Excellent Prospects For Your Success

Short portrait

Short portrait

“You too can benefit from our experience and our special knowledge in the most important real estate finance markets in Germany and Europe.”

Deutsche Hypo – State-of-the-art out of tradition Deutsche Hypo is one of the most renowned Pfandbrief banks in Germany. Rich in tradition it was founded as Deutsche ­Hypothekenbank (Actien-Gesellschaft) in 1872 by Berlin-­based merchants and bankers. Deutsche Hypo’s head office is in ­Hanover. As experienced specialists, we support professional real estate finance customers in Germany and, for more than the last 25 years, in other core European markets as well. Thanks to our wide product range, we have the right solution for your project. For over 145 years the priorities have been “quality before quantity” and “continuity before volatility”. Our 400 employees are here to help you.

Andreas Pohl Chairman of the Board of Managing Directors

“Due to our local know-how in our target markets, we successfully realise cross-boarder-deals for you.“ Sabine Barthauer Member of the Board of Managing Directors

We are looking forward to meeting you.

“Those who identify risks early can also deal with them. This expertise is the cornerstone of our lean credit process.” Andreas Rehfus Member of the Board of Managing Directors

2

3

Strong Partners

In a nutshell

Our facts and figures Our group Deutsche Hypo has been part of the NORD/LB Group since 2008 and acts as the centre of competence for the core business area of commercial real estate finance and the issue of Mortgage Pfandbriefe. Deutsche Hypo is a member of the Joint Liability Scheme at the Savings Bank Finance Group. Synergy is achieved through Deutsche Hypo’s close ties with NORD/LB, which affords Deutsche Hypo‘s customers access to the product range of an internationally active major bank. With total assets of € 175 billion, NORD/LB is one of the most important financial institutions in Germany. Its majority shareholder is the federal state of Lower-Saxony.

Ownership Structure of NORD/LB Deutsche Hypo’s Annual Results 2016 in € millions Income statement figures Net interest income Net commission income Administrative expenses Risk result Income from securities and participatory interest Result from normal operations ■ State of Lower Saxony 59.1 %

■ Lower Saxony Savings Banks and Giro Association 26.4 %

in % / in € millions Other information Cost-income ratio

■ Saxony-Anhalt Savings Banks and Holding Association 5.3 %

Total assets

■ State of Saxony-Anhalt 5.6 %

01.01. – 31.12.2016 202.1 3.7 76.4 – 66.6 55.7 115.0

01.01. – 31.12.2015 224.5 0.5 77.8 – 41.3 – 29.4 70.3

31.12.2016

31.12.2015

37.8

35,6

25,202.6

26,943.7

Change (in %) – 10.0 > 100.0 – 1.8 – 61.3 > 100.0 63.6

– 6.5

■ Special Purpose Holding Association of the Mecklenburg-Western Pomerania Savings Banks 3.6 % Further details concerning the business development of the previous years can be found under www.Deutsche-Hypo.de

NORD/LB – Leading universal bank in the heart of northern Germany: // Landesbank for the federal states Lower-Saxony and Saxony-Anhalt // Central bank for savings banks for Lower-Saxony, Saxony-Anhalt and Mecklenburg-Western Pomerania // State savings bank in the Braunschweig county with more than 100 branches

Engages in the business areas: // Commercial real estate finance business (at Deutsche Hypo) // Corporate customers // Structured finance in the sector of energy and infrastructure // Ship and aircraft finance // Capital markets business // Private and commercial customers

Sustainability ratings

Financial ratings Mortgage Pfandbriefe

The NORD/LB Group consists of: Moody’s

Public Pfandbriefe Aa1

Short-term Liabilities Aa2

Prime-2

Long-term Liabilities

Baseline credit assessment (BCA) Baa3

b2

Covered Bond Bank Luxembourg

4

5

Personally on site

Extensive know-how

Our core markets

Our asset classes

We have a local presence in the most important real estate markets

We finance the following asset types:

Deutsche Hypo focuses on direct business with professional real estate investors. We offer tailored financing concepts and support. We engage in high-quality properties, which we finance in close collaboration with our clients.

