European Guide Shopping Centres March 2012

// Introduction

Welcome to our first edition of ‘European Retail Guide - The uncertain economic climate of recent months has These challenging markets for retail property Shopping Centres’. This guide provides high-level data led to muted consumer spending in many European present a special opportunity to be well on the European shopping centre industry. It is designed markets. This economic slowdown, as well as growing positioned for the recovery that will come. We as a reference document for comparing shopping centre difficulties in securing financing and governmental at DTZ are now well placed to help our clients provision across major cities and identifying hotspots for permits in many countries is limiting new shopping centre throughout Europe and the rest of the world. future areas of development. The information provided is development. Consequently, demand for shopping We see huge potential to invest in quality retail similar for all cities in order to facilitate comparison. centres is focused mainly on established schemes property, for retailers to expand in new markets where retailers are still seeing opportunities, despite the and for preparation for new development. The guide includes: challenging conditions. In this new guide we assess Good asset management, including selective socio-economic trends, as well as trends in the retail refurbishment and redevelopment, a deep market in order to provide our view on the adequacy of »»statistics on the major cities and their respective understanding of markets backed by high current levels of shopping centre provision and identify national economies, including GDP growth, earnings and quality research and access to the best main hotspots for future opportunities. opportunities are our commitment to our retail sales figures clients. »»information on shopping centre provision, including We hope you enjoy this publication! DTZ and our clients are involved in all aspects number of existing schemes, as well as those in the of retail property, but we have a special pipeline passion for shopping centres: we are advising »»information on rents, lease structures and legal aspects on over 500 throughout Europe. Shopping centres offer a special place to do business »»a list of the five largest schemes in operation in each and are a great opportunity to add value. city, as well as a map locating them We think it is timely to prepare this guide and hope it will encourage all those involved in shopping centres to think about their next initiative to take advantage of a unique market Magali Marton Karine Woodford opportunity in 2012. Head of Head of CEMEA Occupier Research Research

Martyn Chase European Retail Sector Head

European Retail Guide - Shopping Centres | 03 // Table of content DTZ Retail EMEA key statistics 2011 Belgium______Latvia______

Brussels 10 52 We are involved in some 500 CZR______Lithuania______shopping centres advising 150 500 owners in EMEA. 12 Vilnius 54 Denmark______Netherlands______The total floor area is over 10m Amsterdam 56 Copenhagen 14 10m sq m (107m sq ft). Rotterdam 58 Estonia______Poland______Tallinn 16 "High We are involved in many more 60 Finland______street high street shops and retail Portugal______warehouse projects. 18 Lisbon 62 shops" France______Spain______Lille 20 "Key Our key clients include Unibail Lyon 22 Barcelona 64 Rodamco, ING, Henderson, La Salle, Hammerson, Westfield, Marseille 24 Madrid 66 clients" Paris 26 Klepierre and Corio. Sweden______Germany______Stockholm 68 Berlin 28 Our shopping centres are best Turkey______Cologne 30 "Best in in class: Westfield , Dusseldorf 32 Istanbul 70 Westfield Stratford City, Bullring 34 class" Birmingham, Zlote Tarasy United Kingdom______Hamburg 36 Warsaw and MyZeil Frankfurt are Leipzig 38 Birmingham 72 examples. 40 Bristol 74 Stuttgart 42 Cardiff 76 Hungary______Edinburgh 78 "Market We are market leader in UK, Glasgow 80 and . Budapest 44 Leeds 82 leader" Ireland______London 84 86 We are market leader for Dublin 46 Ukraine______shopping centre management: Italy______200 over 200 shopping centres in 88 EMEA. Milan 48 Rome 50

04 | European Retail Guide - Shopping Centres // European Retail Guide - Shopping Centres

A testing market but opportunities remain

»» The European economy is still struggling. The ongoing sovereign debt crisis has brought about strict austerity measures, low wage growth and rising unemployment across most of Europe. This is feeding through to lower confidence levels for both consumers and retailers, which in turn is impacting on overall spending levels.

»» Despite a weakening outlook, demand for shopping centre space is holding up, particularly in prime schemes where opportunities remain for retailers wanting to expand. Secondary centres, on the other hand, are bearing the brunt of the downturn, with falling demand and increasing vacancy. This is reinforcing polarisation in many markets.

»» Shopping centre development and supply per capita vary greatly by country and city. Compared to the European average of 382 sq m, Stockholm has the largest stock per inhabitant in Europe, whilst Vilnius has the lowest. The lack of shopping centre development in some markets can be due to a cultural preference for other retail formats (i.e. Vilnius) or to difficulties in obtaining government permits (i.e. Brussels, Milan).

»» As a result of the economic slowdown, development activity is declining and the number of openings is expected to be below average in the coming years. The most dramatic increases in modern shopping centre space will take place in the less developed CEE cities and Istanbul, where the relative undersupply of space is being addressed. Whilst in more mature markets, the focus will be on extensions, upgrades and regenerations rather than on new developments (i.e. Copenhagen, Prague).

»» Our new European retail guide on shopping centres assesses the socio-economic dynamics, as well as the strength of current shopping centre provision across 40 cities in order to form a view on future growth prospects both for existing schemes, as well as potential new developments.

»» We have identified the future hotspots as being those cities which offer strong economic growth and which are currently undersupplied in shopping centre stock. These include Vilnius, London, , Birmingham and Manchester.

European Retail Guide - Shopping Centres | 05 // European Retail Guide - Shopping Centres

ECONOMY »» On the other hand, the southern European cities of Milan, Lisbon and Rome, as well as Lille in are forecast to significantly underperform the European average over the next five years, Despite a weakening short-term economic outlook in the -zone, retail sales are forecast to rise with growth below 1%pa forecast. in the medium to longer term - although there are considerable differences between cities. »» Whilst retail sales growth is expected to be more positive for the medium to longer term, it is still modest and big differences between regions are apparent (Figure 2). The European average for »» The European economy is weakening. The ongoing sovereign debt crisis has brought about retail sales growth forecasts for 2012-2016 is 2%pa. Higher than average growth is expected in higher unemployment, low wage growth and generally diminished growth prospects for 2012 the Nordics, as well as the CEE countries. The strongest growth is forecast in Vilnius at 7.3%pa, across Europe. This is feeding through to lower confidence levels for both consumers and following by Riga at 6.4%pa (Figure 2). retailers, which in turn is impacting on overall spending levels. »» Vilnius, Riga, Warsaw, Istanbul and Tallin display the strongest economic performance over the »» Despite this, GDP growth is forecast to be positive for the medium to longer term. Marked forecast period. Unsurprisingly, the cities with lowest growth are all located in peripheral euro- differences between cities exist with only modest growth forecast in most markets. zone economies. In Lisbon, retail sales are forecast to fall by 1.2%pa, while in Milan they are »» Central & Eastern European (CEE) cities, the Baltic capitals and Istanbul are forecast to show forecast to drop by 0.3%pa. the strongest GDP growth over the next five years. Vilnius is forecast to show growth of 6.7%pa, followed by Kyiv, where growth of 5.5%pa is forecast. The Nordic cities of Helsinki and Stockholm are forecast to show slightly above average growth over the same time period, of 3.3%pa and 3.1%pa respectively (Figure 1).

Figure 1 Figure 2 GDP growth forecasts in selected European cities (2012-16) Retail sales growth forecasts in selected European cities (growth 2012-16)

Vilnius Vilnius Kyiv Riga Warsaw Warsaw Riga Istanbul Istanbul Tallinn Helsinki Helsinki Hamburg Stockholm Prague London London Hamburg Munich Stockholm Budapest Glasgow Prague Manchester Dublin Bristol European average Edinburgh Manchester Leeds Brussels Birmingham Bristol Cardiff Amsterdam Copenhagen European average Edinburgh Budapest Leeds Marseille Glasgow Paris Rotterdam Lyon Cologne Lyon Amsterdam Paris Munich Cardiff Copenhagen Madrid Leipzig Birmingham Rotterdam Stuttgart Madrid Marseille Frankfurt Frankfurt Lille Leipzig Barcelona Dusseldorf Berlin Berlin Rome Barcelona Stuttgart Rome Brussels Lisbon Lille Dusseldorf Milan Dublin Milan 0% 1% 2% 3% 4% 5% 6% 7% 8% Lisbon -2% -1% 0% 1% 2% 3% 4% 5% 6% 7% 8%

06 | European Retail Guide - Shopping Centres Source DTZ Research // European Retail Guide - Shopping Centres

Shopping Centre Provision

Uncertain market conditions are creating subdued and highly selective occupier demand, reinforcing polarisation between prime and secondary schemes in a number of cities.

»» Despite the weakening economic conditions across the region, demand for Figure 3 shopping centre space is holding up. However, retailers remain cautious, Total shopping centre* stock per ‘ 000 population in selected European cities (2012) favouring prime space in prime schemes. As a result, secondary shopping centres are lagging behind with increasing vacancy rates. This reinforces the Stockholm polarisation between prime and secondary centres, a trend which is apparent Riga Tallinn throughout much of the region. Warsaw Copenhagen Prague »» As at the beginning of 2012, total shopping centre stock across Europe Bristol approached 150 million sq m. The UK, France, , and have Dublin Glasgow the largest shopping centre stock, accounting for 60% of the overall European Frankfurt Helsinki provision. Although accounts for the largest share of existing Lisbon Madrid stock, development activity has been largely concentrated in the CEE countries Cardiff and in recent years. Budapest Edinburgh European average »» There are marked differences in provision at city level. Compared to the European Manchester Berlin average of 382 sq m, Stockholm and the Baltic cities of Riga and Tallinn seem Leipzig largely over-supplied with stock in excess of 800 sq m. At the other end of the Hamburg Leeds scale, Vilnius, Stuttgart, Cologne and Dusseldorf, as well as Rotterdam all have London Birmingham underdeveloped markets. Lyon Kyiv » There are a number of reasons why cities may be undersupplied. In some Marseille » Barcelona markets, high street retail is still the favoured format ( i.e. Vilnius), whilst in others Brussels Rome the difficulty in obtaining building permits severely restricts development. It is Istanbul Amsterdam worth noting also that in some cities all of the shopping centre provision is found Lille in out of town locations rather than in the city itself (i.e. Paris). Munich Milan Dusseldorf »» CEE cities account for the largest share of the European pipeline. Turkey is also Cologne Paris witnessing strong growth, with most of the activity focused in Istanbul, where Rotterdam 28 schemes are planned. The largest of these is Marmara Park, a 100,000 sq Stuttgart Vilnius m scheme scheduled for completion later this year. Other cities to have large pipelines are Kyiv, Warsaw and Budapest. Interestingly, whilst Stockholm is 0 100 200 300 400 500 600 700 800 900 1000 already relatively oversupplied, there are a further 15 schemes planned to come on stream. In the more mature markets, the focus will be on extensions and Shopping centre floor space per 1,000 population (sq m) upgrades rather than expansions, as investors refocus on maintaining and Source DTZ Research strengthening existing assets in the current weak economic environment. *Shopping centre: Defined as a grouping of shops and services with a minimum GLA of 5,000 sq m, conceived, built and managed as one entity.

European Retail Guide - Shopping Centres | 07 // European Retail Guide - Shopping Centres Statistics

Figure 4 - Shopping Centre Statistics in selected European cities (as at Feb 2012)

Total SCs Number of Total SCs Number of Total SC Total SC Country City per '000 schemes in the Country City per '000 schemes in the floorspace (sq m) floorspace (sq m) population pipeline population pipeline Brussels 255 316 233 1 Vilnius 429 000 130 2 Prague 854 535 687 1 Amsterdam 237 441 189 2 Netherlands Copenhagen 500 867 750 0 Rotterdam 185 800 136 1 Tallinn 426 460 808 3 Poland Warsaw 1 350 000 785 15 Helsinki 680 000 472 2 Portugal Lisbon 960 000 472 n/a Lille 460 500 179 3 Barcelona 1 319 286 243 2 Spain Lyon 447 764 260 4 Madrid 2 884 338 451 4 France Marseille 507 832 252 6 Stockholm 1 805 000 879 15 Paris 316 240 141 10 Turkey Istanbul 2 982 284 220 28 Berlin 1 276 000 369 4 Birmingham 298 000 286 0 Cologne 157 300 157 0 Bristol 291 000 653 2 Dusseldorf 80 900 138 0 Cardiff 195 000 415 0 Frankfurt 326 602 491 2 Edinburgh 198 000 404 1 Germany Hamburg 587 790 327 2 Glasgow 352 000 591 0 Leipzig 182 329 351 1 Leeds 247 000 306 1 Munich 236 900 174 0 London 904 000 291 2 Stuttgart 80 000 133 1 Manchester 536 000 367 1 Budapest 700 000 410 12 Kyiv 720 800 257 16 Ireland Dublin 703 290 595 0 Milan 695 000 176 4 Italy European City figures 26 933 495 382 152 Rome 947 921 228 4 Source : DTZ Research Riga 615 000 876 0

08 | European Retail Guide - Shopping Centres // European Retail Guide - Shopping Centres

Shopping Centre FUTURE HOTSPOTS Figure 5: Current shopping centre floorspace per ‘ooo population and retail sales growth (2012-2016) in major European cities We define those cities which offer the greatest potential for future growth as our future hotspots. These include Vilnius, London and Hamburg.

Location based retail sales »» The chart across gives an indication of how developed European cities are in growth, 2012-2016 terms of shopping centre development, as well as how dynamic their economies 8% are. Plotted together this allows us to identify cities which offer good future Vilnius growth prospects both for existing schemes and new developments. 7% STABLE Riga »» In the ‘stable’ category we have markets which have above average shopping 6% centre provision and above average forecast retail sales growth. These are stable Warsaw 5% markets; whilst existing provision will benefit from strong retail sales growth Tallinn over the forecast period, these cities are displaying signs of market saturation. STRONG This could potentially limit future development. Cities in this category include 4% Stockholm and Warsaw. Hamburg Helsinki 3% London Prague Stockholm Manchester

Birmingham STAGNANT Bristol »» The ‘stagnant’ markets are cities which display high shopping centre provision Paris European 2% Amsterdam Marseille Budapest average per capita but below average retail sales growth forecasts. The performance Lyon Munich Copenhagen of existing schemes or future growth prospects will be hampered by stalling Madrid 1% Rotterdam economies. These include Dublin, Frankfurt and Madrid, with the worst case Lille Barcelona Frankfurt Stuttgart Berlin being Lisbon. Rome EMERGING Dublin 0% Dusseldorf Brussels 0 100 Milan 200 300 400 500 600 700 800 900 1 000 »» ‘Emerging’ markets, whilst offering potential as they are under-supplied in -1% terms of shopping centre provision, display weak retail sales growth forecast Lisbon

figures. The short to medium term outlook is one of muted growth. Cities in this -2% category include those in the Benelux, France and Germany. Shopping centre floor space per 1,000FIGURE population 5 »» The future HOTSPOTS (i.e. cities which offer the greatest potential for future growth) are those situated in the ‘strong’ category. These are currently undersupplied but offer strong economic growth in the medium term, which will boost retail sales. This will benefit existing schemes and also provide considerable opportunity for new development. In this category we have Vilnius, London, Hamburg and Birmingham.

