INVESTMENT MARKET IN POLAND vs. EUROPE May 200 7

1. INVESTMENT MARKET IN POLANDvs. EUROPEMay 2007

2. AGENDA Evolution of Polish Investment Market to Date 1 Rationale for investing in Poland (Retail, Industrial, Office) 2 Returns 3 Recent Trends 4 Investors in Poland 5 Adding value and success in Polish retail market 6 7 Case studies

3. Evolution of Polish Investment Market to Date Investment Volume (mln €) € 2.5 bn Retail Industrial € 2.0 Office € 0.3 bn € 0.2 bn € 1.1 bn € 1.9 bn Source: King Sturge Research

4. Rationale for investing in Polish Retail Investment Yield (%) Rent (€ / m2 / p.a.) Warsaw Source: King Sturge Research

5. Rationale for investing in Polish Offices Investment Yield (%) Rent (€ / m2 / p.a.) Warsaw Source: King Sturge Research

6. Rationale for investing in Polish Industrial Investment Yield (%) Rent (€ / m2 / p.a.) Warsaw Source: King Sturge Research

7. Shopping centre floorspace (GLA m2) per 1,000 population by country in 2006 m2 Source: Retail Research Forum

8. Office floorspace (GLA m2) by cities in 2007 m2 Source: King Sturge Research

9. Rationale for investing in Poland Rental growth in the all sectors Growing spending purchase power Business Process Offshoring Increasing tenants diversification in regional cities Dynamic development of regional cities and Euro 2012 Optimistic economy growth prospect

10. Challenges faced by investors in Poland Lack of transparency and quality of data Local approach vs. institutional experience Immature market Increasing competition Little historic data Lack of investment product Yield levels and DSCR

11. Yields in Polish retail – history & forecast Prime Retail, Warsaw Prime Retail, Regional Cities * * Information at the end of 2006 Source: King Sturge Research

12. Yields in Polish office – history & forecast Prime Office, Warsaw Prime Office, Regional Cities * * Information at the end of 2006 Source: King Sturge Research

13. Yields in Polish industrial – history & forecast Prime Industrial, Warsaw in-town Prime Industrial, logistics locations * * Information at the end of 2006 Source: King Sturge Research

14. Recent trends New products Newcomers Smaller lot sizes / portfolios Forward fundings / purchases Joint ventures Resales of assets

15. Investors in Polish investment market Investor Type Structure of the investor Country of origin Core Investors Institutional Investment Funds French Austrian German Spanish Opportunistic Investors Property Companies American Irish Dutch UK Small / Medium Asset Managers Source: King Sturge

16. Adding value • Active asset and property management • Adding income • Repositioning / refurbishments • Building portfolio • Changes to tenant mix • Extensions

17. How can investors succeed in Poland? • Know the market • Choose location • Target properties • Prepare clear strategy • Detailed due diligence • Active sourcing

18. Industrial Sale • Diamond Business Park Janki • Purchase price: $ 30,000,000 • Size: 28,000 m2 • Seller: AIG Lincoln • Buyer: Teesland / IOG • Main tenants: Hellmann, Coty

19. Retail Sale • Promenada (Warsaw) • Purchase Price:€ 127,000,000 • Size: 50,000 m² • Seller: Private Individual • Buyer: Dawnay Day Carpathian • Main tenants: Cinema City, Zara, H&M, Alma, Empik

20. Office Sale • Euromarket (Kraków) • Purchase Price:€ 32,000,000+ • Size: 16,000 m² • Seller: Invesco • Buyer: CIT Group • Main tenants: BP, Fortis Bank

21. Retail schemes joint ventures • Focus Park • Total target lot size:€ 500,000,000 + • Partners: Parkridge CE Retail & Morley Fund Management

22. Questions Michał Ćwikliński Investment Department King Sturge T: +48 22 653 48 48 E-Mail: michal.cwiklinski@kingsturge.com Al. Jana Pawła II 25 00-854 Warszawa