INVESTOR PRESENTATION Q II 2019 GODEWIND IMMOBILIEN AG BERLIN - - PowerPoint PPT Presentation

INVESTOR PRESENTATION

Q II 2019

GODEWIND

IMMOBILIEN AG BERLIN

The presentation, including any printed or electronic copy of these slides, the talks given by the presenters, the information communicated during any delivery of the presentation and any question and answer session and any document or material distributed at or in connection with the presentation (together, the “Presentation”), has been prepared by Godewind Immobilien AG (the “Company”) and is not an offer of any securities or invitation to purchase any securities. The Presentation is provided for general information only and does not purport to contain all the information that may be required to evaluate the Company. The information in the Presentation is subject to updating, completion, revision and verification. No reliance may be placed for any purpose whatsoever on the information or opinions contained or expressed in the Presentation or on the accuracy, completeness or fairness of such information and opinions. To the extent permitted by law, no undertaking, representation or warranty or other assurance, express or implied, is made or given by or on behalf of the Company or any of its directors, officers, partners, employees, agents, affiliates, representatives or advisers, or any other person, as to the accuracy, completeness or fairness of the information or opinions contained in the Presentation. None of the Company, its affiliates, advisers, agents or any other party undertakes or is under any duty to update the Presentation or to correct any inaccuracies which may become apparent or to provide you with any additional information. No responsibility or liability is accepted by any such person for any errors,

• missions or inaccuracies in such information or opinions or for any loss, cost or damage suffered or incurred, however arising, directly or indirectly, from any use
• f, as a result of the reliance on, or otherwise in connection with, the Presentation. In addition, no duty of care or otherwise is owed by any such person to

recipients of the Presentation or any other person in relation to the Presentation. The Presentation includes statements that are, or may be deemed to be, forward-looking statements. The words “believes”, “expects”, “may”, “will”, “could”, “should”, “shall”, “risk”, “intends”, “estimates”, “aims”, “plans”, “predicts”, “continues”, “assumes”, “positioned” or “anticipates” and similar expressions (or their negative) identify certain of these forward-looking statements. These statements are based on the current views, expectations and assumptions of the management of the Company and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. Actual results, performance or events may differ materially from those described in such statements due to, among other things, changes in the general economic and competitive environment, risks associated with financial markets, exchange rate fluctuations and competition from other companies, changes in laws and regulations affecting the Company and other factors. The Company does not assume any obligations to update any forward-looking statements. The Presentation includes statistics, data and other information from third-party sources. While the Company believes that these sources are reliable, the Company has not independently verified the data contained therein. Accordingly, undue reliance should not be placed on any of the third-party statistics, data and other information contained in the Presentation. The distribution of this Presentation in certain jurisdictions is restricted by law. Therefore, it must not be distributed, published or reproduced (in whole or in part)

• r disclosed by its recipients to any other person for any purpose, other than with the consent of the Company. All trademarks remain the property of their

respective owners. By attending any delivery of the Presentation, you agree to be bound by the above limitations and conditions and, in particular, you represent, warrant and undertake to the Company that: (i) you will not forward the Presentation to any other person or reproduce or publish this document, in whole or in part, for any purpose; and (ii) you have read and agree to comply with the contents of this notice.

GODEWIND

IMMOBILIEN AG BERLIN

DISCLAIMER

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 3

WHAT IS SPECIAL ABOUT US PLATFORM FOR INVESTORS IN GERMAN COMMERCIAL REAL ESTATE

100% OFFICE

269,510 (sqm)

• Pure office portfolio in Germany
• Only A cities/locations, value-add

and Core(+) only

• Selected assets which perfectly fit
• ur strategy

1

SUPERIOR ORGANIC GROWTH

more than 75% value upside*

• Strong organic NAV growth-

potential in value-add segment

• Vacancy reduction and market

rents as NAV drivers

2

NO STRUCTURAL VACANCY

28% vacancy

• Asset by asset acquisitions mean

no assets with structural vacancy

• Occupancy rate of 72% for

portfolio can be increased to ‘fully let‘

3

ATTRACTIVE FINANCING STRUCTURE

+ € 355 m tax loss carryforwards

• Financing of ~1.5% for

5 years envisaged, low amortization payments

• Solid net LTV-target of 45-55%
• € 180m corporate tlcf, € 175m

commerical tlcf, € 133m contribution account

5

MAXIMUM TRANSPARANCY

full details on every single asset

• Full set of EPRA numbers
• KPIs down to each individual

property

6

MANAGEMEMT AS MAJOR SHAREHOLDERS

family and friends with >30% stake

• CEO holds around 6%

(12% incl. financial Instruments)

• Family and friends together

account for about 37%

7

NO LEGACIES

9 selected properties

• Company built from scratch – no

legacy portfolio

• No legal or corporate legacies

4

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 4

WHO WE ARE GODEWIND IMMOBILIEN AG

“Our Goal is to become the Preferred Platform for Investors in German Office Real Estate.”

