1. © 2011 Deloitte Corporate Finance Limited - Private and confidential Developing for the future, for more sustainable returns and higher value Question: What will produce higher sustainable returns?

2. © 2011 Deloitte Corporate Finance Limited - Private and confidential Modern office development – Eastern Province Assumption: A long term investor Note: All property markets are imperfect Note: Reasonable assumptions must be made Case Study:

3. © 2011 Deloitte Corporate Finance Limited - Private and confidential Case Study: Modern office development – Eastern Province End user requirements: Build for the occupier not the profit Corporate identity Car parking Specification

4. © 2011 Deloitte Corporate Finance Limited - Private and confidential Case Study Modern office development – Eastern Province Corporate identity Impressive entrance hall Good quality atria Professional reception desk & tenant’s directory

5. © 2011 Deloitte Corporate Finance Limited - Private and confidential Case Study Modern office development – Eastern Province Car parking Limited public transport – preference to drive 1 car park space per 25 sq. m net minimum 1 space requires 33 sq. m

6. © 2011 Deloitte Corporate Finance Limited - Private and confidential Case Study Modern office development – Eastern Province Specification Flexible floor plates High speed lifts State of the art security

7. © 2011 Deloitte Corporate Finance Limited - Private and confidential Case Study Modern office development – Eastern Province Typical building 1,250 sq. m plot 20 levels 1,000 sq. m gross per floor (85% efficiency)

8. © 2011 Deloitte Corporate Finance Limited - Private and confidential Case Study High specification building 14,450 sq. m net 578 car park spaces (1:25) Triple height atria (lose 3 x levels rental) Build cost offices @ $1,460/sq. m Build cost car park @ $ 475/sq. m Rent @ $ 318/sq. m pa Medium specification building 16,575 sq. m net 166 car park spaces (1:100) Basic atria (loose 50% ground level) Build cost offices @ $1,200/sq. m Build cost car park @ $ 475/sq. m Rent @ $ 255/sq. m pa

9. © 2011 Deloitte Corporate Finance Limited - Private and confidential Case Study High specification building 14,450 sq. m net Construction cost offices $29.2 million Car park $ 9.1 million Land $ 7.1 million Total $ 45.4 million Rent $4.6 million pa Medium specification building 16,575 sq. m net Construction cost offices $ 23.9 million Car park $ 2.6 million Land $ 7.1 million Total $ 33.6 million Rent @ $ 4.2 million pa

10. © 2011 Deloitte Corporate Finance Limited - Private and confidential Case Study High specification building 14,450 sq. m net Construction cost 22% higher Land - same Rent 9% higher 10% return on cost Medium specification building 16,575 sq. m net - 12.5% return on cost

11. © 2011 Deloitte Corporate Finance Limited - Private and confidential Case Study High specification building 14,450 sq. m net Impact on yield Quality tenants – covenant strength + Longer leases – typically 5 years plus Better efficiency (85%) Lower yield – higher capital value Medium specification building 16,575 sq. m net Lower quality tenant – covenant strength - Shorter leases – typically 2 years Less efficient (80%) Higher yield – lower capital value

12. © 2011 Deloitte Corporate Finance Limited - Private and confidential Case Study High specification building 14,450 sq. m net Impact on value Rent @ $4.6 million pa Yield say 8.0 % Capital value $57.5 million Medium specification building 16,575 sq. m net Rent @ $4.2 million pa Yield say 10.0 % Capital value $42.0 million The higher specification building is $ 15.5 million more valuable (37%)

13. © 2011 Deloitte Corporate Finance Limited - Private and confidential Developing for the future and for higher and more sustainable value Question: What will produce higher sustainable returns? Answer: Buildings designed and constructed for end-users

14. © 2011 Deloitte Corporate Finance Limited - Private and confidential Developing for the future and for higher and more sustainable value How do you achieve results? By working with experienced relevant professionals

15. Deloitte Corporate Finance Limited is a Company limited by shares, registered in Dubai International Financial Centre with registered number CLO 748 and is authorised and regulated by the Dubai Financial Services Authority. A list of members is available for inspection at Al Fattan Currency House, Building 1,Dubai International Financial Centre, the firm’s principal place of business and registered office. Tel: +971 (0) 4 506 4700 Fax: +971 (0) 4 327 3637. Deloitte Corporate Finance Limited is an affiliate of the UK and Middle East member firms of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see www.deloitte.com/about for a detailed description of the legal structure of Deloitte Touche Tohmatsu Limited and its member firms.www.deloitte.com/about. Deloitte provides audit, tax, consulting, and financial advisory services to public and private clients spanning multiple industries. With a globally connected network of member firms in more than 150 countries, Deloitte brings world-class capabilities and deep local expertise to help clients succeed wherever they operate. Deloitte's approximately 182,000 professionals are committed to becoming the standard of excellence. Deloitte's professionals are unified by a collaborative culture that fosters integrity, outstanding value to markets and clients, commitment to each other, and strength from cultural diversity. They enjoy an environment of continuous learning, challenging experiences, and enriching career opportunities. Deloitte's professionals are dedicated to strengthening corporate responsibility, building public trust, and making a positive impact in their communities. Deloitte Corporate Finance Limited (Regulated by the DFSA) DIFC | Dubai International Financial Centre P.O. Box 282056 Dubai United Arab Emirates Local offices: © 2011 Deloitte Corporate Finance Limited. All rights reserved. Bin Ghanem Tower Hamdan Street P.O. Box 990 Abu Dhabi, UAE Al Zamil Tower Government Avenue P.O. Box 421 Manama, Bahrain Fahad Al-Salem Street Salhia Complex, Entrance 2 P.O. Box 23049 Safat 13091, Kuwait Al-Ahli Bank Sheikh Suhaim bin Hamad St P.O. Box 431 Doha, Qatar Al Salam Bldg Main Olaya Road P.O. Box 213 Riyadh, Saudi Arabia Saudi Business Center Madinah Road Mail: P.O. Box 442 Jeddah, Saudi Arabia