// Hamburg

Amsterdam // // London

// Berlin

Hanover //

// Dusseldorf // Frankfurt

// Paris

// Munich

Deutsche Hypo concentrates on regions with a large property stock and a positive outlook and properties with a good tenant structure and stable cash flow. Deutsche Hypo’s strategic target markets are Germany, UK, France, Benelux, Poland and Spain.

// Warsaw

Breakdown by property type:

// Office and commercial buildings // Retail // Hotels // Multi-storey residential // Logistics Deutsche Hypo’s multi-lingual team has a wealth of market experience and prides itself on its asset-­ based expertise and local legal knowledge in each of its core markets.

■ Office and commercial buildings 38.3 % ■ Retail 33.5 % ■ Residential real estate 15.9 % ■ Others 12.3 %

// Madrid Total volume € 11,977 million as of 31.12.2016

Regional breakdown

New real estate finance business domestic – foreign 5,000

■ UK 11.6 % ■ Benelux 13.6 % ■ Germany 59.7 %

■ Poland 2.0 % ■ Spain 0.9 % ■ Other 4.4 %

6

in € millions

■ France 7.8 %

4,540.7

4,075.2

4,000

■ Domestic ■ Foreign

1,708.6

1,626.0

3,000 2,000

0

2,832.1

2,449.2

1,000 2015

2016

7

Our references

Our references

Our references

Sofitel Munich Bayerpost Type of property: Hotel Location: Munich Customer: Hotel Bayerpost München GmbH & Co. KG (a fund of the Ebertz & Partner Group) Financing volume: € 80 million

Prime Corporate Center

Dreischeibenhaus

Type of property: Office building Location: Warsaw Customer: A real estate company managed by Warburg - HIH Invest Real Estate GmbH Financing volume: € 41 million

Type of property: Office building Location: Dusseldorf Customer: MOMEMI Group and Black Horse Investments Project volume: € 230 million

Type of property: Residential Location: Netherlands Customer: A real estate company managed by PATRIZIA Group Financing volume: € 69 million

Residential Portfolio „Granite“

Mall of Berlin Type of property: Shopping centre Location: Berlin Customer: A joint venture between High Gain House Investments/Berlin and Arab Investments/London Financing volume: € 600 million

8

Hotel Zoo Type of property: Hotel Location: Berlin Customer: Kurfürstendamm 25 Besitz GmbH Financing volume: € 35 million

9

Well positioned

Well informed

Our publications Our product range

We do not keep our know-how to ourselves. So that you can participate in our experience and ­e xpertise, we publish:

Are you planning to invest in real ­e state? Talk to us about your ideas. ­Together we can develop the right ­f inancing strategy for your project.

// the Deutsche Hypo Index, our real estate economy index that appears on a monthly basis

// regular market analyses on current developments in the real estate markets and in the real estate industry

DEUTSCHE HYPO IMMOBILIENKONJUNKTUR

Our products at a glance:

WHAT YOU CAN COUNT ON:

// Medium to long-term financing of existing properties // Interim financing // Financing of project developments // Financing of refurbishments // Portfolio financing // Acquisition financing // Structuring // Syndication/underwriting // Derivatives (via NORD/LB)

// Professional and individual support // Comprehensive market and industry knowledge // Local know-how // Tailored financing and term structures // Quick approval process and fast implementation for finance // Reliability and continuity // Constructive collaboration on an equal standing

INDEX 03-2017 Global Markets Real Estate

MEGATRENDS UND IHRE BEDEUTUNG FÜR DIE ENTWICKLUNG VON IMMOBILIENMÄRKTEN

KLIMA SINKT WEITER – DIE TRENDWENDE?

