PATRIZIA Immobilien AG

Transcription

1 PATRIZIA Immobilien AG The fully integrated real estate investment company Business Model, Financials and Market February 2013 PATRIZIA Immobilien AG PATRIZIA Bürohaus Fuggerstraße Augsburg T F immobilien@patrizia.ag

2 Agenda BUSINESS MODELL Highlights Q / 9M 2012 and main financials Additional financials Q / 9M 2012 Outlook 2012 Vision & Strategy German residential market Appendix 2

3 PATRIZIA The fully integrated real estate investment company WHO WE ARE AND WHAT WE DO Founded in 1984 by Wolfgang Egger, CEO and majority shareholder (51.62%) PATRIZIA is a real estate investment house, i.e. a real estate investor and full service provider We offer direct and indirect investments in residential and commercial real estate in Germany and Europe Acquisition on an organizational level in 2010 (PATRIZIA GewerbeInvest KAG) and 2012 (Tamar Capital Group) We operate nationwide with own local teams, international branches in Luxembourg, Stockholm, London, Copenhagen and Paris ASSETS UNDER MANAGEMENT 1,2 (IN EUR BILLION) EMPLOYEES (DECEMBER 31, 2012) RESIDENTIAL COMMERCIAL TOTAL TAMAR CAPITAL GROUP FOR THIRD PARTIES CO-INVESTMENT OWN INVESTMENT 586 permanent employees (converted to active full-time positions: 532) Thereof Corporate/Holding 178 Commercial 67 Residential 133 Special Real Estate Solutions 165 International Branches 8 Trainees 35 1 As of September 30, 2012, Tamar Capital Group as of January 1, Data from various sources, where book value is not available, investment volumes have been considered, without calculation of potential changes in value. 2 Rounding differences 3

4 The PATRIZIA Real Estate Value Chain Re-Investment Options Research & Analysis Realization/ Cash inflow Identification of Investment Targets and Potentials Sales Management (Residential Property Resale, En-Bloc Sale, Individual Sale) Due Diligence & Acquisition Management (Fund-, Asset- and Property Management) Structuring, Optimization, Asset Repositioning, Project Development 4

5 Organizational Structure SPECIALIZED ON RESIDENTIAL, COMMERCIAL AND SPECIAL REAL ESTATE SOLUTIONS RESIDENTIAL SEGMENT COMMERCIAL SEGMENT SPECIAL REAL ESTATE SOLUTIONS Acquisition Acquisition Sales Asset Management (Investment Management) Investments (100% PATRIZIA-Equity) Residential Property Resale Asset Repositioning Co-Investments (Up to 10% PATRIZIA-Equity) Residential Property Resale Asset Repositioning Funds (Solely 3 rd Party-Equity) German Spezialfonds (InVG) Alternative Funds Asset Management (Investment Management) Investments (100% PATRIZIA-Equity) Co-Investments (Up to 10% PATRIZIA-Equity) Funds (Solely 3 rd Party-Equity) German Spezialfonds (InVG) Alternative Funds Property Management Investments (100% PATRIZIA-Equity) Project Development Co-Investments (Up to 10% PATRIZIA-Equity) Project Development Alternative Investments 5

6 Positive Development of PATRIZIA in the last years DEVELOPMENT ASSETS UNDER MANAGEMENT 1,2 / EMPLOYEES (IN EUR BILLION) Increase in Assets under Management from 2007 to 2010: 23% and now 2010 to 9M 2012: 152% (another EUR 700 mn to be added from the acquisition of Tamar Capital Group Ltd as of Jan 2013) Increase in employees from 2007 to 2010: 11% and from 2010 to 9M 2012: 53% M OWN INVESTMENTS CO INVESTMENTS FOR THIRD PARTIES EMPLOYEES 2015 target As of September 30, Data from various sources, where book value is not available, investment volumes have been considered, without calculation of potential changes in value. 2 Rounding differences 6

7 Sale of PATRIZIA s own portfolio 1 AVERAGE MONTHLY RENT PER SQM: EUR 7.58 (9M 2012) TARGET: SALE OF PATRIZIA S OWN PORTFOLIO IN THE NEXT 3 4 YEARS NUMBER OF UNITS PER LOCATION: HEADQUARTERS < ,000 1 As of September 30, > 2,000 SALES CHANNELS RESIDENTIAL PROPERTY RESALE Sale of single units to tenants, owner-occupiers and private investors, approx. 2,195 units for sale, thereof 1,689 units currently in the sale process ASSET REPOSITIONING Exit via block sales, approx. 4,353 units for sale REGION/ CITY UNITS (NUMBER) SHARE AREA (SQM) Munich 1, % 130,315 Cologne / Dusseldorf 1, % 113,873 Leipzig % 58,066 Frankfurt/Main % 49,800 Hamburg % 40,927 Berlin % 31,287 Hannover % 27,047 Dresden % 10,284 Regensburg % 4,028 Friedrichshafen 3 <1% 182 TOTAL 6, % 465,809 7

