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Xior Student Housing

Quarterly Report Aug 6, 2021

4028_ir_2021-08-06_5820ea1b-e468-4b69-8159-14680b84f4f0.pdf

Quarterly Report

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HALF-YEARLY FINANCIAL REPORT

Alternative Performance Measures and the term 'EPRA earnings'

Alternative performance measures (APMs) are measures used by Xior Student Housing NV to measure and monitor its operational performance. The European Securities and Markets Authority (ESMA) has issued guidelines that apply from 3 July 2016 for the use and explanation of alternative performance measures. The concepts that Xior considers to be APMs are contained in Chapter 5.8 of this Half-Yearly Report. The APMs are marked with and are accompanied by a definition, purpose and reconciliation as required under the ESMA guidelines.

The EPRA (European Public Real Estate Association) is an organisation which promotes, helps to develop and represents the European publicly listed real estate sector in order to boost confidence in the sector and increase investment in publicly listed real estate in Europe. For more information about EPRA, please consult www.epra.com.

This half-yearly financial report is also available in Dutch.

Xior Student Housing NV is responsible for the translation of this half-yearly financial report into English. Only the Dutch version of the half-yearly financial report can be used as evidence. Both versions are available on the Company website (www.xior.be) or from the registered office on request (Xior Student Housing NV, Mechelsesteenweg 34, Box 108, 2018 Antwerp, Belgium).

01 CONSOLIDATED KEY FIGURES AS AT 30 JUNE 2021 6
02 INTERIM MANAGEMENT REPORT10
2.1 Notes to the consolidated results for the first half of 2021 12
2.1.1 Consolidated balance sheet 14
2.1.2 Composition of loans 15
2.2 Data according to the EPRA reference system 17
2.2.1 EPRA Key Performance Indicators 17
2.3 Transactions and achievements 21
2.3.1 Transactions and achievements during the first half of 2021 21
2.3.2 Transactions and achievements after the end of the first half of 2021 26
2.3.3 Covid-19 update ("Coronavirus crisis") 29
2.4 Forecast for the second half of 2021 31
2.4.1 Growth prospects for the second half of financial year 2021 31
2.4.2 Outlook 31
2.5 The Xior share 32
2.5.1 The share on Euronext Brussels 32
2.5.2 Shareholders33
03 RISKS FOR THE REMAINING MONTHS OF 2021 34
04 PROPERTY REPORT 38
4.1 Property market 40
4.1.1 The market in which Xior operates40
4.2 Property portfolio 42
4.2.1 Portfolio summary42
4.2.2 Description and diversification of the property portfolio43
4.2.3 Report by property experts Stadim, Cushman & Wakefield and CBRE as at 30 June 202148
05 CONSOLIDATED ABBREVIATED FINANCIAL STATEMENTS FOR THE FIRST HALF YEAR OF 2021 50
5.1 Consolidated abbreviated profit and loss account52
5.2 Consolidated comprehensive result 54
5.3 Abbreviated consolidated balance sheet55
5.4 Consolidated statement of changes in equity58
5.5 Consolidated abbreviated cash flow statement62
5.6 Notes 64
5.6.1 Financial reporting principles – General64
5.6.2 Consolidation64
5.7 Segment information 65
5.8 Alternative Performance Measures (APMs) 67
5.9 Other notes 74
5.9.1 Property result74
5.9.2 Result on the portfolio 76
5.9.3 Financial result76
5.9.4 Investment property77
5.9.5 Capital78
5.9.6 Earnings per share80
5.9.7 Other non-current financial liabilities 81
5.9.8 Financial debts82
5.9.9 Financial assets and liabilities84
5.9.10 Transactions with related parties 85
5.9.11 Events after the balance sheet date85
5.9.12
5.9.13
Scope of consolidation86
Debt ratio87
5.9.14 Off-balance sheet rights and obligations 88
5.9.15 Statutory Auditor's report 89
5.9.16 Statement accompanying the half-yearly financial report90
5.9.17 Forward-looking statements 91
06 IDENTITY CARD 92

CONSOLIDATED KEY FIGURES AS AT 30 JUNE 2021 01

" The Xior residences offer a comfortable, safe environment and are fully equipped according to the requirements and expectations of today's students."

Roxi Alma BRUSSELS

Consolidated balance sheet (in thousands of EUR) 30/06/2021 31/12/2020
Equity 828,228 659,503
Equity – group share 809,654 641,194
Fair value of the real estate property2 1,602,282 1,555,779
Debt ratio (Act on Regulated Real Estate Companies) 3 45.76% 54.18%
Key figures per share
(in EUR)
30/06/2021 30/06/2020
Number of shares 25,255,729 19,295,291
Weighted average number of shares 4 23,683,028 19,295,291
EPRA earnings per share (based on the weighted average number of shares) 0.74 0.74
EPRA earnings – after IFRIC 21 adjustment 0.81 0.80
EPRA earnings per share – group share 0.73 0.73
EPRA earnings per share – group share after IFRIC 21 adjustment 0.79 0.78
Result on the portfolio (IAS 40) (based on the weighted average number of shares) -0.11 -0.74
Revaluation of financial assets and liabilities (based on the weighted average number of
shares)
0.28 -0.44
Net result per share (IFRS) (based on the weighted average number of shares) 0.89 -0.47
Share closing price 50.80 47.65
Net asset value per share (IFRS) (based on the number of issued shares) 32.79 31.47
Net asset value per share (IFRS) (based on the number of issued shares) – group share 32.06 30.54

The first half of 2021 starts on 1 January 2021 and ends on 30 June 2021.

The results of the first half year are as follows:

  • EPRA earnings of EUR 0.74 per share1 EUR 0.81 per share after IFRIC 21 adjustment
  • EPRA earnings group share of EUR 0.73 per share1 – EUR 0.79 per share after IFRIC 21 adjustment
  • EPRA earnings of KEUR 17,510 KEUR 19,067 after IFRIC 21 adjustment
  • EPRA earnings group share of KEUR 17,208 KEUR 18,765 after IFRIC 21 adjustment
  • EPRA NAV per share group share of EUR 34.79 compared to EUR 34 as at 31 December 2020
  • EPRA NTA per share of EUR 34.79 compared to EUR 33.99 as at 31 December 2020

In accordance with the guidelines issued by the European Securities and Market Authority (ESMA) on 3 July 2016, the Alternative Performance Measures (APMs) used by Xior are included in this Half-Yearly Report. The definitions of the APMs, together with the reconciliation tables and their purpose are included in Chapter 5.8 of this Half-Yearly Report. The APMs are marked with .

1Figures per share are calculated based on the weighted average number of shares, unless stated otherwise.

  • Net rental result of KEUR 35,153 for H1 2021
  • Net result (IFRS) of KEUR 21,132 for H1 2021
  • Debt ratio of 45.76% compared to 54.18% as at 31 December 2020
  • Occupancy rate of 97.80% compared to 98.04% for H1 2020
  • Property portfolio rises to MEUR 1,602, or a 3% increase compared to 31 December 2020. If all acquisitions and redevelopments in the committed pipeline are completed, the portfolio will increase to approx. MEUR 2,200 with about 18,000 lettable student units.
Consolidated income statement
(in thousands of EUR)
30/06/2021 30/06/2020
Net rental result 35,153 27,293
Property result 33,907 26,834
Operating result before result on the portfolio 23,224 18,945
Financial result (excluding variations in the Fair Value of financial assets and liabilities) -4,412 -4,018
EPRA earnings4 17,510 14,258
EPRA earnings after IFRIC 21 adjustment 19,067 15,401
EPRA earnings – group share 17,208 13,995
EPRA earnings – group share after IFRIC 21 adjustment 18,765 15,138
Result on the portfolio (IAS 40) -2,676 -14,635
Revaluation of financial instruments (non-effective interest rate hedges) 6,664 -8,477
Share in the result of joint ventures 174 -479
Deferred taxes -539 261
Net result (IFRS) 21,132 -9,079
30/06/2021 30/06/2020
Number of lettable student units 11,466 8,991

2The Fair Value of the investment property is the investment value as determined by an independent property expert not including the transaction fees (see BE-REIT (Belgian Public RREC) Association press release dated 10 November 2016. The Fair Value corresponds to the book value under IFRS.

3 Calculated in accordance with the Royal Decree of 13 July 2014 implementing the Act of 12 May 2014 on Regulated Real Estate Companies.

4 Shares are counted from the time of issue.

INTERIM MANAGEMENT REPORT

02

" Xior was successfully listed on the Euronext Brussels stock market on 11 December 2015. This makes Xior the first Belgian public RREC specialising in the Prince student housing sector."

ANTWERP

"variations in the Fair Value of investment property " on the income statement.

• For properties purchased through share acquisitions, the difference between the properties' book value and negotiated value and any other sources of discrepancies between the Fair Value and the negotiated value of the shares are processed as "other portfolio earnings " on the income statement. These "other portfolio earnings " relate to amounts arising from the application of the consolidation principles and merger transactions, and consists of the differences between the price paid for real estate companies and the Fair Value of the acquired net assets. These "other portfolio earnings " also cover directly attributable transaction fees. The difference between the agreed value and the Fair Value was processed as "variations in the Fair Value of investment property " on the income statement.

The variation in Fair Value between 1 January 2021 and 30 June 2021 was posted as negative or positive variations under investment property. There was a net positive investment property change (KEUR 2,562).

The financial result is KEUR 2,252 (KEUR -12,495 as at 30 June 2020). This result includes primarily interest on loans (KEUR 2,145), costs of approved hedging instruments (KEUR 1,599), bank charges and other commissions (KEUR 747). The increases in the property portfolio resulted in an increase in the net interest charges. These charges also include the market value of the hedging instruments (KEUR +6,664). The market value of these hedging instruments is

taken directly in the income statement and became less negative during the first half of 2021. The average financing cost is 1.89% for the first half of 2021 (1.99% as at 30 June 2020).

The result before taxes is KEUR 22,974. Corporate taxes are KEUR 1,303. These are mainly taxes on earnings from the permanent establishment in the Netherlands, the Dutch subsidiaries and the taxes on the Spanish subsidiaries. On the other hand, provisions of KEUR 810 were created for deferred taxes and there was a positive settlement of paid exit tax (KEUR +270).

The net result is KEUR 21,132 (KEUR -9,079 as at 30 June 2020) and reflects both the EPRA earnings as well as the positive impact of variations in the Fair Value of the property portfolio of KEUR 2,562, the result of the first consolidation difference on the acquisitions in H1 (KEUR -5,238), the positive impact of the Fair Value of financial assets and liabilities of KEUR 6,664, the share in the earnings of joint ventures (KEUR 174), the positive impact of the settlement of paid exit tax (KEUR 270) and the negative impact of deferred taxes resulting in IAS adjustments of KEUR 810 as at 30 June 2021.

The EPRA earnings are KEUR 17,510 (KEUR 14,258 as at 30 June 2020). The calculation of the EPRA earnings per share is based on the weighted average number of shares (based on their respective dividend entitlement) as at 30 June 2021, which was 23,683,028.

In thousands of EUR 30/06/2021 Per share 30/06/2020
EPRA earnings 17,510 0.74 14,258
EPRA earnings – after IFRIC 21 adjustment 19,067 0.81 15,401
EPRA earnings – group share 17,208 0.73 13,995
EPRA earnings after IFRIC 21 adjustment – group share 18,765 0.79 15,138
EPRA earnings 17,510 0.74 14,258
EPRA earnings – after IFRIC 21 adjustment 19,067 0.81 15,401
EPRA earnings – group share 17,208 0.73 13,995
EPRA earnings after IFRIC 21 adjustment – group share 18,765 0.79 15,138

2.1 NOTES TO THE CONSOLIDATED RESULTS FOR THE FIRST HALF OF 2021

The net rental result is KEUR 35,153 in the first half of 2021 compared to KEUR 27,293 in the first half of 2020. This is an increase of 29%. This net rental result will continue to increase further in 2021, as certain buildings currently being constructed or converted will only start generating rental income from September 2021 or October 2021 or others have been acquired very recently and will, therefore, contribute fully to earnings in the second half of the year.

This relates mainly to the following properties:

  • Prince, Antwerp: building was completed in the course of Q2 and rental income will increase gradually over the course of Q3 and Q4 2021.
  • Arc, Liège: building was completed in the course of Q2 and rental income will increase gradually over the course of Q3 and Q4 2021.
  • Eendrachtskade, Groningen: the property has been completed, and will generate rental income from August 2021.
  • Project Teatinos, Malaga: the property was completed in July 2021 and will be generating rental income from completion.
  • Breda Studio Park: this building will be acquired during the course of Q3 2021 and will generate rental income from the time of acquisition.
  • SPS/HUBR Spain: this concerns the acquisition of 3 buildings in Madrid, Malaga and Seville, these buildings will be aquired in the course of Q3, and will generate rental income as from acquisition.

The average occupancy rate of the property portfolio was 97.80% for the first half of 2021 compared to 98.04% for the first half of 2020.

The property result is KEUR 33,907 as at 30 June 2021 (KEUR 26,834 as at 30 June 2020) and the property operating result is KEUR 26,618 (KEUR 22,076 as at 30 June 2020). The property charges (KEUR 7,290) mainly include costs related to maintenance and repair, insurance, property management, valuation expert expenses and other property charges. The latter charges are property taxes and withholding taxes on Dutch property that cannot be passed on to the tenants.

As a result of the application of the reporting guidance in "IFRIC 21 Levies" (implemented since the 2015 financial year), the figures as at 30 June 2021 include a provision for the entire year of 2021 with regard to property withholding tax, Dutch property taxes, taxes on second homes and the so-called "subscription tax" ("abonnementstaks"). This has a substantial negative impact on the result for the first half of 2021, as these costs were taken in whole in the first quarter, rather than spread across all quarters. The effect of this accounting treatment will reduce as the financial year unfolds. If these costs were spread and one quarter of the costs would be entered in each quarter, the result for the first half of 2021 would increase by KEUR 1,557. If that were the case, the EPRA earnings would be KEUR 19,067.

The overheads are KEUR 3,478 compared to KEUR 3,155 as at 30 June 2020. This increase is mainly due to an increase in the "subscription tax" as a result of the capital increase in 2020, and also an increase in personnel costs due to the recruitment of additional staff at HQ, and an increase in consultancy costs (lawyers, tax consultants, compliance) in the different countries.

The portfolio result for the first half of the year is KEUR -2,676 (KEUR -14,635 as at 30 June 2020). New properties were acquired in the first half of 2021 through share acquisitions. In addition, there were final purchase price settlements due for certain historical acquisitions. The impact of this was also reflected in other portfolio results.

The property was acquired at a negotiated value (the acquisition value agreed between the parties), which was in line with (but not necessarily equal to) the Fair Value as assessed by the Valuation Experts.

• The difference between the Fair Value of properties acquired through property acquisitions (sale-purchase) and the negotiated value of these properties is shown in

2.1.2 COMPOSITION OF LOANS

As at 30 June 2021, the Company had concluded financing agreements with 13 lenders for an amount of MEUR 920. As at 30 June 2021, the Company had drawn down MEUR 570 of this financing.

During Q2 2021, the Company established a Green Commercial Paper Programme for an initial amount of MEUR 100 and with a term of up to 12 years. This amount was increased to MEUR 200 during June 2021. Of this amount, MEUR 135 had already been issued as at 30 June 2021. This debt paper has a maturity of less than 1 year.

The Company attempts to stagger the loan maturities: the average maturity is 4.50 years as at 30 June 2021. This does not include CP notes, which are all short-term.

During 2021, there were 2 loans from ING totalling MEUR 25, 1 loan with Belfius for MEUR 25, and 3 loans with KBC totalling MEUR 45 that came at maturity. Negotiations were conducted with the 3 banks – ING, Belfius and KBC – and an agreement was reached to refinance the ING loan until 31/03/2025, the Belfius loan until 30/09/2026, and the KBC loans until 30/09/2024 (MEUR 25) and 30/09/2026 (MEUR 20), respectively. The loan of MEUR 25 I Love Vols had taken out with Belfius was repaid ahead of schedule on 5 February 2021, and the loans of MEUR 24 that 6 and 30 and Val Benoit had taken out with KBC were also repaid early on 31 March 2021. On 20 January 2021, the Company took out an additional 4-year loan with BNPPF for MEUR 25 (until 30/03/2025).

Xior has taken out a number of green loans and a bond loan and Green CP for a total amount of MEUR 305.

These loans must be used for "green assets". There is a total of MEUR 446 of "eligible assets'" that can be financed with green loans.

Xior will report annually on the allocation of green loans until they have been fully used to finance "green assets". The reports will contain the following information: total amount of green loans, total amount not allocated to green investments, portfolio composition, geographical

portfolio split, financing versus refinancing and an overview of "eligible assets".

We also refer to Chapter 9.6.1 Green assets and Green Finance Framework in the 2020 Annual Report.

