PGRE Overview November 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 September 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 November 5, 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 17.9% Francisco

─ 77.2% of Annualized Rent (1) is in New York Washington, D.C. 4.9%  12 Class A office properties with 11.9 million sf (2)

 Significant contractual embedded growth from leases in free rent periods and signed leases not yet commenced

 Strong internal growth prospects

New York ─ Increase in-place, below-market rents as leases expire 77.2% ─ Lease up of currently available space

 Redevelop and reposition properties to enhance value

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

(1) Please see page 28 for our definition of this measure. 1 (2) Includes 100% of square footage from 60 Wall Street, 712 , and . 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 (1) per Diluted Share 99% (thousands) $1.00

$370,000 $0.95 $0.94 97% 96.5% $352,000 $0.90 $0.89 $350,000 95% $0.85 $0.84 $331,985 93.5% $330,000 $0.80 93% 92.7%

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

$290,000 89% $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. Our People Are Our Greatest Asset With our deep knowledge, creative, proactive approach and winning spirit, we are Paramount.

Executive Management

Peter Brindley Leasing

Albert Behler Wilbur Paes Peter Brindley David Zobel Chairman, Chief Executive Officer & Chief Financial Officer Leasing Acquisitions President & Treasurer

Senior Vice Presidents

Charles Anastasia Karen Baumwoll Ermelinda Berberi David Eaton Ben Goodsir Tax & Compliance Chief Human Resource Officer Chief Accounting Officer Leasing, San Francisco Asset Management

Douglas Neye Michael Jackowitz Todd Januzzi Gage Johnson Bernard Marasco Michael Nathan Leasing, New York Capital Markets Chief Information & Technology General Counsel Counsel – Leasing & Property Acquisitions 3 Officer Management Irreplaceable Trophy Portfolio

New York (8.6mm square feet) – 96.1% Leased

1633 900

Midtown

95.4% Leased 95.5% Leased 1325 Avenue 1301 Avenue 60 Wall Street of the Americas of the Americas 31 West 712 Fifth Avenue

100.0% Leased 96.7% Leased 97.9% Leased 95.8% Leased 91.0% Leased

4 Irreplaceable Trophy Portfolio

Washington, D.C. (365,000 square feet) – 98.0% Leased Capitol St NW St Capitol

Dupont Circle Logan Circle

Georgetown

Foggy Downtown 9

George th Bottom Washington St NW University

Arlington National Mall & Memorial Parks

NY007VUG / 540917_1.WOR

1899 Pennsylvania Avenue Liberty Place

100.0% Leased

95.8% Leased

5 Irreplaceable Trophy Portfolio

San Francisco (2.9mm square feet) – 97.4% Leased

One Market Plaza

One Front Street

97.6% Leased 50 Beale Street

96.3% Leased

99.7% Leased

6 Diverse and High Credit Quality Tenant Base

PGRE's Share of Industry Diversification – % of Annualized Rent Square Feet % of Ann. Top 10 Tenants Expiration Date Occupied Rent Real Estate, 2.1% Travel and Leisure, 1. 12/2020 497,418 5.2% 2.2% Consumer Products, Other, 2.4% 7.2% 2. 1/2031 320,911 4.6% Retail, 3.1% Financial Services - Commercial and 3. 2/2023 312,679 4.3% Insurance, 7.2% Investment Banking, 22.2% 4. 6/2024 328,992 4.3%

(1) (1) 5. 9/2034 320,325 4.1% Financial Services, all Legal Services, 22.1% others, 13.6% 6. 3/2032 260,829 3.1%

7. 7/2029 293,888 2.8% Technology and Media, 17.9%

8. 6/2025 232,479 2.5%

9. 1/2026 238,880 2.4% Tenancy Highlights 10. 3/2037 203,394 2.4% Other Blue Chip Tenants  High percentage of rent derived from investment grade / nationally recognized tenants

 Approximately 300 tenants

 Average office lease size of approximately 48,500 square feet

 Weighted average remaining lease term of 6.6 years on office leases

7 (1) 116,462 of the square feet leased expires on March 31, 2032. Lease Expiration Schedule

3,500,000

34.6% 3,000,000

2,500,000

2,000,000 Square Feet Square 1,500,000

2.25 Year Average 399,036 sf 12.5% Or 4.5% per annum 1,000,000

7.9% 7.5% 7.9% 7.8% 6.2%

500,000 5.0% 4.9%

1.5% 0.3% – 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Thereafter

8 Note: Figures do not include 6,984 sf of month-to-month leases or 313,560 sf of vacant space at PGRE’s share. Focus on Sustainability

Paramount Group is an industry leader in on-going sustainability initiatives that have helped us to manage operating costs, attract and retain premium tenants, and ultimately enhance portfolio value. We are proud to have partnered with the EPA and U.S. Green Building Council (USGBC) to promote sustainability and green building certifications.

