Vonovia SE

Environmental & Social Information • Mar 23, 2021

Vonovia Sustainability Presentation

J.P. Morgan Global ESG Conference

March 24, 2021

	Agenda

Europe's Leading Residential Property Owner and Operator

Vonovia	Environment	Social	Governance
---------	-------------	--------	------------

We are the long-term owner and full-scale operator of Europe's largest listed multifamily housing portfolio with ca. 416k apartments for small and medium incomes in metropolitan growth areas.

¹ The small stakes we own in the Dutch and in the French portfolios are less of a financial investment and more R&D to gain an even better understanding of the markets.

Vonovia Contributes to Solutions for Tomorrow's Challenges

Compelling Investment Case
Vonovia	Environment	Social	Governance
Market Leader	We are Europe's largest residential landlord and the long-term owner and full-scale operator multifamily housing portfolio with ca. 416k apartments for small and medium incomes in metropolitan growth areas. The granularity and B-to-C nature of our business are unique in real estate. Our strategy of		of a
Uniquely Positioned	standardization, industrialization and process optimization makes us the industry leader with best-in-class service levels and superior cost control.
Low Risk	Fundamental megatrends provide a positive backdrop in a regulated environment that safeguards attractive risk-adjusted returns and offers downside protection.
Growth	Organic earnings and value growth plus substantial long-term upside potential from acquisitions in selected European metropolitan areas. Low execution risk from track record of acquiring and integrating >300k apartments in eight large transactions since IPO.
	All of our actions have more than just	an economic dimension.
Built-in	We provide a home to around 1 million people from ca. 150 nations.
ESG Focus	CO2 emissions related to housing are one of the largest sources of greenhouse gas emissions.
	As a listed, blue-chip company we are rightfully held to a high standard.

Impeccable Track Record of Consistent & Sustainable Growth

Confident to Maintain Earnings and Value Growth Going Forward

FFO (€/share)¹ Dividend (€/share) – 70% payout ratio from FFO

Adj. NAV (€/share) LTV and Interest Cover Ratio

¹ Based on prevailing internal management KPI, which was FFO1 from 2013-2018 and Group FFO starting in 2019. ² To be proposed to the Annual General Meeting on April 16, 2021.

Disciplined Capital Allocation Focused on Long-term Earnings and Value Creation

	Vonovia	Environment	Social	Governance
s s e n si u B e r	Dividend policy	70% of recurring cash earnings (FFO) paid out as dividend We expect to continue to be able to deliver sustainably growing dividends Scrip dividend option since FY2016	1.63 1.30 1.00 0.95 0.94 0.74 0.67 2013 2014 2015	2.38 2.25 2.06 1.90 1.692 1.57 1.44 1.32 1.12 2016 2017 2018 2019 2020 2021(E) Recurring cash earnings ("FFO")1 Dividend
o C c ni a g r O	Investment Program	Investments in modernization and new construction to hold to address the megatrends urbanization, energy efficiency and demographic change Drives organic earnings, value growth, and overall portfolio quality	€m New construction to hold Upgrade Building Optimize Apartment 356 172 71 2013 2014 2015	1,300 - 1,600 1,489 1,344 1,139 779 472 2016 2017 2018 2019 2020 2021(E)
c ti s ni u	M&A	Disciplined and opportunistic approach Clear set of criteria to safeguard earnings and value growth for shareholders Impeccable track record of execution with >300k apartments acquired and integrated since IPO	'000 apartments 180 88 IPO Sales	416 5 319 Acq. New construction 2020
rt o p p O	Share buy-backs	Shareholder authorization in place (until 2023) General preference for allocating capital to long-term growth of the company Potentially an option in case shares trade at steep discount to Adj. NAV	80 60 40 20 0 Jul-13 Nov-13 Mar-14 Jul-14 Nov-14 Mar-15 Jul-15 Nov-15 Mar-16 VNA share price	Jul-16 Nov-16 Mar-17 Jul-17 Nov-17 Mar-18 Jul-18 Nov-18 Mar-19 Jul-19 Nov-19 Mar-20 Jul-20 Nov-20 Mar-21 Last reported Adj. NAV

¹ Based on prevailing internal management KPI, which was FFO1 from 2013-2018 and Group FFO starting in 2019. ² To be proposed to the Annual General Meeting on April 16, 2021.