The Company also has IRS contracts totalling MEUR 455 as at 30 June 2021. As at 30 June 2021, 88% of the drawn-down financing (MEUR 708) was hedged either by Interest Rate Swap agreements or by fixed interest rates.

The average financing cost for H1 2021 was 1.89% (2020:1.99%).

The main covenants the Company must respect in relation to these financing agreements are about compliance with a loan to value (LTV) ratio (the outstanding amount of credit in relation to the value of the property portfolio calculated according to the Royal Decree on Regulated Real Estate Companies) which must always be less than 60%, an interest coverage ratio that must be greater than 2.5 and hedging of at least 70% of financing debt.

The Debt Ratio was 45.76% as at 30 June 2021. The Debt Ratio is calculated as follows: liabilities (excluding provisions, accruals and deferrals, interest rate hedging instruments and deferred taxes) divided by total assets (excluding interest rate hedging instruments). The Debt Ratio now is lower than the Debt Ratio at the end of 2020. This is the result of the capital increase in March 2021, which meant that loans could be repaid temporarily.

As at 30 June 2021, the average maturity of the outstanding long-term loans was 4.50 years. The Company has always concluded financing contracts with a minimum term of 3 years, with the exception of the Commercial Paper Programme, which has a shorter maturity. For a breakdown of debts by maturity, please see Chapter 5.9.8 of this Half-Yearly Report.

The total hedging market value was negative (KEUR -19,866), which is a KEUR 6,664 increase as compared to the market value as at 31 December 2020. This value

2.1.1 CONSOLIDATED BALANCE SHEET

As at 30 June 2021, the portfolio consisted of 11,466 lettable student units. This resulted in a valuation of the property portfolio of KEUR 1,602,282 as at 30 June 2021, which represented a 3% increase of KEUR 46,503 compared to 31 December 2020 (KEUR 1,555,779). This increase is mainly due to the acquisition of Roosevelt in Antwerp, the further renovation of the property on Eendrachtskade in Groningen, the building on Boschdijk Veste in Eindhoven, Prince in Antwerp, Arc in Liège and Project Connect U in Enschede.

For a detailed description of the acquisitions, please refer to Chapter 2.3.1 of this Half-Yearly Report.

If all acquisitions and projects currently in the committed pipeline are completed, this increase will continue and result in a property portfolio of approx. MEUR 2,200 with about 18,000 lettable student units.

As at 30 June 2021, the portfolio consisted of 122 properties (incl. committed pipeline) with 16,816 student units, of which 5,401 units or 32% were still either under construction or awaiting conversion into student units. The properties to be converted into student units will start contributing to the rental income from 2022/2024. Some of these properties are currently generating rental income as offices.

Current assets at KEUR 59,628 have risen by KEUR 4,696 since 31 December 2020. This increase is mainly due to an increase in shareholder loans granted to the joint ventures.

They primarily include:

  • Outstanding trade receivables (KEUR 2,003): mainly unpaid rent;
  • Other receivables: this mainly concerns the Promgranjo shareholder loan (KEUR 8,765), the Marivaux shareholder loan (KEUR 12,629), an advance on an acquisition (KEUR 6,000) and an advance payment to a supplier;
  • Tax receivables (KEUR 3,989): this mainly concerns advance payment of Dutch corporation tax, and VAT to be reclaimed;
  • Bank account balances (KEUR 5,775).

KEUR 11,583 in accruals and deferrals are mainly real estate costs to be deferred (KEUR 5,073), rental income (KEUR 2,719) and overheads to be deferred (KEUR 775).

The equity – group share was KEUR 809,654 as at 30 June 2021 (KEUR 641,194 as at 31 December 2020).

The net asset value per share (EPRA NAV) increased by 2% to EUR 35.53 as at 30 June 2021 compared to EUR 34.87 as at 31 December 2020.

The long-term liabilities fell by KEUR 168,482 compared to 31 December 2020. As a result of the capital increase in March 2021, certain loans were repaid ahead of schedule. Short-term Commercial Paper was also issued. The debt ratio fell from 54.18% as at 31 December 2020 to 45.76% as at 30 June 2021.

Other non-current liabilities mainly relate to the put option on the remaining 20% of the shares of Mosquera Directorship (MEUR 19). This liability was recorded in 2019 against equity (as a reduction in equity – IFRS liability), which has a negative impact on the NAV per share. Once the option is exercised, this negative amount will be recorded in equity against minority interests.

Current liabilities are KEUR 177,288. This is an increase of KEUR 50,670 since 31 December 2020. This is due to the issue of Commercial Paper. As at 30 June 2021, MEUR 135 in Commercial Paper had been issued.

Current liabilities are mainly short-term loans (KEUR 138,511), outstanding debts to suppliers (KEUR 9,103), advance payments received from tenants (KEUR 3,199), VAT, tax and social security owed (KEUR 4,140), security deposits received from tenants (KEUR 8,840), the amount to be paid for the remaining shares in joint ventures (KEUR 2,682) and accruals and deferrals (KEUR 6,040). The accruals and deferrals are mainly rental income to be deferred (KEUR 1,422), accrued interest (KEUR 1,719) and accrued general expenses (KEUR 2,899).

2.2 DATA ACCORDING TO THE EPRA REFERENCE SYSTEM 5 2.2.1 EPRA KEY PERFORMANCE INDICATORS

These details are not required by the legislation on Regulated Real Estate Companies. The Statutory Auditor verified that the EPRA earnings, EPRA net asset value (NAV) and EPRA triple net asset value (NNNAV) ratios were calculated according to the definitions quoted in the EPRA Best Practice Recommendations and whether the financial data used in the calculation of these ratios correspond to the accounting information included in the consolidated financial statements.

30/06/2021
EPRA metrics Definition in KEUR EUR per share
EPRA earnings Underlying result from strategic operational activities. 17,510 0.74
EPRA NAV Net asset value (NAV) adjusted to take into account the Fair
Value of the investment property and excluding certain elements
that do not form part of a financial model of long-term property
investments.
897,269 35.53
EPRA NNNAV EPRA net asset value (NAV) adjusted to take into account (i) the
Fair Value of the financial instruments, (ii) the Fair Value of debts
and (iii) deferred taxes.
828,228 32.79
%
EPRA cost ratio (incl.
vacancy costs)
EPRA costs (including vacancy costs) divided by the gross rental
income.
30.90%6
EPRA cost ratio (excl.
vacancy costs)
EPRA costs (excluding vacancy costs) divided by the gross rental
income.
29.90%7
EPRA Net
Reinstatement Value
(NRV)
Assumes that entities never sell property and aim to show the value
needed to rebuild the property.
975,549 38.63
EPRA Net Tangible
Assets (NTA)
EPRA Net Tangible Assets assumes that entities buy and sell
assets, causing certain levels of unavoidable deferred tax to
crystallise.
878,611 34.79
EPRA Net Disposal
Value (NDV)
Represents the shareholder value in a "sell-off scenario", in which
deferred tax, financial instruments and certain other adjustments
are calculated to their fullest extent, after deduction of the resulting
tax.
810,444 32.09

increase has a positive effect on the net result as at 30 June 2021 (KEUR 6,664).

Maturity of the loans

The above diagram does not include loans with quarterly repayments and CP notes, as that would make the graph unreadable. This relates to a loan to Stratos from ING with a quarterly repayment of approximately KEUR 220 and loans to the UHUB entities from Santander with a monthly repayment of approx. KEUR 114.

5 Financial performance indicator calculated in accordance with the EPRA (European Public Real Estate Association) Best Practice Recommendations. See also www.epra.com.

6 The EPRA cost ratio (including vacancy costs) after IFRIC 21 adjustment is 26.5%.

7 The EPRA cost ratio (excluding vacancy costs) after IFRIC 21 adjustment is 25.5%.

As at 30/06/2021 EPRA NRV EPRA NTA EPRA NDV EPRA NAV EPRA NNNAV
IFRS equity attributable to
shareholders excluding minority
interests 809,654 809,654 809,654 809,654 809,654
Minority interests XXXXXXXXXXX XXXXXXXXXXX XXXXXXXXXXX 18,574 18,574
DEDUCT
DT in relation to FV gains of IP 49,175 49,175 XXXXXXXXXXX 49,175 XXXXXXXXXXX
FV of financial assets 19,866 19,866 XXXXXXXXXXX 19,866 XXXXXXXXXXX
Intangible fixed assets on IFRS BS XXXXXXXXXXX 84 XXXXXXXXXXX XXXXXXXXXXX XXXXXXXXXXX
ADD
FV of fixed-income debts XXXXXXXXXXX XXXXXXXXXXX 790 XXXXXXXXXXX XXXXXXXXXXX
Taxes on the transfer of real estate 96,854 nvt XXXXXXXXXXX XXXXXXXXXXX XXXXXXXXXXX
NAV 975,549 878,611 810,444 897,269 828,228
Fully diluted number of shares 25,255,729 25,255,729 25,255,729 25,255,729 25,255,729
NAV per share 38.63 34.79 32.09 35.53 32.79
NAV per share – group share 38.63 34.79 32.09 34.79 32.06
Additional deferred tax, note if option (i) or (ii) is
chosen
Fair value % of total portfolio % of deferred tax
excluded
Portfolio that is subject to deferred taxes and
intended to be held and not sold in the long term.
1,602,282 100 100
Portfolio subject to partial deferred tax and tax
structuring
0 0 0
EPRA earnings per share 30/06/2021 30/06/2020
Net result 21,132 -9,079
Variations in the Fair Value of the investment properties -2,562 2,362
Other portfolio result 5,238 12,273
Result from the sale of investment property 0 0
Variations in the Fair Value of financial assets and liabilities -6,838 8,956
Deferred taxes relating to IAS 40 adjustments 540 -254
Weighted average number of shares 23,683,028 19,295,291
EPRA earnings per share 0.74 0.74
EPRA earnings per share – group share 0.73 0.73
IFRIC 21 impact 1,557 1,143
EPRA earnings per share after IFRIC 21 adjustment 0.81 0.80
EPRA earnings per share after IFRIC 21 adjustment – group share 0.79 0.78
EPRA cost ratio 30/06/2021 30/06/2020
Overheads 3,478 3,155
Impairments on trade receivables 126 205
Property charges 7,290 4,758
EPRA cost (incl. vacancy costs) 10,894 8,118
Vacancy costs 343 347
EPRA costs (excl. vacancy costs) 10,551 7,771
Gross rental income 35,279 27,499
EPRA cost ratio (incl. vacancy costs) 30.9% 29.5%
EPRA cost ratio (excl. vacancy costs) 29.9% 28.3%
IFRIC 21 impact 1,557 1,143
EPRA cost ratio (incl. vacancy costs) after IFRIC 21 adjustment 26.5% 25.4%
EPRA cost ratio (excl. vacancy costs) after IFRIC 21 adjustment 25.5% 24.1%

2.3 TRANSACTIONS AND ACHIEVEMENTS 2.3.1 TRANSACTIONS AND ACHIEVEMENTS DURING THE FIRST HALF OF 2021

2.3.1.1 General

After the growth achieved in 2020, Xior continued to work on the further growth of its property portfolio in the first half year of 2021. Most of these efforts will only yield results in Q3. When implementing its growth strategy, Xior strives for balanced growth of both equity and loan capital, with a healthy combination of different sources of financing, while keeping the debt ratio under control and increasing earnings per share. Xior was able to carry out another capital increase In March 2021. If all the acquisitions and redevelopments in the committed pipeline were to be completed, the portfolio would increase to approximately MEUR 2,200 with approx. 18,000 units.

As always, the Board of Directors and management have also focused continuously on operational and financial management.

2.3.1.2 Acquisitions in the first half of the year8

Xior completed several acquisitions during the first half of the year. The most important aspects of these acquisitions were announced at the time and are repeated again below.

• Acquisition of up and running residence in Breda

Xior is strengthening its position in Breda with the acquisition of "Study Studio Park", a highly popular operational and fully rented student campus in an excellent location on the edge of Breda city centre. This building is located on an enclosed site and has 224 selfcontained studios all built around an enclosed, relaxing inner garden. In addition to the student rooms, the building also has 31 parking spaces and various communal areas such as a fitness room, study rooms, laundry room, CCTV, bicycle storage and a sports field. To promote interaction between students and make the campus livelier, all living areas have a view of the interior garden.

This residence is fully in line with Xior's sustainable vision of the future as it aims to continuously expand its portfolio with sustainable and energy-efficient buildings. For example, the building has heat pumps to control its heat flow and temperature. The residence has an A energy rating and the rooms' energy index is between 1.07 and 1.19, which means the building meets the criteria set out in Xior's Green Finance Framework. Study Studio Park is

within cycling distance of the Avans University of Applied Sciences and Breda University of Applied Sciences, which attract around 40,000 students. It is also within walking distance of Breda's historic centre. This excellent location is also a good match to Xior's other locations in Breda. Since its opening in 2017, this residence has not had a single day of vacancy and has waiting lists of more than 9 months for hundreds of students. There are even waiting lists for its parking spaces. The acquisition is subject to the condition precedent of the Municipality of Breda's approval and is based on a long leasehold (until 2 December 2041, with the possibility of a 25-year extension) linked to a building lease.

As at 31/12/2020 EPRA NRV EPRA NTA EPRA NDV EPRA NAV EPRA NNNAV
IFRS equity attributable to
shareholders excluding minority
interests 641,194 641,194 641,194 641,194 641,194
Minority interests XXXXXXXXXXX XXXXXXXXXXX XXXXXXXXXXX 18,309 18,309
DEDUCT
Deferred taxes related to FV
earnings on IP
47,815 47,815 XXXXXXXXXXX 47,815 XXXXXXXXXXX
FV of financial instruments 26,530 26,530 XXXXXXXXXXX 26,530 XXXXXXXXXXX
Intangible fixed assets on IFRS BS XXXXXXXXXXX 145 XXXXXXXXXXX XXXXXXXXXXX XXXXXXXXXXX
ADD
FV of fixed-income debts XXXXXXXXXXX XXXXXXXXXXX -7,027 XXXXXXXXXXX XXXXXXXXXXX
Taxes on the transfer of real estate 95,508 nvt XXXXXXXXXXX XXXXXXXXXXX XXXXXXXXXXX
NAV 811,047 715,394 648,221 733,848 659,503
Fully diluted number of shares 21,046,441 21,046,441 21,046,441 21,046,441 21,046,441
NAV per share 38.54 33.99 30.80 34.87 31.34
NAV per share – group share 38.54 33.99 30.80 34.00 30.47
Fair value % of total portfolio % excl. deferred taxes
Portfolio that is subject to deferred taxes and
intended to be held and not sold in the long term
1,555,779 100 100
Portfolio subject to partial deferred tax and tax
structuring
0 0 0

Study Studio Park - Breda

Finance Framework that complies with the Green Bond and Green Loan Principles and has been validated by a second-party opinion from Sustainalytics. Both can be consulted online on the Xior website. The Green Finance Framework sets out clear guidelines for what is defined as a green building or green project. The CP Programme is the next step in Xior's sustainability strategy. Xior is the first organisation in Belgium to issue a green commercial paper as part of a newly created CP/MTN programme in collaboration with Belfius (the Arranger responsible for the programme's overall design) and KBC Bank (the Green Structuring Agent responsible for the design of the programme's green approach), which is fully in line with the already established Green Finance Framework.

• Acquisition of the Teatinos Malaga project

Xior has signed an agreement with Amro Real Estate Partners, a developer specialising in student accommodation, to purchase a brand-new student residence with 229 student rooms and 231 beds in Malaga. In addition to the rooms, the residence has a swimming pool, several gardens and an outdoor car park with 60 parking spaces. The building's floor space is spread over approximately 6,000 m² above ground and 1,100 m² below ground. By signing this agreement, Xior is continuing to invest in its growth strategy in Spain.

With the addition of this residence in Malaga, Xior has added a fourth city to its Spanish portfolio. The project is located in the north-western part of the city in the Teatinos district, right next to the campus of Malaga University, which has roughly 35,000 students, who can also rely on excellent connections to public transport and roads. Right in front of the entrance to the residence is a stop for a bus route that provides direct access to the vibrant city centre with numerous restaurants, supermarkets and sports facilities. The project received all the necessary building permits in early 2020 and was delivered in July 2021.

The total anticipated investment value is approximately MEUR 23.2 with an expected stabilised gross return of approximately 7.1%. The purchase took place via a share transaction on 29 July 2021. Upon completion of the agreement, Xior concluded a rental agreement stating that Amro's operating platform Amro Estudiantes will handle the operation of the residence for the first 2 years,

The total investment value is about MEUR 24 with an expected gross yield of approximately 6% (after rent optimisation). The entire residence is operational and fully let, so it will immediately contribute to Xior's rental income just as soon as the aforementioned condition precedent is met and the complex is transferred to Xior. This transfer to Xior will take place during the course of Q3 2021. This acquisition raises the total number of operational rooms in Breda from 226 to 450, in 4 different locations, generating additional economies of scale.

