Vonovia SE

Earnings Release • Jan 22, 2014

13th Kepler Cheuvreux German Corporate Conference Frankfurt, 22 January 2014 Rolf Buch, CEO

Deutsche Annington: Innovation leader based on a long-term vision, operational excellence and unique financing structure

A top European real estate play

Largest player in a highly stable asset class – German residential

Industrial-like process approach to operations designed for growth

Financing strategy in line with leading European peers

Built-in growth and enhanced profitability expected to drive FFO per share and NAV per share accretion

Entrepreneurial approach to a stable and low-risk asset class

Platform for consolidation

Attractive asset class supported by favourable environment

Source: Federal Statistical Office, Euroconstruct, ifo

Source: BBSR Wohnungsmarktprognose 2009-2025. Projections based on 2009 numbers ¹ Rent evolution for multifamily housing

Source: Schader Stiftung (Germany), Clameur (France), Association of Residential Letting Agents (UK)

Rent evolution below disposable income growth

Source: Verband deutscher Pfandbriefbanken, Bundesbank

German-wide geographical footprint provides rent increase stability

Source: Destatis. Rental growth data not provided for Bremen, Hamburg and Schleswig-Holstein

Our portfolio strategy: nationwide footprint, clearly structured, well-managed and balanced

Investment programme proactively capitalising on mega-trends supported by German regulation

• Strong regulatory push at the EU level towards energy efficiency
• Supportive German regulatory framework allowing for rent increases following modernisation (up to 11% of energy modernisation cost)
• Public subsidised funding available to support energy efficiency investments

Optimise Apartments Capitalising e.g. on development of senior population

• Significant increase in share of elderly population expected
• Public subsidised funding available to support investments into apartments for elderly people

€500m investment opportunities identified

€300m investment opportunities identified¹

Attractive growth potential at ~7% unlevered yield, proven by our track-record

Source: European Commission, BBSR-Bevölkerungsprognose 2030

1 Including investments for senior living as well as investments in high demand markets

Preparation of investment program 2014 fully on track

• Preparation of investment program 2014 fully on track
• Hand-picked house by house
• Individual projects range from ~€ 5k to ~€1.5m
• Total volume of € 150m and 7% unlevered yield will be achieved
• Closing of €90m KfW funding expected until year-end 2013
• Tender offers and craftsmen capacity for projects with construction start in Q1-2014 secured, remainder in progress

Current status Geographic Distribution – Top 25 cities

Target KPI reached, i.e. investment volume of € 150m and 7% unlevered yield

All projects planned bottom-up

Location	Upgrade Build. (k€)	Optimize Apartm. (k€)	Invest total $(k \epsilon)$	# units
Dortmund	19,457	4,708	24,165	1,454
Frankfurt am Main	14,617	4,222	18,839	1,209
Berlin	7,849	3,725	11,575	1,000
Bonn	6,713	651	7,364	512
Kassel	5,027	1,661	6,688	464
Aachen	4,512	520	5,033	249
Essen	4,011	724	4,735	520
Cologne	2,783	1,324	4,107	359
Bochum	1,740	1,629	3,369	447
Gelsenkirchen	1,905	643	2,548	177
Herne	1,534	594	2,128	117
Dusseldorf	1,674	443	2,117	283
Munich	1,681	396	2,077	154
Wiesbaden	1,572	468	2,040	147
Nuremberg	1,785	208	1,993	117
subtotal	76,862	21,916	98,778	7,209
others	36,439	13,365	51,304	4,521
total	114,801	35,281	150,082	11,730

Note: numbers are budget values. Actuals may vary until end of 2014 due to local circumstances, e.g. lower or higher tenant turnover than planned (segment "Optimize Apartments"), longer procedures for building permits (segment "Upgrade Buildings"), etc.

Scale and professional portfolio management allowing for cross-selling opportunities

Deutsche Telekom partnership

• In 2011, Deutsche Annington signed a contract with Deutsche Telekom whereby Deutsche Telekom will equip 145,000 residential units throughout Germany with modern fibre-optic technology
• Both parties enter into a marketing cooperation for Deutsche Telekom's telephone, internet and television products
• In 2012, Deutsche Annington restructured existing agreements with fragmented supply base of cable networks in order to enable implementation of Deutsche Telekom partnership
• By the end of the third quarter of 2013, 44,000 residential units were connected and additional 14,000 units will follow in Q1 2014.

Deutsche Annington – the biggest housing company in Germany

B&O 49%

Insourcing initiatives provide unique operating platform and economies of scale

B&O – one of

Germany's biggest craftsmen companies

Joint Venture

Overview Market Operations Financing Financials

Direct access to craftsmen capacities

DA 51%

• Improvement of quality through the build-up of know-how and the implementation of efficient and closely coordinated processes
• Cost reduction by managing total costs of process

• Nationwide scalable operating platform

• Set-up of service company TGS well on track:

• Since the beginning of 2013, massive expansion of regional presence of TGS
• All DA customers directly reachable via TGS craftsmen
• Around 1.200 FTE nationwide; further expansion planned

Successful Non-Core sales program

• Sale of residential units with insufficient medium- to long-term growth prospects
• Expected sale of appx. 4,100 units in 2013 representing appx. 28% of Non-Core segment end of 2012, driven by sale of package of 2,100 units
• Non-Core disposals fully on track, yet exceeding 2013 budget and achieving a selling price at around fair market value as planned
• Reduced number of DA locations by around 20 since end of last year
• Positive effects on major portfolio KPIs (vacancy rate, in-place rent, fair value/sqm)

Higher flexibility for acquisitions and continuing strong deal flow

• There is a continuing flow of attractive portfolios
• As per October 2013 we have
• Examined: 91k units
• Analysed in more details: 76k units
• Performed due diligence on: 64k units
• Thereof prepared indicative bids for: 31k units
• Thereof Submitted binding bids for more than: 10k units
• As the largest residential real estate company in Germany operating throughout the country and due to our authorized capital and increased financial flexibility, we have strengthened our market position significantly and are able to bid for every attractive portfolio
• However we continue to have a disciplined approach. The preconditions for any purchase are:
• Fit to portfolio, FFO/share accretion, non NAV/share dilution, maintaining our BBB rating

Implementation of unique and best-in-class financing structure in the German real estate sector completed

Simplification and increased stability through enhanced maturity profile and financing product mix

• Maturity profile further extended and smoothed
• No major refinancing before 2015
• Higher flexibility and cost efficiency through tailored mix of financing instruments

9M 2013 figures confirm positive development

Note: Like-for-like in-place residential rent

¹ Based on nominal debt amounts net of cash;

9M 2013 figures confirm positive development

¹ Based on average number of units over the period

FY 2013 outlook confirmed, FFO 1 expected to be at top end of guidance

KPI
Rental growth	1.8 – 2.0 %
Modernisation volume from 2014 p.a.	€ 150 m
Planned disposals (privatisation)	>2.0 k units
FFO 1 target	€ 210 – 220 m
Dividend policy	~70% of FFO 1

FFO 1 expected to be at top end of guidance

13th Kepler Cheuvreux German Corporate Conference Frankfurt, 22 January 2014 Rolf Buch, CEO