Rented apartments: market and quoted rent indexes Switzerland (1) Office space: market and quoted rent indexes Switzerland (2)

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1 Meta analysis real estate - Transaction price indexes FPRE: In the 4th quarter 215, prices for private property tend sidewards. Single family houses in the average segment are in all the Swiss regions less expensive compared to te previous quarter. Compared to the previous year, a slight increase is detected (+2,). - Market rents FPRE: Market rents for appartments decreased in the whole country by 1,7% in the 4th quarter 215. The decrease was strongest for new constructions in large centres. Market rents for office spaces keep tending sidewards. - According to SWX IAZI real estate price index, prices for private property slightly increased in the 4th quarter 215. The price increase was +, compared to the previous quarter. On a yearly basis, the growth rate is at,9%. Remarkable on the quarterly basis is the uneven development for single family houses and condominiums. While prices for single family houses decrease countrywide, prices for condominiums slightly raise. - Credit Suisse/Swiss Builders' Association: The Swiss construction index overcomes in the 4th quarter 215 its interim low and increases by 3 points. The positive impulses are mainly coming from building construction (+1,9%) and civil engineering (+2,). Anyhow, the year 215 will be much less successful for the key construction industry than the year before. Rented apartments: market and quoted rent indexes Switzerland (1) Office space: market and quoted rent indexes Switzerland (2) Rented apart., quoted rents (W&P) Rented apart., market rents (FPRE) Office, quoted rents (W&P) Office, market rents (FPRE) Source: Fahrländer Partner, Wüest & Partner. Source: Fahrländer Partner, Wüest & Partner. Transaction price indexes for condominiums Switzerland (3) Transaction price indexes for single family houses Switzerland (4) CON TP (W&P) CON TP (IAZI) CON TP (FPRE) SFH TP (W&P) SFH TP (IAZI) SFH TP (FPRE) Source: Fahrländer Partner, IAZI, Wüest & Partner. Source: Fahrländer Partner, IAZI, Wüest & Partner. Forec.rented ap. / ap.buildings (tot. / av. new constr.) (5) Forecast commercial spaces (total) (6) CS(2) Rents Forecast FPRE(1) UBS(2) W&P(2) CS(2) FPRE(1) Rents Prices Rents Rents Rents Rents Prices Forecast Office Retail UBS(2) Mieten W&P(2) Rents Forecast private property (total / average new construction) (7) CS(2) Forecast Priv. prop. SFH FPRE(1) UBS(2) CON SFH CON SFH CON. -1. Note: market rents / transaction prices (1) resp. quoted rents / prices (2). Source: Credit Suisse, Fahrländer Partner, UBS, Wüest & Partner. For all sources please check the glossary and impressum on the last page. SFH. W&P(2) 216 CON -. Real Estate? We know tomorrow's trends. Intershop Holding AG Puls 5 Giessereistrasse 18 Postfach 1 31 Zürich +41 () info@intershop.ch

Business conditions: economy Forecast Swiss economy GDP, real Unemployment rate Rate of price increase (8) 216 217 CS KOF BAK Créa UBS SECO Ø Créa UBS SECO KOF BAK CS Ø 1. 1.1 1.1 1.2 1.4 1.5 1.2 1.8 1.

2 Business conditions: economy Forecast Swiss economy GDP, real Unemployment rate Rate of price increase (8) CS KOF BAK Créa UBS SECO Ø Créa UBS SECO KOF BAK CS Ø Créa CS SECO KOF BAK UBS Ø CS Créa KOF BAK SECO UBS Ø KOF Créa UBS BAK SECO CS Ø Créa SECO KOF UBS BAK CS Ø Real GDP and unemployment rate (9) GDP real unemployment rate growth potential - The potential growth lies between 1, and 1,8%, according to calculations by Fahrländer Partner. Note: The values for 215, 216 and 217 are forecasts. Note: In June 212, the population census 212 replaced the one of as database. The unemployment rate has been revised retroactively until 21 by SECO. Source: figure 1, page 1, Fahrländer Partner (growth potential). Change in job vacancies (1) % % Index of job vacancies TOTAL Banking and insurance sector Real estate sector IT sector Other services 2nd quarter unemployment rate unemployment rate 2-24 unemployment rate 6+ Source: FSO. Rate of price increase (11) Inflation forecast SNB Forecast December 215 Libor -.7 Forecast September 215 Libor SNB: Overall, the new conditional inflation forecast in December 215 differs little from that of September. For 215, inflation is forecast at -1,. For 216 an inflation rate of -, is expected and for 217 the forecast is now at, inflation Target range price stability (SNB) 3 month libor Note: The values for 215, 216 and 217 are forecasts. Source: cf. meta analysis economy, SNB. Link meta analysis economy: Lost in the charts and numbers of the meta analysis? Check our interpretation: Marie Seiler PwC Real Estate Advisory Birchstrasse 5 Zürich

Business conditions: demand indicators Net immigration permanent resident population (in 1') (12) 4th quarter 215 Net immigration permanent resident population (in 1') 17.

