LEADING IN PAN-EUROPEAN REAL ESTATE - Company Presentation | January 2020 - PATRIZIA

 
LEADING IN PAN-EUROPEAN REAL ESTATE - Company Presentation | January 2020 - PATRIZIA
LEADING IN PAN-EUROPEAN REAL ESTATE
Company Presentation | January 2020

PATRIZIA | © 2020
LEADING IN PAN-EUROPEAN REAL ESTATE - Company Presentation | January 2020 - PATRIZIA
Agenda

•     Equity Story
•     Financials 9M 2019
•     Appendix

PATRIZIA | © 2020          2
LEADING IN PAN-EUROPEAN REAL ESTATE - Company Presentation | January 2020 - PATRIZIA
Equity Story

A leading global partner for real estate investment in Europe
Strong track record built over the past 35 years

                     More than                                                            More than

                        35                                                          42bn                                                            Top 10
           years of real estate                                                   assets under                                                      investment manager
               experience                                                       management (EUR)                                                         in Europe1

       Strong local presence:                                                 Strong performance:                                                       Strong potential:

                        24                                                              11%                                                            548m
                offices globally                                                 average IRR for                                                    available liquidity
               serving our clients                                           investments in Europe                                               for investments (EUR)2

Data as at 9M 2019 | 1 According to leading industry ranking by PropertyEU and Institutional Real Estate, both issued in 2019 | 2 Adjusted for temporary consolidation of warehoused assets and liabilities
for Living Cities residential fund, see slide 40

PATRIZIA | © 2020                                                                                                                                                                                             3
LEADING IN PAN-EUROPEAN REAL ESTATE - Company Presentation | January 2020 - PATRIZIA
Equity Story

 PATRIZIA‘s growth driven by client demand
 AUM growth directly translates into growing and strongly recurring management fees

                                                                                                                                                                 +23.0% p.a.
                                                                                                                           320.2       307.0 – 330.0           Total service fee
70
                                                                                                                                                                   income1
                                                                                                                                                         300
60

50                                                                                                       211.9                           180.0 – 185.0         +26.0% p.a.
                                                                                      188.6                               175.3                              Management fees2
40                                                                  165.2
                                                 140.0
                                                                                                                                                         150
30                             117.5
                                                                                       89.1               93.2                                   45.0            +30.5% p.a.
             72.8                                                    81.5                                                   41.0
20                                                68.1                                                                                            –              AUM growth
                                50.1                                                                                                             44.0
             35.6                                                                                         21.9
10                                                                                     18.6
                                                  14.6               16.6
                                11.8
              6.9
 0                                                                                                                                                       0
             2012              2013               2014              2015               2016              2017               2018             2019e

                                   AUM (EUR bn)                 Management fees (EUR m)                    Total service fee income (EUR m)

 1   Management fees, transaction fees, performance fees | 2 Fee income growth below AUM growth as DAWONIA management fee is not linked to AUM

 PATRIZIA | © 2020                                                                                                                                                                 4
LEADING IN PAN-EUROPEAN REAL ESTATE - Company Presentation | January 2020 - PATRIZIA
Equity Story

Predictable management fees and diversified client base
69% of our AUM have a maturitiy of more than 10 years

           Maturity breakdown of AUM1                                                         Equity commitments by clients2

                                                                                                                                                                     76%

                                       2%
                             11%                                                                                                                        61%

                   18%

                                                                                                                                                  29%
                                                       69%
                                                                                                                          20%

                                                                                                      7%
                >10 years/unlimited             5–10 years
                2–5 years
LEADING IN PAN-EUROPEAN REAL ESTATE - Company Presentation | January 2020 - PATRIZIA
Equity Story

Attractive products across all asset and risk classes
Our pan-European investment strategies are designed to best serve our clients’ needs

                               EUR                                                                  sqm
                        42.6                bn                                               18.4                  m
                                                                                                                                                                  47        %
                          Assets under                                                      Real estate assets                                                 Active investment
                          management                                                        under management                                                       strategies

                 11%                                                                        6%                                                                     0.2%
                                                                                     5%
          4%                                                                                                                                            25%
        4%                                                                      8%
                                                                                                                  34%
       5%
                    AUM by                                                                  AUM by                                                            AUM by
                   geography                                                                 sector                                                           risk style         53%
       12%                                                                   21%
                                       64%
                                                                                                                                                        22%
                                                                                                 24%

     Germany                 UK & Ireland                                  Office                  Residential                                   Core                Core plus
                                                                                                   Logistics &
     France & Belgium        Nordics                                       Retail                  Industrial                                    Value add           Opportunistic

                                                                                                   Other (Healthcare,
     Netherlands             Other                                         Infrastructure          Hotel, etc.)

Data as at 9M 2019; AUM based on total real estate/infrastructure under management and administration; AUM by risk style based on vehicle level breakdown

PATRIZIA | © 2020                                                                                                                                                                      6
LEADING IN PAN-EUROPEAN REAL ESTATE - Company Presentation | January 2020 - PATRIZIA
Equity Story

A critical success factor: Local & sector expertise
Creating alpha in today’s market requires insights, patience, local knowledge & active management capabilities

  Outstanding screening and execution skills                                                           Pan-European transactions, asset and development teams

                                                                                                                                                                                    Helsinki

                                                                                                                                                                     Stockholm

                             >   6,000
                                     deals screened                                                                                                                    Copenhagen
                                                                                                                                     Manchester
                                         (2018)                                                                      Dublin                               Hamburg
                                                                                                                                                 Amsterdam

                                                                                                                      Thames Valley
                                                                                                                                                                     Berlin      Warsaw
                                                                                                                                          London         Frankfurt
                                                                                                                                              Brussels
                                                                                                                                                                Augsburg (HQ)

                                                                                                                                               Paris                 Munich

               >   75
         transactions made
                                                                  3
                                                              ~ days
                                                          on average 1 transaction
                                                                                                                                                            Milan

               (2018)                                     completed every 3 days
                                                                                                                        Madrid

Information as at H1 2019 ⚫ Local Asset & Development Management professionals (incl. local country teams) ⚫ Transactions professionals

PATRIZIA | © 2020                                                                                                                                                                          7
LEADING IN PAN-EUROPEAN REAL ESTATE - Company Presentation | January 2020 - PATRIZIA
Equity Story

Real estate investment management market is growing
We are benefiting from the structural growth market for real estate investment management

  Demographic change                                                  Our clients’ capital is
  Aging population threatens conventional pension                     growing
  systems

  Lower for longer                                                    Increasing allocations to
  Low interest rate environment is here to stay                       real estate

  Consolidation                                                       Clients reduce number of
  Clients focus on selected pan-European platforms                    investment managers
  with broad product offering

PATRIZIA | © 2020                                                                                 8
LEADING IN PAN-EUROPEAN REAL ESTATE - Company Presentation | January 2020 - PATRIZIA
Equity Story

Leading investment managers benefit from structural growth
Investors are consolidating the number of managers they invest with

                                                             EUR 32bn
                                                             of AUM needed to be
                                               +113%          amongst the Top 10

                                              in six years
                    EUR 15bn
                    of AUM needed to be
                     amongst the Top 10                                            ✓ With EUR 42bn+ PATRIZIA
                                                                                     is currently well positioned
                                                                                   ✓ Ready for further growth in
                                                                                     order to stay relevant for
                                                                                     our clients

                           2012                                   2018

Source: www.irei.com; only assets in Europe

PATRIZIA | © 2020                                                                                                   9
LEADING IN PAN-EUROPEAN REAL ESTATE - Company Presentation | January 2020 - PATRIZIA
Equity Story

Proven track record of accretive acquisitions
Rockspring and TRIUVA are now part of the ONE PATRIZIA world

              Net purchase price reconciliation| EUR m                                                              Run-rate EBIT reconciliation| EUR m

                                        35.4
                                                                                                                                           22.0

                     349.3                                                                                                                                   40.0
                                                        313.9
                                                                                                                          18.0

