Definition of terms

Income statement

Potential rental income: Rental income based on the contractual rents and rental income of vacant space based at market rent.

EBITDA: Earnings before interest and taxes (EBIT) excluding net changes in market value of investment properties, result from the sale of investment properties and depreciation.

EPRA Earnings: Earnings excluding net changes in market value of investment properties, result from the sale of investment properties, changes in fair value of derivative financial instruments and non-controlling interests.

Balance sheet

Market value of investment properties: The market value of investment properties as assessed by independent external real estate appraisers.

Key figures per share

Number of outstanding shares: Number of shares of Züblin Immobilien Holding AG in issue less treasury shares. In the case of figures relating to the balance sheet the number of treasury shares at the balance sheet date is deducted, while in the case of the income statement, the average number of treasury shares is used.

EPRA Earnings: EPRA Earnings divided by average number of outstanding shares.

EPRA Net Reinstatement Value (NRV): Assumes that entities never sell assets and aims to represent the value required to rebuild the entity.

EPRA Net Tangible Assets (NTA): Assumes that entities buy and sell assets, thereby crystallising certain levels of unavoidable deferred tax.

EPRA Net Disposal Value (NDV): Represents the shareholdersʼ value under a disposal scenario, where deferred tax, financial instruments and certain other adjustments are calculated to the full extent of their liability, net of any resulting tax.

Portfolio

Annualized rental income: Annualized rental income based on the contractual rents passing at the balance sheet date. This amount does not include any recoverable costs which can be charged to tenants.

Annualized gross rental income: Annualized rental income of vacant space based at market rent at balance sheet date added to annualized rental income.

Estimated market rental value (ERV): All rentable space of the whole portfolio calculated at market rent.

Investment properties available for lease: Investment properties excluding redevelopment projects and investment properties held for sale.

Analysis of the various yields on rental income

Gross Initial Yield: Ratio of annualized gross rental income to the investment properties of the investment properties available for lease as of the balance sheet date.

EPRA Gross Initial Yield: Ratio of annualized rental income of investment properties available for lease to the investment properties available for lease inclusive of the estimated sale transaction cost as of the balance sheet date.

EPRA Net Initial Yield (NIY) : Ratio of annualized rental income excluding real estate expenses and maintenance and repairs of investment properties available for lease to the market value of the investment properties available for lease inclusive of the estimated sale transaction costs as of the balance sheet date.

Analysis of the vacancy levels

Estimated annual rental income of vacant space: Vacant space in m₂ calculated at market rent.

EPRA Vacancy rate: The estimated annual rental income of vacant space divided by the estimated market rental value of the whole portfolio.

Vacancy rate (m₂): Vacant space as of the balance sheet date divided by the rentable space.

Sustainability

Energy reference area (EBF): The sum of all floor areas above and below ground that are located within the thermal building envelope and for which heating or air conditioning is required.