2023

CONSOLIDATED INTERIM STATEMENT

as of June 30, 2023

ALSTRIA OFFICE REIT-AG, HAMBURG

GROUP FINANCIALS JANUARY 1, 2023 – JUNE 30, 2023

Revenues and earnings	January 1 − June 30, 2023	January 1 − June 30, 20221)	Change
Revenues (EUR k)	92,793	91,552	1.4%
Net rental income (EUR k)	78,102	78,185	-0.1%
Consolidated profit for the period (EUR k)	9,206	47,334	-80.6%
FFO (EUR k)2)	47,908	59,483	-19.5%
Earnings per share (EUR)	0.05	0.27	-81.5%
FFO per share (EUR)1)	0.27	0.33	-18.2%

1) Due to an adjustment of the accounting principles to Brookfield Group guidelines, the numbers of the profit and loss account partly deviate from the data published in the half-year financial report 2022. A detailed explanation of this can be found in the appendix "Section 4 - Changes in accounting policies"). 2) Excluding minorities.

Change
0.8%
-0.7%
-0.1%
-1.2%
-0.2%
0.5%
Change
-0.2 pp
0.0 pp

Veränderung
1.2%

1) For further information, please refer to EPRA Best Practices Recommendations, www.epra.com.

1 PORTFOLIO OVERVIEW

Key metrics	June 30, 2023	December 31, 2022
Number of properties	106	108
Market value (EUR bn)1)	4.7	4.7
Annual contractual rent (EUR m)	198.3	199.7
Valuation yield (%, contractual rent/market value)	4.2	4.3
Lettable area (m²)	1,387,000	1,398,000
EPRA vacancy rate (%)	7.1	7.2
WAULT (weighted average unexpired lease term in years)	5.4	5.5
Average value per m² (EUR)	3,330	3.329
Average office rent/sqm of office space (EUR/month)	14.40	14.06
Average total rent/sqm of office space (EUR/month)	14.56	n/a

1) Including fair value of owner-occupied properties.

Real estate operations

Letting metrics (m²)	January 1 − June 30, 2023	January 1 − June 30, 2022	Change (m²)
New leases	10,100	25,000	-14,900
Renewals of leases1)	53,300	30,400	22,900
Total	63,400	55,400	8,000

1) Option drawings of existing tenants are included.

Transactions

Disposals	City	Disposal price (EUR k)	Gain/loss to book value (EUR k)1), 2)	Signing SPA	Transfer of benefits and burdens
Amsinckstr. 34	Hamburg	26,550	575	Dec. 12, 2022	Mar. 31, 2023
Mergenthalerallee 45-47	Eschborn	3,200	310	Mar. 28, 2023	Apr. 30, 2023
Total Disposals		29, 750	885

1) Different from the position 'Net result from the disposal of investment property' in the income statement. This position only contains contracts that impact the financial year 2023 and their transaction costs.

2) Rounded to the nearest five thousand Euros.

2 EARNINGS POSITION

alstria's revenues and earnings developed as planned in the reporting period. Rental income increased by 1.4% to EUR 92,793 k (previous year: EUR 91,552 k), mainly due to revenues from new leases and indexations. The increase was slightly offset by the scheduled expiry of leases and transaction-related changes in revenues.

The consolidated net income for the reporting period amounted to EUR 9,206 k (H1 2022: EUR 47,334 k). The decrease is primarily due to a negative net result from the valuation of investment property, which at EUR -35,522 k was significantly higher than the previous year's figure of EUR - 1,216 k. The devaluation was mainly a result of the increase in real estate transfer tax in Hamburg and was also influenced by the accounting policy adjusted to Brookfield Group guidelines (see "Section 4 - Changes in accounting policy" in the notes). In addition, the net financial result increased to EUR - 20,627 k (H1 2022: EUR -15,154 k), which resulted primarily from the Group's increased debt and higher refinancing costs. The partial change in reporting, particularly of personnel and administrative expenses as well as property operating costs, which was made as part of the adjustment to the Brookfield Group standards, is described in detail in the notes under "Section 4 - Changes in accounting policy". In total, the change in reporting of the above cost items had no effect on the net result.

To provide a clear picture of the Group's operating performance, alstria also publishes the operating result (FFO after minorities), which amounted to EUR 47,908 k in the reporting period (H1 2022: EUR 59,483 k). The decrease compared to the previous year's value (EUR 59,483 k) is mainly due to increased financing costs resulting from the take-out of additional loans and the increased interest rates in the market.

The reconciliation of consolidated net income to FFO is based on eliminating non-cash income items, items that are not expected to recur annually, non-periodic items and items that do not serve the operating business. The adjustments between the income figures in the income statement and FFO are shown in the table on the next page. The most significant adjustments in the reporting period related to the non-cash valuation result (EUR 35,522 k) and other operating expenses of EUR 2,796 k resulting from the valuation of the minority interests in alstria office Prime Portfolio GmbH & Co. KG and are therefore not attributable to the operating result.

			FFO Jan. 1 −	FFO Jan. 1 −
EUR k1)	IFRS P&L	Adjustments	June 30, 2023	June 30, 2022
Revenues	92,793	0	92,793	91,552
Revenues from service charge income	20,235	0	20,235	23,527
Real estate operating expenses	-34,926	871	-34,055	−33,427
Net rental income	78,102	871	78,973	81,652
Administrative expenses	-4,118	591	-3,527	−3,591
Personnel expenses	-6,186	520	-5,666	−10,693
Other operating income	1,013	121	1,134	7,440
Other operating expenses	-2,845	2,796	-49	-390
Net result from fair value adjustments to investment property	-35,522	35,522	0	0
Net result from the disposal of investment property	83	-83	0	0
Net operating result	30,527	40,338	70,865	74,418
Net financial result	-20,627	0	-20,627	−11,882
Share of the result of joint ventures and equity accounted investments	-12	0	-12	−797
Net result from fair value adjustments on financial derivatives	-653	653	0
Pretax income/Pretax FFO2)	9,235	40,991	50,226	61,739
Income tax expenses	-29	29	0	0
Consolidated profit/FFO (before minorities)	9,206	41,020	50,225	61,739
Minority interests	0	-2,318	-2,318	−2,256
Consolidated profit/FFO (after minorities)	9,206	38,702	47,908	59,483
Number of outstanding shares (k)			178,562	178,033
FFO per share (EUR)			0.27	0.33

1) Numbers may not sum up due to rounding.