8 Co-Investments (I) RESIDENTIAL / SPECIAL REAL ESTATE SOLUTIONS WOHNMODUL I SICAV-FIS Launched in September 2011 with a total investment volume: EUR 900 mn mn Actively managed co-investment with a German pension fund Start volume of EUR 100 mn in equity, PATRIZIA itself is also involved with approximately EUR 10 mn Second volume of EUR 100 mn in equity, PATRIZIA itself is also involved with approximately EUR 10 mn, fully invested by September 2012 Third volume of EUR 100 mn is already committed, PATRIZIA itself is also involved with approximately EUR 10 mn The fund covers the entire range of PATRIZIA s expertise in value enhancement: Aside from purchase, project development, asset and property management, the exit strategy includes plans for block sales as well as individual sales by means of residential property resale First investments have already been made: TOTAL INVESTMENT COSTS MUNICH EUR 663 mn 1 DÜSSELDORF EUR 90 mn HAMBURG EUR 28 mn BERLIN EUR 13 mn AUGSBURG EUR 57 mn TOTAL EUR 852 mn 1 1 Which accounts for EUR 108 mn to the joint venture partner CA Immo As of September 30,

9 Co-Investments (II) RESIDENTIAL LBBW IMMOBILIEN GMBH SINCE MID OF JUNE 2012 SÜDDEUTSCHE WOHNEN GMBH Closing: 03/28/2012 Share deal comprising the entire legal entity LBBW Immobilien GmbH with all its subsidiaries and employees (297 FTEs as of Dec 31, 2011), Süddeutsche Wohnen GmbH will remain a stand-alone entity Gross purchase price: EUR 1,435 bn PATRIZIA raised almost 600 mn of dedicated equity from German and international institutional investors in a period of less than 6 months. Investor group consists of blue-chip European and German pension funds and insurance companies PATRIZIA consortium led by PATRIZIA Immobilien AG: 4 German insurance companies, 5 German pension funds, 2 international pension funds, 1 savings bank Composition of equity investors is a blue print for other large real estate investment opportunities to come Structured and negotiated the debt financing; Transaction is financed with 40% equity and 60% debt. Debt is provided exclusively by LBBW Bank on a long term basis PATRIZIA s equity stake in the co-investment: EUR15 mn (2.5% of equity) This transaction gives PATRIZIA unparalleled access to very solvent financial institutions that have traditionally not been active in this market As of September 30,

10 Co-Investments (III) COMMERCIAL PATROFFICE Actively managed co-investment with two of the leading European pension funds: APG (Netherlands) and ATP (Denmark) PATRIZIA holds a 6.25% stake PATRIZIA is responsible for the purchase (and sale) of the entire portfolio and asset management Investment primarily in German commercial real estate Total volume invested: EUR 350 mn Launched in 2007 Planed duration: 7 years As of September 30,

11 German Residential Spezialfonds (I) PATRIZIA WOHNINVEST KAG (AUGSBURG) Founded and built up since April German Spezialfonds, mainly invested in residential real estate PATRIZIA has no equity stake of its own in the funds, no conflict of interest due to different portfolio strategies Target 2012: EUR mn investments EUR MILLION LAUNCHED IN TARGET VOLUME COMMITTED EQUITY GROSS FUND VOLUME PATRIZIA German Residential Fund I PATRIZIA German Residential Fund II PATRIZIA EuroCity Residential Fund I VPV Immo PATRIZIA I (Transfer fund) PATRIZIA Urbanitas PATRIZIA Domizil I PATRIZIA SN REGIO TOTAL 2, As of September 30,

12 German Residential Spezialfonds (II) PATRIZIA GERMAN RESIDENTIAL FUND I Focus on residential real estate in German major cities with high spending power and positive demographic outlook, existing housing stock without refurbishment needs, launched in 2007 PATRIZIA GERMAN RESIDENTIAL FUND II Focus on German properties not exceeding 15 years of age, committed equity fully subscribed PATRIZIA EUROCITY RESIDENTIAL FUND I Focus on Scandinavia, France, Benelux; placement completed, launched in 2008 VPV IMMO PATRIZIA I Transfer fund with VPV Lebensversicherungs-AG (insurance company), commercial properties were mainly transferred, launched end of 2009 PATRIZIA URBANITAS Individual fund, tailored to one long-term-oriented large-scale investor, focus on residential properties not exceeding 10 years of age, launched in January 2010 PATRIZIA DOMIZIL I Individual fund, set up for a German institution for professional retirement provision, focus on newly built residential properties and project developments, launched in September 2010 PATRIZIA SN REGIO Focus on properties in Bavaria or Southern Germany, committed equity fully subscribed, fund has not been launched yet 12