• Acquisition of Antwerp Inn Hotel on Rooseveltplaats in Antwerp

In Antwerp, Xior is expanding its portfolio further with the acquisition and redevelopment of the Antwerp Inn Hotel (which has 51 hotel rooms) on Franklin Rooseveltplaats 9 (together with the adjoining investment property on Franklin Rooseveltplaats 7) right in the centre of Antwerp. This property will be converted into the modern "Roosevelt" student residence, subject to the necessary planning permissions. The project is very easy to reach by public transport and within walking and cycling distance of the University of Antwerp. It is also just a stone's throw away from the Kipdorp residence, where the Antwerp rental office is also located. It is a perfect addition to Xior's existing portfolio in Antwerp, which already consists of more than 1,000 rooms (including those in the pipeline).

For this redevelopment project, a newly established real estate company (in which Xior has a 75% stake) acquired all the shares in Roosevelt NV, which fully owned the existing Antwerp Inn Hotel, and the investment property next door. The redevelopment will be based on a joint venture between the newly established real estate company referred to above, and a private investor with whom Xior has collaborated in the past. The necessary permits for this redevelopment are expected in the course of 2022 and the project is expected to be completed in Q3 2023. The total investment value is about MEUR 18 with an expected gross yield of approximately 5.75%.

• Green CP/MTM programme launch

Xior is the first organisation in Belgium to launch a Green CP/MTN programme (Commercial Paper/Medium Term Note) to finance green assets, for an original amount of MEUR 100 for a maximum term of 12 years. This amount was increased to MEUR 200 in June 2021. This is also a new form of financing for Xior. This means that Xior is further diversifying its financing options, and is also confirming its ESG objectives.

Investing in student housing means investing in the future. Xior currently has 11,466 students under its wings, all of whom are much more aware of the environment, their health and their surroundings. Xior feels it is important to support its students in this respect as well, so the company will continue to focus on sustainability to ensure happy students in energy-efficient buildings. Over the past 2 years, the organisation has drawn up and more firmly established its sustainability strategy within the Company. The full strategy and vision can be found in the recently published CSR report (Chapter 9 of the 2020 Annual Financial Report). In order to achieve its sustainability ambitions and attract specific financing to (re)finance green projects and buildings, Xior has developed a Green

Antwerp Inn Hotel - Antwerpen Teatinos - Malaga

2.3.1.3 Annual general meeting

9 Assuming 30% withholding tax.

The Annual General Meeting of Xior Student Housing NV took place on 22 May 2021, including the approval of the annual accounts for 2020. The Annual General Meeting also approved the payment of a dividend of EUR 1.36 gross or EUR 0.91 net9 per share.

2.3.1.4 Operations

For more information on the operations, see Chapter 2.3.3. of this Half-yearly report.

2.3.1.5 Interest rate hedges

The Company pursues a policy of hedging a substantial part of the interest rate risk relating to the long-term financing, with at least 70% either having a fixed interest rate for the entire term of the agreement, or having hedging instruments, such as interest rate swaps and forward rate agreements. As at 30 June 2021, 64% of outstanding loans (of those with variable interest rates – or 88%, including the fixed-interest loan contracts) are hedged by interest rate swap contracts. The Company's hedging policy will be regularly evaluated and adjusted when necessary (for example looking at the instrument types, the hedging periods, etc.).

We also refer you to Chapter 5.9.7 of this Half-Yearly Report for information about the valuation of these hedging instruments on 30 June 2021.

based on a triple net lease and guaranteed fixed income of approximately MEUR 1.3 in the first year and MEUR 1.4 in the second year.

• Acquisition of the City Lofts project in Leeuwarden

This project involves the redevelopment of part of the former KPN building on Tweebaksmarkt in Leeuwarden into a brand new student residence with 183 student rooms. In addition to the student rooms, the residence also has an inner garden courtyard of approx. 700 m² and a large underground floor of approximately 1,900 m² (consisting of 190 bicycle parking spaces, a laundry room, a technical room and 1,280 m² of space whose use has still to be decided, for which Xior has received a rental guarantee from the seller).

The residence enjoys an excellent location right in the vibrant centre of Leeuwarden, within walking distance of shops, public transport and just a 5-minute cycle ride to the Stenden University of Applied Sciences, which is the biggest university in Leeuwarden. The city offers a wide range of courses for about 24,000 students, of whom half are estimated to stay in student accommodation. There is a strong demand for high-quality student housing. Xior is already active in Leeuwarden with its residence on Tesselschadestraat. With this new residence, Xior's portfolio in Leeuwarden has reached 265 units. This new residence will also be managed by the current operational Xior team. The project is currently at the permit stage. The permit is expected to be obtained in July 2021, after which redevelopment can start, with completion expected by early 2023. With an expected energy index of below 1.4, this residence also fits in nicely with Xior's sustainability strategy.

The total anticipated investment value for Xior is approximately MEUR 18.5 with an expected stabilised gross return of approximately 6.2%. The purchase, currently subject to the conditions precedent of obtaining a final and irrevocable permit for redevelopment into a student residence, and of a turnkey development agreement that has still to be signed – which is also subject to the condition precedent of obtaining the above permit – under which a contractor appointed by the seller will be responsible for the implementation and development of this project at their own risk and responsibility, and will happen on the basis of an asset deal.

• Capital increase

On 24 February 2021, Xior launched a capital increase in cash with irreducible allocation rights for a maximum gross amount of approximately MEUR 178.9 by issuing a maximum of 4,209,288 new shares at an issue price of EUR 42.50 per share. This capital increase was fully subscribed and the new shares were issued on 9 March 2021.

City Lofts - Leeuwarden

This residence is located in the heart of the Salamanca neighbourhood in the centre of Madrid parallel to the so-called golden mile, a vibrant street filled with shops, restaurants and recreational areas. It is considered to be one of Madrid's most exclusive and safest neighbourhoods. This centrally located urban residence is the perfect addition to Xior's current offering at the UEM campus just outside Madrid (Picasso Velázquez residences).

Malaga

Located on Boulevard Louis Pasteur 23 in Malaga, this brand-new residence has 221 studios (214 singles and 7 twins), all equipped with en-suite bathrooms and kitchenettes. The residence was completed in early 2021 and offers a mix of shared facilities, such as a rooftop terrace with panoramic views of the city and the sea, a fantastic restaurant, high-speed Wi-Fi and network access in all rooms, a weekly cleaning/linen service, a 24-hour reception and security cameras. The residence is located in the Teatinos area just a stone's throw away from the University of Malaga Campus. Xior has also invested in another development project in the same prime district. That project was announced in February 2021 and will be operational for the coming academic year.

Sevilla

This brand-new residence is right in the middle of Avenida de La Palmera 17 in one of the most exclusive neighbourhoods of Seville, the largest student city in Andalusia. The residence is located across from the Reina Mercedes campus of the University of Seville, and will open in September 2021. There are good public transport connections to the centre of the city and other universities (UPO, Loyola, EUSA, CEADE, ESIC and so on). The nearby Parque de María Luisa offers students plenty of outdoor activities. The residence will offer 309 fully equipped studios with their own kitchens and en-suite bathrooms. The shared facilities and services include a communal garden, a swimming pool, fitness room, study areas, a 24-hour reception, security cameras, weekly cleaning and linen service, high speed Wi-Fi and network access in every room.

Andalusia is Spain's third most important student region, after Madrid and Catalonia. It attracts approximately 250,000 students. Xior is already present in Andalusia with its residences in Malaga and Granada. Thanks to its presence in Seville, Granada and Malaga, Xior will cover the top 3 student cities in Andalusia and create an efficient operating platform for the local team.

2.3.2 TRANSACTIONS AND ACHIEVEMENTS AFTER THE END OF THE FIRST HALF OF 2021

SPS/HUBR

On 12 July 2021, Xior announced the launch of a voluntary public takeover bid to acquire a majority stake in the Spanish student housing company Student Properties Spain SOCIMI, S.A. ("SPS").

SPS is a property investment vehicle specialising in student housing that is structured under the SOCIMI regime and is listed on the Spanish BME Growth market. SPS currently owns a portfolio consisting of 3 state-of-the-art residences at prime locations in some of the most popular student cities in Spain: Madrid, Malaga and Seville (the latter will be completed in Q3 2021). Together these residences have more than 725 beds, which are all rented out under the HUBR brand. This portfolio of properties at prime locations in the most relevant student cities in Spain is a unique opportunity in the current PBSA market.

Important details of the takeover bid:

  • The bid price is up to EUR 2.3417 in cash per share (EUR 2.1042 payable when the takeover bid is agreed, and up to EUR 0.2375 to be withheld by Xior as a guarantee to cover certain contingencies)
  • Equity value: approximately MEUR 58.5
  • More than 95% of the outstanding shares have irrevocably committed to accepting the takeover bid
  • The takeover bid has been postively recommended by SPS management
  • Acceptance threshold of 95%
  • Takeover bid acceptance period of 15 days from the date set in accordance with the terms of the takeover bid
  • If the takeover bid is accepted, Xior will become the main shareholder of SPS
  • SPS remains listed on the BME and retains its Socimi status

SPS assets and the HUBR operating platform

SPS is a property investment vehicle that focuses on investing in student housing that is structured under the special tax regime of 'Sociedades Anónimas Cotizadas de Inversión en el Mercado Inmobiliario' (public listed investment companies in the property market or SOCIMI). It is listed on the Spanish BME Growth market. SPS currently owns a portfolio consisting of 3 ultra-modern residences at prime locations in some of the most popular student cities in Spain: Madrid, Malaga and Seville (the last will be completed in Q3 2021). Together these residences have approximately 725 beds, which are all rented out under the HUBR brand. This portfolio is a unique opportunity in the current PBSA market and consists of unique locations in the most attractive student cities in Spain. The total investment value of this portfolio, including the HUBR brand and operational platform, is approximately MEUR 88 with expected gross returns of approximately 7%. As part of the transaction, net income guarantees were agreed with the sellers for periods of 12 months and 24 months after the closing date for the residences in Malaga and Seville, respectively. In addition, all 3 residences meet the sustainability criteria and have an A energy rating. For more information about SPS, see the SPS website. Xior will continue to operate these 3 residences under the HUBR brand for the time being and will integrate the brand into Xior Spain's marketing strategy later.

Madrid

This residence on Don Ramón de la Cruz 37 was completed in 2018. It has 146 rooms (103 single rooms and 43 double rooms). All rooms have en-suite bathrooms and 11 have their own balcony. The residence includes an impressive roof terrace where students can relax on loungers and enjoy a fantastic panoramic view of the city centre. The residence also has a fully equipped dining room with an attractive catering service by DoEat and plenty of space for students to eat and relax. Common areas such as lounges, conference and study rooms, a fitness room and a games room offer the right environment to encourage the Xior family feeling. Services such as a 24-hour reception, CCTV and a weekly cleaning and linen service make sure that students can enjoy their stay in complete comfort. Madrid Malaga

2.3.3 COVID-19 UPDATE ("CORONAVIRUS CRISIS")

Operations: Although the start of the rental season is different in each country, and the rental season in Spain and Portugal is still in full swing, Xior observed the same trend in all countries: rentals started significantly earlier and higher retention rates were observed everywhere. In short, everywhere rental is ahead of schedule compared to previous years. The demand from international students also remains high, despite the uncertainty surrounding the virus.

Corona or not, students still want to live in their own student room. Not all cities have made their plans clear for the upcoming academic year, but all signs indicate that educational facilities will focus on offering as many physical classes as possible. This is also in the interest of offering students perspective and normalisation.

• Belgium: The rental season for the new academic year always kicks off first in Belgium. Rental normally starts around the end of March, but this year students and parents started looking for student rooms almost a month earlier, at the beginning of March. Retention rates were also even higher than last year. Meanwhile, Ghent and Leuven are fully let and only a few rooms are still available in Antwerp, Brussels and Hasselt. For the total Belgian portfolio, the letting rate at present is already at 93%. Now that final-year high school students know their results and results of the entrance exams will soon be known, the second wave of applicants will traditionally follow and the last available rooms will be gone in no-time. The rental of the newly completed residences Prince in Antwerp and ARC in Liège is also going very well: Prince is already fully let. Meanwhile, Flanders has also decided that higher education will start in colour code green.

• The Netherlands: The Dutch rental season also started slightly earlier than usual, with a higher demand for rooms and already growing waiting lists in various cities. The Woudestein residence in Rotterdam was fully rented out in no time at all: after just 4 hours, 259 international first-year students had managed to get hold of one of these highly sought-after rooms. During this brief period, Xior's booking website experienced a peak of almost 5,000 interested parties who wanted to reserve a room at the same time. Maastricht, a city that is particularly popular with international students, is completely booked, with waiting lists of several hundreds of students. At the moment almost all cities in the Netherlands are fully let and the total letting rate is 99.5%. Rooms that become available again, are re-booked quickly.

According to market research, universities are seeing enrolment applications up by as much as 70% since last year, with Brexit being mentioned as the main reason. Xior expects that these increased registrations will further increase the demand for rooms in a market that is already experiencing a significant shortage of good quality student rooms. This is also demonstrated by the extremely rapid rental of new residences such as Eendrachtskade in Groningen. Eendrachtskade was fully rented out even before its official opening on 1 July 2021.

• Spain & Portugal: In Spain and Portugal, the rental traditionally starts later due to specific allocation and registration procedures, which means that the peak of rental activity (July & August) is now in full swing. But here too, rentals are running very smoothly and ahead of schedule, and Xior is already seeing high booking percentages in all of its Iberian cities, namely 82% in Spain and 76% in Portugal, even though the peak of the rental season in Iberia is far from over. In the new AMRO Malaga residence, too, the reservations of first-time occupants are coming in quickly.

Xior is still vigilant about the safety of its students and operational teams (housekeepers and student coaches) and makes sure that the residents honour the agreements. Xior also intervenes quickly and firmly where necessary (student accommodation parties or inappropriate use of communal areas). In the event of COVID-19 infections in residences, the necessary measures are also taken to implement quarantines, supply the students in question, inform their fellow residents in their corridors or houses, and encourage them to take protective measures (face masks, hand hygiene). In practice, we note that the vast majority of our students are very responsible. Fortunately, Xior can

HUBR operating platform

The operational knowledge of the current HUBR team will guarantee a smooth transition for the students and also for Xior. The HUBR team has successfully opened the residence in Madrid in 2018 and the residence in Malaga in 2021 and operated both ever since. If the takeover bid is accepted, Seville will be also opened successfully with the combined operational expertise of Xior and HUBR. The Xior and HUBR brands complement each other very well in Spain. They also share many qualities: prime locations, high quality and safety standards, a friendly and supportive environment for pursuing academic and personal ambitions, a nutritious catering service of the highest quality and more. Both brands strive to offer students a modern, safe and healthy environment. For more information, see the HUBR website.

New loan with ABN Amro

On 8 July 2021 the Company concluded an additional loan with ABN Amro for MEUR 60. The loan consists of a tranche A of MEUR 20 with a maturity date on 1/10/2024 and a tranche B of MEUR 40 available from 1/10/2021 and maturing on 31/3/2026.

Entry into Uhub Lumiar

On 6 July 2021, the Company acquired 25% of Uhub Lumiar. This is part of the agreement that had already been concluded with Uhub in 2019. As the conditions for entry were met, Xior acquired a 25% interest. Construction work is now underway and it is expected that the property will be completed in 2022, after which Xior will acquire the remaining 75% of the shares.

" On 12 July 2021, Xior announced the launch of a voluntary public takeover bid to acquire a majority stake in the Spanish student housing company Student Properties Spain SOCIMI, S.A. («SPS»)."

Sevilla

2.4 FORECAST FOR THE SECOND HALF OF 2021 2.4.1 GROWTH PROSPECTS FOR THE SECOND HALF OF FINANCIAL YEAR 2021

Xior has every intention of continuing to pursue its growth strategy in 2021 by adding quality student properties to its property portfolio and by completing the projects in its property development pipeline. Although there is currently still uncertainty in the market, Xior remains convinced

that several attractive growth opportunities still remain in Belgium, the Netherlands and Iberia, and that some interesting investment opportunities will arise for Xior in the second half of the year. .

2.4.2 OUTLOOK

Based on the information available today, Xior does not expect any significant change in the projected EPRA earnings for 2021. For financial year 2021, the Company expects EPRA earnings per share of EUR 1.80, which represents an increase of 6% over 2020. It is also setting a target of EUR 1.44 for the gross dividend per share with a minimum payout of 80% (a 6% increase over 2020). This means that Xior is once again expecting an increase in its earnings per share compared to the previous year, despite the fact that the number of shares has increased by 32% during 2020 and 2021, including thanks to the successful capital increase in March 2021. This capital increase is one of the reasons why Xior managed to secure a strong property development pipeline, which will start to contribute fully to earnings and the intended further growth of the portfolio, EPRA earnings and dividends in the course of 2021 and 2022. We also refer to the above-mentioned transactions and achievements of the first half of 2021 (see item 2.3 above) in this context.

