Page 8 - CODIC 2017/2018 Annual Report

meSSaGe from the Ceo

The financial year 2016-2017 was a year we could refer to, in
oenological terms, as a “grand cru“. As for 2017-2018, it can be
considered a “très grand cru“ with a net benefit of €23m (+12 %)
after tax, and an exceptional level of activity.

In Belgium, we signed several leases in the PassPort building,
including an extension for the KPMG offices. The remaining
spaces were rented out to Etex and Redevco. The fully rented
PassPort building was sold in March 2018 to AXA IM-Real
Assets, acting on behalf of one of its institutional clients. It was
sold at a record rate of 3.88 %.

In January 2018, Codic returned to the centre of Brussels with a
new project, “Cortenbergh“, located 600 metres from the Schuman roundabout.

In Luxembourg, after Galeria Inno announced its withdrawal in spring 2017, we concluded a
long-term lease with Galeries Lafayette, which will occupy 9,000 sq.m of the Royal-Hamilius
building as of end 2019. This large commercial flagship will establish itself in Luxembourg
to sublimate the French art of living. It is a wonderful opportunity to increase Luxembourg’s
attractiveness and reputation.

The sale of the Royal-Hamilius housing units, which began in autumn 2017, turns out to be
a great success with more than half of the apartments sold in just five months.

In France, we have signed a lease with Mondadori France for more than 10,000 sq.m, i.e.
half of the Network building located in Bagneux. The building has since been sold
off-plan to the investment fund LBO France. Construction has begun and is contributing
to the development of this magnificent gateway to the town, located along the RD920.
An off-plan agreement was also signed for the Network II building with the same investment
fund, LBO.

After the first stone was laid in September 2016, we inaugurated the B’est shopping and
leisure centre on 11 April 2018, located at exit 41, Farébersviller interchange, A4 motorway
in Moselle. This event caps 14 years of work and perseverance. More than 90 % of the
shopping centre was rented out when it was opened, and it welcomed more than 100,000
visitors the first weekend. This project is of major importance in terms of employment and
attractiveness for the Moselle region.

In order to reinforce the leisure aspect of our Carré d’Or Street Mall in Perpignan, we
inaugurated an artificial surf wave. New shops such as King Jouet and Okaidi have also joined
the centre. Other national brands have shown an interest in coming to the Carré d’Or.
We have also signed a partnership agreement with Sofidec, a respected and recognised
local player, to manage the shopping centre.

6 Codic Annual Report 2017/2018