PGRE Overview August 2018 Cautionary Note on Forward-Looking Statements

In this presentation, we may make forward-looking statements within the meaning of the federal securities laws. You can identify these statements by our use of the words “assumes,” “believes,” “estimates,” “expects,” “guidance,” “intends,” “plans,” “projects” and similar expressions that do not relate to historical matters. You should exercise caution in interpreting and relying on forward-looking statements because they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond our control and could materially affect actual results, performance or achievements. These factors include, without limitation, the risks and uncertainties detailed from time to time in our filings with the Securities and Exchange Commission, including those set forth in Item 1A. Risk Factors of our most recently filed Annual Report on Form 10-K. We do not undertake a duty to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

The data and information herein are as of June 30, 2018 unless otherwise indicated.

The Core FFO guidance set forth in this presentation represents the guidance provided in our Supplemental Operating and Financial Data issued on August 1, 2018 which was subject to the assumptions and qualifications set forth therein. We have not updated or reaffirmed that guidance and are not doing so by restating it herein. Paramount Group Overview

Consistent Focus on High Barrier-to-Entry Supply Constrained Submarkets in Gateway Cities for over 20 Years Annualized Rent (1)  Best-in-class owner and operator of high-quality, Class A

office properties in New York, Washington, D.C. and San San Francisco 17.5% Francisco

─ 72.9% of Annualized Rent (1) is in New York

(2)  14 Class A office properties with 12.5 million sf Washington, D.C. 9.6%  Significant contractual embedded growth from leases in free rent periods and signed leases not yet commenced

 Strong internal growth prospects New York ─ Lease up of currently available space 72.9%

─ Increase in-place, below-market rents as leases expire

 Redevelop and reposition properties to enhance value

 Complementary investment management platform primarily focused on debt and preferred equity investments

(1) Please see page 27 for our definition of this measure. 1 (2) Includes 100% of square footage from 60 Wall Street, 712 , One Market Plaza and 50 Beale Street. Strong Execution and Continued Earnings Growth

Successfully Driving Strong Executing on Cash Flow and Business Plan Earnings Growth

Leased % PGRE's Share of Cash NOI (1) Core FFO per Share (1) 99% (thousands) $1.00

$370,000 $0.95 96.8% $0.95 97% $353,000 $0.90 $0.89 $350,000 95% $0.85 $0.84 93.5% $331,985 $330,000 93% 92.7% $0.80

$309,148 $0.75 $310,000 91% $0.70

89% $290,000 $0.65

$0.60 87% $270,000 $0.55

85% $250,000 $0.50 2016 2017 2018 Guidance 2016 2017 2018 Guidance 2016 2017 2018 Guidance Midpoint Midpoint Midpoint

2 (1) Please see Appendix for definitions of non-GAAP financial measures and reconciliations to most directly comparable GAAP measure. Irreplaceable Trophy Portfolio

New York (8.6mm square feet) – 95.9% Leased

1633 900

Midtown

95.4% Leased 94.2% Leased 1325 Avenue 1301 Avenue 60 Wall Street of the Americas of the Americas 31 West 712 Fifth Avenue

100.0% Leased 95.9% Leased 97.9% Leased 95.8% Leased 89.7% Leased

3 Irreplaceable Trophy Portfolio

Washington, D.C. (946,000 square feet) – 96.7% Leased

2099 Pennsylvania Avenue

Capitol St NW St Capitol 425 Eye Street

Dupont Circle Logan Circle

Georgetown

Foggy Downtown 9

George th Bottom Washington St NW University

91.6% Leased Arlington 98.7% Leased National Mall & Memorial Parks

NY007VUG / 540917_1.WOR

1899 Pennsylvania Avenue Liberty Place

100.0% Leased

94.9% Leased

4 Irreplaceable Trophy Portfolio

San Francisco (2.9mm square feet) – 98.2% Leased

One Market Plaza

One Front Street

97.9% Leased 50 Beale Street

99.5% Leased

95.8% Leased

5 Diverse and High Credit Quality Tenant Base

PGRE's Share of Square Feet % of Ann. Industry Diversification – % of Annualized Rent Top 10 Tenants Expiration Date Occupied Rent

(1) (1) Real Estate, 2.2% 1. 12/2020 500,790 5.1% Consumer Products, 2.3% 2. 1/2031 320,911 4.4% Other, 9.5% Government, 2.6% 3. 2/2023 312,679 4.2% Retail, 3.3% Legal Services, 22.5% 4. 6/2024 328,992 4.1% Insurance, 6.8%

(2) (2) Financial Services - 5. 9/2034 320,325 4.0% Commercial and Investment Financial Services, 6. 3/2032 260,829 3.0% Banking, 21.1% all others, 12.8%