13 German Commercial Spezialfonds (I) PATRIZIA GEWERBEINVEST KAG (HAMBURG) Acquired from HSH Real Estate AG with effect from January 2011 (94.9% stake), purchase price EUR 35.7 mn 13 German Spezialfonds, mainly invested in commercial real estate Investors are mainly savings banks, insurance companies, pension funds Assets under management of EUR 2.7 billion (September 30, 2012) Target 2012: EUR mn investments MODULAR FUNDS INDIVIDUAL FUNDS LABEL FUNDS Investors can create a diversified portfolio and achieve the desired risk/reward profile by investing in different funds. Funds are launched based on the specifications of one individual investor. Real estate portfolio can be newly established or transferred by the investor. Provision of a fund platform in accordance with the German Investment Act. Asset management, purchase and sale are the responsibility of the investor or the investor s service provider. As of September 30,

14 German Commercial Spezialfonds (II) EUR MILLION LAUNCHED IN TARGET VOLUME COMMITTED EQUITY GROSS FUND VOLUME 1 MODULAR FUNDS 3, ,219 LB Handels-Invest Deutschland I LB Handels-Invest Europa I LB Büro-Invest Europa I LB Wohn-Invest Deutschland I LB Hotel-Invest Deutschland I LB Pflege-Invest Deutschland I LB Immo Invest Projekt I INDIVIDUAL FUNDS SV Europa Direkt LB-VA ImmoInvest LB HanseMerkur Invest LB Immo Invest Saar LABEL FUNDS 1, ,030 GLL BVK Intern. Immobilien-Spezialfonds , LB Immo HBL TOTAL 5,692 2,314 2,682 As of September 30, Sum of assets: market value of properties plus value of investments in real estate companies plus liquidity and receivables 2 The fund has no further real estate after all the properties were successfully sold in

15 Geographical footprint in comparison ASSET ALLOCATION GEOGRAPHICAL FOOTPRINT PATRIZIA Gewerbeinvest KAG mbh GEOGRAPHICAL FOOTPRINT PATRIZIA Wohninvest KAG mbh 2% 2% 2% 1% 7% 6% 12% 3% 10% 12% 54% 15% 75% Germany USA Netherlands France UK Finland Germany Sweden Finland Denmark Belgium Sweden As of September 30, 2012 Poland 15

16 Acquisition of UK based Tamar Capital Group Ltd TAMAR CAPITAL PARTNERS ( TAMAR ) AT A GLANCE Real estate investment and asset management company (established in 2009, Management buy-out in 2011) EUR 690 mn of assets under management across The international team (21 employees) cover investment management, asset management, deal sourcing and structuring from local offices in UK (London), France (Paris), Germany (Berlin) and Ireland (Dublin) Manager of a London Stock Exchange listed Guernsey Trust, an office fund in France and retail assets in Germany Expertise in selected office, light industrial, and retail markets Strong focus on providing active asset management and proven track record in transaction execution (on the buy or sell side) including the capability of attracting debt in the current challenging environment Vendors are the six previous shareholders of Tamar, who are themselves actively involved in operations LIMITED INITIAL OUTLAY Tamar will be fully consolidated with effect from January 2013 (100% stake) Confidentiality regarding the purchase price, PATRIZIA will refinance an existing shareholder loan at the time of closing (likely in March 2013) Rapid widening of business activities and increase in fund volume using PATRIZIA s investor base Due to costs of integration, contribution to operating income of the PATRIZIA Group will be neutral in 2013 After immediate establishment of platform in key target markets, contribution to Group operating earnings between EUR 0.5 and 1 mn is expected for FY

17 Strategic fit and growht opportunities CONTINUE THE EVOLUTION OF PATRIZIA FROM GERMAN RESIDENTIAL SPECIALIST TO PAN EUROPEAN MULTI-SECTOR INVESTMENT AND ASSET MANAGER ACQUISITION BROADENS PATRIZIA S IN-HOUSE CAPABILITIES, PRODUCT OFFERING, AND GEOGRAPHIC FOOTPRINT Extention of PATRIZIA business by segment (light industrial), style (opportunistic) and geography (UK, IE, FR, BE, Nordics) Entering UK commercial property market with a team in place and with capital to co-invest and manage investments Boost PATRIZIA s presence in the UK, French and German office and industrial sectors Improved access to London, Dublin, and Paris based financial institutions requiring real estate solutions, partnership, and expertise FSA approval enables PATRIZIA to set up new investment vehicles Deliver international investment opportunities for PATRIZIA s German investors and increase access to international investors looking at German investments 17