Xior expects a debt ratio of between 50% and 55% at the end of 2021 as a result of the continued implementation of the growth strategy.

In 2021 as a whole, Xior is expecting an occupancy rate similar to the current rate.

" Xior has every intention of continuing to pursue its growth strategy in 2021 by adding quality student properties to its property portfolio and by completing the projects in its property development pipeline. "

still report that its students have only experienced isolated cases of infection without any widespread infections within a residence. The reopening of the hospitality industry and further relaxation of rules in all 4 countries have boosted students' mental well-being.

This unprecedented crisis has once again convinced us of the enormous strength of our well-developed, professional organisation, which was able to respond quickly and efficiently and adapt to ever changing circumstances thanks to its scale, knowledge of the local market and enthusiastic employees.

It also strengthens our conviction of the benefits of applying ESG values more than ever in the new normal, such as safe, sustainable and modern buildings, continuing to train our employees in new techniques, and constantly adapting and improving our organisational structure in order to closely monitor and respond appropriately to all developments.

Rent collection: the commercial teams continue to pay extra attention to the collection of rents, and continue to monitor this closely in the 4 countries where Xior operates. The vast majority of rents for H1 2021 have been received and the collection rate is 93% compared to 93% for H1 2020. The local teams continue to pay extra attention to the collection of the remaining rents.

Of course, Xior can't yet fully assess how the virus will evolve and how this will affect the academic year of 2021- 2022. The current rental levels are already indicating that the majority of students, parents and educational institutions are eager to get back to normal on-campus life. When students sign their lease, they are aware that the virus is certainly not gone yet and that new restrictions or measures may always be introduced.

DATA PER SHARE 30/06/2021 31/12/2020 31/12/2019
Number of shares issued 25,255,729 21,046,441 19,133,129
Weighted average number of shares1 23,683,028 19,560,351 14,996,135
Market capitalisation (in EUR) 1,282,991,033 1,033,380,253 966,223,014
Free float2 75.98% 74.60% 74.43%
Share price (closing price) for relevant period (in EUR)
Highest 51.5 61.30 53.30
Lowest 44.65 36.70 38
Average 48.2 49.29 45.60
At year-end 50.8 49.10 50.50
Volume (in number of shares)
Number of shares traded 3,092,227 7,812,361 3,579,057
Average daily volume 24,541 30,398 14,307
Share velocity 13.06% 39.94% 23.87%
NAV (IFRS) (in EUR) 32.79 31.34 32.71
EPRA NAV (in EUR) 35.53 34.87 35.96
Dividend payout ratio N/A 80.00% 81.25%
EPRA earnings per share (in EUR)3 0.74 1.74 1.61
EPRA EPRA earnings per share (in EUR) – group share3 0.73 1.70 1.60
1
2
3
Weighted average number of shares taking account of the dividend entitlements for the relevant shares. Approximate estimate taking account of the known percentages of shareholders who issued a transparency notice (based on the current total number of shares (denominator))
Based on the weighted average number of listed shares, which does not necessarily match the weighted average number of shares entitled to dividends.
Market: Euronext Brussels
Symbol: XIOR

ISIN code: BE0974288202 Trading: Continuous Index: BEL Mid & EPRA Index

Liquidity provider: Van Lanschot Kempen Wealth Management NV

2.5.2 SHAREHOLDERS

As at 30 June 2021, the registered capital of Xior Student Housing NV was EUR 454,603,122, represented by 25,255,729 fully paid-up shares.

The following table illustrates Xior's shareholder structure based on the information received from the shareholders (see also transparency notifications) and/or publicly known information in the case of Aloxe NV.

Shareholder # shares % shares (rounded)
Aloxe NV – Mr C. Teunissen and Mr F. Snauwaert 4,322,449 17.11%1
AXA Investment Managers SA2 1,743,019 9.11%3

1 Based on the transparency notification of 12 December 2018 and publicly available information (including the denominator as at 9 March 2021 (25,255,729)). 2 AXA Investment Managers S.A. makes the transparency notification as the controlling person for AXA Investment Managers Paris S.A., AXA Real Estate Investment Managers S.A. and AXA Real Estate Investment Managers SGP. 3

Based on the transparency notification of 3 April 2020.

2.5 THE XIOR SHARE

2.5.1 THE SHARE ON EURONEXT BRUSSELS

The Xior share (ISIN code BE0974288202) has been listed on the regulated Euronext Brussels market since 11 December 2015. Xior is included in the Bel Mid index, and in the EPRA Index, making Xior the first fully dedicated student housing REIT in continental Europe to be included in the EPRA index.

The closing price at the end of the first half of 2021 was EUR 50.80, which represents a 55% premium compared to the net asset value per share on 30 June 2021 (see also Royal Decree on Regulated Real Estate Companies), which was EUR 32.79 per share. Xior's market capitalisation on Euronext Brussels rose to approximately MEUR 1,283 in the first half of 2021.

Xior share price evolution (in EUR)

RISKS FOR THE REMAINING MONTHS OF 2021 03

" Next to covid-proofing the residences and offices, special attention was also given to the mental well-being of both BRUSSELS students and colleagues."

Oudergemlaan

The Board of Directors and management of Xior are aware of the specific risks associated with the provision and management of a property portfolio, and try to optimally manage these risks by mitigating or neutralising them as far as possible.

For the principal risks and uncertainties for the remaining months of the 2021 financial year, please refer to the description of these risks and uncertainties on pages 12 to 27 of the 2020 Annual Financial Report (available on the Company website, www.xior.be), which remains relevant for the remaining half of 2021. The evolution of COVID-19 is being monitored further, on which we refer you to Chapter 2.3.3 of this Half-Yearly Report.

36 I RISKS FOR THE REMAINING MONTHS OF 2021

PROPERTY REPORT 04

" The property portfolio rises to 1.60 billion, a 3% increase compared to December 2020. If the committed pipeline is realised, the portfolio will increase further to approx. 2.20 billion, with approx. 18,000 lettable office student units. "

Rental LEUVEN

fragmented student housing market, which is now only at the beginning of the cycle. This market still has huge potential and has therefore attracted international players in recent years who have set things thoroughly in motion. Although investments in student housing in Spain and Portugal have risen sharply recently, demand is expected to continue to exceed supply for several years ahead.

This contributes to the growing demand for high-quality, purpose-built student housing. Spain and Portugal are major destinations for international students. Latin American students in particular also see Spain and Portugal as very attractive study destinations. Affordable living, a mild climate and a rich culture and history combined with a strong range of higher education options make these countries very attractive for students. Spain is also one of the top destinations in Europe for students in the Erasmus programme.

STUDENT HOUSING EVOLUTION

The increasing importance of the student housing property sector has also lead to further developments within this sector, so that new operational models and concepts are emerging. Co-living, compact living and co-working have all been on the rise for some time now and are leading to hybrid and flexible concepts where home life, private life, studying and/or working blend seamlessly together, with combinations of long and short stays.

International and Erasmus students often have different needs from domestic students in terms of self-contained and furnished units, flexibility and length of stay. Students are also spending more years in higher education and increasingly students are staying on in their student flat after their studies, for their first working years, or during a doctorate or specialist programme. Xior also responds to this by allocating a small percentage of rooms to short stays and furnishing them as such in the residences where possible. Xior continues to analyse the market in order to respond to market trends. For example, Xior launched its Roxi concept in Brussels in 2019 and has now also opened a second location in Ghent in early 2021. The "ARC" residence was also opened in Liège. This is a coliving concept with spacious rooms that is aimed mainly at young professionals and masters students, and offers

extra services such as a wellness with a sauna, cinema, a sky bar, library and so on.

This student housing property segment is also characterised by growing consolidation and professionalisation. The recent influx of large new student complexes is also a conscious strategy on the part of the cities and educational institutions, in partnership with major developers and institutional investors. This trend will continue in the years ahead.

Educational institutions are also asking for quality student accommodation, better management and maintenance, and affordable rents. They are also increasingly tending to enter into public-private partnerships with the professional property sector in order to increase and improve the supply in their cities. The future lies with well-equipped and affordable student accommodation, under good management. Major professional players such as Xior are taking advantage of this and universities are actively contacting us to complement their academic offering with availability of the right housing.

The number of students in Belgium, the Netherlands, Spain and Portugal is expected to continue to grow over the next few years. This is mainly due to further internationalisation, often driven by coordinated European or international exchange programmes, but also underpinned by the attractiveness of these countries: relatively low educational costs, high-quality universities, English-language courses, the general quality of life and a competitive labour market reinforce their appeal to international students. Generally it is the large student cities and the most popular universities that attract the most international students, with the availability of high quality, reliable student housing being a crucial, decisive factor in attracting foreign students.

4.1 PROPERTY MARKET

4.1.1 THE MARKET IN WHICH XIOR OPERATES

Xior focuses on the student housing market in continental Europe, a market that is characterised by an increasing demand for quality student rooms from both domestic and international students. The student housing market has experienced tremendous professionalisation in recent years, due in part to a continuously growing student population with ever higher expectations and quality requirements. This market is expected to continue to grow in the years ahead due to demographic trends, Brexit, international mobility, the democratisation of higher education and an increase in the average length of study programmes.

Xior has not seen a fall in demand even during the COVID-19 crisis. The student housing sector has once again proven that it is a very crisis-proof sector. The virus has not had a significant impact on the demand for student rooms. On the contrary, this year Xior is experiencing an even higher demand for student rooms in all 4 countries. Covid only partly affected the flow of international students. This was mainly due to ever-changing travel restrictions and limited mobility, but here too Xior is now also seeing demand picking up again. Educational institutions also continue to be anti-cyclical as they keep investing in international mobility and study programmes abroad. The Erasmus budgets have doubled in the last seven years, which will further fuel demand from international students.

BELGIUM

The investment market in Belgium is limited and is mainly in the hands of private investors (large international players are not yet active here). However, as in other European cities, demand will increasingly be driven by high quality accommodation with comprehensive services. Belgium is a very stable market that is characterised by a high demand for rooms from domestic students who make the most of the existing Belgian system of quality higher education to study in their own country. Supply and demand are generally balanced, but the Belgian student housing market continues to grow slightly, mainly due to higher numbers of international students with ever-increasing requirements and expectations for their stay. Consequently, more and more conventional student accommodation is making way to modern student residences with a wide range of extra services and facilities, and an ever-increasing focus on the community aspect.

THE NETHERLANDS

The Netherlands has experienced a strong wave of development of large new student complexes in recent years, which has pushed the market towards maturity. Despite this professionalisation and other developments, there is still a major shortage of student housing in the country. The Netherlands remains an attractive place to study, especially for foreign students. Because of the affordability of education, possible rent subsidies, Englishlanguage programmes and the impact of Brexit, demand for quality student rooms will undoubtedly continue to rise.

Although the largest players, mainly in the Netherlands, are associations, cooperatives and social institutions, this offer is still partly outdated. The private market has taken major steps to offer the quality that students are looking for today.

Student housing is an integral part of housing in both Belgium and the Netherlands, and as the private market leader, Xior can offer a home from home where students can study, relax and enjoy their student years in a safe and healthy environment.

SPAIN AND PORTUGAL

Higher education in Spain and Portugal has seen significant growth, modernisation and internationalisation in recent years. Both countries have a particularly large student population, which includes both international and domestic students. The current range of student accommodation is for the main part unsatisfactory and outdated, considering the numbers of international students and domestic students who study outside their own region.

Both countries are characterised by an immature and

4.2.2 DESCRIPTION AND DIVERSIFICATION OF THE PROPERTY PORTFOLIO

4.2.2.1 General description of the property portfolio

As at 30 June 2021, the Company's property portfolio consisted of 11510 properties. Of these, 58 properties were located in Belgium, 47 in the Netherlands, 5 in Spain and 5 in Portugal. These properties offer a total of 11,466 lettable student rooms and there are retail activities on the ground floor of 14 of these buildings. The property portfolio also includes 2 properties used only for retail activities, Roxi Ghent with 50 units and Roxi Zaventem with 99 units, and a car park in Antwerp. The Company has a number of properties that are currently rented out as office space pending their conversion into student rooms. As at 30 June 2021, the property portfolio had a total occupancy rate of 97,80%. This does not include the buildings that are under construction and are being converted.

Fair value Contracted rental
income as at
31/12/202012
Insured Value Acquisition value
BE
Antwerp 101,579,079 1,733,321 51,773,275 80,193,415
Brussels 141,390,176 5,438,967 58,105,944 130,045,291
Ghent 90,657,707 3,147,387 43,657,479 75,496,991
Leuven 108,908,033 5,736,358 34,323,518 101,339,029
Mechelen 1,952,788 85,052 1,408,700 1,894,000
Hasselt and Liège 48,711,695 836,771 16,527,617 56,574,925
NL
Amstelveen 69,597,729 42,294,903 67,149,434
Amsterdam 123,350,000 5,989,435 50,747,775 113,991,982
Breda 22,733,229 1,465,493 15,166,614 21,236,431

10 Considering the commitments up to and including 30 June 2021, the portfolio consists of 122 properties.

The total fair value of the property portfolio as at 30 June 2021 was KEUR 1,602,28211. The Company is a so-called pure player in student housing, and student property is its core activity. The property portfolio is strategically diversified: its student accommodation is a well-balanced mix in terms of geographical diversification and student property types (see different types of student rooms). The large number of different tenants on the one hand, and of various room types on the other, attracting a wide range of different types of student tenants, also ensures good diversification in terms of tenant types.

4.2.2.2 Breakdown into sub-portfolios

The following summary lists the property portfolio by subportfolio, country and city. Each sub-portfolio shows the fair value, rental income, purchase value and insured value.

The rental income is the annual rent based on the tenancy schedule as at 31 December 202012.

4.2 PROPERTY PORTFOLIO

A summary and description of the Company's property portfolio, including its composition and diversification, is provided below.

4.2.1 PORTFOLIO SUMMARY

Country Rental income as at
30/06/2021 in KEUR
Units – rooms 1 Units – other 1 Fair value 2
Belgium 8,708,093 3,531 207 408,896,226
The Netherlands 18,863,617 5,776 59 720,788,133
Spain 3,761,767 1,094 1 164,124,000
Portugal 1,657,102 894 58,743,000
Under construction – Belgium 158,120 120 66,135,043
Under construction – Portugal 16 17,406,000
To be developed – the Netherlands 1 630,000
To be developed – Spain 10,032,000
To be converted – Belgium 51 18,168,209
To be converted – the Netherlands 2,130,486 1 243,128,758
Total 35,279,185 11,466 285 1,708,051,369

(1) The number of room units quoted refers to the planned number of student units after the planning permission and conversion. The mentioned number of other units refers to the number of current car park spaces. (2) The total fair value estimated by the valuation expert was KEUR 1,708,051 as at 30 June 2021. The consolidated balance sheet included investment properties for an amount of KEUR

1,602,282. The difference is due to a) the real estate related to joint ventures; the full real estate value is included in the table above, but is not shown under the investment property line (KEUR 37,770); b) a number of properties are still under construction/renovation as at 30 June 2021; foreseeable construction costs were taken into account when determining the amount included in the consolidated balance sheet (KEUR 63,288); c) certain structural works will be carried out on a number of properties in the portfolio (renewal of lifts, update of installations, façade works, etc.), for which the amount included in the consolidated balance sheet again takes account of foreseeable costs (KEUR 4,712).

11 This is the fair value as included in the balance sheet of 30 June 2021. We refer to Chapter 4.2.1 for the reconciliation between the value included in the balance sheet and the valuation of the Valuation Expert.

12 The contracted rental income as at 30 June 2021 has been included for properties acquired in the course of 2021.

4.2.2.3 Property portfolio type

The following graph shows the diversification of rental income for each type of property based on the rental income achieved for the respective properties in the property portfolio as at 30 June 2021.

Rental income – diversification by type

The above summary shows the strong focus on student property, which accounts for 91% of rental income. There is also temporary rental income from offices pending their conversion (7%). The 'Other' segment (1% of the portfolio) comprises rental income from other activities, including Roxi in Ghent and the car park in Antwerp.

4.2.2.4 Geographical diversification of the property portfolio

The following graphs show the diversification of the property portfolio by country based on its fair value. The portfolio in the Netherlands includes 47 properties, which represents a total fair value of MEUR 965 or 57% of the entire property portfolio. In Belgium, the portfolio consists of 58 properties with a fair value of MEUR 493 or 29%. The other 14% are located in Spain and Portugal and represent a total of 10 properties and a fair value of MEUR 250. Based on rental income, Belgium represents 25% of the property portfolio, with MEUR 8.8. The Netherlands account for MEUR 21 or 59%. Spain and Portugal account for MEUR 5.4 of rental income, which corresponds to 16%.

