Q1 RESULTS. 8 May 2018

Transcription

1 Q1 RESULTS 8 May 2018

2 Agenda Key Facts and Figures 3 Financial Results Q Portfolio and Vacancy Rate 14 Capital Structure 20 Development Sites and Projects 23 Subsequent Events 35 Outlook 37 Annex 39 PSP Swiss Property I Page 2

3 Property Portfolio (March 2018) Portfolio value CHF 7.3 bn Basel 9% Zurich 56% CHF 0.7 bn CHF 4.0 bn Lausanne 5% CHF 0.4 bn Bern 4% CHF 0.3 bn Geneva 13% CHF 0.9 bn Other locations 6% CHF 0.4 bn In total, 167 investment properties, plus: 4 sites: Residenza Parco Lago, Paradiso; Löwenbräu site, Zurich; Salmenpark, Rheinfelden; Wädenswil site. 7 projects: Rue Saint-Martin, Lausanne; Hardturm-/Förrlibuckstrasse, Zurich; Bahnhofquai/-platz, Zurich; Orion, Zurich; Rue du Marché, Geneva; Spiegel, Köniz; Bahnhof, Rheinfelden. Development sites and projects 8% CHF 0.6 bn PSP Swiss Property I Page 3

4 Current Market Environment Swiss market environment Improving business sentiment; an increasing number of companies is considering expansion and relocation plans; increasing number of start-ups Office rents stabilising on average at about the current levels; lease incentives remain important; still long lease-up times for larger properties Signs of enhanced demand in Zurich CBD, one of our main markets Low demand in Geneva, causing increasing vacancies Outskirts of main cities, peripheral regions and smaller agglomerations: ongoing pressure on rents and incentives Yield compression for prime assets expected to slow down Economic outlook for Switzerland GDP 2.4% 2.0% Inflation 0.6% Unemployment 2.9% 1 Source: SECO, March PSP Swiss Property I Page 4

5 Main Developments Real estate portfolio Portfolio value CHF 7.3bn (up 3.2% compared with December 2017) Integration of prime portfolio from Edmond de Rothschild SA In process of selling Av. des Morgines 8/10, Petit-Lancy, Bernerstr. Süd 167/169, Zurich and Route des Arsenaux 41, Fribourg Stabilisation of rent levels across the portfolio Vacancy and rental situation Vacancy rate of 8.5%, of which 1%-points due to renovations Of all 2018 maturities (CHF 29.1m), 64% renewed Expected vacancy year-end 2018; new 7.5% 1 (compared to 8.5% guided in February 2018) Financing Passing average interest rate 0.97% on 31 March 2018 Low leverage with an adjusted LTV of 32.8% CHF 770m committed unused credit lines as per today Moody s: Issuer Rating A3 (outlook stable) Fitch: Senior Unsecured Rating A- (outlook stable) 1 Please see footnote on slide 37 PSP Swiss Property I Page 5

6 Agenda Key Facts and Figures 3 Financial Results Q Portfolio and Vacancy Rate 14 Capital Structure 20 Development Sites and Projects 23 Subsequent Events 35 Outlook 37 Annex 39 PSP Swiss Property I Page 6

7 Key Figures Consolidated, in CHF m Q Q Ebitda excl. -RE % Net income excl. -RE % Net income % Rental income % Per share, in CHF Q Q EPS % EPS excl. -RE % NAV % 3 NAV before deferred taxes % 3 Share price % 3 Distribution Restated due to IFRS 15, Revenue from Contracts with Customers (recognition of revenues relating to condominium sales). Relevant FY17 P/L positions affected: EBITDA excl. -RE 2 was CHF 242.8m; net income excl. -RE 2 was CHF 178.3m; EPS excl. -RE 2 was CHF Excl. -RE: excluding net changes in fair value of the real estate investments, realised income on sales of investment properties and all of the related taxes. Income from the sale of properties, which were developed by the Company itself, is included. 3 Compared to year-end Ordinary dividend, paid on 11 April PSP Swiss Property I Page 7