7. 7/2029 293,888 2.6% Technology and Media, 16.9% 8. 6/2025 231,443 2.4%

9. 1/2026 238,880 2.2%

10. 3/2037 203,394 2.2% Tenancy Highlights

Other Blue Chip Tenants  High percentage of rent derived from investment grade / nationally recognized tenants

 Approximately 330 tenants

 Average office lease size of approximately 47,500 square feet

 Weighted average remaining lease term of 6.7 years on office leases

(1) 3,372 of the square feet leased at 2099 Pennsylvania Avenue expires on June 30, 2023. 6 (2) 116,462 of the square feet leased expires on March 31, 2032. Lease Expiration Schedule

3,500,000

32.3% 3,000,000

2,500,000

2,000,000 Square Feet Square 1,500,000 15.0%

2.5 Year Average 417,282 sf Or 4.4% per annum 1,000,000

8.2% 7.5% 7.4% 6.0% 7.1% 5.4% 500,000 5.0%

0.7% 1.2% – 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Thereafter

7 Note: Figures do not include 6,581 sf of month-to-month leases or 340,447 sf of vacant space at PGRE’s share. Focus on Sustainability

LEED Certification  Entire portfolio has achieved either Gold or Platinum LEED Certification

BOMA Awards  New York 2016  900 Third ‘Grand Pinnacle Award’  712 5th Avenue ‘Pinnacle Award’  San Francisco 2016  One Market Plaza ‘The Outstanding Building of the Year’

Energy Star Ratings “Living Wall” – One Market Plaza

Avg. Energy Star Score – Current 85

Avg. Energy Star Score at Benchmarking – 2008 71

+19.7% Increase

8 2018 Financial Highlights

712 Fifth Avenue, New York

Full Year Guidance / 2Q 2018 1H 2018 Assumption Core FFO Per Share (1) $0.24 $0.47 $0.93-$0.97

Same Store 5.9% 10.3% 7.0%-10.0% Cash NOI Growth (1)

Same Store 6.1% 6.3% 7.0%-10.0% NOI Growth (1)

Leased Square Footage 312,522 sf 597,689 sf 700,000 - 900,000 sf

Cash Mark-to-Market 19.8% 18.4% -

(1) Please see Appendix for definitions of non-GAAP financial measures and reconciliations to most directly comparable GAAP measure. 9 Core FFO

Projected 2015 2016 2017 2018

$0.95(1) $0.89

$0.84 $0.81

8.5%(1) Growth

Same Store Cash NOI $0.10

S/L & FAS 141 $0.02

Acquisitions/Dispositions(2) ($0.02)

Termination Income ($0.01)

Fee Income, net of Taxes ($0.01)

Interest Expense ($0.01)

Non-Cash G&A(3) ($0.01)

(1) Based on the midpoint of Core FFO Guidance and assumed Same Store Cash NOI growth for 2018. (2) Includes the disposition of Waterview and the acquisition of 50 Beale Street. 10 (3) Represents non-cash equity compensation expense resulting from the amortization of a new layer of equity grants. Guidance Detail and Assumptions

Full Year 2018 Compared to Low High Prior Guidance

Estimated net loss attributable to common stockholders $ (0.14) $ (0.10) Real estate impairment loss 0.17 0.17 Our share of depreciation and amortization 0.90 0.90 Estimated Core FFO (1) $ 0.93 $ 0.97 Increased

Assumptions Leasing Activity (square feet) 700,000 900,000 Increased PGRE's share of Same Store Leased % (2) at year end 96.0% 97.5% Increased Increase in PGRE's share of Same Store Cash NOI (2) 7.0% 10.0% Unchanged Increase in PGRE's share of Same Store NOI (2) 7.0% 10.0% Increased PGRE's share of Cash NOI (2) 351,000 355,000 Increased PGRE's share of NOI (2) 415,000 421,000 Increased PGRE's share of straight-line rent and above and below-market lease revenue, net 64,000 66,000 Increased Fee income, net of income taxes 17,000 18,000 Unchanged PGRE's share of interest and debt expense, including amortization of deferred financing costs (130,000) (128,000) Unchanged General and administrative expenses (58,000) (56,000) Unchanged

Note: Figures in thousands, except square feet, % and per share amounts. (1) In our Supplemental Operating and Financial Data issued on August 1, 2018, the Company increased its Estimated Core FFO Guidance for the full year of 2018, which is reconciled above to estimated net income attributable to common stockholders per diluted share in accordance with GAAP. The estimated net income attributable to common stockholders per diluted share is not a projection and is being provided solely to satisfy the disclosure requirements of the U.S. Securities and Exchange Commission. Except as described above, these estimates reflect management's view of current and future market conditions, including assumptions with respect to rental rates, occupancy levels and the earnings impact of the events referenced in the Company’s Supplemental Information issued on August 1, 2018 and otherwise referenced during the Company's conference call scheduled for August 2, 2018. These estimates do not include the impact on operating results from possible future property acquisitions or dispositions, capital markets activity or unrealized gains or losses on real estate fund investments. The estimates set forth above may be subject to fluctuations as a result of several factors, including the straight-lining of rental income and the amortization of above and below-market leases. There can be no assurance that the Company's actual results will not differ materially from the estimates set forth above. (2) Please see page 27 for our definition of this measure. 11 Schedule of Free Rent Burn Off