2021 Guidance

Vonovia	Environment	Social	Governance
	2020 Actuals	2021 Guidance	Mid-term Outlook
Total Segment Revenue	€4.370bn	~€4.9bn - ~€5.1bn	growing
Rental revenue	€2.286bn	~€2.3bn - ~€2.4bn	growing
Organic rent growth (eop)	3.1% (3.6% excl. one-off effect in Berlin)	~3.8%1 ~3.0% -	stable
Recurring Sales (# of units)	2,442	~2,500	stable
FV step-up Recurring Sales	39.6%	~30%	stable
Adj. EBITDA Total (€m)	1,910	1,975 – 2,025	growing
Group FFO (€m)	1,348	1,415 – 1,465	growing
Dividend (€/share)	1.692	~70% of Group FFO per share	stable payout ratio; €/share growing
Investments (€bn)	€1.344bn	~€1.3bn – ~€1.6bn	at least stable
SPI	Starting point established	~100%	continuous improvement

Note: The 2021 guidance is based on the current legislation under which the CO² tax is part of the recoverable expenses; equally, the 2021 guidance does not include any positive impacts expected from the Federal Funding Regulation for Energy-Efficient Buildings ("BEG"). ¹If the current Berlin-specific rent freeze regulation is in place at the end of 2021, we expect to come out towards the lower end of the range; if the legislation is no longer in place at the end of 2021, we expect to come out towards the higher end of the range. A ruling by the Federal Constitutional Court is widely expected in Q2 2021. ² To be proposed to the Annual General Meeting in 2021.

Megatrends – Challenge & Opportunity

An increasing part of the population is moving into urban areas

Ca. 1/3 of greenhouse gas emissions are related to real estate

We are providing apartments at fair price levels to a growing urban population

Our products and services give more than one million people an affordable home in their apartment and neighborhood

We are a driving force of the industry and have committed ourselves to a binding climate path for a CO² neutral portfolio by 2050

The energy-efficient modernization of the housing stock and innovative solutions for carbon neutral residential neighborhoods are paramount for achieving climate protection targets

efficiency Demographic change

An increasing share of the population is 65+ years

We are preparing at least one third of all apartments that become vacant for elderly tenants

Demographic changes require refurbishing apartments to enable an ageing population to stay in their homes with little or no assistance for longer

Our scale, sustainable business model and access to capital markets enable us to assume a leading role in our industry for finding and implementing solutions.

Process & result of the materiality analysis

• Stakeholder survey: online survey (142), stakeholder interviews (42)
• Assessment of business relevance and evaluation of the company impact via workshops

A1	A home at a fair rental level
A3	Adequate products and services in relation to demographic change
A5	Customer satisfaction and service quality
B1	Neighborhood development and contribution to infrastructure
C1	Sustainable new construction and refurbishment
D1	CO2 reduction of existing buildings
D2	Renewable energies and energy mix
E1	Attractiveness as an employer
E4	Diversity and equal opportunities
F1	Governance and compliance
G5	Capital markets appeal

Vonovia's Sustainability Targets

CO² reduction of existing buildings

~3% avg. annual modernization rate - CO² Intensity: 30-35 kg CO² /sqm by 2030.

Average primary energy need of new constructions

Annual reduction average primary energy need - ~33 (kWh/sqm p.a.)

Biodiversity

Expansion of wildflower meadows to 100,000 sqm and 100 insect habitats.

Senior-friendly apartment

Ratio of senior-friendly apartment refurbishments among all new lettings - ~30%

Customer satisfaction & service quality

Increase customer satisfaction (Customer Satisfaction Index, CSI) - ~0.5 %points p.a.

Attractive employer - best in class

Increase employee satisfaction - ~1.0 %point p.a.

