Summary of January-June 2016
(comparison period 1 Jan.–3o June 2015)

• The Group’s gross investments during the period totalled EUR 89.9 (115.0) million. Gross investments were 49.3 (62.8) per cent of turnover.

• The fair value of investment properties was EUR 3.6 (3.9) billion. The fair value was im-paired by the executed divestment of 8,571 apartments. Return on investment was 7.1 (8.5) per cent.

• The Group’s turnover totalled EUR 182.3 (183.1) million. Turnover is entirely generated by rental income.

• Profit before taxes amounted to EUR 105.3 (124.4) million. The profit includes EUR 56.2 (47.2) million in net valuation gain on the fair value assessment of investment properties and EUR -26.9 (1.4) million in capital gains and losses on investment properties. The capital losses might decrease later as a result of the appeal on ARA’s decision. Net rental income and capital losses resulting from the delay of the divestment of 8,571 apartments were approximately EUR 15.5 million higher than expected. Nevertheless, the delay of the transaction does not have a substantial effect on the Group’s operating profit. The Group’s favourable profit performance is based on changes in the fair value, low financial costs, a good rental occupancy rate and the successful management of maintenance costs.

• Net rental income was EUR 116.5 (113.2) million, representing 63.9 (61.8) per cent of turnover. Net rental income was increased by completed new development, higher rental income and the successful management of maintenance and repair costs.

• The rental occupancy rate remained high, standing at 96.9 (97.4) per cent.

• There were 1,303 (1,385) rental apartments under construction at the end of the review period.

• The Group owned 32,736 (40,674) rental apartments on 30 June 2016.

• The company specifies its outlook with regard to net rental income and investments.

Unless otherwise stated, the comparison figures in brackets refer to the corresponding period of the previous year. The figures in this Interim Report have not been audited.