18 Agenda Business Modell HIGHLIGHTS Q / 9M 2012 AND MAIN FINANCIALS Additional financials Q / 9M 2012 Outlook 2012 Vision & Strategy German residential market Appendix 18

19 Highlights Q / 9M 2012 PATRIZIA IN LINE WITH EXPECTATIONS ASSETS UNDER MANAGEMENT 31% increase from with 5.2 bn to 9M bn SALES FIGURES Single unit sales of PATRIZIA s own property rose by 17.8% in 9M from 523 in 2011 to 616 units in % increase in 9M 2012 with 364 units sold en bloc (9M 2011: 261 units) Total of Co-Investment and Service Business sales 9M 2012: 227 units (9M 2011: 128 units) IMPROVED FINANCIAL SITUATION Equity ratio improved to 31.7% (December 31,2011: 28.1%; September 30, 2011: 25.5%) Bank loans decreased in comparison with December 31, 2011 by 13.1% to EUR mn (December 31, 2011: EUR mn; September 30, 2011: EUR mn) Cost of financing: 5.10% Bank balances and cash: EUR 68.9 mn of which intended for repayments EUR 39.3 mn (December 31, 2011: EUR 31.8 mn / intended for repayments EUR 0 mn) 19

20 EBT adjusted by quarter Elimination of profit/loss from non-cash market valuation of interest rate hedges (2012 Q3: EUR 2.0 mn) Without amortization of fund management contracts (-492 TEUR in each quarter from 2011) IN EUR MILLION 2008: EUR 0.8 mn 2009: EUR 2.4 mn 2010: EUR 12.8 mn 2011: EUR 16.7 mn Outlook: 2012: EUR 20.0 mn 20% Service Business 33,3% Service Business 50% Service Business Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q As of September 30,

21 Better financial situation BANK LOANS VS. EQUITY RATIO Bank loans September 30, 2012: EUR mn Equity Ratio September 30, 2012: 31.7% Bank loans December 31,2011 : EUR mn Equity Ratio December 31,2011: 28.1% 1,200 1, Target range: 25-30% 60% 55% 50% 45% 40% % Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q % 30% 25% 20% 15% 10% Bank loans in TEUR Equity ratio in % 1 As of September 30,

22 Financial situation No need for larger refinancing till June, due to ongoing sales the loan will be paid off for the most part until maturity 91.50% of loans are hedged by means of interest rate hedging instruments (will expire in June 2014 at the latest) Fixed interest rate guaranteed: 3.99% In 9M 2012 cost of financing (incl. margin and processing fee) amounted to 5.10% on the average bank loans Long-term bank loans include: (1) Financing of investment property until June 30, 2014 (2) Financing of PATRIZIA GewerbeInvest KAG until March 31, 2015 MATURITY PROFILE (APPROX. EUR 603 MN) % % 60% 50% % % 20% 10% 0% Amount falling due in EUR mn share in % 1 As of September 30,

23 Positive loan development of Investment Properties IN EUR MILLION Dec 2007 Dec 2008 Dec 2009 Dec 2010 Dec 2011 Sep 2012 Dec 2013 June As of September 30,

24 Residential Property Resale units Euro/sqm ,276 2,355 2,341 2,395 2,492 2,505 2,348 2,169 2,260 2,324 2,502 2,399 2,287 2,363 2,466 2,600 2,400 2, ,000 1,800 1,600 1, ,200 0 Q1/ 2009 Q2/ 2009 Q3/ 2009 Q4/ 2009 Q1/ 2010 Q2/ 2010 Q3/ 2010 Q4/ 2010 Q1/ 2011 Q2/ 2011 Q3/ 2011 Q4/ 2011 Q1/ 2012 Q2/ 2012 Q3/ ,000 own portfolio service business co-investments price/sqm (own portfolio) As of September 30, The changes result from the adjustment from notarial deeds to ownership, usage and encumbrances 24

25 Asset Repositioning Block sales units Euro/sqm 1,200 2, ,700 1,100 1, ,803 2,221 1,987 1,801 1,389 1,597 1, ,466 1,869 1,711 2,200 1,700 1, Q1/ 2009 Q2/ Q3/ Q4/ 2009 Q1/ Q2/ Q3/ 2010 Q4/ Q1/ 2011 Q2/ Q3/ 2011 Q4/ Q1/ Q2/ Q3/ own portfolio service business co-investment price/sqm (own portfolio) As of September 30, The changes result from the adjustment from notarial deeds to ownership, usage and encumbrances 25

26 Agenda Business Modell Highlights Q / 9M 2012 and main financials ADDITIONAL FINANCIALS Q / 9M 2012 Outlook 2012 Vision & Strategy German residential market Appendix 26