                  Purchase        Extraordinary Net purchase                                                          Recurring             M&A        Run-rate
                    price        performance/       price                                                           EBIT acquired      efficiencies2 EBIT acquired
                                transaction fees
                                2018 of acquired
                                  entities after
                                   taxes (25%                                                 M&A EBIT
                                  assumption)1                                               multiple 7.9x
                                                                                                  ROCE3
                                                                                                  12.7%
                                                                                                  ROE4
                                                                                                  14.3%
1 Not   included in acquisition pricing | 2 Efficiencies realised, run-rate from 2019 | 3 Return on capital employed | 4 Return on equity based on equity ratio of 67% and tax rate assumption of 25%

PATRIZIA | © 2020                                                                                                                                                                                       10
Equity Story

Mean bond-yield-spreads remain at historic highs
Real estate continues to be an attractive asset class vs bonds

                                                       DISCOUNT                                                                                                   PREMIUM
  600 BP

  400 BP

  200 BP

      0 BP

  -200 BP

  -400 BP

  -600 BP

                                                                                                                                                                                                                           2019 Q2
               1980 Q1

                         1982 Q1

                                   1984 Q1

                                             1986 Q1

                                                        1988 Q1

                                                                  1990 Q1

                                                                            1992 Q1

                                                                                      1994 Q1

                                                                                                1996 Q1

                                                                                                             1998 Q1

                                                                                                                       2000 Q1

                                                                                                                                 2002 Q1

                                                                                                                                           2004 Q1

                                                                                                                                                     2006 Q1

                                                                                                                                                               2008 Q1

                                                                                                                                                                         2010 Q1

                                                                                                                                                                                   2012 Q1

                                                                                                                                                                                             2014 Q1

                                                                                                                                                                                                       2016 Q1

                                                                                                                                                                                                                 2018 Q1
                                                                  Office Spread BP                        Retail Spread BP                 Logistics Spread BP

  • The gap between prime yields and the corresponding national 10-year government bond yields is historically high

  • Although it is unlikely that this gap will continue to increase, it will nevertheless remain at a level making European real estate
    an attractive investment opportunity, even with rising interest rates

Data as at 30.06.2019 | Source: PATRIZIA, Refinitiv, PMA

PATRIZIA | © 2020                                                                                                                                                                                                              11
Equity Story

Investment pressure continues
Global under-allocation to real estate to drive growth

By type of investor                                                                              Allocations
Average allocation to real estate | as % of overall portfolio                                         Increase                                            50.0%
                                                                                                      Maintain                                    40.7%

                       Current allocation                             Target allocation              Decrease                   9.3%

                              11.1%                                                              Investment style preferences
     10.3%
                                                               9.7%
                                                                                                    Value add                                               51.1%
                                                                                          7.8%            Core                                   39.1%
                                       7.0%
                                                                             6.5%                Opportunistic                   9.8%

                                                                                                 2019e
                                                                                                 A minimum of EUR 72.4bn of new capital is expected to be
                                                                                                 invested into global real estate in 2019
                                                                                 Insurance
               Pension Fund

                                              SWF/Govt' Inst

                                                                                 Company

Source: ANREV / INREV / PREA Investment Intentions Survey 2019; survey among 154 institutional investors, managing EUR 730.1bn real estate AUM

PATRIZIA | © 2020                                                                                                                                                   12
Equity Story

Global clients with a strong European base
Partnerships with a diverse mix of global institutional investors foster our understanding of clients’ needs

                                        Pension funds
          1% 8%
                                        Insurance
     6%
                                        companies

11%
          >    350              46% Savings banks
                                        Banks, endowments
          institutional
            investors                   & corporates

       27%                              Private investors

                                        Other

           10%                          Germany

  13%

                   20
                                        UK & Ireland
               >
11%       geographies                   Rest of Europe
                              66%
                                        Rest of World

Data as at 9M 2019 ⚫ PATRIZIA capital markets offices ⚫ Acquisition of Japan-based KENZO Capital Corporation, published on 09.01.2019, closing on 01.11.2019
◼ Markets with existing institutional investors and/or PATRIZIA capital markets operations

PATRIZIA | © 2020                                                                                                                                              13
Equity Story

Leading capital raising activity in the market
PATRIZIA has invested significantly in its capital raising capabilities over the past years and is now reaping the rewards

                                                                                            Institutional equity raised | EUR m

                      54%
                                                                                            3,000

                                                                                            2,500
                  of equity raised                                                                                                                           New
               from existing clients                                                                                                                         clients
                                                                                            2,000

                                                                                            1,500
                                           EUR bn

                                      ~12                                                   1,000

                                                                                              500
                                                                                                                                                             Existing
                                                                                                                                                             clients

                                    of equity raised
                                     2015-2019e
                                                                                                 0
                                                                                                         2015          2016            2017   2018   2019e

Data as at 9M 2019; Leading: Positioned among Top 3 based on own competitor research | Equity raised including predecessor companies

PATRIZIA | © 2020                                                                                                                                                       14
Equity Story

Actively driving digitalisation is key
                                                                                                                                                  Joint
PATRIZIA at the forefront of innovation & technology
                                                                                                                                                 Forces
About Cognotekt
•    AI (Artificial Intelligence) service provider using state-of-the-art Natural Language Processing to translate language into mathematical formulas
•    With this approach Cognotekt operates with 100% accuracy, when extracting data or classifying documents
•    Cognotekt’s services have already proven to be successful in other industries, including the insurance sector

Joint forces: Cognotekt, EVANA and PATRIZIA
•    Strategic investment in Cognotekt in July 2019 follows the investment in EVANA in October 2018 and enables PATRIZIA to further leverage its AI
     competency
•    PATRIZIA fosters the collaboration of two complementary businesses, building a cutting-edge solution with benefits for its clients and the whole real
     estate industry
•    EVANA, the leading document, data and workflow platform will be supplemented with Cognotekt’s AI to extract data and classify documents with the
     highest accuracy and elimination of false positives usually corrupting the data sets

Workflow
                                                Document classified
                                                & or data extracted           Document will be stored into
                                                                               EVANA automatically and
                                                                                   data extracted

                                                                             Manual rework accelerated by
                                                                                                                                  Document will be stored into
                                                                                Cognotekt’s relevance
    Document                                                                                                                       EVANA and data extracted
                                               Document not classified               classification
                                               & or data not extracted

PATRIZIA | © 2020                                                                                                                                                15
Equity Story

Giving back to society is part of our DNA
In 2019 PATRIZIA is celebrating the 20th anniversary of its Children Foundation

                     Environment
                     • Improved footprint of property portfolio
                       (e.g. EUR 14bn portfolio running on renewables)
                     • Sustainable construction (i.e. LEED, DGNB, BREEAM) for new
                       build and existing portfolios
                     • Green PropTech collaborations

                     PATRIZIA Children Foundation
                     • Foundation fully engaged since 1999
                     • Every single donated EUR goes into building schools & hospitals
                       (children’s homes) around the world
                     • Volunteering programme for PATRIZIA staff
                     • Access to education & healthcare for over 200,000 children
                     • PAT Art Lab

                     Corporate responsibility
                     •   Member in best-practice associations (e.g. INREV, GRESB, ULI)
                     •   Regular employee surveys since 2010
                     •   Continued professional development of staff
                     •   Innovation lab to future proof business
                                                                                         https://www.patrizia.foundation/en/

Data as at 9M 2019

PATRIZIA | © 2020                                                                                                              16
Equity Story

 Stronger for clients and shareholders
 PATRIZIA share performance | as at 08.01.2020                                                          PATRIZIA on the capital market
                     Closing price          YTD          L6M           L12M                             • PATRIZIA is listed in the Prime Standard segment of
  30.00
30.00 €                                                                                                   Deutsche Börse AG and member of the SDAX, DIMAX,
                      EUR 19.73             -1.4%        +3.3%         +10.8%
  25.00
25.00 €                                                                                                   MSCI World Small Cap and other indices1

  20.00
20.00 €
                                                                                                        • Initial listing on 31 March 2006

  15.00                                                                                                 • Market capitalisation as at 08.01.2020: EUR 1.8bn
15.00 €
                                                                                                        • Average daily trading volume: ~80,000 shares
  10.00
10.00 €
    5.00
 5.00 €
                                                                          EUR/share
    0.00
 0.00 €
       2014         2015         2016         2017        2018        2019        2020