2) FFO is not a measure of operating performance or liquidity under generally accepted accounting principles — in particular, IFRS — and should not be considered an alternative to the Company's income or cash flow measures as determined in accordance with IFRS. Furthermore, there is no standard definition for FFO. Thus, alstria's FFO values and the measures with similar names presented by other companies may not be comparable.

3 FINANCIAL AND ASSET POSITION

Investment property

The fair value of investment property amounted to EUR 4,645,352 k as of June 30, 2023, which was slightly over the December 31, 2022, level (EUR 4,606,848 k). The increase resulted from investments made in the existing portfolio during the first half of 2023 (EUR 76,916 k). The increase was partly compensated by the disposal of a property in Eschborn (EUR 2,890 k) and the markdown of the property portfolio by EUR 35,522.

EUR k
Investment property as of December 31, 2022	4,606,848
Investments	76,916
Acquisitions	0
Acquisition costs	0
Disposals	-2,890
Transfers to assets held for sale	0
Transfers to property, plant, and equipment (owner-occupied properties)	0
Net loss/gain from the fair value adjustment on investment property	-35,522
Investment property as of June 30, 2023	4,645,352
Carrying amount of property used by the owner	16,140
Carrying amount of the forest	2,834
Interests in joint ventures	92
Carrying amount of immovable assets	4,664,418

For a detailed description of the investment properties, please refer to the Group Management Report 2023.

Further key figures of the financial and asset position

As of June 30, 2023, alstria's cash and cash equivalents amounted to EUR 307,400 k (December 31, 2022: EUR 364,973 k).

Total equity decreased by EUR 2,514 k to EUR 2,568,886 k as of June 30, 2023 (December 31, 2022: EUR 2,571,400 k). The main drivers here are the consolidated profit for the period of EUR 9,206 k, the payment of the regular dividend of EUR 10,697 k and a change in the hedging reserve (EUR -2,084 k).

Loans

The loan facilities in place as of June 30, 2023 are as follows:

Liabilities	Maturity	Principal amount drawn as of June 30, 2023 (EUR k)	LTV1) as of June 30, 2023 (%)	LTV cove nant (%)	Principal amount drawn as of De cember 31,2022 (EUR k)
Loan #1	Jun. 28, 2024	150,000	58.8	70.0	150,000
Loan #22)	Mar. 29, 2030	90,000	51.7-	-	47,063
Loan #3	Sep. 29, 2028	97,000	50.2	65.0	97,000
Loan #4	Sep. 30, 2027	500,000	61.2	75.0	500,000
Loan #5	Aug. 29, 2024	107.000	55.3	-	107,000
Loan #6	Apr. 26, 2030	188,000	55.2	65.0	0
Loan #7	Jun. 30, 2028	100,000	60.9	70.0	0
Total secured loans		1,232,000	57.6	–	901,063
Bond #2	Apr. 12, 2023	0	-	-	325,000
Bond #3	Nov. 15, 2027	350,000	-	-	350,000
Bond #4	Sept. 26, 2025	400,000	-	-	400,000
Bond #5	June 23, 2026	350,000	-	-	350,000
Schuldschein 10y/fix	May 6, 2026	40,000	-	-	40,000
Schuldschein 7y/fix	May 6, 2023	0	-	-	37,000
Revolving credit line2)	April 29, 2025	0	-	-	0
Total unsecured loans		1,140,000	-	-	1,502,000
Total		2,372,000	50.8	-	2,403,063
Net LTV			44.2

1) Calculation based on the market values of the properties serving as collateral in relation to the loan amount drawn down.

2) Agreement of a revolving credit line of EUR 200 million on April 29, 2022.

4 COVENANT REPORT

Compliance with and calculation of the Covenants referring to §11 of the Terms and Conditions*

In case of the incurrence of new Financial Indebtedness that is not drawn for the purpose of refinancing existing liabilities, alstria needs to comply with the following covenants:

The ratio of the Consolidated Net Financial Indebtedness over Total Assets will not exceed 60 %
The ratio of the Secured Consolidated Net Financial Indebtedness over Total Assets will not exceed 45 %
The ratio of Unencumbered Assets over Unsecured Consolidated Net Financial Indebtedness will be more than 150 %

In the reporting period, alstria raised new secured financial liabilities in the amount of EUR 330,937 k. These were used for the repayment of the EUR 325,000 k bond maturing on April 12, 2023 and the EUR 37,000 k promissory note (Schuldschein) maturing on May 6, 2023.

EEUR k	June 30, 2023
Consolidated Net Financial Indebtedness as of the reporting date	2,052,656
Net Financial Indebtedness incurred since the reporting date	-
Sum Consolidated Net Financial Indebtedness (I)	2,052,656
Total Assets as of the reporting date (less cash) Purchase price of any Real Estate Property acquired or contracted for acquisition since the reporting date Proceeds of any Financial Indebtedness incurred since the reporting date that were not	4,822,188 -
used to acquire Real Estate Property or to reduce Financial Indebtedness	-
Sum Total Assets (II)	4,822,188
Ratio of the Consolidated Net Financial Indebtedness over Total Assets (max. 60 %)	43 %
EEUR k	June 30, 2023
Secured Consolidated Net Financial Indebtedness as of the reporting date	1,061,749
Secured Net Financial Indebtedness incurred since the reporting date	-
Sum Secured Consolidated Net Financial Indebtedness (I)	1,061,749
Total Assets as of the reporting date (less cash attributable to secured debt)	4,970,583
Purchase price of any Real Estate Property acquired or contracted for acquisition since the reporting date	-
Proceeds of any Financial Indebtedness incurred since the reporting date that were not used to acquire Real Estate Property or to reduce Financial Indebtedness	-
Sum Total Assets (II)	4,970,583

^* The following section refers to the Terms and Conditions of the Fixed Rate Notes as well as to the Terms and Conditions of the Schuldschein (for further information, please refer to www.alstria.com). Capitalized terms have the meanings defined in the Terms and Conditions.