European Retail Guide - Shopping Centres | 09 Brussels, Belgium Overall city score Retail sales Pop. growth + »» -- »» growth // Key Local Indicators Brussels Belgium Europe »» Population 2011, (in ‘000) 1 094 10 899 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,5 0,3 0,2 »» Age structure, 15-64 (%) 66 66 66 »» GDP growth, 2007-2011 (%pa) 0,8 1,1 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 2,2 1,8 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 0,0 0,7 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 0,3 1,1 1,4 »» CPI 2011 (%) n/a 3,5 0,3 »» ILO unemployment rate 2011 (%) 14,8 7,0 9,4 »» Consumer expenditure per capita, 2011 15 006 € 15 379 € 13 070 € »» Average earnings 17 374 € 17 942 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 476 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 17 63 5 128 »» Number of shopping centres in the pipeline 1 18 626 »» Total shopping centre floorspace (sq m) 255 316 1 018 521 117 383 310 »» Total shopping centre floorspace (per ’000 population) 233 93 326 »» Prime shopping centre rents (units of 2,000 sq m) 1 500 1 500 n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/year Brussels »» Inclusions None Difficulties in securing financing and governmental permits are limiting shopping centre development. No shopping centres larger than 8,000 sq m are expected to open between now and 2013. // Lease Structures and Legal Aspects »» Standard lease document Retail lease contract (1951 law) »» Typical lease length 9 years »» Typical incentives Rent free period (usually 1 year of gratuity) »» Statutory rights to renew the lease Yes for both parties 9 years; review possible every 3 years if market condi- »» Frequency of rent reviews tions have changed significantly (+15% or - 15% of the initial rent) Annually if agreed in the leasing contract. Indexation is »» Frequency and basis of indexation of rent calculated on the Belgian Health Index

10 | European Retail Guide - Shopping Centres Brussels, Belgium

// Major shopping centres in operation in Brussels (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) 1978 renova- 1 51 000 AG Real Estate 105 15 659 n/a n/a City 2 ted in 1999 Key tenants: Fnac; carrefour, Zara; Sports World The "W" Shopping SA L'Investissement Fon- 1968 renova- cier Woluwe Shopping 2 42 677 136 8 412 n/a n/a (Woluwe Shopping ted in 2004 Center (Certificat Fortis Centre) RE) Key tenants: Galeria Inno; ; Match; H&M Investissement foncier Westland Shopping 1972 renova- Westaldn Shopping 3 37 450 126 7 732 n/a n/a Center ted in 2000 Center SA (Fortis RE + Redevco) Key tenants: C&A; Delhaize; New Look; Zara

Basilix Shopping 1984 renova- ImmoBasilix (certificat 4 16693 64 3 400 n/a n/a Center ted in 2004 KBC) Key tenants: Brico; Media Markt; Hema; Blokker 1961 renova- 5 12 353 SA Toison d'Or 41 5 000 n/a n/a Galerie Toison d'Or ted in 2010 Key tenants: Fnac, AS Adventure, Desigual, Maxitoys

4

1 Brussels

Galeries de la Reine- Brussels 3 5 2

European Retail Guide - Shopping Centres | 11 Prague, CZR Overall city score Retail sales Pop. growth - »» ++ »» growth // Key Local Indicators Prague CZR Europe »» Population 2011, (in ‘000) 1 245 10 520 502 711 »»GDP growth + »» Population growth, 2012-2016 (annual %) 0,2 0,0 0,2 »» Age structure, 15-64 (%) 70 70 66 »» GDP growth, 2007-2011 (%pa) 3,2 1,7 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 2,6 2,1 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 2,4 1,9 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 3,0 2,4 1,4 »» CPI 2011 (%) n/a 1,9 0,3 »» ILO unemployment rate 2011 (%) 3,6 6,8 9,4 »» Consumer expenditure per capita, 2011 6 824 € 5 496 € 13 070 € »» Average earnings 7 975 € 6 095 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 422 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 30 88 5 128 »» Number of shopping centres in the pipeline 1 4 626 »» Total shopping centre floorspace (sq m) 854 535 2 116 189 117 383 310 »» Total shopping centre floorspace (per ’000 population) 687 201 326 »» Prime shopping centre rents (units of 50-100 sq m) 70-80 45-70 n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Prague The limited availability of bank financing is causing a restriction of new »» Inclusions None retail space. As such, shopping centre development has been struggling with the focus moving towards refurbishments of existing schemes. // Lease Structures and Legal Aspects »» Standard lease document Lease Agreement »» Typical lease length 5 years »» Typical incentives Rent free period and/or fit-out contribution »» Statutory rights to renew the lease After 5 years »» Frequency of rent reviews Annual indexation »» Frequency and basis of indexation of rent HICP, Czech CPI

12 | European Retail Guide - Shopping Centres Prague, CZR

// Major shopping centres in operation in Prague (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Letnany 1999 - 2007 125 000 Tesco Stores 150 n/a n/a n/a

Key tenants: Tesco,C&A, Marks&Spencer, Zara,Palace Cinemas, Aquacentrum Letnany Lagoon

2 Centrum Chodov 2005 57 736 Unibail-Rodamco 213 n/a n/a n/a

Key tenants: Albert, Marks&Spencer, Zara, New Yorker, Hervis, Datart, Bambule, H&M, C&A, BATA, Humanic, Deichman, Armani Jeans, Mac, Rituals, Paul bakery

3 Nový Smíchov 2002 55 800 Klépierre 150 n/a n/a n/a

Key tenants: Tesco, H&M, Marks&Spencer, Zara, Palace Cinemas

4 Metropole Zlicín 2002 & 2004 55 000 Commerz Grundbesitz 130 n/a n/a n/a

Key tenants: Marks&Spencer, Interspar, C&A, Kenvelo, Cinema City, Family Fitness Centrum Cerný Most & 5 CCM Entretainment centre 1997 & 2000 53 320 Unibail-Rodamco 73 n/a n/a n/a

Key tenants: Globus, H&M, C&A, Datart, Bambule, Gigasport, Holmes Place, CineStar

1

5 Prague

4 3 2 Palac Flora - Prague

European Retail Guide - Shopping Centres | 13 Copenhagen, Denmark Overall city score Retail sales Pop. growth + »» -- »» growth // Key Local Indicators Copenhagen Denmark Europe »» Population 2011, (in ‘000) 668 5 552 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,5 0,2 0,2 »» Age structure, 15-64 (%) 67 65 66 »» GDP growth, 2007-2011 (%pa) 0,2 -0,6 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 2,0 2,0 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -2,7 -2,5 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 1,6 1,8 1,4 »» CPI 2011 (%) n/a 2,8 0,3 »» ILO unemployment rate 2011 (%) n/a 7,5 9,4 »» Consumer expenditure per capita, 2011 18 823 € 18 265 € 13 070 € »» Average earnings 18 248 € 17 764 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 465 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 23 108 5 128 »» Number of shopping centres in the pipeline 0 8 626 »» Total shopping centre floorspace (sq m) 500 867 1 821 040 117 383 310 »» Total shopping centre floorspace (per ’000 population) 750 328 326 »» Prime shopping centre rents (units of 200 sq m) 4,000-4,500 2,500-3,000 n/a »» Basis of measurement GLA sq m

»» Unit of measurement DKK/sq m/pa Copenhagen Growth in population and purchasing power is leading to increased »» Inclusions None polarisation, with large schemes benefitting from increased footfall and modernisations and smaller ones suffering from increased vacancies. // Lease Structures and Legal Aspects »» Standard lease document Lease contract »» Typical lease length 5 years Fit-out contribution and rent rebate dependant on centre »» Typical incentives and location »» Statutory rights to renew the lease Automatically renew on rolling break basis »» Frequency of rent reviews No sooner than 4 years from the last formal review »» Frequency and basis of indexation of rent Annual - Danish nettoprisindex

14 | European Retail Guide - Shopping Centres Copenhagen, Denmark

// Major shopping centres in operation in Copenhagen (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Fields 2004 74 000 Steen & Strøm 128 6 800 93 2 750

Key tenants: Bilka, H&M, Elgiganten, Fona, Toys R Us, SportsMaster, Stadium

2 City Two 1975 63 000 Danica 91 3 800 90 1 143

Key tenants: Føtex, H&M, Fona, SportMaster

3 Fisketorvet 2000 39 000 Unibail Rodamco 106 8 200 95 1 514

Key tenants: Føtex, H&M, Elgiganten, Bahne, Stadium, SportsMaster, McDonalds

4 Rødovre Centret 1966 38 200 A/S Rødovre Centrum 119 n/a 100 1 869

Key tenants: Føtex, Irma, Super Best, H&M, Fona, Punkt 1, SportMaster, Stadium

5 Lyngby Store Centre 1973 34 000 Lyngby Storecenter ApS 106 5 900 100 1 794

Key tenants: Føtex, Irma, H&M, Punkt 1, Fona, Expert, SportsMaster, Stadium, Intersport Copenhagen 5

Copenhagen 4 3

2 1 European shopping centre - Copenhagen European Retail Guide - Shopping Centres | 15 Tallinn, Estonia Overall city score Retail sales Pop. growth - »» -- »» growth // Key Local Indicators Tallinn Estonia Europe »» Population 2011, (in ‘000) 528 1 337 502 711 »»GDP growth ++ »» Population growth, 2012-2016 (annual %) 0,1 -0,2 0,2 »» Age structure, 15-64 (%) 68 68 66 »» GDP growth, 2007-2011 (%pa) -0,4 0,0 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 4,6 4,1 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -2,5 -1,8 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 4,8 4,3 1,4 »» CPI 2011 (%) n/a 5,0 0,3 »» ILO unemployment rate 2011 (%) n/a 13,0 9,4 »» Consumer expenditure per capita, 2011 5 965 € 4 507 € 13 070 € »» Average earnings 7 263 € 5 171 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 413 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 12 n/a 5 128 »» Number of shopping centres in the pipeline 3 n/a 626 »» Total shopping centre floorspace (sq m) 426 460 n/a 117 383 310 »» Total shopping centre floorspace (per ’000 population) 808 n/a 326 »» Prime shopping centre rents (units of 2,000 sq m) 12-45 n/a n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Tallinn Tallinn’s retail market comprises department stores and shopping centres. »» Inclusions None Popular schemes include the Viru Centre and Centre. No major developments were competed in 2011 but in September the Magistral // Lease Structures and Legal Aspects Centre closed for refurbishment. »» Standard lease document Lease agreement »» Typical lease length 5-10 years »» Typical incentives Fit-out contribution, temporary discounts »» Statutory rights to renew the lease After 5 years »» Frequency of rent reviews Annual indexation »» Frequency and basis of indexation of rent CPI

16 | European Retail Guide - Shopping Centres Tallinn, Estonia

// Major shopping centres in operation in Tallinn (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Rocca al Mare 1998 53 300 Citycon 165 6 400 100 €122m

Key tenants: Prisma, Vero Moda, Jack and Jones, Monton, New Yorker, Marks & Spencer, Lindex, NS Kings

2 Kristiine Keskus 1999 42 500 Citycon 170 7 100 100 €102m

Key tenants: Prisma, Marks & Spencer, Zara, New Yorker, Benetton, JYSK, Sportland, Euronics, Prisma

3 Järve Keskus 2000 41 800 Silikaat Grupp 108 n/a 100 n/a

Key tenants: Selver, Aatrium, Diivanparadiis, Rademar, Huppa, DenimDream

4 Ulemiste Keskus 2004 37 500 Linstow 160 4 800 99 €95m

Key tenants: Rimi, Lindex, Monton, Mustang, New Yorker, Promod, Reserved, Seppälä, Mobbel Zip

5 2004 26 300 SRV 100 11 000 99 €117m

Key tenants: Kaubamaja, Vero Moda, DenimDream, Rademar, Esprit, Mango, Promode, Terranova

5

2 Tallinn 4 Viru Keskus - Tallinn 1

3 European Retail Guide - Shopping Centres | 17 Helsinki, Finland Overall city score Retail sales Pop. growth ++ »» ++ »» growth // Key Local Indicators Helsinki Finland Europe »» Population 2011, (in ‘000) 1 440 5 380 502 711 »»GDP growth ++ »» Population growth, 2012-2016 (annual %) 1,0 0,3 0,2 »» Age structure, 15-64 (%) 67 66 66 »» GDP growth, 2007-2011 (%pa) 0,9 0,9 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 3,3 2,5 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 2,1 1,9 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 3,4 2,9 1,4 »» CPI 2011 (%) n/a 3,4 0,3 »» ILO unemployment rate 2011 (%) 6,9 7,9 9,4 »» Consumer expenditure per capita, 2011 18 014 € 16 303 € 13 070 € »» Average earnings 20 444 € 18 080 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 535 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 32 74 5 128 »» Number of shopping centres in the pipeline 2 5 626 »» Total shopping centre floorspace (sq m) 680 000 1 500 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 472 279 326 »» Prime shopping centre rents (units of 2,000 sq m) 20 12 n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Helsinki Future shopping centre development is expected both in the centre »» Inclusions None of Helsinki as well as in edge of town locations. The latter continue to dominate shopping centre supply. // Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 5 years Typically none; sometimes fit-out contributions or rent »» Typical incentives free period for tenants »» Statutory rights to renew the lease None »» Frequency of rent reviews Annual indexation »» Frequency and basis of indexation of rent Finnish CPI

18 | European Retail Guide - Shopping Centres Helsinki, Finland

// Major shopping centres in operation in Helsinki (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) Wereldhave N.V.// 1 1984 117 131 265 20 100 98 451 mn Itäkeskus City of Helsinki Key tenants: Stockmann, H&M, Kesko, Bestseller, Nordea Bank KEVA, Etera Mutual Pen- 2 Sello 2003 102 000 sion Insurance Company, 172 21 900 98 357 mn Pension Fennia

Key tenants: S-Group, Kesko, Halonen Rodamco, Pension Fen- 3 1998 85 000 121 8 700 98 414 mn Jumbo nia, HOK-Elanto, Kesko Key tenants: Stockmann, Kesko, S-Group, H&M, Marimekko Citycon Oyj, GIC Real 4 2001 60 500 100 8 800 98 237 mn Estate Key tenants: Kesko, S-Group, Finnkino, Library, H&M Cornerstone Nordic Retail 5 2006 44 429 120 34 000 98 231 mn Kamppi Fund Key tenants: Calvin Klein, Companies, Marc O Polo, Esprit, Guess, Nike Store, Moda, Kesko

3

1 2 Shopping centre - Helsinki

4 Helsinki 5 European Retail Guide - Shopping Centres | 19 Lille, France Overall city score Retail sales Pop. growth - »» -- »» growth // Key Local Indicators Lille France Europe »» Population 2011, (in ‘000) 2 569 65 182 502 711 »»GDP growth -- »» Population growth, 2012-2016 (annual %) 0,2 0,4 0,2 »» Age structure, 15-64 (%) 65 64 66 »» GDP growth, 2007-2011 (%pa) 0,2 0,5 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 0,8 1,8 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 1,7 2,1 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 0,8 2,0 1,4 »» CPI 2011 (%) n/a 2,0 3,0 »» ILO unemployment rate 2011 (%) 13,3 9,6 9,4 »» Consumer expenditure per capita, 2011 14 172 € 15 587 € 13 070 € »» Average earnings 16 497 € 18 589 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 482 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 16 597 5 128 »» Number of shopping centres in the pipeline 3 73 626 »» Total shopping centre floorspace (sq m) 460 500 14 807 100 117 383 310 »» Total shopping centre floorspace (per ’000 population) 179 227 326 »» Prime shopping centre rents (units of 150-200 sq m) 750/850 € 400/600€ n/a »» Basis of measurement GLA sq m »» Unit of measurement €/sq m/year Lille »» Inclusions None Lille’s shopping centre market is dominated by ‘Euralille’, home to 140 retailers and anchored by a Carrefour hypermarket. A new scheme ‘Lillenium’ is due to open in 2014 to the south of the city. // Lease Structures and Legal Aspects »» Standard lease document Commercial lease »» Typical lease length 10-12 years Mature = none, except for medium size units : cap of »» Typical incentives service charges. For new centres, step rents and cap of services charges for MSU »» Statutory rights to renew the lease Yes »» Frequency of rent reviews Lease expiry »» Frequency and basis of indexation of rent Annual, with ILC

20 | European Retail Guide - Shopping Centres Lille, France

// Major shopping centres in operation in Lille (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) €5,072/ 1 1994 66 700 Unibail-Rodamco 112 12 000 n/a Eurallile sq m/year Key tenants: Carrefour, Go Sport, H&M, Zara €6,868/ 2 1977 51 300 Unibail-Rodamco 140 12 000 n/a Villeneuve 2 sq m/year Key tenants: Auchan, C&A, H&M, Bershka €6,163 3 1974 47 200 Immochan 78 n/a n/a Auchan Les Géants sq m/year Key tenants: Auchan, Auchan Drive, Le Furet du Nord, Zara,

4 Espace Grand'Rue 2002 36 600 Altaréa 50 5 400 n/a n/a

Key tenants: Géant Casino, H&M, Le Furet du Nord, Kiabi

5 Auchan 1994 36 000 Immochan 60 n/a n/a n/a

Key tenants: Auchan, Auchan Drive, Douglas

Roubaix 4

1 Lille 2 3 Euralille - Lille

5

European Retail Guide - Shopping Centres | 21 Lyon, France Overall city score Retail sales Pop. growth + »» - »» growth // Key Local Indicators Lyon France Europe »» Population 2011, (in ‘000) 1 725 65 182 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,7 0,4 0,2 »» Age structure, 15-64 (%) 64 64 66 »» GDP growth, 2007-2011 (%pa) 0,3 0,5 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,7 1,8 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 2,2 2,1 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 1,8 2,0 1,4 »» CPI 2011 (%) n/a 2,0 3,0 »» ILO unemployment rate 2011 (%) 8,5 9,6 9,4 »» Consumer expenditure per capita, 2011 16 512 € 15 587 € 13 070 € »» Average earnings 19 952 € 18 589 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 482 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 12 597 5 128 »» Number of shopping centres in the pipeline 4 73 626 »» Total shopping centre floorspace (sq m) 447 764 14 807 117 117 383 310 »» Total shopping centre floorspace (per ’000 population) 260 227 326 »» Prime shopping centre rents (units of 150-200 sq m) 1500 - 1600 400-600 n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/year Lyon Continued uncertainty surrounding the economic outlook has led to »» Inclusions None restrictive development in recent years. A new retail project ‘Up in Lyon’ is expected to bring 20,000 sq m of new retail space to the city. // Lease Structures and Legal Aspects »» Standard lease document Commercial lease »» Typical lease length 10-12 years Mature = none, except for medium size units : cap of »» Typical incentives service charges. For new centres, step rents and cap of service charges for MSU »» Statutory rights to renew the lease Yes »» Frequency of rent reviews Lease expiry »» Frequency and basis of indexation of rent Annual, with ILC