 Analyst recommendations | as at 08.01.2020                                                             Shareholder structure | as at 08.01.2020
           7                                                                                                                    1.40%
                                                                                                                        7.63%                                 First Capital Partner GmbH 2
                                                        ∅ target price:
                                                                                                                                                              Union Investment Privatfonds GmbH 3
                                                          EUR 21.86
                                                                                                                                                              Allianz SE 4
                                                                                                            30.99%
                                                                                                                                              51.81%
                         2                            resulting upside6:                                                                                      Other institutional shareholders

                                                            +10.8%                                                                                            Private shareholders
                                        0
                                                                                                                     3.15%                                    PATRIZIA AG 5
        BUY           HOLD            SELL                                                                              5.02%

 Source: Thomson Reuters, PATRIZIA share register | 1 CDAX, Classic All Share, DAX International Mid 100, DAXplus FAMILY 30, DAXsector Financial Services, DAXsubsector Real Estate, Prime All Share,
 S&P GIVI Global Index, S&P Global BMI, S&P Intrinsic Value Weighted Global Index , S&P Low Beta Global Index | 2 First Capital Partner is attributable to CEO Wolfgang Egger | 3 According to the voting
 rights notification of 31 October 2018 | 4 According to the voting rights notification of 2 August 2019 | 5 Treasury shares | 6 Based on closing price of EUR 19.73
 PATRIZIA | © 2020                                                                                                                                                                                        17
Equity Story

Growing dividends in line with our business
Increase in dividend per share by 8.0% y-o-y

• Dividend for 2018 of EUR 0.27 per share all cash. Based on the FY 2018 net profit attributable to shareholders the proposal equals a
  pay-out ratio of 48% (up from 43% last year) → i.e. part of cash to be retained for further inorganic growth while shareholders participate
  in profit growth via cash dividend
• Future dividend policy is based on y-o-y growth in management fees and AUM with FY 2018 dividend of EUR 0.27 per share as starting point
• Management fees reflect PATRIZIA’s most stable and recurring income stream, AUM represent a key financial performance indicator of
  the Group

                     Dividend per share (EUR)                                        Dividend policy FY 2019 onwards

                                            0.27
                                                                                            X%                         Y%
                              +8.0%                                                                   Basis for
                     0.25
                                                                                                      dividend
                                                                                                      proposal

                    FY 2017               FY 2018                                 Growth in management            Growth in AUM
                                                                                       fees (y-o-y)                   (y-o-y)

PATRIZIA | © 2020                                                                                                                               18
Equity Story

Strategy 2023 | A clear strategy…
Our aspiration for the next 3 – 5 years

               Expand investment opportunities
                Broad diversification through more geographies, more real assets & real estate debt

               Strengthen footprint
                Leading market insights through more international offices & more sector expertise

               Build efficient platform
                    Best-in-class back-office & reporting based on smart IT, AI & automated services

               Drive innovations
                    Early mover through anticipating market trends and changing tenant & client behaviour

               Enhance stability
                    Reliable partner based on strong balance sheet, strong brand & increasing recurring income

PATRIZIA | © 2020                                                                                                19
Equity Story

…makes PATRIZIA stronger for clients & shareholders
Our aspiration for the next 3 – 5 years

                                          ✓
     1                 Real assets investment manager
                                          ✓
     2                More diversified product offering
                                          ✓
     3                 Larger international client base
                                          ✓
     4          Early mover in automation & technology
                                          ✓
     5              Stable income & higher company value

PATRIZIA | © 2020                                          20
Equity Story

Strategic Agenda | Expansion across 4 quadrants
Leverage existing platform offering governance, research, capital raising and market services – bolt on boutiques

                                                                          Core                     Core +                 Value-add              Opportunistic

                                                 Equity

        Real Estate
                                                    Debt

                                                                                                                                                                                   Private

                                                                                                                                                                                                 Public
                                                 Equity

     Infrastructure
                                                    Debt

   Expansion into additional segments is the natural next step in the evolution of PATRIZIA
Equity = Strategies that target investment in real assets equity tranche; Secondaries = Strategies that target investment in secondary units of existing real assets funds/partnerships/joint ventures/or
other relevant investment structures; Debt = Strategies that target investment in real assets debt tranche

PATRIZIA | © 2020                                                                                                                                                                                           21
Equity Story

Over 3-5 years AUM could increase by ~15% p.a. incl. M&A…
AUM of EUR 60bn organically and EUR 80bn incl. M&A are achievable

                                                                    EUR ~80.0bn
    Illustrative example

                                                                    EUR ~60.0bn

                           EUR 44.0 – 45.0bn

                                                3-5
                                                years
                              2019e                                  Strategic
                                                                      target

PATRIZIA | © 2020                                                                 22
Equity Story

… and directly translate into growth of fee income
Management fees could increase by 8 – 10% p.a. organically

   Illustrative example
                                                                               Performance fees
                           EUR 72.0 – 80.0m                                (hist. Ø: EUR 60.0m p.a.)

                                                                               Transaction fees
                                                                           (hist. Ø: EUR 55.0m p.a.)

                           EUR 55.0 – 65.0m                  EUR ~250.0m

                          EUR 180.0 – 185.0m

                                                                             Management fees

                                                    3-5
                                                    years
                              2019e                           Strategic
                                                               target

PATRIZIA | © 2020                                                                                      23
Equity Story

 Strategy for our clients spurs further growth
 Organic and inorganic growth lead to stronger platform

                                                    Status Quo                                  Measure                   Mid-term target
Assets under
Management                                        EUR 44.0 – 45.0bn                    Grow 8 – 10% p.a. organically           EUR 60.0bn
                                                                                                                                     EUR 60.0bn
Structural growth market

Mergers & Acquisitions                            EUR 44.0 – 45.0bn                    Grow 15.0% p.a. (in)organically
                                                                                                                                 +20.0bn
Active industry disruptor                                                                                                    Total EUR 80.0bn

                                                                                       Improve qualitiy of earnings by
Quality of earnings                                      57.0%1                        growing share of management               >70.0%1
Increase share of recurring                                                                        fees
earnings

                                                                                                                          Stable EBITDAR margin,
Efficiency                                   EBITDAR margin²: 35 – 39%                           Scalability
                                                                                                                         but higher quality earnings
Digitalisation and scalability              Total cost ratio: 0.48 – 0.53%               Innovation & digitalisation
                                                                                                                          Total cost ratio:
Agenda

•     Equity Story
•     Financials 9M 2019
•     Appendix

PATRIZIA | © 2020          25
Financials 9M 2019

Highlights
On track to deliver full-year guidance with improved earnings quality

9M 2019                                                                                                          Assets under management | EUR bn
• Assets under management (AUM) increased by 3.8%1 to                                                                            
  EUR 42.6bn y-t-d                                                                                                              +3.8%               44.0 – 45.0
                                                                                                                       41.0                 42.6
• PATRIZIA clearly outperformed the transaction market as at                                                                                                          Principal investments
  9M 2019 by showing double-digit growth in transaction volume;                                                         1.2 0.1             1.3 0.1
  transaction activity is expected to remain high in Q4 2019 with                                                                                                     Fund of funds
  several closings coming up
• Total service fee income up 11.5%, driven by higher management                                                       39.8                 41.2
                                                                                                                                                                      Funds under
  (EUR 141.6m; +10.9%) and performance fees (EUR 68.6m; +37.3%)                                                                                                       management
• Operating income of EUR 97.7m flat y-o-y, but with further
  improved earnings quality; total service fee income growth
  compensated for lower income from the sale of phase-out principal                                               31.12.2018 30.09.2019                   2019e
  investments (EUR 22.5m in 9M 2018 vs EUR 10.7m in 9M 2019)
• Continued efficiency improvements as net operating expenses
  are growing much slower than total service fee income
                                                                                                                 Operating income | EUR m
  (+4.1% vs +11.5%)
                                                                                                                                                             120.0 – 130.0
                                                                                                                          98.1                    97.7
Full-year guidance confirmed                                                                                                          -0.4%
• Organic net AUM growth of EUR 3.0 – 4.0bn (i.e. 7.0% – 10.0%)
• Total AUM expected between EUR 44.0 – 45.0bn
• Operating income guidance of EUR 120.0 – 130.0m

                                                                                                                       9M 2018                9M 2019             2019e

1   All percentage rates in this section of the presentation refer to the comparable period of the previous year, unless stated otherwise