Fair value – Diversification by country

Total 1,708,051,369 68,488,845 809,104,075 1,545,160,374
Madrid 95,691,000 3,713,052 26,000,000 73,597,762
Granada 35,722,000 1,700,000 26,000,000 73,400,000
Barcelona 42,743,000 1,672,464 20,339,725 43,594,408
ES
Porto 45,019,000 1,775,000 16,400,000 46,338,062
Lisbon 31,130,000 2,228,000 16,350,000 33,140,488
PT
Wageningen 13,630,000 813,653 10,253,741 13,560,000
Venlo 20,565,053 1,214,459 13,120,019 18,835,267
Vaals 38,532,761 2,260,742 21,315,000 38,500,000
Utrecht 53,546,750 2,588,560 26,596,146 48,356,179
Tilburg 6,170,000 390,603 4,338,542 5,441,826
Rotterdam 118,088,158 1,972,522 27,203,413 75,697,815
Maastricht 138,177,773 7,639,014 114,032,695 128,628,921
Leiden 13,734,638 860,449 13,028,054 12,890,741
Leeuwarden 10,800,000 681,852 11,307,841 10,883,605
Groningen 164,907,404 6,871,470 56,466,004 105,424,037
Enschede 44,044,871 2,071,394 26,747,525 44,046,091
Eindhoven 33,871,968 679,199 14,698,648 42,556,995
The Hague 49,296,929 2,562,811 31,612,061 42,447,455
Delft 43,499,629 2,360,817 19,288,836 39,899,224

Xior Student Housing's property portfolio is insured for a total reconstruction value of MEUR 809, which does not include the land on which the properties are built, compared to a Fair Value of MEUR 1,602 (including land) as at 30 June 2021, i.e. 50% of the Fair Value.

The insurance policies also include additional cover for lost rent if the properties are no longer usable. The lost rent will be paid out until the building has been reconstructed. Xior Student Housing also has civil liability (third party) insurance.

4.2.2.5 Diversification in terms of Fair Value

The following tables show the property portfolio top 10 in terms of Fair Value.

Top 10 Fair value

0 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 6,000,000

At a total amount of EUR 92,933,138, the site located at Hoogeweg 1-3 in Groningen has the highest single Fair Value of the property portfolio. It accounts for 5.44% of the property portfolio's total Fair Value. The Xior Velázquez & Xior Picasso properties in Madrid, and Karspeldreef in Amsterdam are in second and third place in terms of Fair Value. They represent 5.02% and 3.93% of the property portfolio's total Fair Value, respectively.

The RREC's property portfolio includes 115 properties spread across 7 cities in Belgium, 17 cities in the Netherlands, 3 cities in Spain and 2 cities in Portugal. The properties are located in Brussels and the main student cities or towns in Flanders, such as Leuven, Ghent and Antwerp, and the main student cities or towns in the Netherlands, such as Amsterdam, Amstelveen, Breda, The Hague, Tilburg, Maastricht, Eindhoven, Delft, Rotterdam, Utrecht, Venlo, Leiden, Groningen, Leeuwarden, Enschede, Wageningen and Vaals. In Spain, the properties are located in the main student cities especially Barcelona, Madrid and Granada, and the main student cities in Portugal, especially Porto and Lisbon. The locations of the various properties in Belgium, the Netherlands, Spain and Portugal and their representation in the property portfolio in terms of Fair Value and rental income are shown below:

City Fair Value Rental
income
Amstelveen 4% 1%
Amsterdam 7% 7%
Antwerp &
Mechelen 6% 3%
Barcelona 3% 2%
Breda 1% 2%
Brussel 8% 8%
Delft 3% 3%
The Hague 3% 4%
Eindhoven 2% 2%
Enschede 3% 3%
Gent 5% 5%
Granada 2% 2%
Groningen 10% 10%
Leeuwarden 1% 1%
Leiden 1% 1%
Leuven 6% 7%
Lisbon 2% 4%
Maastricht 8% 11%
Madrid 6% 7%
Porto 3% 1%
Rotterdam 7% 4%
Tilburg 0% 1%
Utrecht 3% 4%
Vaals 2% 3%
Venlo 1% 2%
Wageningen 1% 1%
Hasselt & Liège 3% 2%

Representation in terms of Fair Value and rental income

Based on the comments above, we can confirm that the rounded estimated fair value of the part of Xior's property portfolio appraised by Cushman & Wakefield Portugal (5 properties in Portugal) was EUR 76,149,000 (seventy-six million, one hundred and forty-nine thousand euros) as at 30 June 2021.

Based on the comments above, we can confirm that estimated fair value of the part of Xior's property portfolio appraised by CBRE (5 properties in Spain) was EUR 174,156,000 (one hundred and seventy-four million, one hundred and fifty-six thousand euro) as at 30 June 2021.

Yours faithfully,

Stadim Cushman & Wakefield Nederland CBRE Cushman & Wakefield Portugal"

4.2.3 REPORT BY PROPERTY EXPERTS STADIM, CUSHMAN & WAKEFIELD AND CBRE AS AT 30 JUNE 2021

"Dear Sir or Madam,

We are pleased to present our appraisal of the value of the property portfolio of Xior Student Housing NV (Stadim: 58 properties in Belgium and 25 properties in the Netherlands; Cushman & Wakefield Nederland: 20 properties in the Netherlands; Cushman & Wakefield Portugal: 5 properties; and CBRE: 5 properties in Portugal) as at 30 June 2021.

Xior has appointed us, as independent property experts, to determine the investment value and fair value of its property portfolio. The appraisals took into account the comments and definitions stated in the reports as well as the guidelines set out in the International Valuation Standards, issued by the International Valuation Standards Council (IVSC).

IAS 40 defines fair value as the amount for which assets would be transferred between 2 well-informed parties on a voluntary basis and without any special interests, mutual or otherwise. IVSC considers these conditions to be met if the parties observe the aforementioned definition of market value. The market value must in addition be a reflection of the current tenancy agreements, the current gross margin of self-financing (or cash flow), the reasonable assumptions concerning the potential rental income and of the expected costs.

Legal and other documentary charges must be adjusted in this context to reflect the actual market situation. After analysing a large number of transactions, the property experts who act on behalf of listed real estate companies concluded in a working group that as property can be transferred in a variety of ways, the impact of transaction fees on large investment properties on the Belgian market with a value exceeding MEUR 2.5 is limited to 2.5%. The value after fees payable by the purchaser is therefore the fair value plus 2.5% in legal and other charges. The fair value is therefore calculated by dividing the value that includes the transaction fees by 1.025. Properties valued below the MEUR 2.5 threshold, and properties abroad are subject to normal registration duties, so their fair value corresponds with the value that includes the transaction fees payable by the purchaser.

We have acted as independent experts. As property experts, we hold a relevant and accredited qualification and have up-to-date experience with properties of a similar type and similar location to the properties in Xior's property portfolio.

The valuation of the properties took into consideration both the current tenancy agreements and all the rights and obligations arising from these agreements. Each property was valued separately. The valuations do not take account of any potential added value that could be achieved by offering the entire portfolio for sale. Our valuations do not take into account any marketing costs inherent to a transaction, such as agent's fees or advertising costs. In addition to an annual inspection of the properties concerned, our valuations are also based on the information supplied by Xior in relation to the tenancy situation, floor areas, drawings or plans, rental charges and taxes in relation to the specific property, its legal compliance and any environmental pollution. The information provided was assumed to be accurate and complete. Our valuations assume that any non-disclosed information is not of such a nature as to influence the value of the property.

Based on the comments above, we can confirm that the estimated fair value of the part of Xior's property portfolio appraised by Stadim (58 properties in Belgium and 25 in the Netherlands) was EUR 1,183,086,300 (one billion one hundred and eighty-three million, eighty-six thousand, three hundred euro) as at 30 June 2021.

Based on the comments above, we can confirm that the estimated fair value of the part of Xior's property portfolio appraised by Cushman & Wakefield (20 properties in the Netherlands) was EUR 274,660,000 (two hundred and seventy-four million six hundred and sixty thousand euro) as at 30 June 2021.

" Thanks to the rapid response of our best-in-class employees and the crisis-resilience of the education and student housing sectors, Xior was able to maintain, confirm and effectively WAGENINGEN realise its profit expectations."

Costerweg

CONSOLIDATED ABBREVIATED FINANCIAL STATEMENTS FOR THE FIRST HALF YEAR OF 2021 05

5.1 CONSOLIDATED ABBREVIATED PROFIT AND LOSS ACCOUNT

In thousands of EUR 30/06/2021 30/06/2020
I (+) Rental income 35,279 27,499
(+) Rental income 33,834 27,601
(+) Rental guarantees 1,684 458
(+/-) Rent reductions -239 -561
III (+/-) Rent-related expenses -126 -205
Impairments of trade receivables -126 -205
NET RENTAL RESULT 35,153 27,293
V (+) Recovery of rental charges and taxes normally payable by the tenants in
rented properties
6,770 5,962
Recharging of rental charges borne by the owner 6,699 5,891
Calculation of withholding tax and taxes on rented properties 71 71
VII (-) Rental charges and taxes normally payable by the tenants for rented
properties
-7,995 -6,637
Rental charges borne by the owner -7,905 -6,454
Withholding tax and taxes on rented properties -90 -183
VIII (+/-) Other rent-related income and expenditure -21 216
PROPERTY RESULT 33,907 26,834
IX (-) Technical costs -1,605 -1,077
Recurring technical costs -1,636 -1,111
(-) Maintenance -1,338 -885
(-) Insurance premiums -297 -226
Non-recurring technical costs 30 34
(-) Loss/damage cases 30 34
X (-) Commercial costs -346 -139
(-) Advertising -262 -110
(-) Lawyer's fees and legal costs -84 -29
XI (-) Costs and taxes for non-let properties -343 -347
XII (-) Property management costs -2,385 -1,254
(-) External management costs -85 0
(-) Internal management costs -2,300 -1,254
XIII (-) Other property charges -2,610 -1,941
(-) Architects' fees -3 0
(-) Valuation expert fees -143 -255
(-) Other -2,465 -1,686
PROPERTY CHARGES -7,290 -4,758
PROPERTY OPERATING RESULT 26,618 22,076
XIV (-) General company expenses -3,478 -3,155
XV (+/-) Other operating income and costs 84 25
OPERATING RESULT BEFORE RESULT ON PORTFOLIO 23,224 18,945
XVI (+/-) Result from the sale of investment property
(+) Net property sales (sales price – transaction fees)
(-) Book value of sold property
XVIII (+/-) Variations in the fair value of investment property 2,562 -2,362
(+) Positive variations in the fair value of investment properties 4,916 1,368
(-) Negative variations in the fair value of investment properties -2,354 -3,730
XIX (+/-) Other portfolio result -5,238 -12,273
OPERATING RESULT 20,548 4,310
XX (+) Financial income 296 113
(+) Interest and dividends collected 296 113
XXI (-) Net interest costs -3,960 -3,557
(-) Nominal interest paid on loans -2,145 -2,107
(-) Breakdown of the nominal amount of financial debt -216 -155
(-) Costs of permitted hedging instruments -1,599 -1,293
Permitted hedging instruments not subject to hedging accounting, as
defined under IFRS
-1,599 -1,293
XXII (-) Other financial costs -747 -575
(-) Bank costs and other commissions -595 -507
(-) Other -153 -68
XXIII (+/-) Variations in the fair value of financial assets and liabilities 6,664 -8,477
Permitted hedging instruments that are not subject to hedging accounting
as defined under IFRS
6,664 -8,477
Other
FINANCIAL RESULT 2,252 -12,495
XXIV Share in the result of associated companies and joint ventures 174 -479
RESULT BEFORE TAXES 22,974 -8,664
XXV (+/-) Corporate tax -2,113 -408
XXVI (+/-) Exit tax 270 -7
TAXES -1,842 -415
NET RESULT 21,132 -9,079

5.2 CONSOLIDATED COMPREHENSIVE RESULT

In thousands of EUR 30/06/2021 30/06/2020
Net result 21,132 -9,079
Other components of comprehensive income
(+/-) Impact on the fair value of estimated transaction fees and costs resulting from the
hypothetical disposal of investment property
0 0
(+/-) Variations in the effective part of the fair value of permitted cash flow hedging
instruments
0 0
Comprehensive result 21,132 -9,079
Attributable to:
Minority interests 466 69
Group shareholders 20,666 -9,010

5.3 ABBREVIATED CONSOLIDATED BALANCE SHEET

Assets In thousands of EUR 30/06/2021 31/12/2020
I Fixed Assets 1,611,602 1,565,384
A Goodwill
B Intangible assets 84 145
C Investment property 1,602,282 1,555,779
Property available to let 1,484,487 1,410,782
Property developments 117,795 144,998
D Fixed assets for own use 940 971
Fixed assets for own use 940 971
Other
E Financial fixed assets 4,101 4,166
Assets held until maturity 4,000 4,000
Other 101 166
F Financial leasing receivables
G Trade receivables and other assets 135 135
H Deferred taxes – assets 1,126 1,013
I Shareholdings in associated companies and joint ventures,
equity movements
2,934 3,175
II Current assets 59,628 54,932
D Trade receivables 2,003 4,887
E Tax receivables and other current assets 40,267 34,394
Taxes 3,989 2,912
Other 36,278 31,482
F Cash and cash equivalents 5,775 9,911
G Accruals and deferrals 11,583 5,741
Prepaid property charges 5,073 1,845
Accrued rental income not yet due 2,719 259
Other 3,791 3,638
Total assets 1,671,230 1,620,316
Liabilities In thousands of EUR 30/06/2021 31/12/2020
Equity 828,228 659,503
I Equity attributable to parent company shareholders 809,654 641,194
A Capital 451,209 375,441
Issued capital 454,603 378,836
Costs of capital increase -3,394 -3,395
B Issue premiums 437,292 338,065
C Reserves -99,513 -30,310
Statutory reserves
Reserve for the balance of variations in the fair value of property -2,018 43,861
Reserve for the impact on the fair value of the estimated
transaction fees and costs resulting from the hypothetical
disposal of investment property
-34,439 -25,292
Reserve for the balance of the variations in the fair value
of permitted hedging instruments not subject to hedging
accounting as defined under IFRS
-24,509 -15,467
Reserves for the share of profit or loss and unrealised income of
subsidiaries, associates and joint ventures accounted for using
the equity method
Undistributable reserve: reserve for foreseeable losses
-3,494 -1,962
Other reserves 0 0
Earnings carried forward from previous financial years -35,052 -31,449
D Net result for the financial year 20,666 -42,001
II Minority interests 18,574 18,309
Liabilities 843,002 960,813
I Non-current liabilities 665,714 834,196
A Provisions
Pensions
Other
B Non-current financial debts 569,885 733,182
a Credit institutions 458,123 621,392
b Financial leasing 2,513 2,513
c Other 109,249 109,277
C Other non-current financial liabilities 19,866 26,530
Permitted hedging instruments 19,866 26,530
E Other non-current liabilities 23,628 23,333
F Deferred taxes – liabilities 52,335 51,150
a Exit tax 3,160 3,335
b Other 49,175 47,815
II
Current liabilities
177,288 126,618
B
Current financial liabilities
138,511 90,309
a. Credit institution 138,511 90,309
D
Trade payables and other current liabilities
16,599 15,186
Exit tax 0 -108
Other 16,599 15,294
Suppliers 9,103 10,594
Tenants 3,199 663
Taxes, salaries and social security charges 4,297 4,036
E
Other current liabilities
16,139 15,846
Other 16,139 15,846
F
Accruals and deferrals
6,040 5,277
Deferred income 1,422 490
Accrued interest not yet due and other costs 1,719 1,794
Other 2,899 2,993
Total equity and liabilities 1,671,230 1,620,316