Workforce gender Diversity

Increase in the proportion of women in the top two management levels below the Management Board - ~26%

Agenda

Vonovia Environment Social Governance

Vonovia's Climate Path towards CO² Neutrality through Continued Modernization, Renewable Energy and Sector Coupling

Note: This climate path refers to the German portfolio; we are in the process of developing separate climate paths for the portfolios in Austria and Sweden. Source: Fraunhofer ISE modelling of Vonovia portfolio. Reduction of energy need of 160 kWh towards 60% through the following measures: Building envelope (insulated facade, windows) to become KFW Standard 100-70; scenarios 2 and 3 include the simulation of a change of energy sources. ¹ In order to achieve the climate neutral case certain regulatory adjustments still need to be made and not all of the technological concepts have been fully developed yet.

Modernization of Building Envelope plus Fuel Switch for the Portfolio

Vonovia Portfolio - Energy Efficiency Class Distribution (%) (kWh/sqm/year) 2019 data

Vonovia's CO² reduction strategy

• Energy-efficient modernization of ca. 3%
• Continue building modernization with even greater depth (up to 60%)
• Additional efficiency gains from fuel switch & renewable energy (generated, stored and used locally):
  • Green district heat
  • New technologies
  • Sector coupling in the neighborhood (PV & mobility)
• New construction: CO² optimized, use of renewable energy (energy efficiency class A and better)

Vonovia Sustainability Presentation. page 14

Vonovia Environment Social Governance Environment KPIs

GHG Protocol

• All buildings (incl. listed buildings)
• Sqm numbers in line with GdW and Initiative Wohnen.2050 standard based on lettable area (not total building sqm, which would be ca. 1.2x larger)
• Consumption based on EPCs
• GEMIS factors

Energy consumption (kWh/sqm)

1

CO2e intensity (kg CO2/sqm) 1

295

424

5,652 MWh

Solar power generation

7,324 MWh

Technologies for Reaching Climate Path Objectives Innovation for CO² -neutral Heat Generation

Vonovia	Environment	Social	Governance

Innovation for CO²

Existing technologies

• Continue energy efficient building modernization with a 60% reduction rate for postrefurbishment energy need
• Replacement of oil heating systems with gas condensing boilers
• Hybrid heating (combination of condensing boilers and solar, renewable)
• Heat pumps
• Green district heat
• Sector coupling

Tomorrow's Energy Center Energiesprong – Serial

Construction of a proprietary research center in Bochum Weitmar to develop renewable energy systems

• Integration of technologies such as fuel cells, electrolyzer, etc.
• The objective is to evaluate different technologies in terms of economic and ecological impact with a view to roll them out in other neighborhoods of our portfolio

Refurbishment

-neutral Heat Generation

• Concept for cost-neutral modernization by combining serial refurbishment and the integration of renewable heat and electricity
• First pilot in Bochum about to be implemented;

• Additional pilots planned until 2024

• Pellet heating is almost climate neutral

• Particularly suitable in connection with local district heating
• Pellet costs are similar to gas costs; heating plants are more expensive
• When subsidized, pellet heating is a viable ecological and economically feasible alternative
• First concepts for potential pilots underway

• Decentralized generation of green hydrogen via PV
  • Areas of application:
    • Hydrogen storage for subsequent heat generation
    • Disposal of hydrogen
• Technology currently still too expensive; a growing market is expected to lead to substantial cost reductions, rendering H² economically feasible

Energy Innovation Center Bochum Weitmar

Vonovia Environment Social Governance

• Together with renowned Fraunhofer Institutes, Vonovia is implementing a 3yr-hands-on innovation project as part of Open District Hub e. V. in our neighborhood in Bochum-Weitmar to develop and test new
• technologies in ongoing operations.
• The aim is to supply the neighborhood with largely carbon-neutral electricity & heating. We aim to achieve this by linking the energy sectors via a central platform.
• A smart, self-learning energy management system then ensures that the right energy is distributed to tenants when they need it – at electric charging stations, in the form of electricity for tenants' own households or in the form of heating.

