1. Genesis’ property portfolio Portfolio comprises 33,000 properties. 27,000 are owned and the remainder managed on behalf of other landlords –work in 88 local authorities –50 per cent of Genesis activity is located within five local authorities –14 additional local authorities cover 30% of portfolio Tenure split –3 in 5 homes are social and affordable rent –1 in 5 are leasehold and shared ownership –supported housing (1 in 6) and intermediate/market rent (1 in 12)

2. Genesis stock

3. Tomorrow’s housing association The sector as a whole will need to: Be astute in managing their assets Be able to develop without grant funding Offer a range of products and services to a diverse customer base Come up with ideas rather than wait for the regulator Demonstrate clear ROI to investors and other stakeholders In short, act as commercial businesses.

4. An innovative example The English Social Housing Property Index Developed by IPD* in conjunction with Genesis, Helena Partnerships, LMH, Spectrum, Gallions, Circle and Orbit Aims Demonstrate the economic performance of housing association property assets through the creation of a return-based performance benchmark/ index Demonstrate the economic sacrifice or social dividend or policy impact of accepting below-market level returns Benefits for participants Detailed portfolio analysis Input to risk analysis/ management Aids selection of properties for investment/ disposal *IPD = Investment Property Databook

5. Key elements of IPD performance measurement standard Benchmarking social housing portfolios Looks at value and allows prospective investors and housing associations to make informed investment decisions Performance measurement and reporting on a continuous and regular basis Primary focus on activities related to investing in developing and managing property Adoption of generally accepted definitions underlying these activities Measurement on activity based costing basis Measurement of cash flows on accrual basis Comprehensive measurement – all property related activities Measurement on basis of external value – gross OMV External valuation of cash flows and values

6. € 0 0% STRATEGIC: Overhead as % of capital value Policy impact: TACTICAL: Total return Capital growth Income return Activity OPERATIONAL: Operating cost as % of g.i.** Operating costs per property Voids as % of OMV* Gross income growth % Capital supply 0000000 0 Investment management Transformation function Letting Facility management Property management Consumers/ households/ end users

7. Benchmark – headline figures MeasureTotalsPer property Number of participants5 Number of schemes (year end)1821 Number of units (year end)*67,311 Total sqm *year end)4,357,122 Gross income£347.3m£4,668** Rent passing (year end)*£287.8m£4,276* Market rent (year end)*£527.4m£7,835* Operating costs£230.9M£3,241** Market value (year end)£5.7bn£74,196* Vacant possession value***£9.6bn£118,613* *standing investment and part transaction schemes ** standing investments *** where vacant value is known

8. Headline figures Structure as % of total capital value by tenure – all property

9. Direct property performance Total return– standing investments Switzerlan d English Social Housing Property Benchmark Total return (March 2012) 14.9 Residential total return across Europe (December 2011)

10. Direct property performance Total return per sector/ segment – standing investments *’Other housing with shared facilities’ is left out of the analysis due to compliance with IPD’s confidentiality rules

11. Direct property performance Income return – standing investments English Social Housing Property Benchmark Income return (March 2012) 2.1 Residential; income return across Europe (December 2011) Switzerlan d Percentage

12. Direct property performance Income return per sector/ segment – standing investments *’Other housing with shared facilities’ is left out of the analysis due to compliance with IPD’s confidentiality rules.

13. Direct property performance Income return per tenure – standing investments *’Regulated, affordable and market rent’ is left out of the analysis due to compliance with IPD’s confidentiality rules

14. Direct property performance Total operating costs per sector – held properties *For some markets certain measures are available but not included in Market Data publications and therefore not shown in this analysis HousesFlats Other housing Total As % of gross income 61.280.076.770.1 £ per m 2 36.9663.30103.5951.65 £ per property3,9593,6143,0863,241

15. Direct property performance Breakdown of operating costs – held properties Maintenance costs (responsive and planned) Letting costs Property management Fixed costs Other costs Total As % of gross income 44.50.123.40.91.970.8 £ per m 2 2.430.0417.100.681.4051.65 £ per property 20352107343883,241

16. Direct property performance Operating costs as % of gross income by tenure – held properties *’Regulated, affordable and market rent’ is left out of the analysis due to compliance with IPD’s confidentiality rules. Percentage

17. Direct property performance Ranking: operating costs as % of gross income – held properties *December 2011 Percentage

18. Direct property performance Rent passing/ Market rent £ per m 2 - standing investments *’Other housing with shared facilities’ is left out of the analysis due to compliance with IPD’s confidentiality rules.

19. Direct property performance Income potential: rent passing as % of market rent by tenure – standing investments *Regulated, affordable and market rent is left out of the analysis due to compliance with IPD’s confidentiality issues

20. Policy impact in 2012 Policy impact – only residential – standing investments

21. English Social Housing Property Benchmark Capital growth (March 2012) 12.6 Residential: capital growth across Europe (December 2011) Direct property performance Capital growth – standing investments Switzerlan d

22. Direct property performance Capital growth – standing investments *’Other housing with shared facilities’ is left out of the analysis due to compliance with IPD’s confidentiality rules.