MRM // 2022 Universal Registration Document

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Information on M.R.M.’s activities

Key figures

Rental income Since the completion of the refocusing of the Company’s portfolio on commercial real estate in 2019, and the sale of a logistics platform in 2021, gross and net rental income is now entirely generated by retail assets. Consolidated revenue for 2022 reached €10.2 million, up by 4.7% compared to 2021. This increase in gross rental income is mainly due to scope effects: the acquisition of the Flins and Ollioules shopping centres had a positive impact of €0.7 million (1.5 months of consolidation), whereas the disposals carried out in October 2021 had a negative impact of €0.2 million. On a like-for-like basis, gross rental income was stable, with the entry into force of new leases and indexation offsetting the temporary vacancy of the mid-size area vacated in January 2022 within Carré Vélizy, whose new lease took effect at the end of April 2022. Debt In December 2021, M.R.M. refinanced all of its bank debt and acquired new financial resources to make investments, for a total amount of €82.1 million with a seven-year maturity from a banking pool comprising Banque Européenne du Crédit Mutuel, LCL and BRED Banque Populaire. This mortgage financing includes a €6.4 million credit facility to finance new investments aiming to capitalise on the portfolio’s remaining potential for value creation, as well as investments to support the environmental targets set for itself by M.R.M. In September 2022, M.R.M. drew down an amount of €0.8 million from this line. The amount of credit available on this line was therefore €5.5 million as of 31 December 2022.

In November 2022, as part of the Acquisition Transaction (see Section 1.2 of this Universal Registration Document), M.R.M. signed a new bank loan for a total amount of €42.0 million with a seven-year maturity to finance part of the acquisition price of the two shopping centres in Flins and Ollioules. It was taken out with a pool of banks comprising Banque Européenne du Crédit Mutuel, LCL and BRED Banque Populaire. As of 31 December 2022, the Group’s outstanding bank borrowings amounted to €116.7 million, compared with €74.4 million a year earlier. As of 31 December 2022, 100% of the Company’s bank loans were contracted at variable rates. 77% of bank debt is hedged by financial instruments (caps with strike rates between 1.0 and 2.50%, cap bearing on the three-month Euribor). The average cost of debt in 2022 was 207 basis points, 52 basis points higher than in 2021. This change reflects: • the end of a decade of negative interest rates since July 2022 and the increase in interest rates observed since then; • a full year effect of the financial conditions of the bank refinancing of €82.1 million at the end of 2021; • 1.5 months impact of the financial conditions of the new bank debt of €42.0 million put in place in November 2022 as part of the Acquisition Transaction. As of 31 December 2022, taking into account cash and cash equivalents for a total of €10.0 million, the Group’s total net debt was €106.7 million, representing 43.6% of the portfolio value excluding transfer taxes. As of 31 December 2022, the Group met all of its commitments to its banking partners in terms of LTV and ICR/DSCR covenants. The maximum thresholds are between 60.0% and 65.0% for LTV covenants, and the minimum thresholds are between 100% and 200% for ICR/DSCR covenants.

31/12/2022

31/12/2021

31/12/2020

FINANCIAL DEBT

€116.7 M

€74.4 M

€76.8 M

207 bps

155 bps

158 bps

(1)

CASH AND CASH EQUIVALENTS

€10.0 M

€9.7 M

€10.2 M

LOAN TO VALUE (LTV) (2)

47.7% 43.6%

46.0% 40.0%

47.7% 41.4%

TOTAL NET DEBT (3)

(1) Excluding the impact of ancillary costs. (2) Financial debt, on appraisal value excluding transfer taxes. (3) Net financial debt in cash and cash equivalents, on appraisal value excluding transfer taxes.

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M.R.M. 2022 UNIVERSAL REGISTRATION DOCUMENT