22 | European Retail Guide - Shopping Centres Lyon, France

// Major shopping centres in operation in Lyon (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) €8,782/ 1 1975 126 460 Unibail-Rodamco 241 32 000 n/a La Part-Dieu sq m/ year Key tenants: Carrefour Hypermarket, Galeries Lafayette, Decathlon, Fnac

2 Carré de Soie 2009 75 292 Altaréa 60 5 500 n/a n/a

Key tenants: Jardiland, Castorama, Saturn, Go Sport €7,771 €/ 3 1972 46 078 Klépierre 88 7 500 100 Ecully Grand Ouest sq m/year Key tenants: Carrefour Planet, Decitre, Camaïeu, Sephora

4 Sept Chemins 1988 36 000 Klépierre 45 2 900 100 n/a

Key tenants: Carrefour hypermarket, Jennyfer, Marionnaud

5 Porte des Alpes 1981 35 000 Immochan 60 n/a n/a n/a

Key tenants: Auchan hypermarket, Nocibé, Sephora

3 1 2 Lyon 4

La Part-Dieu - Lyon 5

European Retail Guide - Shopping Centres | 23 Marseille, France Overall city score Retail sales Pop. growth + »» ++ »» growth // Key Local Indicators Marseille France Europe »» Population 2011, (in ‘000) 2 015 65 182 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,6 0,4 0,2 »» Age structure, 15-64 (%) 63 64 66 »» GDP growth, 2007-2011 (%pa) 0,4 0,5 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,5 1,8 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 2,5 2,1 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 2,0 2,0 1,4 »» CPI 2011 (%) n/a 2,0 3,0 »» ILO unemployment rate 2011 (%) 10,3 9,6 9,4 »» Consumer expenditure per capita, 2011 15 591 € 15 587 € 13 070 € »» Average earnings 18 569 € 18 589 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 482 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 15 597 5 128 »» Number of shopping centres in the pipeline 6 73 626 »» Total shopping centre floorspace (sq m) 507 832 14 807 117 117 383 310 »» Total shopping centre floorspace (per ’000 population) 252 227 326 »» Prime shopping centre rents (units of 150-200 sq m) 1000-1100 400-600 n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/year Marseille »» Inclusions None Marseille’s city centre is witnessing a boom in shopping centre activity, with some large schemes expected to open in 2013/2014. These include ‘La Capelette’ and ‘Les Terrasses du Port’. // Lease Structures and Legal Aspects »» Standard lease document Commercial lease »» Typical lease length 10-12 years Mature = none, except for medium size units : cap of »» Typical incentives service charges. For new centres, step rents and cap of service charges for MSU »» Statutory rights to renew the lease Yes »» Frequency of rent reviews Lease expiry »» Frequency and basis of indexation of rent Annual, with ILC

24 | European Retail Guide - Shopping Centres Marseille, France

// Major shopping centres in operation in Marseille (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) Marseille Grand 1 1996 119 644 Corio 211 12 000 n/a n/a Littoral Key tenants: Carrefour, Leroy Merlin, Go Sport, Babou €7,419/ 2 1970 61 111 Klépierre 79 12 500 100% Grand Vitrolles sq m/year Key tenants: Carrefour, Castorama, Saturn

3 Auchan Barnéoud 1980 48 566 Immochan 70 n/a n/a na

Key tenants: Auchan, Parfumerie Trupheme, Courir

4 La Pioline 1973 32 617 Klépierre 34 5 800 87% na

Key tenants: Carrefour, Marionnaud

Valentine Grand 1970 5 renovated in 32 564 Mercialys 66 2 700 n/a n/a Centre 2011 Key tenants: Géant Casino, Nocibé, Courir 4 2

1

Marseille 3 Grand Littoral - Marseille 5

European Retail Guide - Shopping Centres | 25 Paris, France Overall city score Retail sales Pop. growth + »» -- »» growth // Key Local Indicators Paris France Europe »» Population 2011, (in ‘000) 2 248 65 182 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,5 0,4 0,2 »» Age structure, 15-64 (%) 67 64 66 »» GDP growth, 2007-2011 (%pa) 1,6 0,5 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,7 1,8 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 3,1 2,1 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 1,9 2,0 1,4 »» CPI 2011 (%) n/a 2,0 3,0 »» ILO unemployment rate 2011 (%) 8,1 9,6 9,4 »» Consumer expenditure per capita, 2011 26 694 € 15 587 € 13 070 € »» Average earnings 25 710 € 18 589 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 482 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 14 597 5 128 »» Number of shopping centres in the pipeline 10 73 626 »» Total shopping centre floorspace (sq m) 316 240 14 807 117 117 383 310 »» Total shopping centre floorspace (per ’000 population) 141 227 326 »» Prime shopping centre rents (units of 150-200 sq m) 2000-2200 400-600 n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/year Paris Despite muted consumer spending, a number of existing shopping centres »» Inclusions None are undergoing extensions and a number of projects are in the pipeline.

// Lease Structures and Legal Aspects »» Standard lease document Commercial lease »» Typical lease length 10-12 years Mature = none, except for medium size units (MSU): »» Typical incentives maximum of service charges. For new centres, step rents and cap of service charges for MSU »» Statutory rights to renew the lease Yes »» Frequency of rent reviews Lease expiry »» Frequency and basis of indexation of rent Annual, with ILC

26 | European Retail Guide - Shopping Centres Paris, France

// Major shopping centres in operation in Paris (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) €11,177 1 1981/2007 129 996 Unibail-Rodamco 235 33 000 n/a Les Quatre Temps sq m/year Key tenants: Auchan Hypermarket, C&A, Darty, Virgin Unibail-Rodamco/AXA €9,968 2 1979/1996 59 998 180 42 000 n/a des Halles Group sq m/year Key tenants: Esprit, New Look, Fnac, Etam, Darty €8,003 3 1976/2001 56 698 Hammerson 130 14 700 n/a Italie 2 sq m/year Key tenants: Fnac, Go Sport, Champion, Printemps €4,119 4 1973 35 433 n/a 68 n/a n/a Maine Montparnasse sq m/year Key tenants: Galeries Lafayette, C&A, Marionnaud €7775 5 1998 26 518 Altaréa 31 12 000 n/a Bercy Village sq m/year Key tenants: Monop Store, Board Riders, Sephora

1

Paris 2

Forum des Halles - Paris 4 3 5

European Retail Guide - Shopping Centres | 27 Berlin, Germany Overall city score Retail sales Pop. growth - »» -- »» growth // Key Local Indicators Berlin Germany Europe »» Population 2011, (in ‘000) 3 458 81 716 502 711 »»GDP growth -- »» Population growth, 2012-2016 (annual %) 0,4 -0,1 0,2 »» Age structure, 15-64 (%) 69 66 66 »» GDP growth, 2007-2011 (%pa) 2,3 1,2 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,1 1,7 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -1,0 -0,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 0,5 1,3 1,4 »» CPI 2011 (%) n/a 2,3 0,3 »» ILO unemployment rate 2011 (%) 11,7 6,0 9,4 »» Consumer expenditure per capita, 2011 13 863 € 16 182 € 13 070 € »» Average earnings 16 207 € 19 710 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 518 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 42 457 5 128 »» Number of shopping centres in the pipeline 4 74 626 »» Total shopping centre floorspace (sq m) 1 276 000 14 294 020 117 383 310 »» Total shopping centre floorspace (per ’000 population) 369 175 326 »» Prime shopping centre rents (units of 2,000 sq m) n/a n/a n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Berlin As growing tourism continues to boost Berlin’s retail market, several new »» Inclusions None shopping centres are in the pipeline. Among the most prominent is ‘Boule- vard Berlin’, a large inner-city retail centre in southern Berlin due for 2013. // Lease Structures and Legal Aspects »» Standard lease document Yes on tenant and landlord side »» Typical lease length 5 years + 5 years »» Typical incentives Rent free period (0-6 months), fit-out contribution No, but anchor tenants often have an option to prolong »» Statutory rights to renew the lease their contract »» Frequency of rent reviews Rare Based on development of CPI (triggers: change, time); »» Frequency and basis of indexation of rent Indexation needs a 5+5 or 10 year contract

28 | European Retail Guide - Shopping Centres Berlin, Germany

// Major shopping centres in operation in Berlin (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) H.F.S. Immobilienfonds 1 Gropius Passagen 1997 80 000 Deutschland 11 GmbH & 160 55 000 n/a n/a Co. KG Key tenants: Kaufland, Media Markt, Galeria Kaufhof, P&C, H&M

Alexa Shopping-und Union Investment Real 2 2007 56 200 180 30 000-100 000 n/a n/a Freizeitcenter Estate/Sonae Sierra Key tenants: Media Markt, Reichelt, Zara, H&M, LOXX Schliebe GmbH & Co. KG 3 1995 54 240 113 50 000 n/a n/a Ring-Center /Wieland GmbH & Co. KG Key tenants: Galeria Kaufhof, Kaiser's, real, H&M, MediMax

Potzdamer Platz SEB c/o PPMG Potsda- 4 1998 48 000 mer Platz Management 127 55 000 n/a n/a Arkaden GmbH Key tenants: Wöhrl, Saturn, Hugendubel, Zara W2005/W2007 Vernal 5 1999 46 652 103 20 000 n/a n/a Hallen am Borsigturm Asset 2 B.V. Key tenants: Netto, Media Markt, TK maxx, Rewe, H&M

Berlin 5 2 3 4 Friedrichstrasse - Berlin

1

European Retail Guide - Shopping Centres | 29 Cologne, Germany Overall city score Retail sales Pop. growth - »» ++ »» growth // Key Local Indicators Cologne Germany Europe »» Population 2011, (in ‘000) 1 002 81 716 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,3 -0,1 0,2 »» Age structure, 15-64 (%) 67 66 66 »» GDP growth, 2007-2011 (%pa) 0,1 1,2 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,8 1,7 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -1,5 -0,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 2,1 1,3 1,4 »» CPI 2011 (%) n/a 2,3 0,3 »» ILO unemployment rate 2011 (%) 6,2 6,0 9,4 »» Consumer expenditure per capita, 2011 16 712 € 16 182 € 13 070 € »» Average earnings 20 476 € 19 710 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 518 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 6 457 5 128 »» Number of shopping centres in the pipeline 0 74 626 »» Total shopping centre floorspace (sq m) 157 300 14 294 020 117 383 310 »» Total shopping centre floorspace (per ’000 population) 157 175 326 »» Prime shopping centre rents (units of 2,000 sq m) n/a n/a n/a »» Basis of measurement GLA sq m

» Unit of measurement €/sq m/month Cologne » For a long time, supply of retail space in Cologne’s prime retail streets has failed to »» Inclusions None meet demand. As a result, international and national retailers are looking outside these prime areas in order to expand their footprint. // Lease Structures and Legal Aspects »» Standard lease document Yes on tenant and landlord side »» Typical lease length 5 years + 5 years »» Typical incentives Rent free period (0-6 months), fit-out contribution No, but anchor tenants often have an option to prolong »» Statutory rights to renew the lease their contracts »» Frequency of rent reviews Rare Based on development of CPI (triggers: change, time); »» Frequency and basis of indexation of rent Indexation needs a 5+5 or 10 year contract

30 | European Retail Guide - Shopping Centres Cologne, Germany

// Major shopping centres in operation in Cologne (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) Rhein-Center Köln- 1 1972 48 000 KG Alster 189 25 000 n/a n/a Weiden Key tenants: Galeria Kaufhof, P&C, Saturn, Rewe, Zara, H&M, Anson's

City-Center Köln- Prime Commercial proper- 2 1976 33 000 100 30 000 n/a n/a Chorweiler ties management Ltd. Key tenants: C&A, Wehmeyer, H&M, Kaiser's, Netto Union Investment Real 3 2005 27 600 119 17 000 n/a n/a Köln Arcaden Estate gmbH Key tenants: Media Markt, C&A, toom, H&M, Müller Immobilienfonds Wohn- 4 DuMont-Carré 2001 19 100 und Geschäftshaus Köln 48 n/a n/a n/a Breite Straße GbR Key tenants: Kult/Planet, ProMarkt, Standa Supermercato, Buffet Chang

Neumarkt Galerie Neumarkt Galerie 5 1998 16 800 Immobiliengesellschaft 42 n/a n/a n/a Köln mbH & Co. KG Key tenants: Karstadt Sport, Mayersche Buchhandlung

2

Cologne

Köln Arcaden - Cologne 5 1 4 3

European Retail Guide - Shopping Centres | 31 Dusseldorf, Germany Overall city score Retail sales Pop. growth - »» -- »» growth // Key Local Indicators Dusseldorf Poland Europe »» Population 2011, (in ‘000) 587 81 716 502 711 »»GDP growth -- »» Population growth, 2012-2016 (annual %) 0,2 -0,1 0,2 »» Age structure, 15-64 (%) 66 66 66 »» GDP growth, 2007-2011 (%pa) 3,2 1,2 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,2 1,7 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 0,5 -0,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 0,2 1,3 1,4 »» CPI 2011 (%) n/a 2,3 0,3 »» ILO unemployment rate 2011 (%) 6,6 6,0 9,4 »» Consumer expenditure per capita, 2011 18 481 € 16 182 € 13 070 € »» Average earnings 23 222 € 19 710 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 518 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 4 457 5 128 »» Number of shopping centres in the pipeline 0 74 626 »» Total shopping centre floorspace (sq m) 80 900 14 294 020 117 383 310 »» Total shopping centre floorspace (per ’000 population) 138 175 326 »» Prime shopping centre rents (units of 2,000 sq m) n/a n/a n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Dusseldorf Some exciting new schemes are set to come on stream in Germany’s »» Inclusions None capital over the next few years, as developers respond to conti- nued strong demand and a lack of supply. // Lease Structures and Legal Aspects »» Standard lease document Yes on tenant and landlord side »» Typical lease length 5 years + 5 years »» Typical incentives Rent free period (0-6 months), fit-out contribution No, but anchor tenants often have an option to prolong »» Statutory rights to renew the lease their contracts »» Frequency of rent reviews Rare Based on development of CPI (triggers: change, time); »» Frequency and basis of indexation of rent Indexation needs a 5+5 or 10 year contract

32 | European Retail Guide - Shopping Centres Dusseldorf, Germany

// Major shopping centres in operation in Dusseldorf (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

KÖ Galerie City ECE Projektmanagment/ 1 1986 24 000 90 40 000 n/a n/a Center Merrill Lynch Key tenants: Jil Sander, Frankonia Jagd, Muji Ivanhoe c/o 2 2008 24 000 116 25 000 n/a n/a Düsseldorf Arkaden mfi AG

Key tenants: C&A, Media Markt, Aldi Süd, Just Fit Premium Schadow Arkaden 3 1994 17 400 68 23 500 n/a n/a Schadow Arkaden Betriebsgesellschaft Key tenants: Anson's, H&M, Esprit, Fitness First, Habitat

4 Sevens 2000 15 500 Sevens GmbH & Co. KG 35 15 000 n/a n/a

Key tenants: Saturn, Strenesse, joop!, Parfümerie Schnitzler

Dusseldorf

3

1 4

Kö Galerie -Dusseldorf 2

European Retail Guide - Shopping Centres | 33 Frankfurt, Germany Overall city score Retail sales Pop. growth - »» + »» growth // Key Local Indicators Frankfurt Germany Europe »» Population 2011, (in ‘000) 666 81 716 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,2 -0,1 0,2 »» Age structure, 15-64 (%) 67 66 66 »» GDP growth, 2007-2011 (%pa) 1,8 1,2 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,4 1,7 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 0,3 -0,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 0,9 1,3 1,4 »» CPI 2011 (%) n/a 2,3 0,3 »» ILO unemployment rate 2011 (%) 4,9 6,0 9,4 »» Consumer expenditure per capita, 2011 16 468 € 16 182 € 13 070 € »» Average earnings 20 104 € 19 710 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 518 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 5 457 5 128 »» Number of shopping centres in the pipeline 2 74 626 »» Total shopping centre floorspace (sq m) 326 602 14 294 020 117 383 310 »» Total shopping centre floorspace (per ’000 population) 491 175 326 »» Prime shopping centre rents (units of 2,000 sq m) n/a n/a n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Frankfurt Major retailers continue to flock to this important retail location. Space »» Inclusions None remains limited but the injection of some prestigious projects, including Goetheplaza, will help ease this. // Lease Structures and Legal Aspects »» Standard lease document Yes on tenant and landlord side »» Typical lease length 5 years + 5 years »» Typical incentives Rent free period (0-6 months), fit-out contribution No, but anchor tenants often have an option to prolong »» Statutory rights to renew the lease their contracts »» Frequency of rent reviews Rare Based on development of CPI (triggers: change, time); »» Frequency and basis of indexation of rent Indexation needs a 5+5 or 10 year contract

34 | European Retail Guide - Shopping Centres Frankfurt, Germany

// Major shopping centres in operation in Frankfurt (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 NordWestZentrum 1968 118 900 KG Nordtrakt 142 n/a n/a n/a

Key tenants: Galeria Kaufhof, Toom, Media Markt, Primark

Main-Taunus-Zen- Main-Tanus-Zentrum, 2 1964 109 200 170 40 000 n/a n/a trum Wieland KG