Level		Measure
Apartment	1	Implementation of measures that do not involve any structural intervention, e.g., optimized heating system settings
	2	Digitalization of buildings and apartments, e.g., to feature smart meters
Building	3	Energy-efficient refurbishment, e.g., measures relating to the building shells and heating systems
	4	Infrastructure for e-mobility, e.g., charging stations and e-wall sockets
	5	Sustainable energy supply, e.g., photovoltaic systems for tenant electricity
	6	Building digitalization and networking
	7	Sector coupling (heat, electricity, mobility, etc.) in the neighborhood via digital platform
Neighborhood	8	Storage and distribution of energy generated in a decentralized structure enables on-site consumption
	9	Promotion of biodiversity

New Construction and Development Projects are Sustainable and CO² -optimized

Vonovia Environment Social Governance

• ca. 500 condominiums
• ÖGNI NH Certificate Gold / klimaaktiv Gold Certificate
• Low-emission and low-pollution building materials
• Sustainable mobility concept

Vienna (Marina Tower) Berlin-Grünau (Pilot Houses)

• 2-5 room apartments
• Wood-hybrid construction
• Low-emission and low-pollution building materials
• Low-energy houses Standard KfW 40
• New construction projects geared towards energy efficiency
• Use of renewable energies (PV, CO² , renewable heating)
• Mainly A+ KfW Program 55

85% of new constructions with

energy efficiency class A / KfW 55 standard

• New construction of 27 apartments (50% of them barrier-free)
• Wood hybrid construction
• Energy efficiency class A+ / Standard KfW 55
• Pellet heating incl. earth bunker

Buchloe (An der Halde) Bochum (Waldenburger Str.)

• New construction of 14 apartments
• Fully automated pellet boiler
• Energy efficiency class A+ (heating)
• Photovoltaic system

Promotion of Biodiversity in Our Neighborhoods

• Green roofs
• Ecological pruning

Vonovia's Green Bond Framework at a Glance

financed

Use of Proceeds	Process for Project Evaluation and Selection	Management of Proceeds	Reporting
3 Eligible Green	Green Finance	Eligible Green Register	Allocation reporting with
Categories:	Committee will oversee	to track net proceeds	list of financing per
Green buildings	the evaluation and	with bond-by-bond	category and
and energy efficiency	selection of eligible	approach	unallocated proceeds
Renewable energy Clean transportation	projects	Full allocation within 2 years following each bond issuance	Impact reporting with details on Environment impact of the projects

Inaugural Green Bond issuance: Focus on green buildings in Germany

Five Areas of Action to Achieve CO² -neutral, Energy-autonomous Neighborhoods for a Decentralized Energy Revolution

Vonovia	Environment		Social	Governance
				As a leader for climate protection in the residential sector Vonovia hosted the climate conference "Outlook for Climate neutral Living" in Berlin on October 1, 2020.
Renovation rate	Renewables	System change	Mobility	Stakeholders
Increase renovation rate and enable Energiesprong (energy efficiency leap) through high quality, swift, and affordable renovation Spread between gas and electricity needs to be further reduced to enable electricity-based, low CO2 heat supply	Include landlord-to tenant electricity in recoverable expenses Resi sector needs to be included in national Hydrogen Strategy	Accelerate conversion of the electrical energy system Modify regulation to support decentraliz ed electricity production Promote new energy markets for the financing of flexible electricity generators	Accelerate charging infrastructure and market availability of e-vehicles thorough tailored subsidy programs for resi sector Establish standards for technical connection needs of grid operators plus grandfathering clause for installing charging stations	Simplify landlord to-tenant electricity models in resi sector Raise awareness why we need energy transition Facilitate landlord to-tenant electricity in multifamily housing

• Continued modernization rate
• Adequate subsidy regime
• No grid fees or surcharges on decentralized and self-generated electricity