5.4 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

Figures in thousands of EUR Capital Issue premiums Reserves Net result for the financial year Minority interests Equity
Balance sheet as at 1 January 2020 342,125 276,440 -16,108 7,968 15,381 625,808
Net appropriation of earnings 2019
Transfer of result on portfolio to reserves -11,110 11,110 -
Transfer of operating result to reserves -7,903 7,903 -
Result for the period -9,079 69 -9,010
Other elements recognised in the comprehensive income
Impact on the fair value of the estimated transaction fees and costs
resulting from hypothetical disposal of investment properties
Variations in the fair value of financial assets and liabilities 7,284 -7,284 -
Issue of new shares -
Capital increase through contributions in kind 7,500 7,500
Costs of issuing new shares and of capital increase -18 -18
Partial allocation of capital to issue premiums -4,581 4,581 -
Put option for minority interests
Dividends -19,495 -19,495
Other reserves -133 -133
Entry into capital XL Fund – minority interests 2,550 2,550
Balance sheet as at 30 June 2020 345,026 281,021 -27,837 -9,010 18,000 607,201
Balance sheet as at 1 January 2021 375,441 338,064 -30,310 -42,001 18,309 659,503
Net appropriation of income 2020 0
Transfer of result on portfolio to reserves -56,557 56,557 0
Transfer of operating result to reserves -3,005 3,005 0
Result for the period 20,666 466 21,131
Other elements recognised in the comprehensive income 0
Impact on the fair value of the estimated transaction fees and costs
resulting from hypothetical disposal of investment properties
0
Variations in the fair value of financial assets and liabilities -9,042 9,042 0
Issue of new shares 178,896 178,896
Capital increase through contributions in kind 0
Costs of issuing new shares and of capital increase -3,900 -3,900
Partial allocation of capital to issue premiums -99,228 99,228 0
Dividends -26,602 -155 -26,757
Adjustment to opening reserves Uhub Entities -598 -598
Other reserves 0 -47 -47
Balance sheet as at 30 June 2021 451,209 437,292 -99,513 20,666 18,574 828,228
Figures in thousands of EUR
Detail of reserves
Reserve for the balance of
variations in the fair value of
property
Reserve for the impact
on the fair value of the
estimated transaction fees
and costs resulting from
the hypothetical disposal of
investment properties
Reserve for the balance of
the variations in the fair value
of permitted hedging instru
ments that are subject to
hedging accounting as defined
under IFRS
Reserve for the share of profit
or loss and unrealised income
of subsidiaries, associated
companies and joint ventures
accounted for using the equity
method
Other reserves
Retained earnings
from previous finan
cial years
Total reserves
Balance sheet as at 1 January 2020 29,530 -22,071 -8,183 - -
-15,384
-16,108
Net appropriation of earnings 7,659 7,659
Transfer of portfolio result to reserves 14,331 -3,221 -11,110 -
Transfer of operating result to reserves
Other elements recognised in the comprehensive income
Impact on the fair value of the estimated transaction fees and costs
resulting from hypothetical disposal of investment properties
Variations in the fair value of financial assets and liabilities -7,284 7,284 -
Issue of new shares
Capital increase through contributions in kind
Costs of issuing new shares and of capital increase
Capital reduction to create an available reserve to cover future losses
Deferred taxes for Dutch properties
Dividends -19,495 -19,495
Other 107 107
Balance sheet as at 30 June 2020 43,861 -25,292 -15,467 - -
-30,939
-27,837
Balance sheet as at 30 June 2020 3.861 NE 2023 740Z
Balance sheet as at 1 January 2021 43,861 -25,292 -15,467 -1,962 -31,449 -30,309
Net appropriation of earnings -41,773 -41,773
Transfer of portfolio result to reserves -45,879 -9,147 -1,532 56,558 0
Transfer of operating result to reserves
Other elements recognised in the comprehensive income
Impact on the fair value of the estimated transaction fees and costs
resulting from hypothetical disposal of investment properties
Variations in the fair value of financial assets and liabilities -9,042 9,042 0
Issue of new shares
Capital increase through contributions in kind
Costs of issuing new shares and of capital increase
Dividends -26,757 -26,757
Other -673 -673
Balance sheet as at 30 June 2021 -2,018 -34,439 -24,509 -3,494 0 -35,052 -99,512
3. Cash flow from financing activities 31,255 172,518
* Change in financial liabilities and financial debts
Increase in financial debts 162,752 189,412
Reduction in financial debts -280,000
Repayment of shareholder loans
*Change in other liabilities
Increase (+)/decrease (-) in other liabilities
Increase (+)/decrease (-) in other debts
Increase in minority interests 265 2,619
* Change in equity
Increase (+)/decrease (-) in capital/issue premiums
Other 174,994
Costs for the issue of shares -18
* Dividend
Dividend for the previous financial year (-) -26,757 -19,495
Increase in cash following mergers/acquisitions 30 374
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD 5,774 18,335

5.5 CONSOLIDATED ABBREVIATED CASH FLOW STATEMENT

in thousands of EUR 30/06/2021 30/06/2020
CASH AND CASH EQUIVALENTS AT THE START OF THE PERIOD 9,911 4,269
1. Cash flow from operating activities 4,305 11,457
Cash flow relating to operations: 15,184 -1,656
Operating result 23,224 4,309
Interest paid -7,322 -3,818
Interest received 0 0
Other 0 0
Corporation tax paid -718 -2,147
Non-cash elements added to/deducted from earnings 2,605 9,405
* Amortisation, depreciation and impairments 99 94
Depreciation/amortisation/impairments (or writebacks) on tangible and
intangible assets
* Other non-cash elements 2,506 9,311
Variations in the fair value of the investment properties 1,393
Other non-cash elements 2,506 7,918
Change in the working capital required: -13,484 3,708
* Change in assets: -8,536 -7,027
* Change in liabilities: -4,948 10,735
2. Cash flow from investment activities -39,726 -170,283
Acquisition of investment property and property developments -35,748 -119,519
Sale of investment property
Purchase of shares in real estate companies -4,277 -50,505
Sale of shares in real estate companies
Acquisition of other fixed assets -7 -259
Acquisition of non-current financial assets
Receipts from trade receivables and other non-current assets 306
Assets held for sale

5.6 NOTES

5.6.1 FINANCIAL REPORTING PRINCIPLES – GENERAL

Xior Student Housing NV is a public Regulated Real Estate Company (RREC) that is subject to Belgian law and has its registered office in Antwerp.

This interim financial information for the period ending on 30 June 2021 was drawn up in accordance with IAS 34 "Interim Financial Reporting". This interim report must be read together with the financial statement for the financial year ending 31 December 2020. In the first half of 2021, Xior did not include any new IFRS standards or interpretations in its principles, and the valuation rules applied for the preparation of the interim financial information are identical to those applied for the financial year ending 31 December 2020.

These figures include Xior Student Housing NV and its subsidiaries (the "Group").

No statutory half-yearly financial report was prepared as at 30 June 2021. Statutory financial statements are only prepared at year-end.

5.6.2 CONSOLIDATION

The figures published in this Half-Year Report represent consolidated figures; subsidiaries have been consolidated in accordance with the relevant legislation.

5.7 SEGMENT INFORMATION

The segmentation basis for reporting by segment is by geographic region. The rental income is broken down by geographic location: Belgium, the Netherlands and Iberia (Spain and Portugal). Every location is broken down further into students and other. Commercial decisions are taken at this level, and rental income and occupancy rate are tracked at this level.

  • The unallocated amounts category includes all expenses that cannot be allocated to a segment.
  • Only the net rental income and the portfolio earnings are broken down by segment on the income statement.
As at 30/06/2021
Belgium The Netherlands Iberia Non
in thousands of EUR Students Other Students Other Students Other allocated
amounts
Total
Net rental result 7,870 1,010 17,892 3,085 5,257 39 35,153
Property result -1,246 33,907
Property charges -7,290 -7,290
Property operating result 26,618
Overheads -3,478 -3,478
Other operating income and costs 84 84
Operating result before result on the
portfolio
23,224
Result from the sale of investment
property
0
Variations in the fair value of
investment property
-305 -10 1,875 -50 1,052 0 2,562
Other portfolio result -4,984 0 -477 0 223 0 -5,238
Operating result 20,548
Financial result 2,252 2,252
Share in earnings of associated
companies and joint ventures
174
Result before taxes 22,974
Taxes -1,842 -1,842
Net result 21,132
EPRA earnings 17,510 17,510
Result on the portfolio -5,289 -10 1,398 -50 1,275 0 0 -2,676
Total assets 421,284 18,023 811,544 119,837 231,595 0 68,948 1,671,230
Investment property 421,284 18,023 811,544 119,837 231,595 0 1,602,282
Other assets 68,948 68,948
Total liabilities and equity 1,671,230 1,671,230
Equity 828,228 828,228
Liabilities 843,002 843,002

As at 30/6/2020
Belgium The Netherlands Iberia Non
in thousands of EUR Students Other Students Other Students Other allocated
amounts
Total
Net rental result 6,236 650 14,582 2,404 3,403 18 27,293
Property result -459 26,834
Property charges -4,758 -4,758
Property operating result 22,076
Overheads -3,155 -3,155
Other operating income and costs 25 25
Operating result before result on the
portfolio
18,945
Result from the sale of investment
property
0
Variations in the fair value of
investment property -888 2 819 -20 -2,275 0 -2,362
Other portfolio result -2,831 0 -3,983 0 -5,394 -65 -12,273
Operating result 4,310
Financial result -12,495 -12,495
Share in earnings of associated
companies and joint ventures
-479 -479
Result before taxes -8,664
Taxes -415 -415
Net result -9,079
EPRA earnings 14,258 14,258
Result on the portfolio -3,719 2 -3,164 -20 -7,669 -65 0 -14,635

As at 31/12/2020

Belgium The Netherlands Iberia Non
in thousands of EUR Students Other Students Other Students Other allocated
amounts
Total
Total assets 405,666 18,159 793,133 108,166 230,656 0 64,536 1,620,316
Investment property 405,666 18,159 793,133 108,166 230,656 0 1,555,780
Other assets 64,536 64,536
Total liabilities and equity 1,620,316 1,620,316
Equity 659,503 659,503
Liabilities 960,813 960,813

5.8 ALTERNATIVE PERFORMANCE MEASURES (APMS)

I. GLOSSARY OF THE ALTERNATIVE PERFORMANCE MEASURES (APMS) USED BY XIOR STUDENT HOUSING

APM name Definition Use
EPRA earnings Net result +/- variations in the fair value of
investment property +/- other portfolio result
+/- result from the sale of investment property
+/- variations in the fair value of financial assets
and liabilities +/- deferred taxes arising from IAS
40 adjustments
Measuring the results of the strategic operating
activities, excluding variations in the fair value of
the investment property, other portfolio result, the
earnings from the sale of investment property
and variations in the fair value of financial assets
and liabilities and deferred taxes arising from IAS
40. This indicates the extent to which dividend
payments are covered by earnings.
EPRA earnings after IFRIC 21
adjustment
Net result +/- variations in the fair value of
investment property +/- other portfolio result
+/- result of the sale of investment property +/-
variations in the fair value of financial assets
and liabilities +/- deferred taxes arising from
IAS 40 +/- the impact of IFRIC 21 divided over
4 quarters.
Measuring the result of the strategic operating
activities, excluding changes in the fair value of
investment property, other portfolio result, result
from the sale of investment property and changes
in the fair value of financial assets and liabilities,
deferred taxes arising from IAS 40 and adjusted for
the impact of IFRIC 21. This indicates the extent to
which dividend payments are covered by earnings.
Result on the portfolio Result from the sale of investment property +/-
variations in the fair value of investment property
+/- other portfolio result
Measuring the realised and unrealised gain/loss
on investment property
Average interest rate Interest charges including IRS interest expense,
divided by the average outstanding debt during
the period
Measuring the average debt interest cost to
allow a comparison with peers and analysis of
trends over time
Average interest rate excluding
IRS interest charges
Interest charges excluding IRS interest charges
divided by the average outstanding debt during
the period
Measuring the average debt interest cost to
allow a comparison with peers and analysis of
trends over time
Average financing costs Interest costs including IRS interest expense
+ arrangement fees and commitment fees,
divided by the average outstanding debt during
the period
Measuring the average financing costs to allow
a comparison with peers and analysis of trends
over time
Average financing cost
excluding IRS interest charges
Interest costs excluding IRS interest expense
+ arrangement fees and commitment fees,
divided by the average outstanding debt during
the period
Measuring the average financing costs to allow
a comparison with peers and analysis of trends
over time
EPRA earnings per share Net result +/- result of the sale of investment
property +/- variations in the fair value of
investment property +/- other portfolio result +/-
variations in the fair value of financial assets and
liabilities +/- deferred taxes arising from IAS 40
adjustments, divided by the average number of
shares
Comparability with other RRECs and international
property players
APM name Definition Use
EPRA earnings per share after
IFRIC 21 adjustment
The net result +/- result of the sale of investment
property +/- changes in the fair value of investment
property +/- other portfolio result +/- changes in
the fair value of financial assets and liabilities +/-
deferred taxes arising from IAS 40 adjustments
+/- IFRIC 21 adjustment, divided by the average
number of shares
Comparability with other RRECs and international
property players
EPRA NAV This is the NAV that has been adjusted to include
real estate and other investments at their fair value
and to exclude certain items that are not expected
to materialise in a business model with long-term
investment property.
Comparability with other RRECs and international
property players
EPRA NNNAV EPRA NAV adjusted to take into account (i) the
fair value of the financial instruments, (ii) the fair
value of debts and (iii) the deferred taxes.
Comparability with other RRECs and international
property players
EPRA
Net Reinstatement Value
(NRV)
Assumes that entities never sell property and
aim to show the value needed to rebuild the
property.
Comparability with other RRECs and international
property players. The EPRA NAV metrics make
adjustments to the NAV as per the IFRS financial
statements, to provide stakeholders with the
most relevant information about the fair value of
a property company's assets and liabilities under
various scenarios.
EPRA
Net Tangible Asset (NTA)
EPRA Net Tangible Assets assumes that entities
buy and sell assets, causing certain levels of
unavoidable deferred tax to crystallise.
Comparability with other RRECs and international
property players. The EPRA NAV metrics make
adjustments to the NAV as per the IFRS financial
statements, to provide stakeholders with the
most relevant information about the fair value of
a property company's assets and liabilities under
various scenarios.
EPRA
Net Disposal Value (NDV)
Represents the shareholder value in a "sell
off scenario", in which deferred tax, financial
instruments and certain other adjustments are
calculated to their fullest extent, after deduction
of the resulting tax.
Comparability with other RRECs and international
property players. The EPRA NAV metrics make
adjustments to the NAV as per the IFRS financial
statements, to provide stakeholders with the
most relevant information about the fair value of
a property company's assets and liabilities under
various scenarios.
EPRA Net Initial Yield (NIY) Annualised gross rental income based on the
current rent on the closing date excluding the
property charges divided by the portfolio market
value plus the estimated transaction rights
and costs in case of hypothetical disposal of
investment property.
Comparability with other RRECs and international
property players.
EPRA Adjusted Net Initial Yield
(Adjusted NIY)
This measure integrates an adjustment of the
EPRA NIY for the end of rent-free periods or
other non-expired rental incentives.
Comparability with other RRECs and international
property players.
APM name Definition Use
EPRA Rental Vacancy Estimated Rental Value of vacant units divided by
the Estimated Rental Value of the total portfolio.
Comparability with other RRECs and international
property players.
EPRA Cost Ratio (including
vacancy costs)
EPRA costs (including vacancy costs) divided by
the gross rental income, less the rent still to be
paid on rented land
Comparability with other RRECs and international
property players
EPRA Cost Ratio (excluding
vacancy costs)
EPRA costs (excluding vacancy costs) divided by
the gross rental income, minus the rent still to be
paid on rented land
Comparability with other RRECs and international
property players
Financial Result (excl.
variatons in the fair value of
financial assets and liabiltiies)
Financial result corrected before variations in
the fair value of financial assets and liabilities.
Comparability with other RRECs and international
property players.

