Entra

Annual Report • Mar 22, 2024

Annual report 2023

CONTENTS

Year in brief 5 2023 in summary 6 Highlights 8 Letter from the CEO 10

This is Entra 3

The business	12
The property portfolio	16
Letting and letting market	18
Projects and property development	20
Transactions and transaction market	24
Partly-owned companies	26
Financing	27
Risk management	30
Executive management	44

ESG	46
Environment	60
Social	88
Governance	105
Auditor's report on the ESG report	119
From the Boardroom	122
Board of directors	123
Board of directors report	125
Responsibility statement	134

Financials	135
Consolidated financial statements	136
Parent company financial statements	179
Auditor's report	196
Alternative performance measures	200

Appendices	210
GRI index	211
EU Taxonomy report	218
TCFD reporting	227
EPRA Sustainablility Performance Measures	228
The property portfolio	239
Definitions	242

2

Entra Annual Report 2023

This is Entra Entra is a leading owner, manager and developer of office properties and owns a large portfolio of centrally located high-quality properties in and around Oslo and in Bergen. Our business is characterized by solid tenants on long lease contracts and a high occupancy ratio. Property development is the key driver for our growth. Sustainability is an integrated part of our business, and environmental leadership has been an important part of our business strategy for many years.

As a leading property owner and developer in the Norwegian market, we play an important role for the urban development in and around our property clusters. We seek to create a good atmosphere and safe surroundings in and around our buildings for the benefit of tenants, visitors and others who live or pass through the area.

Mission

To create lively and sustainable workplaces, facilitating job satisfaction and efficiency

Vision

The most satisfied people work in Entra buildings

Business idea

To develop, let and manage flexible, centrally located, environment-friendly buildings

Business strategy

Based on three pillars: profitable growth, high customer satisfaction and environmental leadership

Geographic focus

Selected clusters in and around Oslo and in Bergen

Core values

• Innovative • Responsible

• Hands-on
• One team

Year in brief

Entra's operating performance was healthy with solid net letting and increased revenues following strong CPI growth and completion of several development projects. During 2023, Entra signed new and renegotiated leases with annual rent totaling 483 million, completed five development projects totaling 64 700 sqm and started up two newbuild projects totaling 18 200 sqm. Entra's rental income was up by eight per cent in 2023, however increased financing costs due to higher interest rates reduced the net income from property management by 15 per cent compared to 2022. In addition, negative value changes on the property portfolio resulted in loss after tax of 5 582 million .

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2023 in summary

Project development

• Started up 18 200 sqm and completed 64 700 sqm of development projects
• 41 100 sqm under development at year-end

Transaction activity

• Sold six properties, totalling 49 800 sqm

Asset management

• Gross letting of 483 million (202 000 sqm); net letting of 59 million
• Portfolio occupancy of 95.3 at year-end

Key figures

	2023	2022	2021	2020	2019
All amounts in NOK million
Rental income	3 418	3 158	2 508	2 353	2 338
Change period-on-period	8%	26%	7%	1%	4%
Net operating income	3 136	2 895	2 274	2 142	2 149
Change period-on-period	8%	27%	6%	-	4%
Net Income from Property Management 1	1 356	1 603	1 534	1 451	1 471
Change period-on-period	-15%	5%	6%	-1%	3%
Net value changes	-8 152	-2 046	5 264	5 705	1 955
Change period-on-period	298%	-139%	-8%	192%	32%
Profit before tax	-6 868	-467	6 825	7 274	3 735
Change period-on-period	1 371%	-107%	-6%	95%	22%
Profit after tax	-5 582	-569	5 373	5 696	3 225
Change period-on-period	881%	-111%	-6%	77%	18%
Market value of the property portfolio1	69 520	78 571	67 547	56 746	48 964
Net nominal interest bearing debt 1	39 291	40 578	26 594	20 930	19 585
EPRA LTV1	57.2%	52.8%	40.6%	37.0%	40.2%
Effective leverage1	54.0%	50.1%	38.4%	36.4%	39.6%
Interest coverage ratio1	1.84	2.48	3.68	3.50	3.35
Average outstanding shares (million)	182.1	182.1	182.1	182.1	182.4
All amounts in NOK per share1
EPRA NRV1	167	207	218	189	154
Change period-on-period	-19%	-5%	15%	23%	7%
EPRA NTA1	165	205	216	187	153
Change period-on-period	-20%	-5%	15%	23%	8%
EPRA Earnings1	5.37	6.45	6.07	5.73	5.81
Change period-on-period	-17%	6%	6%	-1%	4%
Cash Earnings1	7.37	8.63	8.32	7.83	8.01
Change period-on-period	-15%	4%	6%	-2%	3%
Dividend per share 2	-	5.10	5.10	4.90	4.70
Change period-on-period	-100%	-	4%	4%	4%

Net Income from Property Management

NOKm

Total assets

NOKbn

100

¹ See the section "Alternative performance measures" for calculation of the key figure

² Entra has a policy of semi-annual dividends. Given the current situation in the property and interest rate markets, the Board's focus is to strengthen the company's balance sheet. Consequently, the Board has decided to not use the authorisation to pay semi-annual dividend for the first half of 2023 nor to propose dividend for the second half of 2023. Entra's dividend policy remains unchanged.

Highlights

First quarter

CPI growth came in at 6.5 per cent with effect on rental income from 1 January 2023.

In the first quarter, Entra sold the property Grønland 32 in Drammen for a total transaction value of 335 million. The transaction closed in March 2023.

Second quarter

In the second quarter, Entra finalised the redevelopment of Kongens gate 87 in Trondheim. The property is 7 100 sqm and was 87 per cent let at completion. The property is in process of being certified BREEAM-In-Use Very Good.

Entra also finalised the redevelopment of Brattørkaia 13B in Trondheim. The property is 6 000 sqm and was 77 per cent let at completion. The property is in process of being certified BREEAM-In-Use Excellent.

In Holtermanns veg 1–13 in Trondheim, Entra finalised a 20 900 sqm newbuilt office builing, the second of three office buildings on this land plot. The property was 75 per cent let at completion. The property is certified BREEAM-NOR Excellent.

Entra further started a newbuild project for the third and final phase of the development of the land plot in Holtermanns veg 1–13 in Trondheim. The project totals 15 500 sqm, and the property is 60 per cent let to the Norwegian Broadcasting Corporation (NRK). Expected completion is in Q2 2025.

In Vahls gate 1–3 nearby Oslo Central Station, Entra finalised the refurbishment of a 14 900 sqm office building. The property was 100 per cent let at completion and is in process of being certified Grønland 32, Drammen BREEAM-In-Use Excellent.

Brattørkaia 13B, Trondheim

Entra also started a newbuild project in Malmskriverveien 16 in Sandvika. The property will be 2 750 sqm and is fully let to Akademiet Realfagsgymnas. Expected completion is in Q3 2024.

Entra sold the properties Akersgata 51 and Tordenskioldsgate 6 in Oslo for a total transaction value of 1 473 million. The transaction closed in May 2023.

Fourth quarter

In the fourth quarter, Entra finalised the redevelopment of 15 800 sqm in Stenersgata 1 in Oslo. This is the first phase of the redevelopment of the office spaces of this property. At completion the project was 79 per cent let.

Entra also sold the two properties in Cort Adelers gate 30 in Oslo and the property Marken 37 in Bergen for a total of 1 020 million. The transactions closed in January 2024.

← Marken 37, Bergen

→ Stenersgata 1, Oslo

Letter from the CEO Light at the end of the tunnel

2023 has been another challenging year for the commercial real estate sector. Continued high inflation has led to increasing interest rates, challenging financing markets and downward pressure on valuations. On the other hand, the Norwegian economy remains solid with low unemployment and expectations for a soft landing with a continued positive GDP growth.

The Norwegian letting market has continued to be strong, and the work from home trend has largely been reversed, bringing people back to the office. Over the last couple of years, Entra has responded efficiently to the adverse market conditions by improving the financing and liquidity position as well as by selling assets to strengthen the balance sheet. As inflation now seems to be on a downward trend, both in Norway and internationally, market consensus is that interest rates have topped out, but uncertainty still prevails as to the timing and depth of future interest rate cuts.

Entra's rental income grew by solid eight per cent in 2023. This was positively influenced by the 6.5 per cent CPI adjustment of nearly all Entra's lease contracts from January 2023, but also by solid letting activities and from finalizing five development projects. However, higher interest rates and financing costs caused net income from property management to decrease by 15 per cent in 2023. Higher

return requirements also led to negative value changes of the property portfolio, which now has been written down by a total of 16 per cent since peak valuations in Q1 2022. Prime yield in Oslo has expanded with some 140 basis points since the peak and is expected to top out around current levels of 4.7 per cent.

A key priority for Entra through 2023 has been to strengthen the balance sheet, and we have worked diligently with measures to improve our debt metrics and stabilize the Investment Grade credit rating. With continued support from our six partner banks, an ongoing divestment program and tight capital discipline, we have managed to maintain and improve an already strong liquidity position throughout turbulent times in the capital markets. In 2023, Entra sold six assets, and in early 2024 we also signed a letter of intent for the sale of the entire Trondheim portfolio. Proceeds from these transactions will further improve Entra's debt metrics in 2024.

With Entra's attractive portfolio of centrally located assets primarily in Oslo, we are very well positioned to capitalize on these market conditions. Both short term when working with renegotiations and vacancies, and long term through our attractive development pipeline on central locations.

Operationally, we have delivered another very solid year. We have signed new and renegotiated leases for a total of 202 000 sqm with annual rent totaling 483 million, providing positive net letting of 59 million in 2023. Project development has always been an important lever for growth in Entra, and through challenging market conditions we have continued to grow, and to increase the quality of, our portfolio. In 2023, we finalized five development projects totaling 64 700 sqm and started up two new-build projects totaling 18 200 sqm. We also continue to enhance and pursue our exciting development pipeline totaling some 400 000–500 000 sqm.

We are optimistic about the market fundamentals in the Norwegian office market. As a result of both the pandemic and the recent years' increasing construction costs, the new-build activity has almost stopped. Vacancies remain low, and there is very limited availability of new, high-quality office space of some size, particularly in the central Oslo market. This has led to a renegotiation level of around 80 per cent for large lease contracts in 2023, versus an average of around 40 per cent in the period from 2015–2022. With limited options for tenants to choose from, property owners are expected to have a favorable negotiation position also in the years to come. In 2023, market rents increased by between five and ten per cent in different parts of Oslo. After several years of strong market rental growth, it is now expected that the market will take a breather to absorb the new levels. However, for the new-build market to pick up, market rents must increase quite significantly to offset the effects of construction cost inflation and higher interest rates.

With Entra's attractive portfolio of centrally located assets primarily in Oslo, we are very well positioned to capitalize on these market conditions. Both short term when working with renegotiations and vacancies, and long term through our attractive development pipeline on central locations.

Hybrid work is here to stay, and we see that the use of the office varies throughout the week, with Mondays and Fridays standing out as the days employees choose to work from home. However, according to market data and from our own experience, tenants tend to maintain their space requirements when signing new leases. The programming and use of the office may be different, but the absorption of actual space is roughly the same. We clearly see that our tenants are becoming more aware of the value of the office as a strategic tool to maintain and develop the human capital. The office needs to be a "destination" the employees choose to come to, and Entra's strategy of having high quality office buildings around central communication hubs, with urban qualities and services offerings, has thus become even more relevant post covid.

Despite challenging market conditions, we continue to focus on how we can contribute to prevent and mitigate the effects of climate change. Environmental leadership has been one of our strategic pillars for more than 15 years, and it is fully equated and aligned with our two other strategic pillars; profitable growth and high customer satisfaction. The diligent work conducted over many years is already reflected in the environmental qualities of our portfolio, and we are well positioned to meet future requirements and regulations. We have set ambitious reduction targets for our management portfolio and development projects, as well as clear guidelines for how we can

influence and set requirements for our stakeholders. In 2024, we will further review, align and verify our environmental targets with the Science Based Targets initiative (SBTi).

On the social side, we continue our important focus on health and safety, ethics, integrity, and human rights throughout the value chain. We also engage in, encourage and support initiatives focusing on socially sustainable neighborhood initiatives in and around our property clusters.

Entra is on a good trajectory going into 2024. We are comfortable with our financial position and will continue the work to further improve our debt metrics through both the ongoing divestment processes, further asset rotation and tight capital discipline. With a competent, dedicated, and enthusiastic Entra team, we are well set to capitalize on the solid Norwegian market fundamentals and the opportunities we see in the market. We continue to develop and strengthen our position as the office specialist through customer advisory services, enhanced service offerings and new technology to position Entra as the natural first choice for existing and new tenants also in the future.

Oslo, 15 March 2024

Sonja Horn

Chief Executive of Entra ASA

The business

Entra is an Oslo-focused, high quality office property owner, manager and developer. As of year-end, the portfolio totals approximately 1.56 million square metres, and approximately 78 per cent of management portfolio values are located in the Greater Oslo region.

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Entra offers investors superior cash flow visibility and quality. 57 per cent of rental income come from public sector tenants with AAA credit rating, and the weighted average unexpired lease term (WAULT) of the property portfolio was 6.3 years as of year-end 2023. The management portfolio has had a consistently high occupancy rate over the years, currently at 95.3 per cent. Entra's operational platform and service organisation has consistently given the company high rankings in the annual public Norwegian Tenant Index ranking of Norwegian landlords. Entra is exposed to a solid Norwegian economy supported by strong public funding and, particularly in Oslo, a property market with low office vacancy rates and continued rental growth.

The value of Entra's property portfolio as of 31 December 2023 was 69.5 billion, and the company's EPRA NRV and NTA was NOK 167 and NOK 165 per share, respectively. The net yield on Entra's portfolio as of year-end 2023 was estimated to 4.98 per cent.

Sustainability is fundamental to Entra's strategy and has been so for more than 15 years. Efforts are focused on areas where Entra can have the greatest impact.

• Environmental leadership is one of Entra's three strategic pillars, and its environmental strategy is set to contribute to EU's carbon reduction targets whilst also focusing on the use of natural resources and circularity
• To operate Entra's business and value chain in an ethical and sustainable manner is of key strategic importance and seen as a prerequisite for its license to operate
• Social value, health, safety and wellbeing in the company's properties, clusters and communities is important and sensible from both a social and commercial perspective
• Through investing in its culture and people, Entra continues to improve its business and competitive edge, as well as being able to seize the opportunities emerging in its business environment

Vision

Entra's vision "The most satisfied people work in Entra buildings" has extended Entra's definition of customers to include all the people working in Entra buildings. Broadening the customer definition from around 550 tenants to the more than 60 000 users of Entra buildings has extended our strategic positioning and how we interact with our customers.

The business

Entra's strategy is built around the following three focus areas:

Profitable growth

Customer satisfaction

Environmental leadership

Strategy

Profitable growth

Rental income was up by eight per cent to 3 418 million (3 158 million) in 2023. Rental income growth was influenced by finalised development projects and a strong underlying CPI growth of 6.5 per cent, partly offset by the sale of six properties signed in 2023 and effects from the sale of 10 properties signed in 2022. Net income from property management was down by 15 per cent to 1 356 million (1 603 million) due to significantly higher financing costs. Net value changes were negative 8 152 million (negative 2 046 million) due to negative portfolio revaluations from higher portfolio return requirements because of higher interest rates. Loss before tax was thus 6 868 million (467 million) in 2023.

Letting activity in 2023 was strong and Entra signed new and renegotiated lease contracts for a total of 483 million (202 000 sqm). Lease contracts with a total value of 147 million were terminated and net letting, defined as new lease contracts plus lease-up on renegotiated contracts less terminated contracts, came in at 59 million. Entra has a long track record of maintaining a high occupancy rate with its centrally located, high quality portfolio and professional letting organisation. As of 31 December 2023, the occupancy rate was 95.3 per cent.

Profitable project development has been the company's major lever for growth, and Entra and its project development organisation has a proven track record of completing attractive newbuild and redevelopment projects. In 2023, Entra finalised five redevelopment projects and one newbuild project, totalling 64 700 sqm. During 2023, Entra also started two newbuild projects, and the portfolio of ongoing projects as of 31 December 2023 consisted of three projects totalling 41 100 sqm.

Despite challenging market conditions, Entra has throughout 2023 demonstrated its ability to prolong external debt capital on attractive terms, and 6.5 billion of bank debt was extended. At year end, Entra had 6.6 billion in available liquidity and a Baa3 credit rating with stable outlook from Moody's. Net interest bearing debt was 39.3 billion, corresponding to an EPRA LTV of 57.2 per cent and effective leverage of 54.0 per cent. The average, nominal interest rate of the debt portfolio was 4.3 per cent (3.7 per cent) as of 31 December 2023.

Entra has taken several measures to improve its debt metrics. During 2023, Entra sold six properties for a total value of 2.8 billion. In February 2024, Entra also signed a letter of intent regarding the sale of the Trondheim portfolio for 6.45 billion. This transaction is expected to close during Q2 2024, and proceeds will be used to repay outstanding debt and strengthen the balance sheet. The Board of Entra has decided to propose to the Annual General Meeting to not distribute any dividends for 2023. Entra's dividend policy of distributing approximately 60 per cent of Cash Earnings to its shareholders however remains unchanged.

Customer satisfaction

One of Entra's goals is to provide outstanding customer experience. Entra takes full responsibility for property management in its properties and has a dedicated customer service centre to provide consistent and timely follow-up of enquiries. Entra works actively on maintaining good relationships with its tenants to achieve high customer satisfaction and to maximize lease renewal rates. The Norwegian Tenant Index is used to measure customer satisfaction. In 2023, Entra again achieved a high customer satisfaction score of 83 versus an industry average of 80. The customer centre contributes to increasing customer satisfaction and forms the foundation for efficient management of properties.

Entra targets early engagement with its existing tenants well ahead of their lease maturities and works together with its tenants to design workspace that meets their current needs and future requirements. Adopting to, making use of and investing in new technology is a core priority in Entra. In 2023, Entra established the proptech company Welcome Workdays together with two other commercial real estate companies. The company offers a digital platform for a more flexible workplace, to the benefit of landlords, tenants and the individual office users.

Environmental leadership

Environmental leadership is one of Entra's three strategic pillars, and Entra has over the last decades developed a corporate culture with a strong environmental focus throughout the entire value chain. The strategy of environmental leadership has become well-known among Entra's stakeholders and also enables Entra to attract competent and motivated employees.

Entra is committed to contribute to the transition towards a low carbon society and the company has developed an environmental strategy with a 360° approach, which includes targets and strategies for 1) the property portfolio and property management, 2) the development projects, 3) the organisation, and 4) the company's stakeholders.

For many years, Entra has had a strong focus on reducing energy consumption in its portfolio. Through several measures of varying scope, Entra has managed to reduce the energy consumption of its management properties from 202 kwh/sqm in 2011 to 122 kWh/sqm in 2023. Energy consumption constituted 77 per cent of Entra's CO2 footprint from Scope 1 and 2 in 2023. By 2030, Entra has an ambition to reduce Scope 1 and 2 emissions in its management portfolio by at least 70 per cent from a 2015 baseline, as part of the strategy to become Net Zero Carbon.

Entra has set high environmental ambitions for all its development projects. By 2030, Entra targets to reduce emissions from development projects by 80 per cent compared to the 2020 industry average. According to Entra's environment strategy,

newbuild projects shall be certified BREEAM-NOR Excellent or better, and redevelopment projects shall be BREEAM certified Very Good or better. Entra also seek to BREEAM In-use certify a large portion of its management properties. As of year-end 2023, approximately 49 per cent of the rental income and 58 per cent of the property values in the portfolio are associated with properties that are certified BREEAM Very Good or better.

To provide insight for our stakeholders, we submit response to the Global Real Estate Sustainability Benchmark (GRESB), and we achieved Green Star status with a total score of 90 in 2023.

For a further description of Entra's ESG strategy and achievements, see the separate section on ESG which is included in this annual report.

The property portfolio

Geographic exposure

As of 31 December 2023, Entra's management properties (i.e., not including the development projects) located in Oslo constitute 69 per cent of the portfolio values whereas the properties located in Bergen constitute 10 per cent, Trondheim 10 per cent, Sandvika 6 per cent, Drammen 3 per cent and Stavanger 2 per cent. In February 2024, Entra signed a letter of intent regarding the sale of its Trondheim portfolio. Subject to customary due diligence this transaction is expected to close during Q2 2024.

Oslo 69% Bergen 10% Trondheim 10% Sandvika 6% Drammen 3% Stavanger 2%

Trondheim Bergen Stavanger Oslo Drammen Sandvika

As of 31 December 2023, Entra's property portfolio comprised 99 assets, and the market value of the portfolio was 69.5 billion. A full list of the properties can be found on pages 240 to 242.

The management portfolio

Entra's management portfolio consists of 90 buildings with a total area of approximately 1.4 million square metres. As of 31 December 2023, the management portfolio had a market value of 66.4 billion (74.0 billion), and the occupancy rate was 95.3 per cent (96.5 per cent). The weighted average unexpired terms for the Group's leases were 6.1 years (6.1) for the management portfolio and 6.3 years (6.3) when the project portfolio is included. Following the expected sale of the Trondheim portfolio, for which a letter of intent was signed in February 2024, Entra's strategic focus going forward will be on selected property clusters in and around Oslo and Bergen.

All of Entra's properties are valued by two external appraisers (Cushman & Wakefield Realkapital and Newsec) every quarter. The market value of the portfolio in Entra's balance sheet is based on the average of the appraisers' valuation. Valuation of the management portfolio is performed on a property-by-property basis, using individual DCF models and taking into account the property's current characteristics combined with the external appraiser's estimated required rate of return and expectations on future market development.

The market value is defined as the external appraiser's estimated transaction value of the individual properties on valuation date. The project portfolio and development sites are valued based on the same principles, but with deduction for remaining investments and perceived risk as of valuation date. Unzoned land is valued based on the appraisers' assumptions on the market value of the land using the best estimate on the risks associated with the zoning and development processes.

Year-on-year, the portfolio net yield increased from 4.30 to 4.98 per cent. The 12 months rolling increased from NOK 2 450 per square metre to NOK 2 570 per square metre, whereas the portfolio market rent has increased from NOK 2 552 per square metre to NOK 2 801 per square metre.

Maturity profile of the management portfolio

	Properties	Area	Occupancy	Wault	Market value		12 months rolling rent		Net yield1		Market rent
	#	sqm	%	year	NOKm	NOK/sqm	NOKm	NOK/sqm	%	NOKm	NOK/sqm
Oslo	50	800 055	94.7	6.5	45 661	57 073	2 303	2 878	4.73	2 550	3 187
Bergen Trondheim	10 13	143 646 187 474	96.9 94.8	4.4 4.9	6 334 6 603	44 096 35 220	337 407	2 343 2 170	4.90 5.74	404 410	2 811 2 188
Sandvika	9	129 255	96.4	5.8	4 251	32 885	260	2 010	5.79	260	2 012
Drammen	6	60 934	97.5	8.4	2 120	34 790	131	2 142	5.75	126	2 060
Stavanger	2	54 215	99.5	7.0	1 466	27 043	98	1 815	6.16	104	1 919
Management portfolio	90	1 375 579	95.3	6.1	66 435	48 296	3 535	2 570	4.98	3 853	2 801
Project portfolio	5	79 883		11.0	2 446	30 625
Development sites	4	103 187		0.5	639	6 194
Property portfolio	99	1 558 649		6.3	69 520	44 603

¹ See the section "Definitions". The calculation of net yield is based on the appraisers' assumption of ownership costs, which at 31.12.23 is 5.9 per cent of market rent.

Letting and letting market

The letting market

The activity level in the Oslo letting market continue to be strong, and there has been a broad and robust growth in market rents in recent years. The work-from-home situation during the pandemic has been reversed in Norway, and the office activity is in total less than 10 per cent lower than pre-pandemic levels according to a study from Akershus Eiendom/JLL and also supported by Entra's own experience and data. As working from home primarily occurs on Fridays and Mondays, demand for office space is only marginally impacted as tenants need to take peak days at the office into account.

Office vacancy is the largest cities of Norway remain at low levels. According to Entra's Consensus Report where 11 market specialists contribute, office vacancy in Oslo is expected to increase slightly in the coming years, although from low levels. The combination of low vacancy and low newbuild volumes gives room for continued market rental growth in the years to come, although at a slower pace than seen over recent years.

In Bergen, the overall office vacancy is currently around nine per cent and around six per cent in the city centre. The activity level in the letting market is high, and there is limited supply and solid demand for modern premises in the city centre.

Market data Oslo 2021 2022 2023 2024e 2025e 2026e Vacancy Oslo, incl. Fornebu and Lysaker (%) 6.8 5.5 6.1 6.3 6.8 6.7 Rent per sqm, high standard office in Central Oslo 3 600 4 000 4 235 4 329 4 449 4 594 Prime yield (%) 3.3 3.9 4.7 4.7 4.6 4.5

Source: Entra Consensus report, Q4 2023

Letting activity in 2023

Gross letting in 2023 including renegotiated contracts was 483 million, and lease contracts with a total value of 147 million were terminated. Net letting, defined as new lease contracts plus lease-up on renegotiated contracts less terminated contracts, came in at 59 million.

The largest contracts signed in 2023 were:

• Renegotiated 3-year contract with The Norwegian Police for 17 000 sqm in Lagårdsveien 6 in Stavanger
• New and renegotiated 10-year contract with The Norwegian Environment Agency for 11 350 sqm in Grensesvingen 7 in Oslo
• New and renegotiated 10.5-year contract with The Norwegian Tax Authorities for 8 600 sqm in Nonnesetergaten 4 in Bergen
• Renegotiated 10-year contract with Norwegian Post for 8 400 sqm in Biskop Gunnerus' gate 14A in Oslo
• Renegotiated 10-year contract with The Norwegian Directorate for Education and Training for 5 630 sqm in Schweigaards gate 15B in Oslo
• New 10-year contract with Mestergruppen for 5 000 sqm in Brynsengfaret 6 in Oslo
• Renegotiated 5-year contract with Galleri Akershus for 5 500 sqm in Schweigaards gate 6–14 in Oslo
• Renegotiated 10-year contract with Municipality of Oslo for 3 800 sqm in Storgata 51 in Oslo
• New 20-year contract with The District Court of Asker and Bærum for 3 400 sqm in Malmskriverveien 2–4 in Sandvika

Occupancy in Entra's management portfolio was 95.3 per cent on 31 December 2023 compared to 96.5 per cent on 31 December 2022. The decrease is to a large extent driven by temporary vacancy in projects finalised in 2023. The occupancy level was highest in Stavanger at 99.5 per cent and lowest in Oslo with 94.7 per cent.

Tenants and tenant structure

Entra's tenant base comprises mainly of public sector and high-quality private tenants on long-term leases. At year-end 2023, public sector tenants accounted for 57 per cent of total contractual rent. As of 31 December 2023, the management properties had around 500 tenants, and the 20 largest tenants' share of Entra's rental income represents 45 per cent.

The following table sets out Entra's 20 largest tenants as of 31 December 2023.

Tenant	% of total rent	Public sector
Norwegian Tax administration	5.1%
Municipality of Oslo	3.5%
Sopra Steria	3.2%
Norwegian Defence	3.1%
Norconsult	2.9%
Rebel U2	2.9%
The National Library	2.9%
The Norwegian Labour and Welfare Administration	2.3%
University of Oslo	2.2%
The Norwegian Police	2.0%
The Norwegian Enviroment Agency	1.9%
The Norwegian Court Administration	1.7%
Amedia	1.6%
Municipality of Bærum	1.6%
Municipality of Trondheim	1.6%
University of South-Eastern Norway	1.5%
Schjødt	1.5%
Municipality of Bergen	1.5%
Private tenant	1.2%
Norway Post	1.2%
Total top 20	45.4%

Projects and property development

Property and project development is an important source for growth and value development, and Entra has normally had 5–10 per cent of the portfolio in project development. Entra has intentionally reduced the project activity following an increase in construction and capital costs and currently only has 41 100 sqm under development. The company has considerable expertise and experience in zoning, planning, building and redevelopment of office properties.

Projects completed in 2023

Holtermanns veg 1–3 (phase 2), Trondheim

In Holtermanns veg 1–13 in Trondheim, Entra finalised a 20 900 sqm newbuilt office building in the second quarter. This is the second of three planned buildings totalling 48 000 sqm. The property was 75 per cent let at completion and is certified BREEAM-NOR Excellent.

Kongens gate 87, Trondheim

Entra finalised the redevelopment of Kongens gate 87 in Trondheim in the second quarter. The property is 7 100 sqm and was 87 per cent let at completion. The property is in process of being certified BREEAM-In-Use Very Good.

Projects completed in 2023

Vahls gate 1–3, Oslo

In Vahls gate 1–3 nearby Oslo Central Station, Entra finalised the refurbishment of a 14 900 sqm office building in the second quarter. The property was 100 per cent let at completion and is in process of being certified BREEAM-In-Use Excellent.

Brattørkaia 13 B, Trondheim

Entra finalised the redevelopment of Brattørkaia 13B in Trondheim in the second quarter. The property is 6 000 sqm, 77 per cent let at completion and is in process of being certified BEEAM-In-Use Excellent.