8 Consolidated Income (CHF 1 000) Q Q Rental income % 2 Valuation gains Prop. sales revenues (condominiums) Property sales (investment properties) Income from associated companies Capitalised own services Other income Total operating income % 1 Restated due to IFRS 15, Revenue from Contracts with Customers. 2 Like-for-like rental change 0.3%. 3 Of which CHF 1.5m VAT-opting-in effect. 4 Of which CHF 2.3m VAT-opting-in effect. 5 Of which CHF 2.3m VAT-opting-in effect. PSP Swiss Property I Page 8

9 Consolidated Expenses (CHF 1 000) Q Q Properties operating expenses % Properties maintenance/renovation % Personnel expenses % Fees to subcontractors General and administrative expenses % Impairment properties Depreciation Total operating expenses % 1 Restated due to IFRS 15, Revenue from Contracts with Customers. 2 Positive P&L impact of CHF 1.1m property tax refunds in Geneva (non-repeat). 3 Positive P&L impact (IAS 19 revised, defined benefit pension plans) of CHF 1.2m (non-repeat). PSP Swiss Property I Page 9

10 Consolidated Results (CHF 1 000) Q Q Profit before financial expenses % Net financial expenses % Profit before taxes % Taxes Net income % Net income excl. -RE % 1 Restated due to IFRS 15, Revenue from Contracts with Customers. 2 Of which CHF 17.5m current and CHF 26.4m deferred. The relatively low deferred taxes relate to the release in Q of deferred capital gain taxes in the Canton of VD in the magnitude of CHF 17m. The underlying tax rate has been reduced from 21.7% to 13.6%. 3 Of which CHF 5.9m current and CHF 4.1m deferred. 4 Of which CHF 3.2m current and CHF 7.1m deferred. 5 Excl. -RE: excluding net changes in fair value of the real estate investments, realised income on sales of investment properties and all of the related taxes. Income from the sale of properties, which were developed by the Company itself, is included. PSP Swiss Property I Page 10

11 Per Share Distribution (in CHF) For business year * Y-t-y growth n.a. 25.0% 20.0% 10.0% 20.0% 6.0% 4.8% 9.1% 4.2% 8.0% 3.7% 7.1% 6.7% 1.6% 0.0% 1.5% 1.5% 1.5% Payout ratio** 45.5% 52.1% 57.0% 53.6% 71.2% 76.9% 78.0% 86.3% 85.0% 82.7% 84.8% 86.5% 88.9% 85.8% 88.1% 93.8% 89.1% 87.5% Payout yield*** 2.6% 3.9% 4.0% 3.8% 4.0% 3.7% 3.1% 4.2% 4.7% 4.6% 3.7% 3.8% 3.7% 4.3% 3.8% 3.8% 3.8% 3.7% * Ordinary dividend, paid on 11 April ** Payout / EPS excl. -RE (FY 2017: CHF 3.89). *** Payout / share-price year-end (Dec. 2017: CHF 92.35). PSP Swiss Property I Page 11

12 Total Return ( ) Performance since PSP IPO, (total return: dividends reinvested) PSP SXI RE rebased FTSE/EPRA Developed Europe TR Index 376.1% 171.6% 245.9% Source: Bloomberg, PSP Swiss Property I Page 12

13 Agenda Key Facts and Figures 3 Financial Results Q Portfolio and Vacancy Rate 14 Capital Structure 20 Development Sites and Projects 23 Subsequent Events 35 Outlook 37 Annex 39 PSP Swiss Property I Page 13

14 Portfolio and Vacancy Rate 8 12% % 9.1% 9.3% 8.7% 8.3% 8.2% 8.5% 7.5% % 8% 6% 4% 2% 0 Q Q Q Q Q Q Real estate portfolio value in CHF bn. Vacancy rate in % (CHF). Vacancy rate excl. investment properties reclassified to developments in Q4 2016: Lausanne, Rue Saint-Martin 7, 0.4%-points. Vacancy rate excl. development reclassified to investment properties in Q1 2018: Basel, Grosspeter Tower, 1.0%-points. 0% PSP Swiss Property I Page 14