Three essentials

Vonovia Environment Social Governance Update on Regulation (I) CO² tax As of January 1, 2021, CO² emissions from fossil heating and fuel in Germany are taxed at a rate of €25 per ton of CO² ; this rate will increase to as much as €55 by 2025 Based on current legislation, the tax is fully recoverable and borne by tenants A discussion is underway about how the CO² tax should be shared between tenant and landlord, also with a view towards setting the right incentives for energy savings Because the CO² emission of a building is determined by tenants' heating consumption and the energy efficiency of the building, Vonovia supports a burden sharing between tenants and landlords based on the building's energy efficiency Renewable Energy Act (Erneuerbare-Energien-Gesetz) Better incentives for landlord-to-tenant electricity models Improved conditions for on-site energy generation "Neighborhood concept" – electricity can now be consumed by tenants in other buildings in the neighborhood, not only in the building in which it was generated More efficient energy class Less efficient energy class Landlord's contribution to CO² lower tax higher Vonovia Proposal

Update on Regulation (II)

Vonovia		Environment		Social	Governance
Federal Funding Regulation for Energy efficient Buildings ("Richtlinie für die Bundes förderung für effiziente Gebäude – Wohngebäude, BEG WG") law enacted	Scope and content of the regulation	July 1, 2021 subsidized loans	Flexible funding format –	Developed by Germany's Federal Ministry for Economic and Energy Affairs; effective on single, comprehensive subsidy program for existing and new buildings The objective is to set adequate incentives for owners to substantially increase investments in energy-efficiency and renewable energy Subsidies are determined by the amount of energy efficiency gains and the proportion of renewable energy contribution in heating supply resulted from projects and can be as high as 45% of an investment amount up to €120k/apartment applicants can choose between investment grants or Targeted subsidy volume is €32bn p.a. until 2030	The goal was to harmonize the different subsidy regulations and combine them into one
	Expected impact on Vonovia		Acceleration of CO2 Additional NAV growth Increased modernization depth Vonovia craftsmen organization	Increased investment volume in energy efficient modernization reduction efforts Rental growth and investment yields expected to remain broadly similar Higher EBITDA contribution in the Value-add segment from increased volume through Improved social acceptance of energy-efficient modernizations because of reduced modernization allowance and increased savings on heating bill Vonovia is reviewing its Upgrade Building Program and portfolio in light of the new right subsidy elements for each individual project	regulation to achieve the best possible outcome for our stakeholders by selecting the

Agenda

Vonovia Environment Social Governance

Balanced Stakeholder Approach

Vonovia	Environment		Social	Governance
A home at a fair rent level	Fair rental levels for low- to mid-income households	Self-imposed obligation to cap modernization rent increases to max. €2 per sqm; Guarantee to tenants 70+ years that rents will remain affordable even if market rents change	Hardship case management to effectively assist tenants in financial distress	COVID-19 – special promise that we will find individual solutions for tenants who struggle financially; no one to lose the roof over their head
Contribution to society and stability of local neighborhoods	242 social projects in our neighborhoods; Cooperation with non-profit organizations to support tenants in need	Vonovia Foundation supports multitude of social projects	34 Neighborhood managers and social workers to assist tenants and promote unity in diversity in our neighborhoods	Customers from ca. 150 different countries and tenants from all walks of life
Top employer	It is our ambition to be the best employer in the real estate and craftsmen industries	Employer appeal – we are an attractive employer for former, current and future employees	Talents – we actively support our employees in their development to become the experts and leaders of our industry	Culture & change – we share a common culture of diversity, performance and appreciation in an developing organization that embraces change

Vonovia Environment Social Governance Vonovia Service App Communication Digital postbox News Feed Micro surveys Transparency Ancillary expenses: online receipts and billing Status of submitted requests Push notifications Self-service Online-booking of repairs Account management Document management Upgrades planned for 2021 Digital rental contract Apartment search Monitoring of heating and water consumption Vonovia's customer service app for tenants and potential tenants Full customer life cycle in one app 135,000 downloads 45,000 users New tenant Potential tenant Existing tenant Self service Transparency Preferred search requests Digital rental contract Cross selling Seamless transformation Apartment search Preferences / profiles Platform potentail