As of June 30, 2018, we have $68.7 million of annualized initial cash rents that are yet to contribute to Cash NOI: • $48.0mm from commenced leases in free rent periods • $20.6mm from signed leases not yet commenced

These leases become cash paying over the next three years as detailed below:

As of June 30, 2018 Annualized Initial Cash Rent Amount Contributing to: 100% Amount PGRE Share 2018 2019 2020 New York: Commenced Leases in Free Rent Period $37,109 $35,676 $4,147 $29,011 $34,413 Signed Leases Not Yet Commenced 19,339 19,339 111 5,620 13,209 Subtotal $56,448 $55,015 $4,258 $34,631 $47,622

Washington, D.C.: Commenced Leases in Free Rent Period $1,844 $1,844 $449 $1,708 $1,844 Signed Leases Not Yet Commenced – – – – – Subtotal $1,844 $1,844 $449 $1,708 $1,844

San Francisco: Commenced Leases in Free Rent Period $14,986 $10,507 $3,094 $9,243 $9,243 Signed Leases Not Yet Commenced 4,141 1,288 2 630 989 Subtotal $19,127 $11,795 $3,096 $9,873 $10,232

Total Commenced Leases in Free Rent Period $53,939 $48,027 $7,690 $39,963 $45,501 Total Signed Leases Not Yet Commenced 23,480 20,627 113 6,250 14,198 Grand Total $77,419 $68,654 $7,803 $46,213 $59,699

Note: Figures in thousands. 12 Debt Maturity Schedule

November 30, 2015 – Weighted Average Maturity of 2.1 years

$1,200

$1,000 $926.3 $897.8

$800 31 West 52nd Line of Credit Street $40.0 $600 $413.5 1633 $420.4 Broadway $400 Waterview $210.0 Loan Balance ($mm) $247.3 One $200 900 Third Market 712 Fifth Plaza $88.8 Avenue $123.3 $274.3 1899 Penn $0 Lib.Pl. $84.0 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 June 30, 2018 – Weighted Average Maturity of 5.0 years

$1,200 $1,075.6

$1,000 60 Wall Street 50 Beale Street $920.9 $28.8 $70.9

$800

$600 1633 $500.0 1301 Broadway $477.8 Ave of $1,046.8 $400 Americas Loan Balance Loan Balance ($mm) $850.0 One 31 West 52nd Market $150.0 $200 Plaza Street 712 Fifth $0 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

13 Note: All figures at PGRE’s share. Figures exclude Oder-Center debt, of which the Company’s share is $2.2 million. Case Study: 1301 Avenue of the Americas

Opportunity (at IPO) - Historically well-leased 1.8 million square foot Class A building in the heart of - Property was 81.8% leased following the Dewey & LeBoeuf bankruptcy - An additional 341k square feet of leases (or 19.2% of the building) scheduled to expire through year end 2017, including 288k square foot Commerzbank AG lease

Execution (to date) Results - Completed a <$3 million lobby refresh (ceilings, lighting, - Increased leased percentage by +1,610 bps to 97.9% recladding of columns and soft seating). - Increased Annualized Rent (1) by $30.6 million (+30.2%) - Successfully leased 689k sf (39% of building) with 14 tenants Leased Percentage Annualized Rent (1) at rents of over $78 per square foot on office leases $132,682 97.9% 81.8% $101,271

3Q 2014 2Q 2018 3Q 2014 Ann. 2Q 2018 Ann.

(1) Please see page 27 for our definition of this measure. Annualized Rent figures in thousands. 14 Case Study: Washington, D.C. Portfolio

Opportunity (at IPO) - Collection of trophy assets primarily located along Washington, D.C.’s desirable Pennsylvania Avenue corridor - 68.0% leased across portfolio with significant opportunity to increase occupancy - 2099 Pennsylvania Avenue 31.6% leased due to tenant move-out (known at acquisition)

Execution (to Date) Results - Investment in tenant-desired rooftop terraces, meeting - Increased leased percentage by +2,870 bps to 96.7% spaces and building gyms - Increased Annualized Rent (1) by $26.2 million (+73.2%) - Successfully leased over 300k sf (32% of portfolio) with 34 Leased Percentage Annualized Rent (1) tenants at gross rents over $72 per square foot $61,995 96.7%

68.0% $35,790

3Q 2014 2Q 2018 3Q 2014 Ann. 2Q 2018 Ann.

