Interim Consolidated Report

For the nine-month period ended September 30,

Content

THE BUSINESS & OPERATIONS

Key Financials	6
Aroundtown	7
Aroundtown's Quality Portfolio	9
Capital Markets	21

MANAGEMENT DISCUSSION AND ANALYSIS

Notes on Business Performance	24
Alternative Performance Measures	40
Responsibility Statement & Disclaimer	46

BOARD OF DIRECTORS' REPORT INTERIM CONSOLIDATED FINANCIAL STATEMENTS

INTERIM CONSOLIDATED FINANCIAL STATEMENTS

Interim consolidated statement of profit or loss	48
Interim consolidated statement of other comprehensive income	49
Interim consolidated statement of financial position	50
Interim consolidated statement of changes in equity	52
Interim consolidated statement of cash flows	54
Notes to the interim consolidated financial statements	56

Directors' Report

AROUNDTOWN SA | Board of Directors' Report

Financial Position Highlights

Key Financials

in € millions unless otherwise indicated	Sep 2024	Dec 2023
Total Assets	32,963.8	33,559.3
Total Equity	14,530.3	15,149.7
Investment property	24,016.4	24,632.4
Cash and liquid assets (including those under held for sale)	3,259.6	3,026.1
Total financial debt (including those under held for sale)	14,383.6	14,242.1
Unencumbered assets ratio (by rent)	72%	74%
Equity Ratio	44%	45%
Loan-to-Value	44%	43%

in € millions unless otherwise indicated	1–9/2024	Change	1–9/2023
Net rental income	882.8	(1%)	894.5
Adjusted EBITDA 1)	758.1	1%	748.2
FFO I 1)	235.6	(8%)	255.4
FFO I per share (in €) 1)	0.22	(4%)	0.23
FFO II	266.1	(19%)	326.6
ICR	4.0x	(0.3x)	4.3x
(Loss) / profit for the period	(154.0)	-	(1,370.1)
Basic (loss) / earnings per share (in €)	(0.21)	-	(1.02)

1) including AT's share in companies which AT has significant influence, excluding the contributions from assets held for sale

Net asset value

In € millions unless otherwise indicated	EPRA NRV	EPRA NTA	EPRA NDV
Sep 2024	9,614.8	7,807.5	6,593.2
Sep 2024 per share (in €)	8.8	7.1	6.0
Per share development	(3%)	(4%)	(13%)
Dec 2023	9,920.8	8,058.7	7,592.1
Dec 2023 per share (in €)	9.1	7.4	6.9

Aroundtown

The Group

The Board of Directors of Aroundtown SA and its investees (the "Company", "Aroundtown", "AT", or the "Group"), hereby submits the interim report as of September 30, 2024. The figures presented are based on the interim consolidated financial statements as of September 30, 2024, unless stated otherwise.

Aroundtown SA is a real estate company with a focus on income generating quality properties with value-add potential in central locations in top tier European cities primarily in Germany, the Netherlands and London. Aroundtown invests in commercial and residential real estate which benefits from strong fundamentals and growth prospects. Aroundtown invests in residential real estate through its subsidiary Grand City Properties S.A. ("GCP"), a publicly traded real estate company that focuses on the German as well as London residential real estate market. As of September 30, 2024, the Group's holding in GCP is 63% excluding shares GCP holds in treasury (62% including these shares).

The Group's unique business model and experienced management team led the Group to grow continuously since 2004, navigating successfully through all economic cycles.

Quality assets with a focus on large EU cities primarily in Germany, Netherlands, and in London

Capital recycling by selling non-core/mature assets

Attractive acquisitions below market value and below replacement costs

Income generating portfolio with value-add potential

Asset repositioning, increasing cash flow, quality, WALTs and value

Extracting new building/conversion rights on existing and new land & buildings

Healthy capital structure with a strong & conservative financial profile

Frankfurt HBF & CBD

Approx. 200,000 SQM

lettable space in Frankfurt prime centers, main central train station and banking district

Aroundtown's Quality Portfolio

Well-Diversified Group Portfolio with Focus on Strong Value Drivers

TOTAL PORTFOLIO: €24BN*

Residential 33%

Hotel 22%

*including development rights & invest and excluding properties held for sale

Asset Type

Strongly diversified portfolio with a focus in offices, residential and hotels.

Tenant

High tenant diversification with no material tenant or industry dependency.

Commercial portfolio with over 3,000 tenants and residential portfolio with very granular tenant base.

Location

The portfolio is focused on the strongest economies in Europe: 81% of the Group's portfolio is in Germany and the Netherlands, both AAA rated countries.

Focus on top tier cities of Germany and the Netherlands and on London.

Well-distributed across multiple regions with a large footprint in top tier cities such as Berlin, Munich, and Frankfurt.

Industry

Each location has different key industries and fundamentals driving the demand.

Therefore, the Group's tenants are diversified into distinct sectors, eliminating the dependency on a single industry.

Group Portfolio Overview

Germany & The Netherlands: 81% of the portfolio

High Geographical Diversification

Berlin is the single largest location. AT is a leading landlord in Berlin across multiple asset types.

*including development rights & invest and excluding properties held for sale

BEST-IN-CLASS BERLIN PORTFOLIO

Central locations within top tier cities:

Berlin as an example

of the portfolio is located in top tier neighborhoods including Charlottenburg, Wilmersdorf, Mitte, Kreuzberg, Friedrichshain, Lichtenberg, Schöneberg, Neukölln, Steglitz and Potsdam

15%

of the portfolio is well located primarily in Reinickendorf, Spandau, Treptow, Köpenick and Marzahn-Hellersdorf

*Map representing approx. 95% of the portfolio

OFFICE: High Quality Offices in Top Tier Cities TOP 4

Cologne

Utrecht

Berlin

Dresden

Stuttgart

HOTELS: Focus on Central Locations, Quality and Operators with Brand Recognition

Over 150 hotels across top locations with fixed long-term leases with third party hotel operators

AT's hotel portfolio, valued at €4.8 billion as of September 2024, is well diversified and covers a total of 1.6m sqm. The hotels are branded under a range of globally leading branding partners which offer key advantages such as worldwide reservation systems, global recognition, strong loyalty programs, quality perception and benefits from economies of scale. The hotel assets are let to hotel operators which are selected according to their capabilities, track record and experience. AT's management participates in the branding decision of the hotel, applying its expertise in selecting the optimal brand.

Hotels leased to third party operators and franchised with various strong brands and a large scale of categories which provides high flexibility for the branding of its assets

High Geographical Diversification

DIVERSE EUROPEAN METROPOLITAN FOOTPRINT

Fixed long term leases with third party hotel operators

Aroundtown's hotel assets are well-diversified and well-located across major European metropolitans, with a focus on Germany. The locations of AT's hotel assets benefit from a strong tourism industry since they are some of Europe's most visited cities as well as top business locations such as Berlin, Frankfurt, Munich, Cologne, Paris, Rome and Brussels.

Berlin

Rome

Hamburg/ Lüneburger Heide (Center Parcs) Eindhoven/Brabant (Netherlands, Center Parcs) Berlin

Brussels

Bad Saarow (Brandenburg/Berlin)

Paris

Cologne

AROUNDTOWN SA | Board of Directors' Report

Grand City Properties

Residential portfolio

The residential portfolio is primarily held through a 63% stake in Grand City Properties ("GCP") excluding the shares GCP holds in treasury (62% including these shares) as of September 30, 2024. GCP is a leading market player in the German residential market and a specialist in value-add opportunities in densely populated areas, predominantly in Germany, as well as in London. GCP is a publicly listed real estate company, traded on the Frankfurt Stock Exchange. Since July 1, 2021, GCP has been consolidated in AT's financial accounts, providing the Group with a wellbalanced portfolio breakdown. GCP holds 62k units in its portfolio with the properties spread across densely populated areas in Germany, with a focus on Berlin, North Rhine-Westphalia and the metropolitan regions of Dresden, Leipzig and Halle, as well as London. GCP includes a relatively small share of commercial properties which AT reclassifies into their relevant asset class. GCP puts a strong emphasis on growing relevant skills in-house to improve responsiveness and generate innovation across processes and departments. Through its Service Center and by supporting local community initiatives, GCP established industry-leading service standards and lasting relationships with its tenants. For more information, please visit GCP's website.

Further Portfolio Diversification through Logistics/Other and Retail

Retail: Largest focus is on resilient essential goods tenants and grocery-anchored properties catering to strong and stable demand from local residential neighborhoods

Kassel

Asset type overview

September 2024	Investment properties (in €M)	Area (in k sqm)	EPRA vacancy	Annualized net rent (in €M)	In-place rent per sqm (in €)	Value per sqm (in €)	Rental yield	WALT (in years)
Office	8,434	3,063	12.8%	432	13.0	2,754	5.1%	4.3
Residential	7,645	3,591	3.7%	384	9.1	2,129	5.0%	NA
Hotel	4,839	1,583	2.4%	251	13.2	3,056	5.2%	14.5
Logistics/Other	400	434	7.2%	25	5.2	920	6.4%	5.0
Retail	1,047	501	12.6%	55	10.1	2,091	5.2%	4.6
Development rights & Invest	1,651
Total	24,016	9,172	7.6%	1,147	10.9	2,438	5.1%	7.7

Total (GCP at relative consolidation)	20,909	7,732	8.1%	995	11.3	2,499	5.2%	7.8

Regional overview

September 2024	Investment properties (in €M)	Area (in k sqm)	EPRA vacancy	Annualized net rent (in €M)	In-place rent per sqm (in €)	Value per sqm (in €)	Rental yield

Berlin	5,090	1,388	8.1%	212	13.4	3,667	4.2%
NRW	3,202	1,860	8.3%	177	8.2	1,721	5.5%
London	1,874	235	4.3%	99	38.4	7,966	5.3%
Dresden/Leipzig/Halle	1,591	1,049	4.7%	85	7.0	1,517	5.4%
Munich	1,483	516	9.9%	58	9.7	2,875	3.9%
Frankfurt	1,375	452	15.8%	68	14.8	3,045	5.0%
Wiesbaden/Mainz/Mannheim	591	237	6.2%	33	11.9	2,499	5.6%
Amsterdam	556	159	8.2%	29	15.6	3,503	5.2%
Hamburg/LH	459	180	4.3%	28	12.8	2,547	6.0%
Hannover	246	156	17.2%	14	9.3	1,575	5.7%
Stuttgart/BB	195	95	5.7%	12	11.1	2,042	6.4%
Utrecht	181	70	6.5%	12	13.8	2,613	6.5%
Rotterdam	149	65	4.4%	12	14.4	2,285	7.7%
Other	5,373	2,710	6.4%	308	9.9	1,982	5.7%
Development rights & Invest	1,651
Total	24,016	9,172	7.6%	1,147	10.9	2,438	5.1%

Capital Markets

KEY INDEX INCLUSIONS

Aroundtown's share is a constituent of several major indices such as MDAX, MDAX ESG+, FTSE EPRA/NAREIT Index Series, MSCI World Small Cap, DJSI Europe as well as GPR 100 & 250, GPR Global Top 100 ESG and DIMAX.

INVESTOR RELATIONS ACTIVITIES

The Group is proactively approaching a large investor audience in order to present its business strategy, provide insight into its progress and create awareness of its overall activities to enhance its perception in the market. AT participates in a vast amount of various national and international conferences, roadshows, one-on-one presentations and in virtual video conferences in order to present a platform for open dialogue. Explaining its unique business strategy in detail and presenting the daily operations allows investors to gain a full overview of the Group's successful business approach. The most recent information is provided on Aroundtown's website and open channels for communication are always provided. Currently, AT is covered by 18 different equity research analysts on an ongoing basis, with reports updated and published regularly.

	TRADING DATA
Placement	Frankfurt Stock Exchange
Market segment	Prime Standard
Trading ticker	AT1
Initial placement of capital	13.07.2015
Key index memberships	MDAX MDAX ESG+ FTSE EPRA / NAREIT: – Global – Developed Europe – Eurozone – Germany – Green Indexes DJSI Europe MSCI World Small Cap GPR 100 & 250 GPR Global Top 100 ESG DIMAX
	AS OF SEPTEMBER 30, 2024
Number of shares	1,537,025,609
Number of shares, base for share KPI calculations1)	1) excluding suspended voting rights 1,093,531,621
	AS AT NOVEMBER 26, 2024:
Shareholder Structure	Freefloat: 46% Shares held in treasury i): 29% Avisco Group/Vergepoint ii): 15% Stumpf Capital GmbH iii): 10% i) 12% are held held through TLG Immobilien AG, voting rights suspended ii) controlled by Yakir Gabay iii) controlled by Georg Stumpf

Share price performance and total return since initial placement of capital (13.07.2015)

EPRA Germany (rebased) +39% total return MDAX (rebased) +27% total return Stoxx 600 (rebased) +74% total return

Aroundtown +14% total return

Bad Saarow (Brandenburg/Berlin)

Notes on Business Performance

Berlin

SELECTED CONSOLIDATED INCOME STATEMENTS DATA

	Nine months ended September 30,
	2024	2023
	in € millions
Revenue	1,157.5	1,209.7
Net rental income	882.8	894.5

Property revaluations and capital gains	(591.0)	(1,889.0)
Share of results from investment in equity accounted investees	(9.8)	(85.2)
Property operating expenses	(412.3)	(496.2)
Administrative and other expenses	(46.9)	(45.7)

Operating profit / (loss)	97.5	(1,306.4)
Adjusted EBITDA 1)	758.1	748.2

Finance expenses	(178.5)	(164.9)
Current tax expenses	(91.7)	(88.6)

FFO I 2)	235.6	255.4
FFO I per share (in €) 2)	0.22	0.23
FFO II 2)	266.1	326.6

Other financial results	(33.4)	44.8
Deferred tax income	52.1	261.8

(Loss) / profit for the period	(154.0)	(1,370.1)

1) including AT's share in the adjusted EBITDA of companies in which AT has significant influence, excluding the contributions from commercial assets held for sale. For more details regarding the methodology, please see pages 40-45

2) including AT's share in the FFO I of companies in which AT has significant influence, excluding FFO I relating to minorities and contributions from commercial assets held for sale. For more details regarding the methodology, please see pages 40-45

OPERATING RESULTS		Nine months ended September 30,
		2024	2023
	Note	in € millions
Recurring long-term net rental income		877.8	884.7
Net rental income related to properties marked for disposal		5.0	9.8
Net rental income		882.8	894.5
Operating and other income		274.7	315.2
Revenue	(a)	1,157.5	1,209.7

Property revaluations and capital gains	(b)	(591.0)	(1,889.0)
Share of results from investment in equity accounted investees	(c)	(9.8)	(85.2)
Property operating expenses	(d)	(412.3)	(496.2)
Administrative and other expenses	(e)	(46.9)	(45.7)
Operating profit / (loss)		97.5	(1,306.4)

(a) Revenue

Throughout the nine months of 2024 ("9M 2024"), AT generated net rental income amounting to €883 million, slightly lower by 1% compared to €895 million for the nine months of 2023 ("9M 2023"). The decline was primarily driven by the smaller portfolio size due to net disposals since the beginning of 2023, mostly offset by like-for-like rental growth of 3.0%. Like-for-like rental growth in the commercial portfolio was 2.6%, benefitting from indexation and step-up rent increases, reversion on reletting, and positive momentum in the hotel portfolio. The systemic supplydemand imbalance continues to favor the residential portfolio, which recorded 3.7% like-for-like rental growth.