PATRIZIA | © 2020                                                                                                                                                                        26
Financials 9M 2019

Operating income
Strong operating income of EUR 97.7m with improved earnings quality

Highlights                                                            Composition 9M 2019 | EUR m
• Total service fee income up 11.5% to EUR 233.7m
  (9M 2018: EUR 209.7m) due to:                                                                                             
             • Strong management fees with 10.9% growth y-o-y                                                   -49.8%     +4.1%
               due to organic and inorganic growth (Rockspring)                                       +37.3%      19.1
             • Transaction fees still 26.5% lower y-o-y, but
               positive acceleration to continue in Q4 2019                                           68.6
             • Performance fees up 37.3% y-o-y due to strong                                -26.5%                        -147.2
               outperformance generated for our clients
                                                                                   +10.9%    23.5
             • Net sales revenues and co-investment income                                                                                        
               of EUR 19.1m down significantly y-o-y in line with                                                                      -2.7%
               strategic transformation:                                                                                                         -0.4%
                                                                                                                                       -7.9
                        • Principal investments contributed
                          EUR 10.7m after EUR 22.5m in 9M 2018                     141.6
                          due to lower disposal volume of phase-out     98.1                                                                     97.7
                          principal investments
                        • Co-investments contributed EUR 8.4m
                          after extraordinary strong EUR 15.5m        9M 2018                                   9M 2019
                          in 9M 2018
                                                                       Operating   Manage-   Trans-   Perfor-    Net sales  Net        D&A,     Operating
             • Net operating expenses up 4.1%, but still well           income      ment     action   mance      revenues operating financial income
               below the growth rate of management fees                             fees      fees     fees       and co- expenses 1 result and
               (+10.9%) and total service fee income (+11.5%)                                                   investment          other items
                                                                                                                  income
                                                                                   Total service fee income
                                                                                    EUR 233.7m; +11.5%                                      change y-o-y
                                                                                                                                           
1   Inter alia netted against other operating income of EUR 3.5m

PATRIZIA | © 2020                                                                                                                                           27
Financials 9M 2019

Total service fee income
PATRIZIA continues to grow while still delivering superior investment performance for clients

Highlights                                                                           Total service fee income | EUR m
• Total service fee income up 11.5% to EUR 233.7m driven by:                                                                                   330.0
      • Organic growth in assets under management and                                                                                            –     100%2
          consolidation of Rockspring (31.03.2018)                                                                             320.2           307.0
      • Superior investment performance for clients
                                                                                                                                               80.0
                                                                                                       268.6                                    –      24%
• Management fees up 10.9% to EUR 141.6m due to organic growth                                                                 92.5
                                                                                                                                               72.0
  in assets under management and additional management fees                                                                            233.7
  generated by Rockspring                                                                                                                      65.0
                                                                                                                       211.9
       • Recurring management fees contributed 60.6% to                                                103.4                                    –      19%
                                                                                                               188.6           52.4    68.6
          total service fee income                                                                                                             55.0
       • Fees are partly included in revenues (EUR 134.5m) and                                                 29.2    66.9
          partly in income from participations (EUR 7.1m)                                      140.0   25.0                            23.5
                                                                                       117.5   19.7                                            185.0
                                                                                                               70.3    51.8
• Transaction fees nearly doubled from H1 2019 (EUR 12.1m) to                           13.4           58.7                                      –     57%
  9M 2019 (EUR 23.5m) and pipeline is well filled for Q4 2019                                  52.2                                            180.0
                                                                                                                               175.3
      • Acquisition fees: EUR 12.1m vs disposal fees: EUR 11.4m                         54.1                                           141.6

• Performance fees of EUR 68.6m partly included in:                                                    81.5    89.1    93.2
                                                                                               68.1
       • Revenues (EUR 50.4m)                                                           50.1
       • Income from participations (EUR 18.3m)
                                                                                       2013    2014    20151 2016      2017    2018     9M 2019e
• Full-year guidance confirmed                                                                                                         2019
        • Total service fee income of EUR 307.0m – EUR 330.0m                              Management fees                Transaction fees
                                                                                           Performance fees               SÜDEWO performance fee
1   EUR 165.2m excluding SÜDEWO performance fee | 2 At mid-point of guidance range

PATRIZIA | © 2020                                                                                                                                         28
Financials 9M 2019

Transaction fees
Transaction activity picked up in Q3 2019 and further acceleration is expected in Q4 2019

Highlights                                                                                                 Transaction volume (closed/signed) | EUR bn
• Strong acceleration of signed transaction volume q-o-q,                                                                                                                 closed signed
  e.g. residential in Germany and Dublin, logistics in France and                                           Ø EUR                           7.2
                                                                                                                                                                                                 8.0
  office in Germany; overall market volumes recovering since Q1                                             5.5bn                                                 6.0
                                                                                                                                                       5.1                  5.2                   —
                                                                                                                       4.8                   3.0                                       4.6
• For several transactions that were signed in Q3 2019 closing is                                                      0.5        4.1                             2.5                            6.0
  expected to follow in Q4 2019 with positive impact on AUM                                                                       0.7                  1.9                  2.8        2.0
• Growth in transaction fees also picked up in Q3 2019 and is                                                           4.3                  4.2                  3.5
                                                                                                                                  3.4                  3.2                  2.5        2.6
  expected to continue to accelerate until year-end
• Acceleration of transaction activity is expected to continue in
  Q4 2019 with positive impact on transaction fees; consequently                                                      2013 2014 2015 2 20162 2017 2018 3 9M 2019e
  our 2019 full-year guidance is confirmed                                                                               Acquisitions Disposals          2019

European transaction volume| EUR bn1                                                                       Transaction fees | EUR m
• Lower transaction activity across all sectors                                                                                                       70.3
                                                                                                            Ø EUR
                                                                                                            56.6m 54.1                     58.7       22.2
                                                                                                                                 52.2                           51.8       52.4                 65.0
                           311.0            311.3 270.0
                                      266.0                                                                            17.0                 26.7                                                 —
                 233.0                                                                                                           17.7                           20.3       21.7
      189.0                                                                                                                                                                                     55.0
                                                                                                                                                                                     23.5
                                                                      103.8                                                                           48.1
                                                                                                                       37.1      34.5       32.0                31.4       30.7      11.4
                                                                                                                                                                                     12.1
      2013       2014       2015       2016      2017       2018        H1                                            2013 2014 2015 2016 2017 2018                                   9M 2019e
                                                                       2019                                                 Acquisition fees          Disposal fees                  2019
1 Source: PATRIZIA, RCA all property including: DE, UK, IE, DK, SE, NO, FI, NL, BE, FR, ES, PT, AT, IT, PL, CZ, HU and LX | 2016 transaction volume includes sale of Harald portfolio worth EUR 1.1bn; 2015
                                                                                                                       2

includes sale of SÜDEWO and acquisition of Harald portfolio totalling EUR 2.5bn | 3 In addition EUR 0.5bn mandates transferred to PATRIZIA that are not included in transaction volume, but increased AUM

PATRIZIA | © 2020                                                                                                                                                                                       29
Financials 9M 2019

     Profitability and costs
     Continued efficiency improvements propel profitability and cost ratios

     AUM vs total cost ratio | EUR bn vs %                                                             EBITDAR margin (+/- principal investments) | EUR m, LHS vs %
50                                                                                                1%
                                                                                    44.0 – 45.0        180                                                                      50.0%
                  1.21%                                                                                      45.2%
45                                                                                                                                                        42.9%
         1.14%                                                                                    1%   160                                                        41.8%         45.0%
40                                                                              42.6                                                              38.7%
                                                                     41.0                                                                                                    3740.0%
                                                                                                                                                                                – 41%
                               0.97% 0.98%                                                             140                                34.8%
35                                                                                                1%                    33.9%                                                35 – 39%
                                                                                                                                                        39.0% 39.2%             35.0%
                                                   0.82%                                               120                  30.4%                   36.2%
30                                                          0.80%
                                                                                                  1%                                                                            30.0%
                                                                                                       100                        23.8%         28.8%
25                                                                                                                                                                              25.0%
                                                                      0.53%
20                                                                             0.47%1
                                                                                                  1%    80
                                                           21.9                                                                                                                 20.0%
                                                 18.6                                                   60                              18.2%
15                                                                                       0.53% 0%                                                                               15.0%
                                       16.6
                             14.6                                                          –            40                      13.3%
10                 11.8                                                                                                                                                         10.0%
                                                                                         0.48% 0%                        9.6%
                                                                                                        20       8.1%
 5        6.9                                                                                                                                                                   5.0%