LEED Certification  We are a member of the USGBC and we have certified millions of square feet of LEED buildings.  Our entire portfolio of REIT-owned properties (11.9 million square feet) has earned LEED EB Gold or Platinum. ENERGY STAR Ratings  ENERGY STAR for Buildings is an EPA voluntary program that certifies the most energy-efficient buildings across the country.  As an early ENERGY STAR Leader, our entire

portfolio has earned ENERGY STAR Certifications “Living Wall” – One Market Plaza and energy usage is monitored online in real-time.

100 98 97 89 88 90 75 87 86 83 Avg. ENERGY STAR Score – 81 77 71 75 Current 50 85

25 Avg. ENERGY STAR Score at Benchmarking – 2008 73 – 1325 AofA 31 West 712 Fifth 900 Third 1633 1301 AofA 60 Wall Liberty 1899 Penn. 50 Beale St. One Front One 52nd Broadway Place Ave Street Market +16.4% Increase Plaza

9 2018 Financial Highlights

Full Year Guidance / 712 Fifth Avenue, New York 3Q18 YTD 2018 Assumption Core FFO (1) Per Diluted Share $0.24 $0.71 $0.93-$0.95

Same Store 7.2% 9.2% 8.0%-10.0% Cash NOI Growth (1)

Same Store 11.1% 7.9% 8.0%-10.0% NOI Growth (1)

Leased Square Footage 203,143 sf 800,832 sf 900,000 - 1,000,000 sf

Cash Mark-to-Market 14.4% 17.1% -

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

Projected 2015 2016 2017 2018

$0.94 (1) $0.89

$0.84 $0.81

9.0%(1) Growth

Same Store Cash NOI $0.12

$0.01 Interest Income

Acquisitions/Dispositions (2) ($0.04)

($0.02) Fee Income, net of Taxes

Non-Cash G&A(3) ($0.02)

(1) Based on the midpoint of Core FFO Guidance and assumed Same Store Cash NOI growth for 2018. (2) Includes the dispositions of Waterview (May 2017), 2099 Pennsylvania Avenue (Aug 2018) and 425 Eye Street (Sep 2018) and the acquisition of 50 Beale Street (July 2017). (3) Represents non-cash equity compensation expense resulting from the amortization of a new layer of equity grants. 11 Guidance Detail and Assumptions

GUIDANCE (unaudited and in thousands, except square feet, % and per share amounts) Full Year 2018 (Amounts per diluted share) Low High Estimated net income attributable to common stockholders $ 0.03 $ 0.05 Our share of depreciation and amortization 0.86 0.86 Real estate impairment loss 0.17 0.17 Gain on sale of real estate (0.14) (0.14) Estimated FFO 0.92 0.94 Adjustments for non-core items (1) 0.01 0.01 Estimated Core FFO (2) $ 0.93 $ 0.95

Operating Assumptions: Leasing Activity (square feet) 900,000 1,000,000 PGRE's share of Same Store Leased % (3) at year end 96.0% 97.0% Increase in PGRE's share of Same Store Cash NOI (3) 8.0% 10.0% Increase in PGRE's share of Same Store NOI (3) 8.0% 10.0%

