2. 13.01.2003 - TEGoVA Property And Market Rating Rating definition for completed properties Property and market rating is a standardised procedure aiming to display the sustainable quality of a property in its relevant market. The quality of a property is judged by the medium-term sales prospects at a then adequate price between professionals who have access to all property and market information. The credit standing of the tenant and the borrower, as well as the default risk of the loan are not subjects of the market and property rating. Enc. 1.2.1

3. 13.01.2003 - TEGoVA Property And Market Rating Enc. 1.2.2 Rating definition for projects The project rating is a standardised procedure aiming to display the quality of a project in its relevant market taking into account the sustainable quality of a fictitiously completed property and the development risks and chances. The quality is judged by the sales prospects of the project on the rating date at an adequate price between professionals who have access to all property and market information. The credit standing of the tenant, the borrower and other participants in the project, as well as the default risk of the loan are not subjects of the project rating.

4. 13.01.2003 - TEGoVA Property And Market Rating Enc. 1.3 Rating Scale The market and property rating uses a scale following the pattern used by rating agencies and typical, internal bank scales. Moody‘s S & P‘s Internal bank rating Property and market rating 89

5. 13.01.2003 - TEGoVA Property And Market Rating Enc. 1.4.1 Weighting and Measuring > Sub-Criteria Each class of criteria consists of several sub-criteria that are weighted according to their significance for the property type in question. Measurable sub-criteria (e.g. purchasing power figures, space efficiency) Subjective sub-criteria (e.g. political stability, location features) The rating for the class „market“ is determined annually per property and updated regularly. The rating of the sub-criteria for all other classes is determined separately for each property at the valuation date. There are specific measuring regulations for each of the sub-criteria. > Classes of Criteria Quality of the property cash flow Location MarketProperty The %-figures represent the weight of each criteria class in the sales prospects

6. 13.01.2003 - TEGoVA Property And Market Rating Enc. 1.4.2 Projects: 4 classes of criteria + development risks and chances The weighted development risks and chances together with the rating for the fictitious, completed property result in the rating for the entire project. Rating for a fictitious, completed property Quality of the property cash flow Location MarketProperty + = Rating result for the project Rating of development risks and chances Con- struction and costs Planning and permits Letting and selling

7. Criteria Class "Market" (national and regional) - Retail 13.01.2003 - 1 - Enc. 1.5.1

8. Criteria Class ”Location" - Retail 13.01.2003 - 2 -

9. Criteria Class ”Property" - Retail 13.01.2003 - 3 -

10. Criteria Class ”Property" - Retail 13.01.2003 - 3 -

11. Criteria Class ”Quality of the Property Cash Flow" - Retail 13.01.2003 - 4 -

12. Criteria Class ”Location" - Retail 13.01.2003 - 2 -

13. Criteria Class "Market" (national and regional) - Residential 13.01.2003 - 5 - Enc. 1.5.2