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35 30 25 20 15 10 5 0 % 6 PROPERTY REPORT - OFFICE MARKET MADRID AND BARCELONA - Q3 2011 Quarterly Take-up by Zone m 2 350,000 300,000 250,000 200,000 150,000 100,000 50,000 0 2006 2007 2008 2009 2010 2011 Number of deals by zone Vacancy rate evolution CBD Centre Decentralised Outskirts Outskirt CBD 25 20 15 10 5 0 Centre Decentralised CBD Centre Decentralised Outskirt Total 2003 2004 2005 2006 2007 2008 2009 2010 2011 Source: BNP Paribas Real Estate – Research Source: BNP Paribas Real Estate Research Source: BNP Paribas Real Estate Research MADRID 2011 consolidation, the problems with bank liquidity and sovereign debt all pose new challenges that could restrict office take-up even more. Major rental operations Q3 2001 Supply Tenant/Purchaser Zone Surface (m 2 ) Ministerio de Justicia Indra Sistemas Grupo CTO Formación Bp International Ltd. Buy Vip (Amazon) Grupo Zeta Nike FCC TCS Grupo Tata CBD Decentralised Centre Outskirt Outskirt Decentralised Centre Centre Outskirt 8,500 8,373 6,465 6,065 5,664 4,221 2,793 2,000 1,889 During 2011 there has been a balance between the surface taken-up and the vacant space delivered. In this way, the vacancy rate has fluctuated around 13.4% between January and September. At the end of the third quarter the rate was 13.2% with a total of 1,550,000 m² available. This stability also indicates a very limited developer activity, which can be seen in the meagre 16,800 m² delivered during the past quarter. The new developments of the quarter were in the Decentralised zone (San Blas), and are well below the historical average in Madrid of 70,000 m² every three months. Deliveries of new construction will return once the rent levels recover, so that developers and investors will improve the return on investment. The refurbishment of buildings has gained strength from the scarcity of new construction. At the date of this report there was close to 60,000 m² in renovation in the city centre, which will increase the supply of good quality offices in the short term in the CBD and the Centre. It is worth noting the business centre refurbishments in the pipeline: Castellana, 200 Castellana, 7 Castellana, 50 Castellana, 43 Alcalá, 65 Surface area (m²) 20,300 16,000 6,400 6,000 6,000 Refurb. Scheduled date of delivery: New Construction Yes Yes Yes Yes Q1 2012 Q4 2012 Q4 2011 Q3 2012 Q1 2012
Vacant surface area break-down 10 8 6 4 2 0 m 2 180,000 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0 29% 39% Deliveries in the pipeline Vacancy to take-up ratio CBD Centre Decentralised Outskirt Years Q3 2009 Q3 2010 Q3 2011 8% 24% CBD Centre Decentralised Outskirt 2011 2012 2013 CBD Centre Decentralised Outskirt Total Source: BNP Paribas Real Estate Research Source: BNP Paribas Real Estate Research Source: BNP Paribas Real Estate Research PROPERTY REPORT - OFFICE MARKET MADRID AND BARCELONA - Q3 2011 MADRID 2011 More than 34,000 m² of renovated buildings will increase the supply of quality offices in the best areas of Madrid. This new space will accommodate both corporate tenants as well as smaller businesses. The refurbishment trend will continue until the recovery of the developer market. By zones, the CBD has reduced its vacancies after registering the largest operation of the quarter (8,500 m²). This left the vacancy rate at 3.8%, in line with pre-crisis levels. Almost 50,000 m² have been detected in the pipeline that will add quality space to Madrid’s CBD. Around 60% of this supply comes from three refurbishment projects which will be integrated into stock in its entirety before the end of 2012, coinciding with the start of the expected recovery in Spain. Vacancies have slightly reduced in the Centre and Decentralised Zone. In the former it was due to the large number of deals and the latter to the large surface areas taken-up. Vacancies in the Outskirts have grown on the integration of empty second hand buildings. It should be noted that in all cases the size of the variations has been equal to or less than half a percentage point, further reinforcing the idea of stability in supply more than a reduction. At the current take-up rate, it would require 5 years to absorb all of Madrid’s vacancies. This indicator is worse than that observed in 2010 (3.5 years), although it is an improvement over 2009 (6 years) when take-up was minimal. 2011 will close without significant changes in the immediate supply of office space. The expected take-up figure will be offset by additions of new work, refurbs and second hand space. Slight variations in the occupancy rate will be positive in terms of reduced release of space and a modest level of gross take-up. 7
Page 1 and 2: PROPERTY REPORT OFFICE MARKET MADRI
Page 3 and 4: BNP PARIBAS REAL ESTATE ALL THE BUI
Page 5: Economic and offi ce cycle m 2 1,20
Page 9 and 10: Zones The Barcelona offi ce market
Page 11 and 12: Vacancy rate % 16 14 12 10 8 6 4 2
Page 13 and 14: MADRID AND BARCELONA Investment Fol

OFFICE MARKET MADRID AND BARCELONA - monitorimmobiliare.it

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