AT further breaks down its net rental income into recurring net rental income and net rental income generated by properties marked for disposal. As AT intends to sell these held-for-sale properties, AT sees their contribution as non-recurring and therefore presents their contributions in a separate line item. In 9M 2024, net rental income from held-for-sale properties was €5.0 million, lower compared to the €9.8 million recorded in 9M 2023, mainly resulting from the smaller disposals volume and the composition of the properties in the asset held for sale. Recurring net rental

income amounted to €878 million in 9M 2024, compared to €885 million in 9M 2023. Recurring net rental income also includes immaterial rental income from properties classified as development rights & invest which is excluded in the run rate.

Operating and other income amounted to €275 million in 9M 2024, lower by 13% compared to €315 million in 9M 2023. Operating income is mainly linked to ancillary expenses that are reimbursed by tenants such as utility costs (heating, energy, water, insurance, etc.) and charges for services provided to tenants (cleaning, security, etc.). The lower result recorded was mainly due to the lower cost of utilities and the impact from net disposals. Accordingly, this reduction in the cost of utilities is also reflected in the lower recoverable property operating expenses. Other income also includes income from vendor loans and loans-to-own investments in the amount of €36 million.

Total revenue generated by AT amounted to €1,158 million in 9M 2024, 4% lower compared to €1,210 million in 9M 2023, mainly due to the decrease in utility costs recoverable from tenants through the operating and other income explained in more detail below.

(b) Property revaluations and capital gains

In 9M 2024, AT recorded property revaluations and capital gains amounting to a loss of €591 million, as compared to a loss of €1,889 million recorded in 9M 2023. The smaller loss for the nine months of 2024 was mainly due to lower valuation declines in the current period. The portfolio has not been revalued in the third quarter of 2024 and was also not revalued in the third quarter of 2023. A full portfolio revaluation was conducted by independent and third-party valuers as part of the H1 2024 report and AT will again revalue its full portfolio as part of the 2024 annual report.

Capital gains or losses represent the sale price of properties disposed compared to their book values. In 9M 2024, AT completed disposals in the amount of approx. €440 million at a slight premium of 2% to book value reflecting a capital gain of €7 million. AT executed disposals across all asset types consisting of 69% office, residential and hotels, 23% development rights and 8% retail and consisted of assets located mainly in London, Rotterdam, Berlin, Hamburg, Dresden and non-core locations.

As of September 2024, the portfolio had an average value of €2,438 per sqm and net rental yield of 5.1% compared to €2,421 per sqm and 5.0% respectively as of December 2023.

(c) Share of results from investment in equity-accounted investees

The share of results from investment in equity-accounted investees totalled a loss of €10 million in 9M 2024, lower as compared to a loss of €85 million in 9M 2023. This loss was mainly driven by valuation losses in investees' assets and slowed year over year. This line item represents AT's share of profits from investments which are not consolidated in AT's financial statements, but over which AT has a significant influence. As of September 2024, the largest equity-accounted investee was the investment in Globalworth Real Estate Investments Limited ("Globalworth" or "GWI") which is a leading publicly listed office landlord in Central and Eastern European markets, mainly focused on Warsaw and Bucharest.

The recurring contribution of investees, which excludes the non-cash impact of devaluations increased with an adjusted EBITDA and FFO I contribution of €50 million and €43 million in 9M 2024, as compared to €43 million and €33 million in 9M 2023, respectively.

(d) Property operating expenses

In 9M 2024, AT recorded property operating expenses in the amount of €412 million, lower by 17% as compared to the €496 million recorded in 9M 2023. The lower expenses were primarily driven by the lower utilities costs which mirrored the decline in operating income, no extraordinary expenses for uncollected hotel rents being recorded in the period given the solid momentum in the hotel industry, and the impact from net disposals. Excluding the impact of the extraordinary expenses in 9M 2023, property operating expenses declined by 12%, reflecting the impact of lower utility costs and net disposals. The largest component of property operating expenses are ancillary expenses and purchased services which are mainly recoverable from tenants and include utility costs (heating, energy, water, insurance, etc.), charges for services provided to tenants (cleaning, security, etc.) and other services contracted in relation to the operations of properties. Additionally, property operating expenses include maintenance and refurbishment expenses, personnel expenses, depreciation and amortization, and other operating costs that include marketing, letting and legal fees, transportation, travel, communications, insurance, IT and others.

(e) Administrative and other expenses

In 9M 2024, AT reported administrative and other expenses amounting to €47 million, stable compared to €46 million in 9M 2023. Administrative and other expenses are mostly composed of administrative personnel expenses, fees for legal, professional, consultancy, accounting and auditing services, sales and marketing expenses, and IT and other administrative overhead expenses.

RESULTS FOR THE PERIOD & RESULTS PER SHARE (a) Finance expenses

		Nine months ended September 30,
		2024	2023
	Note	in € millions
Operating profit / (loss)		97.5	(1,306.4)

Finance expenses	(a)	(178.5)	(164.9)
Other financial results	(b)	(33.4)	44.8
Current tax expenses	(c)	(91.7)	(88.6)
Deferred tax income	(c)	52.1	261.8
Impairment of goodwill	(d)	-	(116.8)
(Loss) / profit for the period	(e)	(154.0)	(1,370.1)

(Loss) / profit attributable to:
Owners of the Company		(224.5)	(1,118.6)
Perpetual notes investors		150.3	108.6
Non-controlling interests		(79.8)	(360.1)

Basic (loss) / earnings per share (in €)	(e)	(0.21)	(1.02)
Diluted (loss) / earnings per share (in €)	(e)	(0.21)	(1.02)
Weighted average basic shares (in millions)		1,093.5	1,093.0
Weighted average diluted shares (in millions)		1,094.7	1,094.5

(Loss) / profit for the period		(154.0)	(1,370.1)
Other comprehensive income / (loss)	(e)	11.5	(4.4)
Total comprehensive (loss) / income for the period	(e)	(142.5)	(1,374.5)

AT recorded finance expenses totaling €179 million in 9M 2024, higher by 8% as compared to the €165 million recorded in 9M 2023. This increase in finance expenses is mainly the result of the higher interest rate environment, impacting new debt for refinancing purposes which was raised at a higher cost than the current cost of debt, as well as the expiry of certain hedging instruments since the beginning of 2023 which caused some debt to become variable at higher rates, and higher rates within the capped portion of the debt. The higher finance expenses were partially offset by higher interest income earned on AT's strong liquidity balance and the buyback of bonds at a slight discount and debt redemptions. During the 9M 2024, the Company hedged and fixed variable and capped debt at lower fixed rates, which partially offset the increase in finance expenses but only had a partial impact in the reporting period and will have a full impact going forward. Since the beginning of 2023 until September 2024, the Group raised ca. €2.3 billion of new debt and repurchased at a slight discount and redeemed €2.6 billion of debt, resulting in a substantial reduction of the refinancing risk. As a result of the proactive liability management measures taken, AT's average debt maturity is 4 years and the average cost of debt is 2% as of September 2024, compared to 2.2% as of September 2023 while the hedging ratio increased to 98% as of September 2024, as compared to the 83% ratio as of September 2023.

(b) Other financial results

AT recorded other financial results amouning to a loss of €33 million in 9M 2024, lower as compared to an income of €45 million recorded in 9M 2023. The other financial results line item records the net change in the fair value of financial assets and liabilities, hedging instruments, and derivative instruments which are mainly non-recurring and/or non-cash and thus the result varies from one period to another. Other financial results also include one-off finance related costs incurred to optimize the debt profile like those associated with debt repayments, and expenses related to new financing, currency hedging and others. The result in the current period was mainly driven by changes in the fair value of financial assets and liabilities and costs associated with refinancing while the result in the previous period stemmed primarily from larger gains recorded from the bond buybacks at discount.

In 9M 2024, AT recorded current tax expenses in the amount of €92 million, higher by 3% compared to €89 million recorded in 9M 2023. Current taxes are composed of both income taxes and property taxes. The increase in expenses was mainly due to tax provisions made in relation to updated tax regulation which increased the income taxes in some jurisdictions. AT recorded deferred tax income of €52 million in 9M 2024, lower compared to an income of €262 million in 9M 2023, mainly due to the deferred tax impact linked to the results of the property devaluations in both periods.

(d) Impairment of goodwill

AT did not record an impairment of goodwill in 9M 2024 compared to an impairment in the amount of €117 million in 9M 2023. The goodwill is mainly attributed to GCP's and TLG's deferred taxes which can be impacted mainly by revaluations and/ or disposals activities. The goodwill value will be tested for impairment at year-end. EPRA NAV KPI's exclude goodwill and therefore any change in the goodwill balance does not impact these KPIs.

(e) (Loss) / profit for the period & (loss) / earnings per share

AT reported a loss amounting to €154 million in 9M 2024, a significantly lower loss as compared to a loss of €1,370 million in 9M 2023. The loss was mainly attributed to non-cash property devaluations recorded during the period, net of deferred tax income, which was lower than in 9M 2023 and thus resulted in a lower loss. The property devaluation impact was offset by robust operational performance, net of higher finance expenses and lower other financial results. Correspondingly, a loss of €225 million was attributed to shareholders in 9M 2024 compared to a loss of €1,119 million in 9M 2023. The profit attributable to perpetual notes investors totaled €150 million in 9M 2024, compared to €109 million in 9M 2023. This increase was mainly due to the reset of six perpetual notes since the beginning of 2023, partially offset by perpetual note exchanges and tender offers. In 9M 2024, AT issued €2.6 billion of new perpetual notes across 5 series, of which two notes were tapped in September 2024 exchange, and which targeted these six perpetual notes along with two more notes that have their first call dates within twelve months. The exchange transactions reduce the long-term coupon payments and support the credit metrics by S&P. Further details can be found under the Equity section of this Board of Directors' report, and in the notes to the interim consolidated financial statements.

A loss of €80 million was attributed to non-controlling interests in 9M 2024, compared to a loss of €360 million in 9M 2023.

The basic and diluted loss per share amounted to €0.21 in 9M 2024, as compared to a basic and diluted loss per share of €1.02 in 9M 2023.

AT recorded a total comprehensive loss of €143 million in 9M 2024, lower compared to a loss of €1,375 million in 9M 2023. The lower total comprehensive loss recorded is the result of the lower net loss and the other comprehensive income of €12 million in 9M 2024, mainly from the foreign currency impacts related to hedging activities.

Hamburg

ADJUSTED EBITDA

	Nine months ended September 30,
	2024	2023
	in € millions
Operating profit / (loss)	97.5	(1,306.4)
Total depreciation and amortization	10.8	14.2
EBITDA	108.3	(1,292.2)
Property revaluations and capital gains	591.0	1,889.0
Share of results from investment in equity accounted investees	9.8	85.2
Other adjustments 1)	2.1	2.8
Contribution of assets held for sale	(3.0)	(7.8)
Add back: Extraordinary expenses for uncollected hotel rents	-	28.0
Adjusted EBITDA before JV contribution	708.2	705.0
Contribution of joint ventures' adjusted EBITDA 2)	49.9	43.2
Adjusted EBITDA	758.1	748.2

1) including expenses related to employees' share incentive plans

2) the adjustment is to reflect AT's share in the adjusted EBITDA of companies in which AT has significant influence and that are not consolidated

Adjusted EBITDA is a key performance measure used to evaluate the operational results of the Group, derived by deducting from the EBITDA non-operational and/or non-recurring items such as revaluation and capital gains, extraordinary expenses, and other adjustments. Additionally, in order to mirror the recurring operational results of the Group, the results from investments in equity-accounted investees is subtracted as this also include the Group's share in non-operational and nonrecurring results generated by these investees. Instead, to reflect their operational earnings, the Group includes in its adjusted EBITDA its share in the adjusted EBITDA generated by investments where the Group has a significant influence in accordance with its effective holding rate over the period.

AT generated Adjusted EBITDA before JV contribution amounting to €708 million in 9M 2024, slightly higher as compared to €705 million in 9M 2023. This increase is primarily explained by the like-for-like rental growth and higher profitability, which offset the impact from net disposals. Incorporating joint venture positions' adjusted EBITDA contribution, AT recorded an Adjusted EBITDA of €758 million in 9M 2024, increasing by 1% as compared to €748 million recorded in 9M 2023.

AT's adjusted EBITDA also accounts for other adjustments in the amount of €2.1 million in 9M 2024, compared to €2.8 million in 9M 2023 and which are related to non-cash expenses for employees' share incentive plans. Additionally, AT conservatively does not include the contributions from properties marked for disposal as they are intended to be sold and therefore, their contributions are nonrecurring. This adjustment amounted to €3.0 million in 9M 2024, lower compared to €7.8 million in 9M 2023 mainly due to the lower disposals volume and composition of the properties in the asset held for sale.

FUNDS FROM OPERATIONS (FFO I, FFO II)

	Nine months ended September 30,
	2024	2023
	in € millions
Adjusted EBITDA before JV contribution	708.2	705.0
Finance expenses	(178.5)	(164.9)
Current tax expenses	(91.7)	(88.6)
Contribution to minorities 1)	(95.5)	(95.0)
Adjustments related to assets held for sale 2)	0.8	2.1
Perpetual notes attribution	(150.3)	(108.6)
FFO I before JV contribution	193.0	250.0
Contribution of joint ventures' FFO I 3)	42.6	33.4
Extraordinary expenses for uncollected hotel rents	-	(28.0)
FFO I	235.6	255.4
FFO I per share (in €)	0.22	0.23
Weighted average basic shares (in millions) 4)	1,093.5	1,093.0

FFO I	235.6	255.4
Result from the disposal of properties 5)	30.5	71.2
FFO II	266.1	326.6

1) including the minority share in TLG's and GCP's FFO

2) the net contribution which is excluded from the FFO amounts to €2.2 million in 9M 2024 and €5.7 million in 9M 2023

3) the adjustment is to reflect AT's share in the FFO I of companies in which AT has significant influence and that are not consolidated

4) weighted average number of shares excludes shares held in treasury; base for share KPI calculations

5) the excess amount of the sale price, net of transaction costs and total costs (cost price and capex of the disposed properties)

Funds from Operations I (FFO I) is an industry standard performance indicator, reflecting the recurring operational profitability. FFO I starts by deducting the finance expenses, current tax expenses and perpetual notes attribution from the adjusted EBITDA. The calculation further includes the relative share in the FFO I of joint venture positions and excludes the minorities' share in operational profits. Furthermore, AT included in previous periods the extraordinary expenses for uncollected hotel rents and makes an adjustment related to assets held for sale.