 0                                                                                                0%     0                                                                      0.0%
                                                                                                                                                 3
         2012 2013 2014 2015 2016 2017 2018                                     9M 2019e                     2012 2013 2014 20152 2016 2017 2018 9M 2019e
                                                                               2019                                                              2019
                                      AUM                                                                        EBITDAR       incl. principal         EBITDAR 2lalalaexcl. principal
                                      Total cost ratio (in %)                                                    Margin (in %) investments                            investments
                                                                                                                                                       Margin (in %) 2lalala

     • Scalability of operating platform continuously improves cost ratio                              • Margin transformation of business model nearly completed,
     • Total cost ratio = Net operating expenses (incl. staff costs) divided                             i.e. from volatile principal investment to stable service fee income
       by average AUM                                                                                  • Normalised margin expected in FY 2019 after peak in FY 2018
     1   Annualised value | 2 2015 excluding SÜDEWO exit fee | 3 2016 excluding Harald profit

     PATRIZIA | © 2020                                                                                                                                                             30
Financials 9M 2019

Solid financial position
Ample cash position to drive further growth and strategic development

• Strong balance sheet ratios and capital structure to facilitate further profitable growth
• Total available liquidity as at 30.09.2019 amounts to EUR 261.2m or EUR 547.9m adjusted
• The 9M 2019 balance sheet and liquidity KPIs are influenced by the consolidation of temporarily warehoused assets and
  liabilities for PATRIZIA’s new Living Cities residential fund launched in November 2019

                              Strong balance sheet                                                                                    Significant liquidity

          EUR m                                                        30.09.2019                               EUR m                                         30.09.2019
          Total assets                                  ⚫                  2,070.5                              Bank balances, cash,
                                                                                                                                                    ⚫              376.1
          Equity (excl. non-controlling                                                                         deposits and securities
                                                                              1,199.7
          interests)                                                                                            - Regulatory reserve for asset
                                                                                                                                                                   –26.1
          Equity ratio                                  ⚫                       57.9%                           management companies
                                                                                                                - Transaction related liabilities
          Cash and cash equivalents                     ⚫                      209.1                            and blocked cash                    ⚫              –88.6

          + Deposits and securities                                           +167.0                            - Liquidity in closed-end funds
                                                                                                                                                                    –0.3
                                                                                                                business property companies
          – Bank loans                                  ⚫                     –243.4
          – Bonded loans                                                      –300.0                            = Available liquidity               ⚫              261.2
          = Net debt                                    ⚫                     –167.2
                                                                                                                Available liquidity adjusted
                                                                                                                                                                   547.9
          Net equity ratio1                             ⚫                       64.5%                           (for Living Cities)

          Net equity ratio adjusted
                                                                                79.3%
          (for Living Cities)

⚫ Influenced by temporary consolidation of warehoused assets and liabilities for Living Cities residential fund, see slide 40 for more details
1 Net equity ratio: Equity (excl. non-controlling interests) divided by total net assets (total assets less liabilities covered by cash in hand)

PATRIZIA | © 2020                                                                                                                                                          31
Financials 9M 2019

Guidance 2019e
Full-year operating income guidance of between EUR 120.0m and EUR 130.0m confirmed

Assumptions 2019e                                               Income composition FY 2019e | EUR m
• Total service fee income: EUR 307.0 – 330.0m
                                                                                                           64%       69%
          • Management fees: EUR 180.0 – 185.0m
                                                                                               90%
            based on increased assets under management                                                    30.0
            with majority of acquisitions to close in H2 2019
                                                                                               80.0
          • Transactions fees: EUR 55.0 – 65.0m                                       39%       –
          • Performance fees: EUR 72.0 – 80.0m                                                 72.0
                                                                                      65.0
• Net sales revenues and co-investment income:                              78%        –
  EUR 30.0m                                                                           55.0                          -222.0
                                                                                                                       –       72%
                                                                            185.0                                                        78%
• Net operating expenses: EUR 207.0 – 222.0m                                                                        -207.0
                                                                              –
                                                                 141.4      180.0
• Transaction volume: EUR 6.0 – 8.0bn                                                                                         -11.0     130.0
                                                                                                                                          –
• Assets under management: EUR 44.0 – 45.0bn                                                                                            120.0

                                                                FY 2018                                  FY 2019e
                                                                Operating   Manage-   Trans-   Perfor-    Net sales  Net       D&A,     Operating
                                                                 income      ment     action   mance      revenues operating financial income
                                                                             fees      fees     fees       and co- expenses result and
                                                                                                         investment         other items
                                                                                                           income
                                                                            Total service fee income                              % figure shows
                                                                                 307.0 – 330.0                                    9M 2019 vs 2019e
                                                                                                                                  at mid-point
PATRIZIA | © 2020                                                                                                                                    32
Agenda

•     Equity Story
•     Financials 9M 2019
•     Appendix

PATRIZIA | © 2020          33
Appendix

Our competitive edge
Excellent market access and local knowledge are key to our strong investment performance for clients

                     • Transactions worth EUR ~39bn completed since 2012
                                                                                             ‘Turn to’ real estate investment
  Transactions       • Transaction market expected to remain active resulting in a
                                                                                             manager
                       estimated transaction volume of EUR 6.0 – 8.0bn for FY 2019

                     • EUR ~14bn of equity raised since 2012
                                                                                             Direct access to institutional
   Fundraising       • >350 institutional investors, largely invested in multiple products
                                                                                             investors worldwide
                     • Broad range of direct and indirect investment opportunities

                     • EUR 14.9bn of credit volume under management as at 9M 2019
    Financing        • More than 100 financial institutions providing debt funding           Best-in-class financing capabilities
                     • 100% performing loans since PATRIZIA was established in 1984

                     • Consistently producing positive and competitive returns
   Investment
                       for institutional, private and (semi-)professional investors          Strong investment track record
  Track Record
                     • Superior returns for value-add and private equity investments

                     • Multi-fund platform offering clients geographical, asset and
     Product           risk diversification across investment products                       Attractive product offering across
     Offering        • Investments through regulated funds, separate accounts                all asset and risk classes
                       and co-investment vehicles
                     • Integrated pan-European asset management team with more
                       than 150 professionals in more than 15 European countries             European network with
    Expertise
                     • More than 35 years of experience with real estate only                experienced local teams
                     • Top provider of German Spezialfonds (BVI 2018)
Data as at 9M 2019

PATRIZIA | © 2020                                                                                                                   34
Appendix

Our footprint
19 offices and 5 client relationship hubs across 18 countries guarantee close proximity to our clients and assets

Global fundraising…                                                                                  …for European real assets

                             Amsterdam Copenhagen                                                                                                                                      Helsinki
                              London     Augsburg (HQ)
                       New York    Paris                                                                                                                                   Stockholm
                                                                      Seoul       Tokyo
                                                                              Hong Kong

                                                                                                                                                                 Copenhagen
                                                                                                                               Manchester
                                                                                                                                                            Hamburg
                                                                                                                   Dublin
                                                                                                                                                Amsterdam                           Warsaw
                                                                                                                                                                           Berlin
                                                                     Melbourne                                      Thames Valley
                                                                                                                                     London           Brussels
                                                                                                                                                                  Frankfurt
                                                                                                                                                    Luxemburg        Augsburg (HQ)
                                                                                                                                            Paris
                                          28%                                                                                                                     Munich
                                          Fund Management &          25%
                                          Services                   Corporate

            795
                                                                                                                                                            Milan
                                          22%
                                          Asset & Development        11%
                                          Management                 Transaction Management
               staff1
                                          4%                                                                          Madrid
                                          Capital Markets & Client   10%
                                          Services                   Other

Data as at 9M 2019 ⚫ PATRIZIA capital markets offices ⚫ Acquisition of Japan-based KENZO Capital Corporation, published on 09.01.2019, closing on 01.11.2019 ◼ Markets with PATRIZIA management
& capital markets operations PATRIZIA real estate investment & management offices | 1 FTE

