1. PATRIZIA Immobilien AG PATRIZIA Bürohaus | Fuggerstraße 26 | 86150 Augsburg | Germany | T +49 821 50910-000 | F +49 821 50910-999 | immobilien@patrizia.ag | www.patrizia.ag The Nordics Four countries, four currencies Dr. Marcus Cieleback 27th March 2013

2. 2 PATRIZIA Immobilien AG| © 2013 Central bank rates: Mirror image of the situation in the financial sector Source: Federal Researve, ECB, Norges Bank, Riksbank, Bank of England

3. 3 PATRIZIA Immobilien AG| © 2013 Low interest rates, but turning at the long end and access to credit is challenging Source: EZB, Riksbank, Norges Bank,

4. 4 PATRIZIA Immobilien AG| © 2013 Nordics: Much more than the capital cities DATA USED IN THE DEMAND SIDE ANALYSIS ON NUTS 3 LEVEL:  Economic growth (history and forecast)  Population and population forecast  Population density  Employment and employment forecast Source: PATRIZIA

5. 5 PATRIZIA Immobilien AG| © 2013 The Nordics: A Eurozone perspective THE NORDICS ARE OFTEN SEEN AS ONE INVESTMENT REGION, BUT IN FACT THE INVESTOR INVESTS IN 4 CURRENCIES  The ERM II means, that de facto an investors from the Euro Zone has no currency risks when investing in Denmark  Investment returns in Norway and in Sweden are more volatile due to currency movements  Monitoring developments in the currency markets and a hedging strategy is a core component of investments in the Nordic countries

6. 6 PATRIZIA Immobilien AG| © 2013 What exactly does “Currency Risk“ mean? Data: PATRIZIA, IPD OfficeResidentialRetail Denmark

7. 7 PATRIZIA Immobilien AG| © 2013

8. 8

9. 9 Historical Mean Total Returns Source: PATRIZIA

10. 10 PATRIZIA Immobilien AG| © 2013 Total Return Volatility Source: PATRIZIA

11. 11 PATRIZIA Immobilien AG| © 2013 Reward-to-Variability Ratio (Sharpe ratio) Source: PATRIZIA RETURN / VOLATILITY = UNITS OF RETURN FOR A UNIT OF RISK IN % SHARPE RATIO OFFICERESIDENTIALRETAIL DenmarkFinlandNorwaySwedenDenmarkFinlandSwedenDenmarkFinlandNorwaySweden EUR 2,10%2,42%0,74%0,63%0,82%3,86%1,05%3,09%2,15%0,98%0,88% Local 2,07%2,42%1,27%0,86%0,82%3,86%2,03%3,09%2,15%1,97%1,36% GBP 1,06%0,82%1,29%1,10%1,03%1,01%2,31%1,02%1,06%1,55%1,57% USD 0,90%0,77%0,72%0,66%0,78%1,00%0,83%0,91%0,86%0,83%0,75%

12. 12 PATRIZIA Immobilien AG| © 2013 Clusteranalysis Source: PATRIZIA OFFICE RESIDENTIAL RETAIL DENMARKFINLANDSWEDENNORWAY Cluster Group Independent Market

13. 13 PATRIZIA Immobilien AG| © 2013 Investors‘ Comparison: Efficient Frontier for international Investors Source: PATRIZIA Research / IPD

14. 14 PATRIZIA Immobilien AG| © 2013 Summary Source: PATRIZIA  RETURNS BUT SPECIALLY VOLATILITIES HAVE DIFFERENT PATTERNS WHEN CONSIDERING CURRENCY RISKS.  IT IS NOT ENOUGH FOR INVESTORS IN UNHEDGED INVESTMENTS TO LOOK ONLY AT THE RESPECTIVE NATIONAL MARKETS WHEN DETERMINING THEIR OPTIMUM INVESTMENT STRATEGY.  A PORTFOLIO INVESTMENT STRATEGY SHOULD EVALUATE CURRENCY VOLATILITIES IN ORDER MAXIMIZE THE SHARPE-RATIO AND GENERATE THE OPTIMUM ALLOCATION. RISK AVERSE PORTFOLIO ALLOCATION COUNTRYASSET CLASSEURLOCALGBPUSD FIOffice 11%13%0% NOOffice 0% 21%0% DKResidential 0% 9%0% FIResidential 61% 15%100% SEResidential 0% 55%0% DKRetail 27%26%0%

15. 15 PATRIZIA Immobilien AG| © 2013 DR. MARCUS CIELEBACK HEAD OF RESEARCH PATRIZIA Immobilien AG PATRIZIA Bürohaus Fuggerstraße 26 86150 Augsburg Germany T +49 821 50910-669 F +49 821 50910-679 M +49 151 16150298 marcus.cieleback@patrizia.ag www.patrizia.ag Contact

16. 16 PATRIZIA Immobilien AG| © 2013 Disclaimer This publication is purely for general information and not a prospectus. The information contained in this report is based on publicly available sources that we believe to be reliable. We cannot guarantee the correctness or completeness of information. All statements of opinion reflect the current estimations of the author and do not necessarily reflect the opinion of PATRIZIA Immobilien AG or its associated companies. The opinions expressed in this publication may change without prior notice. The research reports and presentations (“analyses”) produced by PATRIZIA Immobilien AG contain selected information and cannot be regarded as complete and correct. The analyses are based on publicly accessible information and data (“information”), which are regarded as reliable. However, PATRIZIA Immobilien AG has not verified the correctness or completeness of the information and does not accept any liability for this. PATRIZIA Immobilien AG will not bear liability for any damage arising from incomplete or incorrect information, and PATRIZIA Immobilien AG will bear no liability for direct and/or indirect damage and/or secondary damage. In particular, PATRIZIA Immobilien AG will bear no liability for statements, projections or other details contained in these analyses relating to the companies examined, their associated companies, strategies, economic, market and/or competitive position, legal conditions etc. Although the analyses are produced with the greatest care, the possibility of errors or incompleteness cannot be eliminated. PATRIZIA Immobilien AG, its shareholders and employees bear no liability for the correctness or completeness of the statements, estimations, recommendations or conclusions derived from information contained in the analyses. If an analysis is provided as part of an existing contractual relationship, e.g. financial consultancy or a similar service, liability of PATRIZIA Immobilien AG is limited to gross negligence and intent. If fundamental information is omitted, PATRIZIA Immobilien AG shall be liable for simple negligence. The liability of PATRIZIA Immobilien AG to compensate for typical and foreseeable damage is limited according to the extent of the damage. The analyses do not represent an offer, or an invitation to submit an offer for the purchase or sale of a property, a property portfolio, a security or any other investment commitment. The opinions contained in the analyses may change without prior notice. All rights reserved. PATRIZIA Immobilien AG has taken internal organization and regulative precautions to avoid possible conflicts of interest and to disclose these when they arise.