27 Key earning figures Q3 / 9M 2012 IN EUR MILLION Q Q M M 2011 Total revenues 59,233 54, , ,222 Total operating performance 47,499 46, , ,363 EBITDA 14,188 14,967 34,332 38,237 EBIT 13,083 14,138 31,240 35,897 EBIT adjusted 1 13,575 14,630 32,716 37,373 EBT 7,287-3,631 16,314 7,059 EBT adjusted 1,2 5,762 4,459 12,916 5,511 Net profit 6,426-4,788 11,736 3,013 As of September 30, Without amortization of other intangible assets (fund management contracts) 2 In addition adjusted for profit/loss from interest rate hedges without cash effect 27

28 Split of revenues The 9M 2012 revenues of EUR exceed the last year s level with EUR in 9M 2011 (+0.9%). The revenues from fund activities of EUR 18.9 increased by 3.8% in 9M 2012 (9M 2011: EUR 18.2). As well the revenues from other services rose by more than 100% in 9M 2012 to EUR 26.7 from EUR 4.5 in 9M Rental income exceeds our affecting financial payments (EUR mn) by 30.6%; ongoing maintenance (EUR -1.7 mn) included by 23.9% Commissions/fees (letting, sales, asset management) In EUR million As of September 30,

29 Key figures PATRIZIA portfolio MATERIAL COSTS (IN EUR MILLION) Q Q M M 2011 TOTAL production costs for project development ongoing maintenance renovation others (ancillary costs etc.) purchase costs RENTAL INCOME AND PORTFOLIO EXPENSES Q Q M M 2011 Rental income EUR 10.6 mn EUR 13.9 mn EUR 33.0 mn EUR 42.7 mn Adjusted financial result EUR 7.8 mn EUR 10.2 mn EUR 25.3 mn EUR 31.9 mn Rent per sqm and month EUR 7.55 EUR 7.83 EUR 7.58 EUR 7.83 Ongoing maintenance per sqm p.a. - - EUR 4.47 EUR 6.08 Ongoing maintenance and renovation per sqm p.a. - - EUR EUR As of September 30,

30 Financial result IN EUR MILLION Q Q M M 2011 INCOME FORM PARTICIPATIONS 0 0 5,438 0 Earnings from companies accounted for using the equity method Interest on bank deposits Income from securities Changes in the value of derivatives 2,017-7,598 4,874 3,913 Other interest FINANCE INCOME 2,182-7,248 5,384 4,655 Interest on revolving lines of credit and bank loans -2,956-5,369-10,414-16,617 Expenses from interest hedges -4,476-4,003-13,807-12,973 Changes in the value of derivatives Other finance costs ,149-1,541-3,014 FINANCE COST -7,992-10,521-25,762-33,493 FINANCIAL RESULT -5,810-17,768-20,378-28,837 WITHOUT VALUATION EFFECTS OF DERIVATIVES Adjusted finance income ,632 Adjusted finance cost -7,992-10,521-25,762-33,493 Adjusted financial result -7,827-10,170-25,252-31,861 As of September 30,

31 Rental revenues vs. financial result Rental income exceeded our financing result impacting liquidity by 30.6% (9M 2011: 34.1%), ongoing maintenance included by 23.9% (9M 2011: 24.8%) Decrease of PATRIZIA units from 2008 to 9M 2012: -46% Decrease of Munich share in portfolio from 2008 (43%) to 9M 2012 (25.5%) in EUR million OVERESTIMATE OF COSTS 14.6% 30.6% 32.6% 38.8% 30.6% 12,076 11, , , ,548 number 14,000 12,000 10,000 8,000 6, ,000 2, M 2012 Rental revenues Net financial result PATRIZIA units 0 Rounding differences due to base in thousands EUR As of September 30,

32 EBT Adjustments EBT ADJUSTED 9 MONTHS 2012 EBT ADJUSTED 9 MONTHS EBIT Income Financial from result participations EBT (IFRS) Profit/ loss from interest rate hedges Amortization (fund management contracts*) 12.9 EBT adjusted EBIT Financial result EBT (IFRS) Profit/ loss from interest rate hedges 1.5 Amortization (fund management contracts*) 5.5 EBT adjusted * Acquisition of PATRIZIA GewerbeInvest KAG: Fund management contracts assigned to other intangible assets are subject to amortization over the expected remaining life of the contracts 32