PATRIZIA | © 2020                                                                                                                                                                             35
Appendix

Product overview
Direct & indirect investment opportunities allow our clients to achieve their individual portfolio objectives

Commingled Funds            Club Deals/JVs               Separate Accounts           Multi Manager Products          Management Mandates
• Open-/closed-ended         • Targeted business         • Individual, nimble        • Indirect real estate          • Advisory services
  funds                        strategy                    strategies                  investing across the          • Asset, development
• Specific themes            • Small club of like-minded • Designed to achieve         globe                           management and/or
• Institutional, private and   institutional partners      specific objectives of    • Allows broad                    platform for direct real
  (semi-)professional                                      institutional investors     diversification of clients’     estate investments or
  investors                                                                            real estate exposure            funds

 PanEuropean                  Gran Via 21                  European Diversified 1     PMM Global IV                   Madame Tussauds
 Europe, commercial           Spain, retail & hotel        Europe, diversified        Global, diversified             London, leisure

Data as at 9M 2019

PATRIZIA | © 2020                                                                                                                                 36
Appendix

PATRIZIA GrundInvest
PATRIZIA’s closed-end funds business for private and (semi-)professional investors is developing fast

                                                                                                                  Investment volume1 | EUR m
                                    • Since its foundation in 2014, PATRIZIA                                      800                                                                      Dresden
                                      GrundInvest has launched 12 closed-end
                                                                                                                                                                                           Die Stadtmitte Mülheim
        Sustained                     funds accounting for EUR 747m of AUM                                        700
                                                                                                                                                                                           Berlin Landsberger Allee
         growth                     • More than 6,500 participations were                                         600                                                                      Frankfurt Smart Living
                                      made by private and (semi-)professional
                                                                                                                                                                                           Frankfurt/Hofheim
                                      investors                                                                   500
                                                                                                                                                                                           Garmisch-Partenkirchen
                                                                                                                  400
                                                                                                                                                                                           Mainz Rheinufer
                                                                                                                  300                                                                      München Leopoldstraße
                                    • The average pay-out for the 2018                                            200                                                                      Kopenhagen Südhafen
                                      financial year across all funds was 4.8%                                                                                                             Den Haag Wohnen
       Excellent                      before tax                                                                  100
                                                                                                                                                                                           Stuttgart Südtor
     performance
                                    • Nine out of ten funds offered investors a                                      0                                                                     Campus Aachen
                                      pay-out above the original forecast                                                2016
                                                                                                                          1 2           3    4     5     6   7    8    9     10 2019
                                                                                                                                                                                 11

                                                                                                                  Distribution by real estate sector1
                                    • September: start of syndication of the                                                            6%
                                      new fund „Die Stadtmitte Mülheim“                                                            6%
                                                                                                                                                                  Office 2                  Residential 3
                                                                                                                                                       32%
                                                                                                                            12%
           New                      • October: launch of a new fund dedicated
                                      explicitly to semi-professional investors                                                                                   Retail                    Hotel
         products
                                    • 2020: Expansion of target group to semi-                                               17%
                                                                                                                                                                  Parking                   Other 4
                                      professional investors across Europe                                                                   27%

1   Data as at 9M 2019 | 2 Offices and doctor´s offices | 3 Traditional residential and alternative residential, incl. senior housing, student housing, etc. | 4 Including storage areas, gastronomy, etc.

PATRIZIA | © 2020                                                                                                                                                                                                   37
Appendix

Yield development
Investors have seen significant nominal yield compression of real estate investments in recent years

                                 Office                                                                                                                 Retail                                                                                                      Logistics
                                         Yield range                                                                                               Yield range                                                                                                      Yield range
                                         European Prime Yield                                                                                      European Prime Yield                                                                                             European Prime Yield
                                         Long-term mean                                                                                            Long-term mean                                                                                                   Long-term mean
  10.0%
 10.0%                                                                                                           10.0%
                                                                                                                10.0 %                                                                                                        10.0%
                                                                                                                                                                                                                             10.0%
   9.5%
  9.5%                                                                                                            9.5%
                                                                                                                 9.5 %                                                                                                         9.5%
                                                                                                                                                                                                                              9.5%
   9.0%
  9.0%                                                                                                            9.0%
                                                                                                                 9.0 %                                                                                                         9.0%
                                                                                                                                                                                                                              9.0%
   8.5%
  8.5%                                                                                                            8.5%
                                                                                                                 8.5 %                                                                                                         8.5%
                                                                                                                                                                                                                              8.5%
   8.0%
  8.0%                                                                                                            8.0%
                                                                                                                 8.0 %                                                                                                         8.0%
                                                                                                                                                                                                                              8.0%
   7.5%
  7.5%                                                                                                            7.5%
                                                                                                                 7.5 %                                                                                                         7.5%
                                                                                                                                                                                                                              7.5%
   7.0%
  7.0%                                                                                                            7.0%
                                                                                                                 7.0 %                                                                                                         7.0%
                                                                                                                                                                                                                              7.0%
   6.5%
  6.5%                                                                                                            6.5%
                                                                                                                 6.5 %                                                                                                         6.5%
                                                                                                                                                                                                                              6.5%
   6.0%
  6.0%                                                                                                            6.0%
                                                                                                                 6.0 %                                                                                                         6.0%
                                                                                                                                                                                                                              6.0%
   5.5%
  5.5%                                                                                                            5.5%
                                                                                                                 5.5 %                                                                                                         5.5%
                                                                                                                                                                                                                              5.5%
   5.0%
  5.0%                                                                                                            5.0%
                                                                                                                 5.0 %                                                                                                         5.0%
                                                                                                                                                                                                                              5.0%
   4.5%
  4.5%                                                                                                            4.5%
                                                                                                                 4.5 %                                                                                                         4.5%
                                                                                                                                                                                                                              4.5%
   4.0%
  4.0%                                                                                                            4.0%
                                                                                                                 4.0 %                                                                                                         4.0%
                                                                                                                                                                                                                              4.0%
   3.5%
  3.5%                                                                                                            3.5%
                                                                                                                 3.5 %                                                                                                         3.5%
                                                                                                                                                                                                                              3.5%
   3.0%
  3.0%                                                                                                            3.0%
                                                                                                                 3.0 %                                                                                                         3.0%
                                                                                                                                                                                                                              3.0%
   2.5%
  2.5%                                                                                                            2.5%
                                                                                                                 2.5 %                                                                                                         2.5%
                                                                                                                                                                                                                              2.5%
                                                                                                                                                       2006 Q4
           2000 Q4
                     2002 Q4
                               2004 Q4
                                          2006 Q4
                                                    2008 Q4
                                                              2010 Q4
                                                                        2012 Q4
                                                                                  2014 Q4
                                                                                            2016 Q4
                                                                                                      2018 Q4

                                                                                                                         2000 Q4
                                                                                                                                   2002 Q4
                                                                                                                                             2004 Q4

                                                                                                                                                                 2008 Q4
                                                                                                                                                                           2010 Q4
                                                                                                                                                                                     2012 Q4
                                                                                                                                                                                               2014 Q4
                                                                                                                                                                                                         2016 Q4
                                                                                                                                                                                                                   2018 Q4

                                                                                                                                                                                                                                      2000 Q4
                                                                                                                                                                                                                                                2002 Q4
                                                                                                                                                                                                                                                          2004 Q4
                                                                                                                                                                                                                                                                     2006 Q4
                                                                                                                                                                                                                                                                               2008 Q4
                                                                                                                                                                                                                                                                                         2010 Q4
                                                                                                                                                                                                                                                                                                   2012 Q4
                                                                                                                                                                                                                                                                                                             2014 Q4
                                                                                                                                                                                                                                                                                                                       2016 Q4
                                                                                                                                                                                                                                                                                                                                 2018 Q4
Data as at 30.06.2019 | Source: PATRIZIA, PMA

PATRIZIA | © 2020                                                                                                                                                                                                                                                                                                                          38
Appendix

Top 10 EU investment managers
Investors’ preference for diversification drives European consolidation