Stenersgata 1, Oslo

Entra finalised the redevelopment of 15 800 sqm in Stenersgata 1 in Oslo in the fourth quarter. This is the first phase of the redevelopment of the office spaces of this property. At completion the project was 79 per cent let. The property is in process of being certified BREEAM-NOR Excellent.

Portfolio of ongoing projects

As of 31 December 2023, Entra had three ongoing development projects with CapEx exceeding 100 million, with total project area of 41 100 sqm. These projects are presented below. A full list of the project properties can be found at the back of this report.

	Location	BREEAM-NOR/ BREEAM In-Use Completion		Project	area Occupancy	Total project cost 1	Of which accrued1	Yield-on cost 2
				sqm	%	NOKm	NOKm	%
Redevelopment Schweigaards gate 15	Oslo	Very good	Q2-23 / Q2-24 22 900		88	1 422	1 256	4.8
Newbuild
Malmskriverveien 16	Sandvika	Excellent	Q3-24	2 700	100	175	112	5.0
Holtermanns veg 1–13 phase 3	Trondheim Excellent		Q4-25	15 500	60	684	241	5.7
Total				41 100	80 3	2 281	1 609

¹ Total project cost (including book value at date of investment decision/cost of land), excluding capitalised interest cost.

² Estimated net rent (fully let) at completion/total project cost (including initial value).

Ongoing projects

³ Weighted average occupancy of the project portfolio. Schweigaards gate 15, Oslo

In Schweigaards gate 15, Entra is redeveloping a 22 900 sqm office building located near Oslo Central Station. The first part of the project was completed in Q2 2023, and the second part will be completed in Q2 2024. The project is 88 per cent let.

Ongoing projects

Holtermanns veg 1–13, phase 3, Trondheim

In Holtermanns veg 1–13 in Trondheim, Entra is building a new office property totaling 15 500 sqm. The project involves the third and final phase of the development of this land plot, and the property is 60 per cent let to the Norwegian Broadcasting Corporation (NRK). NRK will acquire 49 per cent of their rented section at project completion. Expected completion is in Q4 2025. In February 2024, Entra signed a letter of intent regarding the sale of its Trondheim portfolio, including the development project in Holtermanns veg 1–13. The project will according to the letter of intent be completed by Entra and sold after completion.

Malmskriverveien 16, Sandvika

In Malmskriverveien 16 in Sandvika, Entra is building a new 2 700 sqm school building. The property is fully let to Akademiet Realfagsgymnas. Expected completion is in Q3 2024.

Development sites and project pipeline

Entra's portfolio of development sites contains properties with zoned development potential, but where no project start decision has been made. As of 31 December 2023, Entra had four development sites with a total area of 103 187 sqm. A list of the properties with defined land and development potential can be found at the end of this report. In addition, Entra continuously develops and extends the lettable area in its existing portfolio.

103 187 sqm Total zoned development potential

Transactions and transaction market

Transaction market

The market volatility caused by high inflation and increasing interest rates significantly reduced the activity in the property transaction market and put significant upward pressure on yields also throughout 2023. Total transaction volume in commercial real estate in Norway ended up around 54 billion in 2023, which is almost half of the level seen in 2022 and less than one third of the transaction volume in 2021. There seems to be consensus that interest rates now have reached the peak, and there are positive signals that the transaction market will start picking up in 2024. Core properties or properties with a value-add element remain attractive, whilst demand for properties with a more secondary location is lower. Prime yield in Oslo is currently around 4.7 per cent and is expected to remain at this level through 2024 before slightly moving downwards if interest rates come down, according to Entra's Consensus Report.

The newbuild volume in Oslo has been limited over the last couple of years, which is expected to continue in 2024. The significant increase in construction and financing costs creates an imbalance in return calculations. New projects have become expensive relative to existing stock, causing newbuild projects to continue to be postponed.

Year-on-year growth in the November CPI, used to adjust almost all of Entra's leases in the following year, came in at 6.5 per cent in 2022 and 4.8 per cent in 2023. In December, the key policy rate was increased by 25 basis points to 4.50 per cent, and it is the consensus and Central bank's view that the rate hiking cycle in Norway now is likely to have peaked.

Transactions

During 2022 and 2023, Entra has sold several properties to strengthen the company's balance sheet and improve the debt metrics. In February 2024, Entra also signed a letter of intent regarding the sale of its Trondheim portfolio for 6.45 billion.

Entra will continue to optimise its high-quality management and project portfolio through a flexible acquisition and divestment strategy, allowing Entra to adapt to feedback from customers and market changes, and to create and respond to market opportunities as they arise.

Entra actively seeks to improve the quality of its property portfolio and focus on selected properties and urban development projects in specific areas within its core markets in and around Oslo and Bergen. Targeted locations include both areas in the city centers and selected clusters on public transportation hubs outside the city centers.

Transaction volume Norway

Source: Entra Consensus report, Q4 2024

Transactions in 2022–2023

	Area	Transaction quarter	No of sqm	Gross asset value (NOKm)	Closing quarter
Acquired properties
Oslo Areal portfolio	Oslo	Q4 2021	225 100	13 550	Q1 2022
Total			225 100	13 550
Divested properties
Borkenveien 1–3	Sandvika	Q3 2021	6 670	87	Q2 2022
Hinna Park Eiendom	Stavanger	Q1 2022	116 000	1 297	Q1 2022
Karenslyst allé 8 A and B	Oslo	Q4 2022	8 600	530	Q4 2022
Konggata 51	Drammen	Q4 2022	3 600	130	Q4 2022
Sørkedalsveien 61	Oslo	Q4 2022	21 850	1 230	Q2 2023
Grønland 32	Drammen	Q1 2023	7 400	335	Q1 2023
Akersgata 51 and Tordenskiolds gate 62	Oslo	Q2 2023	23 400	1 473	Q2 2023
Marken 37	Bergen	Q4 2023	2 950	80	Q1 2024
Cort Adelers gate 30	Oslo	Q4 2023	16 050	940	Q1 2024
Total			206 520	6 102

¹ 184 million of the gross asset value was provided as a seller credit with an annual interest rate of 4.5 per cent and maturity in June 2024.

² 250 million of the gross asset value was provided as a seller credit with an annual interest rate of 4.25 per cent and maturity in November 2024.

Total transaction volume in commercial real estate in Norway ended up around 54 billion in 2023, which is almost half of the level seen in 2022 and less than one third of the transaction volume in 2021.

Partly owned companies

The vast majority of Entra's assets and development projects are wholly owned. In addition, Entra selectively gains access to properties and development projects through its shareholding in subsidiaries and jointly controlled entities. Entra's ownership interests currently include the following companies:

Papirbredden Eiendom

60%

Entra and Drammen Kommune Eiendomsutvikling own Papirbredden Eiendom. The company owns six properties totalling 61 100 sqm and a future development potential of 60 000 sqm in Drammen. The company is consolidated in the Group's financial statements.

Entra OPF Utvikling

50%

Entra and Oslo Pensjonsforsikring (OPF) own Entra OPF Utvikling. The company owns two office properties totalling 59 800 sqm in Bergen. The company is consolidated in the Group's financial statements as Entra has a controlling vote on the Board of Directors.

Oslo S Utvikling

Oslo S Utvikling ("OSU") is a property development company that primarily undertakes residential development in Bjørvika in Oslo's CBD East.

Rebel U2

50%

Rebel U2 is the operator of the technology hub in Universitetsgata 2 in Oslo. The company offers full-service solutions, flexible and short-term leases, co-working facilities as well as conference and event activity.

Galleri Oslo Invest

33.3%

Galleri Oslo Invest is a joint venture with the two other owners of Schweigaards gate 6–14 in Oslo ("Galleri Oslo"). The company owns and manages 10.6 per cent of the property.

Financing

The Group's financing is diversified between bank and capital market instruments. The nominal interest-bearing debt of 39 463 million as of year-end has a diversified maturity structure, with an average time to maturity of 3.8 years (4.3 years). As a general principle, Entra's financing is based on a negative pledge of the Group's assets that enables a broad and flexible financing mix. Entra has strong banking relationships, and currently has significant business activities with five of the top six Nordic commercial banks. Entra is also a large issuer of bonds in the Norwegian market.

During the year, Entra's interest-bearing nominal debt decreased by 1.3 billion to 39.5 billion (40.8 billion). The decrease in interestbearing debt is mainly due to divestments of properties. The change in interest-bearing debt comprised a decrease in bond and commercial financing of 0.5 billion and 0.8 billion, respectively, and a decrease in bank financing of 42 million.

The capital markets funding as of 31 December 2023 consisted of outstanding bonds totalling 17 062 million (17 541 million) and no outstanding commercial papers (820 million). This accounted for 43 per cent of Entra's total interest-bearing debt. Bank funding of 22 401 million (22 443 million) represents the remaining part of the financing mix. The Group's bank facilities are mainly revolving credit facilities at the ultimate parent company, which enables

active liquidity management by adjusting the facilities according to any ongoing cash needs or surplus. The Group's liquid assets amounted to 171 million (226 million) as of 31 December 2023. Net nominal interest-bearing debt after deduction of liquid assets was 39 291 million (40 578 million). In addition, the Group had committed unutilised credit facilities totalling 6 473 million (6 460 million).

Entra has access to "green financing" from debt investors, banks and other financial institutions. As of 31 December 2023, 47 per cent of Entra's financing was "green" according to the relevant industry standards. Entra is well positioned to utilise this conditional and favourable capital source, as the development and management portfolio consist of many highly environment friendly and BREEAM certified properties. Entra is established as a high-quality Green Bond issuer and has since 2016 issued 13 Green Bonds with a total outstanding nominal amount of 16 billion. CICERO (Norway's foremost institute for interdisciplinary climate research) has certified the Green Bond Framework with the rating Dark Shade of Green, which is the best rating possible.

Maturity profile and composition of interest-bearing debt

Maturity profile	0–1 yrs	1–2 yrs	2–3 yrs	3–4 yrs	4+ yrs	Total	%
Commercial papers (NOKm)	-	-	-	-	-	-	-
Bonds (NOKm)	924	1 600	4 029	594	9 915	17 062	43
Bank loans (NOKm)	-	5 500	13 406	2 495	1 000	22 401	57
Total (NOKm)	924	7 100	17 435	3 089	10 915	39 463	100
Unutilised credit facilities (NOKm)	-	-	6 473	-	-	6 473
Unutilised credit facilities (%)	-	-	100	-	-	100

Interest rates and maturity structure

The Group's average nominal interest rate as of 31 December 2023 was 4.29 per cent (3.70 per cent), compared to a reference rate (Nibor) of 4.56 per cent as of the reporting date. The change in average interest rate mainly stems from higher market interest rates. The average effective interest rate of the debt portfolio at year-end was 4.44 per cent (3.83 per cent). The effective interest rate is higher than the nominal interest rate mainly due to bond issuances below par value.

As of 31 December 2023, Entra's portfolio of fixed interest rate hedges had a total volume of 22.9 billion (22.3 billion) equivalent to a fixed rate hedge position of 58.0 per cent (54.7 per cent) and an average term to maturity of 4.2 years (4.7 years). As of 31 December 2023, credit margins for the debt portfolio had a weighted average fixed term of 2.6 years (2.9 years).

The Group manages interest rate risk through floating-to-fixed interest rate swaps and fixed rate bonds. The table to the right shows the maturity profile and contribution from these fixed rate instruments, as well as the maturity profile for credit margins on debt.

		Fixed rate instruments1		Forward starting swaps 2			Average credit margin
	Amount (NOKm)	Interest rate (%)	Amount	Interest rate (%)	Tenor (years)	Amount (NOKm)	Credit margin (%)
<1 year	1 300	2.40				12 325	1.57
1–2 years	4 100	2.37	1 400	2.51	7.0	7 100	1.03
2–3 years	4 239	2.05				7 029	0.80
3–4 years	1 050	2.10				2 094	0.86
4–5 years	3 000	1.80				2 000	0.84
5–6 years	1 900	1.54				4 100	0.48
6–7 years	3 800	2.19				4 315	0.58
7–8 years	100	1.75				500	0.85
8–9 years	1 200	2.80				-	-
9–10 years	800	3.31				-	-
>10 years	-	-				-	-
Total	21 489	2.17	1 400	2.51	7.0	39 463	1.03

¹ Excluding forward starting swaps and credit margins on fixed rate bonds (credit margins are displayed in the table to the right).

² The table displays future starting point, notional principle amount, average fixed rate and tenor for forward starting swaps.

Entra can be independent of the bond market for more than five years.

Investment grade

Entra has an investment grade credit rating assigned by Moody's at Baa3 with Stable Outlook. In the latest credit opinion as of December 2023, Moody's made the following comment:

"Entra's Baa3 rating continues to reflect (1) its position as the largest office property company in Norway; (2) its modern, highquality NOK72.1 billion office property portfolio in attractive locations on the fringes of the central business district (CBD) in Oslo; (3) clear, well-defined strategy focusing on offices in Norway's four largest cities and government tenants; (4) large exposure to highly creditworthy government and public tenants (58 per cent) with long-dated average lease maturities (6.2 years including project properties as of September 2023); (5) and consistently high occupancy rates of 95.6 per cent across all cities".

The Moody's Baa3 rating contributes to credit availability for Entra in domestic and international debt capital markets and enables Entra to maintain its debt maturity profile.

Financing policy and status

The Group has historically had a conservative financial strategy that secures financial flexibility throughout an economic cycle. In this respect, Entra's financial profile is characterised by a diversified debt maturity and an ample liquidity position. Entra targets a loan-to-value ratio which shall be below 50 per cent over time. The Group's loan-to-value ratio, measured by EPRA LTV, as at 31 December 2023 was 57.2 per cent, up from 52.8 per cent at year-end 2022. The effective leverage, which is the LTV metric used for Moody's credit rating, increased to 54.0 per cent

(50.1 per cent) at year-end 2023. The increased loan-to-value ratio is mainly due to the decrease in property valuations as a result of higher return requirements following the increase in interest rates. The company has during 2023 and into 2024 continued its divestment program initiated in 2022 in order to bring the loan-tovalue ratio in line with financial policy. The interest coverage ratio decreased to 1.84 in 2023 from 2.48 in 2022.

Entra's well-staggered debt maturity profile with very limited near to medium term debt maturities will be further improved when the proceeds from divestments are received during 2024. Combined

Financial risk	31.12.2023	Internal financial policy	Financial covenant
Financial leverage
EPRA LTV (Loan-to-value)	57.2%	Below 50 per cent over time	Below 75 per cent
Effective Leverage	54.0%	N/A	N/A
Financing risk
Back-stop of short-term interest-bearing debt	701%	Min. 100%	N/A
Average time to maturity (debt)	3.8 years	Min. 3 years	N/A
Debt maturities <12 months	2%	Max 30%	N/A
Interest rate risk
Interest coverage ratio (ICR)	1.84x	Min. 1.80x	Min. 1.40x
Average interest rate hedge maturity of the Group's debt portfolio	2.5 years	2–6 years	N/A
Average time to maturity of interest rate hedge portfolio	4.2 years	N/A	N/A
Maturity of hedges <12 months	49%	Max 60%	N/A
Credit risk / currency exposure
Counterpart's credit rating	Fulfilled	Min. A-/A3	N/A
Share of debt per counterparty	Fulfilled	Max. 40%	N/A
Currency exposure	Fulfilled	-	N/A

with an already ample supply of unutilised credit facilities, Entra can be independent of the bond market for more than five years.

The Group manages financial risk in accordance with a framework included in its financial policy. The main financial risks, in addition to financial leverage referred to above, are interest rate risk, financing and liquidity risk. The Group's financial policy is revised by the Board at least on an annual basis.

Entra's covenants as shown below are defined in the bank agreements. There are no debt metric covenants in the bond agreements.

Risk management

Through owning, developing, and managing properties, Entra is exposed to various risks that may affect the Group's ability to achieve the overall strategic targets and goals. Entra works continuously and in a structured manner to identify, monitor and manage these risks. The Group's risk management takes place through a structured analysis and decision-making process with the aim of creating a balance between the desire to limit uncertainty or risk and the task of creating growth and shareholder value.

Risk management aims to balance risk limitation and achieving defined objectives. To estimate the effect of identified risks, an internal risk matrix is made where each individual risk is assessed, both from the perspective of effect and probability. The following 12 identified risks are viewed as the most important for the company to manage going forward.

Risk factors	Description/definition	How we monitor	Changes in risk assessment during 2023
Access to and price of financing Responsible: • CFO	A reduction in access to finance could further weaken the company's global credit rating from Moody's, refinancing possibilities, and ability to finance new investments. In such a situation, the company could be exposed to an increase in financing costs which would weaken the underlying result, debt service ability and dividend capacity. Greater risk aversion in financial markets could limit access to financing and weaken investor interest in the sector.	The development in the company's financing needs, ability and costs is monitored on a continuous basis and reported quarterly in business reviews in order to ensure that the financing operation supports the overall business strategy. We maintain strong relations with five of the top six Nordic banks and participants in the debt capital market. We maintain a diversified financing structure with a balanced maturity profile and financing mix in order to ensure stable and predictable access to capital. Entra has an official global investment grade credit rating from Moody's. The credit rating was changed to Baa3 with Stable Outlook in November 2023. The rating contributes to the Company's' credit availability and has over the years enabled Entra to extend and enhance its debt	The market for commercial real estate financing has been difficult during 2022 and 2023. Funding costs have risen significantly although the market now expects that we will reach the peak of financing costs during first halv of 2024, upon which the interest rate levels both on the base interest rate and credit margins will improve. The implementation of Basel 4, tentatively from 2025, may increase the need for pledged bank loans. The acquisition of the Oslo Areal portfolio in 2022 and yield expansion has brought the LTV up to above 50 per cent. However, this is manageable in light of Entra's high quality assets with limited residual risk combined with a very strong tenant mix on long WAULTs and with a targeted disposal program to bring the LTV down.
	Non-compliance with environmental regulations can increase cost of financing.	maturity profile. We have large, committed, unutilised revolving credit facilities in order to secure financing of debt maturities due in at least the next five years as well as possible investment opportunities. We limit interest rate risk through interest rate hedges and by issuing fixed rates bonds. We monitor closely, and act upon, any new regulations in the bank and debt capital market with respect to possible implications for the company's future financing We carry out BREEAM certification, climate reporting on projects, technical mapping of climate risks of the properties in the portfolio.	In February 2024, Entra signed a letter of intent to divest 13 assets in Trondheim for a total asset value of 6.45 billion. Upon completion during Q2 2024, this transaction will greatly strengthen the balance sheet, the liquidity position and the debt metrics. We believe that Entra will be an attractive borrower in the coming period based on the company's predictable cash flow, strong tenant base, relatively low leverage and solid global credit rating. Increased focus on EU Taxonomy and increasing reporting requirements on environmental track record and ambitions.

Risk factors	Description/definition	How we monitor	Changes in risk assessment during 2023
Health, Safety & Environment Responsible: • EVP Project development	Entra's HSE policy states that "it shall be safe to work, visit and stay in and around Entra's properties and construction sites".	A central element in Entra's HSE work is a continous focus on identifying, reporting and processing risk, and to take appropriate measures to avoid unwanted incidents on all levels. Severe incidents are followed up and investigated to ensure both learning and future avoidance.	There has been no changes in Entra's operations throughout the year that has influenced the HSE risk on a whole. When it comes to the project activity, Entra had a high construction activity until mid-year,
	There is an inherent risk that Entra's own employees, tenants in Entra's buildings and workers on Entra's construction sites may be injured due to Entra's activities.	Entra's employees receive HSE training according to 'the Entra school', which covers statutory and Entra policy HSE training. As part of this, all new employees are given HSE training and an introduction to Entra's HSE management systems.	upon which the construction activity gradually decreased. However, the number of projects did not decrease in the same manner, and the HSE risk in Entra's project portfolio is considered to be unchanged. The HSE risk is considered to be reduced for the company as a whole due to reduced construction activity throughout 2024.
		Entra has an open, clear and systematic HSE communication, and HSE is a topic at all board, group management, and employee meetings.
		HSE targets are included in the Group KPIs with a focus on avoiding serious accidents. Entra changed its HSE KPIs in 2023 from previously counting injuries to a more pro-active approach of counting deviations and unwanted incidents.
		To reduce the risk of injuries at the construction sites, special attention has been given to HSE Planning in the 'early phase' of the projects before start-up at the construction site.
		Entra has HSE management systems to ensure that we comply with HSE requirements and internal routines.
		• Entra has implemented HSE working routines to reduce HSE risk in construction projects and in property management • Entra's HSE management system is accessible by all employees and by external parties when required • Incidents are reported both on construction sites and in our mana gement portfolio, and HSE reports are actively used to identify and mitigate areas of risk • Continuous efforts are made to ensure a strong HSE focus with Entra's partners and suppliers • Audits are performed on construction projects and suppliers
		Entra continuously focuses on enhancing the safety culture in the organization.
		Entra's HSE Manager represents property developers in the managing committee for an industry wide HSE system.

Risk factors	Description/definition	How we monitor	Changes in risk assessment during 2023
Development in value of property Responsible: • CFO	A substantial negative development in the property value will affect both the profit and loss account through unrealized changes in value and through an increase in key metrrics like the loan to value ratio (LTV). A too high LTV could have negative effects on cost of and access to capital, Entra's credit rating and shareholders' interest and attention. Regulatory changes as well as large fluctuations in operating costs could potentially affect the valuation of assets.	All assets in Entra's property portfolio are valued every quarter by two external appraisers. The valuation is performed on a property-by-property basis, using individual DCF models and taking into account the property's current characteristics combined with the external appraiser's estimated required rate of return and expectations on future market development. We continuously monitor the market and follow up the risk quarterly through active dialogue with the external appraisers. We work continuously on portfolio optimisation and risk mitigation in relation to geography, letting profile, segment, and "strategic fit". We focus on risk reducing measures in the portfolio, including rent levels, lease lengths, counter party risk, occupancy ratios, and the overall quality of the portfolio. We have an objective to keep LTV below 50 per cent over time, and we regularly simulate different negative scenarios in the market, which could affect the market value of Entra. We focus on sustainability, including when appropriate to maintain and upgrade older properties rather than redevelop. We continuously work to upgrade the property portfolio to comply with new environmental regulations.	Entra's property portfolio has increased in value substantially in recent years up until Q1 2022, mainly as a result of lower yield requirements but also as a result of ongoing project completion and the signing of new and renegotiated leases. Since Q1 2022 and throughout 2023, yields have expanded causing negative value changes on Entras property portfolio mainly driven by higher required rates of return. It cannot be outruled that we will see further negative value changes also in 2024, albeit most likely on a significant smaller scale than in 2023. Increased requirements for environmental qualities in the property portfolio, with potential implications for constructions costs, customer demand and valuation. Implementation of EU Taxonomy and other regulatory sustainability frameworks might further differentiate valuation of assets.

Risk factors	Description/definition	How we monitor	Changes in risk assessment during 2023
Occupancy ratio Responsible: • COO	The occupancy ratio in the management portfolio affects Entra's bottom line through rental income and operating costs. It relates mainly to lease expiries and to what extent we are able to renegotiate with existing tenants, and relet vacant space.	The occupancy ratio in the management portfolio and ongoing projects are important key metrics in all external and internal reporting. Vacancies and market opportunities are monitored on a continuous basis. Risk regarding leases expiring the next four years, are evaluated quarterly. The largest customer accounts are followed up with separate "key account strategies". For all major lease expiries, we	Even though the economic situation has deteriorated through 2023 the demand for office spaces, particularly in Oslo, has been strong throughout the year. As a consequence of increasingly higher interest rates, we expect that the economic activity will be dampened going forward and thus also reduce the demand for office space. With deteriorating market conditions and a higher cost level, we see that tenants have an increased focus on costs and, in times of uncertainty, also may choose to postpone decisions regarding new offices. At the same time, limited start of new office projects, particularly in Oslo, during the last two years, has a balancing effects on reduced demand. The occupancy rate in the management portfolio during 2023 has been high and in line with historical averages for Entra. Major leases expiring in the coming years could affect the occupancy ratio negatively, more unfavorable market fundamentals represent a risk of increasing vacancies. Tenants are more conscious on how to use the office post-pandemic and are to a larger extent considering new workplace strategies and thereby also more open to move their office. We also experience that larger public tenants implement new workplace strategies, and a more hybrid work situation may significantly reduce their demand for office space. This may impact the occupancy rate negatively on forthcoming negotiations.
	In addition, projects completed with vacant space will affect the occupancy ratio.	focus on early involvement and broad contact with customer to identify future needs, flexibility related to increased/reduced space, and finding optimal ways for tenant to organise their workplace.
	In the long term, the occupancy ratio is also affected by how flexible and adaptable our buildings are to changes in customer demand.	In all ongoing development projects, dedicated letting teams are established, consisting of market and letting expertise, property operations, and project resources. The letting teams work to ensure an optimized design and solution for the relevant building to attract new tenants. The pre-let
	The prelet occupancy ratio in development projects is a key measure for indicating the level of risk Entra takes when making investment decisions.	occupancy ratio in a project is followed up continuously and reported externally every quarter. In the planning of future development projects, a separate early phase strategy is prepared to secure a flexible asset and attractive product independent of longterm workspace trends. Here, we combine market and customer knowledge with construction and operational expertise. We are in regular contact with potential and existing tenants for direct customer insight, sharing relevant research, experience and analyses to better understand future workplace requirements and how to adapt our product offering.
	Fluctuating energy cost in combination with high CPI adjustments on leases may increase tenant focus on total cost of renting space and may have adverse effect on rent levels and on tenant appetite for less energy efficient buildings.

to a more hybrid work environment.

demanding customer. We consider the risk of declining customer satisfaction to be slightly higher than in previous years due to changing customer requirements to adapt

Risk factors	Description/definition	How we monitor	Changes in risk assessment during 2023
Customer satisfaction Responsible: • COO	Customer satisfaction affects Entra in different ways. A consistently high customer satisfaction over time reduces the risk that tenants will move out. A high level of customer satisfaction is considered a competitive advantage when attracting new tenants, allowing us to focus on other value drivers than price.	Customer satisfaction is measured annually through the Norwegian Tenant Index and tracked on individual tenant level. This index is used by a majority of the real estate sector and enables us to benchmark Entra against competitors. The survey is a good tool to identify areas for improvement and, if applicable, areas where we perform worse than our competitors.	In recent years, Entra has had a persistent high level on the customer satisfaction index. In 2023, the score was 83 points, down from 85 in 2022. A customer satisfaction score of 80 or higher is considered to be satisfactory across all industries and Entra has been above this level for nine consecutive years.The customer satisfaction index for the Norwegian real estate industry has been trending upwards until 2023 where the industry
		Based on results from the customer satisfaction survey, we make action plans on how to further improve customer satisfaction on a portfolio level as well on single tenant level where required.	as a whole saw a significant negative shift. In the post-pandemic, hybrid work environment it is becoming more important to offer products and services which makes it more attractive to come into the office. We experience more demanding customers with increased service requirements. Both new and existing players in the commercail real estate sector are targeting our prime
		We carry out regular "customer journeys" together with our large customers to evaluate our product offering and identify areas of improvement.
		Large customers are followed up through "key account strategies", detailing how we systematically interact and work together with the customer and strengthen the relationship. We aim to continuously develop our product and service offering to meet customer expectations.	customers offering new concepts and services. Even though Entra has a strong customer focus in the entire organisation, it will be important to continue to further develop our service offering to meet the increasingly

Risk factors	Description/definition	How we monitor	Changes in risk assessment during 2023
Project profitability Responsible: • EVP Project Development	Entra uses the net present value method to determine if a project is profitable using a discount rate that reflects the individual risk profile of the project.	A thorough risk assessment is performed before any investments are made. Project profitability is assessed continuously throughout the project period in relation to changes in financial key metrics such as yield-on-cost and occupancy rate.	Higher required rates of return stemming from higher cost of debt and equity return requirements, combined with increased construction cost during recent years, has made new project investments less profitable. Newbuild activity has thus been low through 2023, and new project starts are expected to be low also in 2024.
	Investments are also affected by several external factors that are outside the company's control, such as supply/demand for offices, CPI growth, interest rate levels, changes in currency levels, taxes, duties and construction costs.	Profitability is measured and reported against assumptions made at the time of the investment decision. To reduce risk, it is required that a substantial part of the property is pre-let before project	Construction costs seems to have peaked in 2022, and lower newbuild activity has sharpened competition in the construction market. Construction cost is slowly decreasing going into 2024.
		commencement. Pre-let requirements is assessed based on a combination of market outlook, supply/demand in relevant micro location and aggregate vacancy risk in the property portfolio.	A more uncertain economic outlook and increasing cost focus amongst tenants may affect the demand and willingness to pay the rents required to start new projects.
	Adding sustainable qualities in projects may influence construction cost and cost of of financing, project profitability and tenant demand.	Working with a main contractor on a fixed price contract, including extensive use of turnkey construction contracts, enhances the quality of the project and reduces the risk of cost and time overruns in newbuild projects.	In a more uncertain market environment, tenants may also have a preference towards shorter and more flexible contracts, and thereby increasing income risk and project cost and affecting project profitability.
		The use of local suppliers and materials has increased reducing dependence on global sourcing and transportation.	More projects are likely to be multi-user buildings to increase flexibility in respect of future reletting of buildings. This may increase complexity, potential cost and vacancy in the first
		Entra has increased the use of internal project managers to ensure strong project- and risk	years of operation.
		management throughout the entire project in refurbishment projects.	Increased requirements for environmental qualities in the property portfolio, with potential
		Marketing strategies and letting plans are established for known vacancies before project start. These are continuously reviewed and updated during the project development phase.	implications for construction costs, customer demand and valuation.
		ESG targets, budget and performance are included in the project investment decision processes.
		We assess climate performance from new technology.