Liebe Leserinnen, liebe Leser,

MARKTBERICHT MÄRZ 2017 | Während die Fundamentaldaten die Immobilienkonjunktur noch nach oben treiben, hat sich die Stimmung unter den Experten in der aktuellen Panelbefragung weiter eingetrübt. Im März sinkt das Immobilienklima bereits zum fünften Mal in Folge. Eine derartige Negativentwicklung gab es zuletzt 2012. Das Immobilienklima sank im März um 3,1 Prozent auf aktuell 132,1 Zählerpunkte. Der Rückgang resultiert dabei vor allem aus dem Sinken des Investmentklimas um 4,5 Prozent auf 136,4 Zählerpunkte. Das Ertragsklima liegt mit einem Minus von 1,5 Prozent aktuell bei 127,9 Zählerpunkten. Spannend wird der Indexverlauf Ende März – wenn die deutsche Immobilienbranche von der MIPIM in Cannes heimgekehrt sein wird. Dann wird sich vermutlich zeigen, ob die südfranzösische Sonne bei den Besuchern die Stimmung hebt oder sich hier wirklich eine Trendwende vollzieht.

IMMOBILIENKLIMA BIS MÄRZ 2017 Indexwert 200

150

100

50

0 2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

die hitzige Diskussion der vergangenen Tage zur Entwicklung der Wohnpreise hat wohl jeder mit großem Interesse verfolgt. Die große Disharmonie über kommende Entwicklungen in der Immobilienbranche ist erstaunlich, ist man doch sonst oft einer Meinung. Wenn man einen Abschwung der Preise in den Metropolen prognostiziert und diesen nur auf den mangelnden Zuzug zurückführt, wird man dem heterogenen Produkt Immobilie nicht gerecht, da immer viele Faktoren bestimmend wirken. Deswegen ist es ein Muss, jede Investitionsentscheidung gemäß ihren Standorteigenschaften zu prüfen. Pauschalaussagen führen nicht weiter. Dazu das Beispiel Berlin aus unserer aktuellen Studie „Immobilienboom in einer wachsenden Stadt“: Der robuste Arbeitsmarkt und ein günstiges Finanzierungsumfeld gestalten die Nachfrage positiv. Zwar steigt das Bauvolumen derzeit, wird aber nicht die in den vergangenen Jahren entstandene Angebotslücke schließen. Deswegen bleibt Berlin auf absehbare Zeit infolge der starken Bevölkerungszunahme sowie positiver Impulse in der lokalen Wirtschaft generell ein attraktiver Investitionsstandort für Wohnimmobilien. Aber natürlich gilt immer: Konkrete Investitionsentscheidungen müssen genau geprüft werden. Ich freue mich, mit Ihnen über dieses Thema und andere wichtige Fragen auch auf der kommenden MIPIM ins Gespräch zu kommen!

Herzlichst, Ihr Andreas Pohl

Besides traditional products, Deutsche Hypo also offers innovative approaches of commercial real estate ­finance. From a strategic cooperation with insurance companies and pension funds as well as the structuring of credit funds, we integrate financially strong financing partners. This is why we can also realize transactions of considerable ­magnitude. This will benefit you.

10

Ihr Erfolg ist : unser Maßstab

B-DH-13009_Titelmotiv-GlobalMarkets_RZ_200813_2.indd 2

20.08.13 17:09

Available on our website*: www.Deutsche-Hypo.de *) A vailable in German and partly English

11

Broad investor basis

Deutsche Hypo is one of the most ­renowned Pfandbrief banks in Germany and one of the most ­well-known issuers in the ­market. In addition to Pfandbriefe, we also ­issue unsecured bearer and ­registered bonds. We have longstanding relationships with a large number of German and international investors and therefore have a broad investor base. As with our real estate financing business, we distinguish ourselves in our ­capital market business by our ability to react quickly and flexibly to customer needs and market ­requirements.

€ 500,000,000 Mortgage Pfandbrief

€ 750,000,000 Mortgage Pfandbrief

7 years Maturity 20.04.2022 ISIN DE000DHY4457

7 years Maturity 22.02.2023 ISIN DE000DHY4614

2,200

Lead Managers

Lead Managers

2,000

BayernLB, Commerzbank, Crédit Agricole CIB, DZ Bank, NORD/LB + Bankhaus Lampe KG (Co-Lead)