15 Largest Vacancies (March 2018) Properties Vacancy (sqm)* Vacancy rate Actions taken / Status Grosspeter Tower, Basel % New leases signed; reduction to 10% expected Route des Arsenaux 41, Fribourg % Sale and letting in progress Salmencenter, Rheinfelden % Further reduction expected Richtistrasse 5, Wallisellen % Marketing with SPG; new Gurtenbrauerei 10-92, Wabern b. Bern % sqm let starting Q Rue du Grand-Chêne 2, Lausanne % CBRE appointed; leases in negotiations Rue des Bains 31bis, 33, 35, Geneva % Partly under renovation; letting in progress Gerbergasse 5, Zurich % Partly under renovation; SPG appointed Bahnhofplatz 2, Biel/Bienne % New lease signed; further reduction expected Hardturmstrasse 101, 103, 105, Zurich % Leases in negotiation Total investment portfolio % * Ranked by rental value (CHF) of the vacancy. Improvement since Q Deterioration since Q PSP Swiss Property I Page 15

16 Expiry Profile of Leases (March 2018) (Legal termination option by tenants) 18% 16% 14% 16% 12% 10% 12% 11% 14% 11% 8% 9% 6% 4% 2% 7% 10% 4% 6% 0% NL 1% 1% 69% of the Q2-Q maturities (CHF 20.7m) are renewed. 31% of the Q2-Q maturities are still open. 64% of all 2018 maturities (CHF 29.1m) are renewed as per end of March NL: Contracts not limited in time, but subject to notice. PSP Swiss Property I Page 16

17 Changes in Fair Value (March 2018) (CHF m) Q Existing portfolio Acquisitions / first-time valuation Total net changes in fair value From the acquisition of a single property (Locarno, Via Respini 7/9, spa development project). 2 Of which CHF 43.1m from first time adoption IFRS From the acquisition of a single property (Geneva/Cologny, Port Noir, spa development project). 4 From the acquisition of a single property (Basle, Peter Merian-Str. 88/90). 5 From the acquisition of a single property (Urdorf, Heinrich-Stutz-Str. 23/25). 6 From the acquisition of a single property (Zurich, Hardturmstr. 101, 103, 105 / Förrlibuckstr. 30). 7 From the acquisition of nine properties (Edmond de Rothschild (Suisse) S.A. portfolio). PSP Swiss Property I Page 17

18 Changes in Fair Value: Discount Rates (Dec. 2017) Nominal Discount Rate Area Minimum Maximum Weighted Ø Zurich 2.6% 5.3% 3.5% Geneva 3.2% 5.3% 3.8% Basel 3.1% 4.0% 3.7% Bern 3.0% 4.7% 3.6% Lausanne 3.1% 4.6% 3.7% Other locations 3.3% 5.6% 4.4% All areas 2.6% 5.6% 3.6%** Weighted Ø discount rate 4.91%* 4.81%* 4.57%* 3.82** 3.62%** * Nominal discount rate includes 1.0% annual inflation. ** Nominal discount rate includes 0.5% annual inflation. Valuation done by Wüest Partner. PSP Swiss Property I Page 18

19 Agenda Key Facts and Figures 3 Financial Results Q Portfolio and Vacancy Rate 14 Capital Structure 20 Development Sites and Projects 23 Subsequent Events 35 Outlook 37 Annex 39 PSP Swiss Property I Page 19

20 Debt Diversified and stable lender portfolio 10 domestic banks and 1 syndicated loan (with 14 Swiss Cantonal banks) High visibility on debt maturity profile Average loan maturity of 3.1 years Negotiation of loans expiring in 2019 started and partially done CHF 770m unused committed credit lines as per today Rating Moody s: Issuer Rating A3 (outlook stable) Fitch: Senior Unsecured Rating A- (outlook stable) PSP Swiss Property I Page 20

