P R E S S R E L E A S E

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1 P R E S S R E L E A S E Realogis publishes market report on the letting of logistics properties and industrial sites in the greater Munich area for Take-up in 2018 repeats high prior-year level - Take-up distribution: Existing properties 71%, new builds 15%, brownfield 13% - Larger units in excess of 5,000 sqm account for 60% of take-up for the year - Retail overtakes logistics as the sector with the highest take-up - Two new project developments fully let well before completion - Muted forecast for 2019: Average take-up anticipated depending on building rights for two major projects in eastern Munich Munich, 15 January 2018 The Greater Munich area enjoyed another successful year in Despite long-standing space shortages and a vacancy rate of less than 1%, the letting volume for warehouse, logistics and production space across all market participants amounted to 289,500 sqm in the past year. This was in line with the two highest figures in the last five years (2014 and 2017: 290,000 sqm) and 7% above the five-year average (271,300 sqm). According to the latest analysis by Realogis, existing properties made the largest contribution to the strong take-up in the past year (71%, 205,900 sqm), followed by new builds (15%, 44,600 sqm) and brownfield developments (13%, 39,000 sqm). Two project developments in Moosburg were fully let well ahead of completion (MP Holding to Rhenus, Garbe to Amazon). Newly built properties accounted for a total of 21,000 sqm. The highest letting performance was again recorded in the North region at 43% (125,500 sqm), followed by the East region at 28% (81,000 sqm). At 15% (44,000 sqm), the West region was down on the previous year (19%, 55,100 sqm), as the commercial district in

2 Olching and Bergkirchen which accounted for a large proportion of take-up in the West region in previous years is now fully developed and let. 39,000 sqm (14%) of space was let in the South region. Rental units in the size category over 5,000 sqm made the largest contribution to the strong take-up in 2018, noted Oliver Raigel, Managing Director of Realogis Immobilien München GmbH. At 177,000 sqm, this category accounted for 61% of total take-up. The top deals included the leases signed with Dachser in Kirchheim (14,000 sqm), Rhenus in Moosburg (12,900 sqm) and Schustermann & Borenstein in Aschheim (12,000 sqm). A quarter of take-up was attributable to units between 1,001 and 3,000 sqm, while the 3,001 to 5,000 sqm category accounted for 10% (29,600 sqm). Strong consumer demand means that retail, including e-commerce, has overtaken logistics as the sector with the highest take-up in the Munich region, commented Irina Lysenko, research analyst at the Realogis Group. According to the Realogis report, companies from this user group concluded leases for 110,000 sqm of space and contributed to 38% to total take-up (2017: 35%). Almost 40% of this retail take-up was attributable to e-commerce, including the 11,000 sqm lease concluded with Rewe in Feldkirchen. The logistics sector took second place with 30% or 87,900 sqm of total takeup, followed by industrial companies (25%, 73,100 sqm).

3 With space becoming steadily more scarce and competition for the available space increasing, the Munich logistics property market saw the highest prime rents in Germany at EUR 7.25/sqm for new builds in the region around Munich. This means that prices have risen by 12% over the past five years and by 1% compared with the previous year. Average rents for new builds in the region around Munich increased by 13% year-on-year to EUR 6.75/sqm. Muted forecast for 2019: Due to the supply-side shortage, the logistics expert Realogis is forecasting take-up of between 250,000 and 300,000 sqm in the current year. This will depend on whether two major projects in eastern Munich that are currently in the process of obtaining building rights can be realised. Potential tenants from retail, logistics and industry are already lined up, commented Oliver Raigel. Without these two projects, the total letting volume for 2019 would be less than 200,000 sqm on account of the shortage of available space, with almost no new building projects on the horizon. This scenario would also lead to a further rise in rents.

4 Greater Munich market area Munich, the capital of the German state of Bavaria, is one of the world s leading economic centres and is characterised by a broad and balanced business and economic structure. Realogis includes all relevant available storage, logistics, industrial and production spaces within a 50-km radius of Munich. Due to its central position in Europe, the greater Munich area has an excellent transport infrastructure including eight motorways (A8, A9, A92, A94, A95, A96, A995 and A99), an airport and freight transport by rail. Purchases, developments and investments by owner-occupiers are not included. Graphics Graphics can be printed free of charge citing the source: Realogis Pioneers in logistics since 2005: Realogis Realogis is the leading German consulting company for letting and investments in industrial, logistics and commercial properties in Germany. Realogis provides nearly 60 experts looking after the real estate needs of national and international companies and private and institutional investors. The Realogis Group is operating its own branches at the key German logistics locations. Active throughout Germany since 2005, the first mover in the growth market of logistics real estate reported a turnover of nearly EUR 13.5 million in 2018.

5 Realogis press contact: Silke Westermann, Senior PR Consultant SH/Communication Public Relations Agency Fritz-Vomfelde-Str. 34, Düsseldorf, Germany Tel: +49/211/ , Fax: +49/211/ Realogis company contact: Kathrina Weiss Realogis Holding GmbH Rundfunkplatz 4, Munich, Germany Tel: +49/89/