Excellent start of the year for MERLIN Properties

• Very positive like-for-like rental growth in all asset categories, with the average standing at 4.9% and a remarkable 7.5% in offices
• Over 190,000 sqm contracted with strong release spreads in all asset categories (+6.1% offices, +3.1% shopping centers and +8.7% logistics)
• Over 57,000 sqm pre-let of logistics warehouses under development
• MERLIN has acquired two office buildings, totaling 29,985 sqm GLA, in Campo das Naçoes, the most dynamic market in Lisbon. Total investment amounts to € 112.2 million

Madrid, 13 May.- MERLIN Properties has released its 3M 2019 consolidated financial statements with total revenues of € 132.6 million, recurring EBITDA of € 105.0 million, recurring FFO of
€ 79.0 million and consolidated net profit in accordance with IFRS of € 60.1 million.

NAV amounted to € 7,020 million (€ 14.94 per share). It is important to highlight that no new appraisal for the assets has been carried out this quarter as, in accordance with the Company’s policy, new appraisals of the portfolio are carried out on a semi-annual basis.

MERLIN Properties continues actively managing its balance sheet, which, as of 31 March, 2019, shows an LTV of 40.6% (12 bps reduction). Financial ratios have further improved in April, following the refinancing of its term loan and revolving credit facility through a € 1.55bn ESG indexed financing, being the largest of its kind in the European REIT industry and showing the commitment of the company with ESG initiatives.

Offices

• Business performance

Outstanding performance with a like-for-like rental growth of 7.5%, which reflects the occupancy uplift experienced year on year and the consistently high release spreads achieved in renewals over the last twelve month period. The release spread has been 5.0% in Madrid, 12.9% in Barcelona and 9.7% in Lisbon. The occupancy stands at 90.1%, which represents a slight increase vs. December 2018 (+14 bps) and a meaningful increase as compared to one year ago (+ 314 bps).

• Landmark Plan I

Significant progress achieved for works on Torre Glòries and Diagonal 605 in Barcelona; Monumental and Marqués de Pombal in Lisbon; and Adequa in Madrid.

Shopping Centers

• Business performance

The shopping center portfolio has seen a sound like-for-like rental growth (+3.1%), coupled with a 3.1% release spread, and occupancy stands at the same level as December 2018.

• Flagship Plan

Arturo Soria and Larios shopping center refurbishments are close to completion (June) and significant progress has been made in X-Madrid and Tres Aguas.

Logistics

• Business performance

Positive like-for-like rental growth of 2.9% and release spread of 8.7% showing the strength and good prospects of the market. MERLIN has sold two secondary assets in Barcelona, for a total price of € 26.2m, representing a 9.5% premium to latest appraisal.

• Best Plan II & III

Strong quarter in pre-lets for future product of Best II & III, having signed 21,879 sqm with Logisfashion in Guadalajara-Cabanillas III, 11,421 sqm with DSV in Zaragoza –Plaza and 24,244 sqm with Damm in Madrid-San Fernando II.

About MERLIN Properties

MERLIN Properties SOCIMI, S.A. (MC:MRL) is the largest real estate company trading on the Spanish Stock Exchange, with a market capitalization of approximately 5,600 million euros, specialized in the acquisition and management of commercial property in the Iberian region. MERLIN Properties mainly invests in offices, shopping centers and logistics facilities, within the Core and Core Plus segments, forming part of the benchmark IBEX-35, Euro STOXX 600, FTSE EPRA/NAREIT Global Real Estate, GPR Global Index, GPR-250 Index, and MSCI Small Caps indices.

Please visit www.merlinproperties.com to learn more about the company.

For further information please contact:

Nuria Salas, nsalas@tinkle.es, +34 629 56 84 71

Sarah Estébanez, sestebanez@tinkle.es, +34 636 62 80 41

Iris Ancares, iancares@tinkle.es, +34 607 94 70 96