Key tenants: Hollister, Apple, Karstadt, Galeria Kaufhof, Breuninger, Media Markt, C&A

3 HessenCenter 1971 45 600 KG Farmsen mbH & Co. 115 25 000 n/a n/a

Key tenants: Galeria Kaufhof, Toom, H&M, Peek&Cloppenburg Palais Quartier GmbH & 4 2009 41 752 82 40 000 n/a n/a MyZeil Co. KG Key tenants: Hollister, Saturn, Rewe, Anson's

5 Zeilgalerie 1992 11 150 IFM Immobilien AG 54 n/a n/a n/a

Key tenants: United Colors of Benetton, H&M, Hut

1

3 4 2 Frankfurt 5

MyZeil - Frankfurt

European Retail Guide - Shopping Centres | 35 Hamburg, Germany Overall city score Retail sales Pop. growth ++ »» ++ »» growth // Key Local Indicators Hamburg Germany Europe »» Population 2011, (in ‘000) 1 825 81 716 502 711 »»GDP growth + »» Population growth, 2012-2016 (annual %) 1,1 -0,1 0,2 »» Age structure, 15-64 (%) 69 66 66 »» GDP growth, 2007-2011 (%pa) 1,1 1,2 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 3,0 1,7 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -0,4 -0,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 3,3 1,3 1,4 »» CPI 2011 (%) n/a 2,3 0,3 »» ILO unemployment rate 2011 (%) 5,9 6,0 9,4 »» Consumer expenditure per capita, 2011 19 178 € 16 182 € 13 070 € »» Average earnings 24 303 € 19 710 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 518 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 23 457 5 128 »» Number of shopping centres in the pipeline 2 74 626 »» Total shopping centre floorspace (sq m) 587 790 14 294 020 117 383 310 »» Total shopping centre floorspace (per ’000 population) 327 175 326 »» Prime shopping centre rents (units of 2,000 sq m) n/a n/a n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Hamburg Work continues apace on HafenCity, a prominent city centre waterfront »» Inclusions None development project which will increase the size of Hamburg’s city centre by 40% by 2025. // Lease Structures and Legal Aspects »» Standard lease document Yes on tenant and landlord side »» Typical lease length 5 years + 5 years »» Typical incentives Rent free period (0-6 months), fit-out contribution No, but anchor tenants often have an option to prolong »» Statutory rights to renew the lease their contracts »» Frequency of rent reviews Rare Based on development of CPI (triggers: change, time); »» Frequency and basis of indexation of rent Indexation needs a 5+5 or 10 year contract

36 | European Retail Guide - Shopping Centres Hamburg, Germany

// Major shopping centres in operation in Hamburg (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) Alstertal Einkaufs- 1 1970 70 800 KG Klosterstern 254 40 000 n/a n/a Zentrum Key tenants: Galeria Kaufhof, P&C, Apple Store, AppelrathCüppers, Zara, Anson's, H&M,

2 Hamburger Meile 1970 60 000 Real I.S. 150 30 000 n/a n/a

Key tenants: TK maxx, MediMax, H&M, Rewe Immobilien KG Schliebe 3 1966 51 600 170 30 000 n/a n/a Elbe Einkaufszentrum & Co. Key tenants: toom, P&C, C&A, Anson's, Zara, H&M

4 Billstedt-Center 1977 48 000 Dt. Euroshop AG 112 45 000 n/a n/a

Key tenants: Karstadt Warenhaus, toom, Media Markt, H&M, TK maxx

Quarree Wandsbek Union Investement Real 5 1988 36 400 91 40 000 n/a n/a Markt Estate GmbH Key tenants: Karstadt Sport, C&A, H&M, MediMax, Anson's

1

3 2 5 4

Hamburger Meile - Hamburg Hamburg

European Retail Guide - Shopping Centres | 37 Leipzig, Germany Overall city score Retail sales Pop. growth + »» -- »» growth // Key Local Indicators Leipzig Germany Europe »» Population 2011, (in ‘000) 0,5 -0,1 0,2 »»GDP growth - »» Population growth, 2012-2016 (annual %) 66 66 66 »» Age structure, 15-64 (%) 0,1 1,2 0,5 »» GDP growth, 2007-2011 (%pa) 1,4 1,7 2,2 »» GDP growth forecasts, 2012-2016 (%pa) -0,8 -0,4 2,4 »» Location based retail sales growth, 2007-2011 (%pa) 1,4 1,3 1,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 5,7 4,1 1,4 »» CPI 2011 (%) n/a 2,3 0,3 »» ILO unemployment rate 2011 (%) 10,5 6,0 9,4 »» Consumer expenditure per capita, 2011 13 851 € 16 182 € 13 070 € »» Average earnings 16 188 € 19 710 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 518 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 4 370 5 128 »» Number of shopping centres in the pipeline 1 130 626 »» Total shopping centre floorspace (sq m) 182 329 8 140 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 351 213 326 »» Prime shopping centre rents (units of 2,000 sq m) n/a n/a n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Leipzig Leipzig’s retail market is undergoing an upgrade in an attempt to improve »» Inclusions None the attractiveness of the inner city shopping area, which has suffered at the hands of competition from peripheral shopping centres. // Lease Structures and Legal Aspects »» Standard lease document Yes on tenant and landlord side »» Typical lease length 5 years + 5 years »» Typical incentives Rent free period (0-6 months), fit-out contribution No, but anchor tenants often have an option to prolong »» Statutory rights to renew the lease their contracts »» Frequency of rent reviews Rare Based on development of CPI (triggers: change, time); »» Frequency and basis of indexation of rent Indexation needs a 5+5 or 10 year contract

38 | European Retail Guide - Shopping Centres Leipzig, Germany

// Major shopping centres in operation in Leipzig (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) Leipzig-Paunsdorf Center 1 Paunsdorf Center 1994 119 947 GmbH & Co. KG c/o mfi 117 42 000 n/a n/a AG Key tenants: Müller, H&M, Kaufland, C&A, Media Markt Horizon Way Group 2 Allee-Center Leipzig 1996 28 800 Limited Craigmuir Cham- 118 25 000 NA n/a bers

Key tenants: Saturn, Adler, H&M, Aldi Nord, real Petersbogen Immobi- 3 Petersbgen Leipzig 2001 18 700 liengesellschaft mbH & 39 13 000 n/a n/a Co. KG Key tenants: Desigual, Lidl, s.Oliver, CineStar

4 Marktgalerie Leipzig 2006 14 882 Rreef 10 n/a n/a n/a

Key tenants: Breuninger Warenhaus, Leiser, Weltbild plus

Leipzig 1 4 3 2

Paunsdorf Center - Leipzig

European Retail Guide - Shopping Centres | 39 Munich, Germany Overall city score Retail sales Pop. growth ++ »» + »» growth // Key Local Indicators Munich Germany Europe »» Population 2011, (in ‘000) 1 364 81 716 502 711 »»GDP growth + »» Population growth, 2012-2016 (annual %) 1,3 -0,1 0,2 »» Age structure, 15-64 (%) 67 66 66 »» GDP growth, 2007-2011 (%pa) 0,8 1,2 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 2,8 1,7 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -0,7 -0,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 1,7 1,3 1,4 »» CPI 2011 (%) n/a 2,3 0,3 »» ILO unemployment rate 2011 (%) 2,9 6,0 9,4 »» Consumer expenditure per capita, 2011 19 185 € 16 182 € 13 070 € »» Average earnings 24 299 € 19 710 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 518 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 6 457 5 128 »» Number of shopping centres in the pipeline 0 74 626 »» Total shopping centre floorspace (sq m) 236 900 14 294 020 117 383 310 »» Total shopping centre floorspace (per ’000 population) 174 175 326 »» Prime shopping centre rents (units of 2,000 sq m) n/a n/a n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Munich Work has started on the development and refurbishment of the mixed-use »» Inclusions None project Hofstatt which will bring a further 14,000 sq m of retail space to the city centre. // Lease Structures and Legal Aspects »» Standard lease document Yes on tenant and landlord side »» Typical lease length 5 years + 5 years »» Typical incentives Rent free period (0-6 months), fit-out contribution No, but anchor tenants often have an option to prolong »» Statutory rights to renew the lease their contracts »» Frequency of rent reviews Rare Based on development of CPI (triggers: change, time); »» Frequency and basis of indexation of rent Indexation needs a 5+5 or 10 year contract

40 | European Retail Guide - Shopping Centres Munich, Germany

// Major shopping centres in operation in Munich (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) Olympia-Einkaufs 1 1972 67 200 Dr. Rühl KG 137 50 000 n/a n/a zentrum Key tenants: Galeria Kaufhof, Karstadt Warenhaus, C&A, Wöhrl, Edeka PEP Einkaufs-Center 2 1981 60 000 TIAA-CREF 121 60 000 n/a n/a München-Neuperlach

Key tenants: P&C, Wöhrl, C&A, Saturn, Kaufland Union Investment Real 3 2004 48 600 116 25 000 n/a n/a Riem Arcaden Estate GmbH, c/o mfi AG Key tenants: Saturn, E-Center, SinnLeffers, C&A, H&M GEPRO Wohn- und 4 MIRA Einkaufscenter 2008 21 700 Gewerbebau GmbH & Co. 60 n/a n/a n/a Zwanzigste Immobilien KG Key tenants: Rewe, Aldi Nord, C&A, H&M, Expert Pasing Arcaden (1st 5 2011 21 000 mfi AG 100 n/a n/a n/a construction stage) Key tenants: H&M, Esprit, s.Oliver, C&A, Aldi, dm

4

1

5 Munich 3

2

Olympia Einkaufs Zentrum - Munich

European Retail Guide - Shopping Centres | 41 Stuttgart, Germany Overall city score Retail sales Pop. growth - »» -- »» growth // Key Local Indicators Stuttgart Germany Europe »» Population 2011, (in ‘000) 601 81 716 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,2 -0,1 0,2 »» Age structure, 15-64 (%) 66 66 66 »» GDP growth, 2007-2011 (%pa) 0,1 1,2 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,6 1,7 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -0,5 -0,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 0,3 1,3 1,4 »» CPI 2011 (%) n/a 2,3 0,3 »» ILO unemployment rate 2011 (%) 4,1 6,0 9,4 »» Consumer expenditure per capita, 2011 18 742 € 16 182 € 13 070 € »» Average earnings 23 632 € 19 710 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 518 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 3 457 5 128 »» Number of shopping centres in the pipeline 1 74 626 »» Total shopping centre floorspace (sq m) 80 000 14 294 020 117 383 310 »» Total shopping centre floorspace (per ’000 population) 133 175 326 »» Prime shopping centre rents (units of 2,000 sq m) n/a n/a n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Stuttgart Sustained demand from retailers and low vacancy are driving further »» Inclusions None shopping centre development in Stuttgart. The ‘Das Gerber’ and ‘Mila- neo’ are expected to open in 2014 and 2015. // Lease Structures and Legal Aspects »» Standard lease document Yes on tenant and landlord side »» Typical lease length 5 years + 5 years »» Typical incentives Rent free period (0-6 months), fit-out contribution No, but anchor tenants often have an option to prolong »» Statutory rights to renew the lease their contracts »» Frequency of rent reviews Rare Based on development of CPI (triggers: change, time); »» Frequency and basis of indexation of rent Indexation needs a 5+5 or 10 year contract

42 | European Retail Guide - Shopping Centres Stuttgart, Germany

// Major shopping centres in operation in Stuttgart (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) Königsbau Passagen 1 2006 27 500 Seleno GmbH 82 33 000 n/a n/a Stuttgart Key tenants: Saturn, Deutsche Post, Olymp & Hades, Vapiano DCSF Immobilien Verwaltungsgesellschaft 2 2004 26 600 51 15 000 n/a n/a Schwaben Galerie Nr. 4 mbH & Co. Objekt Stuttgart-Vaillingen KG Key tenants : Kaufland, Modepark Röther, Media Markt, Aldi Süd LaSalle Investment Mana- 3 2006 25 885 40 17 000 n/a n/a Canstatter Carré gement LaSalle GmbH

Key tenants : Kaufland, Müller, H&M, Lidl, C&A

2

Stutgartt 1

Königsbau Passagen - Stuttgart 3

European Retail Guide - Shopping Centres | 43 Budapest, Hungary Overall city score Retail sales Pop. growth -- »» ++ »» growth // Key Local Indicators Budapest Hungary Europe »» Population 2011, (in ‘000) 1 706 9 989 502 711 »»GDP growth + »» Population growth, 2012-2016 (annual %) -0,1 -0,2 0,2 »» Age structure, 15-64 (%) 68 68 66 »» GDP growth, 2007-2011 (%pa) 0,0 -0,6 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 2,7 2,1 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -1,9 -2,3 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 2,0 1,1 1,4 »» CPI 2011 (%) n/a 3,8 0,3 »» ILO unemployment rate 2011 (%) 8,5 10,7 9,4 »» Consumer expenditure per capita, 2011 6 203 € 4 357 € 13 070 € »» Average earnings 7 362 € 4 776 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 302 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 16 43 5 128 »» Number of shopping centres in the pipeline 12 16 626 »» Total shopping centre floorspace (sq m) 700 000 1 240 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 410 124 326 »» Prime shopping centre rents (units of 2,000 sq m) 17-22 13-19 n/a »» Prime shopping centre rents (units of 200 sq m) 70-100 35-60 n/a »» Basis of measurement GLA sq m Budapest »» Unit of measurement €/sq m/month Despite some recent shopping centre openings, demand from international retailers remains focused on existing schemes, such as the well known » Inclusions None » Árkád centre which is currently undergoing an expansion of 20,000 sq m.

// Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 5 years »» Typical incentives Fit-out contribution for anchors, stepped rental. »» Statutory rights to renew the lease After 5 years »» Frequency of rent reviews Annual indexation »» Frequency and basis of indexation of rent HICP

44 | European Retail Guide - Shopping Centres Budapest, Hungary

// Major shopping centres in operation in Budapest (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Aréna Plaza 2007 68 000 Lanebridge 220 n/a n/a n/a

Key tenants: C&A, Cinema City, H&M, Hervis, Inditex Group, NewYorker, Peak&Cloppenburg, Saturn, Tesco

2 Mammut 1998 & 2001 62 000 Mammut Üzletház Kft. 330 n/a n/a n/a

Key tenants: Cinema City, Deichman, E-Digital, Hervis, Libri, Marks&Spencer, Match

3 KÖKI Terminál 2011 58 000 R-Co 200 n/a n/a n/a

Key tenants: C&A, H&M, Euronics, Hervis, Müller, NewYorker, OBI, Tesco

4 Westend 1999 53 000 Trigránit 400 n/a n/a n/a

Key tenants: C&A Debenhams, H&M, Mango, Marks&Spencer, Match, Media Markt, NewYorker, Palace Cinemas

5 Árkád 2002 42 000 ECE 170 n/a n/a n/a

Key tenants: C&A, H&M, Hervis, Humanic, Interspar, Libri, Zara

2 4 5 1

Budapest 3

Mammut - Budapest

European Retail Guide - Shopping Centres | 45 Dublin, Ireland Overall city score Retail sales Pop. growth -- »» -- »» growth // Key Local Indicators Dublin Ireland Europe »» Population 2011, (in ‘000) 1 182 4 469 502 711 »»GDP growth + »» Population growth, 2012-2016 (annual %) -1,1 0,2 0,2 »» Age structure, 15-64 (%) 50 66 66 »» GDP growth, 2007-2011 (%pa) -1,2 -0,8 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 2,5 2,9 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -1,9 -0,6 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 0 0,8 1,4 »» CPI 2011 (%) n/a 2,6 0,3 »» ILO unemployment rate 2011 (%) 14,2 14,4 9,4 »» Consumer expenditure per capita, 2011 17 760 € 16 146 € 13 070 € »» Average earnings 20 820 € 18 462 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 437 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 39 n/a 5 128 »» Number of shopping centres in the pipeline 0 n/a 626 »» Total shopping centre floorspace (sq m) 703 290 n/a 117 383 310 »» Total shopping centre floorspace (per ’000 population) 595 n/a 326 »» Prime shopping centre rents (units of 2,000 sq m) €625-750 n/a n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/quarter Dublin Having witnessed significant development in the last 15 years, Dublin »» Inclusions None shopping centre stock per capita is amongst the highest in Europe. De- mand remains mixed, with secondary schemes bearing the brunt of wea- // Lease Structures and Legal Aspects kening demand. »» Standard lease document Lease agreement »» Typical lease length 10 years »» Typical incentives 12-24 months of free rent »» Statutory rights to renew the lease Possible after 5 years in occupation »» Frequency of rent reviews Every 5 years »» Frequency and basis of indexation of rent Not applicable

46 | European Retail Guide - Shopping Centres Dublin, Ireland

// Major shopping centres in operation in Dublin (by size)

Opening GLA size N° of Occupancy Shopping centre name Owner Footfall figures Turnover date (sq m) stores ratio (%)

