Annual Report 2016 NCSC Annual General Meeting, Stockholm, May 10 2017

NCSC mission statement and basis for work NCSC is the most professional, engaged and involved association within the shopping centre industry in the Nordic countries, including all shopping formats, all locations and all professions, directly or indirectly engaged in shopping centres.

NCSC is the best network in the industry, has a high visibility and creates the best activities. The purpose of NCSC is to advance the shopping centre industry and to promote its role in relation to other industries and to the society.

In 2010 a Business plan was adopted, stating the activities necessary to achieve the mission. This business plan has been the steering document for the work within NCSC since then and reviewed annually.

Membership at year-end

Companies Companies Companies Companies Individuals Individuals Individuals Individuals Country 2013 2014 2015 2016 2013 2014 2015 2016 Sweden 228 190 205 181 598 582 628 584 Norway 111 130 134 121 345 361 378 340 Denmark 44 44 41 41 97 89 88 71 24 24 35 41 68 65 114 133 Others 4 4 8 10 18 15 21 24 Total 411 391 423 394 1126 1112 1229 1152

Companies=total number of membership companies. Individuals=total number of persons included in all the membership companies.

Revenues NCSC has three sources of revenue: membership fees, partner/sponsorships and surplus from events. The prices of membership were slightly increased 2016.

Partner/Sponsorships have continued to grow throughout 2016. NCSC wishes to express a deep gratitude towards the different companies that are supporting us in our work. Your support is making a huge difference to our ability to develop the organization further.

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Events are supposed to cover its costs plus a small profit. Certain events are hosted by, and mostly paid, by member-companies. We are thankful and proud to have committed members.

For the coming years the board hopes for, and indeed counts on a continuation and increase in both partnerships and events arranged by member-companies.

Partners during 2016 • MK Illumination – Nordic Platinum partner • IKEA Retail – Nordic Gold partner • Steen & Strøm – Nordic Silver partner • Unibail-Rodamco – Nordic Silver partner (former Sweden Gold partner) • InsightOne – Norway Silver partner • EuroSign – Norway Silver partner • Atrium Ljungberg – Sweden Gold partner • Vasakronan – Sweden Gold partner • ICA Fastigheter – Sweden Gold partner • Skandia Fastigheter – Sweden Gold partner (starting January 2017) • Eurocommercial – Sweden Silver partner • Grosvenor – Sweden Silver partner (starting January 2017)

Staff / Organization NCSC as an organization would not function without its committed personnel. The members and the board is dependent on the staff, carrying out management, member administration, marketing, project-leading and all other daily tasks, which makes it possible for NCSC to be a relevant organization for our industry.

During 2016 the following persons have been part of the NCSC team:

• Marika Wærn – Managing Director (full-time employed by NCSC) • Annika Olsson – Marketing Manager Nordic (full-time employed by NCSC) • Matilda Bergenudd – Member & Admin assistant (ended May, full-time employed by NCSC) • Linnea Törnvall – Member & Admin assistant (started June, full-time employed by NCSC) • Natasha Jonason – Event Project Manager Sweden (ended September, full-time freelance) • Lotta Strinnholm – Project Manager Education/Event (part-time freelance) • Hilde Maren Schjager – Marketing Manager Norway (full-time freelance) • Tina Korpi – Marketing Manager Finland (part-time freelance) • Dorthe Guldager – Marketing Manager Denmark (March-December, part-time freelance)

In order to increase the overall effectiveness of our procedures, routines and overall organization of work, including both staff and board, a thorough analysis has been carried out in cooperation with the consultancy firm Occam. The result of this will be presented separately at the AGM.

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Board, Nomination committee and Auditors 2016

President /Chairman of the board • Wilner Anderson

Board Denmark • Per Nyborg Thomsen, Country chair • Marianne Karlsen • Charlotte Sager • Claus Tüchsen Substitutes • Jacob Bannor • Jesper Andreasen

Board Finland • Tuire Nyberg, Country chair • Mika Ohenoja • Pia Rosvall • Jussi Vyyrjyläinen Substitutes • Terhi Okkonen • Heli Vainio

Board Norway • Rolf O Svendsen, Country chair • Johan Storvik • Carl “Nico” Nicolai L. Vold • Michael Rask Substitutes • Lise Lind • Monica Eriksen

Board Sweden • Bernt-Olof Gustavsson, Country chair • Lisen Pettersson • Christoffer Lind • Fredrik Kolterjan Substitutes • Annika Schönefeld • Pia Hvalgren