33 Financial figures Profit & Loss Statement IN EUR MILLION Q Q M M 2011 Revenues 59,233 54, , ,222 Income from the sale of investment property 738 3,073 3,871 3,381 Changes in inventories -14,844-13,650-38,910 4,582 Other operating income 2,372 2,790 8,653 10,178 TOTAL OPERATING PERFORMANCE 47,499 46, , ,363 Cost of materials -11,885-12,457-37,816-92,536 Staff costs -12,007-8,879-33,593-25,200 Other operating expenses -9,419-10,519-30,480-23,390 EBITDA 14,188 14,967 34,332 38,238 Amortization of software and depreciation on equipment -1, ,092-2,340 EBIT 13,083 14,138 31,240 35,897 Income from participations 0 0 5,438 0 Earnings from companies accounted for using the equity method Finance income 2,182-7,248 5,384 4,655 Finance cost -7,992-10,521-25,762-33,493 EBT 7,287-3,631 16,314 7,059 Adjustments -1,525 8,090-3,398-1,548 EBT adjusted 5,762 4,459 12,916 5,511 As of September 30,

34 Key figures net asset and financial situation IN EUR MILLION 09/30/ /31/2011 CHANGE Total assets 1,016,088 1,102, % Equity (incl. non-controlling partners) 322, , % Equity ratio 31.7% 28.1% 3.6% points Bank loans 602, , % Cash and cash equivalents 68,861 31,828 >100% of which intended for repayments 1 39,285 0 >100% Net financial debt 533, , % Real estate 2 817, , % Loan to value % 71.7% 4.6% points Net gearing % 214.4% -47.9% points 1 These are purchase price accounts allocated to cash and cash equivalents that serve for the repayment of loans and which only flow out in the following month. 2 Real estate assets comprise investment property valued at fair value and real estate held in inventories valued at amortized cost. 3 Proportion of loans less repayment-related liquidity to real estate assets. Only investment property is calculated at fair value. Inventories are stated at amortized cost. Loans were adjusted for the financing of PATRIZIA GewerbeInvest KAG. 4 The net gearing corresponds to the ratio between net financial debt and equity adjusted for minority interests. 34

35 Net Asset Value - after increase of number of shares NAV/share share price at quarter's end Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q IN EUR MILLION 12/31/11 03/31/12 06/30/12 09/30/12 Investment Property (fair value) 1 532, , , ,066 Investments in joint ventures Participations in associated companies 6,809 6,809 6,809 14,056 Participations 3,134 20,558 18,413 18,413 Inventories (at cost) 2 407, , , ,969 Current receivables and other current assets 3,4 48,735 35,431 30,723 28,099 Bank balances and cash 3 43,690 48,858 41,738 81,318 Current liabilities 3,4-16,354-18,178-17,083-16,463 Less bank loans 3-673, , , ,008 Net Asset Value (NAV) 352, , , ,449 Number of shares 52,130,000 52,130,000 52,130,000 57,343,000 NAV per share EUR 6.75 EUR 6.85 EUR 6.76 EUR 6.20 Share price at the end of the quarter EUR 3.43 EUR 4.99 EUR 4.40 EUR 4.44 In order to underline the significance of the net asset value (NAV) current liabilities will also be included since Fair market valuation 2 Valuation at amortized cost 3 Figures excluding PATRIZIA GewerbeInvest KAG mbh, purchase loans eliminated and cash and cash equivalents increased by outflow of equity 4 Adjusted for non-property-specific items 35

36 Agenda Business Modell Highlights Q / 9M 2012 and main financials Additional financials Q / 9M 2012 OUTLOOK 2012 VISION & STRATEGY German residential market Appendix 36

37 Outlook 2012 EXPECTED EBT ADJUSTED % IN COMPARISON TO 2011 RESIDENTIAL Sales expected in the amount of 2011: approximately 1,800 units in total PATRIZIA WohnInvest KAG will invest EUR mn Further decrease of bank loans in 2012 Two increases in WohnModul I by 100 mn each of additional equity already committed COMMERCIAL PATRIZIA GewerbeInvest KAG will invest EUR mn SPECIAL REAL ESTATE SOLUTIONS The main driver in this segment was the closing of the LBBW deal in March 2012 (acquisition fee, annual asset management fee, return on equity, performance fee when indicated) Project development: apartment block with 64 units was sold to a German institutional investor prior construction start 37

38 Vision & Strategy PATRIZIA THE FULLY INTEGRATED REAL ESTATE INVESTMENT COMPANY OUR VISION Leading fully integrated in all asset classes in Germany and in Europe Add even greater value to our customers across all segments of the real estate market Our intention is to become the fully integrated real estate investment company in Europe by 2015 OUR STRATEGY Increase in Assets under Management per year EUR 1 bn EUR 10 bn Assets under Management in 2015 Offering of a larger number of co-investments in the future PATRIZIA s own stake of approximately %, depending on the investment and the partners PATRIZIA will handle higher volumes with its existing equity Go ahead in Europe additional to the core market in Germany, current European locations: Luxembourg Stockholm London Copenhagen Paris 38

