SCHRODER EUROPEAN REAL ESTATE INVESTMENT TRUST PLC - Property Portfolio Valuation

Property Portfolio Valuation

Schroder European Real Estate Investment Trust plc
(Incorporated in England and Wales)
Registration number: 09382477
JSE Share Code: SCD
LSE Ticker: SERE
ISIN number: GB00BY7R8K77
(“Company”)

                               PROPERTY PORTFOLIO VALUATION

Schroder European Real Estate Investment Trust plc, the company investing in real
estate in European growth cities, today provides an update on the independent
valuation of the property portfolio as at 30 June 2023:

-    The direct property portfolio was independently valued at €218.4 million, reflecting
     a marginal like-for-like decrease over the quarter of -0.8%, or -€1.8 million (see
     footnote 1 below), increasing the portfolio net initial yield to 6.4%. The change
     partially reflects the valuers increasing sustainability-led provisions across select
     assets.

-    The portfolio office assets (34% see footnote 2 below) witnessed a marginal
     valuation decline of €2.0 million or 2.4%, reflecting additional sustainability-led
     provisions, as well as valuers adjusting their yield assumptions by c. 5-15 basis
     points.

-    The portfolio industrial assets (30% see footnote 2 below) witnessed a marginal
     valuation increase of €0.8 million or 1.2%, driven by ERV growth. Yields have
     remained static.

-    The German retail portfolio valuation was flat, whilst the alternative investment
     portfolio declined €0.7m or 3.0%, as a result of shortening unexpired lease terms
     and c.20-25 basis points of outward yield movement.

-    Based on 30 June 2023 values and following the recent repayment of the French
     Rumilly loan, the portfolio LTV is approximately 31% based on gross asset value and
     24% net of cash (31 March 2023 LTV 32% gross and 23% net of cash).

-    The Company remains well positioned with significant cash reserves and is
     reviewing select sustainability-led capex initiatives in the portfolio, which will best
     optimise earnings growth and asset liquidity.

Footnote 1: In addition, the Company has a 50% interest in a joint venture in Seville which continues to be
recognised at nil value.

Footnote 2: Including available cash.

Enquiries:
Jeff O’Dwyer
Schroder Real Estate Investment Management Limited        Tel: 020 7658 6000

Shilla Pindoria
Schroder Investment Management Limited                    Tel: 020 7658 6000

Dido Laurimore/Richard Gotla/Ollie Parsons
FTI Consulting                                            Tel: 020 3727 1000

The Company has a primary listing on the London Stock Exchange and a secondary
listing on the JSE Limited.

London
17 July 2023

JSE Sponsor
PSG Capital

Date: 17-07-2023 08:00:00
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