Nomination committee 2016 Jesper Andreasen, Denmark Kaisa Vuorio, Finland Lise Lind, Norway Ulf Attebrant, Sweden

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Auditor’s • Carl-Johan Kjellman - external auditor, BDO Stockholm • Christer Carlsson - internal auditor, Establisher, Triumph

Board meetings during 2016 • Full Board (16 members) - 2 meetings • Executive Board (5 members) - 7 meetings+1 phone meeting • Country Board Denmark - 8 meetings • Country Board Finland - 6 meetings • Country Board Norway - 5 meetings • Country Board Sweden - 5 meetings

Main events 2016 One of the main purposes of NCSC is to be a platform for making contacts and growing your professional network. Regardless of the stated theme or purpose of a specific event, networking is always the goal. The number of different events have increased significantly over the last couple of years, now giving our members about three times as many possibilities to meet, learn and network compared with three years ago.

Nordic • Exclusive Tour Mall of Scandinavia & Täby Centrum • Study Tour Avion Shopping and Utopia, Umeå • Annual Conference & Annual General Meeting, Copenhagen • Retail Connections – Nordic Pavilion, London • Study Tour Warsaw, Poland • MAPIC show – Nordic Pavilion, Cannes

Denmark • Study tour Stockholm incl. Mall of Scandinavia & Täby Centrum • Seminar “Centrenes organisering” • Seminar “Danmarks Bedste Handelsby”

Finland • Member Breakfast Espresso House • Young Professional seminar • Breakfast seminar ITIS Shopping Center • Breakfast seminar ELIXIA Citycenter • Breakfast seminar Shopping Centre & O’Learys • Young Professional seminar • NCSC Awards Finland • Breakfast seminar Shopping Centre

Norway • February Seminar, Oslo • Breakfast seminar OHF • Study Tour Leeds • Kjøpesenterkonferansen, a 3-day event in Oslo incl. the NCSC Norway Awards

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Sweden • Webinar Swedish Shopping Centers SSCD *A • Breakfast seminar ICA Fastigheter • Breakfast seminar Lindex • Young Professional seminar HUI Research • Seminar “Taking Eatertainment to the Next levet” *B • Breakfast seminar BAS REX • After work seminar Ågren • Retail Arena Göteborg • Breakfast seminar Paradiset Matmarknad • Breakfast seminar Swedish Shopping Centre Directory SSCD*A • Sweden Urban Arena *C, premiere for a new meeting place, including the NCSC Sweden Awards • Breakfast seminar Grosvenor, SKHLM Centre

*A A joint event together with HUI Research and Datscha *B A joint event together with O’Learys *C A joint project together with Svenska Stadskärnor and Sveriges Centrumutvecklare

NCSC Young Professionals The NCSC Young Professional network was started in connection with the Annual Conference in Helsinki 2015 under the chairmanship of Lotta Sjöberg at NREP Finland (former Lehtonen, CBRE Global Investors). During 2016 the network has grown in Finland and in Sweden thanks to Gabriella Palmer, Specsavers (former JLL) and Mikael Orkovaara at CBRE. Networking events and study visits have been organized locally. The network is aimed at people in the 20’s and 30’s working in an industry related field who are in the beginning of their career. The network is currently free of charge.

The importance of young, skilled and ambitious individuals joining our industry cannot be overstated. As a distinct Nordic initiative, connected and integrated to the wider framework of ICSC Next Generation program, the Young Professionals program is a network within the network of the NCSC. The aim is to create specific possibilities for younger talents and professionals to connect, learn and widen their networks, all for the benefit of their companies, themselves and the industry at large.

NCSC Nordic Security Network A new network within the NCSC network started during 2016. The Nordic Security network is a forum for Security Managers and other managers with responsibility for security matters within retail property companies and shopping centres within the Nordics and Baltics. The network meets twice annually.

Awards As recognition of outstanding performance the awards “Shopping center of the year” is given within each country, and among the country-winners the “Nordic shopping center of the year” is chosen. The jury-work behind the awards is quite extensive, the board is very thankful for the travels, judgments and all other work being carried out by the jury.

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During 2015 the following shopping centers were the country-winners, leading to nomination for the Nordic Shopping Center Award 2016:

• Frederiksberg Centret, Denmark (Danica Pension) • , Finland (Wereldhave) • Strømmen Storsenter, Norway (Thon Eiendom) • Täby Centrum, Sweden (Unibail-Rodamco)

The challenge prize "the Nordic Star" designed and produced by MK Illumination, was handed out to Frederiksberg Centret, Denmark as the Best Nordic Shopping Center 2016.

