LEG Immobilien SE

Investor Presentation • May 10, 2023

Q1-2023

LEG Immobilien SE Q1-2023 Results

10 May 2023

Q1-2023 Results – Agenda

• Highlights Q1-2023
• Portfolio & Operating Performance

Financial Performance

Outlook

Disclaimer

While LEG Immobilien SE ("The Company") has taken all reasonable care to ensure that the facts stated in this presentation are accurate and that the opinions contained in it are fair and reasonable, this presentation is selective in nature and is intended to provide an introduction to, and an overview of the Company's business. Any opinions expressed in this presentation are subject to change without notice and neither the Company nor any other person is under any obligation to update or keep current the information contained in this presentation. Where this presentation quotes any information or statistics from any external sources, you should not interpret that the Company has adopted or endorsed such information or statistics as being accurate.

This presentation may contain forward-looking statements that are subject to risks and uncertainties, including those pertaining to the anticipated benefits to be realised from the proposals described herein. Forward-looking statements may include, in particular, statements about future events, future financial performance, plans, strategies, expectations, prospects, competitive environment, regulation, and supply and demand. The Company has based these forwardlooking statements on its views and assumptions with respect to future events and financial performance. Actual financial performance could differ materially from that projected in the forward-looking statements due to the inherent uncertainty of estimates, forecasts and projections, and financial performance may be better or worse than anticipated. Given these uncertainties, readers should not put undue reliance on any forward-looking statements. The information contained in this presentation is subject to change without notice and the Company does not undertake any duty to update the information and forwardlooking statements, and the estimates and assumptions associated with them, except to the extent required by applicable laws and regulations.

This presentation does not constitute an offer or invitation to purchase or sell any shares in the Company and neither this presentation or anything in it shall form the basis of, or be relied upon in connection with, any contract or commitment whatsoever.

Highlights Q1-2023 1

Highlights

Financial Summary Q1-2023

Operating results		Q1-2023	Q1-2022	+/- %
Net cold rent	€m	206.3	197.5	+4.5%
NOI (recurring)	€m	161.4	168.0	–3.9%
EBITDA (adjusted)	€m	157.0	160.5	–2.2%
FFO I	€m	103.2	121.4	–15.0%
FFO I per share	€	1.39	1.67	–16.8%
AFFO	€m	54.9	51.0	+7.6%
AFFO per share	€	0.74	0.70	+5.7%
NOI margin (recurring)	%	78.2	85.1	–6.9PP
EBITDA margin (adjusted)	%	76.1	81.3	–5.2PP
FFO I margin	%	50.0	61.5	–11.5PP
AFFO margin	%	26.6	25.8	+0.8PP
Portfolio		31.03.2023	31.03.2022	+/- %
Residential units	number	166,987	166,342	+0.4%
In-place rent (l-f-l)	€/m2	6.43	6.19	+3.8%
Capex (adj.)1	€/m2	3.69	5.58	–33.9%
Maintenance (adj.)1	€/m2	2.90	2.31	+25.5%
EPRA vacancy rate (l-f-l)	%	2.6	2.8	–20bps

Balance sheet		31.03.2023	31.12.2022	+/- %
Investment properties	€m	20,355.8	20,204.4	+0.7%
Cash and cash equivalents2	€m	295.8	362.2	–18.3%
Equity	€m	9,175.4	9,083.9	+1.0%
Total financing liabilities	€m	9,398.9	9,460.8	–0.7%
Net debt3	€m	9,013.8	9,036.6	-0.2%
LTV	%	43.5	43.9	–40bps
Average debt maturity	years	6.4	6.5	–0.1
Average debt interest cost	%	1.35	1.26	+9bps
Equity ratio	%	42.7	42.5	+20bps
EPRA NTA, diluted	€m	11,524.1	11,377.2	1.3%
EPRA NTA per share, diluted	€	155.50	153.52	+1.3%

1 Excl. new construction activities on own land, own work capitalised and consolidation effects. 2 Excluding short term deposits. 3 Excl. lease liabilities according to IFRS 16 and incl. short term deposits.