Risk factors	Description/definition	How we monitor	Changes in risk assessment during 2023
Build and retain critical competence Responsible: • EVP HR and	The risk that Entra does not maintain the expected personnel quality and capacity on critical deliveries within the company's core business.	The development and management of competence is an integral part of the business strategy. We have initiated measures on recruitment to attract relevant talent and applicants with future oriented competence. We work systematically with talent development and succession planning.	In general, Norway has low unemployment and experiences a lack of specific expertise and high-skilled workers across sectors. The current negative sentiment in the real estate sector may however influence the ability to attract talents. There is a general cooldown in the employee turnover in the real estate sector due to the market situation. This is also reflected in Entra's turnover rate.
organization		We follow up employees with individual plans to develop competence and career development, including, but limited to, the "Entra School".	In 2023, the risk to build and retain critical competence has remained unchanged. The strong demand for high-skilled workers will however make it more challenging to attract specific competences and talents in the years to come.
		Our employees participate in professional networks and external courses. We conduct an annual employee survey, and regular, shorter status surveys of the employees' well-being to measure the engagement and satisfaction of employees and make action plans where required.	Entra still experience a competitive advantage in the recruitment of new employees due to a strong ESG employer brand.
		We benchmark and assess compensation and benefits to ensure that we are competitive.
		We have put in place measures to strengthen leadership capabilities and developed an attractive workplace to build an organisational culture.
		We have established strategic ESG measures in all business areas and continue to gain insight and drive engagement on sustainability.

Risk factors	Description/definition	How we monitor	Changes in risk assessment during 2023
Investment strategy Responsible: • CFO	Acquisition and divestments of assets, including knowledge. portfolio rotation, is an important tool to achieve Entra's objectives. Particular risk factors identified include: and Board of directors. • Diversification, including geographic,	Our key employees have long experience from M&A combined with commercial real estate market We evaluate each investment case by reference to strategy, risk and profitability. This is done at several levels, including the CFO unit, Entra's investment committee, executive management,	To strengthen the balance sheet and improve the debt metrics, Entra is continuing to divest assets from its portfolio. With expanding yields and increased cost of capital, many transactions in the market were stopped also during 2023 due to a gap between buyers' and sellers' price expectations. Entra has, however, managed to divest a total of 16 assets for a total consideration of appoximately six billion during the last two year at values around book values. The signing of a letter of intent for the divestment of 13 assets in Trondheim for a total asset value of 6.45 billion in February 2024, one per cent below the book values as of year-end 2023, is important to strengthen Entra's balance sheet and to improve the debt metrics.
	sector and type • Timing of transactions in relation to economic cycles and the life-cycle of the individual property • Access to development sites and property for development • Technical errors and incorrect assumption in valuations and investment calculations • Matters that are not revealed or overlooked in due diligence • Poor decision-making processes, including a lack of objectivity, an incorrect agenda/ incentives,"group thinking", the degree of risk appetite, and inadequate expertise	We review capital return requirement with the Board of directors at least annually, but more often if we experience fundamental changes in the under lying macro and risk sentiment. We thoroughly scrutinise and verify assumptions in the investment model by different external and internal professionals. Financial models are always reviewed by at least two people. All investments and divestments exceeding 150 million must be approved by the Board of directors.

Risk factors	Description/definition	How we monitor	Changes in risk assessment during 2023
Compliance Responsible:	Compliance is a compilation of Entra's specific assessment of risk factors within the compliance area.	Risk assessment, monitoring, and follow-up is an integral part of Entra's operations on all levels, including the Board of directors, that discuss compliance risk on a regular basis.	The risks associated with the implementation of the Transparency Act has not increased the compliance risk beyond the insignificant.
• Chief Compliance Officer	Entra's key risk factors within compliance are considered to be the following: • Corruption and financial crime • Ethics • Social responsibility • Personal data protection • Insider rules • Information security	We are working to prevent corruption and financial crime. Our strategy includes an e-training program for employees, rigorous purchase and invoice controls, and both internal and external whistleblower channels.	The overall compliance risk is perceived to be unchanged during 2023.
		We encourage ethical decision-making and behaviour through dilemma training. The Company's external and internal whistleblower channels ensure transparency and accountability.
		We are committed to socially responsible purchasing practices, guided by a comprehensive procurement policy. Stringent supplier controls are in place to uphold these standards, complemented by a Human Rights Policy.
		We are working with personal data protection through data processing agreements and the establishment of internal routines. Our e-training program emphasizes GDPR compliance, ensuring that all employees understand their responsibilities. Continuous follow-up ensures adherence to these protocols, safeguarding the privacy and security of individuals' data.
		Our insider rules dictate strict guidelines for employees regarding confidential information.
		We comply with the Transparency Act. An information channel to receive general inquiries from the public, and the statement of Entra's due diligence assessments in accordance with the act is available on the company's web pages.

Risk factors	Description/definition	How we monitor	Changes in risk assessment during 2023
Information/cyber security Responsible: • COO	Information security risk includes the threats that an external or internal attacker exploits vulnerability in Entra's ICT systems, processes, building technology systems or applications in order to cause harm to the company and/or users of the company's systems. Information security risk deals with the requirement for reliability and security in relation to the transfer and storage of information, including, but not limited to:	We focus on security and employees' knowledge and attitudes, including training of all of Entra's employees. Nanolear ning (short, internet-based learning sessions) are implemented for all employees to increase focus and improve understanding of ICT threats. We use suppliers with certifications that focus on security. We have outsourced the operational part of ICT security to one of Norway's top-of-class companies.	On a global scale we observe that the level of cyber crime activity still is on the rise. Ransomware, where company data is threatened to be auctioned off unless ransom is paid, has become an even more widespread threat. Virtual currencies increase the efficiency for attackers in ransom situations. Large language models (LLMs) are becoming more accessible and will be used to leverage capabilities and produce even more sophisticated and automated phishing, spearphising and other malicious attacks.
		We regularly carry out analyses and conduct vulnerability test of critical systems related to the operation of our buildings and the company. Vital systems are connected to the external ICT security company's platform and fire wall.	On a national scale, The National Cyber Security Center (NCSC) report on increasing ransomware attacks towards Norwegian private and public companies in recent years. This trend is expected to continue in the years to come.
	• Cyber security that covers securing information that are vulnerable via access from ICT systems	We use a third party provider to carry out audits and testing of actual security on systems and users. We continuously close identified security gaps.	Increased and more sophisticated use of phishing and CEO fraud is increasing in scope and is also noticeable in Entra.
	• ICT security that covers securing information and communications technology in relation to confidentiality, integrity and availability	We have implemented an information security management system (ISMS). As part of this, we define an annual security activity plan, and the roles CISO (chief information security officer) and ISM (Information security manager) have been established.	Entra's buildings are becoming more technologically sophisticated, and new technology represents a possible increased security risk.
		Entra has acquired a cyber security insurance with a global insurance company to reduce financial

risk and have the recourse necessary if a serious incident occurs.

Risk factors	Description/definition	How we monitor	Changes in risk assessment during 2023
Physical climate risk Responsible: • CFO	We consider short-, medium- and long-term time horizons to be 0–3, 3–10 and 10+ years respectively. Herein, we recognize that climate related issues tend to manifest themselves over the medium to long term and that our properties have a life-time of many decades. Regulatory changes imposed resulting from climate related risks are highly relevant and are monitored closely. Increased severity of extreme weather events such as storms and floods is a long-term risk. Property values constitutes most of Entra's balance sheet, and potential physical damage to property values could be severe. Damage to third party equipment and installations may lead to increased insurance cost and/or reduced customer satisfaction. Lagging behind with regards to new technology is a risk facing every company today on many levels, also climate related. Failure to comply and adapt to climate related matters is also a significant reputation risk which could result in e.g., lack of tenant interest, higher cost of capital in the financial market, and lack of ability to attract or retain talent. Also, not handling the company's corporate social responsibilities in an informed and appropriate matter is a reputation risk, whereas the opposite is an opportunity.	Entra's buildings are well maintained, and we build and refurbish buildings to higher standards than current regulation demand. All newbuilds and major redevelopment projects are certified according to BREEAM-NOR, and we continue to certify our management portfolio according to BREEAM In-Use. We map consequences and probabilities of all properties regarding physical climate risk to assess the risk and gain the ability to prioritize and implement adequate mitigating measures. We observe that green buildings get higher valuations, slightly higher letting price per sqm, that we believe will be a stronger trend going forward, and green financing is more favorable than traditional financing. We invest in new technology and methods for producing more energy of our own, and we actively seek to use technology to make our buildings smarter and greener. Technology is driving changes in how we work and has an impact on the space we occupy. We actively work to reduce the CO2 consumption in our portfolio, and KPIs within energy efficiency and waste disposal are included in the scorecard for determining variable pay for all employees in Entra. The location of Entra's properties is not seen as particularly exposed to flooding. Damage to property from e.g., heavy rain is an integral part of risk management on individual asset level. When establishing outdoor façade scaffolding and weather protection superstructure for buildings, we focus on safe and "extreme weather" robust solutions. We engage in industry campaigns to build internal competence and enhance qualification processes for suppliers. The EU Taxonomy provides a methodology and standards for measuring and classifying the assets in our portfolio. Entra will, when setting the new targets for its environmental strategy, to a large extent base this on the EU Taxonomy and follow up accordingly.	Physical climate risks are expected to have a limited impact on the Group's cashflows in the short to medium term. Increased premium on insurance due to a general increase in both number of incidents and the cost of each incident. While the gross risk related to climate has increased, Entra has invested significantly in process improvements and technologies to reduce the physical climate risk in the portfolio As such, we find that the overall risk is unchanged during 2023.

like Entra.

Risk factors	Description/definition	How we monitor	Changes in risk assessment during 2023
Changed use of, and demand for, offices	The overall demand for office space is primarily driven by the number of office workers in the economy, the space required per office worker,	We closely monitor key macro variables, e.g., economic activity, investments levels, employment participation ratios and unemployment, interest rates, asset prices, to be prepared for major changes affecting Entra's business.	A shift to hybrid work on certain weekdays, typically Fridays and Mondays, seems abundantly clear for office and knowledge workers. Leasing activity has been strong also through 2023 in the Norwegian market, and we have few signs of tenants reducing
Responsible: • CFO	and the time each employee spend at the office. The number of office workers in general, at least	Entra's property portfolio has during the last six years been focused on the largest cities in Norway where we assess that the growth potential of office activity is the largest and thus with lowest	space requirements in relation to new lease contracts. This applies to both Entra-specific negotiations and the Norwegian office market in general.
	over the medium and long run, follows the state of the macro economy within a country.	residual risk. Further, we have streamlined the portfolio towards office clusters in the central parts of these cities on public communication hubs.	Even though we have seen no material effects on demand so far, companies are still in an early phase in respect of testing new workplace strategies to adapt to a more flexible work
	Space per employee has in the last decades been reduced following the introduction of	In all renegotiations, we work closely with our tenants to provide optimal solutions for them. During the last decade, the public sector tenants, comprising 57 per cent of revenues in 2023, have taken	life. Thus, more flexible work could be a negative contributor to the overall office demand in the long term, the negative effect will at least be partly offset for the following reasons:
	open spaces and activity-based working. Since the pandemic, market surveys have shown	steps towards reducing the office space per employee significantly, and the risk of further reducing the required space per employee thus is limited.	• Employers/management have experienced that employees working in the office together with their co-workers are more proactive and creative.
	that space per employee has been constant or actually increasing.	We have increased the co-operation with prospective and existing tenants through Entra's in-house tenant advisory team.	• The office has an important function with regards to developing and retain critical competence and in installing and maintaining the company's culture amongst the company's employees. This is particularly important with regards to new hires.
	The extent that each office worker spends time, and thus requires a separate desk, varies	The use and changing patterns in the use of our building is monitored based on available data.	• The costs of renting offices in Norway are normally a very small part of a company's
	greatly from tenant to tenant. Work-from-home has in the last decades increased in popularity, but it has not, except during Covid-19, been or is a significant part of the daily life for most Norwegian office workers.	To understand future workplace requirements, and how to adapt our property portfolio and product offering, we are in regular contact with potential and existing tenants for direct customer insight and closely follow future workplace trends globally and in the Norwegian market.	cost base, estimated to around 5 per cent of employee costs. • Whilst most employees appreciate the flexibility to work-from-home, the trend is very clear that almost all employees prefer to spend a large part of their working time at the office with their colleagues. • In Norway, the typical day of working from home is Friday (and thereafter Monday).

must thus anyway be designed to fit almost 100 per cent of the number of employees. • It is our experience that most companies require a significant increase in small meeting rooms to enable video meetings which require more space. In short, employers are reshaping offices to become more inviting social spaces that encourage facetoface collaboration, creativity, and serendipitous interactions, which will benefit landlords

During mid-week, most employees are in the office, and the office design and volume

• Time spent on commuting is limited for the majority of Norwegian employees seeing that we have smaller cities and well developed public transportation infrastructure.

Summary risk-matrix

Probability

1: Access to and pricing of financing

• 2: Health, Safety & Environment
• 3: Development in value of property
• 4: Occupancy ratio
• 5: Customer satisfaction
• 6: Project profitability
• 7: Build and retain critical competence
• 8: Investment strategy
• 9: Compliance
• 10: Information/cyber security
• 11: Climate related risk
• 12: Changed use of, and demand for, offices

Effect 1

¹ Both financial and/or non-financial effects.

Executive management

	Sonja Horn	Anders Olstad	Kjetil Hoff
Position	CEO	CFO and Deputy CEO	COO
Born	1973	1967	1977
Nationality	Norwegian	Norwegian	Norwegian
Gender	Female	Male	Male
With Entra since	2013	2015	2014
Shareholding in Entra	60 478	87 111	17 827
Education	Master of Management ("Siviløkonom") from BI Norwegian Business school	MBA with distinction from INSEAD, MSc from the Royal Norwegian Naval Academy, as well as studies at the Norwegian Business School (BI) and the Law faculty at the University in Bergen	Master of Management ("Siviløkonom") from the Norwegian School of Economics (NHH)
Prior positions	EVP Property Management in Entra, Director and SVP Real Estate Asset Management at Statoil Fuel & Retail (now Circle K), transaction advisor and partner with Union Norsk Næringsmegling, Head of Large Corporate Accounts with Fokus Bank, Director of Commercial Real Estate at Fokus Kreditt and client account manager with Sparebankenes Kredittselskap (now DNB)	CFO at Helly Hansen, Relacom, Hurtigruten, and Lindorff. Before that, he held the position as Director of Business Development at B.Skaugen, consultant with McKinsey & Company and various positions in the Norwegian Armed Forces.	Head of Investments in Entra, Head of Asset Management in Asset Buyout Partners, corporate finance advisor SpareBank 1 SR-Markets, business developer in OBOS, management consultant in Accenture

Per Ola Ulseth Carine Blyverket Kristine Hilberg Tunstad Hallgeir Østrem

		Hallgeir Østrem
--	--	-----------------

Position	EVP Project Development	EVP Market and Business Development	EVP HR and Communication	EVP Legal and Procurement
Born	1966	1986	1972	1967
Nationality	Norwegian	Norwegian	Norwegian	Norwegian
Gender	Male	Female	Female	Male
With Entra since	2018	2020	2013	2013
Shareholding in Entra	17 271	0	13 591	24 075
Education	MSc from the Norwegian University of Science and Technology (NTNU), Executive leadership programme from IMD Lausanne, Switzerland	MSc Leadership and Organisational psychology (Norwegian Business School (BI)	Master in HR Management Griffith University, Studies in Business Administration from the Norwegian Business School BI, Bachelor Biomedical Laboratory Sciences from Norwegian University of Science and Technlogy (NTNU)	Master of Law (Cand.jur) from the University of Bergen
Prior positions	Director Projects in Rambøll Norway,Technical Director and Excecutive Vice President in Skanska Norway. Project and technology management from amongst other WSP, ODA (The Organisation Development Alliance) and Veidekke	Head of Business Development in Entra, Head of Modern Workplace i KPMG management consulting and Strategic advisor, business development in Microsoft	Senior Advisor HR Schneider Electric, HR Manager Areva, Senior Account Executive Abbott Diagnostics, Senior Biomedical Laboratory Scientist at Ullevål University Hospital	Lawyer and partner with Advokatfirmaet Schjødt, lawyer with OBOS and senior legal advisor with the municipality of Florø

ESG

Sustainability is fundamental to Entra's strategy and has been so for more than 15 years. Entra's ESG strategy and work is built on the precautionary principle and is focused on areas where Entra can have the greatest impact.

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Sustainable strategy and business model

Environmental leadership is one of Entra's three strategic pillars, and its environment strategy is set to contribute to the world's carbon reduction targets whilst also focusing on the use of natural resources and circularity

To operate Entra's business and value chain in an ethical and sustainable manner is of key strategic importance and seen as a prerequisite for our license to operate

Social value, health, safety and wellbeing in the company's properties, clusters and communities is important and sensible from both a social and financial perspective

Through also investing in its culture and people, Entra continues to improve its business and competitive edge, as well as being able to seize opportunities emerging in its business environment

Reporting standards and responses

To enable our stakeholders to compare and evaluate our reporting, we compile and align the ESG reporting for 2023 with four reporting frameworks: The EU Taxonomy, the European Public Real Estate Association Sustainability Best Practice Recommendations on Sustainability Reporting (EPRA sBPR), the Global Reporting Initiative Standards (GRI), and the Task Force on Climate-related Financial Disclosures (TCFD). Entra also reports separately to the Global Real Estate Sustainability Benchmark (GRESB). Entra has work ongoing in order to adapt its reporting to the Corporate Sustainability Reporting Directive (CSRD) during 2024.

The EU Taxonomy is a classification system that defines criteria for reporting on economic activities that are aligned with a net zero trajectory by 2050 and the broader environmental goals other than climate. The EPRA sBPR Guidelines provide a consistent way of measuring sustainability performance for real estate companies and cover environmental, social and corporate governance categories. The GRI Standards, applicable to all industries, include both relevant disclosures for a range of

economic, environmental and social topics as well as reporting principles related to the reporting process. The TCFD framework provides for consistent climate-related financial risk disclosures. The EPRA, GRI and TCFD tables and references are included at the back of the annual report.

Entra achieved the EPRA Sustainability Gold Level also in 2023 and the Global Real Estate Sustainability Benchmark (GRESB) Five Star rating with a total score of 90.

Third party verification

Entra has engaged Deloitte to conduct a review and provide a "limited level of assurance" on Entra's ESG and EU Taxonomy reporting. The review is carried out in accordance with the assurance standard ISAE 3000 "Assurance Engagements other than Audits or Reviews of Historical Financial Information" established by the International Auditing and Assurance Standards Board. The auditor's conclusion and scope of work is presented in the Auditor's report, included on pages 119–121.

Sustainability governance and organisation

The Board of Directors determines Entra's ESG strategy, priorities, targets and risk profile and reviews performance. Analysing materiality and stakeholder expectations is done annually, and the materiality analysis and ESG topics and targets for the coming year are determined. The Board follows up each ESG topic in individual in-depth business reviews with relevant business units at least once a year. These reviews also include ESG targets and KPIs which are then aggregated into company KPIs.

The CEO is responsible for implementing and following up the ESG strategy in Entra. Implementation is primarily handled in the individual business units and is reported to the CEO/ CFO through quarterly business reviews and in corporate management meetings. The CFO is responsible for the risk management framework, including climate related risks. Entra's risk management framework is structured to enable effective identification, evaluation and management of risk factors facing the company. Ownership and management of all key risks, including climate related risks, are assigned to the respective members of the corporate management who are responsible for implementing key risk mitigation plans.

Entra also has an ESG reporting unit with a separate responsibility to follow-up on ESG targets and actual performance. The figures are reported to Executive Management and Board of Directors on a regular basis and externally through the quarterly and annual report.

Engaging with stakeholders

It is important for Entra to maintain an open, continuous and honest dialogue with its main stakeholders. Such dialogues build trusting relationships, better business intelligence, and enable Entra to continue to improve, enhance its reputation, and spur ideas for future business development.

Entra has a structured approach towards understanding and managing the company's impact on the environment and society, as well as stakeholder requirements and expectations.

Entra's stakeholder management procedure is summed up in the illustration to the right and provides a systematic approach towards:

• Understanding stakeholder requirements and expectations as well as specific opportunities and concerns about the business and its impact
• Implementing important requirements and expectations into our strategy, targets and operations

Below is a summary of Entra's interaction with stakeholders in 2023, what the key topics have been as well as how the company responds to expectations and concerns.

Stakeholders groups	Engagement	Key topics 2023	Response
Employees	• Manager–Employee dialogue • Senior management communication and dialogue • Performance and goals with employee appraisals and feedback • Talent management and succession planning • Employee surveys • Knowledge sharing and teambuilding • Training and coaching • Employer branding • Sponsorships and social engagement • Engagement with trade unions and working environment committee • Cultural events for aligning strategy, professional development and social interaction • Outside work activities	• Occupational health and safety • Diversity, equality and inclusion • Workplace health and well-being • Development and career opportunities • Leadership development and training • ICT systems and tools • Employee satisfaction	• Monitoring of employees' well-being through surveys • Continued to follow up and improve our health and safety performance • Focus on work-life balance and well-being framework • Established a modernized fundament for leadership in Entra, guiding leaders on behavior, expectations and skills necessary to perform in a leadership role • Updated leadership development program aimed at futured oriented competence and training on leadership skills • Individual career planning and development plans • Focusing on diversity, equality and inclusion (DEI) trough training on skills necessary for creating an inclusive workplace
Suppliers	• Regular, direct dialogue • Integrity due diligence • Strategic collaboration and long-term relationships • Tenders and negotiations • Supplier audits • Supplier ESG survey	• Future business needs and deliveries • Responsible business conduct • Technology and environmental solutions • Energy efficiency and environmental building qualities • Accuracy and timely deliveries • Risk assessment • Cost savings	• Revied sustainable procurement terms & conditions • ESG due diligence of suppliers • Human rights policies and compliance with the Transparency Act • Workplace health and safety • Risk mitigation
Customers	• Regular, direct dialogue • Relationship management • Customer satisfaction surveys and feedback • Conferences and meetings with relevant office topics on the agenda • Advisory services within workplace strategies, energy and waste management • Customer service centre, with first- and second-line support	• Workplace strategies and how to use the office to enhance employee engagement • Flexible work and impact on how the office is used • Workplace health and well-being • Introducing products and services to meet customer needs • Energy efficiency and environmental building qualities	• Established strategic customer advisory team for assisting with workplace strategies • Give customers insight about office trends and how to create offices for the future • Follow up customer satisfaction feedback and make sure that concrete action is being taken to respond to customer needs

Stakeholders groups	Engagement	Key topics 2023	Response
Investors and lenders	• Regular, direct dialogue • Quarterly and annual reporting and presentations • Stock exchange releases, press releases and presentations • Roadshows, conferences and meetings	• Strategy and priorities • Operational and financial performance • Shareholder return requirements • Balance sheet management, including asset disposals and dividends • Interest rate and credit margin hedging • Availability and price of funding • Asset valuations • Macro impact, particularly from rising inflation and interest rates • Office market dynamics • Construction cost and project profitability • ESG expectations and performance • Shareholders and governance • Risks and uncertainties	• Communication on material strategic priorities • Communication on material events • Open and transparent reporting on financial, governance and sustainability strategy and performance • Communication on effects of changing macro fundamentals and effects on property market, valuations and financial metrics • Communication on risks and opportunities • Continuously strengthening ESG reporting, introduction of quarterly ESG reporting, and focus on implementation of EU Taxonomy reporting and preparations for CSRD
Real Estate Industry	• Partnerships and joint ventures • Partnering in industry coalitions, visits, meetings and seminars	• Decarbonisation of the value chain • Green Building Council's Roadmap to 2050 • Market trends and outlook • Impact of new regulations	• Part of four JVs • Building partnerships with real estate companies to drive more sustainable solutions and investigate digitalisation initiatives • Active engagement in industry associations, such as Norwegian Green Building Council and Norsk Eiendom
Regulatory and policy makers	• Meetings with politicians and policymakers • Engagement in policy making processes • Engagement in industry associations • Arranging/participating in conferences • Participation in Oslo Municipality's "Business for climate"	• Real estate market and industry trends • Climate regulations and implications for Entra • Definition and adaptation of EU Taxonomy criteria in Norwegian market	• Setting Net Zero Carbon by 2030 target • EU Taxonomy alignment and reporting • New energy standard scheme • City development, urban planning and architectural quality principles • Building relations and collaborating with municipalities for sustainable use of resources in zoning plans and planning processes.
Local communities	• Neighborhood cooperation • Participation in planning processes • Direct dialogue with politicians, municipalities, and public agencies, both in general and on specific matters • Management and participation in various landlords collaborations in Oslo (Skøyen, Kvadraturen, Nedre Akerselva, Tullin and Bryn). Sandvika, Bergen and Trondheim. Several of these are organised in OMA (Oslo Metropolitan Area).	• Engaging in living and working conditions in the company's clusters and around its buildings • Working to create safer and better local environments and to contribute to increased employment of disadvantaged groups • Extended participation scheme related to the planning processes for Lilletorget and Bryn	• Sponsor of Church City Mission • Co-operation with social entrepreneurs such as Sisters in Business in certain buildings • Participation in Nedre Akerselva Neighbourhood co-operation, a co-operation between a group of landowners to activate outdoor space make the area more attractive, lively and safe • Preparation of knowledge-based targets and measures for social sustainability in the Lower Akerselva area

Materiality analysis forming the basis for priorities

In 2022, Entra updated its materiality analysis and approach to materiality. This involved widening the mapping of impacts on the environment and society and strengthened the link of the materiality assessment to our stakeholder dialogue, strategy and risk processes and performance management. The analysis is based, among other things, on the ten principles of the Global Compact and the UN's sustainability goals. In 2023, the materiality analysis was reviewed by Entra's board and management, and during 2024, Entra will continue to further develop the materiality analysis as part of the work with implementing the Corporate Sustainability Reporting Directive (CSRD).

The annual materiality assessment was led by Entra's ESG function, discussed and concluded by senior management and approved by the Board. The material topics are areas where Entra and its stakeholders believe the company can make an important and sustainable impact. The topics are also believed to be important for future progress and long-term value creation. The outcome of the analysis and its main topics are illustrated to the right. The most important topics are summarised in the top right corner. These are areas of high importance for Entra, in terms of both their potential financial impact and as Entra's potential impact on people and environment. Other important topics are considered to be material to Entra either due to their potential financial impact or Entra's potential impact on people or environment.

Material topics and how Entra understands them: Impacts, Risks and Opportunities

Entra closely measures and seeks to reduce its risks and negative impacts, whilst also focusing on the opportunities arising from e.g., the green shift and new technology. Below is a summary of the material topics and Entra's understanding of the most relevant impacts, risks and opportunities.

	Impact	Risks	Opportunities	Link to the UN Sustainable Development Goals
Climate change	The real estate industry is referred to as the "40 per cent industry" as it globally accounts for 40 per cent of carbon dioxide emissions. Of these emissions, 70 per cent are produced by building operations, while the remaining 30 per cent comes from construction.1 Entra has an actual negative impact on climate change through greenhouse gas emissions in its own operations, its development projects and in the value chain. Entra can also have a potential impact on climate change through development of areas that have previously captured CO2 emissions.	Physical and transition risks from climate change may impact a building's operations and value. However, physical risk is not expected to have a material effect in the short and medium term. Physical risks are hazards caused by a changing climate, including both acute events, such as floods, fires, extreme heat, and storms, and chronic conditions, such as rising sea levels and increased average temperatures. Transition risks include changes in the economy, regulation, consumer behaviour, technology, and other human responses to climate change.	Entra is deeply committed to contributing to the net zero trajectory by 2050 as outlined in the European Green Deal. Entra can use its locations, building qualities, connections to utility systems, local footprints, and climate intelligence to improve asset values and potentially create new revenue streams.	7 9 11 12 13
Energy use and green energy	Around 77 per cent of Entra's carbon emissions in Scope 1 and 2 stem from the use of energy. Entra thus has an actual impact on energy consumption in its property portfolio and there are significant gains from working on improving energy performance, reducing energy consumption and, to some extent, from producing green energy in and around the company's buildings.	Production and use of energy is a significant contributor to global carbon emissions. The real estate sector stands for 40 per cent of European energy demand of which 80 per cent is derived from fossil fuels according to the UN2. In 2022, the war in Ukraine also showed the vulnerability of the international energy system. As a result, energy costs in 2022 and 2023 has been higher than previously seen in Norway.	Reducing energy consumption reduces Entra's carbon emissions and has positive financial impact on Entra and its tenants through reduced energy costs. Improving building quality and reducing energy consumption has been an important part of Entra's environment strategy for more than 15 years, and the average energy consumption per square metre has been reduced by some 40 per cent over the last ten years. Entra furthermore has ambitious targets for energy use in its newbuild and major redevelopment projects. Building green energy sources such as solar panels is part of Entra's strategy and will be further implemented in the coming years.	7 9 11 12 13

¹ 13 April 2022 | Climate Change, News, TCFD.