39 Agenda Business Modell Highlights Q / 9M 2012 and main financials Additional financials Q / 9M 2012 Outlook 2012 Vision & Strategy GERMAN RESIDENTIAL MARKET Appendix 39

40 Investment prospects of regional residential markets in Germany Regional analysis in Germany necessary An analysis of the opportunities and risks of residential investments needs to be carried out at local level and to include both supply and demand factors. On the supply side above all the provision of apartments and the structure of the housing stock are of importance for a potential investor in rented residential real estate. On the demand side demographic developments and purchasing power are the core factors to be considered in an initial location analysis. These two factors exert a decisive influence on the stability of the cash flow of the investment. Ranking Urban and administrative districts Germany 2009 far below average below average average above average high above average 40

41 Rural exodus continues - Benefit Cities Growing and shrinking congregations in Germany Communities strong growth growth shrinking Strong shrinking Evaluated data base: Evaluated data base: Population development Net migration Workplace Development Unemployment rate 2009/2010 Real power control 2009/2010 Purchasing power 2009 Source: Handelsblatt , BBSR Bonn

42 The 50 biggest cities in Germany (I) GEOGRAPHICAL DISTRIBUTION OF THE SURVEYED CITIES Source: comdirect bank AG 42

43 The 50 biggest cities in Germany (II) RANKING OF THE LARGEST CITIES IN GERMANY, AS MEASURED BY THE POPULATION TOP TEN Rank City Habitants Rank City Habitants Rank City Habitants Rank City Habitants Rank City Habitants 1 Berlin Dresden Karlsruhe Krefeld Hagen Hamburg Leipzig Münster Halle/Saale Hamm München Hannover Wiesbaden Magdeburg Saarbrücken 4 Köln Nürnberg Augsburg Freiburg i.b Mülheim an der Ruhr Frankfurt a.m Duisburg Aachen Oberhausen Herne Stuttgart Bochum Mönchengladbach 7 Düsseldorf Wuppertal Gelsenkirchen 8 Dortmund Bonn Braunschweig Lübeck Ludwigshafen am Rhein Erfurt Osnabrück Rostock Oldenburg Essen Bielefeld Chemnitz Mainz Leverkusen Bremen Mannheim Kiel Kassel Solingen Mean = 437,900 inhabitants of 50 cities, own calculation Source: Acxiom Deutschland, Stand der Daten: 4. Quartal 2011, Analysis: comdirect bank AG (2012) 43

44 Bavarian metropolis Munich since 2000, the strongest growth POPULATION GROWTH SINCE THE TURN OF THE MILLENNIUM DEVELOPMENT OF THE POPULATION, INDEX BASE 100 = 2000 Rank City Development 1 München 112 Rank City Development Münster 105 Rank City Development Wiesbaden 102 Rank City Development Osnabrück 100 Rank City Development Bochum Dresden 109 Oldenburg 105 Erfurt 102 Leverkusen 100 Oberhausen Freiburg 109 Hamburg 104 Bremen 101 Dortmund 99 Saarbrücken 96 i.b. Mainz 109 Stuttgart 104 Hannover 101 Magdeburg 99 Duisburg Bonn Nürnberg 104 Braunschweig 101 Lübeck Wuppertal 95 Leipzig 106 Augsburg 104 Rostock 101 Mönchengladbach 98 Chemnitz 94 Karlsruhe 106 Düsseldorf 103 Ludwigshafen Krefeld 98 Halle/ 94 am 16 Saale 7 Rhein Aachen 106 Kiel 103 Bielefeld 100 Essen 97 Herne 94 Köln 105 Berlin 102 Kassel 100 Mülheim an 97 Gelsenkirchen der Ruhr Frankfurt Mannheim 102 Hamm 100 Solingen Hagen 93 a.m. Source: Acxiom Deutschland, Stand der Daten: 4. Quartal 2011, Analysis: comdirect bank AG (2012) 44 Top ten Average of the 50 cities = 101, own calculation

45 Increase and decrease the number of habitants DEVELOPMENT OF THE POPULATION BY 2025 Comparison of 2011 and 2025, forecast by the Federal Institute of Building, Urban Affairs and Spatial Development (BBSR) Population growth by 2025 more than +5% more than 0% - +5% 0% -5% - <0% less -5% * Data for Hannover and Saarbrucken are due to territorial reforms during the observation period is not available. Source: BBSR-Bevölkerungsprognose , Stand der Daten: 2009, Auswertung und Grafik: comdirect bank AG (2012) 45