Ongoing strong performance of operations Guidance confirmed

Highlights

• AFFO +7.6% to €54.9m
• AFFO p.s. +5.7% to €0.74
• FFO I -15.0% to €103.2m
• Adj. EBITDA-Margin 76.1%
• LTV 43.5%
• Debt @ 6.4y for 1.35%
• NTA p.s. €155.50

• Net cold rent +4.5%
• l-f-l rental growth +3.8%
• l-f-l vacancy 2.6% (–20bps)

• Air2Air heat pumps included in building energy act (GEG) and roll-out as well as JV discussions progressing
• 2,000 apartments rented out to Ukrainian immigrants
• Great place to work: Top3 among companies with more than 1,000 employees in NRW

Clean balance sheet: 43.5% LTV/42.7% equity ratio

Simple corporate and capital structure – no selling pressure

Transaction markets remain calm – uncertainties remain H1/23 valuation decline by mid single digit % rate

2024 maturing bond (€500m) already addressed

€150m of secured financing terms agreed

New steering set-up increases resilience AFFO guidance of €125m – €140m confirmed Highlights

Demand – supply imbalance will persist for the coming years

Immigration remains a driver to further push demand for affordable units while new supply erodes

German population at highest level ever in 2022

2nd strongest population growth in 2022

New apartments completed Need acc. to ZIA, Empirica, Pestel Institute 600k

No. of building permissions for apartments with strongest decline within last decade

in %

Highlights

Re-letting rents LEG1

Momentum in re-letting rents increases noticeably

Strong increase across all markets

Increase in % as at end Q1 23 vs. as at end Q1 22

Examples

Increase in % as at end Q1 23 vs. as at end Q1 22

High growth		Düsseldorf	5.3%
	5.7%	Monheim	6.1%
		Münster	7.2%
Stable		Dortmund	4.8%
	5.6%	Wuppertal	5.3%
		Mönchengladbach	6.7%
Higher Yielding		Gelsenkirchen	4.9%
	5.6%	Duisburg	5.8%
		Wilhelmshaven	7.9%

Portfolio & Operating Performance 2

Portfolio transactions

Broadly stable as a quiet transaction market only allows for small ticket disposals

Number of units based on date of transfer of ownership1,2

1 Residential units. 2 Note: The date of the transaction announcement and the transfer of ownership are usually several months apart. The number of units may therefore differ from other disclosures, depending on the data basis.

Additions

Transfer of ownership of one larger portfolio (Düsseldorf and Cologne) signed in 2022

Disposals

• No dependence on disposals
• Disposal volume of c.€25m at around book value
• One bigger portfolio with 219 units (high rise buildings in weak technical condition) as well as a portfolio of 120 units in Siegen
• Additional small ticket sales of noncore units in Eastern Germany

Portfolio & Operating Performance

Strong organic growth while rents remain affordable

Rent tables continue to fuel rent increases

l-f-l free financed rent development

• Free financed rent increase of 3.6%
• Cost rent increase of 5.2% for the subsidised units contributed 0.8%-pts to the Q1-2023 rent growth
• Latest rent table releases and outcome for LEG: Dortmund +5.4%, Kiel +8.5%, Münster +9.5%

Capex and Maintenance

Significant reduction in investments

• Investments per sqm declined by 16.5% yoy to €6.59/sqm
• Shift towards AFFO steering leads to lower capitalisation rate (56% vs 71% Q1 22) and increases expensed maintenance
• Investments in Q1 remained significantly below implied level to achieve guidance of €35/sqm. Capex levels to increase in following quarters
• €35/sqm investment ambition still targeted
• New construction spending declined to only c. €5 m in Q1

1 Excl. new construction activities on own land, own work capitalised and consolidation effects.

Financial Performance 3

Financial highlights Q1-2023 On track for our guidance

Net operating income (recurring)1 €m

AFFO

Net cold rent

Growth driven by 3.8% l-f-l growth and positive effects from additions to the portfolio