Dundrum Town 70 000 since 1 2005 85 307 n/a 100 n/a n/a Centre opening Key tenants: Gap, H&M, Esprit, Bershka, Hollister, Tommy Hilfiger, Hugo Boss, Massimo Dutti, Marks & Spencer, Timberland, L'Occitane, Kiehl's The Blanchardstown 2 1996 59 287 n/a 180 n/a n/a n/a Centre

Key tenants: Marks & Spencer, Debenhams, Dunnes Stores, Zara, Penneys, H&M, Timberland, Bershka 200 000/300 3 1998 46 605 n/a 99 n/a n/a Liffey Valley, Lucan 000 per week Key tenants: Marks & Spencer, Diesel, Dunnes Stores, Boots, Next, New Look, Republic, Tommy Hilfiger, Moss Bros

4 The Square, Tallaght 1990 46 226 n/a 117 n/a n/a n/a

Key tenants: Tesco, Dunnes Stores, Debenhams, Ms Moneypenny, Koko, New Look, River Island, Foot Locker, 3 Stores, Game, HSV The Pavillions 5 2001 41 140 n/a 87 n/a n/a n/a Shopping Centre Key tenants: 3 Store, Benetton, Boots,Diesel, Dunnes Stores, Footlocker, HMV, Imaginarium, Mango, River Island, The Body, Maxx, Tommy Hilfiger, Zara

5

2

3 Dublin

1 Mammut - Budapest 4

European Retail Guide - Shopping Centres | 47 Milan, Italy Overall city score Retail sales Pop. growth -- »» -- »» growth // Key Local Indicators Milan Italy Europe »» Population 2011, (in ‘000) 3 952 60 394 502 711 »»GDP growth -- »» Population growth, 2012-2016 (annual %) -0,2 0,0 0,2 »» Age structure, 15-64 (%) 65 65,41 66 »» GDP growth, 2007-2011 (%pa) -1,5 -0,7 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 0,5 0,6 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -1,6 -1,0 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) -0,3 0,2 1,4 »» CPI 2011 (%) n/a 2,8 0,03 »» ILO unemployment rate 2011 (%) 5,4 8,2 9,4 »» Consumer expenditure per capita, 2011 16 418 € 14 124 € 13 070 € »» Average earnings 19 001 € 15 804 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 602 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 39 822 5 128 »» Number of shopping centres in the pipeline 4 34 626 »» Total shopping centre floorspace (sq m) 695 000 14 070 114 117 383 310 »» Total shopping centre floorspace (per ’000 population) 176 233 326 »» Prime shopping centre rents (units of 2,000 sq m) n/a n/a n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/year Milan Restrictive development regulations have limited the amount of prominent »» Inclusions n/a shopping centres and as a result, high street retail dominates the retail offer. Despite this, a number of schemes are expected in the near future. // Lease Structures and Legal Aspects Standard contract (Contratto di Locazione) or SC speci- »» Standard lease document fic (Contratto di Affito di Ramo d’Azzienda) Most typical 6+6 years for standard lease; or 5 to 7 years »» Typical lease length for contratto di affito (business lease) »» Typical incentives Stepped rent Tenants have certain rights at lease expiry in standard »» Statutory rights to renew the lease contract. If not accepted, compensation guaranteed »» Frequency of rent reviews Not common Standard lease: indexation is limited to 75% of the »» Frequency and basis of indexation of rent (ISTAT) cost of living index; SC lease: 100% indexation permitted 48 | European Retail Guide - Shopping Centres Milan, Italy

// Major shopping centres in operation in Milan (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) Schroeders International 1 1972 52 622 80 n/a n/a n/a Carosello Property Funds Key tenants: Carrefour, Saturn, Zara, Hollister, Oviesse

2 Centro Vulcano 2006 50 000 Caltagirone 168 n/a n/a n/a

Key tenants: Il Gigante, Okaidi-Obaibi, Euronics, CGV Moda, US Fashion Store

3 Milanofiori 2007 47 522 Klépierre 103 n/a n/a n/a

Key tenants: Conbipel OVS Industry, Saturn, Scarpe&Scarpe, Zara

4 Cinisello Balsamo 2007 45 846 n/a 109 n/a n/a n/a

Key tenants: Auchan, Darty, H&M, Scarpe&Scarpe

5 Acquario 2002 42 077 Klepierre/Gruppo Finim 56 n/a n/a n/a

Key tenants: Ipercoop, C&A, Media World, Benetton, Brek, Sonny Bono, US Fashion Store

2 4 1

5 Milan

Emanuele II shopping gallery - Milan

3

European Retail Guide - Shopping Centres | 49 Rome, Italy Overall city score Retail sales Pop. growth - »» + »» growth // Key Local Indicators Rome Italy Europe »» Population 2011, (in ‘000) 4 160 60 394 502 711 »»GDP growth -- »» Population growth, 2012-2016 (annual %) 0,2 0,0 0,2 »» Age structure, 15-64 (%) 66 65,41 66 »» GDP growth, 2007-2011 (%pa) -0,1 -0,7 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 0,9 0,6 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -0,7 -1,0 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 0,4 0,2 1,4 »» CPI 2011 (%) n/a 2,8 0,03 »» ILO unemployment rate 2011 (%) 9,0 8,2 9,4 »» Consumer expenditure per capita, 2011 15 548 € 14 124 € 13 070 € »» Average earnings 17 734 € 15 804 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 602 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 43 822 5 128 »» Number of shopping centres in the pipeline 4 34 626 »» Total shopping centre floorspace (sq m) 947 921 14 070 114 117 383 310 »» Total shopping centre floorspace (per ’000 population) 228 233 326 »» Prime shopping centre rents (units of 2,000 sq m) n/a n/a n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/year Rome The demand for shopping centres in Rome is focused on established »» Inclusions n/a centres. New developments are scarce and regarded as high risk under- takings in the current economic climate. // Lease Structures and Legal Aspects Standard contract (Contratto di Locazione) or SC speci- »» Standard lease document fic (Contratto di Affito di Ramo d’Azzienda) Most typical 6+6 years for standard lease; or 5 to 7 years »» Typical lease length for contratto di affito (business lease) »» Typical incentives Stepped rent Tenants have certain rights at lease expiry in standard »» Statutory rights to renew the lease contract. If not accepted, compensation guaranteed »» Frequency of rent reviews Not common Standard lease: indexation is limited to 75% of the »» Frequency and basis of indexation of rent (ISTAT) cost of living index; SC lease: 100% indexation permitted 50 | European Retail Guide - Shopping Centres Rome, Italy

// Major shopping centres in operation in Rome (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Roma Est 2007 98 000 ING Real Estate 211 n/a n/a n/a

Key tenants: Panorama,Saturn, H&M, Foot Locker, Oviesse, OVS Kids, Benetton, CO Import, Kasanova Gallerie Commerciali 2 2007 96 390 230 n/a n/a n/a Porta Di Roma Auchan/Gruppo Lamaro

Key tenants: Auchan, Ikea, Leroy Merlin, Decathlon, H&M, Zara, Media World, Coin, Fnac, Adidas Gruppo Leonardo Calta- 3 2005 61 083 214 n/a n/a n/a Parco Leonardo girone Key tenants: Auchan, Max&Co, Zara, Bershka, Scarpe&Scarpe, Oviesse, Timberland, Saturn

4 Euroma 2 2008 52 000 Lsgii/Ipercoop 260 n/a n/a n/a

Key tenants: Ipercoop, H&M, Okaidi Obaibi, Massimo Dutti, Zara, Foot Locker, Bershka, Tommy Hilfiger, Timberland, Mango, Hollister, Conbipel, Kasanova

5 Etra Tiburtino 2009 43 172 IGD 124 n/a n/a n/a

Key tenants: Unicoop Tirenno, Obi, H&M, Euronics, Factory Store, Bata, Tally Weijl, Kasanova

2 5

1 Rome

Porta di Roma - Rome 4 3

European Retail Guide - Shopping Centres | 51 Riga, Latvia Overall city score Retail sales Pop. growth -- »» ++ »» growth // Key Local Indicators Riga Latvia Europe »» Population 2011, (in ‘000) 702 2 234 502 711 »»GDP growth ++ »» Population growth, 2012-2016 (annual %) -0,5 -0,4 0,2 »» Age structure, 15-64 (%) 69 69 66 »» GDP growth, 2007-2011 (%pa) -2,1 -1,4 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 5,4 5,0 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -5,8 -3,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 6,4 5,6 1,4 »» CPI 2011 (%) n/a 4,4 0,3 »» ILO unemployment rate 2011 (%) n/a 15,9 9,4 »» Consumer expenditure per capita, 2011 2 766 € 3 732 € 13 070 € »» Average earnings 2 461 € 3 604 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 285 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 16 n/a 5 128 »» Number of shopping centres in the pipeline 0 n/a 626 »» Total shopping centre floorspace (sq m) 615 000 n/a 117 383 310 »» Total shopping centre floorspace (per ’000 population) 876 n/a 326 »» Prime shopping centre rents (units of 2,000 sq m) 15-40 € n/a n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Riga 2011 was a promising year for Riga’s retail market; occupancy increased, »» Inclusions None vacancy declined and new leases are in negotiation. Several new projects are planned over the next few years, including phase II-IV of the Imanta // Lease Structures and Legal Aspects Retail Park (100,000 sq m). »» Standard lease document Lease agreement »» Typical lease length 5-10 years »» Typical incentives Fit-out contribution, temporary discounts »» Statutory rights to renew the lease After 5 years »» Frequency of rent reviews Annual indexation »» Frequency and basis of indexation of rent CPI

52 | European Retail Guide - Shopping Centres Riga, Latvia

// Major shopping centres in operation in Riga (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Alfa, Retail park 2001 56 500 ACTA Fund 212 9 000 100 n/a

Key tenants: Rimi, Cin/amon, Zara, Jysk, Mango, Cubus, Apranga, Lindex, Seppala €95m 2 2001 41 112 E.L.L. Kinnisvara/Trsitafan 156 7 660 100 Spice (2011)

Key tenants: Rimi, Jysk, Zara, NewYorker, Seppala, Lindex, Douglas, Dania KanAm Grund Kapitalan- 3 2003 42 000 170 n/a 98 n/a Domina Shopping lagegesellschaft mbH Key tenants: Prisma, Apranga, VeroMode, NewYorker, Lindex, Cubus, UnitedColours of Benetton, Marks & Spencer New Century Holding/ 4 2009 47 000 115 n/a 97 n/a Riga Plaza Plaza Centers NV Key tenants: Prisma, FantasyPark, Multikino, Peek & Cloppenburg, Cubus, Reserved, Zara, Lindex, Douglas

5 Mols 1998/2002 33 000 ACTA Fund 123 5 940 100 n/a

Key tenants: Rimi, Dressmann, Cubus, Reserved, Rito, Jysk

1

3

Riga

Riga Plaza - Riga

5 2 4

European Retail Guide - Shopping Centres | 53 Vilnius, Lithuania Overall city score Retail sales Pop. growth - »» + »» growth // Key Local Indicators Vilnius Lithuania Europe »» Population 2011, (in ‘000) 846 3 310 502 711 »»GDP growth ++ »» Population growth, 2012-2016 (annual %) 0,0 -0,3 0,2 »» Age structure, 15-64 (%) 69 69,21 66 »» GDP growth, 2007-2011 (%pa) 1,4 1,1 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 6,7 5,3 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -0,7 -0,8 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 7,3 6,2 1,4 »» CPI 2011 (%) n/a 4,1 0,3 »» ILO unemployment rate 2011 (%) n/a 15,2 9,4 »» Consumer expenditure per capita, 2011 5 929 € 4 470 € 13 070 € »» Average earnings 6 830 € 4 835 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 511 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 20 n/a 5 128 »» Number of shopping centres in the pipeline 2 n/a 626 »» Total shopping centre floorspace (sq m) 429 000 n/a 117 383 310 »» Total shopping centre floorspace (per ’000 population) 130 n/a 326 »» Prime shopping centre rents (units of 2,000 sq m) 12-30 € n/a n/a »» Basis of measurement GLA sq m

» Unit of measurement €/sq m/month Vilnius » The most popular retail destination in Vilnius is the Akropolis shopping »» Inclusions None centre, ahead of its younger competitors, Ozas and Panorama. All three centres enjoy very low vacancy, at around 5% or lower. // Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 5 years »» Typical incentives Fit-out contribution, temporary discounts »» Statutory rights to renew the lease By agreement »» Frequency of rent reviews Annual indexation »» Frequency and basis of indexation of rent CPI

54 | European Retail Guide - Shopping Centres Vilnius, Lithuania

// Major shopping centres in operation in Vilnius (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Akropolis 2002-2004 95 000 n/a 219 13 500 100 n/a

Key tenants: Maxima, Elektromarkt, Ermitažas, Lindex, Apranga, Monton, Kristiana, Cipollino

2 Ozas 2009 62 000 n/a 166 n/a 98 n/a

Key tenants: Prisma, FantasyPark, Multikino, Peek & Cloppenburg, Cubus, Reserved, Vero Moda, Lindex

3 Panorama 2008 50 000 n/a 155 n/a 100 n/a

Key tenants: Rimi, Apranga, Kristiana, BMS Megapolis, NewYorker, Lindex, Pull and Bear, Audimas

4 Europa 2004 17 000 n/a 80 n/a 90 30m (2011)

Key tenants: Maxima, Cili pica, Miyako, Apranga, Mexx, GANT, Baltman, Monton, Marc O`Polo, Vero Moda, Reserved, Etam, Salamander, Danija

5 BIG 2006 15 600 n/a 69 n/a 80 n/a

Key tenants: Maxima, Seppala, Avitela, Danija

5 2

1

4 3 Europa - Vilnius Vilnius

European Retail Guide - Shopping Centres | 55 Amsterdam, Netherlands Overall city score Retail sales Pop. growth + »» ++ »» growth // Key Local Indicators Amsterdam Netherlands Europe »» Population 2011, (in ‘000) 1 253 16 649 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,6 0,3 0,2 »» Age structure, 15-64 (%) 68 67 66 »» GDP growth, 2007-2011 (%pa) 1,8 1,1 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 2,1 1,6 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 0,5 -0,8 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 1,8 1,1 1,4 »» CPI 2011 (%) n/a 2,3 0,03 »» ILO unemployment rate 2011 (%) 4,1 4,4 9,4 »» Consumer expenditure per capita, 2011 16 482 € 14 743 € 13 070 € »» Average earnings 18 396 € 16 016 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 465 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 10 n/a 5 128 »» Number of shopping centres in the pipeline 2 n/a 626 »» Total shopping centre floorspace (sq m) 237 441 7 100 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 189 426 326 »» Prime shopping centre rents (units of 2,000 sq m) 800 300 n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/year Amsterdam The Amsterdam shopping centre market has in recent years been affec- »» Inclusions None ted by the internationalisation of retail chains, as international retailers are driving the strongest demand for space in the Dutch capital. // Lease Structures and Legal Aspects »» Standard lease document Yes »» Typical lease length 5 years + 5 years »» Typical incentives Hardly any »» Statutory rights to renew the lease Every 5 years »» Frequency of rent reviews Annually »» Frequency and basis of indexation of rent Annually, based on Dutch CPI

56 | European Retail Guide - Shopping Centres Amsterdam, Netherlands

// Major shopping centres in operation in Amsterdam (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (Weekly) ratio (%) Zuidoost Arena 1 1998 85 349 n/a 81 190 000 n/a n/a Boulevard Key tenants: Media Markt, Decathlon, Prenatal, Perry Sport

2 Boven 't Y 1975 36 469 n/a 160 149 000 n/a n/a

Key tenants: Media Markt, BCC, Etos, V&D, HEMA, C&A

3 Westpoort 2009 29 423 n/a 8 n/a n/a n/a

Key tenants: GAMMA, Woonexpress, Kwantum, Leenbakker

4 Osdorpplein 1990 25 618 114 67 000 n/a n/a n/a

Key tenants: AH, H&M, Kijkshop, H&M, HEMA, ANWB

5 Sijsjesbergweg 2010 25 150 9 n/a n/a n/a n/a

Key tenants: Woonexpress, Jysk, Kwantum,

2 4

3 Amsterdam

Villa Arena - Amsterdam

5 1

European Retail Guide - Shopping Centres | 57 Rotterdam, Netherlands Overall city score Retail sales Pop. growth - »» - »» growth // Key Local Indicators Rotterdam Netherlands Europe »» Population 2011, (in ‘000) 1 367 16 649 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,1 0,3 0,2 »» Age structure, 15-64 (%) 67 67 66 »» GDP growth, 2007-2011 (%pa) 1,2 1,1 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,9 1,6 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -0,4 -0,8 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 1,3 1,1 1,4 »» CPI 2011 (%) n/a 2,3 0,03 »» ILO unemployment rate 2011 (%) 4,9 4,4 9,4 »» Consumer expenditure per capita, 2011 15 488 € 14 743 € 13 070 € »» Average earnings 17 029 € 16 016 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 465 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 5 n/a 5 128 »» Number of shopping centres in the pipeline 1 n/a 626 »» Total shopping centre floorspace (sq m) 185 800 7 100 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 136 426 326 »» Prime shopping centre rents (units of 2,000 sq m) 600 300 n/a »» Basis of measurement Net retail floorspace