EEUR k	June 30, 2023
Value of Unencumbered Real Estate Property	2,510,210
Value of all other assets	322,885
Unencumbered Assets as of the reporting date	2,833,095
Net Unencumbered Assets recorded since the reporting date	-
Sum Unencumbered Assets	2,833,095
Unsecured Consolidated Net Financial Indebtedness as of the reporting date	990,907
Net Unsecured Financial Indebtedness incurred since the reporting date	-
Sum Unsecured Consolidated Net Financial Indebtedness	990,907
Ratio of Unencumbered Assets over Unsecured Consolidated Net Financial Indebtedness (min. 150 %)	286 %

Furthermore, alstria needs to maintain a ratio of the Consolidated Adjusted EBITDA over Net Cash Interest of no less than 1.80 to 1.00. The ratio should be calculated and published at every reporting date following the issuance of the bond or the Schuldschein.

EUR k	Q3 2022 -Q2 2023 cumulative
Earnings Before Interest and Taxes (EBIT)	-70,202
Net profit / loss from fair value adjustments to investment property	208,101
Net profit / loss from fair value adjustments to financial derivatives	1,152
Profit / loss from the disposal of investment property	−3,279
Other adjustments1)	2,123
Fair value and other adjustments in joint venture	-
Consolidated Adjusted EBITDA	137,894
Cash interest and other financing charges	−52,151
One-off financing charges	17,892
Net Cash Interest	−34,259
Consolidated Coverage Ratio (min. 1.80 to 1.00)	4.0

On June 30, 2023 no covenants under the loan agreements and / or the terms and conditions of the bonds and Schuldschein have been breached. The breach of a covenant would lead to liquidity outflow.

5 GUIDANCE

Operationally, the first half of the financial year 2023 developed as expected. Against this backdrop, alstria confirms the forecast for the expected revenues for the financial year 2023 in the amount of approximately EUR 190 million and funds from operations (FFO) of EUR 79 million.

6 RISK AND OPPORTUNITIES

alstria is exposed to various risks through its business activities. Please refer to the detailed descriptions in the Annual Report 2022. The economic environment was decisively impacted in the first half of the year by the Ukraine war and the subsequent intensification of energy and supply chain issues. The immediate consequences are high inflation rates and rapidly rising interest rates. This has had an impact on the risk assessment of financing costs, on which now is monitored even closer than before. Beyond this, there have been no significant changes to the risk situation described in the 2022 consolidated financial statements.

DISCLAIMER

The half-year financial report contains statements relating to anticipated future developments. These statements are based on current assessments and are, by their very nature, exposed to risks and uncertainty. Actual developments may differ from those predicted in these statements.

			H1 2022*
	Notes	H1 2023	adjusted
		EUR k	EUR k
Revenues		92,793	91,552
Revenues from service charge income		20,235	23,527
Real estate operating costs		-34,926	-36,894
Net Rental Income		78,102	78,185
Administrative expenses		-4,118	-3,755
Personnel expenses	7.1	-6,186	-9,485
Other operating income	7.2	1,013	7,752
Other operating expenses	7.2	-2,845	-4,994
Net result from fair value adjustments
to investment property	8.1	-35,522	-5,049
Net result from disposal of investment property	7.3	83	-300
Net Operating Result		30,527	62,354
Net financial result		-20,627	-14,098
Share of the result of joint ventures and equity
accounted investments		-12	-797
Net result from fair value adjustments
on financial derivatives	8.4	-653	0
Pre-tax result		9,235	47,459
Income tax result	7.4	-29	-125
Consolidated profit for the period		9,206	47,334
Attributable to:
Shareholders of alstria office REIT-AG		9,206	47,334
Earnings per share in EUR
Basic earnings per share	7.5	0.05	0.27
Diluted earnings per share	7.5	0.05	0.27

Consolidated Statement of Comprehensive Income for the period from January 1 to June 2023

		H1 2023	H1 2022
		EUR k	EUR k
Consolidated profit for the period		9,206	47,334
Other comprehensive result for the period (Items
that may be reclassified to net income):
Market valuation cash flow hedges	7.5	-2,084	0
Other comprehensive result		-2,084	0
Total comprehensive profit/loss for the period:		7,122	47,334
Total comprehensive profit/loss attributable to:
Shareholders of alstria office REIT-AG		7,122	47,334

* adjusted, see "Section 4 - Disclosure of changes in accounting policy" in the notes

alstria office REIT-AG, Hamburg
Consolidated Statement of Financial Position as of June 30, 2023

ASSETS	Notes	June 30, 2023	December 31, 2022
		EUR k	EUR k
Non-current assets
Investment property	8.1	4,645,352	4,606,848
Equity-accounted investments		92	101
Property, plant and equipment
Intangible assets		20,410	20,247
Financial assets		623	504
Derivatives	8.3	94,887	94,891
Total non-current assets	8.4	26,147 4,787,511	34,767 4,757,358
Current assets
Trade receivables
Tax receivables		10,589	8,166
		221	1,343
Other receivables		10,732	5,384
Derivatives	8.4	13,134	0
Cash and cash equivalents	8.2	307,400	364,973
thereof restricted		7,504	8,761
Assets held for sale	8.1	0	26,550
Total current assets		342,076	406,416
Total assets		5,129,587	5,163,774
EQUITY AND LIABILITIES		June 30, 2023	December 31, 2022
		EUR k	EUR k
Equity	9.1
Share capital		178,562	178,291
Capital surplus		497,733	507,640
Hedging reserve		30,579	32,663
Retained earnings		1,858,527	1,849,321
Revaluation surplus		3,485	3,485
Total equity		2,568,886	2,571,400
Non-current liabilities
Limited partnership capital noncontrolling interests		123,755	120,959
Long-term loans and bonds, net of current portion	9.2	2,205,628	2,026,290
Other provisions		3,114	1,802
Other liabilities		14,107	13,363
Derivatives	8.4	1,119	0
Total non-current Liabilities		2,347,723	2,162,414
Current liabilities
Limited partnership capital noncontrolling interests		21	21
Short-term loans	9.2	154,427	372,142
Trade payables		5,293	3,581
Profit participation rights		0	279
Income tax liabilities		2,200	2,188
Other provisions		477	525
Other current liabilities		50,560	51,224
Total current liabilities		212,978	429,960
Total liabilities		2,560,701	2,592,374
Total equity and liabilities		5,129,587	5,163,774

alstria office REIT-AG, Hamburg Consolidated Statement of Cash Flows for the period from January 1 to June 30, 2023