Net operating income (recurring)

• Negative effects from
  • Higher allowances on rent receivables (–€2.3m)
  • Seasonal effects from value-add business (–€4m) due to significantly higher energy costs
  • Higher operating expenses (non-allocable costs), (–€4.6m), e.g. CO2 costs

EBITDA (adjusted)

Positive effects from other services (recurring) esp. bio mass plant, partially offset via higher input costs

FFO I

• FFO I –15.0%
• Negatively affected by higher maintenance costs (ext. procured) (–€5.8m) and higher interest expenses (–€4.6m)

AFFO

Reduction of investments (capex) by 31% to €48.3m from €70.4m supports AFFO generation

1 Previous year adapted to new definition, i.e. excluding maintenance (externally-procured services) and own work capitalized.

76.1%

(81.3%)

AFFO Bridge Q1-2023

Strong top-line growth and reduced capex spending improve AFFO

Portfolio valuation Q1-2023

Market segment	Residential Units	GAV Residential Assets (€m)	GAV/ m2 (€)	Gross yield	In-Place Rent Multiple	GAV Commercial/ Other (€m)	Total GAV (€m)
High-Growth Markets	49,883	8,277	2,516	3.4%	29.1x	339	8,616
Stable Markets	66,690	7,017	1,643	4.5%	22.3x	212	7,230
Higher-Yielding Markets	50,414	3,745	1,230	5.6%	17.9x	97	3,842
Total Portfolio	166,987	19,039	1,796	4.2%	23.6x	649	19,6881

1 GAV of IAS 40 portfolio (including leasehold, land value and assets under construction) was €20,459m.

Well balanced financial profile

loans)

1.54% 1.54% 1.34% 1.67% 1.05% 1.16% 1.94% 0.92% 1.00% 0.90% 1.55% 2.22%

No material maturities in 2023

Average debt maturity

Average interest cost

Loan-to-value

Highlights

• Repayment of €52m loan with cash in Q1
• All remaining financing needs for 2023 covered
• Undrawn RCF of €600m /CP-programme of €600m
• Average debt maturity of 6.4 years
• Average interest cost increase by 19 bps (y/y)
• Interest hedging rate of c. 94%
• LTV slightly above medium-term target level of 43%, no effect on ability to refinance
• Net debt/adj. EBITDA1 of 14.3x as at end of March

Substantial part of 2024 maturing bond already addressed

Negotiations for roll-over of secured debt already started

Total refinancing volume until 2024

are loans

Upcoming maturities by instrument and refinancing strategy

51% of financing volumes 11% of total debt to mature until end of 2024

Status quo

• LEG's diversified financing structure pays off and offers optionality going forward
• Remaining 2023 maturities addressed
• Maturing loans 2024 to be rolled forward
• 2024 maturing €500m bond addressed – terms for €150m of secured financing agreed. Additionally, partial repayment with cash planned – further negotiations on refinancing progressing
• No reliance on disposal proceeds – further potential to deleverage

Outlook 4

Guidance 2023: Focus on AFFO

Guidance unchanged

		Guidance 20231
AFFO2		€125m – 140m
Adj. EBITDA margin3		c.78%
l-f-l rent growth		3.3% – 3.7%
Investments		c. 35€/sqm
LTV		Medium-term target level max. 43%
Dividend		100% AFFO as well as a part of the net proceeds from disposals
Disposals		Not reflected1
Environment	2023–2026	Reduction of persistent relative CO2 emission saving costs in €/ton by 10% achieved by permanent structural adjustments to LEG residential buildings
	2023	4,000 tons CO2 reduction from modernisation projects and customer behavior change
Social	2023–2026 2023	Improve high employee satisfaction level to 70% Trust Index Timely resolution of tenant inquiries regarding outstanding receivables
Governance	2023	85% of Nord FM, TSP, biomass plant, 99% of all other staff holding LEG group companies have completed digital compliance training

1 Guidance based on 167 k units. 2 Adjusted for capex financed in full by subsidised, long-term loans accounted for at fair value or at cost; currently no such projects are planned; if those projects are contracted, these will be reported separately. 3 Based on the adjusted EBITDA definition effective since business year 2023, i.e. excluding maintenance (externally-procured services) and own work capitalized.

