 GVA of reserved power not yet modeled.

• Joint ventures, such as with Pure DC, enable capital-efficient delivery and risk sharing.

Financial discipline and funding

• Maintains a strong investment-grade balance sheet, with access to euro and sterling bond markets and tight trading spreads.

• Growth is self-funded through active capital recycling, with GBP 308 million of disposals completed or exchanged above book value year to date.

• CapEx guidance for 2026 is narrowed to GBP 500-550 million, with higher development activity expected to positively impact 2027.

• New U.K. Big Box joint venture increases investment capacity and reduces land drag, while SEGRO acts as manager to earn additional fee income.

• Remains well within LTV and net debt to EBITDA targets, supporting a BBB+ rating, even after full pipeline build-out.