2. Highlights
3Q11 Net Revenues totaled R$91.8 million, an increase of 71% in relation to 3Q10, when net revenues
came in at R$53.7 million;
Adjusted EBITDA of R$84.9 million in 3Q11, an increase of 87% over 3Q10 and an adjusted EBITDA
margin of 93%. 3Q11 EBITDA without adjustments totaled R$80.1 million, with an EBITDA margin of 87%;
Financial
Net Income totaled R$83.7 million at the end of 3Q11, impacted by a gain on appraisal of investment
Highlights properties of R$180.3 million (R$125.8 million net of taxes) and a non-cash financial expense resulting from
the FX variation of the principal on our dollar denominated perpetual debt of R$85.0 million. Therefore, an
increase of 622% in relation to 3Q10, when our net income totaled R$11.6 million;
Adjusted FFO (excluding non-cash net financial expenses) totaled R$42.5 million in 3Q11, with an FFO
margin of 46%;
Leasing spreads (net of inflation) for renegotiations reached 24.1% and 17.1% in office and retail
properties, respectively, while leasing spreads for new lease up of vacant areas reached 12.0% for office
properties;
We experienced a significant decrease in the portfolio’s vacancy level, where financial vacancy
totaled 1.5% at the end of 3Q11, a 35% reduction when compared to 2Q11, which totaled 2.3%. Physical
vacancy represented 0.9% of GLA at the end of quarter. In terms of area, our office, industrial, and retail
Operating properties were 99.2%, 99.9%, and 100.0% occupied at the end of the quarter, respectively;
Highlights
On September 14th, 2011, BR Properties S.A. signed a Memorandum of Understanding (MoU), related to
the incorporation of BTG/WTORRE Properties by the Company, through the issuance of new ordinary
shares of BR Properties;
On October 27th, 2011, BR Properties concluded with Statoil Brasil Óleo e Gás Ltda. a lease contract for
the partial occupancy of Edifício Manchete. The Lease has a term of 120 months, and comprises 14.4
thousand m² of GLA, including 132 parking spaces.
BRProperties 2 3Q11
3. Portfolio
3Q11 Revenue Breakdown
Straight-line
12%
0%
Services Of f ice
46%
2% Leasing Industrial
98% 42%
Retail
Portfolio Breakdown Portfolio Breakdown
(% market value) (% GLA)
8%
13%
7% 22%
7%
55%
29%
57%
Of f ice Industrial Retail Development Of f ice Industrial Retail Development
BRProperties 3 3Q11
4. Financial Highlights
Net Revenues (R$ thousand) Net Income* (R$ thousand)
521%
91%
622%
71% 264.909
253.156
132.386
91.803 83.744
53.689 11.598
42.670
3Q10 3Q11 9M10 9M11 3Q10 3Q11 9M10 9M11
* Impacted by a net gain on appraisal of investment properties
of R$122.8 million, and a non-cash financial expense resulting
from the FX variation of the principal on our dollar
denominated perpetual debt of R$85.0 million.
BRProperties 4 3Q11
6. Debt
3Q11 Net Debt (R$ mn) 3Q11 Debt Index Breakdown
1.982 2.168 1.073
27%
1.096 TR
IGPM
2%
172 15 71% CDI
ST Debt Obligations LT Debt Total Debt Cash Net Debt
f or
Acquisitions
Net Debt 3Q11 2Q11 var %
Short Term Loans and Financing 186.751 222.535 -16%
Loans and Financing 114.606 111.069 3%
Perpetual Bond 54.360 45.763 19%
Derivative Instruments 2.771 42.116 -93%
Payables for Acquisition of Real Estate 15.013 23.588 -36%
Long Term Loans and Financing 1.981.595 1.887.296 5%
Loans and Financing 1.479.887 1.516.091 -2%
Perpetual Bond 501.708 371.205 35%
Gross Debt 2.168.346 2.109.831 3%
Cash and Cash Equivalents 1.072.533 410.464 161%
Net Debt 1.095.813 1.699.367 -36%
Net Debt / Annualized Adjusted EBITDA 3,2x 5,5x -41%
Adjusted EBITDA / Net Financial Expenses * 2,7x 1,6x 65%
Duration (years) ** 5,9 5,7 3%
* Considers Net Financial Expenses (ex. non-cash variations)
** Considers the amortization of the perpetual bond in 2023
BRProperties 6 3Q11
9. Operating Highlights
We showed a financial vacancy of 1.5% for the period, a 35% decrease when compared to 2Q11.
Vacancy Breakdown Financial Vacancy per Segment
6,2% 1,6%
1,5% Of f ice
Industrial
Physical
Retail
Financial
3,1%
0,7%
2,3%
1,5% 1,5%
0,9%
0,0% 0,0% 0,0%
1Q11 2Q11 3Q11 2Q11 3Q11
Vacancy per Property 3Q11
Property Type Financial Physical
CBOP - Jacarandá Office 1,3% 0,7%
Ventura II Office 0,1% 0,0%
Total Office 1,5% 0,8%
BP Jundiaí Industrial 0,0% 0,1%
Total Industrial 0,0% 0,1%
Total Portfolio 1,5% 0,9%
BRProperties 9 3Q11