Note: All figures exclude the impact of 647k sf Waterview which was sold in May 2017. 15 (1) Please see page 27 for our definition of this measure. Annualized Rent figures in thousands. Case Study: One Market Plaza, San Francisco

Opportunity (at IPO) - Exceptionally well-located two-tower trophy property on the waterfront of San Francisco’s CBD - Significant portion of below-market leases set to expire in coming years - Opportunity to invest in lobby and reposition retail to retain and attract tenants

Execution (to date) Results - Completed a $25 million lobby and retail repositioning - Maintained leased percentage over 97% - Successfully released over 600k sf (38% of building) with 45 - Increased Annualized Rent (1) by $45.6 million (+62.1%) tenants at cash mark-to-markets of over 45% on 2nd Annualized Rent (1) generation leases $118,857

$85.82 $73,301 $58.99

Previous Escalated New Starting 3Q 2014 Ann. 2Q 2018 Ann. Rents PSF Cash Rents PSF

Note: PGRE owns 49.0% of One Market Plaza. All figures on page represent 100.0% share. 16 (1) Please see page 27 for our definition of this measure. Annualized Rent figures in thousands. Appendix

17 Fund and Property Management Overview

Funds Other Owned and / or Managed Assets  PGRE serves as the GP of various investment funds  PGRE generates additional revenues though other partially owned and managed assets including:  PGRE collectively holds an indirect equity interest in one property as well as partial ownership of mortgage ─ 1.0% ownership and property management of 745 loans, mezzanine loans and preferred equity Fifth Avenue in the Madison / Fifth Avenue submarket investments including: of Midtown Manhattan

─ 7.2% of 0 Bond Street in the NoHo submarket of ─ 9.5% ownership of the Oder-Center Schwedt shopping Manhattan through Fund VII and related funds center in Brandenburg, Germany

─ 1.3% of mezzanine and mortgage loans and preferred ─ Property management of the retail property at 718 equity investments aggregating $531.7 million which Fifth Avenue in the Madison / Fifth Avenue submarket have interest rates ranging from 5.50% – 9.61%, of Midtown New York through Fund VIII ─ Property management of the Commercial National ─ 24.4% of PGRESS preferred equity investments of Bank Building in Washington, D.C. $35.9 million with dividends yielding 10.3%

─ 7.4% of Residential Development Fund (RDF) which owns 25.0% interest in One Steuart Lane (formerly 75 Howard), a residential development project in San Francisco

 Paramount Gateway Office Club is a strategic real estate co-investment platform with aggregate third-party equity capital commitments of $600.0 million

18 Reconciliation of Non-GAAP Measures

FFO (unaudited and in thousands, except share and per share amounts)

Three Months Ended Six Months Ended June 30, 2018 June 30, 2017 March 31, 2018 June 30, 2018 June 30, 2017 Reconciliation of net (loss) income to FFO and Core FFO: Net (loss) income $ (36,578) $ 138,182 $ 2,715 $ (33,863) $ 139,811 Real estate depreciation and amortization (including our share of unconsolidated joint ventures) 66,711 70,660 67,160 133,871 135,500 Real estate impairment loss 46,000 - - 46,000 - Gain on sale of depreciable real estate - (110,583) - - (110,583) FFO (1) 76,133 98,259 69,875 146,008 164,728 Less FFO attributable to noncontrolling interests in: Consolidated joint ventures (10,840) (7,740) (10,207) (21,047) (14,935) Consolidated real estate fund (152) (20,276) (430) (582) (20,416) FFO attributable to Paramount Group Operating Partnership 65,141 70,243 59,238 124,379 129,377 Less FFO attributable to noncontrolling interests in Operating Partnership (6,206) (7,925) (5,585) (11,791) (15,470) FFO attributable to common stockholders (1) $ 58,935 $ 62,318 $ 53,653 $ 112,588 $ 113,907 Per diluted share $ 0.25 $ 0.27 $ 0.22 $ 0.47 $ 0.49

FFO $ 76,133 $ 98,259 $ 69,875 $ 146,008 $ 164,728 Non-core items: Our share of (distributions from 712 Fifth Avenue in excess of earnings) and earnings in excess of distributions (1,512) (15,072) 1,195 (317) (15,072) Transaction related costs 293 502 120 413 777 Realized and unrealized loss from unconsolidated real estate funds 74 2,482 131 205 2,247 After-tax net gain on sale of residential condominium land parcel - (21,568) - - (21,568) Loss on early extinguishment of debt - 5,162 - - 7,877 Unrealized gain on interest rate swaps (including our share of unconsolidated joint ventures) - (364) - - (2,750) Core FFO (1) 74,988 69,401 71,321 146,309 136,239 Less Core FFO attributable to noncontrolling interests in: Consolidated joint ventures (10,840) (7,740) (10,207) (21,047) (15,401) Consolidated real estate fund (152) 12 (430) (582) (128) Core FFO attributable to Paramount Group Operating Partnership 63,996 61,673 60,684 124,680 120,710 Less Core FFO attributable to noncontrolling interests in Operating Partnership (6,097) (7,108) (5,721) (11,818) (14,640) Core FFO attributable to common stockholders (1) $ 57,899 $ 54,565 $ 54,963 $ 112,862 $ 106,070 Per diluted share $ 0.24 $ 0.23 $ 0.23 $ 0.47 $ 0.45