Neighborhoods / Urban Quarters

Vonovia Environment Social Governance

"In residential real estate, a neighborhood, or urban quarter, is usually defined as a cohesive urban structure that is considered by its inhabitants as a self-contained area. It is the predominant aggregation level where a real estate company can make the biggest difference and most positive contribution for inhabitants."¹

Every urban quarter is unique… … but for each one we pursue a holistic approach

Approx. three quarters of Vonovia's German portfolio are located in almost 600 urban quarters, each with an average of 430 apartments. This is the right level to manage the megatrends.

Properties

Location, construction year, infrastructure, investment potential, competition, urban development

Customers

Existing and potential tenants, age structure, diversity, purchasing power

Big Picture Urbanization, climate change, ageing population, integration

¹ Source: GdW (Association of German Housing Companies)

Vonovia Environment Social Governance Neighborhood Development Projects

While each project is different depending on specific local requirements and opportunities, neighborhood development projects usually include energy efficient modernization, construction of new apartments, apartment modernization and general upgrade of the urban quarter's environment.

Support for Social and Community Activities in Our Neighborhoods

Vonovia Environment Social Governance

We get involved on site - for different projects and associations, so that our tenants feel comfortable in their neighborhood and home.

	Vonovia supports the City of Cologne and the Lukas Podolski Foundation in Cologne Gremberghofen
New football field in Cologne - Gremberg	Construction of a new modern and functional soccer field and youth club with many sports and vacation offers
	The land was made available by Vonovia free of charge for 10 years
Strengthen Parents International	Vonovia tenant foundation supports project "Strengthen Parents International The offer is aimed specifically at parents of refugee families, who are to be respectfully supported and strengthened.
Dementia Dementia residential WG housing	Vonovia cooperates with the service provider Humanika and has set up a dementia home for ten residents. People receive assistance in coping with everyday life and, if necessary, medical care.

	Agenda

Highly Robust Governance

Vonovia Environment Social Governance

Governance

Highly robust governance structure with two-tier board system and fully independent supervisory board

Dedicated ESG Department reporting directly to the CEO; The Supervisory Board monitors ESG issues in the Audit Committee; Sustainability Committee meets at regular intervals and on a need-basis

Numerous policies published (e.g. human rights, whistleblower, tax understanding, etc.) Committed to ILO Core Labor Standards and UN Global Compact on Human Rights

Roadmap

Anchoring TCFD further in our sustainability reporting and adopting EU taxonomy

Further development of sustainability risk management and Environment controlling

Continued progress on ESG Ratings and inclusion in leading ESG indices

	Sustainability Performance Index (SPI)
Vonovia	Environment	Social	Governance

• Vonovia has established the Sustainability Performance Index with quantitative, non-financial KPIs to measure sustainability performance in the most relevant areas
• SPI reporting is audited by our statutory auditor¹
• The SPI is a relevant criterion in the long-term incentive plan for the executive board² as well as for the leadership group below the executive management
• To achieve the target of 100%, all six individual targets must be fully achieved

			2020 Actuals	2021 Targets	Medium-term Targets
	1	intensity in the portfolio3 CO 2	43.9 (kg CO2e/sqm p.a.)	Reduction of at least 2%	<40 (kg CO2e/sqm/p.a.)
	2	Average primary energy need of new constructions	35.7 (kWh/sqm p.a.)	Substantial increase4	~33 (kWh/sqm p.a.)
	3	Ratio of senior-friendly apartment refurbishments among all new lettings3	30.1%	~30%	~30%
SPI	4	Customer satisfaction3	+8.6%	In line with prior-year level	Avg. increase of ~0.5 %points p.a.
	5	Employee satisfaction	No survey	Slight increase	Avg. increase of ~1.0 %point p.a.
	6	Workforce gender diversity (1st and 2nd level below top mgt.)5	25.9%	In line with prior-year level	~26%
				~100%

¹ Limited assurance. ² Subject to approval of the new executive management remuneration scheme by the AGM to be held on April 16, 2021. ³Germany only at this point. ⁴ Initial increase because of projects approved in the past (prior to establishing the SPI) that will be completed in 2021. ⁵ Based on female representation within overall workforce.