In addition, AT provides the FFO II, which is an additional key performance indicator used in the real estate industry to evaluate the recurring operational profits including the disposal gains during the relevant period.

In 9M 2024, AT reported FFO I totaling €236 million, lower by 8% compared to €255 million in 9M 2023. The adjusted EBITDA growth was offset due to the higher finance expenses and perpetual notes attribution. In 9M 2024, the Group successfully executed perpetual note exchanges with tender options which is FFO neutral for 2024, while being accretive in the long-term. Further details can be found under the Equity section of this Board of Directors' report and in the notes to the interim consolidated financial statements. The contribution from assets held for sale, which is excluded from the FFO, amounted to €2.2 million in 9M 2024 and €5.7 million in 9M 2023.

AT reported an FFO I per share of €0.22 in 9M 2024, 4% lower compared to €0.23 in 9M 2023.

FFO II amounted to €266 million in 9M 2024, 19% lower as compared to €327 million in 9M 2023. This decline was mainly driven by the lower result from the disposal of properties and the lower FFO I result. In 9M 2024, AT completed approx. €440 million of disposals, recording a gain of €30.5 million over total costs.

CASH FLOW

		Nine months ended September 30,
	2024	2023
	in € millions
Net cash from operating activities	618.7	567.4
Net cash from investing activities	31.1	351.6 1)
Net cash used in financing activities	(511.0)	(785.0) 1)
Net changes in cash and cash equivalents	138.8	134.0
Cash and cash equivalents as at the beginning of the period	2,641.2	2,305.4
Other changes 2)	0.8	12.4
Cash and cash equivalents as at the end of the period	2,780.8	2,451.8

1) reclassified

2) including change in balance of assets held for sale and movements in exchange rates on cash held

In 9M 2024, AT generated €619 million net cash from operating activities, higher by 9% compared to the €567 million generated in 9M 2023. The higher operational cash flow was mainly driven by the strong like-for-like rental growth, the better results in the hotel segment with no extraordinary expenses for uncollected rent, and lower property operating expenses, which offset the impact from net disposals in the period.

The Group recorded €31 million net cash from investing activities in the nine months of 2024, compared to €352 million received in 9M 2023. €464 million were received from disposals and repayment of vendor loans, net of new vendor loans granted, transaction costs and taxes. Further proceeds came from distributions from joint ventures and repayment of loans-to-own assets. €334 million was used mainly for capex and a small amount for acquisitions, offsetting the positive cash flow generated from disposals.

€511 million was used in financing activities in 9M 2024, lower compared to the €785 million used in 9M 2023. Main sources of cash during 9M 2024 were the new bond issuances totaling €1.15 billion in nominal amount and ca. €250 million of new bank borrowings which was utilized to repurchase and redeem €1.15 billion nominal amount of debt, including the buyback of bonds at a discount. Other cash uses included finance expenses, perpetual notes attribution and cash payments related to the tender offers, derivative payments and transactions with non-controlling interests.

In total, the net change in cash and cash equivalents amounted to €139 million in 9M 2024. Including other liquid assets, AT's liquidity position was €3.3 billion at the end of September 2024, representing 23% of the total debt position.

ASSETS

		Sep 2024	Dec 2023
	Note	in € millions
Total Assets	(a)	32,963.8	33,559.3
Non-current assets	(a)	28,020.3	28,867.5
Investment property	(b)	24,016.4	24,632.4
Goodwill and intangible assets	(c)	1,165.2	1,165.7
Investment in equity-accounted investees	(d)	1,013.1	1,086.5
Long term financial investments and other assets	(e)	1,470.9	1,458.1

(a) Total assets

Total assets amounted to €33.0 billion as of September 2024, lower by 2% compared to €33.6 billion as of December 2023 mainly due to negative property revaluations and the use of cash for perpetual notes tenders, partially offset by operational profits and proceeds from liability management activities which will be utilized for future debt repayments. Non-current assets totaled €28.0 billion as of the end of September 2024, 3% lower compared to €28.9 billion as of December 2023.

(b) Investment property

Investment property represents the largest item under non-current assets and amounted to €24.0 billion as of September 2024, lower by 3% compared to €24.6 billion at the end of December 2023. The decrease was mainly due to the property devaluations recorded in H1 2024 as well as from disposals and classification into assets held for sale, partially offset by capex and a small amount of acquisitions. Valuation declines have slowed substantially and are well positioned to benefit from the rate cuts and improving sentiment in the transaction market. The full portfolio was revalued in H1 2024 and will be revalued again as part of the full year report.

In 9M 2024, AT completed ca. €440 million of disposals at an average of 2% above book values. Disposals consisted of 69% residential, office, and hotel assets, 23% development assets, and 8% retail and included assets located mainly in London, Rotterdam, Berlin, Hamburg, Dresden, and non-core locations. New investment properties in the amount of ca. €130 million were added in the period and consisted mainly of attractive residential and hotel properties in the UK, mainly in London, with operational upside potential. The majority of these assets were previously held as loan-to-own assets and through a joint venture structure and during the period the Company increased its stake and obtained control over the underlying properties.

(c) Goodwill and intangible assets

Goodwill and intangible assets amounted to €1.2 billion at the end of September 2024, stable compared to €1.2 billion at year-end 2023. Goodwill in the amount of €604 million is related to the TLG takeover and goodwill in the amount of €540 million is related to the consolidation of GCP. All EPRA NAV KPI's exclude the goodwill so any change in the goodwill balance has no impact on these KPI's.

(d) Investment in equity-accounted investees

Investment in equity-accounted investees amounted to €1.0 billion as of the end of September 2024, lower compared to €1.1 billion at the end of December 2023, mainly due to valuation losses in investees and obtaining control and subsequent consolidation of some investment properties. This line item represents the Group's long-term investment in joint ventures in which the Group has a significant influence, but which are not consolidated. The largest investment in this item as of September 30, 2024, which represents ca. half of the total balance of this item, is AT's stake in Globalworth, a leading publicly listed office landlord in Central Eastern European markets, mainly in Warsaw and Bucharest. The holding rate in Globalworth is slightly above 30% as of September 2024, indirectly held through a joint venture. The remaining balance of equity-accounted investees mainly include several positions in real estate properties and investment in real estate related funds specialized among others in Proptech, digitalization and technology in the real estate sector, as well as yielding real estate loan funds, which work in a similar profile to the Group's loans-to-own investments and may provide future access to attractive deals, and additional investments in co-working and renewable energy projects. AT's share in the operational profits and dividends from these investments are included in the operational results of the Company.

(e) Long term financial investments and other assets

Long term financial investments and other assets are mainly comprised of vendor loans that are related to disposals, long-term financial investments and loans-to-own assets. Vendor loans support the facilitation of transactions and were given to several selected buyers of assets that were sold. The loans generally have a maturity of 1-3 years and are expected to be paid in installments from 2024-2026. The loans are secured against the property sold at an initial LTV in the range of 40%-70% at the time of disposal and in case of default gives AT the ability to get the asset back with a penalty to the defaulted buyer (through a process involving a receiver). The average interest rate of the vendor loans is ca. 5%. The balance as of September 2024 is ca. €0.57 billion, down from €0.65 billion as of December 2023, which supported the liquidity and reduced the leverage. The future liquidity coming from the repayments of the vendor loans in the next periods will reduce the Group's leverage as they are conservatively not included in the LTV calculation. Loans-to-own assets are asset-backed and yielding loans where, under certain conditions, the default of the loan will enable the Group to take over the underlying asset at a material discount. Loans-to-own assets were provided to a diverse number of property owners and sourced through the Group's wide deal sourcing network established over the years. As of September 2024, the loans-to-own balance amounted to ca. €0.3 billion, down from ca. €0.4 billion in December 2023, mostly from repayments and partially from the taking over of assets.

The loans-to-own assets are expected to be repaid or converted into properties and will reduce the Group's leverage. Although the loans-to-own balance is a relatively small part of the Group's balance sheet, it is extending the Group's deal sourcing opportunities, which under certain circumstances may provide attractive options for alternative acquisition opportunities. During 9M 2024, AT was able to utilize this source to gain control of attractive investment properties in London previously included in the loans-to-own balance. Financial investments amounted to ca. €0.4 billion which comprise over 20 investments mainly in real estate funds as well as proptech funds and potentially co-investments in their attractive deals and financial assets with the expectation for long-term yield.

The long term financial investments and other assets also include ca. €65 million of tenant deposits which are used as a security for rent payments, ca. €50 million of receivables due to revenue straight-lining effect arising from rent-free periods granted to tenants, long-term minority positions in real estate properties and other receivables.

	Sep 2024	Dec 2023
	in € millions
Current assets	4,943.5	4,691.8
Cash and liquid assets 1)	3,259.6	3,026.1
Trade and other receivables	951.2	1,008.3
Assets held for sale 2)	511.8	409.4

1) including cash in assets held for sale, short term deposits and financial assets at fair value through profit or loss

2) excluding cash in assets held for sale

Current assets amounted to €4.9 billion as of the end of September 2024, higher by 5% compared to €4.7 billion at the end of December 2023, mainly due to the higher cash and liquid assets balance.

The cash and liquid assets balance totaled €3.3 billion as of September 2024, higher by 8% compared to €3.0 billion as of December 2023. The increase was mainly due to cash received from new debt, operational profitability, net cash proceeds from disposals, and repayment of vendor loans and loans-to-own, partially offset by debt repayments and cash used in relation to the Group's perpetual notes transactions. AT's liquidity position represents a large proportion of total debt at 23%.

The trade and other receivables balance amounted to €0.95 billion as of September 2024, lower compared to €1 billion as of December 2023. Operating costs and operational rent receivables, pre-paid expenses, and tax assets make up the largest portion and totaled approx. €830 million as of September 2024, higher compared to approx. €775 million as of December 2023, mainly due to timing impacts related to the settlement of service charges, partially offset by the impact from net disposals. Operating cost receivables relate to ancillary services and other charges billed to tenants. These services include utility and service costs which include heating, water, insurance, cleaning, waste, etc. These operating cost receivables are mainly settled once per year against the advance payments received from tenants and are therefore correlated to pre-payments for ancillary services received from tenants presented under short-term liabilities. Current assets also include financial assets with a maturity of less than 1 year, made up of the current portion of loans-to-own assets, vendor loans and other receivables which totaled approx. €100 million at the

end of September 2024, lower compared to €230 million at the end of December 2023, and explained above as part of the non-current assets.

As of the end of September 2024, the assets held for sale balance amounted to €512 million, compared to €409 million as of December 2023. The assets in held for sale are expected to be sold within the next 12 months and more than half of this balance is signed but not yet closed. The expected proceeds will further strengthen AT's liquidity position and support future deleveraging.

LIABILITIES

	Sep 2024	Dec 2023
	in € millions
Long and short term loans and borrowings	2,388.7	2,204.1
Long and short term straight bonds	11,994.9	12,038.0
Deferred tax liabilities (including those under held for sale)	2,057.2	2,125.1
Long and short term derivative financial instruments and other long-term liabilities	900.9	1,076.1
Other current liabilities 1)	1,091.8	966.3
Total Liabilities	18,433.5	18,409.6

1) excluding current liability items that are included in the lines above

Total liabilities amounted to €18.4 billion as of September 2024, stable compared to €18.4 billion at the end of December 2023. The increase from the new debt raised was offset by the debt buybacks at a slight discount, redemptions, and the lower deferred tax liabilities balance. Total debt from bank loans and bonds totaled €14.4 billion at the end of September 2024, 1% higher compared to €14.2 billion at the end of December 2023. In the reporting period, AT successfully issued €1.15 billion in new senior unsecured bonds which received broad investor demand. These proceeds were used to buyback ca. €700 million in nominal value of shorterterm bonds at a slight discount, primarily through tender offers and redeem early €130 million of AT's Series P, thereby extending the debt maturity profile. In total, AT repaid ca. €1.15bn in debt throughout the nine months of 2024, of which the remaining repayments consisted mainly of redemptions of the maturing AT's Series 27, GCP's Series W 2024, and GCP's Series Q 2024 bonds. The company also raised new secured debt in the amount of ca. €250 million in 9M 2024. AT also retains €16.9 billion in unencumbered assets which can be utilized to raise additional secured financing.

Deferred tax liabilities totaled €2.1 billion as of September 2024, 3% lower compared to €2.1 billion as of December 2023, mainly due to the impact from property devaluations and disposals. Deferred tax liabilities are non-cash items that are predominantly tied to revaluation gains, calculated conservatively by assuming theoretical future property disposals in the form of asset deals and as such the full corporate tax rate is applied in the relevant jurisdictions. Deferred tax liabilities represented 11% of total liabilities as of the end of September 2024.

The long and short term derivative financial instruments and other long-term liabilities were lower as of September 2024 compared to as of the end of December 2023. Other long-term liabilities also include tenancy deposits, lease liabilities mainly in relation to right-of-use assets, and non-current payables to third parties. The derivative financial instruments include a contingent liability created as part of the takeover of TLG.

Other current liabilities totaled €1.1 billion at the end of September 2024, higher compared to €1.0 billion at the end of December 2023, mainly due to the timing impacts related to the settlement of service charges, partially offset by the impact from net disposals. The largest item in other current liabilities is trade and other payables, which mainly comprise of pre-payments for ancillary services received from tenants that are correlated with the operating costs receivables under current assets. Other current liabilities also include tax payables, provisions for other liabilities and accrued expenses and other liabilities in properties held for sale which are not included above. Current assets cover current liabilities by approx. 2 times.