21 Capital Structure Money values in CHF m Q Shareholders equity % - % of total assets 57.5% 57.0% 54.9% 54.0% 54.0% Deferred tax liabilities (net) % of total assets 10.9% 11.1% 10.8% 10.7% 10.7% Interest-bearing debt % - % of total assets 28.9% 29.0% 31.9% 33.7% 33.9% 2 - Loans, unsecured Bonds % long-term 100.0% 87.3% 100.0% 100% 95% Net financial expenses Ø interest rate 1.76% 1.70% 1.42% 1.16% 1.1% 3 Interest coverage ratio 7.8 x 8.0 x 9.1 x 10.0 x 10.2 x Fixed interest rate > 1 year 83.9% 79.7% 96.4% 96.0% 93.7% Ø fixed-interest period in years Restated due to IFRS 15, Revenue from Contracts with Customers. 2 Adjusted LTV of 32.8% (31 Dec. 2017: 31.2%): excl. debt of CHF 125m (31 Dec. 2017: CHF 275m) related to temporary fixed-term deposits. 3 Reflects the average interest rate over the past four quarters. As per 31 March 2018, the passing average rate was 0.97% (31 Dec. 2017: 0.99%). PSP Swiss Property I Page 21

22 Agenda Key Facts and Figures 3 Financial Results Q Portfolio and Vacancy Rate 14 Capital Structure 20 Development Sites and Projects 23 Subsequent Events 35 Outlook 37 Annex 39 PSP Swiss Property I Page 22

23 Project Pipeline CHF 331m to invest going forward 6/2/3 1 Lausanne Rue Saint Martin CHF 13m 2 Zurich Hardturmstrasse/ Förrlibuckstrasse CHF 65m 1 3 Zurich Bahnhofquai/-platz CHF 55m CHF 33m Paradiso Parco Lago Geneva Rue du Marché CHF 80m CHF 30m 6 Zurich Orion CHF 130m sites 7 projects PSP Swiss Property I Page 23

24 Project «Hardturmstrasse / Förrlibuckstrasse» Zurich Under renovation Completion end of 2018 / beginning of 2019 Total renovation of existing building Investment sum approx. CHF 65m (thereof CHF 49.6m spent at Q1 2018) 75% let In advanced negotiations for letting the remaining space Visualisations PSP Swiss Property I Page 24

25 Project «Hardturmstrasse / Förrlibuckstrasse» Zurich (cont.) Letting split Vacant, 25% Telecommunication, 24% Westhive: next generation Co-working Medtech, 10% Other, 16% IT, 7% Co-working, 5% Energy, 6% Government, 7% PSP Swiss Property I Page 25

26 Project «Bahnhofquai/-platz» Zurich (1/2) Under renovation Total renovation (3 stages, investment sum approx. CHF 100m) Stage 1: Bahnhofplatz 1, Bahnhofquai 9/11/15 Completion end of 2019 Investment sum approx. CHF 55m (thereof CHF 11.8 m spent at Q1 2018) Long-term lease signed on 20 April 2018 with anchor tenant No18 (premium co-working brand of IWG, International Workplace Group) 95% pre-let PSP Swiss Property I Page 26

27 Project «Bahnhofquai/-platz» Zurich (2/2) Under renovation Stage 2: Waisenhausstr. 2/4, Bahnhofquai 7 Completion end of 2021 Investment sum approx. CHF 33m (thereof CHF 5.9m spent at Q1 2018) Long-term lease signed in February 2018 with anchor tenant Ruby Hotel & Resorts (concept called Lean Luxury, 210 rooms, opening scheduled for early 2021) 90% pre-let Remaining space will be let to a restaurant, high demand Visualisation Stage 3: Bahnhofplatz 2 Under review Construction period tbd Investment sum approx. CHF 12m PSP Swiss Property I Page 27

28 «Residenza Parco Lago» Paradiso Under construction Completion beginning of 2020, all units to be sold Conversion of existing site (former brewery) New building with mixed use (approx m 2 ): mainly residential units & some office and retail area Investment sum approx. CHF 80m (thereof CHF 8.0m spent at Q1 2018) We expect 25% of the units to be sold by end of Visualisation PSP Swiss Property I Page 28