Recognition of ESG Performance

ESG Ratings and Indices

ESG Ratings

ESG Indices

Vonovia is a constituent of various ESG indices, including the following: DAX 50 ESG, STOXX Global ESG Leaders, EURO STOXX ESG Leaders 50, STOXX Europe ESG Leaders 50, Dow Jones Sustainability Index Europe.

Vonovia's Sustainability Organization

Vonovi

Vonovia	Environment	Social	Governance

Board of Directors:

Defines sustainability strategy

Sustainability Committee:

• Meets 3-4 times a year (Management Board / Heads of Sustainability, Communications. Investor Relations and Financial planning & Analysis)
• Sustainability Agenda Vonovia
• Decides on strategic directions and sustainability goals

Sustainability Department:

• Further development of the sustainability strategy & roadmap
• Defines and monitors sustainability goals
• Implements sustainability projects
• Oversees sustainability initiatives
• Gives impetus and drives initiatives
• Responsible for reporting, sustainability report

Implementation of sustainability aspects in departments and operational units

Corporate Governance – AGM, Supervisory Board, Management Board

Vonovia	Environment	Social	Governance

• The duties and authorities of the three governing bodies derive from the SE Regulation, the German Stock Corporation Act and the Articles of Association. In addition, Vonovia is fully in compliance with the German Corporate Governance Code.
• In the two-tier governance system, the management and monitoring of the business are strictly separated from each other.

Annual General Meeting (AGM)

• Shareholders can exercise their voting rights.
• Decision making includes the appropriation of profit, discharge of members of the SVB and MB, and capital authorization.

Supervisory Board (SVB)

• Appoints, supervises and advises MB
• Examines and adopts the annual financial statements
• Forms Supervisory Board Committees
• Fully independent
• Board profile with all required skills and experience

Fitschen (Chairman)

Burkhard Ulrich Drescher

Prof. Dr. Klaus Rauscher

Dr. Ariane Reinhart

Funck

Clara-Christina Streit

Christian Ulbrich

Dr. Ute Geipel-Faber

Management Board (MB) Two-tier Governance System

• Jointly accountable for independently managing the business in the best interest of the company and its stakeholders
• Informs the SVB regularly and comprehensively
• Develops the company's strategy, coordinates it with the SVB and executes that strategy

CEO Rolf Buch

CRO Arnd Fittkau

CFO Helene von Roeder

CDO Daniel Riedl

Vonovia Sustainability Presentation. page 36

Hildegard Müller

EU Taxonomy

Sustainable finance / EU Taxonomy – EU classification framework for sustainable investments to redirect future investments streams

• Vonovia refurbishment of around 3% rate in line with EU requirement
• Relevant screening criteria for real estate/construction:
  • Energetic renovation: reduction of primary energy demand of at least 30% compared to status before renovation – local standards GEG
  • new construction: primary energy demand must be lower than 20% than national net-zero-energy-building (NZEB); in Germany = GEG / EnEV 2016
  • acquisitions & ownership of buildings: latest version refers to performance of buildings with EPC A
  • DNSH ( "do not significant harm criteria" ) to be defined in more detail and based on in place management-systems
• Reporting processes need to be aligned with taxonomy criteria Taxonomy compatibility expected to differ strongly with respect to CAPEX or turnover
• Timeframe of Taxonomy implementation needs to be clearer 2021 needs to be a transition year to prepare