Frankfurt

AROUNDTOWN SA | Board of Directors' Report

DEBT METRICS

LOAN-TO-VALUE (LTV)	Sep 2024	Dec 2023
	in € millions
Investment property 1)	23,958.2	24,580.1
Investment property of assets held for sale	476.9	408.3
Investment in equity-accounted investees 2)	789.3	857.1
Total value (a)	25,224.4	25,845.5
Total financial debt 3)	14,383.6	14,242.1
Less: Cash and liquid assets 3)	(3,259.6)	(3,026.1)
Net financial debt (b)	11,124.0	11,216.0
LTV (b/a)	44%	43%

UNENCUMBERED ASSETS	Sep 2024	Dec 2023
	in € millions
Rent generated by unencumbered assets 4)	831.3	855.8
Rent generated by the total Group 4)	1,156.8	1,158.7
Unencumbered assets ratio	72%	74%

	Nine months ended September 30,
INTEREST COVER RATIO (ICR)	2024	2023
	in € millions
Finance expenses	178.5	164.9
Adjusted EBITDA 5)	711.2	712.8
ICR	4.0x	4.3x

1) including advance payments and deposits and owner-occupied property and excluding right-of-use assets

2) including property related JV's

3) including balances under held for sale

4) annualized net rent including the contribution from joint venture positions and excluding the net rent from assets held for sale

5) including the contributions from assets held for sale, excluding extraordinary expenses for uncollected hotel rents

AT's disciplined debt management approach, strong credit profile, and high financial strength are reflected in the solid debt metrics. AT had an LTV of 44% as of September 2024, slightly higher compared to 43% as of December 2023, mainly due to the negative property revaluations recorded, partially offset by net disposals, operational profitability, the suspension of dividends, and debt repayments at a discount. The use of cash to repurchase tendered perpetual notes at discount increased the shareholder equity and improved the credit rating metrics but also increased the LTV. Aroundtown's leverage and financial metrics retain a very significant headroom to bond covenants. The Board of Directors has set an internal LTV guidance of 45% on a sustainable basis, significantly lower than the bond covenants. Following AT's strategy to reduce leverage, the Company expects the LTV to reduce further in the coming periods, mainly from disposals and repayments of vendor loans.

The Group's high operational profitability and financial discipline resulted in an ICR of 4.0x in 9M 2024, lower compared to 4.3x in 9M 2023 due to the stronger increase in finance expenses compared to the increase in adjusted EBITDA. As of the end of September 2024, AT had an unencumbered investment property ratio of 72% (by rent) with a total value of €16.9 billion (excluding held for sale assets). The large pool of unencumbered assets highlights the Group's financial flexibility and provides additional liquidity potential, along with undrawn revolving credit facilities of which €650 million were extended in 2024 year-to-date.

	Sep 2024	Dec 2023
	in € millions
Total equity	14,530.3	15,149.7
of which equity attributable to the owners of the Company	7,385.9	7,643.3
of which equity attributable to perpetual notes investors	4,500.2	4,756.9
of which non-controlling interests	2,644.2	2,749.5
Equity ratio	44%	45%

Total equity amounted to €14.5 billion as of September 2024, decreasing by 4% compared to €15.1 billion as of December 2023. The decrease in total equity was mainly due to the lower perpetual notes balance and the net loss. Correspondingly, equity attributable to the owners of the Company and to non-controlling interests amounted to €7.4 billion and €2.6 billion as of September 2024, both lower compared to €7.6 billion and €2.7 billion as of December 2023. AT did not pay dividend in 2024, for the year 2023, as a result of macro-economic uncertainty and the strategic focus on liquidity and deleveraging. Future dividends will be subject to market conditions and the leverage position of the Company.

The perpetual notes balance amounted to €4.5 billion as of September 2024, decreasing by 5% compared to €4.8 billion as of December 2023. The reduction in the balance was mainly due to the tendered perpetuals repurchased at a discount, hedging impact and a small amount of buybacks. As a result, the nominal perpetual balance decreased by approx. €300 million. During 9M 2024, the Group successfully executed perpetual note exchanges and tender offers targeting all notes with past first call dates and first call dates within the next 12 months. The perpetual notes exchanges had a high average acceptance rate of ca. 85% and €2.6 billion of new perpetual notes were issued across 5 series, of which 2 notes were tapped in the exchange transaction in September 2024. The perpetual exchange and tender offers support credit metrics under S&P methodology and the impacts are long-term FFO accretive. The Board of Directors of Aroundtown decided not to call the perpetual notes with a first call date in January 2024 and the reset coupon was adjusted to

4.542%. Additionally, the Board of Directors of Aroundtown decided not to call the remaining GBP perpetual notes with a first call date in June 2024 and the higher reset coupon was swapped to 6.85%. The reset rate on the remaining USD perpetual notes that had a first call date in July 2023 was swapped to 5.756%. For further details please see the relevant notes to the interim consolidated financial statements. Following IFRS accounting treatment, perpetual notes are classified as equity as they do not have a repayment date, are subordinated to debt, do not have default rights nor covenants and coupon payments are deferrable at the Company's discretion. The perpetual notes are 100% equity under IFRS regardless of whether they are called or not and therefore have no impact on the bond covenants. Perpetual notes remain an important part of the Company's capital structure as they provide a security cushion during volatile times by allowing issuers to manage the timing of any refinancing and conserve cash despite the higher coupon payments.

EPRA NAV KPI'S

The European Public Real Estate Association (EPRA) provides three key Net Asset Value (NAV) metrics designed to provide stakeholders with the most relevant information on the fair value of the Group's assets and liabilities. With the evolving nature of their business models, real estate companies progressed into actively managed entities, engaging in non-property operating activities, actively recycling capital and accessing capital markets for balance sheet financing. In line with these developments, EPRA has provided the market with the following three NAV KPI's: EPRA Net Reinstatement Value (EPRA NRV), EPRA Net Tangible Assets (EPRA NTA) and EPRA Net Disposal Value (EPRA NDV).

	Sep 2024			Dec 2023
	in € millions		in € millions
	EPRA NRV	EPRA NTA	EPRA NDV	EPRA NRV	EPRA NTA	EPRA NDV
Equity attributable to the owners of the Company	7,385.9	7,385.9	7,385.9	7,643.3	7,643.3	7,643.3
Deferred tax liabilities 1)	1,788.7	1,534.7	-	1,841.2	1,564.8	-
Fair value measurement of derivative financial instruments 2)	50.4	50.4	-	14.2	14.2	-
Goodwill in relation to TLG 3)	(604.0)	(604.0)	(604.0)	(604.0)	(604.0)	(604.0)
Goodwill in relation to GCP 4)	(539.8)	(539.8)	(539.8)	(539.8)	(539.8)	(539.8)
Intangibles as per the IFRS balance sheet 5)	-	(19.7)	-	-	(19.8)	-
Net fair value of debt	-	-	351.1	-	-	1,092.6
Real estate transfer tax 6)	1,533.6	-	-	1,565.9	-	-
NAV	9,614.8	7,807.5	6,593.2	9,920.8	8,058.7	7,592.1
Number of shares (in millions) 7)	1,095.2		1,094.4
NAV per share (in €)	8.8	7.1	6.0	9.1	7.4	6.9

1) excluding significant minority share in deferred tax liabilities (DTL), as well as deferred tax assets on certain financial instruments in line with EPRA recommendations. EPRA NRV additionally includes DTL of assets held for sale

2) excluding significant minority share in derivatives

3) deducting the goodwill resulting from the business combination with TLG

4) deducting the goodwill resulting from the consolidation of GCP

5) excluding significant minority share in intangibles

6) including the gross purchasers' costs of assets held for sale and relative share in GCP's relevant RETT

7) excluding shares in treasury, base for share KPI calculations

AT's EPRA NAV KPI's were negatively impacted by the property devaluations net of the deferred tax income, partially offset by the positive operational performance.

The EPRA NRV totaled €9.6 billion or €8.8 per share as of September 2024, both lower by 3%, compared to €9.9 billion and €9.1 per share as of December 2023.

The EPRA NTA amounted to €7.8 billion or €7.1 per share as of September 2024,

lower by 3% and 4% respectively, compared to €8.1 billion and €7.4 per share as of December 2023.

The EPRA NDV amounted to €6.6 billion or €6.0 per share as of September 2024, both lower by 13%, compared to €7.6 billion and €6.9 per share as of December 2023. EPRA NDV was also lower due to the higher net fair value of debt from lower market volatility.

Alternative Performance Measures

Aroundtown follows the real estate reporting criteria and provides Alternative Performance Measures. These measures provide more clarity on the business and enables benchmarking and comparability to market levels. In the following section, Aroundtown presents a detailed reconciliation for the calculations of its Alternative Performance Measures.

ADJUSTED EBITDA

The adjusted EBITDA is a performance measure used to evaluate the operational results of the Group by deducting from the EBITDA, which includes the Total depreciation and amortization on top of the Operating profit / (loss), non-operational items such as the Property revaluations and capital gains and Share of results from investment in equity accounted investees, as well as Contributions of assets held for sale. Aroundtown adds to its adjusted EBITDA a non-recurring and/or non-cash item called Other adjustments which is mainly the expenses for employees' share incentive plans. In order to reflect only the recurring operational profits, Aroundtown excludes the Share of results from investment in equity accounted investees as this item also includes non-operational profits generated by Aroundtown's equity accounted investees. Instead, Aroundtown includes in its adjusted EBITDA its share in the adjusted EBITDA generated by investments where Aroundtown has significant influence in accordance with its economic holding rate over the period. This line item is labelled as Contribution of joint ventures' adjusted EBITDA. Prior to the third quarter of 2021, this line item was mostly attributed to Aroundtown's share in GCP's adjusted EBITDA, however, starting from July 1, 2021, GCP is consolidated in Aroundtown's financial accounts.

Aroundtown created extraordinary expenses for uncollected hotel rents. Adjusted EBITDA excludes (adds back) these expenses which are called Extraordinary expenses for uncollected hotel rents.

Adjusted EBITDA Calculation

Operating profit / (loss) 1)
(+) Total depreciation and amortization

(=) EBITDA

(-) Property revaluations and capital gains 2)
(-) Share of results from investment in equity accounted investees 3)
(+) Other adjustments 4)
(-) Contribution of assets held for sale 5)
(+) Add back: Extraordinary expenses for uncollected hotel rents 6)

(=) Adjusted EBITDA before JV contribution 7)

(+) Contribution of joint ventures' adjusted EBITDA 8)

(=) Adjusted EBITDA

1) Named as "Operating profit" in FY 2020, 2021 and 2022. Named as "Operating (loss) / profit" in FY 2023
2) Named as "Property revaluations and capital gains" in FY 2020, 2021 and 2022. Named as "Property revaluations and capital (losses) / gains" in FY 2023
3) Named as "Share in profit from investment in equity-accounted investees" in FY 2020 and "Share of profit from investment in equity-accounted investees" in FY 2021 and 2022. Named as "Share of (loss) / profit from investment in equity accounted investees" in FY 2023
4) Including expenses related to employees' share incentives plans. Named as "Other adjustments" in FY 2023 as no one-off expenses related to TLG merger were recorded in FY 2023. Named as "Other adjustments incl. one-off expenses related to TLG merger" after the takeover of TLG in FY 2020, 2021 and 2022.
5) Named as "Contribution from assets held for sale" in FY 2020
6) Named as "Extraordinary expenses for uncollected hotel rents" in FY 2023. Named as "Extraordinary expenses for uncollected rent" in FY 2020, 2021 and 2022. The adjustment started in 2020 after the Covid pandemic in order to reflect the recurring adjusted EBITDA excluding these extraordinary expenses
7) Named as "Adjusted EBITDA commercial portfolio, recurring long-term" in FY 2020
8) The adjustment is to reflect AT's share in the adjusted EBITDA of companies in which AT has significant influence and that are not consolidated. GCP contributed to this line item until June 30, 2021. Starting from July 1, 2021, GCP is consolidated. Named as "Adjustment for GCP's and other investments' adjusted EBITDA contribution" in FY 2020

FUNDS FROM OPERATIONS I (FFO I)

Funds from Operations I (FFO I) is an industry standard performance indicator for evaluating operational recurring profits of a real estate firm. Aroundtown calculates FFO I by deducting from the Adjusted EBITDA before JV contribution, the Finance expenses, Current tax expenses, Contribution to minorities and adds back Adjustments related to assets held for sale. Adjustments related to assets held for sale refers to finance expenses and current tax expenses related to assets held for sale. Contribution to minorities additionally include the minority share in GCP's FFO I (starting from July 1, 2021) and the minority share in TLG's FFO I excluding the contribution from assets held for sale. Aroundtown additionally deducts the Perpetual notes attribution to reach at FFO I before JV contribution. Prior to 2021, this figure did not deduct the perpetual notes attribution.

Due to the exclusion of the Share of results from investment in equity accounted investees in the adjusted EBITDA calculation which includes the operational profits from those investments, Aroundtown adds back its relative share in the FFO I of joint venture positions in accordance with the holding rate over the period to reflect the recurring operational profits generated by those investments. This item is labelled as Contribution of joint ventures' FFO I. Prior to the third quarter of 2021, this item was mostly attributed to Aroundtown's share in GCP's FFO I, however, starting from July 1, 2021, GCP is consolidated in Aroundtown's financial accounts. Aroundtown created Extraordinary expenses for uncollected hotel rents. Therefore, Aroundtown's FFO I included these expenses.

FFO I per share is calculated by dividing the FFO I by the Weighted average basic shares which excludes the shares held in treasury.

In FY 2020 and FY 2021, Aroundtown additionally showed FFO I before extraordinary Covid adjustment and FFO I per share before extraordinary Covid adjustment (named as FFO I before Covid and FFO I per share before Covid in FY 2020), which excluded the Extraordinary expenses for uncollected rent. Starting from FY 2022, this line item is not shown in the table to maintain the focus on the main FFO I KPI.

Funds From Operations (FFO I) Calculation

Adjusted EBITDA before JV contribution
(-) Finance expenses
(-) Current tax expenses
(-) Contribution to minorities 1)
(+) Adjustments related to assets held for sale
(-) Perpetual notes attribution

(=) FFO I before JV contribution 2)

(+) Contribution of joint ventures' FFO I 3)
(-) Extraordinary expenses for uncollected hotel rents 4)

(=) FFO I 5)

1) Including minority share in GCP's FFO I (since the consolidation in Q3 2021) and TLG's FFO (since the takeover in Q1 2020)
2) Named as "FFO I commercial portfolio, recurring long-term" in FY 2020. In order to align FFO I better with the market standards, Aroundtown started deducting perpetual notes attribution from its main FFO I KPI in 2020 and from this line item in 2021
3) The adjustment is to reflect AT's share in the FFO I of companies in which AT has significant influence and that are not consolidated. GCP contributed to this line item until June 30, 2021. Starting from July 1, 2021 GCP is consolidated. Named as "Adjustment for GCP's and other investments' FFO I contribution" in FY 2020
4) Named as "Extraordinary expenses for uncollected rent" in FY 2020, 2021 and 2022.
5) In order to align this KPI better with market standards, in 2020, Aroundtown started deducting the perpetual notes attribution from this KPI

FFO I Per Share Calculation

(c) FFO I

(b) Weighted average basic shares 1)

(=) (c/b) FFO I per share 2)

1) Weighted average number of shares excludes shares held in treasury, base for share KPI calculations. Prior to their conversion, it included the conversion impact of mandatory convertible notes
2) In order to align this KPI better with market standards, in 2020, Aroundtown started deducting the perpetual notes attribution from FFO I

FUNDS FROM OPERATIONS II (FFO II)

Funds from Operations II (FFO II) is an additional measurement used in the real estate industry to evaluate operational recurring profits including the impact from disposal activities. To derive the FFO II, the Results from disposal of properties are added to the FFO I. The results from disposals reflect the profit driven from the excess amount of the sale price, net of transactions costs, to cost price plus capex of the disposed properties.