29 Project «Rue du Marché» Geneva Under construction Comprehensive renovation Completion 2020 Investment sum approx. CHF 30m (thereof CHF 5.1m spent at Q1 2018) Anchor tenant: citizenm (international boutique hotel group) 70% pre-let Strong demand for remaining high street retail space Visualisations PSP Swiss Property I Page 29

30 Project «Orion» Zurich In planning Förrlibuckstr. 178/180, Hardturmstr. 181/183/185 to be replaced by a modern office building Investment sum approx. CHF 130m (construction ), thereof CHF 9.7m spent at Q CBRE appointed as letting agent In discussion with an anchor tenant for 45% of the surface Project «Orion» Project «Hardturmstrasse / Förrlibuckstrasse» PSP Swiss Property I Page 30

31 Project «Orion» Zurich (cont.) Project outline Current situation PSP Swiss Property I Page 31

32 Project «Orion» Zurich, Visualisation (cont.) Visualisations PSP Swiss Property I Page 32

33 Capex and Potential Rental Income Overview (CHF m) expected CAPEX Potential rental income 3 Pre-let in % Project Rue du Marché, Geneva ~ % Project Rue Saint-Martin, Lausanne ~ % Residenza Parco Lago, Paradiso Project Hardturm-/F buckstr., Zurich ~ % Project Bahnhofquai/-platz, Zurich 1, ~ % 4 Project Orion, Zurich ~ 8.5 0% Total development sites ~ thereof committed 52.8 n.a. n.a. Total investment portfolio 35.4 n.a. n.a. 1 Under construction/renovation. 2 In planning. 3 Potential rental income after completion assuming full letting. 4 Relating to properties Zurich, Bahnhofplatz 1, Bahnhofquai 9/11/15 and Waisenhausstrasse 2/4, Bahnhofquai 7. 5 Of which CHF 6.7m passing rental income already earned as of 31 March PSP Swiss Property I Page 33

34 Agenda Key Facts and Figures 3 Financial Results Q Portfolio and Vacancy Rate 14 Capital Structure 20 Development Sites and Projects 23 Subsequent Events 35 Outlook 37 Annex 39 PSP Swiss Property I Page 34

35 Subsequent Events Ordinary Annual General Meeting on 5 April 2018 All proposals of the Board of Directors approved, inter alia: Dividend of CHF 3.40 per share (paid on 11 April 2018, totalling CHF 156m) Luciano Gabriel re-elected as Chairman All other six current members of the Board of Directors as well as the four current members of the Compensation Committee re-elected Re-election of Ernst & Young AG, Zurich, as Statutory Auditors for the 2018 business year, and Proxy Voting Services GmbH, Zurich, as independent shareholder representative Both, Compensation Committee and Audit Committee consist of Peter Forstmoser (Chairman), Adrian Dudle, Nathan Hetz and Josef Stadler Nomination Committee consists of Josef Stadler (Chairman), Corinne Denzler and Adrian Dudle PSP Swiss Property I Page 35

36 Agenda Key Facts and Figures 3 Financial Results Q Portfolio and Vacancy Rate 14 Capital Structure 20 Development Sites and Projects 23 Subsequent Events 35 Outlook 37 Annex 39 PSP Swiss Property I Page 36

37 Outlook 2018 Consolidated EBITDA (excl. changes in fair value) > CHF 235m Vacancy rate portfolio (year-end), new guidance 7.5% 1 1 We are in the process of selling 3 assets: Av. des Morgines 8/10, Petit-Lancy; Bernerstrasse Süd 167/169, Zurich; and Route des Arsenaux 41, Fribourg. A disposal of all mentioned properties would reduce the full-year vacancy guidance by 1.5%-points to 6%. PSP Swiss Property I Page 37

38 Agenda Key Facts and Figures 3 Financial Results Q Portfolio and Vacancy Rate 14 Capital Structure 20 Development Sites and Projects 23 Subsequent Events 35 Outlook 37 Annex 39 PSP Swiss Property I Page 38