Financial Assumptions (at share): Estimated net income $ 7,500 $ 14,500 Depreciation and amortization 227,000 227,000 General and administrative expenses 58,500 57,500 Interest and debt expense, including amortization deferred financing costs 128,500 127,500 Fee income, net of income taxes (15,500) (16,500) Real estate impairment loss 46,000 46,000 Gain on sale of real estate (37,000) (37,000) Other, net (primarily interest income) (2,500) (3,500) NOI (3) 412,500 415,500 Straight-line rent and above and below-market lease revenue, net (61,500) (62,500) Cash NOI (3) $ 351,000 $ 353,000 (1) Represents non-core items for the nine months ended September 30, 2018, which are summarized on page 20. We are not making projections for non-core items that may impact our financial results for the remainder of 2018, which may include realized and unrealized gains or losses from unconsolidated real estate funds, transaction related costs, “sting” taxes and other items that are not included in Core FFO. (2) In our Supplemental Operating and Financial Data issued on November 5, 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 November 5, 2018 and otherwise referenced during the Company's conference call scheduled for November 5, 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 12 assurance that the Company's actual results will not differ materially from the estimates set forth above. (3) Please see page 28 for our definition of this measure. Schedule of Free Rent Burn Off

As of September 30, 2018, we have $61.1 million of annualized initial cash rents that are yet to contribute to Cash NOI: • $40.1mm from commenced leases in free rent periods • $20.9mm from signed leases not yet commenced

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

As of September 30, 2018 Annualized Initial Cash Rent Amount Contributing to: 100% Amount PGRE Share 4Q 2018 2019 2020 2021 New York: Commenced Leases in Free Rent Period $33,992 $33,046 $969 $23,568 $29,860 $30,466 Signed Leases Not Yet Commenced 20,028 19,294 – 5,903 16,111 19,294 Subtotal $54,020 $52,340 $969 $29,471 $45,971 $49,760

Washington, D.C.: Commenced Leases in Free Rent Period $215 $215 – $161 $215 $215 Signed Leases Not Yet Commenced 128 128 – 11 128 128 Subtotal $343 $343 – $172 $343 $343

San Francisco: Commenced Leases in Free Rent Period $13,083 $6,887 $1,307 $6,805 $6,887 $6,887 Signed Leases Not Yet Commenced 22 1,484 – 496 1,297 1,484 Subtotal $13,105 $8,371 $1,307 $7,302 $8,184 $8,371

Total Commenced Leases in Free Rent Period $47,290 $40,148 $2,276 $30,535 $36,962 $37,568 Total Signed Leases Not Yet Commenced 20,178 20,907 – 6,410 17,536 20,907 Grand Total $67,467 $61,055 $2,276 $36,945 $54,498 $58,474

13 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 September 30, 2018 – Weighted Average Maturity of 4.8 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

14 Note: All figures at PGRE’s share. Figures exclude Oder-Center debt, of which the Company’s share is $2.1 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 $33.3 million (+32.9%) - Successfully leased 688k sf (39% of building) with 14 tenants Leased Percentage Annualized Rent (1) $134,543 at rents of over $78 per square foot on office leases 97.9% 81.8% $101,271

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

(1) Please see page 28 for our definition of this measure. Annualized Rent figures in thousands. 15 Case Study: Washington, D.C. Portfolio through 2Q 2018

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 (through 2Q 2018) 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.

Notes: All figures exclude the impact of 647k sf at Waterview which was sold in May 2017, but include the impact of 2099 Pennsylvania Avenue and 425 Eye Street which 16 were sold during 3Q 2018. (1) Please see page 28 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 672k sf (42% of building) with 45 - Increased Annualized Rent (1) by $44.3 million (+60.5%) tenants at cash mark-to-markets of over 42.6% on 2nd Annualized Rent (1) generation leases $117,628 $88.98 $73,301 $62.41

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

Note: PGRE owns 49.0% of One Market Plaza. All figures on page represent 100.0% share. 17 (1) Please see page 28 for our definition of this measure. Annualized Rent figures in thousands. Appendix

18 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 $529.8 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 investment of Bank Building in Washington, D.C. $36.0 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