Funds From Operations II (FFO II) Calculation

FFO I

(+) Result from the disposal of properties 1)

(=) FFO II 2)

1) The excess amount of the sale price, net of transaction costs and total costs (cost price and capex of the disposed properties)
2) In order to align FFO I better with market standards, in 2020, Aroundtown started deducting the perpetual notes attribution

RENTAL YIELD AND RENT MULTIPLE

The rental yield and rent multiple are industry standard indicators to measure the rent generation of a property portfolio relative to its value and are generally used as key valuation indicators.

The Rental yield is derived by dividing the End of period annualized net rental income, by the Investment property. The End of period annualized net rental income is the annualized monthly in-place rent of the related Investment property as at the end of the period. The Rent multiple is the inverse of Rental yield and is derived by dividing the Investment property by the End of period annualized net rental income. As the assets that classified as Development rights & invest do not generate material rental income, these are excluded from the calculation.

AT additionally reports rental yield and/or rent multiple on a more granular basis, such as in its portfolio breakdown or in relation to specific transactions, to provide enhanced transparency and comparability on its property portfolio in specific locations and/or in relation to transaction activity.

Rental Yield and Rent Multiple Calculation

(a) End of period annualized net rental income 1)

(b) Investment property 1)

(=) (a/b) Rental yield

(=) (b/a) Rent multiple

1) Excluding properties classified as Development rights & Invest

LOAN-TO-VALUE (LTV)

The Loan-to-Value (LTV) is a measurement aimed at reflecting the leverage of a company. The purpose of this metric is to assess the degree to which the total value of the real estate properties can cover financial debt and the headroom against a potential market downturn. With regards to Aroundtown's internal LTV guidance due to its conservative financial policy, the LTV shows as well the extent to which Aroundtown can comfortably raise further debt to finance additional growth. Total value is calculated by adding together the Investment property which includes Advance payments and deposits and starting from FY 2023 Owner-occupied property but excludes the right-of-use assets, Investment property of assets held for sale and Investment in equity-accounted investees which starting from Dec 2022 include only property related JV's. Net financial debt is calculated by deducting the Cash and liquid assets from the Total financial debt which is a sum of Long and short term loans and borrowings and Long and short term straight bonds. Cash and liquid assets are the sum of Cash and cash equivalents, Shortterm deposits and Financial assets at fair value through profit or loss, as well as cash balances of assets held for sale. Aroundtown calculates the LTV ratio through dividing the Net financial debt by the Total value.

LTV Calculation

(+) Investment property (incl. advance payments and deposits and owner-occupied property and excl. right-of-use assets) 1)

(+) Investment property of assets held for sale

- (+) Investment in equity-accounted investees 2)

(=) (a) Total value

(+) Total financial debt 3)

(-) Cash and liquid assets 4)

(=) (b) Net financial debt

(=) (b/a) LTV

1) It included inventories trading property before the item was disposed and starting in Dec 2023 includes Owner-occupied property
2) Including property related JV's starting from Dec 2022
3) Total of bank loans, straight bonds, schuldscheins and exluding lease liabilities. It included convertible bonds prior to their repayment
4) Including balances under held for sale

EQUITY RATIO

Equity Ratio is the ratio of Total Equity divided by Total Assets, each as indicated in the consolidated financial statements. Aroundtown believes that Equity Ratio is useful for investors primarily to indicate the long-term solvency position of Aroundtown.

Equity Ratio Calculation

(=) (a/b) Equity Ratio
(b) Total Assets
(a) Total Equity

UNENCUMBERED ASSETS RATIO

The Unencumbered assets ratio is an additional indicator to assess Aroundtown's financial flexibility. As Aroundtown is able to raise secured debt over the unencumbered asset, a high ratio of unencumbered assets provides Aroundtown with additional potential liquidity. Additionally, unencumbered assets provide debt holders of unsecured debt with a headroom. Aroundtown derives the Unencumbered assets ratio from the division of Rent generated by unencumbered assets by Rent generated by the total Group. Rent generated by unencumbered assets is the net rent on an annualized basis generated by assets which are unencumbered, including the contribution from joint venture positions but excluding the net rent from assets held for sale. In parallel, Rent generated by the total Group is the net rent on an annualized basis generated by the total Group including the contribution from joint venture positions but excluding the net rent from assets held for sale.

Unencumbered Assets Ratio Calculation

(a) Rent generated by unencumbered assets 1)

(b) Rent generated by the total Group 1)

(=) (a/b) Unencumbered Assets Ratio

1) Annualized net rent including the contribution from joint venture positions and excluding the net rent from assets held for sale

INTEREST COVER RATIO (ICR)

The Interest Cover Ratio (ICR) is widely used in the real estate industry to assess the strength of a firm's credit profile. The multiple indicates the degree to which Aroundtown's operational results are able to cover its debt servicing costs. ICR is calculated by dividing the Adjusted EBITDA including the contributions from assets held for sale by the Finance expenses. ICR previously included the contribution from joint venture positions in both the finance expenses and adjusted EBITDA but it was reclassified during 2021 to exclude these contributions in order to reflect the interest cover ratio of the Group's standalone operations excluding its joint venture investments, as well as to simplify this KPI. Aroundtown additionally provides the ICR, including extraordinary expenses for uncollected hotel rents and which was previously reported as ICR, Covid adjusted and which is calculated by dividing the Adjusted EBITDA including extraordinary expenses for uncollected hotel rents and the contributions from assets held for sale by the Finance expenses.

ICR Calculation

(a) Finance expenses 1)

(b) Adjusted EBITDA 2)

(=) (b/a) ICR

1) Previously included contributions from joint venture positions and named as "Group finance expenses" in FY 2020
2) Including the contributions from assets held for sale and previously included contributions from joint venture positions

ICR, Including Extraordinary Expenses for Uncollected Hotel Rents Calculation

(a) Finance expenses

(=) (c/a) ICR, including extraordinary expenses for uncollected hotel rents 3)

1) Previously included contributions from joint venture positions and named as "Group finance expenses" in FY 2020
2) Including the contributions from assets held for sale and previously included contributions from joint venture positions
3) Named as ICR, Covid adjusted in FY 2022
4) Including extraordinary expenses for uncollected hotel rents.

EPRA NAV KPI'S EPRA NET REINSTATEMENT VALUE (EPRA NRV)

The EPRA NRV is defined by the European Public Real Estate Association (EPRA) as a measure to highlight the value of a company's net assets on a long-term basis, assuming entities never sell assets. This KPI aims to represent the value required to rebuild the company. Aroundtown's EPRA NRV calculation begins by adding to the Equity attributable to the owners of the Company the Deferred tax liabilities which includes balances in assets held for sale and excludes significant minority share in deferred tax liabilities, as well as excluding deferred tax assets on certain financial instruments in line with EPRA recommendations. Aroundtown also adds/deducts Fair value measurement of derivative financial instruments which includes the derivative financial instruments related to interest hedging and excludes significant minority share in derivative financial instruments. These items are added back in line with EPRA's standards as they are not expected to materialize on an ongoing and long-term basis. Aroundtown then deducts the Goodwill in relation to TLG, Goodwill in relation to GCP and adds Real estate transfer tax which is the gross purchasers' costs in line with EPRA's standards which includes Aroundtown's share in TLG's and GCP's relevant real estate transfer taxes (RETT). Following the consolidation of GCP, the goodwill recognized in relation to GCP became relevant for EPRA NRV calculations. EPRA NRV per share is calculated by dividing the EPRA NRV by the Number of shares which excludes the treasury shares.

The EPRA NAV was discontinued by EPRA starting from FY 2020. Following EPRA guidelines, Aroundtown provided the bridge between the former EPRA NAV and the new EPRA NRV in its FY 2020 report and discontinued reporting EPRA NAV thereafter. The main difference between the former EPRA NAV and the EPRA NRV is the addition of real estate transfer taxes in the EPRA NRV.

EPRA NRV and EPRA NRV Per Share Calculation

(=) (a/b) EPRA NRV per share
(b) Number of shares (in millions) 6)
(+) Real estate transfer tax 5) (=) (a) EPRA NRV

(-) Goodwill in relation to GCP 4)
(-) Goodwill in relation to TLG 3)
(+/-) Fair value measurement of derivative financial instruments 2)
Equity attributable to the owners of the Company (+) Deferred tax liabilities 1)

1) Excluding significant minority share in deferred tax liabilities (DTL), as well as deferred tax assets on certain financial instruments in line with EPRA recommendations, including DTL of assets held for sale

2) Excluding significant minority share in derivatives
3) Deducting the goodwill resulting from the business combination with TLG
4) Deducting the goodwill resulting from the consolidation of GCP
5) Including the gross purchasers' costs of assets held for sale and relative share in TLG's and GCP's relevant RETT
6) Excluding shares in treasury, base for share KPI calculations. Prior to their conversion, it included the conversion impact of mandatory convertible notes

EPRA NET TANGIBLE ASSETS (EPRA NTA) AND EPRA NTA with RETT

The EPRA NTA is defined by the European Public Real Estate Association (EPRA) as a measure to highlight the value of a company's net tangible assets assuming entities buy and sell assets, thereby crystallizing certain levels of unavoidable deferred taxes. Aroundtown's EPRA NTA calculation begins by adding to the Equity attributable to the owners of the Company the Deferred tax liabilities which excludes the deferred tax liabilities of properties held for sale, retail portfolio, development rights & invest portfolio, GCP's portfolio cities classified as "Others" and significant minority share in deferred tax liabilities, as well as excluding deferred tax assets on certain financial instruments in line with EPRA recommendations. Aroundtown also adds/deducts Fair value measurement of derivative financial instruments which includes the derivative financial instruments related to interest hedging and excludes significant minority share in derivative financial instruments. Furthermore, Aroundtown deducts the Goodwill in relation to TLG, Goodwill in relation to GCP and Intangibles as per the IFRS balance sheet which excludes significant minority share in intangibles. The EPRA NTA was reclassified in Dec 2022 to exclude RETT in order to align better with market standards. The EPRA NTA per share is calculated by dividing the EPRA NTA by the Number of shares which excludes the treasury shares. The EPRA NTA with RETT adds gross purchasers' cost of properties which enable RETT optimization at disposal based on track record, including the relative share in GCP's relevant RETT. The EPRA NTA with RETT per share is calculated by dividing the EPRA NTA with RETT by Number of shares.

EPRA NTA (& per share) and EPRA NTA with RETT (& per share) Calculation

Equity attributable to the owners of the Company (+) Deferred tax liabilities 1)
(+/-) Fair value measurement of derivative financial instruments 2)
(-) Goodwill in relation to TLG 3)
(-) Goodwill in relation to GCP 4)
(-) Intangibles as per the IFRS balance sheet 5) (=) (a) EPRA NTA 6)
(+) (b) Real estate transfer tax 7)
(=) (c=a+b) EPRA NTA with RETT 8)

(a) EPRA NTA 6)

(d) Number of shares (in millions) 9)
(=) (a/d) EPRA NTA per share 6)

(c) EPRA NTA with RETT 8)

(d) Number of shares (in millions) 9)

(=) (c/d) EPRA NTA with RETT per share 8)

1) Excluding significant minority share in deferred tax liabilities (DTL), as well as deferred tax assets on certain financial instruments in line with EPRA recommendations
2) Excluding significant minority share in derivatives
3) Deducting the goodwill resulting from the business combination with TLG
4) Deducting the goodwill resulting from the consolidation of GCP. Prior to the consolidation of GCP as of July 1, 2021, there was an adjustment related to surplus on investment in GCP, named as "Goodwill as per the IFRS balance sheet (related to GCP surplus)"
5) Excluding significant minority share in intangibles
6) Changed in Dec 2022 to exclude RETT
7) Including only the gross purchasers' costs of properties where RETT optimization at disposal can be achieved. Additionally including relative share in GCP's relevant RETT
8) Previously defined as "EPRA NTA" or "EPRA NTA per share" in FY 2020 and FY 2021
9) Excluding shares in treasury, base for share KPI calculations. Prior to their conversion, it included the conversion impact of mandatory convertible notes

EPRA NET DISPOSAL VALUE (EPRA NDV)

The EPRA NDV is defined by the European Public Real Estate Association (EPRA) as a measure that represents the shareholders' value under a disposal scenario, where deferred taxes, financial instruments and certain other adjustments are calculated to the full extent of their liability, net of any resulting tax. Aroundtown calculates its EPRA NDV by deducting from the Equity attributable to the owners of the Company, the Goodwill in relation to TLG and Goodwill in relation to GCP and deducting/adding the Net fair value of debt which is the difference between the market value of debt and the book value of debt, adjusted for taxes. The EPRA NDV per share is calculated by dividing the EPRA NDV by the Number of shares which excludes the treasury shares. The EPRA NNNAV was discontinued by EPRA starting from FY 2020. Following EPRA guidelines, Aroundtown provided the bridge between the former EPRA NNNAV and the new EPRA NDV in its FY 2020 report and discontinued reporting EPRA NNNAV thereafter. The main difference between the former EPRA NNNAV and the EPRA NDV is the exclusion of deferred tax liabilities in the EPRA NDV and goodwill related to GCP

surplus prior to the consolidation of GCP as of July 1, 2021.

EPRA NDV and EPRA NDV Per Share Calculation

Equity attributable to the owners of the Company

(-) Goodwill in relation to TLG 1)

(-) Goodwill in relation to GCP 2)
(+/-) Net fair value of debt

(=) (a) EPRA NDV

(b) Number of shares 3)

(=) (a/b) EPRA NDV per share

1) Deducting the goodwill resulting from the business combination with TLG
2) Deducting the goodwill resulting from the consolidation of GCP. Prior to the consolidation of GCP as of July 1, 2021, there was an adjustment related to surplus on investment in GCP, named as "Goodwill as per the IFRS balance sheet (related to GCP surplus)"
3) Excluding shares in treasury, base for share KPI calculations. Prior to their conversion, it included the conversion impact of mandatory convertible notes

EPRA LOAN-TO-VALUE (EPRA LTV)

The EPRA LTV is a metric that aims to assess the leverage of shareholder equity within a real estate company. The main difference between EPRA LTV and the Company's calculated LTV is the wider categorization of liabilities and assets with the largest impact coming from the inclusion of perpetual notes as debt, inclusion of financial assets in the net assets and proportionate consolidation adjustments. EPRA LTV is calculated by dividing the EPRA Net debt by EPRA Total property value. EPRA Net debt is derived by deducting Cash and liquid assets from EPRA Gross debt. Cash and liquid assets are defined under LTV section above. EPRA Gross debt is the sum of Total financial debt described under LTV section above, an adjustment related to Foreign currency derivatives, Equity attributable to perpetual notes investors and Net payables. EPRA Total property value is the sum of Investment property which includes Advance payments and deposits but excludes the right-of-use assets, Investment property of assets held for sale, Owner-occupied property, Intangibles as per the IFRS balance sheet, Net receivables and Financial assets. Net payables or Net receivables is the sum of Trade and other receivables and Long term financial investments and other assets (both of which excluding loans-to-own assets and vendor loans), net of Trade and other payables, Long term financial liabilities and other payables (excluding lease liabilities), Tax payable and Provisions for other liabilities and accrued expenses, including balances in held for sale. If Net receivables are larger than Net payables in absolute values, the netted sum is shown in EPRA Total property value, otherwise in EPRA Net debt. Financial assets are the sum of loans-to-own assets and vendor loans. The calculation above reaches at EPRA LTV – Consolidated (as reported). Following EPRA guideline, Aroundtown adds its Share of joint ventures and deducts Material non-controlling interests relating to GCP and TLG for all respective items where relevant which results in EPRA LTV – Proportionate consolidation also named as EPRA LTV.