ABOUT GODEWIND

• Stock-listed commercial real estate

company with focus on office.

• Successful blind pool IPO on 5 April

2018 raising € 375m

• Vision is to create an office real

estate portfolio of around € 3bn in the mid term.

• First acquisitions with a volume of

around € 740m executed.

• Seasoned management team as a

significant stakeholder with sustained track record for creating shareholder value and transaction volume of more than € 20bn.

AKQUISITION-STRATEGY

• Focus on office properties and mixed commercial portfolios with

earnings potential - *other assets than office for disposal

• Attractive assets with value potential and stable cash flows
• Extensive and long-established network creates opportunities

for off-market transactions and bidding processes

PORTFOLIO-STRATEGY

• Creating a portfolio with focus on office properties
• Value creation through inhouse active asset-management
• Consistent realization of development and appreciation

potential

• Disposal of non-office assets

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 5

ROADMAP SINCE IPO ON TRACK TO BUILD A LEADING GERMAN COMMERCIAL REAL ESTATE PLATFORM

BUSINESS CONCEPT AND IPO-TEAM IPO AT FRANKFURT STOCK EXCHANGE EXPANSION OF MANAGEMENT TEAM FIRST ACQUISITIONS OF PROPERTIES ASSET MANAGEMENT OPTIMIZING PORTFOLIO FUTURE ACQUISITIONS FROM PIPELINE

Our path towards a sound and profitable commercial property portfolio

• Development of a unique acquisition and portfolio strategy based on the

“blind pool IPO concept”

• IPO-team with strong partners, e.g. Citigroup, J.P. Morgan
• First successful real estate “blind pool IPO” in Germany listed in Prime Standard
• Issue proceeds of € 375m. Traded on Xetra since 5 April 2018
• New senior managers in finance and asset management
• Due diligence for more than € 2bn of assets
• First acquisitions worth around € 740m signed since October
• Portfolio entirely consists of office properties with significant upside

in attractive locations

• Further portfolio and asset acquisitions from pipeline.
• Mixed commercial portfolios and selective asset by asset approach

from € 2bn + pipeline.

• Active asset management for realization of value-add potential
• Focus on generating long-term and stable income streams for our investors

Q1 18 Q2 18 Q3 18 Q4 18 2019 2019

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 6

ACQUISITIONS OVERVIEW – 100% OFFICE VOLUME OF MORE THAN EUR 700M ACQUIRED IN JUST ABOUT 4 MONTHS

37,0 35,0 40,0 17,7 19,1 20,2 0% 5% 10% 15% 10 20 30 40 2008 2013 2018

Frankfurt

22,5 27,5 28,0 12,8 14,3 16,2 0% 5% 10% 15% 10 20 30 40 2008 2013 2018

Dusseldorf

INVESTMENT PORTFOLIO SIZE (sqm)

269,510

RENTAL INCOME* (€ m)

35.4/€ 14.4**

VACANCY RATE

28%

WALT

4.8 years

NET PURCHASE PRICE (€ m)

707.6 / € 2,626 (per sqm)

GROSS INITIAL YIELD

5%

Dusseldorf

2 properties 6% of total rent

Cologne Frankfurt

3 properties 51% of total rent

Leipzig Munich

2 properties 7% of total rent

23,5 24,0 28,0 13,6 14,1 16,0 0% 5% 10% 15% 10 20 30 40 2008 2013 2018

Hamburg

Prime rent (€/sqm/mth) Average rent (€/sqm/mth) Vacancy rate (%)

30,5 31,5 39,0 14,3 15,2 18,9 0% 5% 10% 15% 10 20 30 40 2008 2013 2018

Munich

Godewind‘s Investment Market – Locations of all 9 assets

Hamburg

2 properties 36% of total rent

Berlin

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 7

CONCENTRATION ON 4 TOP REGIONS PORTFOLIO DATA

Office by Office Lettable Area (m²) Vacancy Rate Rental Income

• p. a. (€m)

Average Rent €/m²

• p. m.

(office) Market Rent €/m²

• p. m.