Ongoing positive trends across all KPIs and market clusters

In-place rent, l-f-l

Strong rent growth and further vacancy reduction

Market split (GAV)

%

High-growth 43.5 Stable 36.9 Higher-yielding 19.7

Vacancy, l-f-l

Markets

	Total portfolio		High-growth		Stable		Higher-yielding
	Q1-2023	 (YOY)	Q1-2023	 (YOY)	Q1-2023	 (YOY)	Q1-2023	 (YOY)
# of units	166,987	+0.4%	49,883	+1.0%	66,690	+0.4%	50,414	–0.2%
GAV residential assets (€m)	19,039	+5.3%	8,277	+5.3%	7,017	+5.2%	3,745	+5.5%
In-place rent (m2 ), l-f-l	€6.43	+3.8%	€7.23	+4.0%	€6.19	+4.0%	€5.89	+3.3%
EPRA vacancy, l-f-l	2.6%	–20bps	1.7%	–40bps	2.3%	–20bps	4.2%	±0bps

AFFO calculation

€m	Q1 -2023	Q1 -2022
Net cold rent	206.3	197.5
Profit from operating expenses	–6.6	–2.0
Personnel expenses (rental and lease)	–26.6	–25.7
Allowances on rent receivables	–6.5	–4.2
Other income (rental and lease)	–6.2	1.3
Non -recurring special effects (rental and lease)	1.0	1.1
Net operating income (recurring)	161.4	168.0
Net income from other services (recurring)	7.9	3.2
Personnel expenses (admin.)	–7.7	–7.6
Non -personnel operating costs	–6.7	–7.7
Non -recurring special effects (admin.)	2.1	4.6
Administrative expenses (recurring)	–12.3	–10.7
Other income (admin.)	0.0	0.0
EBITDA (adjusted)	157.0	160.5
Net cash interest expenses and income FFO I	–31.3	–26.8
Net cash income taxes FFO I	–0.2	1.0
Maintenance (externally -procured services)	–25.2	–19.4
Own work capitalised	3.5	6,1
FFO I (including non -controlling interests)	103.8	121.4
Non -controlling interests	–0.6	0.0
FFO I (excluding non -controlling interests)	103.2	121.4
FFO II (including disposal of investment property)	101.0	119.6
Capex (recurring)	–48.3	–70.4
Capex (non -recurring)	–	–
AFFO (capex -adjusted FFO I)	54.9	51.0

Net cold rent +€8.8m or +4.5%

Profit from operating expenses

Higher operating expenses (non allocable costs), (€4.6 m), e.g. CO ² costs

Allowances on rent receivables Ongoing conservative level of general allowances

Other income (rental and lease) Seasonal effects from value-add business ( – € 4 m) due to significantly higher energy costs

Net income from other services (recurring)

Positive effects from bio mass plant, partially offset via higher input costs

Balance sheet

€m	31.03.2023	31.12.2022
Investment property	20,355.8	20,204.4
Other non -current assets	553.0	579.0
Non -current assets	20,908.8	20,783.4
Receivables and other assets	249.6	179.5
Cash and cash equivalents	295.8	362.2
Current assets	545.4	541.7
Assets held for sale	15.3	35.6
Total Assets	21,469.5	21,360.7
Equity	9,175.4	9,083.9
Non -current financing liabilities	8,713.8	9,208.4
Other non -current liabilities	2,521.0	2,491.1
Non -current liabilities	11,234.8	11,699.5
Current financing liabilities	685.1	252.4
Other current liabilities	374.2	324.9
Current liabilities	1,059.3	577.3
Total Equity and Liabilities	21,469.5	21,360.7