»» Unit of measurement €/sq m/year Rotterdam Rotterdam is one of Holland’s strongest retail destinations and the deve- »» Inclusions None lopment pipeline is substantial. The focus is on the upgrade of the city centre with Multi Vastgoed’s mixed-use project ‘Forum Rotterdam’ being // Lease Structures and Legal Aspects at the forefront of this. »» Standard lease document Lease agreement »» Typical lease length 5 years + 5 years »» Typical incentives Hardly any »» Statutory rights to renew the lease Every 5 years »» Frequency of rent reviews Annually »» Frequency and basis of indexation of rent Annually, based on Dutch CPI

58 | European Retail Guide - Shopping Centres Rotterdam, Netherlands

// Major shopping centres in operation in Rotterdam (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (Weekly) ratio (%)

1 Alexandrium I, II, III 1985 106 918 n/a 200 205 000 n/a n/a

Key tenants: Zara, H&M, Ici Paris XL, Haestens, Media Markt, Lundia

2 Zuidplein 1970 46 012 n/a 140 148 000 n/a n/a

Key tenants: Saturn, V&D, HEMA, La Place, Prenatal

3 Keizerswaard 1994 13 498 n/a 82 n/a n/a n/a

Key tenants: AH, HEMA, BAS

4 WC Lage Land 2011 10 003 n/a n/a n/a n/a n/a

Key tenants: AH, Free Record Shop, Belcompany, H&M Woonboulevard 5 Rotterdam 2000 9 388 n/a 6 n/a n/a n/a (Stadionweg) Key tenants: Praxis, Halfords, Jysk, Carpet Right, Roobol

1 Rotterdam 4

5 Alexandrium - Rotterdam 2 3

European Retail Guide - Shopping Centres | 59 Warsaw, Poland Overall city score Retail sales Pop. growth - »» ++ »» growth // Key Local Indicators Warsaw Poland Europe »» Population 2011, (in ‘000) 1 720 38 200 502 711 »»GDP growth ++ »» Population growth, 2012-2016 (annual %) 0,4 0 0,2 »» Age structure, 15-64 (%) 70 71 66 »» GDP growth, 2007-2011 (%pa) 4,8 4,3 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 5,5 3,9 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 6,7 5,8 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 5,7 4,1 1,4 »» CPI 2011 (%) n/a 4,1 3 »» ILO unemployment rate 2011 (%) 6,7 9,5 9,4 »» Consumer expenditure per capita, 2011 6 105 € 5 078 € 13 070 € »» Average earnings 8 461 € 7 269 € 18 824 € »» Car ownership (cars per 1 000 inhabitants) n/a 433 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 42 370 5 128 »» Number of shopping centres in the pipeline 15 130 626 »» Total shopping centre floorspace (sq m) 1 350 000 8 140 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 785 213 326 »» Prime shopping centre rents (units of 2,000 sq m) 85-90 45-50 n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Warsaw Shopping centres dominate the retail offering and continue to show strong »» Inclusions None performance reflected by low vacancy rates. Undersupply is the prevailing market condition, causing retailers to consider secondary space. // Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 5 years Fit-out contribution for anchors in Warsaw; fit-out »» Typical incentives contribution for tenants entering projects in secondary and tertiary cities »» Statutory rights to renew the lease After 5 years »» Frequency of rent reviews Annual indexation »» Frequency and basis of indexation of rent HICP, Polish CPI

60 | European Retail Guide - Shopping Centres Warsaw, Poland

// Major shopping centres in operation in Warsaw (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Arkadia Mall 2004 103 000 Unibail-Rodamco 230 22 000 100 n/a

Key tenants: Marks & Spencer, New Yorker, Peek & Cloppenburg, Deichmann, CCC

2 Wola Park 2002 73 000 AEW Capital Management 190 n/a 99 n/a

Key tenants: Auchan Hypermarket, H&M, Zara, Go Sport, C&A

3 CH Janki 1999 68 500 GE Capital Real Estate 104 600 100 n/a

Key tenants: Real, Leroy Merlin, Saturn, Go Sport, Cinema City, C&A, H&M, Smyk, Feu Vert, Jysk, Reserved, Empik, Cubus

4 CH Krakowska 61 2002 66 400 BPH TFI 50 n/a 100 n/a

Key tenants: Real, Media Markt, Parktiker, Agata Meble, Swiat Dziecka, Komfort ING Real Estate/Unibail- 5 2007 64 000 220 20 000 99 n/a Zlote Tarasy Rodamco/City of Warsaw Key tenants: Carrefour, Multikino, Saturn, Van Graaf, Marks & Spencer

1

2 5 Warsaw

4

3 Zlote Tarasy - Warsaw

European Retail Guide - Shopping Centres | 61 Lisbon, Portugal Overall city score Retail sales Pop. growth - »» -- »» growth // Key Local Indicators Lisbon Portugal Europe »» Population 2011, (in ‘000) 2 033 10 653 502 711 »»GDP growth -- »» Population growth, 2012-2016 (annual %) 0,01 0,03 0,2 »» Age structure, 15-64 (%) 65 67 66 »» GDP growth, 2007-2011 (%pa) -0,40 0,0 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 0,9 0,6 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -1,8 -1,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) -1,2 -0,7 1,4 »» CPI 2011 (%) n/a 4 0,3 »» ILO unemployment rate 2011 (%) 13,3 12,6 9,4 »» Consumer expenditure per capita, 2011 11 532 € 9 364 € 13 070 € »» Average earnings 13 403 € 10 358 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 775 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 5 47 5 128

»» Number of shopping centres in the pipeline n/a n/a 626

»» Total shopping centre floorspace (sq m) 960 000 3 000 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 472 282 326 »» Prime shopping centre rents (units of 2,000 sq m) 960 € n/a n/a »» Basis of measurement GLA sq m Lisbon »» Unit of measurement €/sq m/year New shopping centre completions are expected to be low in the near »» Inclusions None future in line with a weak economic outlook. Some retailers are seeing opportunities, however, and demand in existing schemes remains healthy. // Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 5 years »» Typical incentives Fit-out contribution »» Statutory rights to renew the lease n/a »» Frequency of rent reviews 3 years »» Frequency and basis of indexation of rent n/a

62 | European Retail Guide - Shopping Centres Lisbon, Portugal

// Major shopping centres in operation in Lisbon (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Dolce Vita Tejo 2009 122 000 Sonae Sierra 300 n/a n/a n/a

Key tenants: Zara, Primark, Jumbo, Poly, Disney Store, Fnac, Bershka, Area, Mastro, Tyos"R"Us, Party Fiesta

2 Centro Colombo 1997 120 000 Realia 396 n/a n/a n/a

Key tenants: H&M, Continente, Bocatta, Zara, Disney Store, Fnac, Bershka, Area, Mastro, Toys"R"Us, Party Fiesta

3 Galerias Twin Towers n/a 46 877 Realia n/a n/a n/a n/a

Key tenants: Baga Baga, Curriculum, Guevel Editora

4 El Corte Ingles 2011 45 000 El Corte Ingles n/a n/a n/a n/a

Key tenants: Armani, Boss, Hermès, Louis Vuitton, Lacoste Centro Vasco da 5 1999 29 310 Sonae Sierra/ING Group 167 n/a n/a n/a Gama Key tenants: Benetton Group, C&A, Guess, Timberland, Zara, H&M, Nike, Worten, Fnac, Ornimundo, Funny Shops, Continente, Ericeira Surf Shop

5 1

Shopping centre in Oeiras - Lisbon 2 4 3 Lisbon

European Retail Guide - Shopping Centres | 63 Barcelona, Spain Overall city score Retail sales Pop. growth - »» ++ »» growth // Key Local Indicators Barcelona Spain Europe »» Population 2011, (in ‘000) 5 425 46 254 502 711 »»GDP growth -- »» Population growth, 2012-2016 (annual %) 0,2 0,3 0,2 »» Age structure, 15-64 (%) 67 68 66 »» GDP growth, 2007-2011 (%pa) -0,1 0,3 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,1 1,2 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -3,6 -3,3 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 0,6 0,6 1,4 »» CPI 2011 (%) n/a 3,2 0,3 »» ILO unemployment rate 2011 (%) 19,3 21,6 9,4 »» Consumer expenditure per capita, 2011 12 416 € 11 535 € 13 070 € »» Average earnings 14 416 € 13 186 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 475 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 45 537 5 128 »» Number of shopping centres in the pipeline 2 30 626 »» Total shopping centre floorspace (sq m) 1 319 286 14 119 033 117 383 310 »» Total shopping centre floorspace (per ’000 population) 243 305 326 »» Prime shopping centre rents (units of 2,000 sq m) 235 230 n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Barcelona 2010 and 2011 saw the opening of a number of key shopping centres. »» Inclusions None Although there are no new schemes planned for 2012, a number of exis- ting centres are undergoing refurbishments and extensions. // Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 5 years Rent free period and/or rental discounts in the initial »» Typical incentives period and/or a fit-out contribuation »» Statutory rights to renew the lease Yes, but generally removed from the lease contract Review on each 5th or 6th anniversary of the lease to »» Frequency of rent reviews open market value or applying CPI + 2/5% to the base rent 12 month period before rent indexation begins. Indexation »» Frequency and basis of indexation of rent on the Consumer Price Index applied to 100% of the rent

64 | European Retail Guide - Shopping Centres Barcelona, Spain

// Major shopping centres in operation in Barcelon/a (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) Diagonal Mar 1 2001 87 085 Quinlan Private 197 n/a 99 n/a Shopping Centre Key tenants: Alcampo, Cinesa, Fnac, Primark, Media Markt, Zara, H&M, Toys R Us, Sfera, Mango, Namco Station Unibail-Rodamco, CGI 2 2000 76 200 227 n/a 97 n/a La Maquinista and Carrefour Property

Key tenants: Carrefour, Media Markt, H&M, Zara, Mango, Cortefiel Carrefour Properties and 3 1980 62 430 150 n/a 96 n/a Baricentro others Key tenants: Carrefour, Yelmo Cineplex, Aki Bricolaje, Darty, C&A, Nova Mobile, Miró, Barimueble Unibail-Rodamco, 4 Glories 1995 56 300 Carrefour Property, C&A, 193 11 000 99 n/a Miró and Cines Balaña Key tenants: Fitness First gym, Carrefour, C&A, H&M, Zara, PC City, Miró LSGIE and Carrefour 5 2002 54 000 197 n/a 97 n/a Gran Via 2 Property Key tenants: Carrefour, Zara, Decathlon, H&M

3

2

1 Barcelona 4 Diagonal Mar - Barcelona

5

European Retail Guide - Shopping Centres | 65 Madrid, Spain Overall city score Retail sales Pop. growth + »» + »» growth // Key Local Indicators Madrid Spain Europe »» Population 2011, (in ‘000) 6 395 46 254 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,5 0,3 0,2 »» Age structure, 15-64 (%) 68 68 66 »» GDP growth, 2007-2011 (%pa) 0,3 0,3 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,7 1,2 2,2 »» Location based retail sales growth, 2007-2011 (%pa) -3,6 -3,3 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 1,1 0,6 1,4 »» CPI 2011 (%) n/a 3,2 0,3 »» ILO unemployment rate 2011 (%) 17,6 21,6 9,4 »» Consumer expenditure per capita, 2011 13 246 € 11 535 € 13 070 € »» Average earnings 15 623 € 13 186 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 475 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 93 537 5 128 »» Number of shopping centres in the pipeline 4 30 626 »» Total shopping centre floorspace (sq m) 2 884 338 14 119 033 117 383 310 »» Total shopping centre floorspace (per ’000 population) 451 305 326 »» Prime shopping centre rents (units of 2,000 sq m) 245 230 n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Madrid Despite a backdrop of falling disposable incomes and increasing unem- »» Inclusions None ployment rates, prime shopping centres in Madrid are still supported by strong interest from retailers. New projects, however, are scarce. // Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 5 years Rent free period and/or rental discounts in the initial »» Typical incentives period and/or a fit-out contribuation »» Statutory rights to renew the lease Yes, but generally removed from the lease contract Review on each 5th or 6th anniversary of the lease to »» Frequency of rent reviews open market value or applying CPI + 2/5% to the base rent 12 month period before rent indexation begins. Indexation »» Frequency and basis of indexation of rent on the Consumer Price Index applied to 100% of the rent

66 | European Retail Guide - Shopping Centres Madrid, Spain

// Major shopping centres in operation in Madrid (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Xanadu 2003 152 887 Ivanhoe Cambridge 220 14 850 95 n/a

Key tenants: El Corte Ingles, Hipercor hypermarket, Cinesa, Primark, H&M, C&A, Zara, Benetton, New Yorker, Apple, Decathlon Various (Unibail Rodamco 2 1989/2005 151 200 230 16 000 98 n/a Parquesur amongst others)

Key tenants: Alcampo, El Corte Inglés, Cinesa, Zara, C&A, H&M, Cortefiel, Desigual, Mango, GStar, Calvin Klein, Fnac, Media Markt, Leroy Merlin, Verdecora Darty

Megapark/Plaza 98 140 & 26- 3 1999/2004 Various, LGSI 22 000 97-90 n/a Norte 51 557 220 Key tenants: Ikea, Leroy Merlin, Carrefour and Media Markt. Cinebox, Fnac, Zara, H&M, Sfera, C&A, Cortefiel, Massimo Dutti, Stradivarius, Mango Caixa D´Estalvis de Catalu- 4 1995 123 380 176 n/a 85 n/a Parque Corredor nya and others Key tenants: Alcampo, Cinebox, Toys'R'Us, Primark, H&M, Zara, Sfera, C&A, Calderon Sport Grupo Lar and Ivanhoe 5 2008 90 700 180 9 688 85 n/a Islazul Cambridge Key tenants: Yelmo Cineplex, Eroski, C&A, Primark, H&M, Desigual, Zara, Jack & Jones, Cortefiel, Sport Zone, Zippy

3 4 Madrid Xanadu - Madrid 5 2 1

European Retail Guide - Shopping Centres | 67 Stockholm, Sweden Overall city score Retail sales Pop. growth ++ »» ++ »» growth // Key Local Indicators Stockholm Sweden Europe »» Population 2011, (in ‘000) 2 036 9 396 502 711 »»GDP growth + »» Population growth, 2012-2016 (annual %) 1,1 0,4 0,2 »» Age structure, 15-64 (%) 67 65 66 »» GDP growth, 2007-2011 (%pa) 2,0 1,4 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 3,1 2,0 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 1,8 1,1 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 2,8 2,2 1,4 »» CPI 2011 (%) n/a 3,0 0,3 »» ILO unemployment rate 2011 (%) 6,4 7,5 9,4 »» Consumer expenditure per capita, 2011 18 750 € 16 523 € 13 070 € »» Average earnings 22 085 € 18 887 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 461 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 88 308 5 128 »» Number of shopping centres in the pipeline 15 60 626 »» Total shopping centre floorspace (sq m) 1 805 000 5 990 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 879 632 326 »» Prime shopping centre rents (units of 2,000 sq m) 85-90 45-50 n/a »» Basis of measurement GLA sq m

»» Unit of measurement SEK/sq m/year Stockholm The Swedish capital has seen several new shopping centre openings in »» Inclusions None recent years. A new scheme, “Mood” is expected to open in the of 2012 which will bring a further 12,900 sq m of retail space to the city. // Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 7 years »» Typical incentives Fit-out contribution or fit-out by landlord »» Statutory rights to renew the lease According to agreement »» Frequency of rent reviews According to agreement »» Frequency and basis of indexation of rent Swedish CPI

68 | European Retail Guide - Shopping Centres Stockholm, Sweden

// Major shopping centres in operation in Stockholm (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

Barkarby IKEA Fastigheter AB and 1 1999 128 300 85 n/a Nearly 100 n/a Handelsplats others Key tenants: El-Giganten, Bauhaus, Stockholm Quality Outlet, IKEA

Kungens Kurva IKEA Fastigheter AB and 2 1965 125 800 70 n/a 95 n/a Handelsområde others Key tenants: City Gross, IKEA, ICA, Mio, Intersport, Babyland, K-rauta, Decathlon

3 Skärholmen Centrum 1968 76 500 Centeni AB 200 n/a n/a 1 832 000

Key tenants: ICA, Coop, Prisma, Åhléns, ÖoB, H&M

4 Sickla Köpkvarter 2005 67 000 Atrium Ljungberg 145 12.5 n/a 2 569 000

Key tenants: ICA, Willys, El-Giganten, Best of , Åhléns

5 Länna Köpcentrum 2001 53 400 IVG Immobilien AG 22 n/a 90 n/a

Key tenants: City Gross, El-Giganten, Länna Möbler, Expert, Jysk, Rusta

1

Stokholm

4 Forum Nacka - Stockholm

2 3

5

European Retail Guide - Shopping Centres | 69 Istanbul, Turkey Overall city score Retail sales Pop. growth ++ »» ++ »» growth // Key Local Indicators Istanbul Turkey Europe »» Population 2011, (in ‘000) 13 624 74 724 502 711 »»GDP growth ++ »» Population growth, 2012-2016 (annual %) n/a 1,1 0,2 »» Age structure, 15-64 (%) 71 67 66 »» GDP growth, 2007-2011 (%pa) n/a 3,2 0,5 »» GDP growth forecasts, 2012-2016 (%pa) n/a 5,4 2,2 »» Location based retail sales growth, 2007-2011 (%pa) n/a 0,6 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) n/a 4,9 1,4 »» CPI 2011 (%) 9,0 10,5 0,3 »» ILO unemployment rate 2011 (%) 9,1 9,1 9,4 »» Consumer expenditure per capita, 2011 n/a 4 498 € 13 070 € »» Average earnings n/a n/a 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 102 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 96 283 5 128 »» Number of shopping centres in the pipeline 28 86 626 »» Total shopping centre floorspace (sq m) 2 982 284 7 614 943 117 383 310 »» Total shopping centre floorspace (per ’000 population) 220 102 326 »» Prime shopping centre rents (units of 2,000 sq m) 10-20 7-17 n/a »» Basis of measurement GLA sq m