(office)* WALT (years) Net Purchase Price (€m) Net Purchase Price €/m² Gross Yield Gross Purchase Price (€m) Core(+) ComCon, Frankfurt 16,264 12.3% 2.0 10.89 13.50 2.9 33.5 2,060 6.0%

35.8

Airport Center, Dusseldorf 13,077 16.6% 1.8 13.28 14.00 3.7 40.0 3,059 4.6%

42.9

Pentahof, Hamburg 24,747 0.0% 3.0 9.41 10.50 4.6 60.6 2,449 4.9%

63.7

Zeughaus, Hamburg 43,522 10.6% 7.3 13.10 14.50 3.1 153.0 3,515 4.8%

160.0

Subtotal Core(+) 97,610 9.9% 14.1 11.71 13.20 3.5 287.1 2,941 4.9%

302.4

Value-Add FAC, Frankfurt 48,495 19.5% 10.0 20.70 21.00 5.8 168.0 3,490 5.9%** 168.3 Sunsquare, Munich 18,820 62.8% 0.8 11.47 12.00 3.4 30.5 1,621 2.6% 32.2 Eight Dornach, Munich 17,612 51.1% 1.1 9.96 12.50 4.0 30.0 1,703 3.6% 32.2 Y2, Frankfurt 31,256 35.3% 2.7 11.12 12.00 5.2 52.0 1,681 5.2% 55.3 Herzog-Terrassen, Dusseldorf 55,717 45.4% 6.7 18.99 20.50 6.2 140.0 2,513 4.8% 149.4 Subtotal Value-Add 171,900 38.7% 21.3 16.81 17.10 5.7 420.5 2,446.2 5.1% 437.4 Total 269,510 28.0 % 35.4 14.41 15.60 4.8 707.6 2,626 5.0% 739.8

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 8

ACQUISITION I – COMCONCENTER – FRANKFURT CLOSING 31 OCTOBER 2018

HIGHLIGHTS

• Asset Deal, closing 31 October 2018
• An indicative valuation puts the value of the property

at € 40.2m, which represents a multiple of 19.7x, equivalent to a Lucky-Buy effect of € 4.4m (based on the gross purchase price of € 35.8m).

• The property also includes 1,090 square metres of

vacant office space, which is currently at the enhanced shell stage of construction. This space will be let before the construction works are finished.

• The Niederrad district has become an important
• ffice location in Frankfurt in recent years. Demand

for office space in this strategically attractive location between the airport and the city centre has risen steadily in recent years and the high vacancy rates of the past have been reduced significantly.

PROPERTY KPIs as per acquisition

YEAR OF CONSTRUCTION

2002

NET PURCHASE PRICE

€ 33.5m/2,060 €/m²

RENTAL INCOME p.a. (1)

€ 2.0m

YIELD/MULTIPLE (2)

6.0%/ 16.4x

LETTABLE AREA

16,264 m²

PARKING SPACES

374 (161/ 213)

• AVG. RENT/m2 (office)

€ 10.50 p.m.

MARKET RENT (office)

€ 13.50 p.m.

WALT (Years as of 1.01.2019)

3.1

VACANCY RATE (area)

12.3%

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 9

ACQUISITION II – AIRPORT BUSINESS CENTER – DUSSELDORF CLOSING 30 NOVEMBER 2018

HIGHLIGHTS

• Asset Deal, closing 30 November 2018
• An indicative valuation puts the value of the

property at € 43.0m, which represents a multiple of 20.1x.

• As of April 2019 the property will also have 1,994

square metres of vacant office space, which is currently let for € 12.42 per square metre. This vacant space is to be let for around € 14.00 per square metre, per month.

• The Airport Business Center is located right at the exit

from the A52 motorway and benefits from excellent connections to both the motorway network and Düsseldorf International Airport. The Airport subsegment is currently seeing continuous enhancement, which is reflected in steadily rising prime rents.

YEAR OF CONSTRUCTION

2003

NET PURCHASE PRICE

€ 40.0m/3,059 €/m²

RENTAL INCOME p.a.

€ 1.8m

YIELD/MULTIPLE (1)

4.6%/21.7x

LETTABLE AREA

13,077 m²

PARKING SPACES

256 (153/103)

• AVG. RENT/m2 (office)

€ 13.00 p.m.

MARKET RENT (office)

€ 14.00 p.m.