² UN: 2022 Global Status Report for Buildings and Construction.

ESG

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	Impact	Risks	Opportunities	Link to the UN Sustainable Development Goals
Resources and circular economy	New buildings are becoming increasingly more energy efficient, and material use is a large contributor to greenhouse gas emissions in a building's life cycle. Entra has an actual impact on resource use and circular economy through the large amounts of waste generated in new-build and redevelopment projects as well as in tenant alterations and adaptations.	Most of the emissions come from concrete and steel in the buildings' foundations, and support systems. It is expected that the focus and regulatory framework connected to reuse rather than building or buying new will become significantly stricter.	Entra seeks to effectively reduce the use of resources and the carbon emissions associated with it. By 2030, Entra targets that the CO2 emissions from its project development shall be reduced by 80 per cent compared to the 2020 industry average. Entra seeks to use low emission materials and to considerably reduce waste. In redevelopment projects, focus is on reuse of inventory and materials. Entra strives to build with robust, reusable materials and installations. Ensuring that new materials are reusable is as important as reusing existing materials.	3 7 9 11 12 13
Employees and working conditions	Entra aims to be the most attractive employer in the Norwegian CRE industry and have motivated and skilled employees with high job satisfaction and fulfilling personal development. Entra has an actual impact on its employees through the working environment, health and wellness offerings development opportunities and flexibility given.	There are work environment risks in all businesses. An adverse working environment may lead to increased sick leave and lead to direct costs in the form of sick pay and indirect costs in the form of loss of productivity.	Entra puts significant efforts into creating a good and healthy working environment for its employees. The company's employees are its most important asset, and a competent and motivated workforce is a significant competitive advantage.	3 8
Health and safety	It must be safe to work, visit and stay in and around Entra's properties and construction sites. For the company's own employees, it is also important to have a health-promoting workplace where no one will be injured or sick because of their work Entra has an actual impact on the health and safety of its own employees by offering employees health checks. For employees in the value chain and construction workers, Entra influence through requirements for suppliers to follow Entra's requirements for, among other things, HSE and suppliers and sub suppliers can only use workers from staffing companies that are registered with the Norwegian Labor Inspection Authority.	Construction work imposes health and safety risks that must be handled with a precautionary principle. Entra works actively to increase awareness with regard to the registration of all types of incidents (including accidents and near misses). The reporting of incidents is important to prevent potential accidents and to increase awareness among Entra's employees, suppliers and customers.	Health and safety work is central to Entra in all parts of the value chain. Safety is well established as a natural part of day-to-day operations, including being part of the bonus scheme for all employees. It is a focus area at all levels of the organisation and thus recognised widely in the organisation as a personal responsibility of all employees.	3 12
Ethics, integrity and transparency	Entra's ethical guidelines are built on principles of equal opportunities for all, concern for the environment, and a society view that emphasises ethics, transparency, honesty and sincerity. Continuous ethics and integrity training of all employees has a potential positive impact on the working environment in Entra and on the working conditions in the value chain.	Entra operates its business in Norway where regulations are strict and ethical awareness and standards are generally high. Yet, the construction industry in which Entra operates to some extent faces challenges related to business crime and social dumping. Entra has established procedures to ensure that Entra only uses qualified suppliers and performs risk assessments for its entire value chain.	The long-term success of Entra is based on trust combined with compliance systems to ensure that integrity and ethical standards are followed. To maintain this trust, Entra ensures that its behaviour is consistent with its corporate values. The Group's ethical guidelines describe the way Entra is to treat its stakeholders and the behaviour which is expected of its employees. Entra has also set "Socially Responsible Purchasing Guidelines" that must be followed by suppliers and their sub-contractors in its supplier qualification requirements.	3 8 10 12

	Impact	Risks	Opportunities	Link to the UN Sustainable Development Goals
Local communities and urban development	Entra has a positive impact on urban development through creating good atmospheres and secure surroundings in and around its buildings for the benefit of tenants, visitors and others who pass through the area.	Poor surroundings or atmospheres may cause our properties to be more difficult to let or lead to reduced rent levels and/or may cause property values to decline.	Entra ensures that the space around its buildings and building sites is neat, clean, and attractive. Entra works to get a mix of activities on the ground floors within its property clusters to make the clusters more lively and attractive for the users and visitors of its buildings. Where applicable, Entra considers how to activate the ground floors of its buildings to contribute to city life at street level.
Standards and new legislation	There is a significant amount of new legislation and standards that Entra needs to align its operations and to comply with. The Energy Performance of Buildings Directive, the EU Taxonomy, the Corporate Sustainability Reporting Directive (CSRD), and the Transparency Act have all been particularly high on the agenda in 2023 and will likely continue to be so in the years to come. These regulations may have a potential financial impact on Entra's properties as the regulations e.g.favor energy efficient buildings which may influence the demand and valuation of compliant vs non compliant properties.	Non-compliance with these new standards and regulations impose business risks in terms of loss of attractivity and reputation, and the implications of e.g., the Energy Performance of Buildings Directive may have an impact on future property values.	Entra works continuously to monitor and implement new standards and regulations. Entra has incorporated and is reporting on the EU Taxonomy in 2023 and on the Transparency Act in 2022. Entra is also well on track towards reporting in accordance with the CSRD. As Entra has worked with the environmental qualities of its portfolio for may years a significant portion of the the portfolio has high environmental qualities.	6 8 10 13
Diversity, equality and inclusion	Equal opportunities and diversity are an integral part of Entra's standards. Entra believes in the benefits of diversity, and this goal is incorporated into Entra's recruitment and talent development procedures and is reflected in the composition of senior management.	There is a firm view that a lack of diversity and inclusion in the workforce is a strategic business risk. Both in terms of limitation in the business innovation and understanding of markets and society, as well as from an employer brand perspective.	Different expertise and experience contribute positively to Entra's development and to a broader and better basis for decision-making. Entra believes that a business characterised by diversity is more innovative and copes better with challenges than overly homogenous businesses do. The company therefore has clear goals that its organisation should be characterised by diversity and be free from discrimination and harassment.	3 5 8 10
Human Rights	Entra is committed to maintain an organisational culture which respects and supports internationally recognised human rights. Entra supports all internationally recognised human rights standards such as the United Nations Guiding Principles on Business and Human Rights, as well as relevant international conventions and standards such as those of the International Labour Organisation . Entra has a potential positive impact through due diligence procedures embedded in internal risk assessment processes as well as being addressed explicitly in Entra's Socially Responsible Purchasing Guidelines.	Entra performs risk assessments for its entire value chain and facilitates action plans to reduce any identified risk. Entra has identified suppliers that perform work on Entra's construction sites and cleaning vendors as high-risk suppliers within social responsibility and follow-up this sector accordingly.	Entra does not accept discrimination or bullying in the company or in its value chain. Everyone is to be treated with respect, irrespective of gender, religion, age, ethnicity, nationality, any disability, or sexual orientation. Entra has a Human Rights policy, and human rights are included in guidelines and management tools, including those dealing with fundamental values, ethical guidelines and socially responsible procurement.	3 5 8 10

	Impact	Risks	Opportunities	Link to the UN Sustainable Development Goals
Nature and eco systems	More than two thirds of the world's population is expected to be living in cities by 2050. The impact on nature and biodiversity from urbanisation must be included in the decision- making processes whether in the design and construction of a building or the development of a district. Entra has a potential positive impact on nature and biodiversity through the development of blue-green areas around the buildings and on roofs and facades as well as from avoiding development on virgin land.	Biodiversity can often represent a challenge in real estate development and may impose significant cost for cities and real estate developers, particularly on green field developments.	Biodiversity contributes to making cities more pleasant and desirable to live in. Improving quality of life and well-being, reducing heat islands, and retention of rainwater are examples of the positive effects on nature and biodiversity in a city. Avoidance of building materials that are threatened with extinction, such as tropical wood in materials and furniture is important on a global scale.	3 12 13 15

Strategy scorecard and key performance indicators

In addition to targets and KPIs set within different business units, Entra's Board sets overarching KPIs on an annual basis. The KPIs are based on Entra's three strategic pillars: profitable growth, high customer satisfaction and environmental leadership. The environmental leadership pillar is for the scorecard extended to reflect Entra's broad focus on sustainability. These KPIs seek to drive and measure the most important focus areas and form the basis for the annual bonus for all employees.

Target 2024	Target 2023	Result 2023
		86.2
	≥86.0
≥ 7.5	≥ 6.0	0.1
≥ 10.8	N/A	-21.7
≥ 84	≥ 84	83
≤ 119	≤ 121	122
≥ 81.5	≥ 81.5	80.5
(Property management 70%/	(Property management 70%/
Projects 93%)	Projects 93%)
≥ 2.5 reported precautionary safety	≥ 2.5 reported precautionary safety	>2.5
incidents per person in property	incidents per person in property
management per month	management per month
≥ 2.5 reported unwanted events per	≥ 2.5 reported unwanted events per	>2.5
1 000 working hours per project	1 000 working hours per project
	TBD	>85.0

¹ Administrative costs are for the calculation of the KPI adjusted for non-recurring effects not related to the ongoing business of Entra

Key ESG metrics

	2023	2022	2021	2020	2019
Resource efficiency in property management portfolio
Energy consumption (kWh/sqm/L12M)	123	126	131	123	136
Change in energy consumption year on year, like for like	-1%	-4%	7%	-10%	-3%
Energy consumption – temperature adjusted (kWh/sqm/L12M)	122	121	123	118	135
Fossil free energy in property management portfolio
Share of produced green energy in % of energy consumption	1.2%	1.3%	1.5%	1.4%	0.9%
Waste management
Waste in property management (kg/sqm/L12M)	3	3.2	2.5	2.7	3.6
Waste sorting in % property management	67%	70%	69%	71%	65%
Waste sorting in % in project development portfolio	94%	94%	95%	92%	94%
Water management
Water consumption (m3/sqm/L12M)	0.2	0.2	0.2	0.2	0.3
BREEAM NOR/BREEAM-In-Use certification
Certified properties, % of sqm	44%	60%	51%	51%	29%
Certified properties, number of properties	34	39	28	24	18
Certified properties, % of rental income	49%	56%	60%	54%	35%
Certified properties, % of property values	59%	58%	53%	52%	38%

	2023	2022	2021	2020	2019
ESG benchmarks
GRESB points / stars awarded (out of 5 possible)	90/5	90	92/5	87/5	84/4
EPRA Sustainability Benchmark	GOLD	GOLD	GOLD	GOLD	GOLD
Environment Lighthouse award ("Miljøfyrtårn")	Yes	Yes	Yes	Yes	Yes
MSCI ESG Rating	AAA	AAA	AAA	NA	NA
EU Taxonomy eligible	100%	100%
Share of green financing (green bonds or bank loans)	46%	45%	69%	48%	32%
Social
Number of full-time employees	200	208	174	186	174
Diversity (% women/men)	38/62	36/64	37/63	38/62	38/62
Sick leave (% of total days L12M)	2.6%	2.9%	2.6%	3.1%	2.6%
Injuries with long term absence ongoing projects	3	5	1	-	-
Accidents with lost time ongoing projects (per mill. hrs. L12M)	7.4	4.9	8.1	4.7	2.0

Environment

Environmental leadership is one of Entra's three strategic pillars, and Entra has over the last decades developed a corporate culture with a strong environmental focus throughout the entire company.

Entra's work to prevent and adapt to climate change is built on the precautionary principle, and the company's environmental leadership is well known among its stakeholders. The environmental commitment contributes to attracting competent and dedicated employees

Environmental leadership is one of Entra's three strategic pillars, and its environment strategy is set to contribute to the world's carbon reduction targets whilst also focusing on the use of natural resources and circularity. Entra is currently in process of revising, aligning, and verifying its overarching net zero target with the Science Based Targets Initiative (SBTi), which will be concluded during 2024. Entra has developed an environmental strategy with a 360° approach, which includes targets and strategies for

• 1. the property portfolio and property management,
• 1. the development projects,
• 1. the organisation, and
• 1. the company's stakeholders.

The property portfolio

Reducing CO2 emissions from property management and related operations are essential for Entra to reach the overarching target of becoming Net Zero Carbon. When considering the total emissions from refrigerants, energy consumption, waste and water from the property portfolio in 2023, 77 per cent of the CO2 emissions stems from energy consumption. The second largest source of CO2 emissions is waste, which accounted for 20 per cent of the total emissions from the property portfolio in 2023.

In addition to focusing on reduction of CO2 emissions, Entra has a strong focus on managing all environmental impacts from property management in an efficient manner. Amongst other things, this includes circular principles in operations, adapting buildings to be fit for future climate scenarios, and an increased focus on biodiversity. Having a sustainable property portfolio is critical for future-proofing the business, reducing operational costs, and ensuring the best product for customers.

Main target

Entra's main target for the management portfolio is to reduce CO2 emissions by 70 per cent by 2030, from a 2015 baseline. The target is set based on the methodology of the Science Based Targets initiative (SBTi).

CO2 emissions from management portfolio

From 2022 to 2023, Entra reduced its CO2 intensity from Scope 1 and 2 emissions by 22 per cent, from 3.6 kg CO2e/sqm to 2.8 kg CO2e/sqm. Entra includes energy consumption from tenants in Scope 2. The majority of the emission reduction is due to a larger share of renewable energy in the delivered electricity, and district heating and district cooling in 2023 compared to 2022, which resulted in a reduction in the emission factors for these energy sources. When the Scope 3 emissions from waste and water is included, the emission intensity of the portfolio decreased by 30 per cent, from 5.0 kg CO2e/sqm to 3.5 kg CO2 e/sqm. Part of the emission reduction from 2022 to 2023 is caused by a change in the source for emission factors from waste in 2023 compared to 2022. All emission factors are now delivered to Entra by CEMAsys, and the main source for their waste emissions factors is DEFRA and Ecoinvent. The total waste intensity has been reduced by 6 per cent, from 3.25 kg/sqm in 2022 to 3.04 kg/sqm in 2023, whilst the water usage intensity remains unchanged.

Entra continuously works towards achieving greater insight in CO2 emissions from the property portfolio. In addition to calculating emissions from refrigerants, energy consumption, waste and water from the property portfolio, Entra includes emissions from Scope 3. This includes emissions from purchased goods and services, emissions related to transmission and distributions losses of the energy consumed by the management portfolio,

transportation of purchased goods and services from our major suppliers, additional services provided to tenants through Entra Service and from investments. For Entra, the main part of the emissions within this category stems from goods and services purchased in the management portfolio, of which the majority in connection with tenant alterations and refurbishments. The Scope 3 emissions from purchased goods and services are calculated using the spend-based method.

Focus areas in property management

• Reduce portfolio energy consumption
• Reduce the use of new materials, reduce waste quantities and increase waste sorting
• Increase the percentage of buildings in the property portfolio which can be proven sustainable through objective criteria.
• Responsible use of resources and increased biodiversity in property management.
• Produce energy from renewable sources
• Reduce water consumption
• Phase out refrigerants with high GWP

Reduce portfolio energy consumption

As part of the strategy to become net zero carbon, Entra has set ambitious yearly targets for energy reduction in the property portfolio towards 2030.

Emission from management portfolio

					Absolute performance (Abs)		Like-for-like by property type (LfL)
EPRA Code	Units of measure	Indicator			2022	2023	2022	2023
Greenhouse gas emissions
GHG-Dir-Abs	annual tonnes CO2e	Direct	Scope 1		312	136	304	136
GHG-Indir-Abs	annual tonnes CO2e	Indirect/location based	Scope 2		4 342	3 586	4 015	3 312
GHG-Int	kg CO2e / sqm / year	GHG emissions intensity		GHG Scope 1 and 2 intensity from building energy	3.59	2.77	3.58	2.85
		Indirect	*Scope 3	1. Goods and services purchased	29 271	22 181	NA	NA
				3. Fuel- and energy-related activities	NA	2 071	NA	NA
				4. Upstream transportation and distribution	NA	250	NA	NA
GHG-Indir-Abs				5. Waste and water generated in operations	1 812	928	1 684	858
	annual tonnes CO2e			9. Downstream transportation and distribution	NA	0.1	NA	NA
				15. Investments	NA	2	NA	NA
			Scope 3 total		31 082	25 431	1 684	858
			Scope 1+2+3		35 736	29 153	6 003	4 307
No. of applicable properties			Energy and associated GHG disclosure coverage		81 out of 91	84 out of 95	71 out of 77	71 out of 77
%			Proportion of energy and associated GHG estimated		0%	0%	0%	0%
	Greenhouse gas emissions – Guarantee of origin
GHG-Indir-Abs	annual tonnes CO2e	Indirect/market based	Scope 2		13 928	25 605	9 616	23 437

Data Qualifying Note

1. GHG Scope 1: Technical equipment which use refrigerant with high Global Warming Potential (GWP) is being phased out

2. GHG Scope 3: 1. Goods and service purchased. Spend based method is used except for technical equipment/devices, network devices and cloud/servers.

3. GHG Scope 3: 3 Fuel- and energy-related activities. New calculation in 2023. Transmission and distribution (T&D) losses (emissions associated with the generation of eletrictity lost in a T&D system).

4. GHG Scope 3: 4. Upstream transportation and distribution. New calculation in 2023 based on received input from major suppliers in the Management Portfolio. 1/5 of the turnover measured in NOK gave valid input.

5. GHG Scope 3: 5. Waste. New emission factors from DEFRA is updated in 2023

6. GHG Scope 3: 9. Downstream transportation and distribution. New calculation in 2023. Transportation related to Entra Service

7. GHG Scope 3: 15. Investments. Emission related to partly owned companies that are not consolidated as part of the Group.

8. GHG Scope 3: The following Scope 3 emissions are not considered relevant for Entra Management Portfolio: 2. Capital Goods, 6. Business Travel, 7. Employee commutes, 8. Leases assets upstream, 10. Processing of sold products, 11. Use of sold products, 12. End processing of sold products, 13 Leased assets downstream and 14. Franchise

9. GHG Scope 3: The categories within scope 3 that are new calculations does not have a like-for-like value due to lack of data.

10. GHG Scope 2: Alternative Electricity emission – Market based method (Guarantee of Origin): Entra has bought GoO for own offices and vacancy during 2023, whereas in 2022 it was also purchased on behalf of tenants.

Energy consumption

kWh/sqm (temperature adjusted)

Entra Industry average (Enova)

Internal measurement method derivates from EPRA methodology as it adjusts for differences in e.g. outside temperature.

For more than 20 years Entra has worked diligently to reduce the energy consumption in its portfolio. From 2011 to 2023, the energy consumption was reduced from 202 kWh/sqm to 122 kWh/sqm. In 2022, the energy consumption was 121 kWh/sqm and thus there was a slight increase from 2022 to 2023. This is mainly due to a cold and early winter in Norway in 2023. Entra aims to get back on track with the reduction in 2024 and has a short-term target and KPI for 2024 of 119 kWh/sqm. At the same time, work continues to reduce the peak load on the energy grid.

Focused and systematic work and technical upgrades over time are important drivers for how Entra has succeeded in this work, supported by the energy management system which has made it possible to measure, compare and follow up various initiatives. Entra has built and strengthened a corporate culture where energy management is an integrated part of the business operations. The company has operational staff with high technical competence who focus on deviations and energy use. Entra is now at a level where continued reductions in consumption primarily will be achieved through technological development and continuous improvements in the portfolio.

Over time, several green measures have been implemented in the portfolio, amongst others through green benefit agreements together with tenants. This type of investment usually has a long payback period, and Entra has adopted a slightly lower return requirement for investments that contribute to energy reduction or other environmental measures.

Reduce waste quantities and increase waste sorting

In addition to reducing emissions from energy consumption, Entra works actively to reduce emissions from waste.

Optimising waste management and solutions for waste sorting and collection is essential to enable optimal reuse or recycling of the waste. Targets are set for waste sorting in each asset, and the overall target for 2023 was 70 per cent. Although Entra has managed to achieve such high sorting ratio previously, 2023 showed an overall sorting rate in the management portfolio of 67 per cent. For 2024 the target is set at 70 per cent and Entra will identify improvement potential for waste management facilities at alle assets, while at the same time seek to increase tenants' competence on waste and the importance of waste sorting to further improve the waste sorting rate.

Furthermore, Entra strives to reduce the quantity of waste in buildings and looks for solutions for multi-use and reuse. Examples of this in the management portfolio are paperless offices, a reduction in food waste from canteens, as well as a focus on reuse when doing tenant alterations.

To succeed in reducing waste from tenants' exclusive areas, including waste from canteens, it is necessary to collect data on the waste that is generated from individual tenants. Today, the data is collected at a building level and then aggregated. Enhanced data insight helps to follow-up and motivate each tenant individually based on their specific needs. At the end of 2022, Entra started a pilot project for collecting waste data together with the proptech company Carrot. The main purpose of the pilot project was to find ways to collect even more granular waste data at tenant level and identify relevant ways to use the data to achieve increased sorting rates and to reduce waste quantities. The pilot project was prolonged throughout 2023 and proves that collecting waste data at tenant level can successfully be done. Data is available in real time and can easily be followed up by both Entra and the tenants themselves, making it easier to engage in waste management, follow up in a proper manner and report correct waste data. Entra will continue to work with the solution and implement it with more tenants and properties in 2024.

Sustainable assets

Entra targets to increase the percentage of buildings in the property portfolio which can be proven sustainable through objective criteria. It is necessary to have a thorough insight of the sustainability of all the company's assets and management of the assets to reach the goals for the property portfolio set by the environmental strategy. Because of this, Entra works systematically to identify the sustainability performance of all buildings and has set targets to increase the percentage of buildings in the portfolio which can be proven sustainable through objective criteria such as the EU Taxonomy alignment and BREEAM certifications.

EU Taxonomy reporting

As a non-financial company Entra reports on turnover, capital expenditure (CapEx) and operating expenses (OpEx) that are associated with EU Taxonomy-eligible and EU Taxonomy-aligned activities in accordance with the Sustainable Finance Act. This Act implements the EU Taxonomy Regulation (Regulation (EU) 2020/852) that entered into force in Norwegian law on 1 January 2023. Entra is not yet covered by the EU Taxonomy Regulation being a company with less than 500 employees. This report therefore represents Entra's voluntary EU Taxonomy report, however the reporting has been carried out as if we were legally mandated to do so.

An EU Taxonomy-eligible activity is an economic activity that has defined assessment criteria in one of the annexes of Delegated Acts. Entra's activities have been assessed for the respective activity descriptions defined in the Taxonomy Delegated Acts and categorized as either eligible or non-eligible following the description stated in the regulation. As the EU Taxonomy regulation is still under development, the focus has been on transparency, best intention, and providing explanation for choices made when interpreting the criteria. The interpretation of the criteria is based on both the explicit information available and the understanding of the purpose of the requirement.

The eligible and non-eligible activities deemed applicable to Entra are listed in the table below.

Activity	Comments
Acquisition and ownership of buildings (CCM 7.7)	Acquisition and ownership of buildings is an eligible activity according to the EU Taxonomy. Nearly all Entra's revenues and operating expenses and a significant part of Entra's CapEx are related to ownership and management of office buildings. Entra's portfolio of management properties is therefore screened against the technical screening criteria under this activity.
Renovation of existing buildings (CCM 7.2)	Renovation of existing buildings is an eligible and transitional activity according to the EU Taxonomy. Property development is a part of Entra's business model, hereunder redevelopment and renovation of properties in its property portfolio. Parts of Entra's CapEx are related to renovation of existing buildings and are therefore screened against the technical screening criteria under this activity.
Construction of new buildings (CCM 7.1)	Construction of new buildings is an eligible activity according to the EU Taxonomy. Property development is a part of Entra's business model and parts of Entra's CapEx are related to construction of new buildings. Entra's newbuild projects are therefore screened against the technical screening criteria under this activity.
Taxonomy-non-eligible activities	Revenues, OpEx and CapEx relating to outdoor parking space and a small portion of unallocated revenues and opex has been assigned as non-eligible activities. In Entra's case this represents very small amounts.

For a description of the assessment of alignment, calculation of KPIs and full EU Taxonomy tables, see the EU Taxonomy report included as an appendix to the annual report. The result of the assessment is summarised below.

Aggregated EU Taxonomy key performance indicators, company level:

Entra certifies all new-build projects and major renovation projects according to the BREEAM-NOR manual, with a target of obtaining BREEAM-NOR Very Good or better. However, the new-build and renovation projects ongoing in 2023 followed the BREEAM-NOR 2016 manual which is not automatically compliant with the DNSH-criteria in the EU Taxonomy. The Norwegian Green Building Council is currently working to establish official guidelines to determine the extra documentation needed to comply with the EU Taxonomy for projects following the BREEAM-NOR 2016 manual.As a result, and despite complying with the substantial contribution criteria for climate change mitigation, Entra was not able to document that all the DNSH criteria were satisfied and has as a result screened its renovation projects and one newbuild project as not compliant with the DNSH criteria in 2023. If Entra had been able to obtain satisfactory documentation that the DNSH criteria had been met in these projects a total of 57 per cent of the CapEx would have been reported as aligned with the EU Taxonomy.

Minimum social safeguards

The taxonomy regulation has not yet adopted explicit criteria for the minimum social safeguards beyond the references to OECD guidelines and UN Guiding Principles. Entra has therefore based compliance with minimum social safeguards on an assessment of several requirements derived from the process of due diligence on responsible business conduct as described in OECD's Guidelines for Multinational Companies and the UN Guiding Principles for Business and Human Rights.

Please refer to the following sections for information on Entra's processes and outcomes related to minimum safeguards:

• Human rights, including workers rights: Refer to the Social chapter in the ESG report
• Anti-corruption: Refer to the Social chapter in the ESG report
• Taxation: Refer to Note 11 on income tax in our consolidated financial statements
• Fair competition: Refer to the section on Ethics and Transaparency in the ESG report

BREEAM certification

In addition to the criteria from the EU Taxonomy, Entra uses BREEAM-NOR for newbuilds and large redevelopment projects and BREEAM In-Use in the management portfolio to screen and certify projects and the property portfolio in accordance with criteria set out by those schemes.

For all its existing buildings, the company works on assessing and benchmarking the performance of the buildings against best practice with BREEAM In-Use criteria.

BREEAM is holistic and robust, and the assessment process helps in recognising sustainable features and identifying measures that can be implemented in order to further improve the sustainability performance of the portfolio. This leads to better informed management decisions and continuous follow-up of the properties.

As of 31 December 2023, Entra has BREEAM NOR certified 23 of its newbuild and development projects and has another four in process. In addition, Entra has BREEAM In-Use certified the asset

BREEAM certification of the portfolio

Percentage share of portfolio certified in accordance with BREEAM NOR/BREEAM In-Use Very Good or better.

By rental income

By value

80

performance of 27 buildings in the portfolio and has another 16 BREEAM In-Use certifications ongoing.

The share of portfolio certified with regards to rental income has decreased compared to previous years. This is mainly explained by the fact that certification of assets using the old BREEAM In-Use manual from 2016 have expired and not been renewed pending the new BREEAM requirements. Entra is working on re-certifying previously certified buildings with the latest BREEAM In-Use manual, V6.0

Responsible use of resources and increased biodiversity in the property portfolio

Contributing to responsible use of physical resources in property management is key for Entra. As an environmental leader in the Norwegian real estate industry, Entra aims to be a frontrunner when it comes to circular economy through repair and reuse of inventory and materials. Amongst other things, this approach significantly decrease CO2 emissions, enables the realisation of circular economy principles, and contributes to reduced use of raw materials and further degradation of nature.

In 2023, Entra strengthened its commitment to reuse more furniture, fixtures and building materials by signing an agreement with Loopfront, a digital platform and surveying tool which is intended to give an overview of materials available for reuse. Entra uses this platform to identify and log inventory in its individual assets in order to make it easier for the property managers and project leaders to acquire reused inventory and materials for tenant alterations and refurbishments.

Entra also wants to encourage and facilitate the reuse of tenant's physical resources. In relation to an ongoing alteration for an existing tenant, Entra has introduced tenants to Loopfront and helped them map existing furniture, fixtures, and materials. The digital overview of reusable materials is used by consultants and architects in the planning of new premises, with the aim of reusing as much as possible. Additionally, as an example, Entra has provided small areas in selected buildings for materials to be placed and made available for other tenants to reuse. Entra plans to expand such initiatives in the years to come.