The Nordic jury 2016: • Jesper Andreasen, jury chair, CEO, Rødovre Centrum, Denmark • Line Victoria Berg, Center Manager, CC Vest Stormaked (Mustad Eiendom), Norway • Johanna Kivelä, Sustainability Analyst, Citycon, Finland • Eva Handest, Property Manager, Danica Ejendomme, Denmark • Charlotta Björk, Partner, BREIM AB, Sweden

An investigation into further development of the competition for the coming years was initiated and presented during the last months of 2016. Conclusions and implementations to be decided during 2017.

The national winners 2016 and nominated for the Nordic Shopping Center Award 2017 are: • Forum – Helsinki, Finland • Jekta Storsenter – Tromsø, Norway • Metropol Shopping Center – Hjørring, Denmark

Sweden did not have any nominated centre due to the investigation of the criteria’s.

Education To run an educational program is a long tradition within NCSC. Over the years a number of professionals within our industry and members of NCSC have been through the courses with the general purpose of becoming better at shopping centre management. The education fulfils many of the purposes of NCSC, creating networks, educate and improve the business etc. The education is therefore an important part of the NCSC offer.

During the last three years NCSC has formed a joint program together with four educational institutions, KTH the Royal Institute of Technology in Stockholm, the Aalto University in Helsinki, the Norwegian School of Economics, NHH in Bergen, and the CBS, Copenhagen Business School in Copenhagen. This kind of cooperation between four institutions across borders is unique in the world. About 15 participants each year have been through this new program.

This year (valid from 2017) we have decided to change the name from NCSC University Education Program in Advanced Center Management to NCSC Business Program. We have also decided to offer a more flexible way to attend the program to allow more flexibility for students. The students can either choose to participate in the Diploma program over one or two years or chose to participate in a single course of your own choice.

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This program is a very ambitious task for an organisation NCSC. An important part for being successful depends on our ability to follow up the cooperation between the education institutions as well as the quality and relevance of the course contents. This requires presence and full engagement from NCSC. Based on this we have decided to add resources to develop the courses and to secure cooperation between the institutions. We have already made some changes for 2017 meaning partly new content in the KTH course and a completely new content in the Aalto course. We will continue this work during the rest of the year 2017.

To be able to maintain high quality and succeed with the ambitious program, we have decided to add resources to develop the courses, sales and marketing strategies and to secure cooperation between the institutions for the coming years, with the ambition to attract more students and create a better economical result.

Market research and analysis, Information distribution Nordic Retail Market Analysis – In a cooperation between ICSC, the International Council of Shopping Centers and NCSC. CBRE in London was appointed to conduct a survey among Nordic retailers “How a retailer will succeed in the Nordics” as well as analyse the findings. The report was launched during autumn 2016. Ongoing cooperation between NCSC, HUI Research and Datscha with the digital platform SSCD, Swedish Shopping Center Directory with data of all Swedish Shopping Centers and new projects. Similar cooperation with Andhøy in Norway to produce a report over all Norwegian Shopping Centers (was launched during spring 2017).

ICSC cooperation Since 2012 there is a collaboration agreement with ICSC, the International Council of Shopping Centers. ICSC is the global industry organization with approx. 73 000 members in over 100 countries. Our membership offers each NCSC member full advantage of the international organization, its databases, courses, events etc.

The European ICSC runs a variety of committees, from marketing, research, outlets to security. They are in continuous dialogue with the EU in all relevant matters. The initiatives and legislation originating in Brussels influences us all, speaking of retailing, shopping, construction permits, urban rejuvenation, financing, payment methods, e-tailing, consumer influence etc.

It is an explicit goal, both for NCSC and ICSC, to have more professionals from the Nordic as members of the different committees and working groups, being representatives for NCSC and having the possibility to become important bearers of cross-border knowledge. Please volunteer!

The organisation of ICSC within Europe is presently undergoing some changes, not yet fully known, which probably to some degree will influence the relationship between NCSC and ICSC. However, we have the ambition to keep the connection with the international community in our industry on a relevant and beneficial level through a continuous cooperation with ICSC.

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2016 has been a successful year for NCSC and it’s members. With an ever-increasing number of attendees at each event and a solid number of members and more partners we look forward to an even stronger 2017. Thank you for your commitment and engagement in the NCSC!

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