Equity ratio 42.7% (Q4 -2022 42.5 % )

Investment property (among

• others) Acquisitions: +€109.1m (signed Q3 22)
• Capex: +€47.9 m

Other non -current assets

BCP stake (35.7%) included with market value of €303.6 m

Receivables and other assets Increase mainly driven by an increase in short -term deposits of €60 m

• Cash and cash equivalents Operating activities: +€125.1m Investing activities: –€137.8^m incl. €60m increase in short term deposits
• Financing activities: – €53.7m (mainly repayment of loans –€52.1m)

Loan to Value

€m	31.03.2023	31.12.2022
Financial liabilities	9,398.9	9,460.8
Excluding lease liabilities (IFRS 16)	19.3	22.0
Cash & cash equivalents1	365.8	402.2
Net Debt	9,013.8	9,036.6
Investment properties	20,355.8	20,204.4
Properties held for sale	15.3	35.6
Prepayments for investment properties and acquisitions	0.4	60.8
companies1 Participation in other residential	342.4	306.7
Prepayments for business combinations	–	–
Property values	20,713.8	20,607.5
Loan to Value (LTV) in %	43.5	43.9

Loan to Value

Decline to 43.5% as at March 31, 2023 from 43.9% as at December 31, 2022

Participation in other residential companies

BCP is included with a value of €303.6m based on a share price of €110.12 at Tel Aviv Stock Exchange as at March 31, 2023 (€97.19 as at December 31, 2022)

1 Since Q1-2022 calculation adapted to the current standard practices, i.e. inclusion of short-term deposits and inclusion of participation in other residential companies into property values.

EPRA NRV – NTA – NDV

€m	31.03.2023			31.12.2022
	EPRA NRV	EPRA NTA1	EPRA NDV	EPRA NRV	EPRA NTA	EPRA NDV
	– diluted	– diluted	– diluted	– diluted	– diluted	– diluted
IFRS equity attributable to shareholders (before minorities)	9,150.1	9,150.1	9,150.1	9,058.6	9,058.6	9,058.6
Hybrid instruments	31.0	31.0	31.0	31.0	31.0	31.0
Diluted NAV (at Fair Value)	9,181.1	9,181.1	9,181.1	9,089.6	9,089.6	9,089.6
Deferred tax in relation to fair value gains of IP and deferred tax on subsidised loans and financial derivatives	2,385.7	2,385.7	–	2,371.9	2,371.9	–
Fair value of financial instruments	–37.1	–37.1	–	–78.5	–78.5	–
Goodwill as a result of deferred tax	–	–	–	–	–	–
Goodwill as per the IFRS balance sheet	–	–	–	–	–	–
Intangibles as per the IFRS balance sheet	–	–5.6	–	–	–5.8	–
Fair value of fixed interest rate debt	–	–	1,140.8	–	–	1,208.3
Deferred taxes of fixed interest rate debt	–	–	–236.5	–	–	–643.6
Revaluation of intangibles to fair value	–	–	–	–	–	–
Estimated ancillary acquisition costs (real estate transfer tax)	1,968.1	–	–	1,955.3	–	–
NAV	13,479.8	11,524.1	10,085.4	13,338.3	11,377.2	9,654.3
Fully diluted number of shares	74,109,276	74,109,276	74,109,276	74,109,276	74,109,276	74,109,276
NAV per share (€)	182.13	155.50	136.09	179.98	153.52	130.27

1 Including RETT (Real Estate Transfer Tax) would result into an NTA of €13,492.2m or €182.06 per share (previous year: €13,332.4m or 179.90 per share).