39 Board of Directors and Executive Board Board of Directors Luciano Gabriel, 1953, Chairman Corinne Denzler, 1966, Member Adrian Dudle, 1965, Member Peter Forstmoser, 1943, Member Nathan Hetz, 1952, Member Josef Stadler, 1963, Member Aviram Wertheim, 1958, Member Executive Board Giacomo Balzarini, 1968, CEO/CFO Martin Heggli, 1977, COO Adrian Murer, 1974, CIO PSP Swiss Property I Page 39

40 Group Overview (31 March 2018) Executive Board (3) Banking, Capital Market Corporate Communications & IR (2) Legal (4) HR (1) Secretariat (1) Real Estate Investments Property Management* Finance / Operations Asset Management (4) Zurich Office (15) Accounting / Treasury (9) Construction (18) Geneva Office (7) Tax / Controlling (1) Trading (2) Olten Office (10) Analysis / Reporting (1) Property Marketing (4) Projects / Digitalisation (1) IT (5) Number of employees: 89 * Plus number of caretakers: 25 PSP Swiss Property I Page 40 Services (1)

41 PSP Strategy Strategy Switzerland only Commercial properties only Acquisitions to be justified by price and operational logic Risk-conscious financing policy Priority Optimising profitability of existing portfolio Ensuring long-term attractiveness of assets Organic growth Sites development Repositioning of assets to best use Assessing acquisition opportunities and corporate deals PSP Swiss Property I Page 41

42 Why Investing in PSP? Company Premium portfolio with limited downside risk Transparent business model Pure Swiss play Properties with further optimisation potential Financial flexibility to take advantage of market opportunities Acquisition/integration experience Sustainability (economic, ecological, social) Share Liquid stock Attractive payout yield Broadly diversified shareholder structure PSP Swiss Property I Page 42

43 Shareholder Base (31 March 2018) Largest shareholder Alony Hetz: 12.21% Chase Nominees Ltd.: 7.09% BlackRock, Inc.: 5.86% 1 UBS Fund Management (Switzerland) AG: 3.06% 2 T. Rowe Price Associates, Inc.: 3.04% 3 Credit Suisse Funds AG: 3.01% 4 Non-registered, 14% CH, 43% Number of registered shareholders: Individuals: (8% of registered shares) - Legal entities: 962 (92% of registered shares) Other, 12% 1 As per notification 2 September France / BeNeLux, 7% 2 As per notification 13 July As per notification 8 October As per notification 14 February UK, 13% Israel, 12% PSP Swiss Property I Page 43

44 Ebitda % 81.3% 81.5% 80.8% 81.7% 85% % % % 65% 60% Q Q % 50% Ebitda excl. -RE in CHF m. Ebitda margin in %. FY17 & Q1 17: restated due to IFRS 15, Revenue from Contracts with Customers. PSP Swiss Property I Page 44

45 Net Income Components Q Q Net income excl. -RE in CHF m. Contribution of -RE in CHF m. FY17 & Q1 17: restated due to IFRS 15, Revenue from Contracts with Customers. PSP Swiss Property I Page 45

46 EPS Q Q EPS in CHF. EPS excl. -RE in CHF. FY17 & Q1 17: restated due to IFRS 15, Revenue from Contracts with Customers. PSP Swiss Property I Page 46

47 NAV + Cumulative Dividend per Share Q NAV per share in CHF. Payout in CHF, cumulative (allocation according to payment date). PSP Swiss Property I Page 47

48 NAV vs. Share Price Q NAV per share in CHF. Share price in CHF. PSP Swiss Property I Page 48

49 EPRA Performance Measures (CHF or %) EPRA PSP EPRA PSP A. EPS B. NAV C. NNNAV D. topped-up NIY E. Vacancy rate F. Cost ratio G. Like-for-like rental change -1.6 n.a n.a. H. Capex in CHF n.a n.a. 1 Restated due to IFRS 15, Revenue from Contracts with Customers. 2 Excl. direct vacancy costs. PSP Swiss Property I Page 49