Entra has increased its focus on biodiversity and aims to improve the biodiversity at all its properties. Entra also strives to be involved in neighbourhood initiatives for creating and maintaining green lungs in the urban areas in immediate proximity to its buildings. Proximity to elements of the natural environment creates a positive impact on people and supports improvements in health and wellbeing. At the same time, green areas provide habitats for species that are needed in urban areas to maintain local biodiversity.

Energy from renewable sources

To reduce scope 2 emissions stemming from energy use, measures to reduce the energy demand of all assets is crucial. In addition to this, it is a part of Entra's strategy to increase the amount of energy produced from renewable sources on-site. There are six buildings with solar panels in Entra's property portfolio, and the total solar energy produced at these sites was 1.3 GWh in 2023.

Entra will gradually produce more renewable energy through new development projects, redevelopment projects and by installing solar panels on the roofs and facades of existing buildings. In 2022 and 2023, the company evaluated the roof surfaces of all properties to assess the potential to install more solar panels to increase the amount of renewable on-site energy production. The majority of the roofs of office buildings, in contrast to e.g., logistics centres or shopping centres, turn out to be less suitable for solar panels due to the geometry of office building, being tall and slim with small roof areas. In addition, poor solar radiation, technical equipment and ventilation ducts taking up a large portion of the roof space, or roof surface with different heights making solar panel layout inefficient.

Nevertheless, Entra will continue to look for and install the most suitable solar panel systems where possible and efficient. For all roofs which are identified as less appropriate for solar panels, alternative solutions such as blue-green roofs for better stormwater management and increased biodiversity, are considered.

Reduce water consumption

Even though availability of water is not a constraint in Norway, Entra focuses on reducing water consumption. The aim is to minimise water wastage due to possible leakages and have meters to monitor water use in the company's buildings, which is followed up through the asset management system. Where possible, automated leak detection systems are installed as well as flow control devices that regulate water supply to demand. Additionally, whenever new water appliances must be installed or old ones

replaced, water-efficient products are chosen. Whenever tenants are responsible for their own appliances, they are encouraged to install water-efficient products.

The water consumption intensity for the property portfolio remained unchanged between 2022 and 2023, at 0.21 m3 per square metre per year.

Phasing out refrigerants with high GWP

Less than 1 per cent of the yearly CO2 emissions from the property portfolio stems from leakage of refrigerants. Even so, to reduce these emissions, Entra has established a plan for phasing out of the refrigerants with high global warming potential (GWP) as they contribute to CO2 emissions if there are leakages in the system. The plan considers the remaining life of the technical equipment that utilises the specific refrigerant, as it is not seen as sustainable to replace technical equipment which is fully functioning. Monitoring and closely following all equipment to avoid leakage is done by Entra's operational organisation. The technical equipment which has reached its service life is replaced by installations which use low-GWP refrigerants.

In 2023, the redevelopment projects Stenersgata 1 phase 1, Kongens gate 87, Brattørkaia 13B as well as the newbuild Holtermannsveg 1–13 phase 2 were incorporated in the management property portfolio. All buildings are equipped with refrigerant equipment with low GWP.

Performance in 2023

Focus area	Performance 2023
Reduce portfolio energy consumption	Entra has reduced energy consumption in its portfolio from 202 kWh/sqm in 2011 to 122 kWh/sqm in 2023, which corresponds to a 40 per cent reduction. In 2023, the average energy consumption for the portfolio was 122 kWh/sqm while the target was set at 121 kWh/sqm. The main reason for not accomplishing the target was a cold and early winter in Norway in Q4 2023.
Reduce waste and increase waste sorting	The target rate of sorting for 2023 was 70 per cent for Entra's property portfolio. Although Entra has managed to achieve this high sorting rate in earlier years, the figures for 2023 shows a result of 67 per cent sorting rate of waste from the management portfolio.
Increase the percentage of buildings in the property portfolio which can be proven sustainable through objective criteria.	The percentage of the property portfolio value which is BREEAM certified or in the process of being certified has increased from 58 per cent in 2022 to 59 per cent in 2023, 47 of Entra's rental income and 21 per cent of operating expenditure are aligned with the criteria in the EU Taxonomy.
Use resources responsibly and increase biodiversity in property management.	Contributing to responsible use of physical resources in property management is a key priority for Entra and to repair and reuse of existing material shall always be considered as first choice. Entra has increased its focus on biodiversity and aims to improve the biodiversity at all its properties.
Produce more energy from renewable sources	There are six buildings with solar panels in Entra's property portfolio, and the total produced solar energy at these sites was 1.3 GWh in 2023. Entra has also installed heat pumps; geothermal, sea water, air etc in several of its buildings.
Reduce water consumption	The water consumption intensity for the property portfolio was 0.21 m3 per square metre in 2023, unchanged from the previous year.
Phase out refrigerants with high GWP	In 2023, the redevelopment projects Stenersgata 1 phase 1, Kongens gate 87, Brattørkaia 13B as well as the newbuild Holtermanns veg 1–13 phase 2 were incorporated in the management property portfolio. All buildings are equipped with refrigerant equipment with low GWP.

Low carbon project development

Entra can contribute to CO2 reductions by reducing emissions from refurbishments and project development.

Main goal

By 2030, the life cycle CO2 emissions from project development should be reduced by 80 per cent compared to the 2020 industry average. In CO2 calculation and reporting for newbuild and redevelopment projects, embodied carbon is included, as well the construction process and 60 years of operation and maintenance of the asset, and decommissioning after 60 years. The framework developed from FutureBuilt is the basis for the calculations, and, going forward, Entra will target FutureBuilt criteria in newbuild and redevelopment projects.

Focus areas

• Develop zero emission buildings by 2030
• Build energy efficient buildings that comply with the EU Taxonomy criteria
• BREEAM certify newbuilds to level Excellent or better and redevelopments to level Very Good or better
• Responsible use of resources
• Increased biodiversity

Develop zero emission buildings by 2030

Developing zero emission buildings over the lifecycle of a building requires innovative and best-practice solutions for operational energy use, as well as low emission materials. The remaining emissions must be compensated through energy production. All development projects in Entra are required to report on CO2 emissions, and these are continuously measured against the annual goals to ensure that the company is in line to reach the target for 2030. The CO2 emissions from embodied carbon in completed projects from 2023 are included in Entra's reported scope 3 emissions.

In 2023, Entra completed one newbuild and four redevelopments. All the projects except a smaller redevelopment project in Brattørkaia 13B in Trondheim complies with the emission curve and are below our emission target for 2023 as can be seen in the graph showing lifecycle CO2 emissions in projects below. Brattørkaia 13B is a historical building with strict regulations to what can be altered in the exterior and interior. Due to this, it has not been possible to upgrade it to a high energy standard. This results in high life cycle emissions due to the calculated energy use over a lifetime of 60 years. The building has, however, received a CO2 reduction from new materials of 60 per cent compared to a newbuild.

Entra reports the embodied carbon and emissions from construction sites (A1-A5) of all major newbuilds, redevelopments and refurbishments. The absolute CO2 emissions from project development have increased from 2022 to 2023 as Entra completed more projects involving more square metres in 2023 than in the previous year. As shown in the graph showing lifecycle CO2 emissions in projects, Entra completed one newbuild and four redevelopment projects in 2023 vs. four in 2022. Emissions from capital goods have thus increased from 5 859 tons CO2e to 6 724 tons CO2e. However, looking at the same numbers per square metre, the emissions have decreased from 117 kg CO2e/sqm to 116 kg CO2e/sqm. The scope 3 emissions from purchased goods and services reported in the table below has increased as a result of completion of two smaller refurbishments where the emissions are calculated using the spend-based method.

Entra will continue to request low emission materials to reduce waste and to have close to 100 per cent waste sorting in construction projects. In redevelopment projects, the focus will be on reuse of inventory and materials, and to improve energy efficiency. Entra strives to build with robust, reusable materials and installations as well as build with flexibility to be fit for future adaptation to the evolving needs of tenants. Entra also focuses on future reuse in the installation techniques used in its buildings to enable future gentle dismantling and re-use.

Lifecycle CO2 emissions – Project development

CO2 emissions (kg CO2e/sqm BRA)

• Expected industry performance based on Norway's climate goals
• Entra target curve

Emission from project development

					Absolute performance (Abs)
EPRA Code	Units of measure	Indicator			2022	2023
Greenhouse gas emissions
			*Scope 3	1. Goods and services purchased/ Spend-based	1 167	4 029
GHG-Indir-Abs	annual tonnes CO2e	Indirect		2. Capital goods	5 859	6 724
			Scope 3 total		7 025	10 753
	%			Proportion of energy and associated GHG estimated	0%	0%

Data Qualifying Note

1. GHG Scope 3: 1. Goods and services purchased. Spend based method includes only initiation phase services in development projects

2. GHG Scope 3: 2. Capital Goods. Embodied carbon emission from materials and construction activities (A1-A5 in accordance with NS3720) related to the projects finalised in 2023

Build energy efficient buildings compliant with the EU Taxonomy

Entra is a leader in Norway in developing environmentally sustainable buildings and has for many years had high environmental ambitions in all development projects. It started with a cooperation with the Powerhouse alliance where Entra redeveloped five older buildings to energy-positive buildings, "Powerhouses", at Kjørbo in Sandvika. At Brattørkaia in Trondheim, a newbuilt Powerhouse was finalised and opened in 2019. A Powerhouse produces more energy than it uses over its lifetime, including the emissions from materials used for construction and demolition. In practice, the buildings therefore act as local power stations that deliver environmentally friendly energy. Entra has thus contributed to increasing the focus of the entire industry to consider "virtually zero use of energy" in both new buildings and redevelopment projects.

The overall target for delivered energy in Entra is 30–40 kWh/sqm for newbuilds and energy standard A. For redevelopment projects, Entra's target is to obtain at least a 30 per cent reduction in energy consumption compared to before renovation, and for the building to be qualified as top 15 per cent of the national building stock with regards to primary energy demand (PED). Entra aims to implement a high proportion of renewable energy in its projects.

The EU Taxonomy is still quite new, and the necessary guidelines for how to comply with the national requirements for ongoing projects have not been established by the relevant Norwegian industry organisations, such as the Norwegian Green Building Council. This is specifically relevant for the Do No Significant Harm criteria which has extensive references to European standards. It is therefore currently uncertain what is necessary and sufficient documentation to comply with the Do No Significant Harm criteria in the EU Taxonomy related to construction of new buildings and renovation of existing buildings. The necessary guidelines for how to comply with the Substantial contribution to climate change mitigation criteria has been established.

Stenersgata 1 is located in the heart of Oslo, adjacent to the Oslo Central Station. Entra owns the office floors above the existing shopping mall, and in 2023 Entra completed a redevelopment project involving floors 5–12 in a significant part of the building, which was the first phase of redeveloping the entire office part of this property. The building was constructed in 1988, and the redevelopment project has resulted in an energy reduction of more than 30 per cent and a BREEAM-NOR Excellent certification. The redevelopment included new facades and windows as well as new energy-efficient technical installations. The existing grey roof has been replaced with a green roof and green facades have been implemented. Increased biodiversity and natural surface water run-off has been key in the project from the very beginning, creating a green lung in the middle of Oslo city center. Compared to doing a newbuild project, the CO2 reduction from embodied carbon was 43 per cent.

Entra certifies all applicable newbuilds and redevelopments according to BREEAM-NOR, however the ongoing projects follow the BREEAM-NOR 2016-manual which is not automatically compliant with the DNSH-criteria in the EU Taxonomy. The Norwegian Green Building Council is working on establishing official guidelines as to what extra documentation a project following the BREEAM-NOR 2016 manual will need to comply with the EU Taxonomy, but this guideline was not released as of February 2024. It is thus still uncertain if all the DNSH criteria are satisfied for the ongoing projects, and Entra will report the share of green CapEx for two different scenarios; one where the projects do not comply with the DNSH-criteria and one where the projects do comply with the DNSH-criteria.

In 2023, Entra completed five projects, of which four were redevelopment projects. This supports the company's increased focus on circular solutions. The projects have low CO2 emissions due to the reuse of load-bearing structures which typically consist of concrete with a high carbon footprint. At the same time, Entra has maintained a high focus on energy efficiency throughout the construction period to ensure an end-product with a lower carbon footprint from energy use over the building's lifetime. One of the properties is a heritage building and therefore has strict restrictions as to what can be done with regards to the building envelope. This building therefore still has a high CO2 footprint linked to the energy use over 60 years but has achieved a high CO2 reduction with regards to material use.

The EU Taxonomy sets requirements for energy use in new developments and redevelopments as well as criteria for climate change adaptation, water use, circular economy, pollution and biodiversity. Entra maintains detailed focus on these criteria in all development projects to ensure a broader sustainability.

Responsible use of resources

Entra has a particular focus on reducing and minimising construction waste and aims to keep materials and products in the circular loop. The long-term goal is to achieve close to 100 per cent waste sorting in development projects. At the same time, Entra acknowledges that it is equally important to work on reducing the waste quantities from construction sites. Moving forward, it will be essential to work with various stakeholders to reduce waste quantities and maintain a high sorting rate. Entra's target sorting rate for construction waste for 2023 was 93 per cent, which was exceeded by 1 percentage point. The target for waste sorting in construction projects in 2024 is kept at 93 per cent.

To succeed with the ambitious targets Entra has set for CO2 reductions, it is important to succeed with reuse and circular solutions. There is increased focus on circular construction materials in the industry, which creates new products and solutions that need to be tested. Entra actively seeks to work with partners to help develop the best and most CO2 effective solutions for the future. Entra has in 2023 entered a collaboration with Loopfront, which provides a digital solution for registering and categorising reuse. In the Loopfront platform, we will digitalise all available materials and interior from our portfolio which are eligible for reuse, and thereby create an internal marketplace. The goal is for

these products to be used in our new development projects instead of being treated as waste. We will consider setting a target value for reuse in our projects moving forward.

Entra sets high requirements for water-efficient equipment in all its projects to reduce water usage. There is also a focus on ways to manage rainwater to use as a resource for watering the exterior landscape, thereby reducing surface water run-off. In the redeveloped Stenersgata 1, which was completed in 2023, we harvest rainwater and use this water for watering the green facades in the project. Entra seeks to implement the relevant measures to ensure that the building is adapted to the climate of the future in all development projects.

Increased biodiversity

The majority of Entra's properties and projects are in city centres and on previously developed land. This means that the company does not remove any existing important biodiversity habitats when it initiates new projects. Entra always conducts an analysis of the biodiversity value of an existing property before any construction starts and requires all projects to at least maintain the biodiversity compared to the as-is situation. This contributes to a better local environment for species and habitats.

Performance in 2023

Focus area	Performance 2023
Reduce CO2 emissions from projects by 80 per cent by 2030	CO2 emission reports have been prepared for all development projects completed in 2023. The results show that the average life cycle CO2 emissions for 2022 were 7 per cent lower than the target for project developments in the year 2023.
Build energy-efficient buildings which comply with all requirements	Entra completed one newbuild project in 2023, Holtermanns veg 1–13 phase 2, which will achieve energy label A and comply with the substantial contribution requirements in the EU taxonomy.
in the EU Taxonomy	Entra completed four redevelopment projects in 2023. Vahls gate 1–3 increased its energy performance by more than 40 per cent, from energy label D to B. Brattørkaia 13B is a listed building with strict limitations regarding re-insulation and changes to the exterior and have therefore not improved its energy performance notably. Stenersgata 1 phase 1 increased its energy performance with 33 per cent to energy label B, and Kongens gate 87 increased its energy performance with 33 per cent to an energy label C.
	Going forward, Entra will maintain a specific focus on the requirements of the EU Taxonomy in all its development projects. Checklists have been established for compliance in all projects, but the final definitions from the Norwegian industry organizations as to how to interpret the EU Taxonomy have not yet been finalized. This is specifically relevant to the Do No Significant Harm criteria, where the necessary guidance as to how to document compliance is not finalized.
BREEAM certify newbuilds to level Excellent or better and	27 of Entra's properties have received a BREEAM-NOR certificate, whereas 23 have received a final certification. Two buildings have achieved BREAM-NOR Outstanding, 14 buildings BREAM-NOR Excellent and 11 buildings BREAM-NOR Very good.
redevelopments to level Very Good or better	For the projects completed in 2023, two out of five will be BREEAM-NOR certified. The other did not comply with the criteria to qualify for BREEAM-NOR due to the project scope and will therefore undergo a BREEAM In-Use certification with the aim of BREEAM In-Use Excellent.
Responsible use of resources	Four redevelopment projects were completed in 2023. These projects have a high proportion of reuse incorporated in the projects as the structural systems, facades, interior etc. are reused in the completed project. Entra aims to increase the amount of reuse in project development and will consider setting a target value for projects as part of our strategy.
	Entra had an average waste sorting of 94 per cent for development projects in 2023. Entra requires water-efficient installations in all relevant water equipment and products aligned with the EU Taxonomy requirements. Further, Entra seeks to find efficient and appropriate solutions for re-using rainwater.
Increased biodiversity	Entra works to find good solutions for increasing biodiversity in each project. In our completed redevelopment project Stenersgata 1 phase 1, we have installed several green facades and roofs where rainwater is harvested to be used for watering the green facades. The project has had high focus on biodiversity and has implemented local plants and bird boxes in the new facades.

Own organisation

As a relatively large real estate company, the most important measures to reduce CO2 emissions and contribute to climate change adaptation are taken within property management and project development. However, to maintain the position as an environmental leader in the industry and to achieve climate neutrality, it is also essential for Entra to maintain a high focus on environmental issues within its own organisation.

Main goal

Entra has a goal to yearly reduce the CO2 emissions linked to its own operations and organisation. This includes emissions from scope 1, 2 and 3.

Focus areas

• Yearly reduce CO2 emissions from own organisation.
• Further strengthen environmental awareness in the corporate culture
• Remain an environmentally certified organisation

	Emission from own organisation
					Absolute performance (Abs)
EPRA Code	Units of measure	Indicator			2022	2023
Greenhouse gas emissions
GHG-Dir-Abs	annual tonnes CO2e	Direct	Scope 1		-	-
GHG-Indir-Abs	annual tonnes CO2e	Indirect/location based	Scope 2		17	9
GHG-Int	kg CO2e / sqm / year	GHG emissions intensity		GHG Scope 1 and 2 intensity from building energy	4.04	2.29
				1. Goods and services purchased	946	626
				3. Fuel- and energy-related activities	NA	3
			*Scope 3	5. Waste and water generated in operations	8	3
GHG-Indir-Abs	annual tonnes CO2e	Indirect		6. Business travel	66	76
				7. Employee commutes	1	1
			Scope 3 total		1 021	710
			Scope 1+2+3		1 038	719
	No. of applicable properties			Energy and associated GHG disclosure coverage	3 out of 3	3 out of 3
%				Proportion of energy and associated GHG estimated	0%	0%

Data Qualifying Note

• 1. 1: Entra discloses the environmental impact of its own occupation separately within its sustainability reporting. As Entra is a tenant at properties within its own management portfolio, this data is also included in the total management portfolio consumption.
• 1. 3: GHG Scope 2: The organization in Bergen relocated to a BREEAM NOR Excellent building (Nygårdsgaten 95) in the first quarter of 2023.
• 1. 2: GHG Scope 3: 1. Goods and service purchased. Spend based method is used except for technical equipment/devices, network devices and cloud/servers.
• 1. 4: GHG Scope 3: 3 Fuel- and energy-related activities. New calculation in 2023. Transmission and distribution (T&D)losses (generation of electricity,steam, heating and cooling that is consumed (i.e., lost)).
• 1. 5: GHG Scope 3: 5. Waste. New emission factors from DEFRA is updated in 2023. Previous years have not been recalculated.
• 1. 6: GHG Scope 3: The following Scope 3 emissions are not considered relevant for Entra Own Organisation: 2. Capital Goods, 4. Transportation and distribution, 8. Leases assets upstream, 9. Downstream transportation and distribution, 10. Prosessing of sold products, 11. Use of sold products, 12. End prosessing of sold products, 13 Leased assets downstream, 14. Franchise, 15. Investments
• 1. 7: GHG scope 3: 7. Employee commutes. 158 out of 200 responded to company survey in 2023. The 42 missing values were assigned the average value of the 158 repondents.
• 1. 8: GHG Scope 3: 6. Business Travel and 7. Employee Commutes Own Organisation are all calculated under HQ

Reduce CO2 emissions from own organisation

In previous years, Entra has reported CO2 emissions from energy, waste and water consumption in the headquarter building in Oslo. Beginning in 2022, Entra also included emissions from its own offices in Bergen and Trondheim. Additionally, CO2 emissions from air travel, transportation of employees to and from work and scope 3 emissions from other purchased goods and services have been calculated and reported. From 2023, Entra also includes and reports the emissions associated with the generation of electricity lost in the transmission and distribution system. Scope 1, 2 and 3 emissions from own organisation all adds up to total emissions of 719 tCO2e in 2023, a 30 per cent decrease compared to 2022.

Early in 2023, Entra relocated their Bergen office to the modern and highly energy-efficient building in Nygårdsgaten, resulting in reduced energy consumption and scope 2 CO2 emissions from its own organisation. To compensate for emissions from electricity used in Entra's own office space in Oslo, Bergen and Trondheim, Entra bought guarantees of origin ("green power") corresponding to the electricity consumption of these spaces in 2023.

The scope 3 carbon emissions stemming from purchased goods and services are primarily calculated with spend-based emission factors. The exemption is emissions from technical devices and equipment, network devices and cloud/server where Entra's supplier of these goods and services provided more reliable product specific carbon emissions for 2023. A large portion of the emission decrease from 2022 to 2023 is due to more specific documentation, which allows Entra to move from spend-based emissions factors to actual emissions for specific products.

Entra continuously strives to find ways to reduce its own CO2 emissions and will use the mapping of emissions to identify specific measures for emission reduction in the years to come.

Environmental awareness in corporate culture

Entra has a corporate culture where environmental awareness is strongly embedded at all levels in the organisation. Entra continuously seeks to develop this further and use it as a lever in implementing an even broader environmental focus. All employees in Entra are expected to contribute, influence, and search for solutions to solve environmental challenges. Keeping the issue at the forefront of employees' minds helps to raise awareness and to focus on the most effective reduction measures within property management and project development.

Entra strives to attract the best employees and actively seeks to develop employee competence through R&D projects, education, and training. It is a strategic priority for Entra to stimulate this type of competence to increase both employees' and Entra's overall expertise within the field. Entra works actively to increase environmental engagement and responsibility among its employees and acknowledges that there is still much to gain on the way towards climate neutrality from improved focus and competence within the subject.

Eco-Lighthouse certification

To document, track and improve systematic work within environmental issues, Entra is certified in accordance with the Norwegian environmental management certification scheme "Miljøfyrtårn" (Eco-Lighthouse). Entra got re-certified with new criteria for the real estate sector in 2023. The third-party certification of Entra's environmental work is important to gain trust and credibility and to help the company to act as a role model in relation to its tenants' environmental focus.

Performance in 2023

Focus area	Performance 2023
Yearly reduce CO2 emissions from own organisation	Scope 1, 2 and 3 emissions from own organisation all adds up to total emissions of 719 tCO2e in 2023, a 30 per cent decrease compared to 2022. Entra's Scope 2 CO2 emissions, energy intensity at own office space, reduced from 4.04 kg CO2e/sqm in 2022 to 2.29 kg CO2e/sqm in 2023. Emissions stemming from waste and water consumption decreased from 8 to 3 tonnes CO2e from 2022 to 2023. Emissions from business travel increased from 66 tonnes CO2e in 2022 to 76 tonnes CO2e in 2023.
Environmental awareness in	Environmental issues and strategies are presented and discussed at company townhall meetings.
corporate culture	Performance on environmental targets for the property portfolio and projects are used as internal KPIs for Entra's employees.
Environmental certification	Entra is certified in accordance with the Norwegian environmental management certification scheme "Miljøfyrtårn" (Eco-Lighthouse). Entra got
of own organisation	re-certified with new criteria for the real estate sector in 2023.

Stakeholders

Entra continuously works on influencing its surroundings and setting high requirements for customers, suppliers, and other stakeholders to increase the focus on environmentally friendly buildings. In cooperation with all stakeholders, Entra will seek sustainable solutions.

Main goal

Entra is recognised as a driving force within sustainability in the Norwegian real estate industry and how it influences its surroundings.

Focus areas

• Customers: Work together with tenants to prioritise sustainability at each building by focusing on reduction of CO2 emissions, operations, reuse and waste minimisation.
• Suppliers: All framework suppliers and large suppliers are required to follow Entra's procurement environmental requirements.
• The real estate industry: Be a pioneer in property management and project development, challenge existing solutions, and share expertise and experience with the industry.
• Society and public authorities: Contribute to environmentally friendly and sustainable urban development.

Customers

Entra works actively with its tenants to help them make the most environmentally friendly choices.

Entra works to increase awareness of the environment among its building users. This includes the tenants, workers who provides services at the building and all visitors. The aim is to implement environmental measures that are visible and inspiring for the people that work in and visit our buildings, such as finding solutions together with the lunch restaurants to reduce food waste and remove unnecessary packaging. We also work on enabling the implementation of environmental measures, both by tenants individually and in cooperation with Entra. In several buildings, monitors have been installed to keep tenants informed about current energy use or rate of waste sorting. Entra also provides several of its tenants with expertise and information regarding their own sustainability reporting.

In addition, Entra focuses on waste reduction, reuse and recycling when making tenant alterations and furnishing premises and common areas to reduce both its own and tenants' carbon footprint.

Green Benefit Agreements and environmental addendum to leases with tenants.

These agreements are Entra's own scheme for working with customers on environmental measures. Entra's role is to identify the potential measures together with customers, cover the initial investment costs and implement the measures. Customers refund the cost through an increased rent for a set period on the basis that the customer's share of operating costs, including energy costs, is reduced by more than the increase in rent. After the set period of increased rent, the customer receives the benefit through lower common costs, and Entra owns a more energy efficient asset and increases the probability that the tenant will renew their contract with Entra upon exipiry. Since 2011, Entra has signed more than 100 Green Benefit Agreements with its tenants.

Entra has implemented a standard addendum to its lease contracts that states that both the tenant and Entra shall collaborate to increase and develop the environmental standard of the asset throughout the leasing period. The agreement includes improvements in energy efficiency, changes to the building layout and implementation of new technical installations. The addendum allows for Entra to conduct effective measures to improve the sustainability of the building.

Suppliers

Entra always endeavours to influence and set requirements for its suppliers to contribute to the green transition in the real estate industry. Specifically, this means that Entra puts environmental matters on the agenda in meetings with counterparties and seeks to work with companies with a credible environmental

profile. Entra sets environmental requirements for its suppliers and partners through conditions on purchasing and social responsibility.

Entra supports and challenges its suppliers to develop better and more environmentally friendly solutions. All large suppliers must document that they have an environmental management system as well as a strategy for sustainability for their company. In development projects, all contractors must also have targets for their CO2 reduction to qualify for delivering services to Entra. We have further specified our requirements to our new framework suppliers and require them to be able to provide us with information regarding their environmental impact and greenhouse gas emissions for the production and material use from their services and their emissions linked with transportation. They need to document this through EPDs or similar documentation.

Entra works towards emission-free construction sites and has imposed a total prohibition on the use of materials hazardous to health and the environment that are on the Substance of Very High Concern (SVHC) list.

The real estate industry

In recent years, there has been increased focus on the reuse of building materials. Entra completed the first circular development project in Norway, Kristian Augusts gate 13, in 2021. The knowledge and insights gained from this project have been shared and communicated in relevant forums, and Entra is implementing the key solutions from the project in ongoing projects to increase

the share of reuse in projects and the portfolio. The world has limited resources, and it is important to decrease the amount of waste produced and increase the share of reuse of products and materials. Entra has entered a collaboration with Loopfont, which provides a digital solution for registering and categorizing reuse. We aim to register our entire portfolio in the system to optimize the use of the existing materials and components in all our buildings. Entra is also a strategic partner in Sirkulær Ressurssentral (Circular Resource Central) that actively works to increase the reuse of building materials in the industry. We also support the pilot project Ombygg, which is Europe's largest centre for high-quality used building materials.

Entra participates actively in various technical bodies, industry cooperation and industry organisations such as Futurebuilt, Næring for Klima, Norwegian Green Building Council, Norsk Eiendom, National knowledge arena for reuse in the construction industry and Norges Bygg og Eiendomsforening (NBEF). Entra has signed "The New Roadmap towards 2050 for the Property Sector" established by Grønn Byggallianse and Norsk Eiendom. Entra has also signed up for Oslo European Green Capital Industry Challenges and has participated in several R&D projects such as "Svalvent" together with Sintef.

Society and public authorities

Entra is engaged in the local areas surrounding its buildings and strives to make its buildings feel inclusive and welcoming for all users. The company works together with local communities and authorities to create good solutions for everyone.

In the early phase of development projects and urban development projects, Entra seeks to develop individual projects to ensure optimised and efficient utilisation of common infrastructure.

With Entra's ambitious energy reduction targets, the company explores different possibilities for energy exchange with neighbouring buildings. Entra's recognised energy-positive building in Trondheim, Powerhouse Brattørkaia, produces more electricity than the building needs itself. Therefore, Entra is involved in a large-scale pilot project, Brattørkaia Microgrid. The project is part of the EU smart cities and communities project Positive CityExChange (+CityxChange) where the aim is to develop and demonstrate innovative solutions for a green energy shift with more efficient use of energy.