Income statement

€m	Q1-2023	Q1-2022
Net rental and lease income	135.4	151.0
Net income from the disposal of investment property	–0.5	–0.6
Net income from the valuation of investment property	–0.5	0.3
Net income from the disposal of real estate inventory	–0.1	0.0
Net income from other services	7.8	3.0
Administrative and other expenses	–15.2	–16.6
Other income	0.0	0.0
Operating earnings	126.9	137.1
Net finance costs	–0.6	46.2
Earnings before income taxes	126.3	183.3
Income tax expenses	–30.0	–28.8
Consolidated net profit	96.3	154.5

Net rental and lease income

• Increase net cold rent (+€8.8m)
• Lower result from value-add services (–€4m) due to significantly higher energy costs and seasonal accrual
• Negative effects from higher allowances on rent receivables (+€2.3m)
• Higher maintenance costs (externally procured) (+€5.8m)
• Higher operating expenses (nonallocable costs), (€4.6m), e.g. CO2 costs

Net income from valuation

No portfolio valuation in Q1-23

Net finance costs

• Q1 22 negatively affected by embedded derivatives from the convertible bonds and almost fully reversed in Q1 23
• Higher interest costs partially offset by higher interest income

New construction pipeline further reduced to a total of c.€260m

Manageable size of projects and investment volume, cash potential from built to sell

Investment volume per year

Aggregated

Aggregated investment volume

Among the best in class

Upgrade to AAA rating by MSCI

1 As at 05/2023

Carbon Balance Sheet 2022

28.3 kg CO2e/m2 on a market based and climate adjusted basis

Carbon balance sheet

• Bottom-up approach
• BAFA-factors in line with GHG-protocol
• Scope 1 and scope 2
• 28.3 kg CO2e/m2 based on heating energy
• 301k t CO2 in total (2021: 283k t)

Heat energy by source (100% of portfolio)

• Based on actual consumption 2021 (84% actuals, 14% energy performance certificates (EPC), 2% estimates)
• Extrapolated for 2022
• Limited assurance by Deloitte

Energy efficiency of our portfolio of 147 kWh/m2 (2021: 144.5kWh/m2) is a function of corporate DNA & history:

Providing affordable housing in post-war Germany

LEG portfolio by construction years vs. LEG market

Reflecting our roots Distribution by energy efficiency classes LEG

Strong CO2 reduction of 15% in 2022

Well on track for our target towards climate neutrality

• LEG fully committed to new German Climate Change Act to achieve climate neutrality by 2045
  • Aligned with strategy via LTIcomponent of compensation scheme
  • 2023-26 LTI component envisages a 10% efficiency improvement for investments undertaken
  • Strong reduction in 2022 by 4% to 33.3kg (location based) and by 12% to 28.3kg (market based)
  • Key driver:
    • 4,028t CO2 savings from energetic refurbishments
    • better footprint of our district heating grid based on actual certificates of our utility provider vs. original assumption of market average

Transition roadmap towards climate neutrality

Energy transition and energetic refurbishment are the main drivers to reach the targets

Refurbishment

• At least 30% efficiency improvement
• Insulation of the building shell, incl. windows and doors
• Contribution of 25% 30%

Smart meter/ Tenant engagement

• Digitisation of heating system via smart metering
• Education and incentivisation of tenants
• Contribution of up to 5%

Energy transition

• Shift from fossil energy mix to green district heating
• Shift towards green electricity along Germany's path
• Contribution of 65% 70%

1 Estimate based on current price levels for materials and services and taking no innovation and efficiency improvements into account. Based on wide role-out of air-2-air heat pumps and introduction of smart thermostats.

LEG's portfolio comprised c. 167,000 units end of Q1

Well balanced portfolio with significant exposure also in target markets outside NRW

Appendix

Around 19% of portfolio comprises subsidised units

Reversionary potential amounts to 40% on average

Rent potential subsidised units

• Until 2028, around 20,000 units will come off rent restriction
• Units show significant upside to market rents
• The economic upside can theoretically be realised the year after restrictions expire subject to general legal and other restrictions⁴

Around 60% of units to come off restriction until 2028

Number of units coming off restriction and rent upside (ytd 2023: c.1,500)

Spread to market rent

€/m2/month

1 Employed by CBRE as indicator of an average rent value that could theoretically be achieved, not implying that an adjustment of the in-place rent to the market rent is feasible, as stringent legal and contractual restrictions regarding rent increases exist. 2 ≤5 years = 2023-2027; 6-10 years = 2028-2032; >10 years = 2033ff. 3 Rent upside is defined as the difference between LEG in-place rent and market. 4 For example rent increase cap of 11% (tense markets) or 20% for three years.