»» Unit of measurement €/sq m/month Istanbul Although Istanbul’s retail offer continues to be dominated by the high »» Inclusions None street, shopping centre development is booming. There are a number of large-scale projects in the pipeline, the largest of which is the 163,000 sq // Lease Structures and Legal Aspects m Mall of Istanbul, due to open in 2013. »» Standard lease document Lease agreement »» Typical lease length 5 years No advertisement contribution fee in the first year for »» Typical incentives new shopping centres, fix-currency rate if EUR/USD parity is highly volatile »» Statutory rights to renew the lease 5 years »» Frequency of rent reviews Annual »» Frequency and basis of indexation of rent HICP, USCPI, Turkish CPI

70 | European Retail Guide - Shopping Centres Istanbul, Turkey

// Major shopping centres in operation in Istanbul (by size)

Footfall Opening GLA size N° of Occupancy Shopping centre name Owner figures Turnover date (sq m) stores ratio (%) (‘000) 272 stores, 1 Forum Istanbul 2009 175 000 Multi Development Turkey 45 food 20 000 99 n/a vendors Key tenants: Real, Praktiker, Ikea, Decathlon, Saturn, YKM, Tepe Home, C&A, Teknosa, Mudo City, D&R, M&S, Zara, H&M Area Real Estate, Multi 2 2011 157 000 350 15 000 95 n/a Forum Marmara Development Key tenants: CarrafourSa, Saturn, Bauhaus,Tepe Home, Boyner, Teknosa, M&S, H&M, C&A, YKM, Bimeks, Zara, GAP 303 stores, 3 Istanbul Cevahir 2005 115 000 St. Martins 46 food 20 000 95 n/a vendors Key tenants: Koçtas, Migros, Tepe Home, Teknosa, YKM, Debenhams, C&A, Zara, Koton, Vera Moda, Mudo 180 stores, 4 Torium 2010 97 608 Torunlar REIC 25 food 12 000 95 n/a vendors Key tenants: Migros, Electroworld, H&M, YKM, C&A, Mango, Snowpark 287 stores, 5 Istinye Park 2007 87 000 Orjin Group&Dogus Group 37 food 15 000 99 n/a vendors Key tenants: Boyner, Beymen, Zara, H&M, M&S, Teknosa, Darty, Hilside Club

5

1 3

4 Istanbul 2

Forum Istanbul - Istanbul European Retail Guide - Shopping Centres | 71 Birmingham, United Kingdom Overall city score Retail sales Pop. growth - »» - »» growth // Key Local Indicators Birmingham UK Europe »» Population 2011, (in ‘000) 1 043 62 756 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,4 0,6 0,2 »» Age structure, 15-64 (%) 61 62 66 »» GDP growth, 2007-2011 (%pa) -0,6 0,1 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,6 2,1 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 1,3 1,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 2,3 2,5 1,4 »» CPI 2011 (%) n/a 4,5 0,03 »» ILO unemployment rate 2011 (%) 11,3 8,0 9,4 »» Consumer expenditure per capita, 2011 15 221 € 18 119 € 13 070 € »» Average earnings 15 742 € 19 536 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 453 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 12 773 5 128 »» Number of shopping centres in the pipeline 0 50 626 »» Total shopping centre floorspace (sq m) 298 000 16 623 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 286 267 326 »» Prime shopping centre rents (units of 2,000 sq m) £240 £165-£900 n/a »» Basis of measurement Zone A

»» Unit of measurement £/sq m/year Birmingham Shopping centres are an important element of the city’s overall retail struc- »» Inclusions None ture, with refurbishments and extensions of existing schemes, Namely the Pallasades Shopping Centre, domin/ating current development activity. // Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 10 years now standard Incentives a mixture of rent free period (which vary »» Typical incentives markedly - 3-24 months according to centre and retailer) and capital contribution »» Statutory rights to renew the lease No - new lease obligatory »» Frequency of rent reviews 5 years Indexation (to RPI or CPI) now becoming more common, »» Frequency and basis of indexation of rent but still only in a minority of cases

72 | European Retail Guide - Shopping Centres Birmingham, United Kingdom

// Major shopping centres in operation in Birmingham (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) Hammerson, Henderson 1 Bullring 2003 116 622 Global Investors and 150 n/a n/a n/a Future Fund Key tenants: Debenhams, Next, Selfridges, TK Maxx Chelmsley Wood 2 1971 45 615 Fordgate Group Limited 80 n/a n/a n/a Shopping Centre

Key tenants: Argos, , Boots, Iceland, Somerfield, Wilkinson One Stop Shopping Standard Life Investments 3 1990 31 633 58 n/a n/a n/a Centre Limited Key tenants: ASDA, Currys, Iceland, Sports World (now trading as Sports Direct.com), TK Maxx Pallasades Shopping 4 1972 26 917 Birmingham City Council 90 n/a n/a n/a Centre Key tenants: Argos, New Look, Peacocks Henderson Investors Priory Square Limited, Land Securities 5 1965 26 003 52 n/a n/a n/a Shopping Centre Group, Pearl Assurance Limited Key tenants: Argos, Next

3

5 Birmingham 2 4 1 Bullring- Birmingham

European Retail Guide - Shopping Centres | 73 Bristol, United Kingdom Overall city score Retail sales Pop. growth + »» + »» growth // Key Local Indicators Bristol UK Europe »» Population 2011, (in ‘000) 446 62 756 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,6 0,6 0,2 »» Age structure, 15-64 (%) 62 62 66 »» GDP growth, 2007-2011 (%pa) -0,3 0,1 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 2,2 2,1 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 2,1 1,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 2,4 2,5 1,4 »» CPI 2011 (%) n/a 4,5 0,03 »» ILO unemployment rate 2011 (%) 5,5 8,0 9,4 »» Consumer expenditure per capita, 2011 17 689 € 18 119 € 13 070 € »» Average earnings 19 184 € 19 536 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 453 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 15 773 5 128 »» Number of shopping centres in the pipeline 2 50 626 »» Total shopping centre floorspace (sq m) 291 000 16 623 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 653 267 326 »» Prime shopping centre rents (units of 2,000 sq m) £300 £165-£900 n/a »» Basis of measurement Zone A Bristol »» Unit of measurement £/sq m/year Bristol’s retail market is domin/ated by ‘Cabot Circus’, a mixed-used rege- » Inclusions None » nerating scheme which opened in Broadmead to the east of the city in 2008 and which greatly improved the city’s overall retail offering. // Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 10 years now standard Incentives a mixture of rent free period (which vary »» Typical incentives markedly - 3-24 months according to centre and retailer) and capital contribution »» Statutory rights to renew the lease No - new lease obligatory »» Frequency of rent reviews 5 years Indexation (to RPI or CPI) now becoming more common, »» Frequency and basis of indexation of rent but still only in a minority of cases

74 | European Retail Guide - Shopping Centres Bristol, United Kingdom

// Major shopping centres in operation in Bristol (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Cabot Circus 1960 95 800 Bristol City Council 150 n/a n/a n/a

Key tenants: Harvey Nichols, House of Fraser

The Mall At Cribbs Capital Shopping Centres, 2 1998 92 438 Prudential Assurance 144 n/a n/a n/a Causeway Company Limited

Key tenants: John Lewis, Marks & Spencer The Galleries HSBC European Active 3 1991 30 658 Real Estate Fund Trustee 110 n/a n/a n/a Shopping Centre Limited Key tenants: Boots, TK Maxx, , WH Smith

Broadwalk Shopping HSBC Specialist Invest- 4 1974 17 187 35 n/a n/a n/a Centre ments Limited Key tenants: Real, Media Markt, Parktiker, Agata Meble, Swiat Dziecka, Komfort Kings Chase 5 1977 11 892 Draco Property 25 n/a n/a n/a Shopping Centre Key tenants: Sainsbury's, Wilkinson

2

Bristol

1 5 Cabot Circus - Bristol 3

4

European Retail Guide - Shopping Centres | 75 Cardiff, United Kingdom Overall city score Retail sales Pop. growth + »» - »» growth // Key Local Indicators Cardiff UK Europe »» Population 2011, (in ‘000) 470 62 756 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,7 0,6 0,2 »» Age structure, 15-64 (%) 61 62 66 »» GDP growth, 2007-2011 (%pa) 0,4 0,1 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,7 2,1 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 2,7 1,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 2,2 2,5 1,4 »» CPI 2011 (%) n/a 4,5 0,03 »» ILO unemployment rate 2011 (%) 8,1 8,0 9,4 »» Consumer expenditure per capita, 2011 16 193 € 18 119 € 13 070 € »» Average earnings 18 399 € 19 536 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 453 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 6 773 5 128 »» Number of shopping centres in the pipeline 0 50 626 »» Total shopping centre floorspace (sq m) 195 000 16 623 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 415 267 326 »» Prime shopping centre rents (units of 2,000 sq m) £235 £165-£900 n/a »» Basis of measurement Zone A

»» Unit of measurement £/sq m/year Cardiff Cardiff’s main city centre retail scheme is St David’s, which was extended »» Inclusions None by almost 90,000 sq m in 2009, turning it into one of the largest schemes in the UK. // Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 10 years now standard Incentives a mixture of rent free period (which vary »» Typical incentives markedly - 3-24 months according to centre and retailer) and capital contribution »» Statutory rights to renew the lease No - new lease obligatory »» Frequency of rent reviews 5 years Indexation (to RPI or CPI) now becoming more common, »» Frequency and basis of indexation of rent but still only in a minority of cases

76 | European Retail Guide - Shopping Centres Cardiff, United Kingdom

// Major shopping centres in operation in Cardiff (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 St Davids Centre 1981/2010 131 689 St. David's Partnership 203 n/a n/a n/a

Key tenants: Bhs, Boots, Debenhams, John Lewis, Marks & Spencer

Capitol Shopping Moorfield Real Estate 2 1990 17 187 44 n/a n/a n/a Centre Fund GP Limited Key tenants: Jaeger, Dune, Phase Eight, Hobbs, Austin Reed, H&M, Sports Direct Schroder Exempt Property 3 2000 15 793 42 n/a n/a n/a Mermaid Quay Unit Trust Key tenants: natWest Bank, Aquabus, Tesco European Property Inves- 4 Queens Arcade 1994 15 329 tors Special Opportunities 42 n/a n/a n/a LP Limited Key tenants: Argos, Disney Store, Gap, Pier The Hayes Shopping 5 2007 14 864 Helical Bar Plc 28 n/a n/a n/a Centre Key tenants: Borders, TK Maxx, Rossiters and Moss Bros

2 4 1 5 Cardiff St Davids Centre - Cardiff

3 European Retail Guide - Shopping Centres | 77 Edinburgh, United Kingdom Overall city score Retail sales Pop. growth + »» + »» growth // Key Local Indicators Edinburgh UK Europe »» Population 2011, (in ‘000) 491 62 756 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,7 0,6 0,2 »» Age structure, 15-64 (%) 63 62 66 »» GDP growth, 2007-2011 (%pa) 1,6 0,1 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,9 2,1 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 2,9 1,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 2,3 2,5 1,4 »» CPI 2011 (%) n/a 4,5 0,03 »» ILO unemployment rate, 2011 (%) 8,1 8,0 9,4 »» Consumer expenditure per capita, 2011 22 757 € 18 119 € 13 070 € »» Average earnings per capita, 2011 24 876 € 19 536 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 453 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 8 773 5 128 »» Number of shopping centres in the pipeline 1 50 626 »» Total shopping centre floorspace (sq m) 198 000 16 623 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 404 267 326 »» Prime shopping centre rents (units of 2,000 sq m) £165 £165-£900 n/a »» Basis of measurement Zone A

»» Unit of measurement £/sq m/year Edinburgh Edinburgh’s retail market has long been overshadowed by its neighbour, »» Inclusions None Glasgow. Major regeneration projects are underway to address this, including plans to improve two dominant shopping centres: The Gyle and // Lease Structures and Legal Aspects the St James Centre. »» Standard lease document Lease agreement »» Typical lease length 10 years now standard Incentives a mixture of rent free period (which vary »» Typical incentives markedly - 3-24 months according to centre and retailer) and capital contribution »» Statutory rights to renew the lease No - new lease obligatory »» Frequency of rent reviews 5 years Indexation (to RPI or CPI) now becoming more common, »» Frequency and basis of indexation of rent but still only in a minority of cases

78 | European Retail Guide - Shopping Centres Edinburgh, United Kingdom

// Major shopping centres in operation in Edinburgh (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) Henderson Global Inves- 1 1972 41 806 55 n/a n/a n/a St James Centre tors Key tenants: Boots, John Lewis, Next

2 Ocean Terminal 2001 41 256 Resolution Property 85 n/a n/a n/a

Key tenants: Bhs, Debenhams William Ewart Properties 3 1993 30 658 69 n/a n/a n/a Gyle Shopping Centre Limited Key tenants: Boots, Marks&Spencer, Morrisons, Next Cameron Toll 4 1984 24 155 Warren Private Clients 40 n/a n/a n/a Shopping Centre Key tenants: Bhs, Sainsbury's

5 West Side Plaza 1972 18 580 WG Mitchell Limited 42 n/a n/a n/a

Key tenants: Lidl

2

Edinburgh 1

Ocean Terminal - Edinburgh

4 3 5

European Retail Guide - Shopping Centres | 79 Glasgow, United Kingdom Overall city score Retail sales Pop. growth - »» + »» growth // Key Local Indicators Glasgow UK Europe »» Population 2011, (in ‘000) 596 62 756 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,2 0,6 0,2 »» Age structure, 15-64 (%) 63 62 66 »» GDP growth, 2007-2011 (%pa) 1,8 0,1 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,9 2,1 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 2,0 1,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 2,7 2,5 1,4 »» CPI 2011 (%) n/a 4,5 0,03 »» ILO unemployment rate 2011 (%) 10,5 8,0 9,4 »» Consumer expenditure per capita, 2011 17 831 € 18 119 € 13 070 € »» Average earnings 18 338 € 19 536 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 453 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 14 773 5 128 »» Number of shopping centres in the pipeline 0 50 626 »» Total shopping centre floorspace (sq m) 352 000 16 623 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 591 267 326 »» Prime shopping centre rents (units of 2,000 sq m) £230 £165-£900 n/a »» Basis of measurement Zone A

»» Unit of measurement £/sq m/year Glasgow Land Securities’ redevelopment of Buchanan Street is underway, aimed at »» Inclusions None bolstering Glasgow’s retail offer. There are also plans to improve Glasgow’s best performing shopping centre, Buchanan Galleries. // Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 10 years now standard Incentives a mixture of rent free period (which vary »» Typical incentives markedly - 3-24 months according to centre and retailer) and capital contribution »» Statutory rights to renew the lease No - new lease obligatory »» Frequency of rent reviews 5 years Indexation (to RPI or CPI) now becoming more common, »» Frequency and basis of indexation of rent but still only in a minority of cases

80 | European Retail Guide - Shopping Centres Glasgow, United Kingdom

Key tenants: ASDA, Dunnes Stores, InShops // Major shopping centres in operation in Glasgow (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 St Enoch Centre 1989 93 000 Ivanhoe Cambridge 104 n/a n/a n/a

Key tenants: Bhs, Boots, Burton, Dorothy Perkins, Debenhams, TK Maxx

2 Silverburn 1979 92 902 Hammerson 109 n/a n/a n/a

Key tenants: Debenhams, Marks&Spencer, Next, Tesco Extra Land Securities, Hender- 3 1999 55 000 75 n/a n/a n/a Buchanan Galleries son Global Investors Key tenants: Boots, H&M, JD Sports, John Lewis, Marks&Spencer, Next, Open Forge Shopping 4 1988 41 806 Belfast Office Properties 75 n/a n/a n/a Centre Key tenants: Real, Media Markt, Parktiker, Agata Meble, Swiat Dziecka, Komfort Aviva Investors Global 5 1978 16 723 24 n/a n/a n/a Sauchiehall Centre Services Limited Key tenants: Healthland Fitness International, JJB Sports, Primark, Superdrug, TK Maxx, WH Smith