Reconciliation of weighted average shares outstanding: Weighted average shares outstanding 240,336,485 234,990,468 240,311,744 240,324,183 232,968,602 Effect of dilutive securities 17,229 20,362 26,954 20,525 27,220 Denominator for FFO and Core FFO per diluted share 240,353,714 235,010,830 240,338,698 240,344,708 232,995,822 19 (1) Please see page 27 for our definition of this measure. Reconciliation of Non-GAAP Measures

FUNDS FROM OPERATIONS ("FFO") (unaudited and in thousands, except share and per share amounts)

Year Ended December 31, 2017 December 31, 2016 Reconciliation of net income to FFO and Core FFO: Net income $ 107,176 $ 2,069 Real estate depreciation and amortization (including our share of unconsolidated joint ventures) 273,938 275,653 Gain on sale of Waterview (110,583) - FFO (1) 270,531 277,722 Less FFO attributable to noncontrolling interests in: Consolidated joint ventures (19,748) (41,320) Consolidated real estate fund (20,132) 419 FFO attributable to Paramount Group Operating Partnership 230,651 236,821 Less FFO attributable to noncontrolling interests in Operating Partnership (25,093) (41,681) FFO attributable to common stockholders (1) $ 205,558 $ 195,140 Per diluted share $ 0.87 $ 0.89

FFO $ 270,531 $ 277,722 Non-core items: Severance costs 2,626 2,874 Transaction related costs 2,027 2,404 Our share of earnings from 712 Fifth Avenue in excess of distributions received and (distributions in excess of basis) (14,205) - Realized and unrealized loss from unconsolidated real estate funds 6,380 607 After-tax net gain on sale of residential condominium land parcel (21,568) - Valuation allowance on preferred equity investment 19,588 - Loss on early extinguishment of debt 7,877 4,608 Unrealized gain on interest rate swaps (including our share of unconsolidated joint ventures) (2,750) (41,869) Core FFO (1) 270,506 246,346 Less Core FFO attributable to noncontrolling interests in: Consolidated joint ventures (35,022) (23,890) Consolidated real estate fund 156 419 Core FFO attributable to Paramount Group Operating Partnership 235,640 222,875 Less Core FFO attributable to noncontrolling interests in Operating Partnership (25,568) (39,296) Core FFO attributable to common stockholders (1) $ 210,072 $ 183,579 Per diluted share $ 0.89 $ 0.84

Reconciliation of weighted average shares outstanding: Weighted average shares outstanding 236,372,801 218,053,062 Effect of dilutive securities 28,747 15,869 Denominator for FFO and Core FFO per diluted share 236,401,548 218,068,931 20 (1) Please see page 27 for our definition of this measure. Reconciliation of Non-GAAP Measures

NOI (unaudited and in thousands)

Three Months Ended Six Months Ended June 30, 2018 June 30, 2017 March 31, 2018 June 30, 2018 June 30, 2017 Reconciliation of net (loss) income to NOI and Cash NOI: Net (loss) income $ (36,578) $ 138,182 $ 2,715 $ (33,863) $ 139,811 Add (subtract) adjustments to arrive at NOI and Cash NOI: Depreciation and amortization 64,775 68,636 65,156 129,931 131,628 General and administrative 17,195 16,573 12,631 29,826 30,154 Interest and debt expense 36,809 34,817 36,082 72,891 71,835 Loss on early extinguishment of debt - 5,162 - - 7,877 Transaction related costs 293 502 120 413 777 Income tax (benefit) expense (120) 970 477 357 5,252 NOI from unconsolidated joint ventures 4,569 4,958 4,740 9,309 9,781 (Income) loss from unconsolidated joint ventures (2,521) (16,535) 62 (2,459) (18,472) Loss from unconsolidated real estate funds 14 2,411 66 80 2,123 Fee income (5,409) (4,448) (3,465) (8,874) (14,004) Interest and other income, net (2,094) (2,486) (2,016) (4,110) (5,686) Real estate impairment loss 46,000 - - 46,000 - Gain on sale of real estate - (133,989) - - (133,989) Unrealized gain on interest rate swaps - - - - (1,802) NOI (1) 122,933 114,753 116,568 239,501 225,285 Less NOI attributable to noncontrolling interests in: Consolidated joint ventures (16,674) (12,200) (16,014) (32,688) (24,229) Consolidated real estate fund (13) (345) 26 13 (486) PGRE's share of NOI (1) $ 106,246 $ 102,208 $ 100,580 $ 206,826 $ 200,570