Alternative Performance Measures (APMs): reconciliation tables

Figures in thousands of EUR

EPRA earnings 30/06/2021 30/06/2020
Net result 21,132 -9,079
Variations in the fair value of the investment properties -2,562 2,362
Other portfolio result 5,238 12,273
Result from the sale of investment property 0 0
Variations in the fair value of financial assets and liabilities -6,838 8,956
Deferred taxes arising from IAS 40 540 -254
EPRA earnings 17,510 14,258
EPRA earnings – group share 17,208 13,995
EPRA earnings after IFRIC 21 adjustment 30/06/2021 30/06/2020
Net result 21,132 -9,079
Variations in the fair value of the investment properties -2,562 2,362
Other portfolio result 5,238 12,273
Result from the sale of investment property 0 0
Variations in the fair value of financial assets and liabilities -6,838 8,956
Deferred taxes arising from IAS 40 540 -254
EPRA earnings 17,510 14,258
IFRIC 21 impact 1,557 1,143
EPRA earnings after IFRIC 21 adjustment 19,067 15,401
EPRA earnings after IFRIC 21 adjustment – group share 18,765 15,138
Result on the portfolio 30/06/2021 30/06/2020
Result from the sale of investment property 0 0
Variations in the fair value of the investment properties 2,562 -2,362
Other portfolio result -5,238 -12,273
Result on the portfolio -2,676 -14,635
Average interest rate 30/06/2021 31/06/2020
Nominal interest paid on loans 2,144 2,107
Costs of permitted hedging instruments 1,599 1,293
Capitalised interest 2,541 1,469
Average outstanding debt during the period 767,353 563,993
Average interest rate 1.64% 1.73%
Average interest rate excl. costs of permitted hedging instruments 1.22% 1.27%
Average financing costs 30/06/2021 30/06/2020
Nominal interest paid on loans 2,144 2,107
Costs of permitted hedging instruments 1,599 1,293
Capitalised interest 2,541 1,469
Breakdown of the nominal amount of financial debt 216 155
Bank costs and other commissions 747 575
Average outstanding debt during the period 767,353 563,993
Average financing costs 1.89% 1.99%
Average financing costs excl. costs of permitted hedging instruments 1.47% 1.53%
EPRA earnings per share 30/06/2021 30/06/2020
Net result 21,132 -9,079
Variations in the fair value of the investment properties -2,562 2,362
Other portfolio result 5,238 12,273
Result from the sale of investment property 0 0
Variations in the fair value of financial assets and liabilities -6,838 8,956
Deferred taxes arising from IAS 40 540 -254
Weighted average number of shares 23,683,028 19,295,291
EPRA earnings per share 0.74 0.74
IFRIC 21 impact 1,557 1,143
EPRA earnings per share after IFRIC 21 adjustment 0.81 0.80
EPRA earnings per share after IFRIC 21 adjustment – group share 0.79 0.78
EPRA cost ratio 30/06/2021 31/06/2020
Overheads 3,478 3,155
Impairments on trade receivables 126 205
EPRA cost ratio 30/06/2021 31/06/2020
Overheads 3,478 3,155
Impairments on trade receivables 126 205
Property charges 7,290 4,758
EPRA cost (incl. vacancy costs) 10,894 8,118
Vacancy costs 343 347
EPRA costs (excl. vacancy costs) 10,551 7,771
Gross rental income 35,279 27,499
EPRA cost ratio (incl. vacancy costs) 30.9% 29.5%
EPRA cost ratio (excl. vacancy costs) 29.9% 28.3%
IFRIC 21 impact 1,557 1,143
EPRA cost ratio (incl. vacancy costs) after IFRIC 21 adjustment 26.5% 25.4%
EPRA cost ratio (excl. vacancy costs) after IFRIC 21 adjustment 25.5% 24.1%
EPRA NAV
As at 30/06/2021 EPRA NRV EPRA NTA EPRA NDV EPRA NAV EPRA NNNAV
IFRS equity attributable to
shareholders excluding minority
interests 809,654 809,654 809,654 809,654 809,654
Minority interests XXXXXXXXXXX XXXXXXXXXXX XXXXXXXXXXX 18,574 18,574
DEDUCT
Deferred taxes in relation to FV
gains of IP
49,175 49,175 XXXXXXXXXXX 49,175 XXXXXXXXXXX
FV of financial assets 19,866 19,866 XXXXXXXXXXX 19,866 XXXXXXXXXXX
Intangible fixed assets on IFRS BS XXXXXXXXXXX 84 XXXXXXXXXXX XXXXXXXXXXX XXXXXXXXXXX
ADD
FV of fixed-income debts XXXXXXXXXXX XXXXXXXXXXX 790 XXXXXXXXXXX XXXXXXXXXXX
Taxes on the transfer of real estate 96,854 nvt XXXXXXXXXXX XXXXXXXXXXX XXXXXXXXXXX
NAV 975,549 878,611 810,444 897,269 828,228
Fully diluted number of shares 25.255.729 25.255.729 25.255.729 25.255.729 25.255.729
NAV per share 38.63 34.79 32.09 35.53 32.79
NAV per share – group share 38.63 34.79 32.09 34.79 32.06
Additional deferred tax, note if option (i) or (ii) is
chosen
Fair value % of total portfolio % of deferred tax
excluded
Portfolio that is subject to deferred taxes and
intended to be held and not sold in the long term.
1,602,282 100 100
Portfolio subject to partial deferred tax and tax
structuring
0 0 0
As at 31/12/2020 EPRA NRV EPRA NTA EPRA NDV EPRA NAV EPRA NNNAV
IFRS equity attributable to
shareholders excluding minority
interests 641,194 641,194 641,194 641,194 641,194
Minority interests XXXXXXXXXXX XXXXXXXXXXX XXXXXXXXXXX 18,309 18,309
DEDUCT
Deferred taxes related to FV
earnings on IP
47,815 47,815 XXXXXXXXXXX 47,815 XXXXXXXXXXX
FV of financial assets 26,530 26,530 XXXXXXXXXXX 26,530 XXXXXXXXXXX
Intangible fixed assets on IFRS BS XXXXXXXXXXX 145 XXXXXXXXXXX XXXXXXXXXXX XXXXXXXXXXX
ADD
FV of fixed-income debts XXXXXXXXXXX XXXXXXXXXXX -7,027 XXXXXXXXXXX XXXXXXXXXXX
Taxes on the transfer of real estate 95,508 nvt XXXXXXXXXXX XXXXXXXXXXX XXXXXXXXXXX
NAV 811,047 715,394 648,221 733,848 659,503
Fully diluted number of shares 21,046,441 21,046,441 21,046,441 21,046,441 21,046,441
NAV per share 38.54 33.99 30.80 34.87 31.34
NAV per share – group share 38.54 33.99 30.80 34.00 30.47
Fair value % of total portfolio % excl. deferred taxes
Portfolio that is subject to deferred taxes and
intended to be held and not sold in the long term.
1,555,779 100 100
Portfolio subject to partial deferred tax and tax
structuring
0 0 0

5.9 OTHER NOTES

Due to rounding to thousands, rounding differences may arise between the balance sheet, income statement and the attached details.

5.9.1 PROPERTY RESULT

Figures in thousands of EUR 30/06/2021 30/06/2020
(+) Rental income 35,279 27,498
- Rent 33,834 27,601
- Rental guarantees 1,684 458
- Rent reductions -239 -561
(+) Writeback of carried over and discounted rental income
(+/-) Rent-related expenses -126 -205
Net rental income 35,153 27,293
(+) Recovery of property charges
(+) Recovery of rental charges and taxes normally payable by the tenants
for rented properties
6,770 5,962
(-) Costs of tenants and borne by the landlord for rental damage and
refurbishment at the end of the tenancy
0 0
(-) Rental charges and taxes normally payable by the tenants for rented
properties
-7,995 -6,637
(+/-) Other rent-related income and expenditure -21 216
Property result 33,907 26,834

Rent-related expenses include impairments recorded on rent receivables.

Figures in thousands of EUR 30/06/2021 30/06/2020
Summary of rental income that could cease to exist in future
Within one year 30,737 24,465
Between 1 and 5 years 1,549 1,462
More than 5 years 1,548 1,675
Total 33,834 27,601

The above table shows how much of the rental income earned in the first half of 2021 could theoretically cease to exist in future if the current tenants gave notice of termination on the next contractually permitted date and no new tenant was found.

Most of Xior Student Housing NV's tenancy agreements are short-term contracts for letting student units. These contracts are typically concluded for a one-year period, after which they may be extended. Xior also tries to conclude long-term contracts with colleges or universities for some

of the rooms in its portfolio. Please find below a list of Xior's main rental and guarantee contracts with universities or colleges:

University City End date
RENTAL CONTRACT
Saxion Hogescholen Enschede 31/07/2026
Saxion Hogescholen Enschede 31/08/2027
Saxion Hogescholen Enschede 28/02/2029
Saxion Hogescholen Enschede 30/04/2022
Saxion Hogescholen Enschede 31/08/2027
Universiteit Maastricht Maastricht
Universiteit Maastricht Maastricht 2021/2031
Stichting Studenten Huisvesting (SSH) Maastricht 2037
Stichting Veste Maastricht 31/07/2029
Stichting Regionaal Opleidingen Centrum van Twente Enschede 31/03/2030
Stichting Regionaal Opleidingen Centrum van Twente Enschede 31/07/2030
Saxion Hogescholen Enschede 30/04/2029
Hogeschool Gent Ghent 1/09/2041
Amro Estudiantes Granada 17/06/2022
GUARANTEE CONTRACT City End date
Vrije Universiteit (VU) Amsterdam 31/08/2022
Hogeschool Zuyd Maastricht 31/07/2022
Hogeschool Zuyd Maastricht 31/07/2022
Rotterdam School of Management (RSM) Rotterdam 31/12/2021
Hogeschool Utrecht Utrecht 31/03/2023
Navitas Enschede 31/05/2024
Universiteit Twente Enschede 27/07/2022

Xior Student Housing NV has several other types of tenancy agreements that are also long-term. These are mainly tenancy agreements for the commercial properties, which typically have terms that exceed 1 year. The term of these contracts generally varies from 3 to 10 years. In the course of 2017, Xior acquired a number of office properties for conversion. A number of these properties will be temporarily rented out as offices pending their redevelopment into student accommodation. The term of these contracts varies from 1 to 5 years.

Rents are paid monthly in advance. Certain propertyrelated costs, such as utility costs, taxes and levies and the communal costs are also charged to the tenant. Tenants pay a fixed monthly advance payment for these, with an annual reconciliation, or a fixed annual amount may be charged to cover these costs. In order to guarantee that tenants comply with their obligations, a rental guarantee of at least 1 month's rent, and in most cases 2 months' rent, is charged. This is usually paid in cash and shown on the balance sheet under other short-term liabilities.

5.9.2 RESULT ON THE PORTFOLIO

Figures in thousands of EUR 30/06/2021 30/06/2020
(+/-)
Result from the sale of investment properties
0 0
(+/-)
Result from the sale of other non-financial assets
0 0
(+/-)
Variations in the fair value of investment property
2,562 -2,362
- Positive variations in the fair value of investment properties 4,916 1,368
- Negative variations in the fair value of investment properties -2,354 -3,730
- Positive variations of the estimated transaction fees and costs
resulting from the hypothetical disposal of investment properties
0 0
- Negative variations of the estimated transaction fees and costs
resulting from the hypothetical disposal of investment properties
0 0
(+/-)
Other portfolio result
-5,238 -12,273
Result on the portfolio -2,676 -14,635

Properties were acquired through share acquisitions in the first half of 2021. However, a final purchase price settlement was paid for certain historical acquisitions. The impact of this was also reflected in other portfolio results.

  • The difference between the fair value and the negotiated value of the properties acquired is posted as "variations in the fair value of investment properties" on the income statement.
  • For properties purchased through share acquisitions, the difference between the properties' book value and negotiated value and any other sources of discrepancies

between the fair value and the negotiated value of the shares are processed as "other portfolio earnings " on the income statement. These "other portfolio earnings " relate to amounts arising from the application of the consolidation principles and merger transactions, and consists of the differences between the price paid for real estate companies and the Fair Value of the acquired net assets. These "other portfolio earnings " also cover directly attributable transaction fees.

• The variation in Fair Value between 1 January 2021 and 30 June 2021 was posted as negative or positive variations under investment property.

5.9.3 FINANCIAL RESULT

Figures in thousands of EUR 30/06/2021 30/06/2020
(+) Financial income 296 113
(-) Net interest expense -3,960 -3,557
- Nominal interest paid on loans -2,144 -2,107
- Breakdown of the nominal amount of financial debt -216 -155
- Costs of permitted hedging instruments -1,599 -1,293
(-) Other financial costs -747 -575
- Bank costs and other commissions -595 -507
- Other -152 -68
(+/-) Variations in the fair value of financial assets and liabilities
- Market value of interest rate swaps 6,664 -8,477
- Share in the earnings of joint ventures 174 -479
Financial result 2,427 -12,975

The average interest rate 13 was 1.64% (1.22% excluding hedging instruments) as at 30 June 2021, compared to 1.73% as at 30 June 2020. The average financing cost was 1.89% as at 30 June 2021, compared to 1.99% as at 30 June 2020.

The Company is subject to fluctuations in interest rates, because most long-term liabilities were negotiated based on variable interest rates. An increase in the interest rate can therefore cause an increase in the interest charges. As at 30 June 2021, 88% of drawn down loans were hedged with IRS contracts or were concluded at fixed interest rates.

The derivatives used by Xior Student Housing NV do not qualify as hedging transactions. As a result, the changes in their fair value are included in the income statement immediately.

5.9.4 INVESTMENT PROPERTY

Figures in thousands of EUR

Investment table Investment property in
operation
Property developments Total
Balance on 01/01/2020 1,111,685 79,106 1,190,791
Acquisition of real estate companies through
purchase or contributions
287,157 59,173 336,185
Other CAPEX investments 23,691 51,776 75,467
Purchases and received contributions of
investment property
Sale of investment property
Capitalised interest charges 1,947 1,838 3,785
Change to the fair value -44,446 -6,002 -50,448
Transfer from/to 40,893 -40,893 0
Balance on 31/12/2020 1,410,782 144,998 1,555,780
Acquisition of real estate companies through
purchase or contributions
0 5,400 5,400
Other CAPEX investments 19,675 16,324 35,999
Purchases and received contributions of
investment property
Sale of investment property
Capitalised interest charges 1,239 1,302 2,541
Change to the fair value 2,976 -414 2,562
Transfer from/to 49,815 -49,815 0
Balance as at 30/06/2021 1,484,487 117,795 1,602,282

13 For the calculation of the APMs, please refer to Chapter 5.8 of this Half-Yearly Report.

5.9.5 CAPITAL

Figures in EUR Previous capital
(EUR)
Capital increase
(EUR)
New capital (EUR) Previous number of
shares
New number of
shares
Fractional value
(EUR)
Development of capital
Date Transaction
10/03/2014 Incorporation of company 20,000.00 20,000.00 200.00 100.00
23/09/2015 Capital increase 20,000.00 1,230,000.00 1,250,000.00 200.00 12,500.00 100.00
23/11/2015 Share split 1,250,000.00 1,250,000.00 12,500.00 42,500.00 29.41
11/12/2015 Sister company mergers 1,250,000.00 23,328,937.02 24,578,937.02 42,500.00 975,653.00 25.19
11/12/2015 Capital increase by way of contribution in kind, as a result of the Share Contribution 24,578,937.02 3,256,783.01 27,835,720.03 975,653.00 1,105,923.00 25.17
11/12/2015 Mergers by acquisition 27,835,720.03 3,696,060.08 31,531,780.11 1,105,923.00 1,253,764.00 25.15
11/12/2015 Capital increase below fractional value via cash contributions for the issue of new shares 31,531,780.11 58,710,898.28 90,242,678.39 1,253,764.00 4,626,780.00 19.50
11/12/2015 Capital reduction to create a reserve to cover foreseeable losses 90,242,678.39 -6,960,638.39 83,282,040.00 4,626,780.00 4,626,780.00 18.00
1/03/2016 Merger with Devimmo 83,282,040.00 4,151,826.00 87,433,866.00 4,626,780.00 4,857,437.00 18.00
1/08/2016 Merger with CPG 87,433,866.00 1,320,948.00 88,754,814.00 4,857,437.00 4,930,823.00 18.00
11/10/2016 Woonfront Tramsingel BV contribution in kind 88,754,814.00 6,114,204.00 94,869,018.00 4,930,823.00 5,270,501.00 18.00
17/01/2017 KVS project contribution in kind 94,869,018.00 2,669,976.00 97,538,994.00 5,270,501.00 5,418,833.00 18.00
22/06/2017 Capital increase 97,538,994.00 48,769,488.00 146,308,482.00 5,418,833.00 8,128,249.00 18.00
26/03/2018 Enschede project contribution in kind 146,308,482.00 9,317,304.00 155,625,786.00 8,128,249.00 8,645,877.00 18.00
12/06/2018 Capital increase 155,625,786.00 77,812,884.00 233,438,670.00 8,645,877.00 12,968,815.00 18.00
12/12/2018 All-In Annadal BV contribution in kind 233,438,670.00 14,400,000.00 247,838,670.00 12,968,815.00 13,768,815.00 18.00
4/06/2019 Optional dividend 247,838,670.00 2,702,574.00 250,541,244.00 13,768,815.00 13,918,958.00 18.00
13/06/2019 Stratos KVK NV contribution in kind 250,541,244.00 7,756,002.00 258,297,246.00 13,918,958.00 14,349,847.00 18.00
27/10/2019 Capital increase 258,297,246.00 86,099,076.00 344,396,322.00 14,349,847.00 19,133,129.00 18.00
18/06/2020 Capital increase through contributions in kind 344,396,322.00 2,918,916.00 347,315,238.00 19,133,129.00 19,295,291.00 18.00
7/10/2020 Contribution in kind Patrimmonia Couronne – Franck NV 347,315,238.00 11,835,702.00 359,150,940.00 19,295,291.00 19,952,830.00 18.00
25/11/2020 Capital increase 359,150,940.00 19,684,998.00 378,835,938.00 19,952,830.00 21,046,441.00 18.00
9/03/2021 Capital increase 378,835,938.00 75,767,184.00 454,603,122.00 21,046,441.00 25,255,729.00 18.00

Evolution in issue premiums

Date Transaction Issue premiums
31/12/2015 25,615
1/03/2016 Merger with Devimmo 1,615
1/08/2016 Merger with CPG 514
11/10/2016 Woonfront contribution in kind 4,517
17/01/2017 KVS project contribution in kind 2,394
22/06/2017 Capital increase 35,222
26/03/2018 Enschede project contribution in kind 8,800
12/06/2018 Capital increase 53,332
12/12/2018 All-In Annadal contribution in kind 15,230
4/06/2019 Optional dividend 3,378
13/06/2019 Stratos KVK NV contribution in kind 10,241
27/10/2019 Capital increase 115,582
18/06/2020 Capital increase through contributions in kind 4,581
7/10/2020 Patrimmonia Couronne – Franck NV contribution in kind 22,047
25/11/2020 Capital increase 34,996
9/03/2021 Capital increase 99,227
Total issue premiums as at 30/06/2021 437,291
Undistributable issue premiums 298,447
Available issue premiums 138,844

5.9.6 EARNINGS PER SHARE

30/06/2021 30/06/2020
Number of ordinary shares in circulation 25,255,729 19,295,291
Weighted average number of shares 23,683,028 19,295,291
Net earnings per ordinary share (in EUR) 0.89 -0.47
Diluted net earnings per ordinary share (in EUR) 0.89 -0.47
EPRA earnings per share (in EUR) 0.74 0.74
EPRA earnings per share (in EUR) after IFRIC 21 adjustment 0.81 0.80
EPRA earnings per share (EUR) group share 0.73 0.73
EPRA earnings per share (in EUR) after IFRIC 21 adjustment – group share 0.79 0.78

5.9.7 OTHER NON-CURRENT FINANCIAL LIABILITIES

The other non-current financial liabilities totalled KEUR 19,866 as at 30 June 2021. They relate to the market value of the outstanding interest rate swap (IRS) agreements as at 30 June 2021.