WALT (Years as of 1.01.2019)

3.9

VACANCY RATE (area)

16.6%

PROPERTY KPIs as per acquisition

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 10

ACQUISITION III – SUNSQUARE – KIRCHHEIM/MUNICH CLOSING 15 DECEMBER 2018

HIGHLIGHTS

• Asset Deal, closing 15 December 2018
• Advanced negotiations are in progress with one of

the biggest rehabilitation center operators in Germany about the construction of a convalescent home on the site.

• An indicative valuation puts the value of the property

at € 37.1m, which represents a multiple of 46.2x, equivalent to a “lucky-buy” effect of € 4.9m (based on the gross purchase price of € 32.2m).

• The office complex is located in Kirchheim-

Heimstetten, a prosperous suburb of Munich. Its proximity to Munich and the optimal infrastructure have persuaded many well-known companies to settle down in the immediate vicinity.

YEAR OF CONSTRUCTION

2000

NET PURCHASE PRICE

€ 30.5m/1,621 €/m²

RENTAL INCOME p.a.

€ 0.8m

YIELD/MULTIPLE (1)

2.6%/38.0x

LETTABLE AREA

18,820 m²

PARKING SPACES

683 (249/434)

• AVG. RENT/m2 (office) (2)

€ 11.47 p.m.

MARKET RENT/m2 pcm (office) (3)

€ 12.00 p.m.

WALT (Years as of 1.01.2019)

3.7

VACANCY RATE (area)

62.8%

PROPERTY KPIs as per acquisition

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 11

ACQUISITION IV – FRANKFURT AIRPORT CENTER CLOSING 28 DECEMBER 2018

HIGHLIGHTS

• Share Deal, closing 28 December 2018
• Two new anchor leases (8,910 square metres or 18.5%
• f the lettable area and € 1,736k rent p.a.) already

signed with tenants from the aviation industry.

• Refurbishment of rental areas is in progress,

completion expected for April and July 2019.

• An existing financing of € 88.0m is included in the
• transaction. Additionally a total sum of € 27.0m which

is available for capex and tenant fittings.

• The Frankfurt Airport Center is a unique asset with a

direct link to the Terminal 1 of the Frankfurt airport. It also benefits from excellent connections to the motorway- and railway-network. The Airport subsegment has seen continuous enhancement over recent years, which is reflected in steadily rising prime rents.

YEAR OF CONSTRUCTION

1988/2016

NET PURCHASE PRICE (1)

€ 168.0/3,490 €/m²

RENTAL INCOME p.a. (2)

€ 10.0m

YIELD (1)/MULTIPLE (3)

5.5%/18.2x

LETTABLE AREA

48,495 m²

PARKING SPACES

183

• AVG. RENT/m2 (office)

€ 20.70 p.m.

• AVG. MARKET RENT/m2 (office)

€ 21.00 p.m.

WALT (Years as of 1.01.2019)

6.1

VACANCY RATE (area)

19.5%

PROPERTY KPIs as per acquisition

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 12

ACQUISITION V – PENTAHOF – HAMBURG CLOSING 31 JANUARY 2018

HIGHLIGHTS

• Asset Deal, closing 31 January 2019
• An indicative valuation puts the value of the property

at € 64.2m, which represents a multiple of 21.7x.

• Major tenant with 98% of the overall space is an

international oil company with top credit rating. However the space used by the major tenant, declined gradually over the past few years and currently is at 89% due to sub-letting.

• The annualised funds from operations (FFO) before
• verheads are more than € 2.13m. This represents an

initial FFO yield of about 7.7 per cent before

• verheads.
• The Pentahof is located in the subsegment Hamburg

Fuhlsbüttel/Airport and benefits from excellent connections to both the motorway A7 and Hamburg International Airport. The asset is very flexible and can be used as multi- or single tenant property.

YEAR OF CONSTRUCTION

1997

NET PURCHASE PRICE

€ 60.6m/2,449 €/m²

RENTAL INCOME p.a.

€ 3.0m

YIELD/MULTIPLE (1)

4.9%/20.4x

LETTABLE AREA

24,747 m²

PARKING SPACES

460 (113/347)

• AVG. RENT/m2 pcm (office)

€ 9.41 p.m.

• AVG. MARKET RENT/m2 (office)

€ 10.50 p.m.

WALT (Years as of 1.01.2019)

4.8

VACANCY RATE (area)

0.0%

PROPERTY KPIs as per acquisition

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 13

ACQUISITION VI – QUARTIER AM ZEUGHAUS – HAMBURG CLOSING 30 APRIL 2019

HIGHLIGHTS

• Asset Deal, signed in December 2018
• An indicative valuation puts the value of the

property at € 164m, which represents a multiple of 24.5x.