Net immigration monthly (in 1') (13) 12 11 1 9 8 7 6 5 4 3 2 1 Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec December 215 Net immigration permanent resident population (in 1') 4.

Permanent resident population Switzerland (in m) (14) 1 9 8 7 6 5 214 Total (in m) Swiss (in m) Foreigners (in m) Foreigners (in %) Permanent resident population Switzerland 8.2 6.2 2.

3 Business conditions: demand indicators Net immigration permanent resident population (in 1') (12) 4th quarter 215 Net immigration permanent resident population (in 1') st quarter 2nd quarter 3rd quarter 4th quarter Source: FSO (1-9), SEM (21-215). Net immigration monthly (in 1') (13) Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec December 215 Net immigration permanent resident population (in 1') Arithmetic mean 213 Arithmetic mean 214 Arithmetic mean 215 Source: SEM. Permanent resident population Switzerland (in m) (14) Total (in m) Swiss (in m) Foreigners (in m) Foreigners (in %) Permanent resident population Switzerland (Swiss) (foreigners) Permanent resident population in m (left column) Source: FSO. Population growth by MS regions ( ) (15) Search subscription (apartments and houses) by MS region (16) Note: circle radius in relation to population 214. Maps: FSO Geostat/Swisstopo. Source: FSO, cf. Immobilien-Almanach Schweiz 216. Note: July 215; evolution compared to the previous year; circle radius in relation to number of requests. Maps: FSO Geostat/Swisstopo. Source: Realmatch 36, representation: FPRE.

4 Business conditions: supply indicators Forecast construction activity (17) in m CHF 215 Total 63'139 Building construction 49'644 Residential building 3'612 Civil engineering 13' '921 64'753 5'244 5'861 3'887 31'212 13'677 13'892 Total Building construction Residential building Civil engineering %.9% Source: BAK. Construction index Credit Suisse / SBV (nominal) (18) th quarter 215 Construction index total - Building construction - Residential building Index (1996=) % The construction index is an early indicator of the construction economy in Switzerland which foresees current quarter turnover Residential building Building construction Construction index Source: Credit Suisse, SBV. Production price index (change p.a.) (19) 1 8% % th quarter 215 Index (3=) Stone and concrete construction - Apartment building SFH.4 Build. and commer. constr Change compared to previous quarter % % -. - The production price index PKI shows the change in production costs. Apartment building (stone and concrete construction) SFH (stone and concrete construction) Build. and commer. constr. Source: SBV. Swiss construction price index (change p.a.) (2) nd half year 215 Index (21=) Change compared to previous half year Total building sector Office buildings Apartment buildings The Swiss building price index is an economic indicator which captures the evolution of construction costs as reported by local construction companies. New construction of office buildings Total building sector New construction of apartment buildings Source: FSO.

5 Business conditions: financing and interest rates Expected interest rate (21) Seco KOF Créa Interest rate 3-month-Libor Yields on Confederat. bonds (1 years) % -.9% % -.8% Source: Seco, KOF, Créa. Interest rates (22) 6 3 month Libor Confederation bonds (1 years) January % -. 4 November 215 Saving growth month Libor Confederation bonds (1 years) Saving growth Monet. aggreg. M2 (in bn. CHF, r.s.) Source: SNB. Yields on Confederation bonds (23) normal band Duration 1 year 5 years 1 years four weeks ago one year ago % duration in years four weeks ago one year ago Source: SNB, Fahrländer Partner (normal band). Mortgage rates (24) Mortgage November 215 variable fixed (3 years) fixed (5 years) fixed (1 years) 2.7% % variable fixed (3 years) fixed (5 years) fixed (1 years) Source: SNB. Mortgage volume inland (in bn CHF) (25) 1 October 215 Volume in billion CHF 8% Mortgage claims Volume (right scale) Source: SNB.