Subsidised units – Inflation-dependent components of the cost rent (i.e. admin and maintenance) were adjusted in January 2023 based on 3-year CPI development1

Cost rent components2

Management costs

Depreciation

Operating costs

Loss of rental income risk

Administration costs

Maintenance costs CPI - linked

Calculation for LEG's subsidised portfolio

122.2			from 01/2020	adjustm. 01/2023
106.1	+15.2% (applied to admin costs and maintenance costs)		Administration costs4 per unit/year	298.41	+15%
			Maintenance costs4 per sqm/year
			Building age <22y	9.21	+15%
			Building age >22y<32y	11.68	+15%
			Building age >32y	14.92	+15%
CPI index Oct 20193		CPI index Oct 20223

Capital costs

Financing costs

Historic view

Impact on cost rent adjustment at LEG

	2014	2017	2020	2023
3 year period CPI development	+5.7%	+1.9%	+4.8%	+15.2%
Total rent increase for LEG's subsidised portfolio (l-f-l)	+2.4%	+1.2%	+2.0%	+5.2%

LEG portfolio

Subsidised units (Q1-2023)

Location	Number of subsidised units	Average net cold rent month/sqm (€)
High growth markets	11,368	5.72
Stable markets	13,700	5.22
Higher-yielding markets	7,065	4.86
Total subsidised portfolio	32,133	5.33

1 CPI development from October 2019 (index = 106.1) to October 2022 (index = 122.2 acc. to Federal Statistical Office). 2 Legal basis for calculation: II. Berechnungsverordnung. 3 Basis 2015 = 100. 4 Administration and maintenance costs are lump sums.

LEG additional creditor information

Unsecured financing covenants Financing mix

Covenant	Threshold	Q1-2023
Consolidated Adjusted EBITDA / Net Cash Interest	≥1.8x	5.0x1
Unencumbered Assets / Unsecured Financial Indebtedness	≥125%	170%
Net Financial Indebtedness / Total Assets	≤60%	42.4%
Secured Financial Indebtedness / Total Assets	≤45%	15.7%

Ratings (Moody's) Key financial ratios

Type	Rating	Outlook
Long Term Rating	Baa1	Negative
Short Term Rating	P-2	Stable

	Q1-2023	Q1-2022
Net debt / adj. EBITDA2	14.3x	12.3x
LTV	43.5%	43.1%
Secured Debt / Total Debt	37.0%	36.2%
Unencumbered Assets / Total Assets	40.3%	41.0%

1 Based on the adjusted EBITDA definition effective until business year 2022. Based on the adjusted EBITDA definition effective since business year 2023, i.e. excluding maintenance (externally-procured services) and own work capitalized, KPI is 5.4x. 2 Average net debt last four quarters / adjusted EBITDA LTM.