	Notes	H1 2023	H1 2022
		EUR k	EUR k
1. Cash flows from operating activities
Consolidated profit		9,206	47,334
Interest income		-6,556	-1,483
Interest expense		27,182	16,638
Result from income taxes	7.4	29	125
Unrealized valuation movements		38,978	5,858
Other non-cash expenses (+)/income(-)		2,812	3,770
Gain (-)/Loss (+) on disposal of fixed assets		-83	0
Depreciation and impairment of fixed assets (+)		591	479
Decrease (+)/Increase (-) in trade receivables and other assets that are
not attributed to investing or financing activities		-1,743	-10,174
Decrease (-)/increase (+) in trade payables and other liabilities that are not attributed to investing or financing activities		-1,948	-23,030
Cash generated from operations		68,468	39,517
Interest received		4,593	-72
Interest paid		-29,614	-18,679
Income tax received (+)/paid (-)		-29	-2,452
Net cash generated from operating activities		43,418	18,314

2. Cash flows from investing activities
Acquisition of investment properties	8.1	-77,123	-39,402
Proceeds from sale of investment properties	8.1	29,750	97,070
Payment of transaction cost in relation
to the sale of investment properties		-19	-289
Acquisition of other property, plant and equipment and intangible assets		-873	-248
Payments for investment in financial assets		0	-50
Net cash generated from/used in investing activities		-48,265	57,081

3. Cash received from equity contributions		271	0

Payments for the acquisition of shares in limited partnerships of minority shareholders		0	-1
Proceeds from the issue of bonds and borrowings		330,937	0
Payments of transaction costs		-4,882	0
Payments for the redemption portion of the leasing obligations		-240	-251
Payments of dividends		-10,697	-7,121
	10	-362,000	-50,377
Payments for the acquisition/redemption/adjustment of financial
derivatives		-6,115	0
Net cash used in/generated from financing activities		-52,726	-57,750
4. Cash and cash equivalents at the end of the period
Change in cash and cash equivalents (subtotal of 1 to 3)		-57,573	17,645
Cash and cash equivalents at the beginning of the period		364,973	313,684
Cash and cash equivalents at the end of the period
(thereof restricted: EUR 7,504 k; previous year: EUR11,300 k)	8.2	307,400	331,329

alstria office REIT-AG, Hamburg Consolidated Statement of Changes in Equity for the period from January 1 to June 30, 2023

(in EUR k)	Notes	Share capital	Capital surplus	Hedging reserve	Retained earnings	Revaluation surplus	Total Equity

As of December 31, 2022		178,291	507,640	32,663	1,849,321	3,485	2,571,400
Changes H1 2023
Consolidated profit		0	0	0	9,206	0	9,206
Other comprehensive income		0	0	-2,084	0	0	-2,084
Total comprehensive income		0	0	-2,084	9,206	0	7,122
Payments of dividends	10	0	-10,697	0	0	0	-10,697
Share-based remuneration	13	0	520	0	0	0	520
Conversion of convertible
participation rights		271	270	0	0	0	541
As of June 30, 2023		178,562	497,733	30,579	1,858,527	3,485	2,568,886

alstria office REIT-AG, Hamburg

Consolidated Statement of Changes in Equity for the period from January 1 to June 30, 2022

(in EUR k)	Notes	Share capital	Capital surplus	Hedging reserve	Retained earnings	Revaluation surplus	Total Equity
As of December 31, 2021		#BEZUG! 178,033	1,261,630	#BEZUG! #BEZUG! 0	#BEZUG! 1,923,935	#BEZUG! 3,485	#BEZUG! 3,367,083
Changes H1 2022
Consolidated profit		0	0	0	47,334	0	47,334
Total comprehensive income		0	0	0	47,334	0	47,334
Payments of dividends	10	0	-7,121	0	0	0	-7,121
Share-based remuneration	13	0	1,334	0	0	0	1,334
As of June 30, 2022		178,033	1,255,843	0	1,971,269	3,485	3,408,630

NOTES

alstria office REIT-AG, Hamburg Notes to the condensed interim consolidated financial statements as of June 30, 2023

1 CORPORATE INFORMATION

alstria office REIT-AG (hereinafter referred to as "the Company" or "alstria office REIT-AG", together with its subsidiaries, referred to as "alstria" or "the Group"), is a German stock corporation under the scope of the G-REIT-Act, based in Hamburg. It has been included in the consolidated financial statements of Brookfield Corporation, Toronto, Canada (hereinafter "Brookfield") since the majority of its shares were acquired by Brookfield subsidiaries on January 11, 2022. As the ultimate parent company, Brookfield Corporation prepares the consolidated financial statements for the largest group of companies in the Brookfield Group.

The Group's principal activities are described in detail in Section 1 of the Notes to the consolidated financial statements for the financial year ending on December 31, 2022.

The condensed interim consolidated financial statements for the period from January 1, 2023, to June 30, 2023 (hereinafter referred to as the 'consolidated interim financial statements'), were authorized for publication by a resolution of the Company's Management Board on July 31, 2023.

2 BASIS OF PREPARATION

These consolidated interim financial statements were prepared in accordance with IAS 34, 'Interim Financial Reporting'. They do not contain all the disclosures and explanations required in the annual financial statements; they should therefore be read in conjunction with the consolidated financial statements as of December 31, 2022.

3 SIGNIFICANT ACCOUNTING POLICIES

The applied accounting policies are consistent with the policies applied and outlined in the Group's annual financial statements for the year ending on December 31, 2022.