3 5 Glasgow 1 4 Buchanan Galleries - Glasgow

2

European Retail Guide - Shopping Centres | 81 Leeds, United Kingdom Overall city score Retail sales Pop. growth + »» - »» growth // Key Local Indicators Leeds UK Europe »» Population 2011, (in ‘000) 807 62 756 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,6 0,6 0,2 »» Age structure, 15-64 (%) 63 62 66 »» GDP growth, 2007-2011 (%pa) -0,2 0,1 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 1,9 2,1 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 1,7 1,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 2,3 2,5 1,4 »» CPI 2011 (%) n/a 4,5 0,03 »» ILO unemployment rate 2011 (%) 9,9 8,0 9,4 »» Consumer expenditure per capita, 2011 16 193 € 18 119 € 13 070 € »» Average earnings 17 634 € 19 536 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 453 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 13 773 5 128 »» Number of shopping centres in the pipeline 1 50 626 »» Total shopping centre floorspace (sq m) 247 000 16 623 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 306 267 326 »» Prime shopping centre rents (units of 2,000 sq m) £260 £165-£900 n/a »» Basis of measurement Zone A

»» Unit of measurement £/sq m/year Leeds The development of the Trinity Leeds scheme is set to transform Leeds’ »» Inclusions None retail landscape and has already attracted major international brands. The scheme, due to open in 2013, will make Leeds the UK’s fourth largest // Lease Structures and Legal Aspects retail centre. »» Standard lease document Lease agreement »» Typical lease length 10 years now standard Incentives a mixture of rent free period (which vary »» Typical incentives markedly - 3-24 months according to centre and retailer) and capital contribution »» Statutory rights to renew the lease No - new lease obligatory »» Frequency of rent reviews 5 years Indexation (to RPI or CPI) now becoming more common, »» Frequency and basis of indexation of rent but still only in a minority of cases

82 | European Retail Guide - Shopping Centres Leeds, United Kingdom

// Major shopping centres in operation in Leeds (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Trinity Leeds 1973 92 902 Land Securities Group 120 n/a n/a n/a

Key tenants: Bhs, Boots, H&M, JJB Sports, Marks&Spencer, Mothercare, Next, TK Maxx, Topshop/Topman White Rose Shopping 2 1997 63 638 Land Securities Group 92 n/a n/a n/a Centre

Key tenants: Debenhams, Sainsbury's SavaCentre

3 Merrion Centre 1964 46 452 Town Centre Securities 78 n/a n/a n/a

Key tenants: Boots, Morrisons Aegon Property Fund 4 1991 32 516 34 n/a n/a n/a The Light Limited Key tenants: Browns, If bar, Proibito, Tiger Tiger Allied London Properties 5 2008 23 818 43 n/a n/a n/a Clarence Dock Retail Limited Key tenants: Alea, Gstar, All Saints, Tesco

4 3 Leeds 1 5

White Rose Shopping Centre - Leeds

2

European Retail Guide - Shopping Centres | 83 London, United Kingdom Overall city score Retail sales Pop. growth + »» + »» growth // Key Local Indicators London UK Europe »» Population 2011, (in ‘000) 1 137 62 756 502 711 »»GDP growth + »» Population growth, 2012-2016 (annual %) 0,8 0,6 0,2 »» Age structure, 15-64 (%) 71 62 66 »» GDP growth, 2007-2011 (%pa) 0,6 0,1 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 3,1 2,1 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 2,0 1,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 2,9 2,5 1,4 »» CPI 2011 (%) n/a 4,5 0,03 »» ILO unemployment rate 2011 (%) 10,2 8,0 9,4 »» Consumer expenditure per capita, 2011 25 798 € 18 119 € 13 070 € »» Average earnings 29 503 € 19 536 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 453 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 35 773 5 128 »» Number of shopping centres in the pipeline 1 50 626 »» Total shopping centre floorspace (sq m) 904 000 16 623 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 291 267 326 »» Prime shopping centre rents (units of 2,000 sq m) £550-£900 £165-£900 n/a »» Basis of measurement Zone A

»» Unit of measurement £/sq m/year London London’s shopping centre market enjoys high levels of footfall and tur- »» Inclusions None nover ratios. New schemes have opened in recent years, with the most prominent of these being the 211,500 sq m ‘Westfield Stratford’, which // Lease Structures and Legal Aspects opened in 2011. »» Standard lease document Lease agreement »» Typical lease length 10 years now standard Incentives a mixture of rent free period (which vary »» Typical incentives markedly - 3-24 months according to centre and retailer) and capital contribution »» Statutory rights to renew the lease No - new lease obligatory »» Frequency of rent reviews 5 years Indexation (to RPI or CPI) now becoming more common, »» Frequency and basis of indexation of rent but still only in a minority of cases

84 | European Retail Guide - Shopping Centres London, United Kingdom

// Major shopping centres in operation in London (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%) Westfield Stratford 1 2011 211 500 Westfield 300 n/a n/a n/a City Key tenants: John Lewis, Marks&Spencer

2 Westfield London 2008 150 000 Westfield 265 n/a n/a n/a

Key tenants: Debenhams, House of Fraser, Marks&Spencer, Next, Waitrose Brent Cross 3 1976 78 967 Hammerson 120 n/a n/a n/a Shopping Centre, Key tenants: Fenwick, John Lewis Covent Garden 4 1980 60 000 Capco 50 n/a n/a n/a Market Key tenants: Apple, Burberry, Ralph Lauren High Street Wood 5 1977 52 954 Capital & Region/al 91 n/a n/a n/a Green Key tenants: Argos, Boots, Debenhams, Pearsons Department Store, Primark, TK Maxx, WH Smith, Wilkinson

5

3 London 1

2 4

Westfield Stratford City - Londres

European Retail Guide - Shopping Centres | 85 Manchester, United Kingdom Overall city score Retail sales Pop. growth + »» - »» growth // Key Local Indicators Manchester UK Europe »» Population 2011, (in ‘000) 1 459 62 756 502 711 »»GDP growth - »» Population growth, 2012-2016 (annual %) 0,6 0,6 0,2 »» Age structure, 15-64 (%) 63 62 66 »» GDP growth, 2007-2011 (%pa) 1,0 0,1 0,5 »» GDP growth forecasts, 2012-2016 (%pa) 2,2 2,1 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 2,1 1,4 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) 2,5 2,5 1,4 »» CPI 2011 (%) n/a 4,5 0,03 »» ILO unemployment rate 2011 (%) 8,9 8,0 9,4 »» Consumer expenditure per capita, 2011 17 082 € 18 119 € 13 070 € »» Average earnings 17 646 € 19 536 € 12 347 € »» Car ownership (cars per 1 000 inhabitants) n/a 453 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 15 773 5 128 »» Number of shopping centres in the pipeline 0 50 626 »» Total shopping centre floorspace (sq m) 536 000 16 623 000 117 383 310 »» Total shopping centre floorspace (per ’000 population) 367 267 326 »» Prime shopping centre rents (units of 2,000 sq m) £265 £165-£900 n/a »» Basis of measurement Zone A

»» Unit of measurement £/sq m/year Manchester Over half of Manchester’s overall retail floorspace is accounted for by the »» Inclusions None city’s five shopping centres. By far the largest is Arndale Centre which dominates the northern and eastern part of the city. // Lease Structures and Legal Aspects »» Standard lease document Lease agreement »» Typical lease length 10 years now standard Incentives a mixture of rent free period (which vary »» Typical incentives markedly - 3-24 months according to centre and retailer) and capital contribution »» Statutory rights to renew the lease No - new lease obligatory »» Frequency of rent reviews 5 years Indexation (to RPI or CPI) now becoming more common, »» Frequency and basis of indexation of rent but still only in a minority of cases

86 | European Retail Guide - Shopping Centres Manchester, United Kingdom

// Major shopping centres in operation in Manchester (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 The Trafford Centre 1998 148 605 Capital Shopping Centres 278 n/a n/a n/a

Key tenants: Bhs, Boots, Debenhams, Marks&Spencer, Selfridges Prudential Assurance 2 Arndale Centre 1976/2000 130 063 Company Limited, Capital 225 n/a n/a n/a Shopping Centres

Key tenants: Bhs, Boots, Next Ellesmere Shopping Liverpool & Lancashire 3 1994 29 172 130 n/a n/a n/a Centre Properties Ltd Key tenants: Boots, Greggs, Lunn Poly, Tesco Swinton Shopping 4 1965 16 862 Private Investor 70 n/a n/a n/a Centre Key tenants: Boots, Kwik Save, Peacocks

Droylsden Shopping Crownring Properties 5 2003 16 258 28 n/a n/a n/a Centre Limited Key tenants: Boots, Ethel Austin, Somerfield, William Hill Manchester 4 3 2 Manchester 1 5

The Trafford Centre - Manchester

European Retail Guide - Shopping Centres | 87 Kyiv, Ukraine Overall city score Retail sales Pop. growth + »» ++ »» growth // Key Local Indicators Kyiv Ukraine Europe »» Population 2011, (in ‘000) 2 813 45 644 502 711 »»GDP growth ++ »» Population growth, 2012-2016 (annual %) 0,8 -0,5 0,2 »» Age structure, 15-64 (%) 71 75 66 »» GDP growth, 2007-2011 (%pa) 2,2 0,9 0,5 »» GDP growth forecasts, 2012-2016 (%pa) n/a 5,5 2,2 »» Location based retail sales growth, 2007-2011 (%pa) 10,6 9,6 2,4 »» Location based retail sales growth forecasts, 2012-2016 (%) n/a n/a 1,4 »» CPI 2011 (%) 6,1 4,6 0,3 »» ILO unemployment rate 2011 (%) 5,4 7,8 9,4 »» Consumer expenditure per capita, 2011 1 987 € 1 349 € 13 070 € »» Average earnings 6 237 € 3 945 € 18 825 € »» Car ownership (cars per 1 000 inhabitants) n/a 142 473

// Retail Provision and Market Conditions »» Number of shopping centres in operation 44 121 5 128 »» Number of shopping centres in the pipeline 16 33 626 »» Total shopping centre floorspace (sq m) 720 800 1 755 600 117 383 310 »» Total shopping centre floorspace (per ’000 population) 257 219 326 »» Prime shopping centre rents (units of 2,000 sq m) $150-170 $70-90 n/a »» Basis of measurement GLA sq m

»» Unit of measurement $/sq m/month Kyiv After a period of weak economic conditions, the retail sector is recovering, »» Inclusions None stimulated by the upcoming European Football Championships. Several shopping centre projects are due for completion in 2012 . // Lease Structures and Legal Aspects »» Standard lease document Lease agreement 3-5 years – for standard retail units of 50-250 sq m 7-10 years – for semi-anchors (500-1,000 sq m) »» Typical lease length 10-15 years – for anchor tenants plus a priority right to renew the lease »» Typical incentives Stepped up rent »» Statutory rights to renew the lease After expiration of rental term »» Frequency of rent reviews Annual indexation »» Frequency and basis of indexation of rent Harmonised CPI, fixed - 3-5%

88 | European Retail Guide - Shopping Centres Kyiv, Ukraine

// Major shopping centres in operation in Kyiv (by size)

Opening GLA size N° of Footfall figures Occupancy Shopping centre name Owner Turnover date (sq m) stores (‘000) ratio (%)

1 Dream Town 2009/2011 90 500 Vita Veritas 250 1 500* 93 n/a

Key tenants: Novus, Cosmos hypermarket, Foxtrot, Techopolis, River Island, Zara, Oscar (cinema), Marks&Spencer, Benetton, Sportmaster, Intertop, Mothercare

2 Sky Mall 2007/2010 47 000 Arricano Development 150 600* 99 n/a

Key tenants: Auchan, Comfy, Zara, New Look, New Yorker, Kronverk (cinema), City Bowling, Reserved, Intertop, Mothercare, Marks&Spencer, Shop

3 Karavan 2004/2008 37 700 Karavan Group 120 1 200* 99 n/a

Key tenants: Karavan hypermarket, Zara, New Look, GAP, Marks&Spencer, Smyk, Odessa Kino

4 Bolshevik 2007/2008 36 200 n/a 120 1 000* 98 n/a

Key tenants: MegaMarket, Comfy, Tekhnopolis, ButterFly cinema, Colin’s, Brocard, Intertop, ArgoCentr, Next, Ice Rink, Adidas

5 Globus 2002/2003 18 600 London & Region/al 175 2 400* 98 n/a

Key tenants: Sportmaster, Mothercare, Brocard, New Look, Peacocks, Grandi Firme Outlet

* monthly average

1

3 2 Kyiv 4 5

Sky Mall - Kyiv

European Retail Guide - Shopping Centres | 89 //Retail Team

EMEA Spain Martyn Chase James Bradley European Retail Sector Head Country Head [email protected] [email protected] +44 (0)20 3296 4232 / +44 (0)7808 479 279 +34 91 770 96 00 / +34 62 951 69 24

Nordics Poland Maria Krumlinde Patrick Delcol Retail Director Country Head [email protected] [email protected] +46 8 671 34 93 +44 / +44 (0)7768 294 749 +48 (22) 222 31 00 / +48 (0) 603 110 024

Belgium Thomas Willekens Razvan Sin Senior Account Manager Retail Head of Retail [email protected] [email protected] +32 3 303 10 09 / +32 475 76 07 02 +40 21 310 3100 / +40 751 22 22 11

Netherlands Czech Republic Cuno van Steenhoven Lenka Vodrazkova Chairman of management board Head of Property Management [email protected] [email protected] +31 30 602 22 11 / +31(0) 653 87 97 97 +420 234 262 257 /+420 736 620 066

Germany UAE Katharina von Schacky Andrew Goodwin Head of Retail Asset Management Director katharin/[email protected] [email protected] +49 (0) 211 177 240 / +49 (0) 174 909 6371 +971 (0)2 667 4823 / +971 (0)50 621 7290

France UK Jean-Philippe Carmarans Hugh Radford CEO Valuation Head of UK Retail [email protected] [email protected] + 33 1 47 48 77 24 / + 33 6 22 50 67 33 +44 (0)20 3296 4179 / +44 (0)7831 575 452

90 | European Retail Guide - Shopping Centres // Research Team

// Disclaimer Belgium Netherlands This report should not be relied upon as a basis for Cedric Van Meerbeeck Frank van der Sluys [email protected] [email protected] entering into transactions without seeking specific, +32 2 629 02 00 Tel: +31 (0)20 5711 411 qualified, professional advice. Whilst facts have been rigorously checked, DTZ cannot be held responsible Czech Republic Lenka Šindelárová Marit Hoff Eek in any way in case of any error or inaccuracy within [email protected] [email protected] this report. +420 234 262 239 Tel: +47 23 11 68 68 Information contained herein should not, in whole Denmark Poland or part, be referred to, reproduced, or distributed Kim McMillan Anna Staniszewska without the prior express approval of DTZ. In any [email protected] [email protected] case, any reference, reproduction, or distribution Tel: +45 337 34 511 Tel: +48 (0)22 222 3130 must indicate its source. Finland Juha MäkiLohiluoma Stefano Carosi [email protected] [email protected] Tel: +358 (0)10 836 8435 Tel: +7 (495) 748 1111 // Sources France Spain Delphine Mahé Pablo Kindelán [email protected] [email protected] This European shopping centre guide covers 40 Tel: +33 (0)1 49 644 791 Tel: +34 (0)91 770 9622 cities and was put together using data collected Germany Sweden by our extensive network of local offices around Ursula-Beate Neißer Karin Witalis Europe. Whereas the retail specific data on [email protected] [email protected] shopping centre provision and lease structure was Tel: +49 (0)69 92 100 160 Tel: +46 8 671 34 00 gathered by our retail teams locally, the socio- Hungary economic data comes from Oxford Economics. Eanna Maksay Pierre Stämpfli In order to ensure a robust comparison between [email protected] [email protected] cities, please note that all data adheres to Oxford Tel: +36 (0)1 472 7297 Tel: +41 (0)22 839 7370 Economics ‘Nuts 3’ boundary definition, which Ireland Turkey refers to city specific information. Marian Finnegan Dilek Pekmidir [email protected] [email protected] Tel: +353 (0)1 237 6300 Tel: +90 212 231 5530 Italy Ukraine Magali Marton Marta Kostiuk [email protected] [email protected] Tel: +33 (0)1 49 644 954 Tel: +380 44 220 3060 United Kingdom Sophie Leblon Martin Davis [email protected] [email protected] Tel: +352 2648 4868 Tel: +44 (0)20 3296 2304 Middle East Martin Cooper [email protected] Tel: +973 (0)1 713 3660 European Retail Guide - Shopping Centres | 91 www.dtz.com UK Romania Czech Republic Poland Netherlands Norway Luxembourg Lithuania Latvia Kazakhstan Italy Ireland Hungary France Finland Estonia Spain UAE Denmark Belgium Germany South Africa Europe, MiddleEast&Africa countries. personnel includingcontractors,operatingacross 217offices in45 The organisationhas27,000permanentemployeesand43,000 largest property servicescompanies intheworld. The combinedbusinessofDTZandUGLServicesisnowonethe DTZ isnowcombinedwithUGLServices,adivisionofLimited. Canada North America Vietnam Thailand New Zealand Malaysia Asia-Pacific Ukraine Turkey Switzerland Suede Russia

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