Vonovia's Approach to Climate Action Reflects the TCFD Recommendations

Vonovia Environment Social Governance

Governance	Board responsibility for climate action, defines strategy and targets and monitors progress Central Department Sustainability/Strategy to coordinate measures ESG Score as central management KPI including CO -Intensity 2
Strategy	CO reduction in building stock & construction defined as major drivers for business strategy 2 High modernization rate of ≥ 3% p.a. and fuel-switch to renewable energies Scenario modelling of climate pathways together with Fraunhofer Society
Risk Management	Climate change fully integrated in Corporate Risk Management Physical risks assessed via risk maps based on regularly updated sources No material physical risks for Vonovia's properties identified
Metrics & Targets	1.147 mn t CO e in portfolio in 2019 (scopes 1,2,3 acc. to GHG protocol) 2 Targets: GHG neutral building stock until 2050 CO -intensity of 30-35 kg/m²/a until 2030 2

Disclaimer

Vonovia Environment Social Governance

This presentation has been specifically prepared by Vonovia SE and/or its affiliates (together, "Vonovia") for internal use. Consequently, it may not be sufficient or appropriate for the purpose for which a third party might use it.

This presentation has been provided for information purposes only and is being circulated on a confidential basis. This presentation shall be used only in accordance with applicable law, e.g. regarding national and international insider dealing rules, and must not be distributed, published or reproduced, in whole or in part, nor may its contents be disclosed by the recipient to any other person. Receipt of this presentation constitutes an express agreement to be bound by such confidentiality and the other terms set out herein.

This presentation includes statements, estimates, opinions and projections with respect to anticipated future performance of Vonovia ("forward-looking statements") which reflect various assumptions concerning anticipated results taken from Vonovia's current business plan or from public sources which have not been independently verified or assessed by Vonovia and which may or may not prove to be correct. Any forward-looking statements reflect current expectations based on the current business plan and various other assumptions and involve significant risks and uncertainties and should not be read as guarantees of future performance or results and will not necessarily be accurate indications of whether or not such results will be achieved. Any forward-looking statements only speak as at the date the presentation is provided to the recipient. It is up to the recipient of this presentation to make its own assessment of the validity of any forward-looking statements and assumptions and no liability is accepted by Vonovia in respect of the achievement of such forward-looking statements and assumptions.

Vonovia accepts no liability whatsoever to the extent permitted by applicable law for any direct, indirect or consequential loss or penalty arising from any use of this presentation, its contents or preparation or otherwise in connection with it.

No representation or warranty (whether express or implied) is given in respect of any information in this presentation or that this presentation is suitable for the recipient's purposes. The delivery of this presentation does not imply that the information herein is correct as at any time subsequent to the date hereof.

Vonovia has no obligation whatsoever to update or revise any of the information, forward-looking statements or the conclusions contained herein or to reflect new events or circumstances or to correct any inaccuracies which may become apparent subsequent to the date hereof.

This presentation does not, and is not intended to, constitute or form part of, and should not be construed as, an offer to sell, or a solicitation of an offer to purchase, subscribe for or otherwise acquire, any securities of the Company nor shall it or any part of it form the basis of or be relied upon in connection with or act as any inducement to enter into any contract or commitment or investment decision whatsoever.

This presentation is neither an advertisement nor a prospectus and is made available on the express understanding that it does not contain all information that may be required to evaluate, and will not be used by the attendees/recipients in connection with, the purchase of or investment in any securities of the Company. This presentation is selective in nature and does not purport to contain all information that may be required to evaluate the Company and/or its securities. No reliance may or should be placed for any purpose whatsoever on the information contained in this presentation, or on its completeness, accuracy or fairness.

This presentation is not directed to or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing within such jurisdiction.

Neither this presentation nor the information contained in it may be taken, transmitted or distributed directly or indirectly into or within the United States, its territories or possessions. This presentation is not an offer of securities for sale in the United States. The securities of the Company have not been and will not be registered under the US Securities Act of 1933, as amended (the "Securities Act") or with any securities regulatory authority of any state or other jurisdiction of the United States. Consequently, the securities of the Company may not be offered, sold, resold, transferred, delivered or distributed, directly or indirectly, into or within in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in compliance with any applicable securities laws of any state or other jurisdiction of the United States unless registered under the Securities Act.

Tables and diagrams may include rounding effects. Per-share numbers for 2013 and 2014 are TERP-adjusted.