The following new interpretations and amendments to standards and interpretations are mandatory for the financial reporting period beginning on January 1, 2023 and will be applied where relevant:

EU Endorsement	Standard/ interpretation	Content
Nov. 19, 2021	IFRS 17	New standard "Insurance contracts"
Not yet endorsed	Amendments to IFRS 16	Lease Liability in a Sale and Leaseback
Sept. 8, 2022	Amendments to IFRS 17	Insurance contracts: Initial Application of
		IFRS 17 and IFRS 9 – Comparative Information
Not yet endorsed	Amendments to IAS 1	Presentation of Financial Statements: Classification of Liabilities as Current or Noncurrent
March 2, 2022	Amendments to IAS 1	Presentation of Financial Statements and IFRS Practice Statement 2: Dis closure of Accounting policies
March 2, 2022	Amendments to IAS 8	Definition of Accounting Estimates
Aug. 11, 2022	Amendments to IAS 12	Deferred Tax related to Assets and Liabilities arising from a Single Transac tion

No significant impact on financial reporting arises from new standards and amendments to the existing standards listed above.

The following new standards, interpretations and amendments to the published standards have been issued, but they are not in effect for the 2023 financial year and were not applied by the Group prior to becoming mandatory:

EU Endorsement	Standard/ interpretation	Content	Applicable for FY beginning on/after
Not yet endorsed	Amendments to IFRS 16	Lease Liability in a Sale and Leaseback	Jan. 1, 2024
Not yet endorsed	Amendments to IAS 1	Presentation of Financial Statements: Classification of Liabilities as Current or Noncurrent	Jan. 1, 2024
Not yet endorsed	Amendments to IAS 7	Supplier Finance Arrangements (Proposed amendments to IAS 7 and IFRS 7). Qualitative and quantitative infor mation about supplier finance arrangements
Not yet endorsed	Amendments to IAS 12	International Tax Reform — Pillar Two Model Rules: Ex ception to the requirements in the standard that an en tity does not recognise and does not disclose infor mation about deferred tax assets and liabilities related to the OECD pillar two income taxes.	Immediately after Jan. 1, 2023 and af ter EU-endorsement has been given

No significant impact on financial reporting is expected from new standards and amendments to the existing standards listed above.

4 CHANGES IN ACCOUNTING POLICY

CORPORATE INFORMATION

As outlined in section 1, the Company was included in the consolidated financial statements of the ultimate parent, Brookfield, for the first time on January 11, 2022. Brookfield prepares IFRS consolidated financial statements as of December 31 as the balance sheet date.

To implement the Brookfield Group guidelines, reconciliations were to be made for certain items in the income statement. With effect from January 1, 2023, alstria has therefore adjusted its accounting policies to harmonize the presentation with the parent group. The effects are explained below.

REAL ESTATE OPERATING EXPENSES

Certain costs incurred from the management of an investment property were previously treated as personnel expenses or administrative expenses. They are now reported under property operating costs. This increases transparency with regard to the more accurate consideration of the cost type.

NET RESULT FROM FAIR VALUE ADJUSTMENTS ON INVESTMENT PROPERTY

Certain costs incurred as part of development projects in existing properties were previously shown directly in the expense type in which they were incurred. Effective January 1, 2023, they are to be capitalized as construction activities in accordance with Brookfield corporate policies. This relates to the proportion of real estate operating expenses, personnel expenses, administrative expenses and financing expenses that were paid for investments in development projects. They will be capitalized first. The capitalized costs can impact the net result from fair value adjustments on investment property as a result of the fair value measurement as of the reporting date.

The effects of these changes on the income statement are shown in the following tables.

The changes in accounting methods described do not have any impact on the balance sheet and thus the equity of the alstria Group as the consolidated result remains unchanged.

The following overview shows the adjustments resulting from the change in accounting policy for H1 2023:

	Current	Adjustments	Disclosure before change of accounting policy
	H1 2023	H1 2023	H1 2023
	EUR k	EUR k	EUR k

Net rental revenues	92,793	0	92,793
Service charge income	20,235	0	20,235
Real estate operating costs	-34,926	-2,341	-32,585
Net Rental Income	78,102	-2,341	80,443
Administrative expenses	-4,118	476	-4,594
Personnel expenses	-6,186	5,751	-11,937
Other operating income	1,013	0	1,013
Other operating expenses	-2,845	0	-2,845
Net result from fair value adjustments
on investment property	-35,522	-6,893	-28,629
Result on disposal of investment property	83		83
Net Operating Result	30,527	-3,007	33,534
Net financial result	-20,627	3,007	-23,634
Share of the result of joint ventures and
equity-accounted investments	-12	0	-12
Net result from fair value adjustments
on financial derivatives	-653	0	-653
Pre-Tax Income (EBT)	9,235	0	9,235
Income tax result	-29	0	-29
Consolidated profit for the period	9,206	0	9,206

The following overview shows the reported prior-year figures as they would appear if the current accounting policies had already been applied in the first half of the previous year:

			Current accounting
	As stated	Adjustments	policy
	H1 2022	H1 2022	H1 2022
	EUR k	EUR k	EUR k
Net rental revenues	91,552	0	91,552
Service charge income	23,527	0	23,527
Real estate operating costs	-34,238	-2,656	-36,894
Net Rental Income	80,841	-2,656	78,186
Administrative expenses	-4,070	315	-3,755
Personnel expenses	-14,603	5,118	-9,485
Other operating income	7,752	0	7,752
Other operating expenses	-4,994	0	-4,994
Net result from fair value adjustments
on investment property	-1,216	-3,833	-5,049
Gain/Loss on disposal of investment prop erty	-300	0	-300
Net Operating Result	63,410	-1,056	62,354
Net financial result	-15,154	1,056	-14,098

Share of the result of joint ventures and equity-accounted investments	-797	0	-797
Net result from fair value adjustments
on financial derivatives	0	0	0
Pre-Tax Income (EBT)	47,459	0	47,459
Income tax result	-125	0	-125
Consolidated profit for the period	47,334	0	47,334

5 CONSOLIDATED GROUP

In the reporting period, two Group companies were terminated by accretion as a result of the departure of their sole general partner. There have been no further changes to the consolidated Group since the preparation of the consolidated financial statements as of December 31, 2022.