The key parts of the project are a mixture of extensive solar PV (solar cell electricity), a large battery storage system for surplus PV production, heat pumps, advanced energy resource/consumer integration and management, and an innovative solution for trading locally generated electricity (local energy and flexibility market – LFM).

Other measures include planning for location and design of power production, supply of district heating and cooling, common solutions for waste, minimisation and/or streamlining of traffic and logistics, as well as standard solutions for cluster technology.

Performance in 2023

Focus area	Performance 2023	Focus area	Performance 2023
Customers Work together with tenants to prioritise sustainability at each building by focusing on CO2	Entra continuously considers ways to make its buildings more sustainable together with its tenants. In several buildings TV screens have been installed to keep tenants informed about the current energy use or rate of waste sorting.	The real estate industry Be a pioneer in project development, challenge existing solutions, and share competence and experience	Entra actively gives lectures and presentations to share our experience from our buildings, provides guided tours of buildings and participates in the relevant industry forums. Entra actively looks for opportunities to challenge the existing solutions and strives to
reduction, operations, reuse and waste minimisation	Identify environmental measures and sign "green benefit agreements" with tenants. Going forward, Entra will further increase its efforts to work with tenants to meet their needs regarding sustainability in their office.	with the industry.	reduce CO2 emissions as much as possible in each project and each existing building. A large number of guided tours have been given of the Powerhouses and the circular redevelopment project in Kristian Augusts gate 13 in which Entra has shared its experience
	Entra work to identify and collect information about the CO2 emissions from tenant adaptations and will strive to minimize this impact in the years to come. A tool to calculate the CO2 emissions from tenant adaptations and the CO2 reductions from choosing reused materials and interiors will be finalized in 2024.		with national and international companies, public institutions and other guests. Entra works actively with the innovation program Futurebuilt in its project developments to seek the most innovative solutions for development projects.
	Entra plans to visualise tenant's carbon footprint in buildings to raise awareness of the current situation and the effect of measures implemented in the building.	Society and public authorities Contribute to environmentally friendly and sustainable urban	Entra contributes to relevant environmental solutions in property and urban development, with good transport and energy solutions, climate adaptation and greater biological diversity.
Suppliers All framework suppliers and large	In 2023, Entra continued to use and enforce environmental requirements in procurement conditions.	development.	Entra actively works together with local authorities to create good urban development in central locations.
suppliers must follow Entra's environmental requirements.	The use of materials that are hazardous to health and environment has been prohibited. Environmental matters are included on the agenda in meetings and contracts with		Entra participates and engages in consultation processes for new building directives.
	suppliers.		Entra is continuously sharing its experience and expertise from the Microgrid-project in Trondheim and other pilot projects to interested parties and in international and national forums.

Climate risks and scenario analysis

Climate change and environmental damage are two of the most dramatic known challenges facing the world today, and many countries are already feeling the effects. In the Nordic countries, the most relevant changes to be expected are in the form of a projected rise in sea level, milder winters, and increased intensity of extreme rainfall. A direct consequence of these changes are increased challenges related to surface water and flooding.

In 2021, Entra, together with Norconsult, assessed in detail the climate risks facing 75 of Entra's buildings. Entra has used a scenario-based approach in analysing climate risks, in accordance with the TCFD framework, and mitigating actions are prioritised based on a cost-benefit analysis. Entra aims continuously to monitor and mitigate climate related risk, as with other risk factors facing the company. Entra believes that the analyses and assessments completed in 2021 still are relevant and applicable to the company.

The scenarios used

Entra has used three different scenarios (SSP1-RCP2.6, SSP2-RCP4.5, SSP3-RCP7.0) for temperature and wind related risks. Future sea level rises are based on scenario RCP8.5 for the period 2081–2100. Future changes in rainfall intensity and flood flows in 2100 are based on the relevant regional profile from the Norwegian Centre for Climate Services. For transition risk Entra has used a holistic analysis using a Monte Carlo simulation to

ensure that the correlation between the possible future scenarios is taken into account.

Critical input parameters, assumptions, and analytical choices for the scenarios used Described below under Climate adaption.

Time frames used for scenarios

The time frames are short (2020–2049), medium (2050–2079) and long (2080–2099).

The TCFD framework distinguishes between two categories of climate related risk: 1) risk related to the physical impacts of climate changes, and 2) risk related to the transition to a low-carbon-society.

In the current studies, the impacts in category 1 have been found to be of minor consequence. Analyses in the studies have covered changes in risks related to water, wind, temperature and possible outcomes such as wildfires and landslides. These are all events that cause physical consequences, and Entra therefore treats them as physical climate risk.

The expected effects of climate change have been quantified in terms of net present value to assess if and to what extent mitigating measures should be performed at each property. Uncertainty

analyses are included within the assessment to gain insight into the volatility and effects caused by a lack of data and/or poor data quality. Overall, the portfolio has high robustness to physical climate changes. Both the extent of and number of required physical mitigating actions have been assessed to be limited.

A similar approach has been used to identify the transition risk. The analysis was performed at the portfolio level. In terms of net present risk, rapid changes in demand for office space and changes in the accepted lifespan of the buildings in the portfolio are found to be of most importance and relevance. This key insight is now included in Entra's risk management process, and the company will continue to monitor and address these new perspectives.

Entra acknowledges that there is considerable uncertainty ahead and will continue to develop processes to gain more insight into and knowledge of climate change and the consequences that are related to it. Entra has an active approach to assessing, monitoring, and following up climate related risks. Climate risk, together with other risks, is a regular topic at Board meetings.

Actions and follow-up plans from the assessments are being acted upon by the organisation, including, but not limited to, ensuring that Entra's property portfolio is prepared for the possible challenges ahead.

ESG | Environment

With the data at hand, Entra can continue to make better decisions and will focus on how to make most efficient use of and implement the new information into its business model. The most important skill for Entra in this respect will be the ability to change and adapt.

Climate adaptation

To adapt, one needs to understand both the expected changes to come and the possibilities that new technology may bring. As mentioned above, Entra mapped and analysed the physical climate risk facing 75 of its properties in 2021. The goal is to meet relevant risks with the correct level of mitigation measures in order to ensure a suitable balance between investments, effect and potential risk.

The method used for mapping and analysing climate risks is in accordance with the requirements given in Breeam In-Use version 6, the EU Taxonomy Annex 2 and the TCFD criteria. The analysis covers the subjects Rsl 01, Rsl 03 and Rsl 06 in Breeam In-Use and the table in Appendix A to Annex 2 in the EU Taxonomy, which is shown on the next page.

It is important to analyse the climate-related hazards in a correct and reliable manner. The analyses are undertaken by competent experts in the following disciplines:

• Hydrology
• Geotechnics
• Engineering geology
• Hydrogeology
• Meteorology
• Risk management
• Building physics

	Temperature-related	Wind-related	Water-related	Solid mass-related
Chronic	Changing temperature (air, freshwater, marine water)	Changing wind patterns	Changing precipitation patterns and types (rain, hail, snow/ice)	Coastal erosion
	Heat stress		Precipitation of hydrological variability	Soil degradation
	Temperature variability		Ocean acidification	Soil erosion
	Permafrost thawing		Saline intrusion	Solifluction
			Sea lever rise
			Water stress
	Heat wave	Cyclone, hurricane, typhoon	Drought	Avalanche
Acute	Cold wave/frost	Storm (including blizzards, dust and sandstorms)	Heavy precipitation (rain, hail, snow/ice)	Landslide
	Wildfire	Tornado	Flood (coastal fluival, pluvial, ground water)	Subsidence
			Glacial lake outburst

Analysis of climate risk and possible future scenarios is not something that should be done only once. It is a continuous process where Entra acknowledges the importance of staying up to date with available information and knowledge. By regularly updating its understanding of these factors, Entra is able not only to react to, but proactively to plan, its adaption to the changing climate.

Future climate scenarios

The EU Taxonomy states that assessment of climate-related risk should be:

"(…) performed using the highest available resolution, state-ofthe-art climate projections across the existing range of future scenarios consistent with the expected lifetime of the activity, including, at least, 10 to 30 year climate projections scenarios for major investments."

State-of-the-art climate projections are based on climate data which have been produced by using the Shared Socioeconomic Pathways (SSP) and Representative Concentration Pathways (RCP) for the Coupled Model Intercomparison Project 6 (CMIP6). CMIP6 is a collection of global climate model simulations which are used in the UN climate panel's newest assessment reports (AR6). The models used in this project are MPI-ESM1-2-HR and CESM 2, which are considered to give the most correct results for Scandinavia. Simulations with the regional scale Weather Research and Forecasting Model (WRF) have been used to downscale the data from the two selected climate models to a smaller grid. The following combinations of scenarios have been used for the global climate model simulations and are gathered data from:

• SSP1-RCP2.6
• SSP2-RCP4.5
• SSP3-RCP7.0

The simulations have been run through a historical period (1990–2014) and a future period (2015–2100) for each scenario, giving a total of six sets of climate data (two models with three scenarios each).

The climate data have been controlled against actual historical measurements, and the model which gave the best fit has been used to analyse the different scenarios and different 30- or 20-year periods in the future. The climate data have then been used for temperature-related risk and wind-related risk. Changes in wind and temperature have been considered for three scenarios for short (2020–2049), medium (2050–2079) and long (2080–2099) time horizons.

Entra, together with its advisors, has used the state-of-the-art models described above for temperature- and wind-related climate risk to ensure that its analysis is based on the most up to date projections. For water-related and solid mass-related climate risks, the models are based on more uncertain input, and assessment of these risks is therefore based on other methods, described in the relevant chapters below.

Temperature-related climate risk

Based on climate data from one of the climate models described in the previous section, CESM 2 assessments have been made to examine how the net energy requirements for a building might change in the future if the external temperatures change.

WRF (MPI) MPI MPI MPI

Figure. Changes in surface temperature during winter (December–February) from period 1990–2009 and 2080–2099 for scenario SSP2 (4.5). The colours represent the mean increase for each of the maps. Source: CICERO (Icebox).

The assessments were done with the same reference building for offices which forms the basis for the net energy requirements in the Regulations on technical requirements for construction works (TEK17). This makes it possible to compare results to those achieved using the climate data typically used today.

Using the reference building as a basis, three different building models were constructed. Each model represents a different building standard in terms of structural properties and technical installations:

• New building (TEK17)
• Intermediate level (TEK 07)
• Older buildings

This made it possible to consider how sensitive buildings from different time periods are to changes in temperature. For example, the energy consumption in an older building is more dependent on temperature than in a new building. This is due to a greater heating need because the requirements for thermal insulation, technical installations etc. at the time of construction were less strict than they are today. Assessments have been made for both Oslo and Bergen for the time period 2020–2050, with the three emission scenarios described in the previous chapter – SSP1-RCP2.6, SSP2-RCP4.5 and SSP3-RCP7.0.

There are uncertainties associated with the climate model simulations. One of them is related to the projected cooling over the North Atlantic Ocean suggested by the CESM 2 model, resulting in lower temperatures in some scenarios, and particularly for Bergen. The climate models involved in CMIP6 strongly diverge over whether such a significant cooling will occur.

Given that Entra owns office buildings in coastal cities in Norway, the results of the simulations and calculations show that temperature related risks for Entra's portfolio are low.

Wind-related risk

Using the future climate scenarios described above, an analysis of the expected future wind climate for Oslo and Bergen has been performed. Based on the level of detail and the climate data on which the analyses are based, it is considered that the wind climate for these two cities could be represented by the climate data for Eastern Norway and Western Norway/Central Norway. Combined,

these climate data will be representative for all cities where Entra has properties.

The two climate models MPI-ESM1-2-HR and CESM 2 form the basis for the analyses that have been carried out for wind climate. Wind climate data has been extracted from both climate models for Oslo and Bergen, with three different emission scenarios, as described earlier. To assess the accuracy of the models, the simulated historic wind climate data from the two climate models have been compared to actual historical wind climate data from Oslo and Bergen.

Furthermore, average wind and 50-year return values for wind speed have been calculated for both Oslo and Bergen for each of the three emission scenarios. These values have been compared to the historical climate data from the climate models. Wind rose diagrams have also been prepared for the two cities at each of the three emission scenarios, for the time periods 2020–2049, 2050–2079 and 2080–2099.

In addition, an analysis of extreme wind has been performed, represented by a 99th percentile, for both cities and using both climate models.

The extreme wind values found from the climate models were significantly lower than expected, and a simple correction of the wind climate data for each city and climate model was therefore made. The simulated historical climate data from the climate models have been adjusted against a set of climate data from the weather model WRF for the same time period. This resulted in a

correction matrix which was applied to the wind climate data from the different emission scenarios.

The results from the wind climate analysis show no clear trend for future mean values and return values. There are tendencies towards a reduction in mean wind speed, but there are insufficient grounds to make firm conclusions. This is in accordance with the report Climate in Norway 2100 from the Norwegian Centre for Climate Services, which concludes that very small changes in mean wind and extreme wind can be expected, based on the same emission scenarios used for these assessments. When it comes to wind roses, they only show minor changes in wind speed and direction over time with the different emission scenarios.

The assessments show low wind related risk for Entra's portfolio since wind patterns and wind speed will probably not change significantly in the future.

Mass-related risk

The methods and acceptance criteria used to analyse mass related risk are found in the Regulations on technical requirements for construction works (TEK17) and Norwegian Water Resources and Energy Directorates (NVE) guidelines on quick clay landslide safety (veileder Nr. 1/2019 Sikkerhet mot kvikkleireskred).

According to acceptance criteria in TEK17, Entra's properties must be assessed with an annual probability of different landslides, avalanches and rockslides of less than a 5000-year return period (safety class S3). Assessments regarding quick clay landslides

are done by using special criteria based on consequence (tiltakskategori K4).

An initial assessment of the hazard related to quick clay landslides, avalanches and rockslides has been undertaken by an expert group with geotechnical and geological competence. Hazards related to individual buildings are then studied closer to determine risk. NVE has mapped different types of landslides, avalanche and rockslides that are used to identify and determine the degree of hazard and consequence for areas that are potentially exposed.

NVE has also mapped quick clay zones displaying the degree of hazard, consequence and risk of quick clay landslides. These maps together with geotechnical reports that are available for the individual buildings or clusters of buildings are then studied and NVEs guidelines are used to determine actual risk.

The assessments show low mass related risk for Entra's portfolio.

Water-related risk

The risk of flooding from a variety of sources (tidal, fluvial, surface water, sewers, groundwater and reservoirs) to each of Entra's properties has been assessed for both existing and future climate scenarios.

Flood risk has been assessed based on a review of existing information on flood risk and a qualitative assessment by flood risk experts. Where available, flood risk maps produced by NVE (The Norwegian Water Resources and Energy Directorate), Kartverket (The Norwegian Mapping Authority) or local authorities have been

used. ScalgoLive has also been used to identify local pathways for surface water flow and upstream catchment areas. Existing and future sea levels are provided by The Norwegian Mapping Authority, based on data from the Norwegian Directorate for Civil Protection (DSB). Future sea level rises are based on scenario RCP8.5 for the period 2081–2100. Sea levels are expected to rise by between 46 cm (Oslo) and 78 cm (Stavanger) in the cities where Entra has properties. Future changes in rainfall intensity and flood flows in 2100 are based on the relevant regional profile from the Norwegian Centre for Climate Services. In the Oslo area, short-term rainfall intensity is expected to increase by up to 50 per cent, whilst flood flows in larger rivers may increase by around 20 per cent.

In accordance with BREEAM, properties with an annual probability of flooding greater than 0.5 per cent (200-year return period) have been assessed as being high risk, whereas properties with an annual probability of flooding of less than 0.1 per cent (1000-year return period) have been assessed as low risk. Existing mitigation measures (for example non-return valves, waterproofing of basements etc.) have been taken into account when assessing flood risk. Changes in flood risk due to climate change and potential mitigation measures have been identified for each building.

There are several cost drivers related to physical climate risk. The various scenarios may influence several drivers at the same time. A distinction is also made between direct and indirect consequences. In the analysis consequences for third parties such as clients and owners of equipment stored in or on the properties were also included. Regardless of the cause, most of the risk is related to direct damage to the property and equipment. In the

study, cleaning and refurbishing of affected areas are generalised, while expensive technical equipment is mapped and assessed for each property. Examples of technical equipment that is included in the analysis are:

• Main electrical intake
• Electrical distribution units
• Generators and UPS
• Ventilation main units
• Heating units
• Electrical transformers

In addition, third party entities such as server rooms, archives, storerooms, shops and parking areas are included as cost items. Indirect downtime for repair and re-construction is also included. The cost level has been assessed by experts and compared to similar historical events. For each risk element, an affected area is calculated based on the building footprint, localisation and floors below ground level. This is then used to compute the consequence for each property.

The risk can thus be estimated and quantified based on the assessed probability of occurrence for each property as determined by the climate experts. The expected effects of climate change have been quantified in terms of net present value to assess if and what mitigating measures should be carried out at each property. Uncertainty analysis is included within the assessment in order to gain insight into the volatility and effects caused by a lack of data and/or poor data quality.

Overall, the portfolio is considered to have high resilience to flooding.

Transition risks and opportunities

In addition to physical climate risk, Entra has started to assess the climate-related transition risks and opportunities for the portfolio in accordance with BREEAM In-use issue Rsl 07.

The purpose of the assessment has been to evaluate financial risks and opportunities for Entra's operations related to the transition to an economy with lower CO2 emissions. As recommended in the TCFD framework, the considered transition risks are related to politics, technology, market and reputation.

To identify relevant risks and opportunities, information has been obtained from several platforms identifying topics considered relevant in terms of significance for a real estate company's existing building.

Consequently, a large amount of the potential transition risks and the potential impact were identified. Climate-related transition risks are often complex, uncertain, and dependent on other risks. A goal for the process has therefore been to identify the key drivers that influence the risk and the mechanisms that connect them. To ensure that the correlation between the possible future scenarios is taken into account, a holistic analysis was applied and carried out with a Monte Carlo simulation. Important drivers that have been identified are:

• Changes in energy cost
• Changes in demand for space
• Changes in construction and rehabilitation cost
• Changes in quality needs
• Changes in demand for reporting and analysis
• Changes in Entra's reputation

This analysis has been performed at a portfolio level. Based on the scenarios in the TCFD framework, distributions for each of the drivers have been estimated. This is not an exact science, but is thought to be a satisfactory representation of the risk probability space for the upcoming years and will yield detailed information on which drivers and possible scenarios bring the most volatility.

This key insight is now included in Entra's risk management process, and Entra will continue to develop further processes to gather data, monitor and address these new perspectives.

ESG | Social

Social

Norway has an extensive social welfare system which is built on a tax funded model and public services that provide social security to the population from cradle to grave. It secures that education, healthcare, parental leave and public childcare is provided for free or is heavily subsidised.

As an employer, Entra must pay employer's national insurance contributions, which are taxes employers must pay for its employees as part of the financing of the National Insurance Scheme. Generally, all persons who are either resident or working as employees in Norway are compulsorily insured under the National Insurance Scheme. Persons insured under the National Insurance Scheme are entitled to old-age pension, survivors' pension, disability benefit, basic benefit and attendance benefit in case of disablement, technical aids etc., work assessment allowance, occupational injury benefits, benefits to single parents, cash benefits in case of sickness, maternity, adoption and unemployment, medical benefits in case of sickness and maternity and funeral grant.

Entra is a socially responsible company and has established a number of relevant procedures and initiatives in its daily operations. Entra's focus areas involve its employees and their working environment, working conditions and human rights in the supply chain, health and safety, urban development, and community engagement. Entra works actively, in a targeted and systematic manner, to promote equality and prevent discrimination in the workplace. Entra sets requirements for its own operations as well as for suppliers and partners. When evaluating new initiatives, Entra seeks partners and suppliers with common values and targets.

Motivated and responsible employees

Entra strives to develop a value-based culture characterised by the company's core values: Innovative, Responsible, Hands-on, and One team. The core values and Entra's principles for leadership are closely connected to behaviour and to following up and developing the company's employees. Emphasis is put on employee motivation, which is considered to form the basis for an individual's desire and willingness to perform and contribute to the development of the company. Employees are offered opportunities for personal and professional development through close dialogue with, and follow-up by, their immediate superior. It is fundamental that employees consider Entra to be a good and attractive place to work.

Health and working environment

Entra aims to be a health-promoting workplace and has implemented a range of measures to contribute to the health and wellbeing of its employees. All employees are offered annual health checks and a broad range of health services through Entra's occupational health service and health insurance. The perception of wellbeing is monitored through a yearly employee-survey with a wellbeing-index, where topics regarding inclusion, discrimination, psychological safety and the physical/psychosocial workplace are covered. In addition to the annual survey, Entra conducts regular mini-surveys where all employees participate. Entra also has an internal sports club where employees on a voluntary basis engage in social activities and several sports outside working hours such as hiking, football, golf, running, squash, padel and skiing.

Sick leave in Entra in 2023 was 2.55 per cent. This is low compared to a country average of 7.01 per cent in 2023. The objective is a continued low level of sick leave.

Workers' rights

Entra complies with established standards and employment legislation. Entra is a member of the Confederation of Norwegian Enterprise, and tariff agreements have been established with employee organisations. Negotiations with employee representatives and follow-up in the event of an operational change or restructuring comply with Norwegian law.

¹ Source: Statistics Norway: Sickness absence Q4 2023

Safety officer, working environment committee and Board representation

Entra's employees have elected safety officers, one of whom is appointed Chief Safety Officer. Their main function is to take care of employee's interests in matters that relate to the working environment. The safety officers are elected among employees with experience and knowledge of the working conditions in the company for a two-year period. The safety officers have regular meetings with Entra's HSE team.

Entra also has a working environment committee in accordance with Norwegian legislation. This is a decision-making and advisory body, and its most important function is to work for a safe working environment. The committee considers issues on its own initiative and at the request of the safety officers. All employees can contact the committee. The working environment committee consists of members from senior management and representatives of the employees. Entra's current working environment committee consists of the CEO, the EVP of HR and Organisation, the Head of HSE and a person elected by the employees.

Employees in Entra are free to organise themselves, and many are members of labour associations. Entra has established an accord with the Norwegian Engineers and Managers Association (FLT).

Employees are represented on Entra's Board with two employeeelected members, who are normally employees organised in one of the labour associations.

All new employees receive information on these topics through an introductory health and safety course and ongoing training.

Employee relationship and employee engagement

Each year, Entra carries out an employee engagement survey. In recent years including 2023, Entra has used a standardised survey from Ennova. The survey gives a score both for the level of motivation and satisfaction of employees and the factors that drive their behaviour and attitudes. Entra's score is compared with a representative national benchmark (GELx) and a benchmark "top in class" of the 25 per cent best in Ennova's client database. In 2023, Entra had an employee motivation and engagement score of 78. A score at the same level as in 2022 and still significantly above the national benchmark GELx score of 74, but one point short of "top in class". Important measures for maintaining and developing employee engagement are clarification of roles and responsibilities, targets to ensure alignment of tasks and Entra's strategic goals, establishing an effective organisation and measures to increase communication between business units.

Employee demographics

The Board of Entra consists of four men and three women, of whom the Chair is a man. The senior management team in Entra consists of three women and four men, of whom the CEO is a woman. Of other managers in Entra, 40 per cent are women and 60 per cent are men.

At the end of 2023, Entra employed 125 men and 75 women. In addition, it had four temporary employees as of end 2023, of whom one was a woman. Of the six employees working part-time, four are men and two are women. All have voluntarily decided to work parttime as part of Entra's policy for seniors and early retirement or are employed part-time because of studies or for medical reasons.

During 2023, Entra has hired thirteen new employees, of which two were below 30 years and eleven were between 30 and 50 years. No new hires were above the age of 50. There have been fourteen employees that have resigned from their positions at Entra during 2023, of which one was an apprentice and two left due to retirement.

The average age of employees in Entra is 45.5 years, and the median is 44.5 years, in a range from 19 to 67.

Average parental leave in 2023 was approximately seventeen weeks for women and eleven weeks for men. During 2023, there were eight employees that were entitled to parental leave of which four have returned to work after parental leave during the reporting period. Two of the four employees that returned from parental leave are still employed by Entra as of 31 December 2023.

Gender equality in Entra ASA – Key metrics

	2023	2022	2021
Gender distribution among employees (women/men)	75/125	75/133	64/110
Employee level 1 gender distribution (women/men)	3/4	2/5	2/5
Employee level 2 gender distribution (women/men)	23/35	25/32	23/24
Employee level 3 gender distribution (women/men)	49/86	48/96	39/81
Employee average age	45.5	44.8	45
Employee level 1 average age	50.4	52.1	50.6
Employee level 2 average age	47.5	45.6	46.1
Employee level 3 average age	44.4	44.2	44.3
Women's earning in relation to men's (all employees at Entra)	109%	108%	106%
Women's salary in relation to men's at employee level 1	94%	111%	111%
Women's salary in relation to men's at employee level 2	97%	96%	93%
Women's salary in relation to men's at employee level 3	115%	112%	105%
Women's bonus in relation to men's (all employees)	109%	111%	105%
Women's bonus in relation to men's at employee level 1	91%	150%	108%
Women's bonus in relation to men's at employee level 2	96%	95%	88%
Women's bonus in relation to men's at employee level 3	105%	107%	93%
Median pay in relation to highest salary (median/highest salary) in NOK thousand	934/4 000	881/3 802	792/3 666
Sick leave (women/men)	2.7%/2.5%	3.3%/2.7%	4.1%/1.7%
Absence for sick children, number of days (women/men)	53.1/80.1	69/76	40.5/52.2
Average weeks of parental leave taken (women/men)	17.87/11.07	25/15	25/15
Number of employees working part-time (women/men)	2/4	1/4	1/5
Number of employees involuntarily working part-time (women/men)	0/0	0/0	0/0
Number of employees in temporarily positions (women/men)	1/3	2/4	1/4

Employee level 1 = senior management Employee level 2 = managerial positions Employee level 3 = other employees

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Recruitment

Entra has professional recruitment processes that ensure transparency and equal opportunities. Most recruitments are handled using internal resources and is managed by the HR department. A recruitment process in Entra is a structured process which includes an analysis of the job description in order to phrase the advertisement in the best manner to attract the right candidates, a relevant and position-adapted case-study for the candidate to solve, and a final interview with both the direct manager and their superior manager.

During a recruitment process, Entra aims to be open-minded, and all job advertisements invite everyone with the right competence to apply for a position. When recruiting for senior or key positions in Entra, the aim is that both sexes are represented in the final interview round. This applies for both internal and external recruitment and, if needed, targeted recruitment processes are used to fulfil this goal. Furthermore, Entra strives to attract younger employees within property management to secure continuity and enable the transfer of experience. During 2023, Entra onboarded eight employees in new positions, of whom four were women and four men. Number of recruitments have been at a very low level in 2023 due to a low turnover rate of 6.5 per cent.

Developing competence and engagement

Entra has HR processes where performance review, talent and succession planning and development plans are closely linked. This includes a dedicated development plan in accordance with each employee's ambitions and potential.

Employees are evaluated based on achievements, ambitions and potential based on specific criteria, including achievement of specific goals and compliance with Entra's values. This evaluation is part of a process whereby Entra builds its talent pool and secures succession planning.

Entra has also developed a training and competence policy relevant for most positions. Some courses and training are offered to all or most of the employees, others are specifically related to roles within property management.

Entra's value chain is broad and imposes significant requirements regarding relevant experience and expertise. Entra therefore acknowledges individual employee's needs for ongoing professional training suited to his/her area of work and has developed the "Entra School" to provide education and training programmes for all levels of the organisation. This includes an introduction course for new employees to enable employees to view their role in the company in a wider context and an internal management and key talent development programme that runs for one year and focuses on the responsibilities and challenges of a management role, with a specific focus on training leadership skills. Ethics training occupies a central position in the introduction course and through annual dilemma training programmes.

Work-Life balance

Entra seeks to facilitate a good work-life balance based on the ambitions, life phases and family situation of its employees. Entra acts in compliance with the laws and collective agreements that regulate the various leave schemes and have implemented

solutions that are easy to use if applying for a leave or time-off. Employee benefits, such as flexible working hours and full pay during illness and parental leave regardless of the National Insurance scheme limits, are important measures in the efforts to ensure equal opportunities.

Regular working hours are 37.5 hours per week, with a core time from 09:00 to 15:00. Employees in senior positions or in special independent positions have exemptions from the rules of the Working Environment Act § 10.2. Entra seeks to minimise the amount of overtime, but extra work is expected to be done during hectic periods. There is a mutual understanding of this in the company and that flexible working hours or a day-off can be provided during less intense periods.

Facilitation

As far as practically possible, Entra seeks to facilitate the different needs of all employees. The premises are universally designed with sufficient space and accessibility for wheelchair users. Workplaces are designed in accordance with the Workplace Regulations 4-2: § 2-4, which ensures that the workplace design takes disability into account.