                              EUR 23.7bn                                        Increase by +96%                                                EUR 46.5bn
                                 Average AUM                                                                                                      Average AUM
                            of the Top 10 in 2012                                                                                            of the Top 10 in 2018

   Pos. Investment Manager                                                  AUM (EUR)                        Pos. Investment Manager                                                 AUM (EUR)
       1     AXA Real Estate                                                     42bn                            1     Swiss Life Asset Managers                                       69bn
       2     CBRE Global Investors                                               39bn                            2     AXA Investment Managers – Real Assets                           66bn
       3     Aviva Investors                                                     28bn                            3     Blackstone                                                      46bn
       4     Aberdeen Asset Management                                           23bn                            4     Aberdeen Standard Investments                                   46bn
       5     IVG Immobilien AG                                                   20bn                            5     Credit Suisse Real Estate Investment Mgt.                       45bn
       6     AEW Global                                                          19bn                            6     CBRE Global Investors                                           45bn
       7     UBS Global Asset Management (UK)                                    17bn                            7     PATRIZIA1                                                       42bn
       8     RREEF Real Estate                                                   17bn                            8     Aviva Investors                                                 39bn
       9     Prudential Property Investment Managers                             17bn                            9     Deka Immobilien Investment/WestInvest                           36bn
      10     LaSalle Investment Management                                       15bn                           10     M&G Real Estate                                                 32bn

Source: www.irei.com; only assets in Europe | 1 PATRIZIA as at 9M 2019, including a small portion of non-European assets via PATRIZIA Multi Managers; ranking adjusted accordingly

PATRIZIA | © 2020                                                                                                                                                                             39
Appendix

Excursus | Living Cities
PATRIZIA Living Cities Residential Fund                                  Temporary consolidation of assets and liabilities on PATRIZIA’s
                                                                         balance sheet
    • Open-ended institutional real estate fund with a pan-European       • As at November 2019 Living Cities holds a portfolio of EUR 650m in
      core strategy and an initial target volume of EUR 1bn in assets       high quality assets
    • Living Cities is targeting residential assets in Europe’s most      • Temporary consolidation due to timing between signing/closing of
      exciting metropolitan areas                                           real estate transactions and closing of fundraising/clients’ board
                                                                            approvals; PATRIZIA expects deconsolidation before end of Q4 2019
    • City selection guided by PATRIZIA’s proprietary European Cities
      Ranking                                                             • A number of existing and new institutional investors from Europe
                                                                            and Asia have committed to the fund so far, with further parties
    • Focus on long term buy-to-hold strategies including multi-family
                                                                            in advanced due diligence
      housing (both BTR1 and PRS2), co-living, retirement and student
      housing                                                             • Assets include an income-producing German residential portfolio
                                                                            valued at over EUR 400m and consisting of nine apartment buildings
    • Target LTV at fund level: 35%
                                                                            in six of Germany’s leading cities, all built after 2000
    • Launch of fund in November 2019 with EUR 650m of assets
                                                                          • Two apartment developments, in Munich and Copenhagen, have
      and an acquisition pipeline of approx. EUR 1.5bn
                                                                            also been forward purchased by the fund for a total consideration
                                                                            of EUR 205.4m, delivery in 2020

1   BTR = built-to-rent | 2 PRS = private rented sector

PATRIZIA | © 2020                                                                                                                                40
Appendix

Excursus | FY 2018 net profit attributable to shareholders
Net profit 2018 burdened by reorganisation expenses and amortisation of fund management contracts

    Reconciliation FY 2018 | EUR m

           141.1        -22.3        1.7
                                                                                                                             Retained profit
                                                            -36.7                                                          for further growth
                                                                                                                              EUR 27.1m
                                                                         -26.0
                                                120.8
                                                                                                                              Dividend           Pay-out ratio
                                                                                      58.1         -6.5                    payment totalling          of
                                                                                                              51.7           EUR 24.6m              47.6%
                                                                                                                           (0.27 * 91,059,631    (EUR 24.6m /
                                                                                                                           shares outstanding)    EUR 51.7m)
                                                          FY 2018
         Operating Reorgani-         Other     EBITDA Amortisation Other           Net profit      Non-      Net profit
          income    sation          items1              of fund    items2                       controlling attributable
                   expenses                           management                                 interests        to
                                                       contracts                                           shareholders

• Reorganisation expenses and amortisation of fund management contracts are the two most important single items explaining the difference
  between Operating income and net profit attributable to shareholders.
• The increase in amortisation of fund management contracts (as part of other intangible assets) stems from the recent acquisition activity.
  As an identifiable asset within the purchase price allocation, PATRIZIA amortises the value of fund management contracts over time
  (between 1 – 29 years depending on length of contract). As at 31.12.2018 PATRIZIA accounted EUR 163m worth of fund management
  contracts. These amortisations will continue to impact the Group’s net profit going forward, are however a non-cash item and hence adjusted
  in PATRIZIA’s operating income calculation.
1   For a detailed reconciliation between operating income and EBITDA see PATRIZIA‘s 2018 Annual Report, page 40
2   Inter alia including depreciation of property, plant and equipment, financial result and taxes

PATRIZIA | © 2020                                                                                                                                                41
Appendix

Capital allocation
                                                                      Assets under              Invested capital Invested capital                     Participations
    30.09.2019                                                        Management                     (fair value)       (at cost)
                                                                            EUR m                         EUR m           EUR m                                     in %
    Third-party business                                                  35.928.7                             0.0
    Co-investments                                                          6.572.7                         527.4           152.6
    Residential                                                             5.560.1                         507.4           135.7
      Dawonia GmbH                                                          4.503.1                         149.0 1          52.2                                     5.1
                                                                                                                   1
      Dawonia performance fee claims                                                                        274.6              0.0                                    0.1
      WohnModul I SICAV-FIS                                                     1.057.1                       62.1           62.1                                    10.1
      Harald                                                                                                  21.5 1         21.3                                     5.1
      Other                                                                                                    0.1             0.1                                    0.0
    Commercial Germany                                                         1.010.3                       18.5            15.2
      Alliance                                                                   198.7                         5.3 1           5.2                                    5.1
                                                                                                                   1
      Seneca                                                                     177.4                         6.0             4.9                                    5.1
      PATRoffice                                                                   1.3                         1.5 1           1.1                                    6.3
      sono west                                                                   48.5                         1.0             0.0                                   28.3
      TRIUVA/IVG logistics                                                       365.2                         3.9 1
                                                                                                                               3.3                                    2.1
      TRIUVA/IVG commercial                                                      219.2                         0.8 1           0.7                                   11.0
    Commercial international                                                       2.3                         1.5             1.7
      Citruz Holdings LP (UK)                                                      2.3                         0.1 1           0.3                                   10.0
      First Street Development LTD (UK)                                                                        1.4             1.4                                   10.0
    Principal investments                                                           60.5                     50.8
    Other balance sheet items                                                                               660.4 2
    Tied-up investment capital                                                42.561.9                    1.238.5
      Available liquidity                                                                                   261.2
    Total investment capital                                                  42.561.9                    1.499.7
      of which debt (bonded loans)                                                                          300.0
      of which equity PATRIZIA
                                                                                                             1.199.7
      (without non-controlling interests)
1   Net of deferred taxes from valuation according to IFRS 9 | 2 Incl. goodwill, fund management contracts (included in other intangible assets) and Living Cities residential fund, see slide 40 for more details

PATRIZIA | © 2020                                                                                                                                                                                               42
Appendix

Reconciliation of operating income
EUR k                                                                                        9M 2019    9M 2018    Change
EBITDA                                                                                        95.104     83.904     13.3%
Amortisation of other intangible¹ assets, software and
                                                                                              -31.473    -6.954    352.6%
rights of use, depreciation of property, plant and equipment
EBIT                                                                                          63.631     76.950     -17.3%
Finance income/expenses                                                                        -2.965     -3.250      -8.8%
Result from currency translation                                                                   82      1.370    -94.0%
EBT                                                                                           60.749     75.070     -19.1%
Changes in value of derivatives                                                                     0         51   -100.0%
Amortisation of other intangible assets¹                                                      19.954       2.701    638.8%
Realised changes in value of investment property (net)                                          3.960      8.015    -50.6%
Reorganisation expenses                                                                         9.354    14.252     -34.4%
Expenses/income from unrealised currency translation                                             -643     -2.004    -67.9%
Operating income from participations (IFRS 9)                                                   4.337          0       0.0%
Operating income                                                                              97.709     98.086      -0.4%