NOI (1) $ 122,933 $ 114,753 $ 116,568 $ 239,501 $ 225,285 Less: Straight-line rent adjustments (including our share of unconsolidated joint ventures) (16,853) (12,208) (13,197) (30,050) (32,719) Amortization of above and below-market leases, net (including our share of unconsolidated joint ventures) (4,141) (7,818) (4,257) (8,398) (10,699) Cash NOI (1) 101,939 94,727 99,114 201,053 181,867 Less Cash NOI attributable to noncontrolling interests in: Consolidated joint ventures (13,438) (8,946) (13,193) (26,631) (16,828) Consolidated real estate fund (13) (345) 26 13 (486) PGRE's share of Cash NOI (1) $ 88,488 $ 85,436 $ 85,947 $ 174,435 $ 164,553 21 (1) Please see page 27 for our definition of this measure. Reconciliation of Non-GAAP Measures

NET OPERATING INCOME ("NOI") (unaudited and in thousands)

Year Ended December 31, 2017 December 31, 2016 Reconciliation of net income to NOI and Cash NOI: Net income $ 107,176 $ 2,069 Add (subtract) adjustments to arrive at NOI and Cash NOI: Depreciation and amortization 266,037 269,450 General and administrative 61,577 53,510 Interest and debt expense 143,762 153,138 Loss on early extinguishment of debt 7,877 4,608 Transaction related costs 2,027 2,404 Income tax expense 5,177 1,785 NOI from unconsolidated joint ventures 19,643 17,195 Income from unconsolidated joint ventures (20,185) (7,413) Loss from unconsolidated real estate funds 6,143 498 Fee income (24,212) (16,931) Interest and other loss (income), net 9,031 (6,934) Gain on sale of real estate (133,989) - Unrealized gain on interest rate swaps (1,802) (39,814) NOI (1) 448,262 433,565 Less NOI attributable to noncontrolling interests in: Consolidated joint ventures (55,464) (47,561) Consolidated real estate fund (154) 414 PGRE's share of NOI (1) $ 392,644 $ 386,418

NOI (1) $ 448,262 $ 433,565 Less: Straight-line rent adjustments (including our share of unconsolidated joint ventures) (54,886) (82,724) Amortization of above and below-market leases, net (including our share of unconsolidated joint ventures) (18,912) (9,536) Cash NOI (1) 374,464 341,305 Less Cash NOI attributable to noncontrolling interests in: Consolidated joint ventures (42,325) (32,571) Consolidated real estate fund (154) 414 PGRE's share of Cash NOI (1) $ 331,985 $ 309,148 22 (1) Please see page 27 for our definition of this measure. Reconciliation of Non-GAAP Measures

SAME STORE RESULTS (unaudited and in thousands)

SAME STORE CASH NOI (1) Three Months Ended June 30, 2018 Total New York Washington, D.C. San Francisco Other PGRE's share of Cash NOI for the three months ended June 30, 2018 $ 88,488 $ 63,773 $ 9,353 $ 17,198 $ (1,836) Acquisitions (2) (1,766) - - (1,766) - Dispositions - - - - - Lease termination income (including our share of unconsolidated joint ventures) (54) (54) - - - Other, net 174 174 - - - PGRE's share of Same Store Cash NOI (1) for the three months ended June 30, 2018 $ 86,842 $ 63,893 $ 9,353 $ 15,432 $ (1,836)

Three Months Ended June 30, 2017 Total New York Washington, D.C. San Francisco Other PGRE's share of Cash NOI for the three months ended June 30, 2017 $ 85,436 $ 61,423 $ 10,690 $ 15,748 $ (2,425) Acquisitions - - - - - Dispositions (3) (2,332) - (2,332) - - Lease termination income (including our share of unconsolidated joint ventures) (1,041) (175) - (866) - Other, net (87) 30 - - (117) PGRE's share of Same Store Cash NOI (1) for the three months ended June 30, 2017 $ 81,976 $ 61,278 $ 8,358 $ 14,882 $ (2,542)

Increase in PGRE's share of Same Store Cash NOI $ 4,866 $ 2,615 $ 995 $ 550 $ 706

% Increase 5.9% 4.3% 11.9% 3.7%

(1) Please see page 27 for our definition of this measure. (2) Represents our share of Cash NOI attributable to acquired properties (50 Beale Street in San Francisco) for the months in which they were not owned by us in both reporting periods. (3) Represents our share of Cash NOI attributable to sold properties (Waterview in Washington, D.C.) for the months in which they were not owned by us in both 23 reporting periods. Reconciliation of Non-GAAP Measures