50 Portfolio Key Figures Numbers of properties Rental income in CHF m Revaluation in CHF m Value in CHF m Net yield in % Vacancy in % Zurich Q FY Geneva Q FY Basel Q FY Bern Q FY Lausanne Q FY Others Q FY Sites Q n.a. n.a. FY n.a. n.a. Total Q FY PSP Swiss Property I Page 50

51 Rent by Use Other, 11% Gastronomy, 4% Parking, 5% Retail, 17% Office, 63% PSP Swiss Property I Page 51

52 Rent by Type of Tenants Other, 17% Retail, 19% Government, 6% Gastronomy, 8% Services, 18% Technology, 9% Financial Services, 12% Telecommunication, 12% PSP Swiss Property I Page 52

53 Largest Tenants Swisscom, 10% Google, 4% E.d.Rothschild, 2% Roche, 2% Swiss Post, 2% Next five largest, 9% Other, 69% PSP Swiss Property I Page 53

54 Ecological Sustainability Organisation Responsibility: 3 employees (1 asset management, 1 constructions, 1 property management) Implementation: constructions, property management, facility management Key environmental key indicators (specific figure/m 2 ) in 2017 (2016) Heating in kwh: (70.55) Electricity in kwh: (22.25) COe 2 output (heating and electricity) in kg: (12.98) Water consumption in m 3 : (0.495) Specific emissions reduced by 40% since launch of sustainability programme in 2010 Since 2015, reporting according to EPRA sbpr EPRA Gold Award, September 2017 PSP Swiss Property I Page 54

55 Portfolio Grid 1-10: Examples of improvements due to investments ( ) PSP Swiss Property I Page 55 Source: Wüest Partner, December 2017.

56 Zurich Area Bahnhofplatz 9 Bahnhofstr. 66 Bahnhofstr. 81 = Investment properties = Sites and development projects Bahnhofstr. 10 Zurich Seefeldstr. 123 Bahnhofstr. 39 Uraniastr. 9 Brandschenkestr. 90 PSP Swiss Property I Page 56 Bahnhofstr. 28a

57 Geneva Area Rue Richard-Wagner 6 Place du Molard 7 Geneva Rue des Bains 31/33/35 Cours de Rive 13/15 Av. des Morgines 8/10 Rue de la Fontaine 5 = Investment properties = Development project Rue de la Gabelle 6 Rue de la Corraterie 24/26 PSP Swiss Property I Page 57

58 Basel Area Marktplatz 30/30a Freie Strasse 38 Barfüsserplatz 10 St. Alban-Anlage 46 Basel Peter Merian-Str. 88/90 Steinentorberg 8/12 = Investment properties Grosspeterstr. 18/20 Kirschgartenstr. 12/14 Dornacherstr. 210 PSP Swiss Property I Page 58

59 Bern Area Bollwerk 15 Zeughausgasse 26/28 Laupenstrasse 18/18a Bern Kramgasse 49 Seilerstrasse 8 = Investment properties Kramgasse 78 Eigerstrasse 2 Spitalgasse 9 PSP Swiss Property I Page 59

60 Lausanne Area Rue de Sébeillon 2 Rue du Pont 22 Avenue de Sévelin 54 Lausanne = Investment properties = Development project Rue Saint Martin 7 Avenue de Sévelin 40 Place Saint-François 5 Avenue de Cour 135 Place Saint-François 15 PSP Swiss Property I Page 60

61 Contacts Giacomo Balzarini CEO Phone +41 (0) Mobile +41 (0) Vasco Cecchini Corporate Communications & IR Phone +41 (0) Mobile +41 (0) PSP Swiss Property I Page 61

62 Disclaimer None of the information in this presentation constitutes an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration. None of the securities of the Company referred to in this presentation have been or will be registered under the United States Securities Act of 1933, as amended (the "Securities Act"), or under the applicable securities laws of any state or other jurisdiction of the United States. PSP Swiss Property I Page 62