6 KEY JUDGEMENTS AND ESTIMATES

Preparing the consolidated financial statements in accordance with IFRS requires assumptions and estimates to be made for various items. These assumptions and estimates affect the amounts of disclosures concerning assets, liabilities, income and expenses. Actual amounts may vary from these estimates. Apart from the changes in accounting methods described in Section 4, there were no changes compared to the key judgments and estimates described in the consolidated financial statements for the year ended December 31, 2022.

7 NOTES ON THE CONSOLIDATED INCOME STATEMENT

PERSONNEL EXPENSES

EUR k	Jan. 1 to June 30, 2023	Jan. 1 to June 30, 2022
Salaries and wages	3,292	4,091
Social insurance contribution	527	463
Bonuses	904	635
Expenses for long-term remuneration	1,210	4,004
thereof relating to stock options and other long-term remuner ation	66	2,317
thereof relating to convertible profit participation certificates and other long-term remuneration	1,144	1,688
Amounts for retirement provisions and disability insurance for the members of the Management Board	48	48
Other	205	244
	6,186	9,485

Personnel expenses decreased by EUR 3,299 k or 34.8 %. The main reasons for this decrease are oneoff effects from the restructuring of remuneration components as a result of the takeover by Brookfield, which had burdened the previous year. The previous year's disclosure corresponds to the presentation after the change in accounting method (see Section 4.3). The presentation of the 2022 half-yearly financial report therefore showed EUR 5,118k higher personnel expenses.

See also Sections 12 and 13 for information on expenses for long-term remuneration.

OTHER OPERATING INCOME AND EXPENSES

The other operating income includes, in particular, flat-rate payments for dismantling obligations or other special rental services. The other operating expenses of the reporting period mainly include the valuation result for the limited partnership contributions of non-controlling interests carried as liabilities (EUR 2.8 million; H1 2022: EUR 3.8 million) and costs in connection with the takeover by Brookfield (EUR 0.3 million; H1 2022: EUR 1.3 million).

GAIN ON DISPOSAL OF INVESTMENT PROPERTY

EUR k	Jan. 1 to June 30, 2023	Jan. 1 to June 30, 2022
Proceeds from the disposal of investment property – transferred to buyer	29,750	24,970
Carrying amount of investment property disposed of	-29,648	-24,982
Costs in relation to the sale of investment properties	-19	-288
Gain on disposal of investment property - transferred to buyer	83	-300
Agreed selling price of held for sale investment properties	0	0
Carrying amount of investment property at the time of reclassification to held for sale	0	0
Costs in relation to the sale of investment properties - held for sale	0	0
Valuation result of held for sale investment properties	0	0
Gain on disposal of investment property	83	-300

INCOME TAX

As a consequence of its status as a G-REIT, alstria office REIT-AG is exempt from the German corporation tax (Körperschaftsteuer) and trade tax (Gewerbesteuer).

Tax payment obligations may arise for affiliates serving as general partners in a partnership or for REIT service companies and based on tax field audits for fiscal periods before inclusion in the REIT structure.

EARNINGS PER SHARE

The tables below show the income and share data used in the earnings per share computations:

Basic earnings per share	Jan. 1 - June 30, 2023	Jan. 1 - June 30, 2022
Profit attributable to shareholders (EUR k)	9,206	47,334
Average number of outstanding shares (thousands)	178,369	178,033
Basic earnings per share (EUR)1	0.05	0.27

1 The amount is equal to the diluted earnings per share

8 NOTES ON THE CONSOLIDATED BALANCE SHEET - ASSETS

INVESTMENT PROPERTY

Pursuant to IFRS 13, alstria office REIT-AG uses the fair-value model for revaluation purposes. External appraisals were obtained to determine the respective values as of December 31, 2022. For a detailed description of the process for determining the asset value, please refer to Section 2.4 of the consolidated financial statements as of December 31, 2022.

As of June 30, 2023, alstria conducted an internal portfolio valuation for the first time using its own valuation tool. Methodologically, the internal evaluation is based on a DCF method. Until the end of the first quarter of 2023, the quarterly valuation was mainly based on the year-end valuation by independent appraisers in combination with a review of the property values by alstria's Management Board at the end of each quarter.

The internal alstria valuation tool is based on the internal corporate planning and forecasts the 10 year cash flow for each individual building, taking into account the existing leases, indexing, possible extensions and options and the necessary maintenance costs. New rental assumptions based on achievable market rents, vacancy times and investment measures required for new rentals are also included in the analysis. The forecast 10-year cash flow is discounted to the present value using a discount rate customary in the market and adapted to the individual building and its tenant structure. In addition, the exit value based on market rents and a corresponding risk-adjusted discounting is included in the real estate valuation. The combination of the valuation components results in the fair value of the property. Changes in valuation therefore result primarily from changed planning assumptions for a building, changes in inflation expectations with regard to possible indexations and market rents as well as adjustments in the discount interest rates to the respective market level.

		Acquisition	Disposal
Property transaction	Number of properties	Transaction amount in EUR k	Number of properties	Transaction amount in EUR k
Contract signed before Dec. 31.2022, transferred in H1 2023	0	0	1	26,550
Contract signed and transfer in H1 2023	0	0	1	3,200
Total	0	0	2	29,750

Property transactions in the reporting period:

Comparison period:

	Acquisition			Disposal
Property transaction	Number of properties	Transaction amount in EUR k	Number of properties	Transaction amount in EUR k
Contract signed before Dec. 31.2021, transferred in H1 2022	0	0	2	72,100
Contract signed and transfer in H1 2022	0	0	1	24,970
Total	0	0	3	97,070

A reconciliation of the investment properties for the reporting period is shown in the following table:

EUR k	Jan. 1, - June 30, 2023	Jan. 1,- Dec. 31, 2022
Investment property as of the beginning of period	4,606,848	4,775,801
Investments	76,916	113,147
Acquisitions	0	0
Acquisition costs	0	0
Recognition of a right-of-use asset according to IFRS 16	0	504
Disposals	-2,890	−83,910
Transfer to assets held for sale	0	−24,900
Transfer to property, plant, and equipment (owner-occupied properties)	0	0
Net loss / gain from fair value adjustments to investment property	-35,522	-173,794
Investment property as of the end of period	4,645,352	4,606,848

CASH AND CASH EQUIVALENTS

Cash and cash equivalents amount to EUR 307,400 k (Dec. 31, 2022: EUR 364,973 k). As of the balance sheet date, EUR 7,504 k (Dec. 31, 2022: EUR 8,761 k) of cash and cash equivalents were subject to restrictions on disposal.