Wages and working conditions

Entra has developed a policy for compensation and benefits that ensures that employees with similar positions and at the same level are assessed according to specific and similar criteria to ensure equality. There is equality in the remuneration of men and women, and all employees are included in a collective bonus scheme. All employees are included in the same insurance

schemes, and there is an equal pension scheme based on the salary level. Entra has no employees involuntarily working part-time.

Annual salary and tariff settlement in Entra follows a standardised process based on central negotiations with the union representatives and involves individual evaluation of the employee by their immediate superior based on standardised criteria. This process ensures consistent and performance-based salary adjustments. Evaluation and salary adjustments are reviewed by HR and the CEO. Entra monitors salary levels through external benchmarks, in addition to internal benchmarks of positions involving similar responsibility.

Equality and diversity

Different expertise and experience contribute positively to Entra's development and to a broader and better basis for decisionmaking. Equal opportunities and diversity are an integral part of Entra's standards. Entra believes in the benefits of diversity, and this is incorporated into the company's recruitment procedures and is reflected in the composition of senior management. Entra strives for diversity on a broad basis, including gender, age, background, identity, education, competence and nationality.

Diversity thus is an important part of Entra's social responsibility programme, and the measures adopted to attract necessary competence. In general, social responsibility is also an important reputation factor when it comes to attracting a new generation of competent employees. Entra has worked actively with diversity for many years and has had a particular focus on:

• Achieving a more balanced distribution of age composition in property management, which historically has been overrepresented with men of high age.
• Increasing the proportion of women in our defined group of talents and key personnel.
• In general, increasing the diversity of employees and facilitating an inclusive workplace that enables the company to establish and retain a more diverse organisation

The work with diversity and gender equality in Entra is structured through:

• HR reporting: Annual reporting from HR to senior management and the Board, hereunder the status for achievement of HR targets and plans and targets for the year to come.
• Practice and policy: All practices that address diversity are anchored with senior management and the Board. Entra's ethical guidelines cover diversity, discrimination and harassment, including procedures for whistleblowing both internally and through an external law firm.

Entra's work for diversity is also given weight through procurement of products and services. Requirements for diversity are set for providers of external legal services and facility management services. The company has structured and professional procedures that ensure follow-up of employees through the various phases of employment as well as safeguarding against all kinds of discrimination.

Identified focus areas

Entra is in the process of further developing its recruitment strategy to focus on age and gender balance and fulfil a diversity analysis for the specific departments that are recruiting.

To assist future recruitment of young people, Entra participates in the Norwegian public education system's apprenticeship scheme. The public apprenticeship is a two-year programme, and the employer must be approved by the county municipality. Entra became an approved employer in 2021 and employed its first apprentice the same year, and the second apprentice in 2022. In 2023, the programme still counts two apprentices. Some departments in Entra already work with educational institutions or directly with students as supervisors and by giving lectures.

Potential risks of discrimination

The main risk of discrimination in Entra is viewed to be unconscious discrimination. This is a risk that can never be eliminated, but which will be assessed and acted upon if it occurs. When starting new initiatives, Entra will also train managers on how to succeed with inclusion.

Entra works on a continuous basis to ensure equal treatment of its employees and to further enhance diversity through its recruitment strategy. For 2023, Entra has planned the following measures in relation to equality and diversity:

• Use recruitment processes to actively increase diversity in Entra, and make targeted searches to expand the candidate pools
• Provide leadership training on skills that enables an including work place,
• Use data and third-party expertise to have the best possible processes regarding discrimination, diversity and equality
• Continue courses and events to increase competence in diversity and inclusion.

Evaluation of the work with diversity

Entra's efforts to increase the proportion of female employees and young employees have yielded results. Entra has an organisation characterised by equality. Diversity is an important part of Entra's social responsibility work, and several measures have been implemented to contribute to increased equality and diversity, including

• an anchored Diversity Policy published and available for all employees on Entra's intranet
• basic training within inclusion, diversity and psychological safety for all managers
• a new leadership program focusing on relation competence
• data on inclusion and diversity is always reported to the working environment committee (AMU)

Targets for 2024

Entra seeks to maintain high employee engagement and targets a continued high score in the employee job engagement survey.

Entra actively seeks to increase the share of women within property management year-on-year. The challenge has historically been that there has been less interest from women in jobs that have required expertise within technical building operations and management. It will be difficult to achieve a 50 per cent share of women in property management as this area comprises almost one third of Entra's employees and as the pool

Entra seeks to maintain high employee engagement and targets a continued high score in the employee job engagement survey.

of applicants for new positions still has a majority of men. Entra's ambition is to have a relatively equal share of women and men in the rest of the company, and in areas involving professionally qualified staff and future managers. The overall goal is to have representation of women and men between 40 and 60 per cent.

To achieve the targets, management has defined measures on how to hire and develop employees. Such measures include, amongst others, a policy to include both sexes in the final interview round for key positions, programmes to develop talent and leadership skills as well as coaching that seeks to encourage and promote female talent.

Entra also has an overall target to increase diversity in the organisation (for example by recruiting from outside existing majority staff segments) and to be perceived as an inclusive workplace. The most impactful and important is to secure an inclusive workplace where people want to stay for a long time, and to fulfil this measure Entra constantly use data to follow the development in various part of the organization, and enables training on skills that increase inclusion, feeling of belonging and strong relationships.

Ethics, integrity and transparency

Entra's operations follow the United Nations Guiding Principles on Business and Human Rights and the OECD's guidelines for responsible business. Entra complies with the Transparency Act. An information channel to receive general inquiries from the public is available on https://www.entra.no/samfunnsansvar-og-barekraft/ apenhetsloven and a separate statement of Entra's due diligence assessments in accordance with the Transparency Act is published here. This is also integrated into the company's management systems and routines through:

• Entra's ESG strategy
• Ethical guidelines and employee training
• Internal and external whistle blowing routines
• Human Rights policy
• Sustainability and risk management in the supply chain
• Health and safety policies and routines

Entra complies with Norwegian legislation for health, environment and safety in the workplace and for equality and the absence of discrimination. Entra expects the same from its suppliers and business partners, including that all employees and others affected by Entra's business are treated with respect and dignity. Entra expects suppliers and business partners to act with seriousness and diligence to avoid damage and negative consequences for people. All of Entra's suppliers must comply with international human rights standards and the ILO's core conventions for decent working conditions. Entra communicates

this expectation through its purchasing conditions and qualification requirements for suppliers.

Ethical guidelines and employee training

Entra's ethical guidelines are built on the principles of equal opportunities for all, concern for the environment, and a society view that emphasises ethics, transparency, honesty and sincerity. The long-term success of the Group is based on trust. To maintain this trust, Entra must ensure that its behaviour is consistent with its corporate values. The Group's ethical guidelines describe the way Entra is to treat its stakeholders and the behaviour which is expected of its employees. The ethical guidelines provide guidance and support to the Group and its employees in decision making and problem-solving processes.

The ethical guidelines are incorporated in the management development programme and are evaluated by the Board on an annual basis. Entra creates ethical awareness through training programmes, including an e-learning programme, and all employees and the Board are required to review the ethical guidelines annually.

Entra has implemented dilemma training in ethics for its employees. The dilemma training is part of the introduction course for new employees, and all employees complete online dilemma training each year. All employees as well as the Board completed the online training course in 2023.

New employees participate in procurement training covering processes, guidelines and tools for implementing best practice and fair procurement processes. Anti-corruption measures are also covered on these training courses.

Whistleblowing routines

Entra has established whistleblowing routines. Internal questions about ethics, harassment, whistleblowing etc. can be directed to Entra's Compliance Officer. The Compliance Officer reports on any matters to the Board at least twice a year.

Questions can also be raised anonymously to an independent, experienced law firm on a confidential basis in order to lower the threshold for an employee compared with having to contact a member of staff in Entra. A direct point of contact on such matters to an external law firm is available on www.entra.no and on Entra's intranet. There have been no such whistle-blowing incidents reported in 2023.

Human Rights Policy

Entra is committed to developing an organisational culture based on mutual respect and that supports internationally recognised human rights. Entra support all internationally recognised human rights standards such as the United Nations Guiding Principles on Business and Human Rights, as well as relevant international conventions and standards such as those of the International Labour Organisation. Our commitment to the realisation of human rights is set out in the Group's Human Rights Policy and its Social Strategy. Key human rights issues and due diligence procedures are embedded in internal risk assessment processes and guidelines, as well as being addressed explicitly in documents such as the Socially Responsible Purchasing Guidelines. Entra reports on its performance in the annual ESG report based on the criteria appropriate for Entra in the Global Reporting Initiative.

Entra does not accept discrimination or bullying in the workplace. Everyone is to be treated with respect, irrespective of gender, religion, age, ethnicity, nationality, any disability or sexual orientation. To secure compliance, Entra has a Human Rights Policy, and human rights are included in guidelines and management tools, including those dealing with fundamental values, ethical guidelines, socially responsible procurement and through the focus on HSE and the working environment. Entra provides its employees with opportunities for professional and personal development and facilitates training to ensure that employees have the right competence and can use their expertise and assume responsibility. Entra demonstrates respect for its employees' private life and meets the requirements for personal data protection (GDPR) through secure ICT and HR systems.

Entra's supply chain

Entra normally spends more than 2.5 billion per year on external suppliers. The main suppliers are the largest construction companies in Norway and their sub-suppliers such as carpenters, electricians and plumbers. In property management, the largest suppliers are facility service suppliers such as canteen operations and cleaning services. Entra has signed framework agreements with its largest suppliers which mainly comprise large Norwegian companies.

Within property operation and management, Entra has entered into strategic framework agreements within segments such as electrical, ventilation and plumbing, telecommunications and automation and other installations. Entra also has long-term framework agreements within cleaning, canteen management and reception services. At the end of 2023, Entra had 106 suppliers with framework agreements involving a purchasing volume of approximately 840 million a year. In this segment, almost all counterparties are Norwegian companies, and only a small number of ICT suppliers are from countries outside Norway.

Entra's Supplier Policy sets requirements for competition and follows the principle of equal treatment of suppliers. Entra has strict pre-qualification requirements and follows up suppliers based on risk mapping and influence in terms of purchasing volume.

Entra maintains a regular dialogue with strategic suppliers and clearly communicates its expectations relating to values, human rights, decent working conditions, and the identified risks in the industry, both before and after entering into a contract.

Entra also invites selected suppliers to meetings to discuss a joint approach to the challenges facing the industry. The main purpose is to create an arena for dialogue and cooperation that will focus on meeting the sector's challenges related to working conditions, corruption and workplace crime.

Risk management in the supply chain

There is considered to be limited risk associated with rights to exercise freedom of association and collective bargaining, and the use of child labour and/or forced labour in Entra's direct supply chain where goods and services are purchased in Norway. However, there may be increased risk further down the supply chain for contractors that procure goods and services or input factors particularly for production from areas outside Western Europe.

When it comes to the risk of violations of pay and working conditions, it is with the subcontractors for the large development projects that Entra has identified the greatest risk and where the most resources are deployed to ensure compliance.

Identified areas and risk factors:

• Social dumping
• Employees may have employment contracts that do not comply with the Working Environment Act
• Violation of working time and overtime regulations
• Employees who are not paid their rightful salary/overtime payment.
• Part-time workers who do not have the same conditions and rights as permanent employees
• HSE deviations
• Smaller companies/self-employed individuals may have limited resources to develop management systems for quality and HSE
• Time pressure on the construction site can increase the risk of HSE deviations and serious accidents
• Language problems can lead to misunderstandings regarding safety procedures
• Crime in working life
• Fake/illegal companies further down the supply chain that invoice for undeclared work
• Evasion of taxes and fees by unscrupulous firms that might give them an advantages in new tender processes
• Salaries paid to non-Norwegian workers can be characterised as "fictitious loans" from the employer

Entra's measures, systems and tools to stop, prevent or limit negative consequences from the identified risks in our supply chain can be divided into the following areas: supplier follow-up and contract follow-up, supplier qualification requirement, supplier audits and supplier reviews.

Supplier qualification requirements

Entra has elaborated its requirements and expectations of its suppliers regarding social responsibility, the environment, human rights and sustainability in its ethical guidelines for suppliers in the document "Socially responsible procurement" which is available at www.entra.no. Acceptance of the document and its content is a minimum requirement for all suppliers and subcontractors who deliver goods and services to Entra. The document is an integral part of all enquiries, construction contracts and orders issued on behalf of Entra.

The document covers topics such as:

• Human rights, sustainable development and environmental considerations when choosing materials
• External environment (local environment) and focus on energy and environmental savings
• HSE on construction sites
• Well-functioning working conditions and labour rights
• Financial status and solvency
• Business ethics and relationships

Entra also sets further requirements for contractors who use subcontractors in its development projects.

• StartBank: Contractors and their subcontractors must be registered in the StartBank register. This gives Entra an overview of the organisation's financial situation, management systems, and payment of taxes and public fees.
• The contractor may use one level of subcontractors. For turnkey contracts (NS8407) or contracts that exceed 20 million, up to two levels of subcontractors are permitted.
• The contractor shall only use hired personnel from a staffing company registered with the Norwegian Labour Inspection Authority.
• The contractor is to be up to date with VAT and tax payments, as documented with a certificate no older than six months.
• All workers are to carry a valid HSE card (identification card) when they work in Entra's premises/construction site.
• The contractor has procedures, routines and rights to control and obtain payslips and employment contracts for its own and hired personnel and subcontractors.
• Hired personnel must have similar conditions as permanent employees
• The work to be carried out under the contract is the subject of a collective tariff agreement according to the Application of Collective Agreements Act. The contractor guarantees that all employees of the contractor (who directly contribute to the fulfilment of the contract) shall at least have a salary and working conditions as provided in the respective collective tariff agreement for construction sites, electrical trades and cleaning work in Norway.

Supplier audits

Entra's most important tool in avoiding compliance breaches is to carry out supplier audits and supplier controls. It is mainly through controls that the company gains valuable knowledge about the actual conditions surrounding identified risks.

Entra carries out audits of its operations that seek to ensure that the business complies with Norwegian law and that the principles in Entra's guidelines for socially responsible purchasing and HSE routines are adhered to.

An annual audit plan is set up in collaboration with a group from Procurement, HSE, Project Development and Compliance.

Risk factors in Entra's operations, the supply chain and HSE risk are the main focus of the audits. The audit plan is prepared based on risks assessed by reference to the following:

• Project/property/supplier size and complexity
• Contract conditions, contract model and supplier selection
• The results of changes, previously performed audits and controls
• Project organisation
• Start and lifetime of the project

There are no set criteria for the number of audits to be carried out each year, although there is typically a correlation with the number of projects in the portfolio.

In addition, a selection of subcontractors is made for occasional control, where we check the pay and working conditions of 2–3

employees/contracted staff engaged on an assignment for Entra. In recent years, Entra has prioritised these checks, as it has been found over time that the biggest violations of decent working conditions are further down the value chain of our main suppliers. Five supplier audits and controls were carried out in 2023.

In connection with audits and controls, we have altogether checked the pay and working conditions of some 20 persons working for suppliers in Entra's supply chain. In 2023 audits, some minor violations of working time and missing labour contract formalities have been uncovered. The deviations were addressed, followed up and closed in collaboration with the suppliers.

No serious deviations or gross violations or breaches from pay or working conditions were reported in 2023 audits.

The inspections were carried out by a combination of internal personnel and external audit companies, and the reports were thoroughly evaluated together with handling of deviations, observations and suggestions for improvements.

If deviations are discovered in the supply chain, this is followed up through dialogue with the relevant supplier and relevant stakeholders, such as trade unions and the main contractor. If deviations and breaches are not addressed or resolved within a reasonable time period this can lead to the contract being suspended. For serious deviations that involve gross examples of labour exploitation/social dumping, Entra will terminate the contract and prohibit the subcontractors from working on the construction site.

Supplier reviews

Entra seeks to expand its knowledge of how its suppliers relate to the requirements of the Transparency Act ("Åpenhetsloven") and the company's ethical guidelines for Socially Responsible Procurement. It also seeks more insight into risk factors that apply to input factors in the suppliers' value chain.

In order to follow up its supply chain Entra use Factlines to submit a survey to suppliers that are considered to be at-risk on an annual basis. Factlines is a web-based tool that provides the exchange of information between the parties in the supply chain and helps Entra to identify and assess supply chain risks. Recipients of the survey are suppliers of goods and services within Entra's identified risk segments from which the annual purchasing volume exceeds NOK 200 000. In the survey, suppliers must respond about conditions surrounding human rights and decent working conditions in their value chain. They must also provide information about whether they have an overview and systems to control the suppliers in their own value chains. In the case of suppliers where it is found in the risk mapping that they lack control systems or do not provide sufficient information, further documentation is requested in relation to how Entra's requirements are met.

Topics covered in the survey:

• Social responsibility, strategy and guidelines
• Supply chain: follow-up, insight and control
• Risk assessment and countries, areas, input factors that are relevant.
• Management systems in the business
• Working conditions
• Environment and conflict minerals
• Anti-corruption

Using the survey reports, Entra seeks to identify and assess risks in the supply chain, and where necessary to make improvements together with its suppliers.

Health, Safety and Environment (HSE)

HSE work is central to Entra in all parts of the value chain. It shall be safe to visit and work in Entra's properties and projects. HSE is well established as a natural part of the day-to-day operations, including being part of the bonus scheme for all employees. It is a focus area at all levels of the organisation and thus recognised widely in the organisation as a personal responsibility of all employees.

Entra's HSE strategy involves systematic work with:

• HSE in the daily operation of the buildings
• HSE in development projects
• HSE for own employees

The internal HSE policy in Entra is:

• It shall be safe to work, visit and stay in and around Entra's properties and construction projects
• For own employees, Entra shall have a health-promoting work environment where no one will be injured or sick because of their work

Entra undertakes systematic HSE training of its employees where different positions receive different training. All new employees are given an introduction to the HSE system after joining the company.

Special training on the operation of buildings is given to operation managers. This involves training in fire protection, conflict management, FSE course (electricial installations) and work at heights. Entra's project managers receive training in Entra's routines for ensuring HSE in the building projects as part of their introduction to Entra.

Senior management are involved in practical HSE work and are expected to take the lead through behaviour and leadership. As part of this, a review of the latest HSE report is regularly on the agenda at senior management and Board meetings. HSE status is also an important item on the agenda at all employee townhall meetings.

Entra has an occupational health and safety management system covering all parts of its business in accordance with applicable Norwegian legislation. The Working Environment Act, with its regulations, sets conditions in a number of areas:

• Regulations concerning organisation, management and employee participation ("Forskrift om organisering, ledelse og medvirkning")
• The workplace regulations ("Arbeidsplassforskriften")
• Regulations concerning performance of work ("Forskrift om utførelse av arbeid")
• Regulations concerning action and limit values ("Forskrift om tiltaks- og grenseverdier")
• Internal control regulations ("Internkontrollforskriften")
• Construction client regulations ("Byggherreforskriften")
• Regulations concerning HSE-cards ("Forskrift om HMS-kort")

The HSE system has also been developed and implemented based on risk management and risk analyses at different levels of the organisation. The system primarily covers Entra's workplaces and Entra's employees. However, Entra also has HSE requirements on its suppliers and their subcontractors. In general, Entra requires that its social responsibility requirements, which involve HSE requirements, are implemented throughout the chain of suppliers.

Entra has contracted an occupational health service (OAS) for its own employees, and Entra's OAS is an officially approved organisation for such services.

Among other things, the OAS provides:

• Annual health checks of employees
• Vaccinations
• Ergonomic evaluations
• Emergency stand-by arrangements
• Input to the working environment committee

Targets and status

HSE targets are also included in the Group KPIs with a focus on avoiding serious accidents. Entra changed its HSE KPIs in 2023 from previously counting injuries to a more pro-active approach of counting deviations and unwanted incidents.

Entra works actively to increase awareness with regard to the registration of all types of incidents, including accidents and near misses. The reporting of incidents is important to prevent potential accidents and to increase awareness internally among Entra's employees, suppliers and customers.

The HSE targets for 2023 were:

• Property management: Employees should report at least 30 internal deviations evenly distributed throughout the year.
• Project development: Construction projects should report at least 2.5 reported unwanted incidents per 1 000 hours on average.

Both these goals were achieved. Incident reports are compiled and reported to the Chief Executive Officer and to the Board. Serious incidents are investigated to see what lessons can be learned and are an important element in further strengthening the HSE work.

Entra continues to monitor other HSE indicators, such as injuries. There were no injuries involving sick leave absence in and around Entra's buildings in 2023. In the construction projects, there were three injuries involving sick leave absence that involved more than 16 days sick leave. The new HSE KPIs has not had any significant impact on the number of injuries.

Entra performs regular HSE audits of both development projects and management properties. In 2023, Entra performed five HSE related audits, of which three were related to property management, one was related to development projects, and one was a combination between the two.

Urban development

Entra's strategy is to develop and own large, high-quality, flexible and environment-friendly office properties in clusters around central public transportation hubs in the largest cities in Norway. Entra aims to contribute to urban clusters that are attractive, inclusive, and accessible for office users, residents, and all other relevant parties. To be located close to major public communication hubs contributes to less use of private cars to the benefit of public transport and environment-friendly alternatives such as bicycles.

Urban development includes creating a good atmosphere and secure surroundings in and around its buildings for the benefit of tenants, visitors and others who pass through the area. Entra ensures that the space around its buildings and building sites is neat, clean, and attractive. Entra works to get a mix of activities on the ground floors within its property clusters to create life and variation among visitors and users of its buildings. Where applicable, Entra considers how to activate the ground floors of its buildings to contribute to activity on street level.

Entra emphasises the importance of a good dialogue with partners, competitors, and other stakeholders in its work on urban development. Entra involves neighbours, local politicians and others who live or work in the proximty of Entra's new buildings and refurbishments. Such involvement may constitue of meetings and correspondence with neighbours, open meetings, information to the local press and a one-on-one dialogue with selected target groups.

Examples of areas and buildings where Entra has contributed to positive urban development are in Tullinkvartalet, Sundtkvartalet and at Tøyen in Oslo, at Papirbredden in Drammen, Brattørkaia in Trondheim, and Media City in Bergen. In these projects, Entra has redeveloped and opened up whole areas for the public with attractive offerings such as shops and restaurants on the street level. In the years to come, Entra will also be actively involved in the urban development of Bryn and the areas around the central station in Oslo and around Sandvika on the western fringe of Oslo.

Community engagement

Community engagement has been an important part of Entra's social sustainability strategy for many years. In 2023, Entra was involved in different community engagement initiatives in relation to 79 properties, or around 72 per cent of its portfolio. The most important initiatives are described below.

Entra has been a sponsor of the Church City Mission ("Kirkens bymisjon") in Norway since 2014. Entra's financial support to, and dialogue with, the Church City Mission strengthens the constructive measures that the Church City Mission is carrying out in connection with social challenges in the cities covered by the agreement. In Oslo, Entra is, among other initiatives, involved in the "Neighbour cooperation" project. This involves several companies located in the Oslo city centre working to create a safer and better local environment for all those passing through the area and contributes to increased employment to disadvantaged groups that are currently out of work. Entra is actively involved in annual campaigns to provide Christmas dinners for the homeless and lonley. The Church City Mission has also provided valuable insight in the planning of activities towards selected target groups in Entra's work with social sustainability initiatives as part of the urban development In Oslo.

In 2022, Entra established the Tullin Association together with partners in the area. The association organises different cultural and neighbourhood activities in the Tullin area throughout the year.

In 2023, the Helsfyr area forum was founded with Entra as an important contributor. The forum gathers property owners and other parties with an aim to work for better urban qualities at Helsfyr.

Entra also participate in Nedre Akerselva neighbourhood cooperation and is one of the founders of the Grønland-Vaterland cooperation which will work with concrete measures to make the Grønland-Vaterland area more attractive, lively and safe.

Supporting employment of young people and disadvantaged groups is a particular focus area in Entra's social strategy and an important part of its strategy for community engagement.

ESG | Governance

Governance

Board's Corporate Governance statement

Entra's Board of Directors ("the Board") actively adheres to good corporate governance standards and works to ensure that Entra complies with the requirements of section 3-3 b of the Norwegian Accounting Act and the Norwegian Code of Practice for Corporate Governance of October 2021, issued by the Norwegian Corporate Governance Board (NUES). This is done by ensuring that good governance is an integral part of the decision-making process in matters dealt with by the Board. Moreover, Entra's corporate governance standards are subject to at least annual assessment and discussion by the Board.

Compliance with the Norwegian Code of Practice for Corporate Governance

Corporate Governance in Entra

	Compliance with the Code	Reference
1. The Board of Directors' Corporate
Governance statement		Page 105
2. Business		Page 12–47
3. Equity and dividends		Page 116
4. Equal treatment of shareholders and
transactions with related parties		Page 117
5. Free transferability		Page 116
6. General meeting		Page 117
7. Nomination Committee		Page 117
8. Board composition and independence		Page 123–124
9. The work of the Board		Page 107–108
10. Risk management and internal controls		Page 110
11. Remuneration of the Board		Page 115
12. Remuneration of Senior Executives		Page 112–114
13. Information and communication		Page 109
14. Takeover bids		Page 117
15. Auditor		Page 119

Roles and responsibilities

General Meeting

Board of Directors

• Responsible for the long-term success of Entra
• Sets the overall strategy and oversee its implementation
• Provides leadership and direction to the Group on its values and ethics
• Responsible for sustainability strategy and corporate goverance
• Sets risk appetite and investment strategies
• Determines significant investments, acquisitions and disposals
• Responsible for risk management
• Responsible for financial and ESG performance, management and reporting
• Appoints the Chief Executive Officer

Nomination Committee

• Reviews structure, size and composition of the Board and its Committees
• Leads Board appointment processes
• Ensures shareholders' views are taken into account
• Recommends appointments to the Board

Audit Committee

Preparatory body supporting the Board on the exercise of its responsibilities relating to:

• Financial and ESG reporting
• Internal controls and reporting processes
• Compliance with ethical guidelines
• Overall risk management
• Review of the performance and independence of the auditor
• Preparing the audit tender processes, and giving the Board a recommendation on the election of auditor

Remuneration Committee

Preparatory body supporting the Board on the exercise of its responsibilities relating to:

• Remuneration packages and employment terms of the CEO and other Senior Executives
• Oversight of remuneration practices for all employees

CEO

• Leads the executive team and responsible for the overall management of Entra
• Articulates vision, values and purpose
• Develops and implements strategy
• Responsible for the overall performance of the business

Executive management

• Supports the CEO on the implementation of strategy, financial performance and management of the group

Management committees

• Investment committee
• Sustainability committee
• Compliance

Board activity

Eight regular board meetings are scheduled each year. Additional meetings are held on an ad hoc basis as required. 15 board meetings were held in 2023. The calendar below sets out the main topics discussed at each regular board meeting.

The Board's work

The Chair of the Board chairs board meetings. The Board has a Vice Chair who chairs meetings when the Chair cannot or should not lead the work of the Board. All directors receive information about the Group's operational and financial progress in advance of the Board meetings. Entra's business plan, strategy and risk are regularly reviewed and evaluated by the Board to ensure that the company creates value for shareholders in a sustainable manner. The Board draws up and adopts an annual plan, including topics for the Board meetings. Ordinarily, the CEO proposes the agenda for each individual Board meeting. The final agenda is decided in consultation between the CEO and the Chair of the Board. In addition to the directors, Board meetings are attended by the CEO, CFO, the EVP Legal and Procurement (secretary of the Board), and other EVPs as needed. Other participants are called in on an ad-hoc basis. The Board decides on matters of material importance to the Group. These include, but are not limited to, approval of the annual and quarterly reports, strategies and strategic plans, the approval of significant investments, the approval of significant contracts and the approval of substantial acquisitions and divestments. When carrying out this work, the Board considers the financial, social and environmental aspects.

February	March	April	June
• Financial and operational performance – dividend • HSE report • Transactions and investments • Annual results and the Q4 report • Portfolio valuation • Management remuneration, STI and LTI • Portfolio investments	• Financial and operational performance • HSE report • Transactions and investments • Annual results and Annual report • Going concern and viability statement • ESG strategy and reporting • Annual general meeting proposal • Remuneration report • Annual HSE report	• Financial and operational performance • HSE report • Transactions and investments • Q1 report • Portfolio valuation • Compliance report • HR Review and succession planning • General remuneration principles • ICT and cyber security Review • Central salary settlement	• Financial and operational performance • HSE report • Transactions and investments • Board meeting calendar • Project Development Review • CEO and Board Committee instructions • Risk matrix review • External perspectives on Entra • Ethical guidelines • Transparency due diligence assessment
July	September	October	December
• Financial and operational performance, • Half year report • HSE report • Transactions and investments • Portfolio valuation	• Financial and operational performance • HSE report • Transactions and investments • Letting and office market insight • Board self assessment • ESG insight • Strategy review • Macro economic outlook • Financial outlook • Portfolio rotation and divestments • Portfolio strategy • Customer strategy	• Financial and operational performance • Semi-annual dividend • Q3 report • HSE report • Transactions and investments • Portfolio valuation • Competence development • KPI targets for next year • Board evaluation • Succession planning executive management	• Financial and operational performance • HSE report • Transactions and investments • Budget scenarios / financial model • Financing plan and policy • Investment policy • Financial outlook • Risk review • Customer satisfaction survey • Employer satisfaction survey • KPI targets for next year • ESG strategy and reporting • CEO Review • Brand and communication review Compliance review • Succession planning executive management

The Board receives quarterly reports and presentations on the Group's operational and financial status. The reports describe progress and status in the Group's operative and administrative functions during the reporting period. The individual business units hold meetings with the CEO and CFO to review operating activities prior to and in connection with such reporting. The reports form the basis for internal control, communication on status and necessary measures. The reports are reviewed at board meetings and form the basis for the external financial reporting.