6 212:2 212:4 213:2 213:4 214:2 214:4 215:2 215:4 1986:4 1988:4 19:4 1992:4 1994:4 1996:4 1998:4 :4 2:4 4:4 6:4 8:4 21:4 212:4 214:4 Share of answers Index points Share of answers Index points Indicators: rented apartments / apartment buildings Market rents rented apartments (RA) Switzerland (26) th quarter 215 Index (=) Changes to previous quarter Lake Geneva % Jura Espace Mittelland Basel Zurich Eastern Switzerland % -1. Alps Southern Switzerland Market rents FPRE (old building) Market rents FPRE (total) Market rents FPRE (new construction) Market rents RA by region (27) Market rents RA by spatial type (28) Lake Geneva Espace Mittelland Basel Zurich Eastern Switzerland Southern Switzerland Top locations Other agglomerations Rural area Large central agglomerations Touristic regions Quoted rents RA by regions (29) Quoted rents RA Switzerland (change p.a.) (3) Lake Geneva Western Switzerland Berne Central Switzerland NW Switzerland Zurich Eastern Switzerland Southern Switzerland Source: SNB, Wüest & Partner. Homegate Source: Homegate, Wüest & Partner. Rented apartments (W&P) Price expectation apartment rent (next 12 months) (31) Price expectation apartment building (next 12 months) (32) % % % - -% - % % % - -% - Strongly increasing Increasing Strongly increasing Increasing Strongly decreasing Decreasing Strongly decreasing Decreasing Price expectation index (right column) Price expectation index (right column) Note: structural breaks in the 4th quarter 1996 and the 2nd quarter 212. Source: HEV Switzerland / FPRE. Source: HEV Switzerland / FPRE.

7 Cyclical outlook from an owner view: apartment buildings Apartment building - Switzerland (33) Old building New construction average Demand Supply Cash-flow Initial yields Market values New construction upper Apartment building (new construction average) - regional (34) Lake Geneva Jura Swiss plateau (Mittelland) Basel Zurich Eastern Switzerland Southern Switzerland Helptext to the valuations: Demand Supply Cash-flow Initial yields Market values Alpine area All valuations are done from a owner/seller perspective. The circles describe the actual situation: green: unproblematic situation; yellow: some problems; red: problematic situation. Arrows describe the forecast for the following 12 months. : expected improvement; : stable; : expected aggravation. Fahrländer Partner AG Raumentwicklung Eichstrasse Zürich info@fpre.ch «Immobilien-Almanach Schweiz» On 18 december 215, the guide for Swiss residential and commercial properties markets for the year 216 was published. Order: almanach@fpre.ch Costs: CHF 15 / copy Information:

8 212:2 212:4 213:2 213:4 214:2 214:4 215:2 215:4 1986:4 1988:4 19:4 1992:4 1994:4 1996:4 1998:4 :4 2:4 4:4 6:4 8:4 21:4 212:4 214:4 Share of answers Index points Share of answers Index points Indicators: office property Rents for office spaces Switzerland (net rents) (35) Market rents for office spaces by region (net rents) (36) 4th quarter 215 Index (=) Lake Geneva.4 Espace Mittelland Basel 96.8 Zurich Changes to previous quarter % -1.7% Office, quoted rents (W&P) Office, market rents (FPRE) Source: Fahrländer Partner, Wüest & Partner. Market rents for office spaces (net rents) (37) Quoted rents for office space (net rents) (38) Lake Geneva Espace Mittelland Basel Zurich Geneva Berne Basel Zurich Source: SNB, Wüest & Partner. Office markets: offer as a % of total space available (39) Direct investments - initial yield (net) for office buildings (4) 7% 8% 7% Switzerland Zurich Geneva Basel Dec. 212 Dec. 213 Dec. 214 Class A Class B Class C Source: CSL Immobilien. Source: CSL Immobilien. Price expectation office rent (next 12 months) (41) Price expect. commercial and office buildings (next 12 months) (42) % % % - -% - % % % - -% - Strongly increasing Increasing Strongly increasing Increasing Strongly decreasing Decreasing Strongly decreasing Decreasing Price expectation index (right column) Price expectation index (right column) Source: HEV Switzerland / FPRE. Note: structural breaks in the 4th quarter 1996 and the 2nd quarter 212. Source: HEV Switzerland / FPRE.