FINANCIAL ASSETS

Financial assets of EUR 94,887 k (Dec. 31, 2022: EUR 94,891 k) are related to long-term deposits in the amount of EUR 94,432 k (Dec. 31, 2022: EUR 94,432 k) and a term up to the end of the 2032 financial year. A further amount of EUR 455 k (Dec. 31, 2022: EUR 459 k) is attributable to below 3 %-shares in two companies on which alstria cannot exert any significant influence.

DERIVATIVE FINANCIAL INSTRUMENTS

						June 30, 2023		Dec. 31, 2022
Product	Strike p.a.	Start of Hedging	Maturity date	Counterparty	Nominal Fair va	lue	Nominal	Fair value
	(%)				(EUR k)	(EUR k)	(EUR k)	(EUR k)
Swap	1.7500	30.09.2022		30.09.2027 Societe Generale	500,000	28,861	500,000	29,813
Swap	1.9240	30.09.2022		30.09.2028 UniCredit Bank AG	60,000	3,351	60,000	3,606
Swap	1.9240	30.09.2022		30.09.2028 UniCredit Bank AG	22,450	1,254	22,450	1,349
Cap	3.5000	27.06.2023		26.04.2030 Societe Generale	70,500	2,367	n/a	n/a
Cap	3.5000	27.06.2023		30.06.2028 Societe Generale	35,000	841	n/a	n/a
Cap	3.5000	27.06.2023		26.04.2030 Societe Generale	47,000	1,578	n/a	n/a
Cap	3.5000	27.06.2023		29.03.2030 Societe Generale	22,500	746	n/a	n/a
Swap	3.2330	28.06.2023		30.06.2028 Societe Generale	32,500	-186	n/a	n/a
Swap	3.2330	28.06.2023		29.03.2030 Morgan Stanley Eu rope SE	67,500	-934	n/a	n/a
Swap	3.0000	29.06.2023		30.06.2028 Landesbank Baden Württemberg	50,000	284	n/a	n/a
Financial derivatives					907,450	38,162	582,450	34,767

Derivative financial instruments existed on the reporting date to the following extent:

The derivative financial instruments held by alstria are exclusively interest rate swaps and caps to hedge interest on long-term financial liabilities. Derivative financial instruments in the amount of EUR 39,281 k had a positive value as of the balance sheet date. Derivative financial instruments in the amount of EUR 1,119 thousand are recognized as financial obligations. As of December 31, 2022, the Group only reported derivative financial assets.

A derivative financial instrument with a nominal value of EUR 32,500 k is not designated for a cash flow hedge relationship as of the balance sheet date, all other derivative financial instruments are in hedging relationships. As of December 31, 2022, there were no derivatives that were not designated in a cash flow hedge relationship.

9 NOTES TO THE CONSOLIDATED BALANCE SHEET - EQUITY AND LIABILITIES

EQUITY

Please refer to the consolidated statement of changes in equity for details.

Treasury shares

As of June 30, 2023, the Company held no treasury shares.

FINANCIAL LIABILITIES

As of June 30, 2023, alstria's total interest-bearing debt, which consists of corporate bonds and loan balances drawn, amounted to EUR 2,372,000 k (Dec. 31, 2022: EUR 2,403,063 k). The differing carrying amount of EUR 2,360,055 k (non-current: EUR 2,205,628 k; current: EUR 154,427 k) takes into account the interest liabilities and transaction costs allocated according to the effective interest rate method at the time when the loans in question were taken out over the maturity of the respective loans.

Financial liabilities with a maturity of up to one year are recognized as current loans. The fair value of non-current and current financial liabilities amounted to EUR 2,126,451 k as at the reporting date.

In the reporting period, the company redeemed a corporate bond with a total nominal value of EUR 325,000 k and a promissory note for EUR 37,000 k. Bank loans secured by land charges were newly taken out with a nominal value of EUR 330,937 k

As a result, financial Liabilities include bank loans in the nominal amount of EUR 1,232,000 k, corporate bonds in the nominal amount of EUR 1,100,000 k and the promissory note loan with a nominal value of EUR 40,000 k and, as of June 30, 2023. In addition, there is a revolving credit line with a volume of EUR 200,000 k, from which no loan amounts had been utilized as of the balance sheet date.

For a detailed description of the loans, including their terms and securities, please refer to Section 7.3 of the consolidated financial statements as of December 31, 2022.

10 DIVIDENDS PAID

	Jan. 1 – June 30, 2023	2022
Dividends on ordinary shares1) in EUR k	10,697	756,640
Dividends per share (EUR)	0.06	4.25

1)Refers to all shares at the dividend payment date.

At the Annual General Meeting held on May 4, 2023, alstria office REIT-AG resolved to distribute dividends totaling EUR 10,697 k (EUR 0.06 per outstanding share). The dividends were distributed on May 9, 2023. By comparison, the dividends paid out in 2022 totaled EUR 756,640 k (EUR 4.25 per outstanding share).

11 EMPLOYEES

From January 1 to June 30, 2023, the Company had 182 employees on average (average for January 1 to June 30, 2022: 174 employees). The average number of employees was calculated based on the total number of employees at the end of each month. On June 30, 2023, 183 people (December 31, 2022: 181 people) were employed at alstria office REIT-AG, not including the Management Board.