IFRS classification Level (IFRS) Notional amount Interest rate (as %) Expires on Fair value liabilities
Interest Rate Swap 2 45,000,000 0.65 30/12/2027 -2,190,275.91
Interest Rate Swap 2 52,000,000 0.397 31/12/2030 -1,698,060.00
Interest Rate Swap 2 18,000,000 0.59 30/12/2024 -636,821.00
Interest Rate Swap 2 25,000,000 0.7 1/04/2025 -1,077,378.00
Interest Rate Swap 2 12,500,000 0.09 30/09/2026 -239,216.00
Interest Rate Swap 2 12,500,000 0.14 28/09/2029 -192,238.00
Interest Rate Swap 2 43,000,000 0.391 31/12/2029 -356,107.00
Interest Rate Swap 2 24,750,000 0.785 7/02/2029 -1,488,560.00
Interest Rate Swap 2 30,000,000 0.413 9/08/2029 -1,251,829.38
Interest Rate Swap 2 48,000,000 0.416 9/11/2027 -1,985,111.56
Interest Rate Swap 2 22,000,000 0.9765 30/06/2028 -1,783,679.26
Interest Rate Swap 2 25,000,000 0.185 11/12/2028 -882,402.50
Interest Rate Swap 2 25,000,000 1.01 31/12/2029 -2,292,111.03
Interest Rate Swap 2 25,000,000 1.1225 31/12/2030 -2,664,726.05
Interest Rate Swap 2 25,000,000 0.895 30/06/2027 -1 837,851.57
Interest Rate Swap 2 32,500,000 0.195 24/06/2025 -372,484.01
Interest Rate Swap 2 32,500,000 0.195 24/06/2025 -372,484.01
Floor 2 15,000,000 5/05/2023 155,236.95
Floor 2 10,000,000 31/03/2024 135,277.71
Floor 2 20,000,000 30/09/2023 227,150.06
Floor 2 10,000,000 31/01/2023 92,008.75
Floor 2 15,000,000 5/05/2022 75,376.93
Floor 2 20,000,000 31/03/2023 181,410.18
Floor 2 10,000,000 11/12/2023 125,361.66
Floor 2 10,000,000 31/05/2023 103,038.63
Floor 2 15,000,000 30/04/2024 222,264.78
Floor 2 25,000,000 31/12/2021 69,123.13
Floor 2 25,000,000 31/12/2021 69,123.13

The market value of the outstanding IRS contracts is received through the various financial institutions.

5.9.8 FINANCIAL DEBTS

Figures in thousands of EUR 30/06/2021 31/12/2020
Non-current financial debts
Bilateral loans – variable or fixed interest rates 569,011 732,231
Loan drawdown costs -874 -1,562
Total 569,885 730,669
Figures in thousands of EUR 30/06/2021 31/12/2020
Non-current financial debts (excl. interest) – Breakdown by maturity
Between 1 and 2 years 1,618 150,044
Between 2 and 5 years 403,914 362,800
More than 5 years 163,478 219,388
Total 569,011 732,231
Figures in thousands of EUR 30/06/2021 31/12/2020
Unutilised loans
Due within one year 25,000 9,514
Due after one year 325,000 91,000
Total 350,000 100,514

Most of the financial debts are negotiated without any underlying collateral. Exceptions are the loans for Stratos KVK NV, Uhub Benfica and Uhub São João. These loans were taken over during the acquisition and partly have collateral attached.

Most financial debts have variable interest rates. A total of KEUR 454,750 of financing is hedged using IRS contracts. This means that 64% of all outstanding financing is hedged using IRS contracts. There are also loans with fixed interest rates worth KEUR 165,000. In total, 88% of all outstanding financing is hedged either via IRS contracts or via a fixed interest rate.

Figures in thousands of EUR 30/06/2021 31/12/2020
Estimated future interest charges
Within one year 8,829 11,545
Between 1 and 5 years 26,087 31,779
More than 5 years 15,514 17,819
50,429 61,143
Figures in thousands of EUR 30/06/2021 31/12/2020
Liquidity commitments on maturity dates associated with the hedging
instruments
Within one year 2,471 2,512
Between 1 and 5 years 8,390 9,257
More than 5 years 6,839 5,509
Total 17,701 17,279

The estimate of interest expenses takes account of the debt position as at 30 June 2021.

5.9.9 FINANCIAL ASSETS AND LIABILITIES

30/06/2021 31/12/2020
Figures in thousands of EUR Book value Fair Value Book value Fair Value Level
Summary of financial assets and
liabilities
Assets
Financial assets 8,296 8,296 8,489 8,489
Financial assets 4,101 4,101 4,166 4,166 Level 2
Trade receivables and other assets 135 135 135 135 Level 2
Deferred tax assets 1,126 1,126 1,013 1,013 Level 2
Shareholdings in associated
companies and joint ventures
2,934 2,934 3,175 3,175 Level 2
Financial current assets 48,045 48,045 49,192 49,192
Trade receivables 2,003 2,003 4,887 4,887 Level 2
Tax receivables and other current
assets
40,267 40,267 34,394 34,394 Level 2
Cash and cash equivalents 5,775 5,775 9,911 9,911 Level 1
Total financial assets 56,341 56,341 57,681 57,681
Liabilities
Non-current financial liabilities 613,379 612,589 783,045 790,072
Non-current financial liabilities 569,885 569,095 733,182 740,209 Level 2
Financial derivatives 19,866 19,866 26,530 26,530 Level 2
Other non-current liabilities 23,628 23,628 23,333 23,333 Level 2
Current financial liabilities 171,249 171,249 121,341 121,341
Current financial liabilities 138,511 138,511 90,309 90,309 Level 2
Trade payables and other current
liabilities 16,599 16,599 15,186 15,186 Level 2
Other current liabilities 16,139 16,139 15,846 15,846 Level 2
Total financial liabilities 784,628 783,838 904,386 911,413

Trade debtors and trade payables are recorded at amortised cost. The change in fair value for financial derivatives is posted via the income statement.

5.9.10 TRANSACTIONS WITH RELATED PARTIES

Figures in thousands of EUR 30/06/2021 30/06/2020
Transactions with related parties
Management remuneration 304 330
Independent directors remuneration 122 64
Total 427 394
Receivables Aloxe NV 1,795 2,076

The related parties with whom the Company deals with are its subsidiaries and its directors and executives. Transactions with the subsidiaries are eliminated during the consolidation.

The remuneration for directors and executives is included under the item Company overheads.

As at 30 June 2021, Xior Student Housing NV had KEUR 1,795 in receivables from Aloxe. These receivables resulted mainly from the rental guarantees provided for certain projects during the IPO.

No other transactions took place with persons or institutions regarded as direct company stakeholders during the first half of 2021.

5.9.11 EVENTS AFTER THE BALANCE SHEET DATE

We refer to Chapter 2.3.2 of this Half-Yearly Report for events after the balance sheet date.

There have been no other significant events with an impact on the consolidated figures since the end of the half year.

5.9.12 SCOPE OF CONSOLIDATION

The following subsidiaries are part of Xior Student Housing NV's scope of consolidation as at 30 June 2021:

Name Country Share in the capital
Stubis BV Belgium 100
Stratos KVK NV Belgium 100
Xior Campus Hasselt NV Belgium 100
XL Fund BV Belgium 90
6 and 30 NV Belgium 90*
Val Benoit NV Belgium 90*
Savelkoul NV Belgium 90*
Oaks of Life NV Belgium 90*
Patrimmonia Couronne – Franck NV Belgium 100
Voskenslaan BV Belgium 100
Docks Gent BV Belgium 100
Roosevelt BV Belgium 75**
Xior LBW BV Belgium 100
Xior Carre BV Belgium 100
Xior Bonnefanten BV Belgium 100
Xior Enschede I BV Belgium 100
Xior Wageningen BV Belgium 100
Xior Delft BV Belgium 100
Xior Breda BV Belgium 100
Xior Studio Park Breda BV The Netherlands 100
Stubeant BV The Netherlands 75
Xior Rotsoord BV The Netherlands 100
Xior Student Housing NL BV The Netherlands 100
Xior Student Housing NL 2 BV The Netherlands 100
Xior Naritaweg BV The Netherlands 100
Stubis NL BV The Netherlands 100
STUBISNL IV BV The Netherlands 100
Leeuwarden Tesselschadestraat BV The Netherlands 100
All-In Annadal BV The Netherlands 100
Xior-Karspeldreef Amsterdam BV The Netherlands 100
Xior Groningen BV The Netherlands 100
Amstelveen Laan van Kronenburg 2 BV The Netherlands 100
Borgondo Facilities BV The Netherlands 100
XL NL Cooperation 1 UA The Netherlands 90*
XL NL Cooperation 2 UA The Netherlands 90*
Xior Zernike Coöperatie UA The Netherlands 100
XSHPT Portugal SA Portugal 100
Uhub Investments Benfica SL Portugal 100
Uhub Investments São João SL Portugal 100
Uhub Operations SL Portugal 85
Minerva Student Housing SL Spain 100
Xior Quality Student Housing SL Spain 100
I Love Barcelona Campus Besos SL Spain 100
Mosquera Directorship SL Spain 80
Xior Student Housing SL Spain 100
Terra Directorship SL Spain 100

Joint Ventures

Promgranjo SL Portugal 50
Invest Drève Saint Pierre NV Belgium 50

* Companies fully owned by holding company XL Fund BV (90% subsidiary of Xior Student Housing NV)

** Company fully owned by Stubeant BV (75% subsidiary of Xior Student Housing NV)

5.9.13 DEBT RATIO

Figures in thousands of EUR 30/06/2021 31/12/2020
Consolidated debt ratio (max. 65%)
Total liabilities 843,002 960,813
Adjustments -78,241 -82,849
Permitted hedging instruments -19,866 -26,530
Deferred taxes – liabilities -52,335 -51,042
Accruals and deferrals -6,040 -5,277
Total debt as per Royal Decree dated 13 July 2014 764,761 877,964
Total assets 1,671,230 1,620,316
Adjustments 0 0
Total assets as per Royal Decree dated 13 July 2014 1,671,230 1,620,316
Debt ratio (as %) 45.76% 54.18%
100
100
100
100
85
100
100
100
80
100
100
50
50

5.9.14 OFF-BALANCE SHEET RIGHTS AND OBLIGATIONS

A number of properties were acquired from third parties in the course of 2016-2021. The sellers provided rental guarantees for a number of these properties. The durations of these rental guarantees vary from 3 to 24 months starting from the transfer date. Currently rental guarantees only still apply to Roxi in Zaventem, Campus Besòs in Barcelona, 365 Rooms in Brussels, 6 and 30 in Antwerp, Val Benoit in Liège, Katzensprung in Vaals, Savelkoul in Antwerp, Uhub São João in Porto, Uhub Benfica in Lisbon and Roosevelt in Antwerp.

The Company has a few on-going property development projects for which construction agreements have been concluded with contractors.

5.9.15 STATUTORY AUDITOR'S REPORT

STATUTORY AUDITOR'S REPORT ON REVIEW OF CONSOLIDATED CONDENSED FINANCIAL INFORMATION FOR THE PERIOD ENDED 30 JUNE 2021

INTRODUCTION

We have reviewed the accompanying consolidated condensed statement of financial position of Xior Student Housing NV and its subsidiaries as of 30 June 2021 and the related consolidated condensed statement of profit and loss and other comprehensive income, changes in equity and cash flows for the 6-month period then ended, as well as the explanatory notes. The board of directors is responsible for the preparation and presentation of this consolidated condensed financial information in accordance with IAS 34, as adopted by the European Union. Our responsibility is to express a conclusion on this consolidated condensed financial information based on our review.

SCOPE OF REVIEW

We conducted our review in accordance with International Standard on Review Engagements 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity." A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and, consequently, does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

CONCLUSION

Based on our review, nothing has come to our attention that causes us to believe that the accompanying consolidated condensed financial information is not prepared, in all material respects, in accordance with IAS 34, as adopted by the European Union.

Sint-Stevens-Woluwe, 4 August 2021

The statutory auditor

PwC Reviseurs d'Entreprises SRL/ Bedrijfsrevisoren BV Represented by

Jeroen Bockaert

Réviseur d'Entreprises / Bedrijfsrevisor

5.9.16 STATEMENT ACCOMPANYING THE HALF-YEARLY FINANCIAL REPORT

In accordance with Article 13, Section 2 (3) of the Royal Decree of 14 November 2007, the Board of Directors of Xior Student Housing NV14 states that, to its knowledge:

  • The abbreviated interim financial statements, drawn up on the basis of the principles of financial reporting in accordance with IFRS and IAS 34 on Interim Financial Reporting as accepted by the European Union, provide a true and fair view of the assets, financial situation and earnings of Xior Student Housing NV and the companies included in the consolidation.
  • The interim financial report provides a true and fair view of the main events of the first 6 months of the current financial year, their effect on the abbreviated financial statements, the main risk factors and uncertainties for the remaining months of the financial year and the principal transactions between the related parties (including all changes since the most recent annual report) of the first six months of the current financial year and their possible effect on the abbreviated financial statements where these transactions had any material consequences for the financial position or earnings of Xior Student Housing NV.

5.9.17 FORWARD-LOOKING STATEMENTS

This Half-Yearly Report contains forward-looking information, projections, beliefs, opinions and estimates expressed by Xior in relation to the expected future performance of Xior and the market in which it operates ("forward-looking statements"). By nature, forwardlooking statements involve inherent risks, uncertainties and assumptions, both general and specific, that appear justified at the time at which they are made but which may or may not turn out to be accurate, and there is a risk that the forward-looking statements will not be realised. Some events are difficult to predict and may depend on factors outside of Xior's control. In addition, the forwardlooking statements are only valid on the date of this Half-Yearly Report. Statements in this press release relating to past trends or activities must not be interpreted as an indication that such trends or activities will persist in future. Neither Xior nor its representatives, officers or advisers guarantee that the parameters upon which the forwardlooking statements are based are free of errors, nor can any of them claim, guarantee or predict that the expected results set out in any such forward-looking statement will ultimately be achieved. Actual profits, the financial situation and Xior's performance or earnings may therefore differ substantially from the information projected or implied in forward-looking statements. Xior expressly does not accept any obligation or guarantee to provide public updates or reviews of forward-looking statements except as required by law.

14 The Board of Directors consists of Leen Van den Neste, Marieke Bax, Wilfried Neven, Joost Uwents, Wouter De Maeseneire, Christian Teunissen and Frederik Snauwaert.

" In 2020, 7 Portuguese universities were ranked in the top 1000 of the best universities according the QS World University Rankings by Subject."

IDENTITY CARD 6

Name: Xior Student Housing NV
Status: Public regulated real estate company (RREC) under Belgian law (BE-RREC)
Registered office: Mechelsesteenweg 34, PO Box 108, 2018 Antwerp
Tel: +32 3 257 04 89
E-mail: [email protected]
Website: www.xior.be
Trade Register: Antwerp, Antwerp section
VAT: BE 0547.972.794
Enterprise number: 0547.972.794
Date of incorporation: 10 March 2014
Licence as public RREC: 24 November 2015
Financial year-end: 31 December
Annual General meeting: Third Thursday in May (10 am)
Listing: Euronext Brussels – permanent market
ISIN code: BE0974288202 (XIOR)
Statutory auditor: PwC Bedrijfsrevisoren BCVBA, Woluwe Garden, Woluwedal 18, 1932 Sint-Stevens-Woluwe,
represented by Jeroen Bockaert
Financial services: ING Belgium
Valuation experts: Stadim CVBA, Cushman & Wakefield & CBRE

Xior Student Housing NV

a Public RREC under Belgian law (BE-REIT) Mechelsesteenweg 34, PO Box 108, 2018 Antwerp, Belgium BE 0547.972.794 (Antwerp Trade Register, Antwerp Division) www.xior.be I [email protected] I T +32 3 257 04 89

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