19 Reconciliation of Non-GAAP Measures

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

Three Months Ended Nine Months Ended September 30, 2018 September 30, 2017 June 30, 2018 September 30, 2018 September 30, 2017 Reconciliation of net income (loss) to FFO and Core FFO: Net income (loss) $ 44,261 $ (25,403) $ (36,578) $ 10,398 $ 114,408 Real estate depreciation and amortization (including our share of unconsolidated joint ventures) 66,533 68,523 66,711 200,404 204,023 Real estate impairment loss - - 46,000 46,000 - Gain on sale of depreciable real estate (36,845) - - (36,845) (110,583) FFO (1) 73,949 43,120 76,133 219,957 207,848 Less FFO attributable to noncontrolling interests in: Consolidated joint ventures (12,432) 5,152 (10,840) (33,479) (9,783) Consolidated real estate fund (86) (114) (152) (668) (20,530) FFO attributable to Paramount Group Operating Partnership 61,431 48,158 65,141 185,810 177,535 Less FFO attributable to noncontrolling interests in Operating Partnership (5,825) (4,628) (6,206) (17,616) (20,098) FFO attributable to common stockholders (1) $ 55,606 $ 43,530 $ 58,935 $ 168,194 $ 157,437 Per diluted share $ 0.23 $ 0.18 $ 0.25 $ 0.70 $ 0.67

FFO $ 73,949 $ 43,120 $ 76,133 $ 219,957 $ 207,848 Non-core items: "Sting" taxes in connection with the sale of real estate 1,248 - - 1,248 - Transaction related costs 450 274 293 863 1,051 Our share of earnings from 712 Fifth Avenue in excess of distributions received and (distributions in excess of earnings) 398 691 (1,512) 81 (14,381) Realized and unrealized loss from unconsolidated real estate funds 270 4,034 74 475 6,281 Valuation allowance on preferred equity investment - 19,588 - - 19,588 After-tax net gain on sale of residential condominium land parcel - - - - (21,568) Loss on early extinguishment of debt - - - - 7,877 Unrealized gain on interest rate swaps (including our share of unconsolidated joint ventures) - - - - (2,750) Core FFO (1) 76,315 67,707 74,988 222,624 203,946 Less Core FFO attributable to noncontrolling interests in: Consolidated joint ventures (12,432) (9,656) (10,840) (33,479) (25,057) Consolidated real estate fund (86) (114) (152) (668) (242) Core FFO attributable to Paramount Group Operating Partnership 63,797 57,937 63,996 188,477 178,647 Less Core FFO attributable to noncontrolling interests in Operating Partnership (6,049) (5,568) (6,097) (17,867) (20,208) Core FFO attributable to common stockholders (1) $ 57,748 $ 52,369 $ 57,899 $ 170,610 $ 158,439 Per diluted share $ 0.24 $ 0.22 $ 0.24 $ 0.71 $ 0.67

Reconciliation of weighted average shares outstanding: Weighted average shares outstanding 240,447,921 239,445,810 240,336,485 240,365,882 235,151,398 Effect of dilutive securities 41,217 24,653 17,229 25,302 26,285 Denominator for FFO and Core FFO per diluted share 240,489,138 239,470,463 240,353,714 240,391,184 235,177,683 20 (1) Please see page 28 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 21 (1) Please see page 28 for our definition of this measure. Reconciliation of Non-GAAP Measures

NOI (unaudited and in thousands)

Three Months Ended Nine Months Ended September 30, 2018 September 30, 2017 June 30, 2018 September 30, 2018 September 30, 2017 Reconciliation of net income (loss) to NOI and Cash NOI: Net income (loss) $ 44,261 $ (25,403) $ (36,578) $ 10,398 $ 114,408 Add (subtract) adjustments to arrive at NOI and Cash NOI: Depreciation and amortization 64,610 66,515 64,775 194,541 198,143 General and administrative 14,452 14,470 17,195 44,278 44,624 Interest and debt expense 37,105 35,733 36,809 109,996 107,568 Loss on early extinguishment of debt - - - - 7,877 Transaction related costs 450 274 293 863 1,051 Income tax expense (benefit) 1,814 (1,010) (120) 2,171 4,242 NOI from unconsolidated joint ventures 4,448 4,993 4,569 13,757 14,774 Income from unconsolidated joint ventures (472) (671) (2,521) (2,931) (19,143) Loss from unconsolidated real estate funds 188 3,930 14 268 6,053 Fee income (4,079) (5,834) (5,409) (12,953) (19,838) Interest and other (income) loss, net (2,778) 17,668 (2,094) (6,888) 11,982 Real estate impairment loss - - 46,000 46,000 - Gain on sale of real estate (36,845) - - (36,845) (133,989) Unrealized gain on interest rate swaps - - - - (1,802) NOI (1) 123,154 110,665 122,933 362,655 335,950 Less NOI attributable to noncontrolling interests in: Consolidated joint ventures (18,303) (15,307) (16,674) (50,991) (39,536) Consolidated real estate fund 7 (21) (13) 20 (507) PGRE's share of NOI (1) $ 104,858 $ 95,337 $ 106,246 $ 311,684 $ 295,907