46 Rent or buy Living in major German cities is becoming luxury (I) LIVING IN GERMANY Rental price per sqm in EUR (2010) < > 9.00 Strong rise of rents in German centers of commerce Flats are almost mediated via estate agents Big cities will become more crowded in future Munich is the most expensive German place to live Changed conditions: Due to the higher number of couples and singles, more people in Germany need more place to live. The German Federal Statistical Office estimates a trend reverse after 2025, when the number of households will decrease. 1 Source:

47 Rent or buy Living in major German cities is becoming luxury (II) PURCHASE PRICE FOR EXISTING PROPERTIES PER SQM IN EUR SELECTED CITIES RENT FOR USED PROPERTIES PER SQM IN EUR SELECTED CITIES 1 Source:

48 Mietspiegel (Rent index) THE MOST COMMON BENCHMARK FOR EXISTING RENTS IS A CITY-SPECIFIC MIETSPIEGEL The Mietspiegel is an index of local residential markets rents published by each major municipality in Germany every two years. The rent index contains average rents for apartments for each sub-market. EXISTING LETTINGS UPSIDE FROM CHANGES IN MIETSPIEGEL The rent index provides the legal framework for landlords to increase non-restricted rents in a respective micro location according to size, age, condition etc. Increase rents (every two years) when Mietspiegel changes, but: A landlord is not allowed to raise rents for current tenants above the level indicated in the index, with a cap of a 20% increase over each 3 year time horizon Quality portfolios with below market rents stand to gain the most income growth, in particular if Past owners under-managed the portfolio and If the Mietspiegel index levels are above current levels or increasing significantly Modernization: Rental increase by allocating 11% p.a. of modernization capex NEW TENANTS / VACANCY Rents set according to supply and demand: Empty apartments can be rented out at every price that the tenant agrees to pay 48

49 Agenda Business Modell Highlights Q / 9M 2012 and main financials Additional financials Q / 9M 2012 Outlook 2012 Vision & Strategy German residential market APPENDIX 49

50 PATRIZIA Share PATRIZIA SHARE AT A GLANCE ISIN DE000PAT1AG3 SIN (Security Identification Number) PAT1AG Code P1Z No. of shares in issue 57,343, high* / low* EUR 6.65 / EUR 3.32 Closing price at December 31, 2012* EUR 6.46 Share price performance in % Average trading volume per day in ,195 shares Market capitalization as at December 31, 2012* EUR million Indices SDAX, EPRA, GEX, DIMAX SHARE PRICE DEVELOPMENT LAST 12 MONTHS RESEARCH CURRENT ESTIMATES BANK ANALYST DATE RATING PRICE TARGET Baader Bank André Remke Hold EUR 6.00 Bankhaus Lampe Georg Kanders Buy EUR 7.10 Berenberg Bank Kai Klose Buy EUR 6.60 Close Brothers Seydler Research Manuel Martin Buy EUR 6.70 DZ Bank Ulrich Geis Buy EUR 6.90 HSBC Thomas Martin Hold EUR 6.60 J.P. Morgan Harm Meijer Hold EUR 6.50 Warburg Research Torsten Klingner Hold EUR 6.30 LFG Kronos Thomas Aney Hold EUR 6.55 * Closing price at Frankfurt Stock Exchange Xetra trading 50 SHAREHOLDER STRUCTURE 15.97% 3.02% 51.62% 29.39% First Capital Partner (Wolfgang Egger) Other institutional investors AXA S.A. Private shareholders

51 Financial Calendar and Contact Details February 28, 2013 HSBC Real Estate Conference, Frankfurt March 21, 2013 Financial Statements 2012, Press Conference April 3, 2013 Deutsche Bank Real Estate Event, Frankfurt April 11, 2013 Bankhaus Lampe Germany-Conference, Baden-Baden May 7, 2013 Interim report for the first quarter of 2013 May 22-23, 2013 German Mid Cap Investment Conference, Commerzbank, Boston, New York June 12, 2013 Annual General Meeting, Augsburg August 7, 2013 Interim report for the first half of 2013 September 5-6, 2013 EPRA, Paris September 18-19, 2013 UBS Conference, New York September 23, 2013 German Corporate Conference, Goldman Sachs International and Berenberg Bank, Munich September 24, 2013 German Investment Conference, Uni Credit, Munich September 25, 2013 Baader Investment Conference, Munich October 7-9, 2013 Expo Real, Munich November 7, 2013 Interim report for the first three quarters of 2013 The conference calls about the financial reports will usually be held at 3 pm CET. Invitations and dial-in numbers will be provided in advance. To be always updated, please have a look on our website MARGIT MILLER HEAD OF INVESTOR RELATIONS T M margit.miller@patrizia.ag investor.relations@patrizia.ag VERENA SCHOPP DE ALVARENGA MANAGER INVESTOR RELATIONS T M verena.schoppdealvarenga@patrizia.ag investor.relations@patrizia.ag 51