SAME STORE RESULTS (unaudited and in thousands)

SAME STORE NOI (1) Three Months Ended June 30, 2018 Total New York Washington, D.C. San Francisco Other PGRE's share of NOI for the three months ended June 30, 2018 $ 106,246 $ 74,737 $ 9,699 $ 23,622 $ (1,812) Acquisitions (2) (2,361) - - (2,361) - Dispositions - - - - - Lease termination income (including our share of unconsolidated joint ventures) (54) (54) - - - Other, net 174 174 - - - PGRE's share of Same Store NOI (1) for the three months ended June 30, 2018 $ 104,005 $ 74,857 $ 9,699 $ 21,261 $ (1,812)

Three Months Ended June 30, 2017 Total New York Washington, D.C. San Francisco Other PGRE's share of NOI for the three months ended June 30, 2017 $ 102,208 $ 68,151 $ 11,573 $ 24,881 $ (2,397) Acquisitions - - - - - Dispositions (3) (2,332) - (2,332) - - Lease termination income (including our share of unconsolidated joint ventures) (1,041) (175) - (866) - Other, net (785) 30 - (698) (117) PGRE's share of Same Store NOI (1) for the three months ended June 30, 2017 $ 98,050 $ 68,006 $ 9,241 $ 23,317 $ (2,514)

Increase (decrease) in PGRE's share of Same Store NOI $ 5,955 (4) $ 6,851 $ 458 $ (2,056) (4) $ 702

% Increase (decrease) 6.1% (4) 10.1% 5.0% (8.8%) (4)

(1) Please see page 27 for our definition of this measure. (2) Represents our share of NOI attributable to acquired properties (50 Beale Street in San Francisco) for the months in which they were not owned by us in both reporting periods. (3) Represents our share of NOI attributable to sold properties (Waterview in Washington, D.C.) for the months in which they were not owned by us in both reporting periods. (4) This decrease resulted from income of $3,028 in the prior year from the accelerated amortization of certain below-market lease liabilities in connection with such 24 tenants' lease modifications. Excluding this income, Same Store NOI increased by 9.5% for the total portfolio and 4.8% for our San Francisco portfolio. Reconciliation of Non-GAAP Measures

SAME STORE RESULTS - BY SEGMENT (unaudited and in thousands)

SAME STORE CASH NOI (1) Six Months Ended June 30, 2018 Total New York Washington, D.C. San Francisco Other PGRE's share of Cash NOI for the six months ended June 30, 2018 $ 174,435 $ 125,971 $ 18,568 $ 33,613 $ (3,717) Acquisitions (2) (3,730) (215) - (3,515) - Dispositions - - - - - Lease termination income (including our share of unconsolidated joint ventures) (244) (244) - - - Other, net 174 174 - - - PGRE's share of Same Store Cash NOI (1) for the six months ended June 30, 2018 $ 170,635 $ 125,686 $ 18,568 $ 30,098 $ (3,717)

Six Months Ended June 30, 2017 Total New York Washington, D.C. San Francisco Other PGRE's share of Cash NOI for the six months ended June 30, 2017 $ 164,553 $ 114,913 $ 23,943 $ 29,185 $ (3,488) Acquisitions - - - - - Dispositions (3) (8,632) - (8,632) - - Lease termination income (including our share of unconsolidated joint ventures) (1,107) (241) - (866) - Other, net (87) 30 - - (117) PGRE's share of Same Store Cash NOI (1) for the six months ended June 30, 2017 $ 154,727 $ 114,702 $ 15,311 $ 28,319 $ (3,605)

Increase (decrease) in PGRE's share of Same Store Cash NOI $ 15,908 $ 10,984 $ 3,257 $ 1,779 $ (112)

% Increase 10.3% 9.6% 21.3% 6.3%

(1) Please see page 27 for our definition of this measure. (2) Represents our share of Cash NOI attributable to acquired properties (60 Wall Street in New York and 50 Beale Street in San Francisco) for the months in which they were not owned by us in both reporting periods. (3) Represents our share of Cash NOI attributable to sold properties (Waterview in Washington, D.C.) for the months in which they were not owned by us in both 25 reporting periods. Reconciliation of Non-GAAP Measures

SAME STORE RESULTS - BY SEGMENT (unaudited and in thousands)

SAME STORE NOI (1) Six Months Ended June 30, 2018 Total New York Washington, D.C. San Francisco Other PGRE's share of NOI for the six months ended June 30, 2018 $ 206,826 $ 145,886 $ 19,303 $ 45,391 $ (3,754) Acquisitions (2) (4,667) (173) - (4,494) - Dispositions - - - - - Lease termination income (including our share of unconsolidated joint ventures) (244) (244) - - - Other, net 174 174 - - - PGRE's share of Same Store NOI (1) for the six months ended June 30, 2018 $ 202,089 $ 145,643 $ 19,303 $ 40,897 $ (3,754)