1   In particular fund management contracts transferred as part of the recent acquisitions

PATRIZIA | © 2020                                                                                                             43
Appendix

Consolidated income statement
EUR k                                                                                        Q3 2019    Q3 2018    9M 2019     9M 2018
Revenues                                                                                      63.096     79.889    242.920     239.995
Income from the sale of investment property                                                        25         71         273         662
Changes in inventories                                                                         -2.708     -4.355    -23.130     -26.058
Other operating income                                                                          3.469      3.943       9.514     12.140
Income from the deconsolidation of subsidiaries                                                   585        138         585         317
Total operating performance                                                                   64.466     79.687    230.162     227.056
Cost of materials                                                                              -1.717     -1.701      -3.209      -8.632
Cost of purchased services                                                                     -3.326     -3.196    -11.278     -10.148
Staff costs                                                                                  -29.736    -32.928     -92.677     -89.850
Other operating expenses                                                                     -17.075    -19.650     -47.472     -53.714
Impairment losses for trade receivables and contract assets                                       -26        394        -486      -1.137
Income from participations                                                                      3.698      3.566     29.126      23.395
Earnings from companies accounted for using the equity method                                       0      2.101         292     11.562
Cost from the deconsolidation of subsidiaries                                                       0       -376           0        -376
EBITDAR                                                                                       16.285     27.897    104.458       98.156
Reorganisation expenses                                                                        -2.842   -13.009       -9.354    -14.252
EBITDA                                                                                        13.443     14.888      95.104      83.904
Amortisation of other intangible assets¹ and software,
rights of use, depreciation of property, plant and equipment                                  -7.725      -2.477    -31.473      -6.954
Earnings before interest and taxes (EBIT)                                                      5.717     12.411      63.631     76.950
Financial income                                                                                 521         437       1.384      1.170
Financial expenses                                                                            -1.336      -1.341      -4.349     -4.420
Result from currency translation                                                                 205         108          82      1.370
Earnings before taxes (EBT)                                                                    5.107     11.615      60.749     75.070
Income taxes                                                                                  -2.452      -2.172    -14.760    -15.454
Net profit for the period                                                                      2.655       9.444     45.989     59.616
1   In particular fund management contracts transferred as part of the recent acquisitions

PATRIZIA | © 2020                                                                                                                          44
Appendix

Consolidated balance sheet | Assets
                                                                                                  30.09.2019               30.09.2019            31.12.2018
EUR k                                                                                                                  ⚫      adjusted
A. Non-current assets
   Goodwill                                                                                           201.714                  201.714             201.109
   Other intangible assets1                                                                           147.179                  147.179             166.562
   Software                                                                                            10.286                   10.286              11.396
   Rights of use                                                                                       23.113                   23.113                   0
   Investment property                                                                                  3.241                    3.241               8.308
   Equipment                                                                                            5.992                    5.992               5.890
   Associated companies accounted using the equity method                                              67.348                   67.348              76.141
   Participations                                                                                     538.543                  538.518             499.241
   Non-current borrowings and other loans                                                              27.969                   27.969              27.513
   Deferred taxes                                                                                      17.022                   17.022               6.102
Total non-current assets                                                                            1.042.407                1.042.382           1.002.262
B. Current assets
   Inventories                                                                                        462.547          ⚫        47.547              71.534
   Securities                                                                                           2.011                    2.011               3.011
   Current tax assets                                                                                  17.929                   17.929              15.585
   Current receivables and other current assets                                                       336.465          ⚫       296.515             355.456
   Cash and cash equivalents                                                                          209.147          ⚫       407.260             330.598
Total current assets                                                                                1.028.098          ⚫       771.261             776.184
TOTAL ASSETS                                                                                        2.070.505          ⚫     1.813.642           1.778.446

⚫ Influenced by temporary consolidation of warehoused assets and liabilities for Living Cities residential fund, see slide 40 for more details
1 In particular fund management contracts transferred as part of the recent acquisitions

PATRIZIA | © 2020                                                                                                                                             45
Appendix

Consolidated balance sheet | Equity and liabilities
                                             30.09.2019        30.09.2019    31.12.2018
EUR k                                                      ⚫      adjusted
A. Equity
   Share capital                                 91.060            91.060       91.060
   Capital reserves                             155.222           155.222      155.222
   Retained earnings
       Legal reserves                                505               505          505
   Currency translation difference               -12.376           -12.376      -15.605
   Revaluation reserve according to IFRS 9        84.348            84.348       49.503
   Consolidated unappropriated profit           880.986           880.986      862.421
   Non-controlling interests                      16.878   ⚫        12.500       10.682
Total equity                                  1.216.622    ⚫    1.212.244    1.153.788
B. Liabilities
   NON-CURRENT LIABILITIES
   Deferred tax liabilities                    117.909            117.909      110.387
   Long-term bank loans                        163.394     ⚫            0            0
   Retirement benefit obligations               21.573             21.573       21.724
   Bonded loans                                300.000            300.000      300.000
   Non-current liabilities                      19.605     ⚫       16.498       16.836
   Leasing liabilities                          15.619             15.619            0
Total non-current liabilities                  638.100     ⚫      471.599      448.947
   CURRENT LIABILITIES
   Short-term bank loans                         80.000    ⚫            0            0
   Other provisions                              15.316            15.316       23.530
   Current liabilities                           71.146    ⚫       65.163       99.963
   Short-term leasing liabilities                 7.569             7.569            0    ⚫ Influenced by temporary
   Tax liabilities                               41.752            41.752       52.218    consolidation of warehoused assets
Total current liabilities                       215.783    ⚫      129.799      175.711    and liabilities for Living Cities
                                                                                          residential fund, see slide 40 for
TOTAL EQUITY AND LIABILITIES                  2.070.505    ⚫    1.813.642    1.778.446    more details

PATRIZIA | © 2020                                                                                                         46
Appendix

Financial calendar
   2020

   February         18    ➢ Preliminary results 2019

   March            19    ➢ Annual Report 2019

   May              14    ➢ Quarterly Statement for the first quarter of 2020

   July               1   ➢ Annual General Meeting 2020

   August             6   ➢ Interim Report for the first half of 2020

   November         12    ➢ Quarterly Statement for the first nine months of 2020

   Invitations and dial-in numbers are provided in advance.

   For further information, please visit: www.patrizia.ag.

PATRIZIA | © 2020                                                                   47
Appendix

Contact
                              KARIM BOHN                                                                        MARTIN PRAUM
                              Member of the                                                                     Senior Managing Director
                              Management Board | CFO                                                            Head of Investor Relations

                              PATRIZIA AG                                                                       T +49 821 50910-402
                              Fuggerstrasse 26                                                                  F +49 821 50910-399
                              86150 Augsburg                                                                    M +49 151 19685445
                              Germany                                                                           investor.relations@patrizia.ag

                              LAURA WALZ                                                                        MAXIMILIAN GERBER
                              Senior Associate | Investor Relations                                             Associate | Investor Relations

                              T +49 821 50910-347                                                               T +49 821 50910-351
                              F +49 821 50910-399                                                               F +49 821 50910-399
                              M +49 151 41411174                                                                M +49 151 24506188
                              investor.relations@patrizia.ag                                                    investor.relations@patrizia.ag
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PATRIZIA AG and its affiliates provide no warranty or guarantee in relation to the information provided herein and accept no liability for any loss or damage of any kind whatsoever
relating to this material. The information herein is subject to change without notice.
This document contains specific forward-looking statements that relate in particular to the business development of PATRIZIA AG and the general economic and regulatory
environment and other factors to which PATRIZIA AG is exposed to. These forward-looking statements are based on current estimates and assumptions by the Company made in
good faith, and are subject to various risks and uncertainties that could render a forward-looking estimate or statement inaccurate or cause actual results to differ from the results
currently expected. PATRIZIA AG does not undertake any obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after
the date of this publication. Due to commercial rounding of figures and percentages small deviations may occur.
8 January 2020, PATRIZIA AG
PATRIZIA | © 2020                                                                                                                                                                   48
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