Cyclical outlook from an owner view: retail and office buildings Office buildings (new construction) - Switzerland (43) Office Demand Supply Cash-flow Initial yields Market values 215 216 215 216 215

9 Cyclical outlook from an owner view: retail and office buildings Office buildings (new construction) - Switzerland (43) Office Demand Supply Cash-flow Initial yields Market values Office buildings (new construction) - regional (44) Zurich All valuations are done from a owner/seller perspective. The circles describe the actual situation: green: unproblematic situation; yellow: some problems; red: problematic situation. Arrows describe the forecast for the following 12 months. : expected improvement; : stable; : expected aggravation. Demand Supply Cash-flow Initial yields Market values Lake Geneva Jura Swiss plateau (Mittelland) Eastern Switzerland Alpine area Southern Switzerland Basel Helptext to the valuations: Sales area - Switzerland (45) Demand Supply Cash-flow Initial yields Market values Sale Sales area - regional (46) Demand Supply Cash-flow Initial yields Market values Lake Geneva Jura Swiss plateau (Mittelland) Basel Zurich Eastern Switzerland Alpine area All valuations are done from a owner/seller perspective. The circles describe the actual situation: green: unproblematic situation; yellow: some problems; red: problematic situation. Arrows describe the forecast for the following 12 months. : expected improvement; : stable; : expected aggravation. Helptext to the valuations: Southern Switzerland i Consulting SA Route d'oron Lausanne +41 () info@iconsultingsa.ch

10 1986:4 1988:4 19:4 1992:4 1994:4 1996:4 1998:4 :4 2:4 4:4 6:4 8:4 21:4 212:4 214:4 Share of answers Index points Indicators: single family houses Price indexes SFH Switzerland (47) Offer prices W&P Transaction prices FPRE (av. seg.) Transaction prices W&P Transaction prices IAZI Source: Fahrländer Partner, IAZI, Wüest & Partner. Price indexes SFH (change p.a.) (48) Price indexes SFH Switzerland, market segments (49) % Offer prices W&P Transaction prices FPRE (av. seg.) Transaction prices IAZI Source: Fahrländer Partner, IAZI, Wüest & Partner Transaction prices FPRE (l. seg.) Transaction prices FPRE (up. seg.) Transaction prices FPRE (av. seg.) Trans. prices FPRE (global) Price indexes SFH Zurich region (5) Price indexes SFH Lake Geneva region (51) Offer prices W&P Trans. prices ZH FPRE (av. seg.) Transaction prices W&P ZWEX Offer prices W&P (Lake Geneva reg.) Trans. prices GE FPRE (av. seg.) Trans. prices W&P (Lake Geneva reg.) Trans.prices VD FPRE (av. seg.) Source: Fahrländer Partner, Wüest & Partner. Source: Fahrländer Partner, IAZI, Wüest & Partner. Price expectation single family houses (next 12 months) (52) % % % -% Strongly increasing Strongly decreasing Price expectation index (right column) Increasing Decreasing Note: structural breaks in the 4th quarter 1996 and the 4th quarter 8. Source: HEV Switzerland / FPRE.

11 1986:4 1988:4 19:4 1992:4 1994:4 1996:4 1998:4 :4 2:4 4:4 6:4 8:4 21:4 212:4 214:4 Share of answers Index points Indicators: condominiums Price indexes CON Switzerland (53) Offer prices W&P Transaction prices FPRE (av. segment) Transaction prices W&P Transaction prices IAZI Source: Fahrländer Partner, IAZI, Wüest & Partner. Price indexes CON (change p.a.) (54) Price indexes CON Switzerland, market segments (55) Offer prices W&P Transaction prices FPRE (av. segment) Transaction prices IAZI Source: Fahrländer Partner, IAZI, Wüest & Partner. Transaction prices FPRE (l. segment) Transaction prices FPRE (up. segment) Transaction prices FPRE (av. segment) Transaction prices FPRE (global) Price indexes CON Zurich region (56) Price indexes CON Lake Geneva region (57) Offer prices W&P Transaction prices W&P Offer prices W&P (Lake Geneva reg.) Trans. prices W&P (Lake Geneva reg.) Trans. prices ZH FPRE (av. segment) ZWEX Transaction prices GE FPRE (av. seg.) Transaction prices VD FPRE (av. seg.) Source: Fahrländer Partner, Wüest & Partner. Source: Fahrländer Partner, IAZI, Wüest & Partner. Price expectation condominiums (next 12 months) (58) % % % - -% - Strongly increasing Strongly decreasing Price expectation index (right column) Increasing Decreasing Note: structural breaks in the 4th quarter 1996 and the 4th quarter 8. Source: HEV Switzerland / FPRE.