• Major tenants are telecoms, media-groups, leasing

companies, hospital service and other service providers.

• The asset offers short term upside potential due to a

vacancy rate of 10.6% and market rent of € 14.50 plus per square metre.

• The Zeughaus is located in Hamburg Eppendorf, one
• f the most renown quarters in Hamburg with rising

rents and a very attractive tenant mix. The asset

• ffers very high-quality offices and is very flexible in

terms of usage.

YEAR OF CONSTRUCTION

1927/(2000)/(2008)

NET PURCHASE PRICE

€ 153.0/3,515 €/m²

RENTAL INCOME p.a.

€ 7.3m

YIELD/MULTIPLE (1)

4.8%/21x

LETTABLE AREA

43,522 m²

PARKING SPACES

782

• AVG. RENT/m2 pcm (office)

€ 12.90 p.m.

• AVG. MARKET RENT/m2 pcm (office)

€ 14.50 p.m.

WALT (Years as of 1.01.2019)

3.3

VACANCY RATE (area)

10.6%

PROPERTY KPIs as per acquisition

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 14

ACQUISITION VII – Y2 – FRANKFURT CLOSING 13 FEBRUARY 2019

HIGHLIGHTS

• Asset Deal, closing 13 February 2019
• An indicative valuation puts the value of the property

at € 54m, which represents a multiple of 20x .

• Major tenants are amongst others Jobcenter

Frankfurt, City of Frankfurt, and other service providers.

• The asset offers short term upside potential due to a

high vacancy of 35.7% and market rent of € 12.00 plus, per square metre p.m.

• The Y2 is located in the so called Merton quarter and

benefits from excellent connections to downtown Frankfurt (subway station directly next to the building). The asset is very flexible and can be used for smaller multi-office purpose or as large-office property.

YEAR OF CONSTRUCTION

1997

NET PURCHASE PRICE

€ 52.0m/1,681 €/m²

RENTAL INCOME p.a.

€ 2.70m

YIELD/MULTIPLE (1)

5.2%/19.3x

LETTABLE AREA

31,256 m²

PARKING SPACES

567

• AVG. RENT/m2 pcm (office)

€ 11.12 p.m.

• AVG. MARKET RENT/m2 (office)

€ 12.00 p.m.

WALT (Years as of 1.01.2019)

5.5

VACANCY RATE (area)

35.3%

PROPERTY KPIs as per acquisition

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 15

ACQUISITION VIII – EIGHT DORNACH – ASCHHEIM/MUNICH CLOSING 31 JANUARY 2019

HIGHLIGHTS

• Asset Deal, closing 31 January 2019
• An expected valuation puts the value of the property

at € 50m, once fully let and with an annualised rent of € 2.6m which represents a valuation gain of € 12.3m.

• ‚Eight Dornach‘ benefits from excellent connections

to downtown Munich and is flexibility as it can be used for smaller multi-office purpose as well as a large-office property or a combination of both. It is also only 5 car minutes away from the Munich fair- ground.

• The asset offers short term upside potential due to

high vacancy of 51.1% and market rent of € 12.50 per square metre p.m.

• Eight Dornach is located in the so called business-

park ExpoGate Munich-Dornach directly on the Munich city border.

YEAR OF CONSTRUCTION

1997

NET PURCHASE PRICE

€ 30.0m/1,703 €/m²

RENTAL INCOME p.a.

€ 1.1m

YIELD (1)/MULTIPLE

3.6%/27.5x

LETTABLE AREA

17,612 m²

PARKING SPACES

279

• AVG. RENT/m2 pcm (office)

€ 10.00 p.m.

• AVG. MARKET RENT/m2 (office)

€ 12.50 p.m.

WALT (Years as of 1.01.2019)

4.2

VACANCY RATE (area)

51.1%

PROPERTY KPIs as per acquisition

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 16

ACQUISITION IX – HERZOG-TERRASSEN – DUSSELDORF CLOSING 15 APRIL 2019

HIGHLIGHTS

• Asset Deal, off-market transaction, signed in

January 2019

• The assset is located right in downtown Düsseldorf

just 500m of Königsallee. The former head quarter of WestLB is a now a multi tenant asset with very flexible office space and an upmarket infrastructure.

• The property is located on a 16,300 sqm plot and is

perfectly suitable for tenants from the financial- and service-industry offering security service, inhouse restaurant, coffee shops and one of the largest underground car parks in Dusseldorf.

