MERLIN Properties Annual Report 2017 / English

ı 14 ı 2. Positioning #1 Office #2 Shopping Centers #1 Logistics #1 High Street retail • Flexibility to offer multitenant or headquarter buildings • Capacity to adapt to the needs of the tenant • Mainly urban footprint in high GDP/ capita areas in Spain • Critical mass with retail brands • “One-stop-shop” solution for logistics operators wishing to operate across Spain • Big footprint to match the rapid development of 3PL activity • Excellent conditions of BBVA lease agreement triple net lease with 1.5x HICP annual uplift • Optimization of retail space in office buildings 139 ASSETS 1,267K SQM € 5,219M GAV €217M GRI 17 ASSETS 488K SQM € 1,753M GAV € 93M GRI Full Consolidation (1) Equity method (2) 928 ASSETS 460K SQM € 2,348M GAV € 104M GRI Zal Port 32% 44 ASSETS 468K SQM € 29M GRI (4) 40 ASSETS 961K SQM € 648M GAV € 41M GRI Existing Existing WIP 12 ASSETS 566K SQM € 307M GAV (3) € 25M GRI (3) Tres Aguas 50% 1 ASSET 67K SQM € 9M GRI (1) Not including other, land under development and non-core land (2) Data for Minority Stakes is reported for 100% of the subsidiary (3) Total expected investment and gross rent (4) Gross annual rent as of 31/12/17, deducting ground lease expenses