12 Cyclical outlook from an owner view: private property Single family houses - Switzerland (59) Demand Supply Market values Lower segment Average segment Upper segment Single family houses (average segment) - regional (6) Demand Supply Market values Lake Geneva Jura Swiss plateau (Mittelland) Basel Zurich Eastern Switzerland Alpine area Southern Switzerland All valuations are done from a owner/seller perspective. The circles describe the actual situation: green: unproblematic situation; yellow: some problems; red: problematic situation. Arrows describe the forecast for the following 12 months. : expected improvement; : stable; : expected aggravation. Helptext to the valuations: Condominiums - Switzerland (61) Demand Supply Market values Lower segment Average segment Upper segment Condominiums (average segment) - regional (62) Lake Geneva Demand Supply Market values Jura Swiss plateau (Mittelland) Basel Zurich Eastern Switzerland Alpine area Southern Switzerland All valuations are done from a owner/seller perspective. The circles describe the actual situation: green: unproblematic situation; yellow: some problems; red: problematic situation. Arrows describe the forecast for the following 12 months. : expected improvement; : stable; : expected aggravation. Helptext to the valuations:

13 Sources and glossary Glossary Note Indicator Source Data as of 1 quoted rent 1-5 room apartment Wüest & Partner 4th quarter 215 Market rents rented apartments (total) Fahrländer Partner 4th quarter quoted rent office space Wüest & Partner 4st quarter 215 Market rents office (total) Fahrländer Partner 4th quarter Wüest & Partner 215 IAZI 4th quarter 215 Average segment Fahrländer Partner 4th quarter Cf. forecast below 8-11 Cf. meta analysis economy Fahrländer Partner Link 12 Quarterly figure of monthly data FSO, SEM 4th quarter SEM Oct FSO, FOM Immobilien-Almanach Schweiz 216 FSO, FOM Realmatch Cf. forecast below 18 Nominal change compared to same quarter of previous year Credit Suisse, SBV 4th quarter SBV 4th quarter FSO, FOM 2nd half year Cf. meta analysis economy Fahrländer Partner Link 22 Cf. meta analysis economy Fahrländer Partner Link 23 SNB SNB Oct Fahrländer Partner 4th quarter SNB/W&P 2nd half year Homegate Wüest & Partner 2nd quarter 215 4th quarter HEV Schweiz/FPRE 4th quarter Fahrländer Partner 1st quarter Fahrländer Partner 4th quarter SNB/W&P 2. half year CSL Immobilien HEV Schweiz/FPRE Fahrländer Partner 4th quarter 215 1st quarter Fahrländer Partner 4th quarter 215 Wüest & Partner 215 IAZI 4th quarter HEV Schweiz/FPRE 4th quarter Fahrländer Partner 4th quarter 215 Wüest & Partner 215 IAZI 4th quarter HEV Schweiz/FPRE 4th quarter Fahrländer Partner 1st quarter 216 Forecasts The Swiss Real Estate Market Credit Suisse 215 Immobilien-Almanach Schweiz 216 Fahrländer Partner 216 Immomonitoring Wüest & Partner 216 I 1 Hochbauprognose BAKBASEL 213

14 Impressum Disclaimer Impressum Fahrländer Partner Raumentwicklung (FPRE) elaborates the meta analysis real estate with highest care. Despite this, it is not possible to guarantee the accuracy, correctness, timeliness and completeness of all the information. Also check original sources. The economic data can be found in the current meta analysis economy. The meta analysis real estate is compiled based on the newest available data. Authors: Jaron Schlesinger, Raphael Schönbächler and Carmen Kneubühler You can subscribe for free to the meta analysis real estate: Sponsoring Contact The meta analysis economy is a free service offered by Fahrländer Partner Raumentwicklung. We offer you the possibility to appear as a sponser in this publication. Please contact us. Fahrländer Partner AG Raumentwicklung Eichstrasse Zürich meta@fpre.ch

Rented apartments: market and quoted rent indexes Switzerland (1) Office space: market and quoted rent indexes Switzerland (2)

Rented apartments: market and quoted rent indexes Switzerland (1) Office space: market and quoted rent indexes Switzerland (2) Meta analysis real estate - UBS: The appreciation of the Swiss Franc has lowered the competitiveness of Swiss economy. The Swiss owneroccupied housing market will be affeced only slightly by this economic