• An indicative valuation puts the value of the property

at € 180.0m or a multiple of 26.9x. The asset offers short term upside potential due to high vacancy of 51.1% and market rent of € 12.50 per square metre.

• Unique opportunity to extend lease contracts and

reduce vacancy. Strong tenant base of international banks and trading companies.

YEAR OF CONSTRUCTION

1980/2014

NET PURCHASE PRICE

€ 140.0m/2,513 €/m²

RENTAL INCOME p.a.

€ 6.7m

YIELD (1)/MULTIPLE

4.8%/20.8x

LETTABLE AREA

55,717 m²

PARKING SPACES

962

• AVG. RENT/m2 pcm (office)

€ 19.00 p.m.

• AVG. MARKET RENT/m2 (office)

€ 20.50 p.m.

WALT (Years as of 1.01.2019) (1)

6.4

VACANCY RATE (area)

45.4%

PROPERTY KPIs as per acquisition

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 17

VALUE POTENTIAL TO BE UNCOVERED PROPERTY OPPORTUNITIES – SUBSTANTIAL UPSIDE

Detailed potential EPRA NAV Development

380 380 418 490 527 380 38 72 37 149 296

100 200 300 400 500 600 700

IPO NAV Organic Capitalisation

• f TLCFs

Core (+) Uplift Value Add Uplift Future EPRA NAV 454

Office Portfolio

Core(+) Value-Add +-Core(+)

676

Capitalizing of Godewind’s Tax Loss Carryforwards

• Capitalisation based on estimated

tax savings and expected German corporate income tax rate

2

Godewind’s Asset Management

• Uplift of rental income to market

rent via renewal of rental contracts (Core(+) Assets)

• Vacancy reduction at market rent

levels to make full use of the existing potential of the portfolio (Value-Add Assets)

3

Godewind’s Value-Add Strategy / Core(+)

• Reduction of vacancy towards

stabilized levels

• Conservative assumptions on

downtime, rent-free periods as well as Tenant Improvements (TIs)

4

Standalone Asset View

• Acquisition yield of ~5% and entry

LTV of 54%

• Annual indexation of rental income

(1.5%-2.0%)

• No yield compression

1

GODEWIND IMMOBILIEN AG // INVESTOR PRESENTATION MAY 2019 // 18

VALUE CREATION EXAMPLE HERZOG-TERRASSEN, DUSSELDORF

PROPERTY KPIs INVESTMENT RATIONALE

• Asset deal, off-market. Acquired a manage to core icon-asset in

Dusseldorf inner city

• An indicative valuation puts the value of the property at € 180.0m or a

multiple of 26.9x

• Unique opportunity to extend lease contracts and reduce vacancy.

Strong tenant base such as Deutsche Bank, NRW Bank, Oddo, Mitsui.

YEAR OF CONSTRUCTION (modernization)

1980/2014

GROSS PURCHASE PRICE

€ 149.4m/2,681 €/m²

NET PURCHASE PRICE

€ 140.0m/2,513 €/m²

RENTAL INCOME p.a.

€ 6.7m

YIELD/MULTIPLE (1)

4.8%/20.9x

LETTABLE AREA

55,717 m²

• AVG. RENT/m² pcm (office)

€ 19.00 p.m.

• AVG. MARKET RENT/m² (office)

€ 20.50 p.m.

WALT (Years as of 1.01.2019)

6.2

VACANCY RATE (area)

45.4%

BUSINESS EXECUTION PLAN

• Extend and sign new contracts to full occupancy
• Reposition asset through diversified tenant mix and offering large

lettable areas for medium sized national and international companies

• Adjusting current office rent towards market rent
• 100% green electricity as of July 2019

VALUATION UPSIDE

TARGET KPIs AFTER BUSINESS PLAN EXECUTION TARGET MARKET VALUE

€ 225.0m

RENTAL INCOME p.a.

€ 11.5m

GROSS YIELD/MULTIPLE

5.1%/19.5x

INVESTMENT

€ 21.9m

VACANCY RATE (area)

3.0%

INDICATIVE NET APPRECIATION (2)

€ 53.7m/35.9% 1 2 3 4

STAVROS EFREMIDIS CEO INVESTOR RELATIONS GUNNAR JANSSEN +49 69 2713973 213 +49 175 29 76 763 G.JANSSEN@ GODEWIND-AG.COM

GODEWIND

IMMOBILIEN AG KANTSTRASSE 164 10623 BERLIN GERMANY GODEWIND-AG.COM

LEADING IN COMMERCIAL REAL ESTATE