NOI (1) $ 123,154 $ 110,665 $ 122,933 $ 362,655 $ 335,950 Less: Straight-line rent adjustments (including our share of unconsolidated joint ventures) (15,752) (11,402) (16,853) (45,802) (44,121) Amortization of above and below-market leases, net (including our share of unconsolidated joint ventures) (3,724) (3,017) (4,141) (12,122) (13,716) Cash NOI (1) 103,678 96,246 101,939 304,731 278,113 Less Cash NOI attributable to noncontrolling interests in: Consolidated joint ventures (14,968) (12,412) (13,438) (41,599) (29,240) Consolidated real estate fund 7 (21) (13) 20 (507) PGRE's share of Cash NOI (1) $ 88,717 $ 83,813 $ 88,488 $ 263,152 $ 248,366 22 (1) Please see page 28 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 23 (1) Please see page 28 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 September 30, 2018 Total New York Washington, D.C. San Francisco Other PGRE's share of Cash NOI for the three months ended September 30, 2018 $ 88,717 $ 65,918 $ 5,389 $ 19,174 $ (1,764) Acquisitions (2) (458) - - (458) - Dispositions - - - - - Lease termination income (including our share of unconsolidated joint ventures) (506) (28) - (478) - Other, net 56 52 - 4 - PGRE's share of Same Store Cash NOI (1) for the three months ended September 30, 2018 $ 87,809 $ 65,942 $ 5,389 $ 18,242 $ (1,764)

Three Months Ended September 30, 2017 Total New York Washington, D.C. San Francisco Other PGRE's share of Cash NOI for the three months ended September 30, 2017 $ 83,813 $ 60,304 $ 8,658 $ 16,627 $ (1,776) Acquisitions - - - - - Dispositions (3) (1,059) - (1,059) - - Lease termination income (including our share of unconsolidated joint ventures) (886) (665) - (221) - Other, net 32 14 - 24 (6) PGRE's share of Same Store Cash NOI (1) for the three months ended September 30, 2017 $ 81,900 $ 59,653 $ 7,599 $ 16,430 $ (1,782)

Increase (decrease) in PGRE's share of Same Store Cash NOI $ 5,909 (4) $ 6,289 $ (2,210) (4) $ 1,812 $ 18

% Increase (decrease) 7.2% (4) 10.5% (29.1%) (4) 11.0%

(1) Please see page 28 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 (2099 Pennsylvania Avenue in Washington, D.C.) for the months in which they were not owned by us in both reporting periods. (4) Results primarily from free rent at 425 Eye Street in the three months ended September 30, 2018. Excluding this free rent, Same Store Cash NOI increased by 10.6% for 24 the total portfolio and 6.9% for our Washington, D.C. portfolio. Reconciliation of Non-GAAP Measures

SAME STORE RESULTS (unaudited and in thousands)

SAME STORE NOI (1) Three Months Ended September 30, 2018 Total New York Washington, D.C. San Francisco Other PGRE's share of NOI for the three months ended September 30, 2018 $ 104,858 $ 74,638 $ 7,903 $ 24,059 $ (1,742) Acquisitions (2) (587) - - (587) - Dispositions - - - - - Lease termination income (including our share of unconsolidated joint ventures) (506) (28) - (478) - Other, net 56 52 - 4 - PGRE's share of Same Store NOI (1) for the three months ended September 30, 2018 $ 103,821 $ 74,662 $ 7,903 $ 22,998 $ (1,742)

Three Months Ended September 30, 2017 Total New York Washington, D.C. San Francisco Other PGRE's share of NOI for the three months ended September 30, 2017 $ 95,337 $ 67,699 $ 9,099 $ 20,287 $ (1,748) Acquisitions - - - - - Dispositions (3) (1,208) - (1,208) - - Lease termination income (including our share of unconsolidated joint ventures) (886) (665) - (221) - Other, net 241 208 - 39 (6) PGRE's share of Same Store NOI (1) for the three months ended September 30, 2017 $ 93,484 $ 67,242 $ 7,891 $ 20,105 $ (1,754)