BayernLB, Crédit Agricole CIB, DZ Bank, NORD/LB, HSBC

2015

2016

€ 750,000,000 Mortgage Pfandbrief

€ 500,000,000 Mortgage Pfandbrief

8 years Maturity 17.05.2024 ISIN DE000DHY4648

8 years Maturity 20.06.2025 ISIN DE000DHY4861

Lead Managers

Lead Managers

BayernLB, Natixis, NORD/LB, UniCredit + ABN AMRO, Bankhaus Lampe (Co-Lead)

Deutsche Bank, DZ Bank, HSBC, NORD/LB, UniCredit

2016

2017

Funding mix ■ Public Pfandbriefe ■ Mortgage Pfandbriefe ■ Unsecured

6,000 Volumne in € millions

Our funding

Successful issues

5,000 4,000 3,000

3,266 541

1,000

2,852

2,725 1,800

1,602

1,614

4,200

2,138

1,970

1,238

2,000

3,938

3,572

0 2013

2015

2014

2016

Outlook 2017

Structure breakdown ■ Benchmark  ■ Structured  ■ Private Placements

In doing so we are able to optimally meet demand. Our cost-effective issuing platform has proven itself as a competitive advantage in ­commercial real estate financing.

100 % 90 % 80 % Volumne in %

70 % 60 %

69

73

70

59

50 % 3

40 % 30 % 20 % 10 %

1 31

2

26

28

2014

2015

38

0% 2013

12

2016

13

To a fruitful collaboration

To a fruitful collaboration

Together we can achieve great things

With Deutsche Hypo you can rely on a partner who will use its experience and expertise to achieve success for you. Since we were founded, we have risen to the challenge of achieving more for our customers. This is how we became one of the most successful and most renowned Pfandbrief banks in Germany. Our specialists will offer you a high level of know-how, flexibility and service. At the same time great emphasis is placed on acting as a partner. We rely on strong, long-term business relationships and look forward to making your project a success with you. Because:

Your contacts Office Frankfurt Head Ingo Albert Tel. +49 69 219 351 812 Mobile +49 172 5182592 [email protected]

Office Munich Head Harald Nolterieke Tel. +49 89 512 66 70 Mobile +49 172 4545019 [email protected]

Office Hanover/Saving Banks Network Head Alois Algermissen Tel. +49 511 3045 591 Mobile +49 172 5103037 [email protected]

Real Estate Investment Banking Head Dieter Koch Tel. +49 511 3045 871 Mobile +49 173 2450107 [email protected]

Institutional Investors Head Christoph Hötzel Tel. +49 69 219 351 810 Mobile +49 172 511 6517 [email protected]

Central Acquisition Head José Luis Calderón Martínez Tel. +49 511 3045 807 Mobile +49 173 2365065 [email protected]

Office Hamburg Head Thomas Hansen Telefon +49 40 376 55 310 Mobil +49 172 5116515 [email protected]

Customers North Rhine-Westphalia Head Peter Kleinhütten Tel. +49 211 598951910 Mobile +49 152 01518500 Peter.Kleinhü[email protected]

Office Berlin Head Alexander Firsching Tel. +49 30 2850163 11 Mobile +49 172 2765234 [email protected]

14

Your success is : our benchmark

Your contacts International Property Finance Head Thomas Staats Tel. +49 511 3045 163 Mobile +49 172 9234419 [email protected]

Office Madrid Head Maria Teresa Linares Fernández Mobile +34 618 109905 [email protected]

Office Amsterdam Head Wouter de Bever Tel. +31 20 691 45 51 Mobile +31 65 0737390 [email protected]

Office Paris Head Anne-Isabelle Carbonnières Tel. +33 1 550 484 85 Mobile +33 6 297 947 22 [email protected]

Office London Head Markus Nitsche Tel. +44 20 742 947 00 Mobile +44 77 95262414 [email protected]

Office Warsaw Head Beata Latoszek Tel. +48 22 828 02 53 Mobile +48 78 6865732 [email protected]

We will find the right financing solution for you. Come and talk to us. 15

As of: July 2017

Deutsche Hypothekenbank (Actien-Gesellschaft) Osterstraße 31 30159 Hannover Telefon +49 511 3045-0 Telefax +49 511 3045-459 [email protected] www.Deutsche-Hypo.de