Covenants

Capital market financing Corporate bonds

Maturity	Issue Size	Maturity Date	Coupon	Issue Price	ISIN	WKN
2017/2024	€500m	23 Jan 2024 (7 yrs)	1.250% p.a.	99.409%	XS1554456613	A2E4W8
2019/2027	€500m	28 Nov 2027 (8 yrs)	0.875% p.a.	99.356%	DE000A254P51	A254P5
2019/2034	€300m	28 Nov 2034 (15 yrs)	1.625% p.a.	98.649%	DE000A254P69	A254P6
2021/2033	€600m	30 Mar 2033 (12 yrs)	0.875% p.a.	99.232%	DE000A3H3JU7	A3H3JU
2021/2031	€600m	30 Jun 2031 (10 yrs)	0.750% p.a.	99.502%	DE000A3E5VK1	A3E5VK
2021/2032	€500m	19 Nov 2032 (11 yrs)	1.000% p.a.	98.642%	DE000A3MQMD2	A3MQMD
2022/2026	€500m	17 Jan 2026 (4 yrs)	0.375% p.a.	99.435%	DE000A3MQNN9	A3MQNN
2022/2029	€500m	17 Jan 2029 (7 yrs)	0.875% p.a.	99.045%	DE000A3MQNP4	A3MQNP
2022/2034	€500m	17 Jan 2034 (12 yrs)	1.500% p.a.	99.175%	DE000A3MQNQ2	A3MQNQ
			Adj. EBITDA/ net cash interest ≥ 1.8x
Financial			Unencumbered assets/ unsecured financial debt ≥ 125%

Net financial debt/ total assets ≤ 60%

Secured financial debt/ total assets ≤ 45%

Capital market financing Convertible bonds

	2017/2025	2020/2028
Issue Size	€400m	€550m
Term / Maturity Date	8 years/ 1 September 2025	8 years/ 30 June 2028
Coupon	0.875% p.a. (semi-annual payment: 1 March, 1 September)	0.400% p.a. (semi-annual payment: 15 January, 15 July)
# of shares	3,470,683	3,556,142
Initial Conversion Price	€118.4692	€155.2500
Adjusted Conversion Price1	€113.2516 (as of 2 June 2022)	€153.6154 (as of 7 June 2022)
Issuer Call	From 22 September 2022, if LEG share price >130% of the then applicable conversion price	From 5 August 2025, if LEG share price >130% of the then applicable conversion price
ISIN	DE000A2GSDH2	DE000A289T23
WKN	A2GSDH	A289T2

1 Dividend-protection: The conversion price will not be adjusted until the dividend exceeds €2.76 (2017/2025 convertible) and €3.60 (2020/2028 convertible).

LEG share information

Share (8.5.2023; indexed; in %; 1.2.2013 = 100)

Appendix

Market segment	Prime Standard
Stock Exchange	Frankfurt
Total no. of shares	74,109,276
Ticker symbol	LEG
ISIN	DE000LEG1110
Indices	MDAX, FTSE EPRA/NAREIT, GPR 250, Stoxx Europe 600, DAX 50 ESG, i.a. MSCI Europe ex UK, MSCI World ex USA, MSCI World Custom ESG Climate Series
Weighting	MDAX 2.5% (31.3.2023)

EPRA Developed Europe 2.3% (31.3.2023)

Basic data Shareholder structure1

Share price and market capitalisation since IPO

Appendix

IPO = Initial Public Offering; CI = capital increase; CIK = capital increase in kind; CB = convertible bond; SD = stock dividend.

Financial calendar

For our detailed financial calendar, please visithttps://ir.leg-se.com/en/investor-relations/financial-calendar

IR Contact

Frank Kopfinger, CFA Head of Investor Relations & Strategy

Tel: +49 (0) 211 4568 – 550 E-Mail: frank.kopfinger@leg-se.com

Investor Relations Team For questions please use ir@leg-se.com

Elke Franzmeier Corporate Access & Events

Tel: +49 (0) 211 4568 – 159 E-Mail: elke.franzmeier@leg-se.com

Karin Widenmann Senior Manager Investor Relations

Tel: +49 (0) 211 4568 – 458 E-Mail: karin.widenmann@leg-se.com Gordon Schönell, CIIA Senior Manager Investor Relations

Tel: +49 (0) 211 4568 – 286 E-Mail: gordon.schoenell@leg-se.com

LEG Immobilien SE ǀ Flughafenstraße 99 ǀ 40474 Düsseldorf, Germany E-Mail: ir@leg-se.com ǀ Internet: www.leg-se.com