Six Months Ended June 30, 2017 Total New York Washington, D.C. San Francisco Other PGRE's share of NOI for the six months ended June 30, 2017 $ 200,570 $ 133,469 $ 26,436 $ 44,186 $ (3,521) Acquisitions - - - - - Dispositions (3) (8,632) - (8,632) - - Lease termination income (including our share of unconsolidated joint ventures) (1,107) (241) - (866) - Other, net (785) 30 - (698) (117) PGRE's share of Same Store NOI (1) for the six months ended June 30, 2017 $ 190,046 $ 133,258 $ 17,804 $ 42,622 $ (3,638)

Increase (decrease) in PGRE's share of Same Store NOI $ 12,043 (4) $ 12,385 $ 1,499 $ (1,725) (4) $ (116)

% Increase (decrease) 6.3% (4) 9.3% 8.4% (4.0%) (4)

(1) Please see page 27 for our definition of this measure. (2) Represents our share of NOI attributable to acquired properties (60 Wall Street in New York and 50 Beale Street in San Francisco) for the months in which they were not owned by us in both reporting periods. (3) Represents our share of NOI attributable to sold properties (Waterview in Washington, D.C.) for the months in which they were not owned by us in both reporting periods. (4) This decrease resulted from income of $3,028 in the prior year from the accelerated amortization of certain below-market lease liabilities in connection with such 26 tenants' lease modifications. Excluding this income, Same Store NOI increased by 8.1% for the total portfolio and 3.3% for our San Francisco portfolio. Definitions

Annualized Rent represents the end of period monthly base rent plus escalations in accordance with the lease terms, multiplied by 12.

Funds from Operations ("FFO") is a supplemental measure of our performance. FFO is presented in accordance with the definition adopted by the National Association of Real Estate Investment Trusts (“Nareit”). Nareit defines FFO as GAAP net income or loss adjusted to exclude net gains from sales of depreciated real estate assets, impairment losses on depreciable real estate and depreciation and amortization expense from real estate assets, including our share of such adjustments of unconsolidated joint ventures. FFO is commonly used in the real estate industry to assist investors and analysts in comparing results of real estate companies because it excludes the effect of real estate depreciation and amortization and net gain on sales, which are based on historical costs and implicitly assume that the value of real estate diminishes predictably over time, rather than fluctuating based on existing market conditions. FFO is not intended to be a measure of cash flow or liquidity. FFO attributable to common stockholders represents the Company's share of FFO that is attributable to common stockholders and is calculated by reducing from FFO, the noncontrolling interests' share of FFO in consolidated joint ventures, real estate funds and Operating Partnership.

Core Funds from Operations ("Core FFO") is an alternative measure of our operating performance, which adjusts FFO for certain other items that we believe enhance the comparability of our FFO across periods. Core FFO, when applicable, excludes the impact of certain items, including, transaction related costs, realized and unrealized gains or losses on real estate fund investments, unrealized gains or losses on interest rate swaps, severance costs and gains or losses on early extinguishment of debt, in order to reflect the Core FFO of our real estate portfolio and operations. In future periods, we may also exclude other items from Core FFO that we believe may help investors compare our results. Core FFO is not intended to be a measure of cash flow or liquidity. Core FFO attributable to common stockholders represents the Company's share of Core FFO that is attributable to common stockholders and is calculated by reducing from Core FFO, the noncontrolling interests' share of Core FFO in consolidated joint ventures, real estate funds and Operating Partnership.

Net Operating Income (“NOI”) is used to measure the operating performance of our properties. NOI consists of property-related revenue (which includes rental income, tenant reimbursement income and certain other income) less operating expenses (which includes building expenses such as cleaning, security, repairs and maintenance, utilities, property administration and real estate taxes). We also present Cash NOI which deducts from NOI, straight-line rent adjustments and the amortization of above and below-market leases, net, including our share of such adjustments of unconsolidated joint ventures. In addition, we present PGRE's share of NOI and Cash NOI which represents our share of NOI and Cash NOI of consolidated and unconsolidated joint ventures, based on our percentage ownership in the underlying assets. We use NOI and Cash NOI internally as performance measures and believe they provide useful information to investors regarding our financial condition and results of operations because they reflect only those income and expense items that are incurred at property level.

Same Store NOI is used to measure the operating performance of properties that were owned by us in a similar manner during both the current period and prior reporting periods, and represents Same Store NOI from consolidated and unconsolidated joint ventures based on our percentage ownership in the underlying assets. Same Store NOI also excludes lease termination income, bad debt expense and certain other items that may vary from period to period. We also present Same Store Cash NOI, which excludes the effect of non-cash items such as the straight-lining of rental revenue 27 and the amortization of above and below-market leases.