12 LONG TERM REMUNERATION MANAGEMENT BOARD

As part of the current remuneration system introduced in the 2022 financial year, the members of the Management Board receive certificates with a term of two years, the performance of which is linked to certain budget-based performance indicators. At the end of the term, a payment is made in cash, whereby the performance and the amount of the payment can be between 0% and 115% depending on the development of the based performance indicators The following table shows the development of the certificates granted to the members of the Management Board, each with a nominal value of EUR 1.00.

Number certificates	H1 2023	2022	2022	Total
	Olivier Elamine	Olivier Elamine	Alexander Dexne
Certificates granted as at January 1, 2023	500,000	500,000	400,000	1,400,000
As of June 30/ Dec. 31	500,000	500,000	400,000	1,400,000
Time pro rata as of June 30, 2023	24.7%	74.8%	37.4%	n/a
Degree of target achievement as of
June 30, 2023	100%	75%	75%	n/a
Provision made as of June 30, 2023 in
EUR	123,288	280,350	112,140	515,778

As of June 30, 2023, the provisions for long-term remuneration components for the Management Board amounted to EUR 516 k (December 31, 2022: EUR 449 k). The expenses from these remuneration components amounted to EUR 67 k in the first half of the financial year after EUR 449 k in the 2022 financial year.

Please refer to Section 13.1 of the consolidated financial statements as at December 31, 2022, for a detailed description of the employee profit participation rights program.

13 EMPLOYEE PARTICIPATION PROGRAM

During the reporting period, the following share-based payment agreements (certificates) were in place with respect to the convertible profit participation rights scheme that the Supervisory Board of alstria office REIT-AG had established and that was terminated meanwhile.

Number of certificates
Granting date of tranche	May 7, 2021
Jan. 1, 2023	279,050
Expired due to termination of employment	-8,750
Converted	-270,300
June 30, 2023	0

Beginning in the 2022 financial year, new variable remuneration components were also set up for employees. The employees also receive certificates (so-called ACES) as part of the "alstria Collective Employee Scheme". The ACES have a term of two years and their performance is linked to certain budget-based indicators. At the end of the term, a payment is made in cash, whereby the performance and the amount of the payment can be between 0% and 115% depending on the development of the based key figures. As of June 30, 2023, assuming 100% target achievement, EUR 680 k was accrued on a pro rata basis. The following table shows the development of the ACES granted to employees with a nominal value of EUR 1.00 each:

Number ACES	Granted in H1 2023	Granted in 2022	Total
ACES in place as of January 1 of fiscal year 2023, granted in 2023 and 2022	2,641,070	3,254,855	5,895,925
As of June 30/ Dec. 31	2,641,070	3,254,855	5,895,925
Time pro rata as of June 30, 2023	24.7%	74.8%	n/a
Degree of target achievement as of June 30, 2023	100%	80%	n/a
Provision made as of June 30, 2023 in EUR	651,223	1,946,662	2,597,885

The provisions for long-term remuneration components for employees (ACES) amounted to EUR 2,598 k as of June 30, 2023 (December 31, 2022: EUR 1,374 k). The expenses from these remuneration components amounted to EUR 1,224 k in the first half of the financial year after EUR 1,374 k in the 2022 financial year.

For a detailed description of the employee profit participation rights program, please refer to Section 13.2 of the consolidated financial statements as of December 31, 2022.

14 RELATED PARTIES

The following table shows transactions with related companies in the 2022 financial year:

	Income/ Expenses (net) (-)	Receivables/liabilities (-)
in EUR k	H1 2023	June 30, 2023
Interest Corporate Bonds	-594	-295
Accounting & Reporting services	50	50
Containerlease	-16	0
Letting	8	2

The accounting and reporting services relate to the preparation of consolidation accounting and reporting services for Brookfield companies outside the alstria group.

The interest expenses relate to corporate bonds that alstria placed on the capital market and that were acquired by Brookfield companies on the capital market in the 2022 financial year. As of December 31, 2022, this relate to the following corporate bonds:

Bond	ISIN	Shares	Notional value of shares
			EUR k
Bond III	XS1717584913	35,000,000	35,000
Bond IV	XS52053346297	40,000,000	40,000
Bond V	XS2191013171	35,000,000	35,000
		110,000,000	110,000

Further significant legal transactions were executed with respect to related parties during the reporting period.

15 SIGNIFICANT EVENTS AFTER THE END OF THE REPORTING PERIOD

After the balance sheet date and up to the date, when this half-yearly financial report was prepared, there were no significant events affecting the company or significant business transactions.

16 MANAGEMENT BOARD

As of June 30, 2023, the Company's Management Board consisted of Mr. Olivier Elamine (Chief Executive Officer). Mr. Alexander Dexne retired as Chief Financial Officer effective December 31, 2022.

17 SUPERVISORY BOARD

In accordance with Section 9 of the Company's Articles of Association, the Supervisory Board consists of four members, all of whom are elected by the shareholders at the Annual General Meeting. Until the change in the Articles of Association, with a resolution of the Annual General Meeting on May 4, 2023 and with effect from May 31, 2023, the Supervisory Board consisted of six members.

The members of the Supervisory Board, as of June 30, 2023, are listed below:

Mr. Brad Hyler (chairman)

Mr. Jan Sucharda (vice chairman)
Mr. Richard Powers; member since May 5, 2023
Ms. Rebecca Worthington

In the course of the reporting period, the following persons were also members of the company's Supervisory Board

Dr. Frank Pörschke; until May 31; 2023
Ms. Elisabeth Stheeman; until May 31; 2023
Mr. Karl Wambach; until May 4; 2023

Hamburg, Germany, July 31, 2023

Olivier Elamine

Chief Executive Officer

MANAGEMENT COMPLIANCE STATEMENT

'To the best of our knowledge, and in accordance with the applicable reporting principles for interim financial reporting, the interim consolidated financial statements give a true and fair view of the assets, liabilities, financial position and profit or loss of the Group, and the interim management report of the Group includes a fair review of the development and performance of the business and the position of the Group, together with a description of the principal opportunities and risks associated with the expected development of the Group for the remaining months of the financial year.'