EPRA LTV Calculation

(+) Total financial debt 1)

(+/-) Foreign currency derivatives

(+) Equity attributable to perpetual notes investors

(+) Net payables 3)

(=) EPRA Gross debt

(-) Cash and liquid assets 1)

(=) (a) EPRA Net debt

(+) Investment property 2)

(+) Investment property of assets held for sale

(+) Owner-occupied property

(+) Intangibles as per the IFRS balance sheet

(+) Net receivables 3)

(+) Financial assets

(=) (b) EPRA Total property value

(=) (a/b) EPRA LTV 4)

1) The components are described under the LTV section

2) Starting in Dec 2023, Investment property under the LTV section was changed to include Owner-occupied property which is added separately below in EPRA LTV

3) If Net receivables are larger than Net payables in absolute values, the netted sum is shown in EPRA Total property value, otherwise in EPRA Net debt

4) Following EPRA guidelines, Aroundtown adds its share of joint ventures and deducts material non-controlling interests relating to GCP and TLG for all items where relevant

Responsibility statement

To the best of our knowledge, the interim consolidated financial statements of Aroundtown SA, prepared in accordance with the applicable reporting principles for financials statements, give a true and fair view of the assets, liabilities, financial position and profit or loss of the Group, and the management report of the Group includes a fair review of the development of the business, and describes the main opportunities, risks, and uncertainties associates with the Group.

Disclaimer

The financial data and results of the Group are affected by financial and operating results of its subsidiaries. Significance of the information presented in this report is examined from the perspective of the Company including its portfolio with the joint ventures. In several cases, additional information and details are provided in order to present a comprehensive representation of the subject described, which in the Group's view is essential to this report.

By order of the Board of Directors, November 27, 2024

Frank Roseen Executive Director

Jelena Afxentiou Executive Director

02Interim Consolidated Financial Statements

Interim consolidated statement of profit or loss

		Nine months ended September 30,		Three months ended September 30,
		2024	2023	2024	2023
			Unaudited
	Note		in € millions
Revenue	7	1,157.5	1,209.7	386.7	394.4
Property revaluations and capital gains		(591.0)	(1,889.0)	2.2	(143.0)
Share of results from investment in equity-accounted investees		(9.8)	(85.2)	31.4	(22.5)
Property operating expenses		(412.3)	(496.2)	(136.8)	(152.2)
Administrative and other expenses		(46.9)	(45.7)	(15.1)	(14.3)
Operating profit / (loss)		97.5	(1,306.4)	268.4	62.4

Impairment of goodwill		-	(116.8)	-	-
Finance expenses		(178.5)	(164.9)	(58.9)	(59.5)
Other financial results		(33.4)	44.8	(7.2)	(45.9)

(Loss) / profit before tax		(114.4)	(1,543.3)	202.3	(43.0)

Current tax expenses		(91.7)	(88.6)	(28.2)	(30.1)
Deferred tax income		52.1	261.8	1.5	14.5
(Loss) / profit for the period		(154.0)	(1,370.1)	175.6	(58.6)

(Loss) / profit attributable to:
Owners of the Company		(224.5)	(1,118.6)	100.7	(78.7)
Perpetual notes investors		150.3	108.6	52.7	41.6
Non-controlling interests		(79.8)	(360.1)	22.2	(21.5)
(Loss) / profit for the period		(154.0)	(1,370.1)	175.6	(58.6)

Net (loss) / earnings per share attributable to the owners of the Company (in €)
Basic (loss) / earnings per share		(0.21)	(1.02)	0.09	(0.07)
Diluted (loss) / earnings per share		(0.21)	(1.02)	0.09	(0.07)

Interim consolidated statement of other comprehensive income

	Nine months ended September 30,		Three months ended September 30,
	2024	2023	2024	2023
			Unaudited
	in € millions
(Loss) / profit for the period	(154.0)	(1,370.1)	175.6	(58.6)

Other comprehensive income / (loss):
Items that are or may be reclassified subsequently to profit or loss, net of tax:
Foreign operations – foreign currency translation difference, net of investment hedges of foreign operations	50.1	8.8	27.5	(6.5)
Cash flow hedges and cost of hedging	(23.9)	(6.7)	(34.5)	(10.1)

Items that will not be reclassified to profit or loss, net of tax:
Revaluation of property, plant and equipment	(14.7)	(6.5)	0.2	2.0

Total comprehensive (loss) / income for the period	(142.5)	(1,374.5)	168.8	(73.2)

Total comprehensive (loss) / income attributable to:
Owners of the Company	(208.4)	(1,125.9)	101.9	(88.2)
Perpetual notes investors	150.3	108.6	52.7	41.6
Non-controlling interests	(84.4)	(357.2)	14.2	(26.6)
Total comprehensive (loss) / income for the period	(142.5)	(1,374.5)	168.8	(73.2)

Interim consolidated statement of financial position

		As at September 30, 2024	As at December 31, 2023
		Unaudited	Audited
	Note	in € millions
ASSETS
Investment property	8	24,016.4	24,632.4
Goodwill and intangible assets		1,165.2	1,165.7
Property and equipment		150.7	213.5
Investment in equity-accounted investees		1,013.1	1,086.5
Advance payments and deposits		87.6	107.4
Derivative financial assets		58.0	138.1
Long term financial investments and other assets		1,470.9	1,458.1
Deferred tax assets		58.4	65.8
Non-current assets		28,020.3	28,867.5

Cash and cash equivalents		2,780.8	2,641.2
Short-term deposits		116.9	127.1
Financial assets at fair value through profit or loss		360.2	257.7
Trade and other receivables		951.2	1,008.3
Derivative financial assets		220.9	248.0
Assets held for sale		513.5	409.5
Current assets		4,943.5	4,691.8

Total assets		32,963.8	33,559.3

Interim consolidated statement of financial position (continued)

		As at September 30, 2024	As at December 31, 2023
		Unaudited	Audited
	Note	in € millions
EQUITY
Share capital		15.4	15.4
Treasury shares		(2,891.3)	(2,893.3)
Retained earnings and other reserves		10,261.8	10,521.2
Equity attributable to the owners of the Company		7,385.9	7,643.3
Equity attributable to perpetual notes investors	10	4,500.2	4,756.9
Equity attributable to the owners of the Company and perpetual notes investors		11,886.1	12,400.2
Non-controlling interests		2,644.2	2,749.5
Total equity		14,530.3	15,149.7

LIABILITIES
Loans and borrowings		2,158.8	2,124.2
Straight bonds	9	10,613.3	11,698.0
Derivative financial liabilities		277.7	306.4
Long term financial liabilities and other payables		508.3	635.1
Deferred tax liabilities		2,036.1	2,106.5
Non-current liabilities		15,594.2	16,870.2

Current portion of long-term loans and loan redemptions		199.0	79.9
Straight bonds		1,381.6	340.0
Trade and other payables		772.1	671.5
Tax payable		79.5	72.5
Provisions for other liabilities and accrued expenses		201.2	215.3
Derivative financial liabilities		114.9	134.6
Liabilities associated with assets held for sale		91.0	25.6
Current liabilities		2,839.3	1,539.4
Total liabilities		18,433.5	18,409.6

Total equity and liabilities		32,963.8	33,559.3

The Board of Directors of Aroundtown SA has authorized these interim consolidated financial statements for issuance on November 27, 2024

Frank Roseen Executive Director

Jelena Afxentiou Executive Director

Interim consolidated statement of changes in equity

For the nine-month period ended September 30, 2024 (Unaudited)

Attributable to the owners of the Company

		Share capital	Share premium and capital reserves	Cash flow hedge and cost of hedge reserves	Treasury shares	Retained earnings	Equity attributable to the owners of the Company	Equity attributable to perpetual notes investors	Equity attributable to the owners of the Company and perpetual notes investors	Non controlling interests	Total equity
	Note	in € millions
Balance as at January 1, 2024 (audited)		15.4	5,073.7	20.2	(2,893.3)	5,427.3	7,643.3	4,756.9	12,400.2	2,749.5	15,149.7
(Loss) / profit for the period		-	-	-	-	(224.5)	(224.5)	150.3	(74.2)	(79.8)	(154.0)
Other comprehensive income / (loss) for the period, net of tax		-	40.0	(23.9)	-	-	16.1	-	16.1	(4.6)	11.5
Total comprehensive income / (loss) for the period		-	40.0	(23.9)	-	(224.5)	(208.4)	150.3	(58.1)	(84.4)	(142.5)

Transactions with the owners of the Company
Contributions and distributions
Equity settled share-based payment and other effects		-	(3.7)	-	2.0	-	(1.7)	-	(1.7)	-	(1.7)
Total contributions and distributions		-	(3.7)	-	2.0	-	(1.7)	-	(1.7)	-	(1.7)

Changes in ownership interests
Initial consolidations and deconsolidations		-	-	-	-	-	-	-		(1.7)	(1.7)
Transactions with and dividends distributed to non-controlling interests (NCI)		-	-	-	-	11.2	11.2	-	11.2	(19.2)	(8.0)
Total changes in ownership interests		-	-	-	-	11.2	11.2	-	11.2	(20.9)	(9.7)

Transactions with perpetual notes investors
Payment to perpetual notes investors		-	-	-	-	-	-	(101.7)	(101.7)	-	(101.7)
Buyback and exchange of perpetual notes	10.1	-	(58.5)	-	-	-	(58.5)	(2,926.0)	(2,984.5)	-	(2,984.5)
Issuance of perpetual notes	10.1	-	-	-	-	-	-	2,620.7	2,620.7	-	2,620.7
Total transactions with perpetual notes investors		-	(58.5)	-	-	-	(58.5)	(407.0)	(465.5)	-	(465.5)
Balance as at September 30, 2024		15.4	5,051.5	(3.7)	(2,891.3)	5,214.0	7,385.9	4,500.2	11,886.1	2,644.2	14,530.3

Interim consolidated statement of changes in equity (continued)

For the nine-month period ended September 30, 2023 (Unaudited)

Attributable to the owners of the Company

	Share capital	Share premium and capital reserves	Cash flow hedge and cost of hedge reserves	Treasury shares	Retained earnings	Equity attributable to the owners of the Company	Equity attributable to perpetual notes investors	Equity attributable to the owners of the Company and perpetual notes investors	Non controlling interests	Total equity
						in € millions
Balance as at January 1, 2023 (audited)	15.4	5,186.0	59.6	(3,033.7)	7,358.0	9,585.3	4,747.7	14,333.0	3,490.4	17,823.4
(Loss) / profit for the period	-	-	-	-	(1,118.6)	(1,118.6)	108.6	(1,010.0)	(360.1)	(1,370.1)
Other comprehensive income for the period, net of tax	-	0.3	(7.6)	-	-	(7.3)	-	(7.3)	2.9	(4.4)
Total comprehensive income / (loss) for the period	-	0.3	(7.6)	-	(1,118.6)	(1,125.9)	108.6	(1,017.3)	(357.2)	(1,374.5)

Transactions with owners of the Company
Contributions and distributions
Settlement of mandatory convertible notes	-	(138.5)	-	138.5	-	-	-	-	-	-
Equity settled share-based payment and other effects	-	0.8	-	1.7	-	2.5	-	2.5	-	2.5
Total contributions and distributions	-	(137.7)	-	140.2	-	2.5	-	2.5	-	2.5

Changes in ownership interests
Initial consolidations and deconsolidations	-	-	-	-	-	-	-	-	1.3	1.3
Transactions with non-controlling interests (NCI) and dividends distributed to NCI	-	-	-	-	55.6	55.6	-	55.6	(117.2)	(61.6)
Total changes in ownership interests	-	-	-	-	55.6	55.6	-	55.6	(115.9)	(60.3)

Transactions with perpetual notes investors
Payment to perpetual notes investors	-	-	-	-	-	-	(89.0)	(89.0)	-	(89.0)
Buyback of perpetual notes	-	4.9	-	-	-	4.9	(6.9)	(2.0)	-	(2.0)
Total transactions with perpetual notes investors	-	4.9	-	-	-	4.9	(95.9)	(91.0)	-	(91.0)
Balance as at Septmeber 30, 2023	15.4	5,053.5	52.0	(2,893.5)	6,295.0	8,522.4	4,760.4	13,282.8	3,017.3	16,300.1

Interim consolidated statement of cash flows

	Nine months ended September 30,
	2024	2023
	Unaudited
	in € millions
CASH FLOWS FROM OPERATING ACTIVITIES
Loss for the period	(154.0)	(1,370.1)
Adjustments to the loss:
Depreciation and amortization	10.8	14.2
Property revaluations and capital gains	591.0	1,889.0
Share of results from investment in equity-accounted investees	9.8	85.2
Impairment of goodwill	-	116.8
Finance expenses and other financial results	211.9	120.1
Current and deferred tax expenses / (income)	39.6	(173.2)
Share-based payment	2.1	2.8
Change in working capital	(38.9)	(41.6)
	672.3	643.2
Dividends received	29.3	7.7
Tax paid	(82.9)	(83.5)
Net cash from operating activities	618.7	567.4

CASH FLOWS FROM INVESTING ACTIVITIES
Acquisitions of property, equipment and intangible assets	(12.6)	(14.8)
Proceeds from disposals of investment property and proceeds from investees	463.6	749.7
Acquisitions of investment property and associates, investment in capex and advances paid	(333.6)	(298.9)
(Investments in) / proceeds from traded securities and other financial assets, net	(86.3)	(*) (84.4)
Net cash from investing activities	31.1	351.6

(*) reclassified

Interim consolidated statement of cash flows (continued)

		Nine months ended September 30,
		2024	2023
		Unaudited
	Note	in € millions
CASH FLOWS FROM FINANCING ACTIVITIES
Net proceeds from issuance of straight bonds	9.1	1,117.4	-
Buyback and redemption of bonds	9.2	(1,116.6)	(1,125.9)
Payments to perpetual notes investors and buyback of perpetual notes	10.1	(465.5)	(91.0)
Proceeds of loans from financial institutions and others, net of repayments		234.2	721.7
Amortizations of loans from financial institutions and others		(16.1)	(12.8)
Transactions with non-controlling interests		(40.2)	(58.0)
Payments to mandatory convertible notes investors		-	(5.9)
Payments in connection with hedge relations, derivatives and others, net		(31.3)	(87.2)
Interest and other financial expenses paid, net		(192.9)	(*) (125.9)
Net cash used in financing activities		(511.0)	(785.0)

Net change in cash and cash equivalents		138.8	134.0
Cash and cash equivalents as at January 1		2,641.2	2,305.4
Assets held for sale – change in cash		(1.6)	8.5
Effect of changes in foreign exchange rates		2.4	3.9
Cash and cash equivalents as at September 30		2,780.8	2,451.8

(*) reclassified

Notes to the interim consolidated financial statements

1. GENERAL

1.1 Incorporation and principal activities

Aroundtown SA (the "Company" or "Aroundtown"), a public limited liability company (Société Anonyme), incorporated under the laws of the Grand Duchy of Luxembourg, having its registered office at 37, Boulevard Joseph II, L-1840 Luxembourg (formerly: 40, rue du Curé, L-1368, Luxembourg). Aroundtown's shares are listed on the Prime Standard of the Frankfurt Stock Exchange and included in the MDAX index of the Deutsche Börse (symbol: AT1).