Increase in PGRE's share of Same Store NOI $ 10,337 $ 7,420 $ 12 $ 2,893 $ 12

% Increase 11.1% 11.0% 0.2% 14.4%

(1) Please see page 28 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 (2099 Pennsylvania Avenue 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 CASH NOI (1) Nine Months Ended September 30, 2018 Total New York Washington, D.C. San Francisco Other PGRE's share of Cash NOI for the nine months ended September 30, 2018 $ 263,152 $ 191,889 $ 23,957 $ 52,787 $ (5,481) Acquisitions (2) (4,188) (215) - (3,973) - Dispositions - - - - - Lease termination income (including our share of unconsolidated joint ventures) (750) (272) - (478) - Other, net 230 226 - 4 - PGRE's share of Same Store Cash NOI (1) for the nine months ended September 30, 2018 $ 258,444 $ 191,628 $ 23,957 $ 48,340 $ (5,481)

Nine Months Ended September 30, 2017 Total New York Washington, D.C. San Francisco Other PGRE's share of Cash NOI for the nine months ended September 30, 2017 $ 248,366 $ 175,217 $ 32,601 $ 45,812 $ (5,264) Acquisitions - - - - - Dispositions (3) (9,691) - (9,691) - - Lease termination income (including our share of unconsolidated joint ventures) (1,993) (906) - (1,087) - Other, net (55) 44 - 24 (123) PGRE's share of Same Store Cash NOI (1) for the nine months ended September 30, 2017 $ 236,627 $ 174,355 $ 22,910 $ 44,749 $ (5,387)

Increase (decrease) in PGRE's share of Same Store Cash NOI $ 21,817 (4) $ 17,273 $ 1,047 (4) $ 3,591 $ (94)

% Increase 9.2% (4) 9.9% 4.6% (4) 8.0%

(1) Please see page 28 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 and 2099 Pennsylvania Avenue in Washington, D.C.) for the months in which they were not owned by us in both reporting periods. (4) Same Store Cash NOI in the nine months ended September 30, 2018 includes free rent at 425 Eye Street. Excluding this free rent, Same Store Cash NOI increased by 26 10.4% for the total portfolio and 16.5% for our Washington, D.C. portfolio. Reconciliation of Non-GAAP Measures

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

SAME STORE NOI (1) Nine Months Ended September 30, 2018 Total New York Washington, D.C. San Francisco Other PGRE's share of NOI for the nine months ended September 30, 2018 $ 311,684 $ 220,524 $ 27,206 $ 69,450 $ (5,496) Acquisitions (2) (5,254) (173) - (5,081) - Dispositions - - - - - Lease termination income (including our share of unconsolidated joint ventures) (750) (272) - (478) - Other, net 230 226 - 4 - PGRE's share of Same Store NOI (1) for the nine months ended September 30, 2018 $ 305,910 $ 220,305 $ 27,206 $ 63,895 $ (5,496)

Nine Months Ended September 30, 2017 Total New York Washington, D.C. San Francisco Other PGRE's share of NOI for the nine months ended September 30, 2017 $ 295,907 $ 201,168 $ 35,535 $ 64,473 $ (5,269) Acquisitions - - - - - Dispositions (3) (9,840) - (9,840) - - Lease termination income (including our share of unconsolidated joint ventures) (1,993) (906) - (1,087) - Other, net (544) 238 - (659) (123) PGRE's share of Same Store NOI (1) for the nine months ended September 30, 2017 $ 283,530 $ 200,500 $ 25,695 $ 62,727 $ (5,392)

Increase (decrease) in PGRE's share of Same Store NOI $ 22,380 (4) $ 19,805 $ 1,511 $ 1,168 (4) $ (104)

% Increase 7.9% (4) 9.9% 5.9% 1.9% (4)

(1) Please see page 28 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 and 2099 Pennsylvania Avenue in Washington, D.C.) for the months in which they were not owned by us in both reporting periods. (4) Same Store NOI in the nine months ended September 30, 2017 included income from the accelerated amortization of a below-market lease liability in connection with a 27 tenant's lease modification. Excluding this income, Same Store NOI increased by 8.8% for the total portfolio and 6.0% 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, lease termination 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 28 revenue and the amortization of above and below-market leases.