Aroundtown is a real estate company with a focus on income generating quality properties with value-add potential in central locations in top tier European cities, primarily in Germany, the Netherlands as well as in London. Aroundtown invests in commercial and residential real estate which benefits from strong fundamentals and growth prospects.

These interim consolidated financial statements for the nine-month period ended September 30, 2024, consist of the financial statements of the Company and its investees (the "Group").

1.2 Group rating

Aroundtown's credit rating is 'BBB+' with a negative outlook given by Standard and Poor's (S&P). The rating of 'BBB+' also applies to the Company's unsecured debt. The Group`s subordinated perpetual notes' rating is 'BBB-' with a negative outlook.

The corporate credit rating of Grand City Properties S.A. (a subsidiary of the Company, "GCP") is 'BBB+' with a negative outlook given by S&P, and 'Baa1' with a negative outlook given by Moody's Investors Service (Moody's), which maintains its public rating on GCP on an unsolicited basis since 2021. The 'BBB+' and 'Baa1' ratings, both with a negative outlook, also apply to GCP's senior unsecured debt. GCP's subordinated perpetual notes are rated 'BBB-' with a negative outlook and 'Baa3' with a negative outlook, by S&P and Moody's, respectively.

Aroundtown's and GCP's S&P credit ratings were reaffirmed in December 2023.

1.3 Definitions

Throughout the notes to the interim consolidated financial statements following definitions apply:

The Company	Aroundtown SA
The Group	The Company and its investees
Subsidiaries	Companies that are controlled by the Company (as defined in IFRS 10) and whose financial statements are consolidated with those of the Company
Associates	Companies over which the Company has significant influence (as defined in IAS 28) and that are not subsidiaries. The Company's investment therein is included in the consolidated financial statements of the Company using equity method of accounting
Investees	Subsidiaries, jointly controlled entities and associates
GCP	Grand City Properties S.A. (a subsidiary of the Company; listed for trade in the Prime Standard of the Frankfurt Stock Exchange)
TLG	TLG Immobilien AG (a subsidiary of the Company)
Related parties	As defined in IAS 24
The reporting period	The nine-month period ended on September 30, 2024

2. SIGNIFICANT CHANGES IN THE REPORTING PERIOD

The financial position and performance of the Group were affected by the following events and transactions during the reporting period:

1. Completed disposals of investment property in a total value of ca. €440 million (see note 8.2).
1. Placement of two new straight bonds by the Company and GCP with total nominal value of €1.15 billion (see note 9.1).
1. Drawdowns of new secured bank loans of ca. €200 million, net of repayments and loan deconsolidations. The new loans had a 5-year average tenor.
1. Redemption of bond series upon their maturity and buyback of various bonds of total nominal value of €1.13 billion, combined. The bonds bought back had contractual maturities predominantly falling in the next few years (see note 9.2).
1. Executing offers to exchange and tender various of the Group's perpetual notes (see note 10.1).
1. For additional information about changes in the Group's financial position and performance, see the "Notes on business performance" section in the Board of Directors' Report.

3. BASIS OF PREPARATION

These interim consolidated financial statements have been prepared in accordance with International Accounting Standard (IAS) 34 Interim Financial Reporting and are in compliance with the International Financial Reporting Standards (IFRS) as adopted by the European Union (EU).

These interim consolidated financial statements do not include all of the information required for a complete set of IFRS financial statements and should be read in conjunction with the Group's audited annual consolidated financial statements as at and December 31, 2023. However, selected explanatory notes are included to explain events and transactions that are significant for an understanding of the changes in the Group's financial position and performance since the last annual consolidated financial statements as at and for the year ended December 31,2023.

The accounting policies adopted in the preparation of these interim consolidated financial statements, including the judgments, estimates and special assumptions that affect the application of those accounting policies, are consistent with those followed in the preparation of the Group's annual consolidated financial statements for the year ended December 31, 2023, except for the changes in accounting policies and the adoption of new standard, amendments to standards and interpretations as described in note 4.

Where necessary, comparative figures have been adjusted to conform to changes in presentation in the current period, and marked as "reclassified".

These interim consolidated financial statements have not been reviewed by an auditor, unless otherwise indicated.

Functional and presentation currency

The Group's interim consolidated financial statements are presented in euro, which is also the Group's functional currency, and reported in millions of euros rounded to one decimal point, unless stated otherwise.

As at September 30, 2024, the Group's main foreign exchange rates versus the euro were as follows:

	EUR/GBP ("British Pound")	EUR/USD ("US Dollar")
September 30, 2024	0.835	1.120
September 30, 2023	0.865	1.059
December 31, 2023	0.869	1.105
Average rate 01-09/2024	0.851	1.087
Changes (%) during the period:
Nine months ended September 30, 2024	(3.9%)	1.3%
Nine months ended September 30, 2023	(2.5%)	(0.7%)
Year ended December 31, 2023	(2.0%)	3.6%

4. CHANGES IN ACCOUNTING POLICIES

The following amendments were adopted for the first time in these interim consolidated financial statements, with an effective date of January 1, 2024:

● Amendments to IFRS 16 Leases: Lease Liability in a Sale and Leaseback

In September 2022, the IASB issued amendments to IFRS 16 to specify the requirements that a seller-lessee uses in measuring the lease liability arising in a sale and leaseback transaction, to ensure the seller-lessee does not recognize any amount of the gain or loss that relates to the right-of-use it retains.

The amendments are effective for annual reporting periods beginning on or after January 1, 2024, and must be applied retrospectively to sale and leaseback transactions entered into after the date of initial application of IFRS 16. Earlier application is permitted and that fact must be disclosed.

● Amendments to IAS 1 Presentation of Financial Statements:

Classification of Liabilities as Current or Non-current (issued on January 23, 2020);
Classification of Liabilities as Current or Non-current Deferral of Effective Date (issued on July 15, 2020); and
Non-current Liabilities with Covenants (issued on October 31, 2022)

In January 2020 and October 2022, the IASB issued amendments to paragraphs 69 to 76 of IAS 1 to specify the requirements for classifying liabilities as current or noncurrent. The amendments clarify:

What is meant by a right to defer settlement
That a right to defer must exist at the end of the reporting period
That classification is unaffected by the likelihood that an entity will exercise its deferral right
That only if an embedded derivative in a convertible liability is itself an equity instrument would the terms of a liability not impact its classification

In addition, a requirement has been introduced to require disclosure when a liability arising from a loan agreement is classified as non-current and the entity's right to defer settlement is contingent on compliance with future covenants within twelve months.

● Amendments to IAS 7 Statement of Cash Flows and IFRS 7 Financial Instruments: Disclosures: Supplier Finance Arrangements (issued on May 25, 2023)

The amendments relate to disclosure requirements in connection with supplier financing arrangements - also known as supply chain financing, financing of trade payables or reverse factoring arrangements.

The new requirements supplement those already included in IFRS standards and include disclosures about:

Terms and conditions of supplier financing arrangements.
The amounts of the liabilities that are the subject of such agreements, for which part of them the suppliers have already received payments from the financiers, and under which item these liabilities are shown in the balance sheet
The ranges of due dates
Information on liquidity risk

These amendments had no material impact on the Group's interim consolidated financial statements.

5. FAIR VALUE MEASUREMENT OF FINANCIAL INSTRUMENTS

Fair value hierarchy

The following table presents the Group's financial assets and liabilities measured and presented at fair value as at September 30, 2024 and December 31, 2023 on a recurring basis under the relevant fair value hierarchy. Also presented are the Group's material financial liabilities measured at amortized cost.

	As at September 30, 2024			As at December 31, 2023
	Fair value measurement using				Fair value measurement using
	Carrying amount	Total fair value	Quoted prices in active market (Level 1)	Significant observable inputs (Level 2)	Significant unobservable inputs (Level 3)	Carrying amount	Total fair value	Quoted prices in active market (Level 1)	Significant observable inputs (Level 2)	Significant unobservable inputs (Level 3)
		in € millions						in € millions
FINANCIAL ASSETS
Financial assets at fair value through profit or loss (1)	530.2	530.2	225.0	254.8	50.4	418.7	418.7	240.6	135.2	42.9
Derivative financial assets	278.9	278.9	-	278.9	-	386.1	386.1	-	386.1	-
Total financial assets	809.1	809.1	225.0	533.7	50.4	804.8	804.8	240.6	521.3	42.9

FINANCIAL LIABILITIES
Loans and borrowings (2)	2,388.7	2,413.5	-	2,413.5	-	2,204.1	2,221.3	-	2,221.3	-
Straight bonds (3)	11,994.9	11,410.6	11,235.8	174.8	-	12,038.0	10,373.8	10,157.2	216.6	-
Derivative financial liabilities	392.6	392.6	-	392.6	-	441.0	441.0	-	441.0	-
Total financial liabilities	14,776.2	14,216.7	11,235.8	2,980.9	-	14,683.1	13,036.1	10,157.2	2,878.9	-

(1) includes the investment in non-current financial assets at fair value through profit or loss

(2) includes portion classified as held for sale

(3) the carrying amount and fair value excludes accrued interest

Level 1: the fair value of financial instruments traded in active markets (such as debt and equity securities) is based on quoted market prices at the end of the reporting period. Level 2: the fair value of financial instruments that are not traded in an active market (for example, over-the-counter derivatives) is determined using valuation techniques

which maximize the use of observable market data and rely as little as possible on

entity-specific estimates. If all significant input required to fair value of financial instrument are observable, the instrument is included in level 2.

Level 3: if one or more of the significant inputs is not based on observable market data, the instrument is included in level 3.

The Group's policy is to recognize transfers into and transfers out of fair value hierarchy levels as at the end of the reporting period.

There were no transfers between level 1, level 2 and level 3 during the reporting period. When the fair value of financial assets and financial liabilities recorded in the statement of financial position cannot be measured based on quoted prices in active markets, their fair value is measured using valuation techniques including the discounted cash flow (DCF) model. The inputs to these models are taken from observable markets where possible, but where this is not feasible, a degree of judgement is required in establishing fair values. Judgements include considerations of input such as liquidity risk, credit risk and volatility. Changes in assumptions relating to these factors could affect the reported fair value of financial instruments and is discussed further below.

Valuation techniques used to determine fair values

The following methods and assumptions were used to estimate the fair values:

The fair values of the quoted bonds are based on price quotations at the reporting date. The fair value of unquoted bonds is measured using the discounted cash flow method with observable inputs.
There is an active market for the Company's listed equity investments and quoted debt instruments.
For the fair value measurement of investments in unlisted funds, the net asset value is used as a valuation input and an adjustment is applied for lack of marketability and restrictions on redemptions as necessary. This adjustment is based on management judgment after considering the period of restrictions and the nature of the underlying investments.
The Group enters into derivative financial instruments with various counterparties, principally financial institutions with investment grade credit ratings. Interest rate and foreign exchange swap and forward contracts are valued using valuation techniques, which employ the use of market observable inputs. The most frequently applied valuation technique includes forward pricing and swap models using present value calculations. The models incorporate various inputs including the credit quality of counterparties, foreign exchange spot and forward rates, yield curves of the respective currencies, currency basis spreads between the respective currencies, interest rate curves and forward rate curves.

6. OPERATING SEGMENTS

6.1 Reportable segments

Products and services from which reportable segments derive their data

Information reported to the Group's Chief Operating Decision Maker (CODM) for the purposes of resource allocation and assessment of segment performance is based on Aroundtown's commercial portfolio and GCP's portfolio, and contains the segments' revenue, net operating income and property revaluation and capital gains. The Group's reportable segments under IFRS 8 are therefore as follows:

Commercial portfolio

The commercial portfolio includes predominantly office and hotel properties as well as other commercial property types (e.g., retail & logistics). This portfolio is well-diversified and located across top tier cities in Europe, primarily in Germany and the Netherlands. The portfolio assets exhibit similar economic characteristics, including revenue generation patterns, operational risks, capital investment strategies and dependencies on economic conditions affecting commercial real estate. Furthermore, in terms of nature of products and services, the segment assets are leased to business tenants for use in commercial activities, where offices tenants provide business spaces primarily to their employees, while hotel tenants offer space for accommodation to the business community and tourists. The demand for these assets is subject to the economic market environment.

GCP portfolio

GCP is a specialist in residential real estate, investing in value-add opportunities in densely populated areas predominantly in Germany and in London. GCP's portfolio consists of 62 thousand units, located in densely populated areas with a focus on Berlin, North Rhine-Westphalia, the metropolitan regions of Dresden, Leipzig and Halle, and other densely populated areas including London.

The GCP portfolio comprises primarily of properties intended for residential use. This segment is distinctly classified based on its primary customer base, being individuals and families, as well as its operational approach focused on residential living solutions, that is dependent on different economic conditions than those affecting commercial real estate and is subject to a distinctive regulatory environment. In this segment, rents may be regulated, properties are mostly multi-tenant properties with granular lease structures, and tenants benefit from stronger regulatory protections. As a result, such properties require a comprehensive administration that can manage the highly diverse and granular tenant base, as well as the distinct regulatory environments, and is therefore managed and reported separately to the Group's CODM.

6.2 Segment revenues and net operating income

The following is an analysis of the Group's revenue and results by reportable segment: The accounting policies of the reportable segments are the same as the Group's accounting

	Nine months ended September 30, 2024
	in € millions
	Commercial portfolio	GCP portfolio	Total reportable segments	Adjust ments	Total
Segment revenue	711.8	447.0	1,158.8	(1.3)	1,157.5
Net operating income	499.7	257.6	757.3	(1.3)	756.0
Property revaluations and capital gains	(404.2)	(186.8)	(591.0)	-	(591.0)
Share of results from equity-accounted investees					(9.8)
Administrative and other expenses					(46.9)
Depreciation and amortization					(10.8)
Finance expenses					(178.5)
Other financial results					(33.4)
Loss before tax					(114.4)
Current tax expenses					(91.7)
Deferred tax income					52.1
Loss for the period					(154.0)

	Nine months ended September 30, 2023

	Commercial portfolio	GCP portfolio	Total reportable segments	Adjust ments	Total
Segment revenue	755.1	455.9	1,211.0	(1.3)	1,209.7
Net operating income	482.0	247.0	729.0	(1.3)	727.7
Property revaluations and capital gains	(1,319.6)	(569.4)	(1,889.0)	-	(1,889.0)
Impairment of goodwill	(67.2)	(49.6)	(116.8)	-	(116.8)
Share of results from equity-accounted investees					(85.2)
Administrative and other expenses					(45.7)
Depreciation and amortization					(14.2)
Finance expenses					(164.9)
Other financial results					44.8
Loss before tax					(1,543.3)
Current tax expenses					(88.6)
Deferred tax income					261.8
Loss for the period					(1,370.1)

policies described in the Group's consolidated financial statements as at and for the year ended December 31, 2023. Segment revenue, net operating income, revaluation and capital gains represent the results earned by each segment without allocation of the depreciation and amortization, administration expenses, share of results from equity-accounted investees, finance expenses, and tax expenses. These are the measures reported to the Group's CODM for the purpose of resource allocation and assessment of segment performance. The geographical disaggregation is not considered by the Group's CODM on how the operating results are monitored.

7. REVENUE

	Nine months ended September 30,
	2024	2023
	in € millions
Net rental income	882.8	894.5
Operating and other income	274.7	315.2
	1,157.5	1,209.7

Geographical distribution of revenue

	Nine months ended September 30,
	2024	2023
	in € millions
Germany	856.4	895.9
The Netherlands	116.6	134.3
United Kingdom	114.1	119.3
Belgium	22.8	20.4
Others	47.6	39.8
	1,157.5	1,209.7

The Group is not exposed to significant revenue derived from an individual customer.

8. INVESTMENT PROPERTY

8.1 Reconciliation of investment property

	2024	2023
	(*) Level 3	(*) Level 3
	Unaudited	Audited
	in € millions
Balance as at January 1	24,632.4	27,981.0
Plus: investment property classified as held for sale	408.3	909.1
Total investment property	25,040.7	28,890.1
Additions	130.7	211.5
Modernizations, pre-letting modifications and capital expenditures	248.3	334.6
Disposals (see note 8.2)	(431.6)	(1,273.1)
Effect of foreign currency exchange differences	103.4	52.4
Fair value adjustments	(598.2)	(3,174.8)
Total investment property	24,493.3	25,040.7
Less: investment property classified as held for sale	(476.9)	(408.3)
Balance as at September 30 / December 31	24,016.4	24,632.4

(*) classified in accordance with the fair value hierarchy. Since one or more of the significant inputs is not based on observable market data, the fair value measurement is included in level 3

8.2 Disposals

During the reporting period, the Group disposed of investment property in the book value of €431.6 million. The sales were done around book value and resulted in a gain of €7.2 million presented as part of the property revaluations and capital gains in the interim consolidated statement of profit or loss. The sales consideration included €69.5 million of vendor loans granted by the Group as a seller.

9. LOANS AND BORROWINGS

9.1 Placement of new bonds

In July 2024, the Company successfully completed the placement of a €650 million straight bond series 40, maturing in July 2029 and carrying a 4.8% annual coupon. The bonds were issued under the Company's EMTN Programme.

Furthermore, in July 2024, GCP successfully completed the placement of a €500 million straight bond series Y, maturing in January 2030 and carrying a 4.375% annual coupon. The bonds were issued under the EMTN Programme of GCP.

9.2 Buy-back and redemption of bonds

During the reporting period, the Group bought back some of its bonds through tenders as well as in the secondary market. The purpose of the early repayments follows the utilization of the real estate disposal proceeds and is part of the Group's pro-active debt optimization strategy. Set forth are the amounts bought back and redeemed at maturity and the outstanding nominal values of these bonds as at September 30, 2024:

Bond	Currency	Contractual maturity	Nominal value redeemed / bought-back		Outstanding nominal value as at September 30, 2024
			in millions (original currency)	in € millions (1)	in millions (original currency)
Series 27	HKD	03/2024	430.0	48.3	fully redeemed
GCP Series W	EUR	04/2024	148.8	148.8	fully redeemed
GCP Series Q	CHF	06/2024	130.0	119.4	fully redeemed
Series K	EUR	01/2025	212.6	212.6	266.3
GCP Series E	EUR	04/2025	14.5	14.5	179.9
Series P	AUD	05/2025	202.0	127.3	fully redeemed
Series 32	EUR	07/2025	85.6	85.6	518.2
Series R	CAD	09/2025	119.4	78.5	62.4
Series I	EUR	01/2026	18.0	18.0	188.9
Series 36	EUR	05/2026	38.0	38.0	481.5
GCP Series G	EUR	08/2026	153.5	153.5	423.9
GCP Series J	EUR	02/2027	74.3	74.3	593.3
Series 28	USD	03/2029	14.3	12.6	526.5
Series 30	GBP	04/2031	1.0	1.2	387.7
Total nominal value redeemed / bought-back				1,132.6

(1) redeemed / bought back nominal values denominated in foreign currency included the cross currency hedge derivative

10.1 Exchange and tender offers for the Group's various perpetual notes

In April 2024, following resolutions taken by the Board of Directors of both the Company and GCP, each, the Company and GCP, executed voluntary exchange and tender offers (the "April Offers") to the holders of a total of eight outstanding perpetual notes (including those issued by the Company's subsidiaries) that were not called in 2023 and 2024, and for those with first call dates approaching in the next 12 months.

Under the April Offers, holders of the relevant existing perpetual notes had the opportunity to exchange existing eligible holdings to one of either:

(i) new perpetual notes at a relevant exchange ratio and a cash amount for participating in the exchange; or

(ii) new perpetual notes at a relevant exchange ratio, a cash amount for participating in the exchange, and 15-20% redemption of their exchanged notes for cash at discount forming a small premium over the market prices prevailing prior to the April Offers

In September 2024, another exchange and tender offer (the "September Offers", and together with April Offers – the "Perpetual Notes Offers") was executed by the Company and GCP, under which the holders could choose between:

(i) new perpetual notes at a relevant exchange ratio; or

(ii) new perpetual notes at a relevant exchange ratio, and 20% redemption of their exchanged notes for cash at discount forming a small premium over the market prices prevailing prior to the September Offers

Set out below are the Perpetual Notes Offers' results:

Perpetual notes series tendered	Original currency	Principal amount outstanding prior to the Perpetual Notes Offers	Principal amount accepted	Thereof principal amount redeemed at discount	Residual principal amount post the Perpetual Notes Offers	Principal amount accepted	Thereof principal amount redeemed at discount
(ISIN)			(in millions of original currency)		(in € millions)
XS1508392625	EUR	368.9	278.9	15.7	90.0	278.9	15.7
XS2055106210	EUR	600.0	443.7	24.8	156.3	443.7	24.8
XS1752984440	EUR	394.5	300.8	21.4	93.7	300.8	21.4
XS2027946610	EUR	500.0	438.2	44.0	61.8	438.2	44.0
XS1491364953 (1)	EUR	200.0	151.6	13.2	48.4	151.6	13.2
XS1811181566 (1)	EUR	350.0	322.8	22.5	27.2	322.8	22.5
XS1634523754	USD	641.5	572.1	61.8	69.4 (2)	500.4 (3)	54.0 (3)
XS2017788592	GBP	400.0	380.7	34.9	19.3	426.2 (3)	39.1 (3)
Total principal amount accepted in the Perpetual Notes Offers and of which redeemed at discount (in € millions):							234.7

(1) within GCP group

(2) additional \$2 million of principal amount was bought back through the secondary market during the reporting period

(3) exchanged / redeemed nominal values at historical rate as of original placement of the notes

The Perpetual Notes Offers resulted in a high average acceptance rate of 84% of the tendered nominal values (being ca. €2.9 billion aggregate nominal value of existing perpetual notes). Consequently, the Group issued €2.6 billion of new perpetual notes across 5 different series (detailed in the table below) with extended dates for reset of margins when not called by the Group and simultaneously redeemed at discount €234.7 million nominal value of existing perpetual notes as presented in the table above. The total cash paid in the Perpetual Notes Offers (including for accrued coupons attributed to the accepted notes and net of transaction costs) amounted to €363.8 million.

Set below are the new series of perpetual notes issued and their main terms:

New perpetual notes series	Original currency	Nominal value issued		Annual coupon rate until first call date	First call date	Next reset margin if not called by the first call date
(ISIN)		(in millions of original currency)	(in € millions)	(%)		(%)
XS2799493825	EUR	618.4	618.4	5.000	04/2029	2.349 + 5Y Mid-Swap
XS2812484215	GBP	344.8	403.9	6.950 (2)	05/2029	4.493 + 5Y Mid-Swap
XS2812484728	USD	493.7	462.0	5.836 (2)	08/2029	3.163 + 5Y Mid-Swap
XS2799494120	EUR	722.2	722.2	7.125	01/2030	4.508 + 5Y Mid-Swap
XS2799494633 (1)	EUR	431.7	431.7	6.125	01/2030	3.508 + 5Y Mid-Swap
Total principal amount newly issued (in € millions):		2,638.2

(1) within GCP group

(2) effective euro coupon rate after cross-currency swap

10.2 Decision not to exercise options to call

In December 2023, following a resolution made by the Board of Directors of the Company, the Company announced the decision not to exercise the option to voluntarily redeem €394.5 million outstanding nominal value (after the Perpetual Notes Offers described in note 10.1, nominal value of €90.7 million was left outstanding) of its 2.125% perpetual notes with first call date on January 17, 2024 (the "EUR Notes"). As stipulated in the terms and conditions of the EUR Notes, the coupon rate starting from January 2024 was set to be at 5-year Mid-Swap rate plus margin of 2.0% p.a. (total coupon rate of 4.542% p.a.), with the next coupon rate reset date in January 2029.

In May 2024, a similar resolution was made for the Company's £20.4 million outstanding nominal value (after the Perpetual Notes Offers described in note 10.1, nominal value of £19.3 million was left outstanding) of its 4.75% perpetual notes with first call date on June 25, 2024 (the "GBP Notes"). As stipulated in the terms and conditions of the GBP Notes, the coupon rate starting from June 2024 was set to be at 5-year Mid-Swap rate plus margin of 4.377% p.a. (total coupon rate of 8.521% p.a., subsequently swapped into 6.85% p.a. on a fixed euro notional amount) with the next coupon rate reset date in June 2029.

The Group has the option to redeem the EUR Notes and GBP Notes, same for any other perpetual note for which the first call date to voluntarily redeem has passed, at every future coupon payment date, and these have been and will continue being accounted for as equity instruments in the consolidated statement of financial position.

11. COMMITMENTS

As at September 30, 2024, the Group had commitments for future capital expenditures on real estate properties and other financial obligations of ca. €0.5 billion. Furthermore, the Group had signed several deals to dispose of real estate in a volume of ca. €0.3 billion, which were not yet completed and were subject to certain conditions precedent. The Company estimates the completion of these transactions to take place within the next twelve months.

12. CONTINGENT ASSETS AND LIBILITIES

The Group had no significant contingent assets and liabilities as at September 30, 2024.

13. SIGNIFICANT SUBSEQUENT EVENTS

After the reporting period, the Group has drawn down over €100 million of secured new bank loans.

14. AUTHORIZATION OF THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS

These interim consolidated financial statements were authorized for issuance on November 27, 2024, by the Company's Board of Directors.

Corinthia / Athens

AI Terminal

Aroundtown S.A.

6213_10-q_2024-11-27_282646c2-2cd2-4891-9269-5397d5b8386b.pdf

Interim Consolidated Report

Content

THE BUSINESS & OPERATIONS

MANAGEMENT DISCUSSION AND ANALYSIS

BOARD OF DIRECTORS' REPORT INTERIM CONSOLIDATED FINANCIAL STATEMENTS

INTERIM CONSOLIDATED FINANCIAL STATEMENTS

Directors' Report

Financial Position Highlights

Key Financials

Net asset value

Aroundtown

The Group

Frankfurt HBF & CBD

Approx. 200,000 SQM

Aroundtown's Quality Portfolio

Asset Type

Tenant

Location

Industry

Group Portfolio Overview

High Geographical Diversification

BEST-IN-CLASS BERLIN PORTFOLIO

OFFICE: High Quality Offices in Top Tier Cities TOP 4

HOTELS: Focus on Central Locations, Quality and Operators with Brand Recognition

High Geographical Diversification

DIVERSE EUROPEAN METROPOLITAN FOOTPRINT

Fixed long term leases with third party hotel operators

Grand City Properties

Residential portfolio

Further Portfolio Diversification through Logistics/Other and Retail

Asset type overview

Regional overview

Capital Markets

KEY INDEX INCLUSIONS

INVESTOR RELATIONS ACTIVITIES

Share price performance and total return since initial placement of capital (13.07.2015)

Notes on Business Performance

SELECTED CONSOLIDATED INCOME STATEMENTS DATA

(a) Revenue

(b) Property revaluations and capital gains

(c) Share of results from investment in equity-accounted investees

(d) Property operating expenses

(e) Administrative and other expenses

RESULTS FOR THE PERIOD & RESULTS PER SHARE (a) Finance expenses

(b) Other financial results

(d) Impairment of goodwill

(e) (Loss) / profit for the period & (loss) / earnings per share

ADJUSTED EBITDA

FUNDS FROM OPERATIONS (FFO I, FFO II)

CASH FLOW

ASSETS

(a) Total assets

(b) Investment property

(c) Goodwill and intangible assets

(d) Investment in equity-accounted investees

(e) Long term financial investments and other assets

LIABILITIES

DEBT METRICS

EPRA NAV KPI'S

Alternative Performance Measures

ADJUSTED EBITDA

Adjusted EBITDA Calculation

(=) EBITDA

(=) Adjusted EBITDA before JV contribution 7)

(=) Adjusted EBITDA

FUNDS FROM OPERATIONS I (FFO I)

Funds From Operations (FFO I) Calculation

(=) FFO I before JV contribution 2)

(=) FFO I 5)

FFO I Per Share Calculation

(c) FFO I

(=) (c/b) FFO I per share 2)

FUNDS FROM OPERATIONS II (FFO II)

Funds From Operations II (FFO II) Calculation

FFO I

RENTAL YIELD AND RENT MULTIPLE

Rental Yield and Rent Multiple Calculation