Each year the Board and its committees assess their own work and way of working as a basis for reviewing the need for changes and other measures. This assessment includes an evaluation of the Board's expertise, collectively and for each member, and how well the Board works as a team.

Monitoring and control of financial reporting

Procedures have been established for financial reporting that involve carrying out a review of significant estimates, provisions, and accruals in conjunction with preparation of the quarterly and annual financial statements. Memorandums are prepared for significant accounting assessments and non-routine transactions, and are discussed in the Audit Committee prior to the board meetings. The valuation of the Group's properties is subject to a separate review and assessment at management level at the close of each quarter. This involves, among other things, holding meetings with the external appraisers conducting quarterly valuations of Entra's investment properties, with a particular emphasis on discussing perceptions of the market, risk premiums and documentation.

Board representation and participation in Board meetings and committees in 2023

	Board meetings		Audit committee Remuneration committee	Board tenure since	Up for election
Ottar Ertzeid1 (Chair)	15		4	2022	AGM 2024
Hege Toft Karlsen (Vice Chair)	13	7		2021	AGM 2024
Joacim Sjöberg1	14		4	2022	AGM 2024
Widar Salbuvik	15	7		2016	AGM 2024
Camilla AC Tepfers	15			2019	AGM 2024
Marit Rasmussen	15			2020	2024
Erling Nedkvitne	15		4	2018	2024

¹ Joacim Sjöberg is a board member and CEO of Castellum AB. Sjöberg is not considered independent according to the Norwegian Code of Practice for Corporate Governance.

The Group reconciles and documents all balance sheet items in the group companies each quarter. Balance sheet items such as bank deposits, receivables, non-current assets, and liabilities are subject to thorough reviews. Loans, interest rates and interest rate hedging are subject to manual reconciliation every month. Ongoing projects are reviewed on a quarterly basis by the Project Development department. Rental income and other significant profit and loss items are subject to reconciliation each quarter. All reconciliations are reviewed and quality assured, as well as being analysed against the Group's forecasts and previous accounting periods.

Management reports significant operational and financial matters to the Board at the board meetings. Any significant matters and situations that arise outside board meetings are discussed with the Chair of the Board and if necessary additional board meetings are held.

In connection with the quarterly reporting, the Group's external auditor conducts a review of the financial reporting, without issuing a review report.

The Group's quarterly and annual reports are reviewed by the Audit Committee before they are considered by the Board. As part of this process, management prepares a memorandum for the Audit Committee that describes significant accounting and financial assessments made during the quarter. The Audit Committee annually reviews the external auditor's audit report, as well as the findings and assessments of reviews and audits in conjunction with interim and annual reports, if applicable. Any key audit matters and significant issues in the auditor's report are presented to the whole Board.

Financial management

The Group is managed by means of financial and operational targets linked to results and their development, the required return on equity and the weighted average cost of capital, the management of the debt portfolio and the return on the property portfolio. Risk assessments and profitability calculations are performed when acquiring or divesting assets and on commencement of development projects in accordance with the Group's calculation model and required rate of return. The expected net present value and other key financial metrics of development projects are monitored throughout the course of each project. Long-term projections are made of expected financial developments as a component of the Group's risk management, using a model with detailed assumptions concerning the business's results, cash flows and balance sheet. The projections take into account cyclical developments in the economy, financial parameters and the property market. Scenarios and simulations are prepared for various developments. The simulations provide insightful information for the Board and management in their monitoring of developments in key balance sheet figures and cash flows.

Allocation of capital and the attitude towards risk are important parameters for guiding financial operations. Entra's finance policy contains a framework for the day-to-day management of the Group's financial risk. Principles have been defined for borrowing and for management of liquidity risk, interest rate risk, credit risk and counterparty risk. The Group's model for financial projections is updated regularly. Quarterly reports are made in accordance with the management guidelines for the financial operations, and to the Board through the quarterly business report.

Systematic monitoring of the general economic situation and its impact on the Group's financial risk is carried out. Based on expected development in the economy and analysis of the Group's financial position, expected development in both short-term and long-term interest rates, the strategy for interest rate positioning, capital requirements and planned financing activities are discussed, as well as opportunities in the financing market.

Financial reporting and communication

The financial statements are prepared in accordance with International Financial Reporting Standards (IFRS®) as approved by the EU. Entra's reporting fulfils statutory requirements and provides sufficient information to allow the company's stakeholders to form an accurate picture of the business. Entra reports in accordance with the rules laid down by the Norwegian Securities Trading Act, as well as with the requirements specified by the Oslo Stock Exchange for companies with listed shares and bonds.

Entra provides its shareholders, the Oslo Stock Exchange and the financial market in general with timely, consistent and precise information. Such information is given in the form of annual reports, quarterly reports, stock exchange notices and investor presentations and meetings. The Board has set an IR policy for Entra's reporting of financial and other information.

Entra considers it important to inform shareholders about the Group's development and economic and financial status. Management members (the CEO, CFO and Investor Relations Manager) are available for discussions with shareholders in order to develop a balanced understanding of such shareholders' situation and focus, subject however to the provisions in legislation and regulations. Management ensures that shareholders' viewpoints are communicated to the whole Board.

The Board has approved regulations relating to the handling of inside information and trading in the company's shares. Primary insiders require internal clearance by the Chief Legal Officer before they buy or sell Entra shares.

Risk management

The Board is responsible for ensuring that the Group's business, financial reporting and asset management are subject to adequate control and in accordance with applicable law. Entra's risk management is to support the Group's strategic and financial goals and help the Group avoid events that may have an adverse impact on the Group's operations, financial situation and reputation. This is further elaborated on pages 30–43 in the Annual Report.

Internal control and compliance

The Board reviews at least twice per year the Group's risk and internal control activities, including compliance. This, combined with the management's risk assessments and information on ongoing measures, enables the Board to judge whether the Group's risk management procedures are satisfactory. Risk management and internal controls are also considered by the Board's Audit Committee.

Entra works systematically to ensure continuous improvement of its internal controls linked to financial reporting and efficient operations. The Group has a proactive approach towards risk management, and potential risks are identified, assessed, quantified and managed. This is further elaborated in the section on Risk Management.

In consultation with the Audit Committee, management defines areas where the Group conducts reviews of internal controls. Both internal and external resources are used on these reviews. The results of the most important reviews related to internal control are presented to the Audit Committee and the Board on at least an annual basis. An internal control plan is presented to the Board.

The Group follows up issues relating to ethical guidelines and corporate social responsibility. The environmental perspective is an integral part of the assessments made in connection with the Group's potential investments. Special requirements have been defined for the Group's suppliers in the document "Socially Responsible Procurement", and a supplier verification process is conducted each year to ensure that the Group's suppliers are familiar with and adhere to the contractual conditions. This is further elaborated under the section "Ethics and anti-corruption".

The Group's Chief Compliance Officer (CCO), reporting directly to the Board, is responsible for ensuring that Entra has implemented a compliance programme that will ensure that it is compliant with regulatory and legal requirements as well as internal policies and bylaws. The CCO performs an annual review of the Group's governing documents, including guidelines for ethical conduct,

procurement, sustainability, anti-corruption, data protection and privacy, and supports the Board and the CEO in ensuring that these guidelines are implemented and enforced.

Whistleblowing mechanisms and channels

The Chief Compliance Officer is responsible for the Group's internal and external whistleblowing channels. The external channel is directly linked to an external law firm and contact details are available at www.entra.no. The Board is provided at least semi-annual reports on compliance related matters.

Conflicts of interest

Potential conflicts of interest are governed by Entra's ethical guidelines and socially responsible procurement principles. All employees and board members undergo ethics training every year. Board independence is considered at each board meeting.

According to the ethical guidelines, Entra's employees must always conduct its business with integrity. To preserve independence in judgment and during activities, employees must avoid conflicts of interest based on financial or personal self-interest. No one must participate in the processing or decision of a business transaction or case when there are circumstances that are likely to undermine trust in the person's independence. No one acting on behalf of Entra shall abuse their position for personal gain. Entra's employees must show great care in relation to private use of Entra's suppliers. Purchases of goods and services that could cast doubt on the employee's integrity or not be in the best interest of Entra and the company's reputation must not occur.

Suppliers shall not offer, promise, or give any benefits, incentives, or services to Entra's employees, related parties, or collaboration partners. This shall apply also if such benefits are offered directly or indirectly via an intermediary. Hospitality, expense coverage and any moderate gifts must always be done openly. Gifts, hospitality, and expense coverage must never be given/received in an offer/ negotiation situation. Exceptions are normal catering at meetings in the form of working lunch/dinner, coffee, and the like. Travel and accommodation in connection with courses, customer event etc. where Entra's employees participate, must be approved, and paid for by Entra.

Board committees

The Board has established an Audit Committee and a Remuneration Committee. The Board has established mandates for the work of the committees, which are subject to annual review. In accordance with their respective mandates, the Audit Committee and the Remuneration Committee are to have two or three qualified shareholder representatives from the current Board. The representatives are elected by the Board for two years at a time. In case of Board changes during the election period affecting members of the Audit Committee or Remuneration Committee, the period lasts until the representative is next up for election as a Board member. The committees assist the Board with preparing its work, but decisions are taken by the whole Board.

Audit Committee

The Audit Committee acts as a preparatory body and supports the Board in assessing the integrity of Entra's financial reporting, internal controls and financial reporting processes, ESG reporting, compliance with ethical guidelines, overall risk management and review of the performance and independence of the auditor. The CFO, the Head of Group Accounting, the Group Controller and the Head of Accounting (secretary of the Audit Committee) attend as representatives from management. The Group's auditor also participates in all meetings. Other members of the management team attend as required. The Chair of the Audit Committee reports on the significant assessments discussed in an Audit Committee meeting at the first following board meeting. The Board further has access to the minutes from each Audit Committee meeting. The Audit Committee has an established calendar of meetings, and seven meetings were held in 2023.

Remuneration Committee

The purpose of the Remuneration Committee is to act as a preparatory body for the Board's consideration of compensation issues. The Remuneration Committee's main task is to prepare the Board's consideration of matters relating to the salary and employment terms of the CEO and Senior Executives, as well as changes to them. In addition, the Remuneration Committee prepares the Board's consideration of principle issues relating to salary levels, performance-related pay schemes (including share schemes), the pension scheme/conditions, employment contracts and similar for the Senior Executives of Entra, as well as other matters relating to compensation that are of particular importance for the Group's competitive position, profile, ability

to recruit, reputation etc. The CEO discusses the handling of individual conditions of Senior Executives with the Remuneration Committee. The Remuneration Committee furthermore discusses and presents proposals to the Board on guidelines for the remuneration of Senior Executives, prepares the report on salaries and other remuneration to Senior Executive personnel and the Board pursuant to Section 6-16b of the Public Companies Act, and deals with other statutory reporting requirements.

The Remuneration Committee is composed of the Chair of the Board and one or two members of the Board and is to be independent of Senior Executives. The CEO and EVP HR & Organisation attend as management representatives. The CEO does not participate in discussions on issues that affect the CEO personally or matters that relate to the Senior Executives as a whole. The Group's Chief Legal Officer acts as the committee's secretary. Four meetings were held in 2023.

Salaries and remuneration of Board and Senior Executives

Remuneration of Board and Senior Executives

Pursuant to section 6-16a of the Public Companies Act, the Board presents guidelines on the determination of salaries and other remuneration of the Board and Senior Executives, defined as the CEO and other members of the management team, to the Annual General Meeting for approval. Entra's guidelines were approved by the 2022 Annual General Meeting and are summarised below.

Guidelines for management remuneration

Remuneration of Senior Executives is based on the following general principles:

• Entra shall be a professional organisation that attracts and retains skilled personnel and develops the competence of its staff. Entra thus needs to use remuneration, including competitive salaries, in order to ensure that the Group can recruit and retain competent and attractive expertise
• Moderation in the level of salaries of the Group's employees
• Management remuneration shall be competitive, but not leading
• The fixed salary shall be the main element of the remuneration, but all remuneration elements shall be considered in total
• The targets for any performance-related pay scheme shall be objective, measurable and definable, and there should be a clear correlation between the Group's business goals and the targets in such a performance-related pay scheme
• Senior Executive remuneration shall be transparent and in line with the principles of good corporate governance

Process for determination of remuneration

The Board has established a separate Remuneration Committee. The Remuneration Committee functions as an advisory body for the Board and the CEO and is responsible primarily for:

• Making recommendations to the Board based on the committee's evaluation of the principles and systems underlying the remuneration of the CEO and other Senior Executives
• Making recommendations to the Board based on the committee's evaluation of the overall remuneration of the CEO, including the annual basis for bonus payments and bonus payments actually made
• Assisting the CEO in determining the remuneration of the other Senior Executives
• Advising the Board and the CEO in compensation matters that the committee finds to be of material or principle importance for Entra

Determination of remuneration in 2023

The guidelines for management remuneration set forth above form the basis for all remuneration of Senior Executives.

The total remuneration of the CEO and other Senior Executives consists of a fixed package of salary and benefits supplemented by performance-based bonuses, share-based long-term incentive plans, employee share plans, and pension and insurance arrangements.

Fixed remuneration

The fixed remuneration provided to Senior Executives includes a base salary (which is the main element of remuneration) and benefits in kind such as a car allowance, mileage agreements and telephone. The Senior Executives also have insurance coverage and other benefits in line with what is offered to the other employees in the Company in accordance with collective agreements, legislation and normal practice in Norwegian companies.

Performance-related pay

The Group operates performance-related pay schemes for Senior Executives. For the Group's Senior Executives, performancerelated pay in 2023 includes a cash-cased variable pay scheme

("STI" – Short-Term Incentive) and a share-based variable incentive scheme ("LTI" – Long-Term Incentive).

STI scheme

The STI scheme is based on yearly performance on set targets at Group level in accordance with Board approved scorecards for 2023, as well as predefined personal targets for the year. The scorecard for 2023 consist of the following KPIs and topics:

• NOI margin (net operating income less administrative cost/ rental income)
• Customer satisfaction score
• Energy consumption
• Waste management
• HSE (health, safety and the environment)
• Employee satisfaction
• Compliance

For the CEO and the deputy CEO the STI scheme has a maximum limit of 50 per cent of base salary and for other Senior Executives the maximum limit is 30 per cent of base salary.

LTI scheme

The LTI scheme is based on two Key Performance Indicators (KPIs); Return on Equity before tax (RoE) and Total Shareholder Return (TSR), each weighting 50 per cent. The Board believes that these KPIs align the interest of Senior Executives and shareholders in a beneficial manner, even though both KPIs are also influenced by external factors beyond the control of management.

Actual performance is determined on a linear target scale between a hurdle at 100 per cent and a cap at 120 per cent for both KPIs.

• 1. Return on Equity: three-year average RoE before tax compared to a target determined by the Board.
• 1. Total Shareholder Return: three-year Entra TSR performance compared to the performance of the FTSE EPRA/NAREIT index.

Overview of remuneration scale LTI scheme 2023

			Maximum LTI result CEO and Deputy CEO (%)1	Maximum LTI result Senior Executives (%)1
Target achived	100	120
RoE	5.5	6.6	30	20
TSR	100% of index	120% of index	30	20
Result LTI	-	100	60	40

¹ Calculated as actual achieved RoE & TSR divided by target RoE & TSR ("Result"). This Result is compared to the applicable target scale and if between 100 and 120 per cent, the linear percentage achievement is multiplied with the maximum 2023 result. I.e., if the Result is 110 per cent on the target scale, 2023 remuneration is calculated by 50 per cent multiplied by maximum 2023 result of 40 per cent and 60 per cent for Senior Executives and CEO/Deputy CEO, respectively.

To make the LTI award cash-neutral for the Senior Executives, the Company awards restricted shares with a market value of an amount corresponding to a percentage of the base salary, less an amount equal to the Senior Executives' tax effect of the total LTI award, which is settled in cash directly to the tax authorities (the cash-settled component). The restricted shares (the equitysettled component) are transferred to the Senior Executives in the year following the grant date, and 1/3 of the share allotment is restricted for three years after the transfer of the shares, another 1/3 is restricted for four years and the remaining 1/3 is restricted

for five years. The three tranches of the equity-settled component are fully vested at the end of the respective restriction periods. The cash-settled component is fully vested on settlement in the year following the grant date. The equity-settled component and the cash-settled component are recognised as payroll expenses over the period from grant date until fully vested. LTI remuneration is not included in the basis for pensionable salary, and there is a cap on share price increase under the LTI scheme at 200 per cent share price increase.

In the event of the occurrence of a Change of Control, each share distributed under the LTI scheme will become fully transferable immediately.

Reclaiming performance-related pay

The company has the right to demand the repayment of any performance-related remuneration that has been paid on the basis of facts that were self-evidently incorrect, or as the result of misleading information supplied by the individual in question. If an individual's employment contract is terminated, the company has the right to reclaim unvested shares awarded under the LTI scheme.

Share purchase scheme

The CEO and other Senior Executives are eligible to participate fully in Entra's discounted employee share purchase scheme on the same terms as all other employees.

Pension benefits

The CEO and other Senior Executives have a contribution-based service pension on the same terms as other employees. The contributions are 6 per cent of salaries between 0 G and 7.1 G and 16 per cent of salaries from 7.1 G to 12 G. 1 G is the Norwegian National Insurance Scheme's basic amount, which on average was NOK 116 239 in 2023.

Board compensation for Senior Executives

The CEO and certain other Senior Executives have a number of internal directorships in subsidiaries and partly-owned companies. They do not receive any remuneration for these directorships.

Severance package arrangements

The CEO has the right to six months' severance pay based on the base salary in cases where the Board takes the initiative to terminate the employment. No other Senior Executives have pre-agreed severance pay agreements.

Board remuneration

The general meeting determines each year the remuneration of the Board based on the Nomination Committee's proposal. The Board's remuneration shall reflect the Board's responsibilities, expertise, and use of time and the complexity of the business. Remuneration is not dependent on results and no share options are issued to Board members.

Board members or companies to which they are connected shall not normally undertake separate assignments for the Group in addition to the Board appointment. If they nevertheless do, the

whole Board is to be informed, and the fees for such assignments are to be approved by the Board. If remuneration is paid above the normal Board fee, this is to be specified in the annual report.

Employee-elected members of the Board receive fees in line with shareholder-elected Board members.

Deviation from the Guidelines

The Board may decide to deviate entirely or partly from the Guidelines in individual cases provided that there are special circumstances that make such deviation necessary in order to satisfy the long-term interests of the Company or to ensure the financial viability of the Company.

Annual remuneration report

Pursuant to Section 6-16b of the Public Companies Act, a report on salaries and other remuneration to Senior Executive personnel and the Board will be presented at the Annual General Meeting. The report is also available on Entra's website.

Remuneration of the Board

In 2023, the Board received remuneration in accordance with the Nomination Committee's proposal, approved by the AGM. No remuneration was paid above the Board fee approved by the AGM.

Remuneration of Senior Executives

Determination of the remuneration of Senior Executives for 2023 has been carried out in accordance with the guidelines. The base salary of the Senior Executives increased on average by 5.2 per cent in 2023. Performance-related pay for 2022 was determined and paid in 2023. Performance-related pay for 2023 is determined and paid in 2024.

The annual compensation ratio1 was 7.1 and the change in annual compensation ratio 2 was -1.2.

The amounts in the tables to the right are subject to National Insurance contributions. No loans were given by Entra to senior executives at 31 December 2023.

¹ Annual total compensation for the organisation's highest paid-individual / Median annual total compensation for all of the organisation's employees excluding the highest-paid individual, as defined by GRI.

² Percentage increase in annual total compensation for the organisation's highest paid-individual / Median percentage increase in annual total compensation for all of the organization's employees excluding the highest-paid individual, as defined by GRI.

Overview of remuneration of the Board in 2023

All amounts in NOK thousand	Board fees	Committee fees	Total remuneration 20231
Ottar Ertzeid, Chair	564	69	633
Hege Toft Karlsen, Vice Chair	314	80	394
Widar Salbuvik	314	106	420
Camilla AC Tepfers	314	-	314
Joacim Sjöberg	314	48	362
Erling Nedkvitne, employee representative 2	314	48	362
Marit Rasmussen, employee representative 2	314	-	314
Total	2 448	351	2 799

¹ The overview of the remuneration of the Board of Directors shows remuneration earned in the financial year. ² Does not include ordinary salary.

Overview of remuneration of Senior Executives in 2023

All amounts in NOK thousand	Base salary	Paid salaries1	Cash-based variable remuneration 2	Share-based variable remuneration3		Pension costs Other benefits 4	Total remuneration
Sonja Horn, CEO	4 000	4 228	1 405	623	141	207	6 604
Anders Olstad, CFO and Deputy CEO5	3 360	3 559	-	524	141	205	4 429
Kjetil Hoff, COO	2 407	2 503	415	244	141	171	3 474
Per Ola Ulseth, EVP Project Development	2 239	2 329	442	231	141	163	3 306
Carine Blyverket, EVP Market and Business
Development from 1 March 2023	1 800	1 500	312	-	117	122	2 051
Kristine Hilberg Tunstad, EVP HR & Organisation	1 816	1 890	377	187	141	169	2 763
Hallgeir Østrem, EVP Legal and Procurement	2 787	2 898	578	147	141	193	3 957
Tore Bakken, EVP Market & Commercial Real Estate
Development until 28 February 2023	2 123	354	-	232	23	26	635
Total		19 261	3 530	2 189	985	1 255	27 219

¹ The main difference between base salary and paid salaries is that paid salaries includes holiday pay on cash-based variable remuneration.

² Includes the provision based on targets met in 2023, which will be paid out in 2024.

³ The equity-settled component of the LTI scheme has a graded vesting period, while the cash-settled component of the LTI scheme is fully vested on settlement. No shares were awarded under the LTI scheme for 2023. As such, the share-based remuneration presented as earned in 2023 reflects share-based remuneration earned in previous years.

⁴ Other benefits includes benefits in kind such as a car allowance, telephone and insurance coverage.

⁵ Anders Olstad submitted his resignation on 17 October 2023 and is thus not eligible for variable remuneration for 2023. He will continue in his position throughout his six-month resignation period, starting on 1 November 2023.

Equity and shareholders

Entra has only one share class. Each share carries one vote and otherwise has equal rights including the right to participate in general meetings.

Free transferability

The shares are freely negotiable, with the exception of shares purchased by employees at a discount, and shares allocated in connection with the company's long-term incentive (LTI) scheme, see the section on Salaries and remuneration of the Board and Senior Executives above. The Articles of Association place no restrictions on voting, ownership or negotiability of the shares.

Equity and dividend

At 31 December 2023, the Group's book equity was 25 555 million (31 671 million), representing an equity ratio of 35 per cent (39 per cent). The Board considers this to be satisfactory by reference to the Group's goals, strategy and risk profile. At any given time, Entra's financial strength and exposure is considered in the light of its objectives, strategy and risk profile.

Given the current situation in the property and interest rate markets, the Board's focus has been to strengthen the company's balance sheet. Consequently, the Board decided to not use the authorisation to pay semi-annual dividend for the first half of 2023 nor to propose to the General Meeting dividend for the second half of 2023. Entra's dividend policy remains unchanged.

Board authorisations

Capital increase

The Board has been authorised to increase Entra's share capital by up to NOK 18 213 205, equivalent to 10 per cent of the share capital. The authorisation may be used on one or several occasions. The authorisation may be used in order to strengthen the company's equity and to cover capital needs in connection with business opportunities. The authorisation is valid until the Annual General Meeting in 2024 and will in all cases expire on 30 June 2024.

The shareholders' preferential rights to subscribe for shares pursuant to section 10-4 of the Public Companies Act may be set aside, cf. section 10 5. The authorisation includes share capital increases by contribution in kind and a right to allow the company to incur special obligations, cf. section 10-2 of the Public Companies Act. The authorisation does not include resolutions on mergers pursuant to section 13-5 of the Public Companies Act

Purchase of own shares

The Board has been authorised on behalf of the company to acquire Entra shares in the market with an aggregate par value of up to NOK 9 106 603, equivalent to approximately 5 per cent of the company's share capital. Treasury shares acquired under this authorisation may only be disposed of by way of a subsequent cancellation in connection with a share capital decrease, cf. section 12-1 (1) no. 2 of the Public Companies Act. The lowest and highest price to be paid per share is NOK 50 and NOK 300, respectively. The company's acquisition and divestment of its own shares is to be carried out on a stock exchange or otherwise at a

trading price and in accordance with generally accepted principles for equal treatment of shareholders. The authorisation is valid until the Annual General Meeting in 2024 and will in all cases expire on 30 June 2024.

The Board has also been authorised on behalf of the company to acquire up to 500 000 shares in Entra on behalf of the company with an aggregate par value of up to NOK 500 000, equivalent to approximately 0.27 per cent of the company's share capital, for a maximum purchase price of up to NOK 150 000 000. Shares may be acquired for the purpose of implementing the company's share scheme for all employees in the Group and the long-term share incentive scheme for members of the senior management in the Group. The lowest and highest price to be paid per share is NOK 50 and NOK 300, respectively. The company's acquisition of its own shares is to be carried out on a stock exchange or otherwise at a trading price and in accordance with generally accepted principles for equal treatment of shareholders. Divestment is to be carried out in accordance with the purposes set out above, or on a stock exchange or otherwise at a trading price and in accordance with generally accepted principles for equal treatment of shareholders. The authorisation is valid until the Annual General Meeting in 2024 and will in all cases expire on 30 June 2024.

Authorisation to issue convertible loans

In order to provide the company with flexibility in a finance market under continuous development, the Board has been authorised to issue one or more convertible loans, i.e., loans which gives the creditor the right to require issuance of shares against payment in cash or against set-off of the claim. The total loan amount (principal) shall not exceed NOK 7 billion (or the equivalent amount in another currency at the time of borrowing). The share capital may in aggregate be increased by up to NOK 18 213 205 as a result of the creditors' right to require issue of shares. The authorisation involves that the shareholders' preferential rights pursuant to section 11-4 of the Public Limited Liability Companies Act may be set aside.

Equal treatment of shareholders and transactions with related parties

In the case of a material transaction between Entra and a shareholder, a shareholder's parent company, a Board member, a Senior Executive, or persons related to them, the Board is to ensure that the transaction is supported by a valuation from an independent third party. This does not apply when the general meeting is to consider the matter in accordance with the rules in the Public Companies Act. An independent valuation is also to be provided in the case of transactions between companies in the same group where there are minority shareholders in such companies.

The Board is not aware of any transactions in 2023 between the company and shareholders, directors, executive personnel or parties closely related to such individuals that could be described as material transactions.

Takeover bids

The Board has an approved set of guidelines for takeover bids and will handle such situations in accordance with Norwegian law and the Norwegian Code of Practice for Corporate Governance. In a bid situation, Entra's Board and Senior Executives have a responsibility to help ensure that shareholders are treated equally, and that the Group's business activities are not disrupted unnecessarily. The Board will not hinder or obstruct takeover bids for Entra's assets or shares. The Board will ensure that shareholders are given sufficient information and time to form an opinion on an offer. If a takeover offer is received, the Board will issue a statement making a recommendation as to whether shareholders should or should not accept the offer. The guidelines have been followed during transactions in recent years involving the acquisition of a strategic interest in Entra.

General meeting

The Board is to arrange for as many shareholders as possible to be able to exercise their rights to participate in Entra's general meetings, and for the General Meeting to be an effective meeting place for shareholders and the Board, through, among other things, ensuring that:

• agenda documents are sufficiently detailed for shareholders to be able to take a position on all matters that are to be considered;
• the deadline for notice of attendance is set as close to the meeting as practically possible and in accordance with the provisions in the Articles of Association;
• the Board and Chair of the Nomination Committee attend the general meeting;
• routines are in place to ensure that the General Meeting can elect an independent person to chair the General Meeting; and the General Meeting is able to vote on each item, hereunder for individual candidates for appointment to the Group's governing bodies.

Shareholders who are not able to be present at a general meeting shall be given the opportunity to vote through a proxy or through electronic participation. Entra is to:

• give information on the procedure for attending by proxy;
• appoint a person who can vote for shareholders as proxy; and
• prepare a proxy form, which as far as possible is laid out in such a way that votes can be given for each matter that is to be considered and candidates who are to be elected.

The entire Board of Entra has not usually attended the Annual General Meeting as the items on the agenda of the Annual General Meeting have not required this. The Chair of the Board is always present, and other Board members participate on an ad-hoc basis. From the Group's perspective, this is sufficient.

Nomination Committee

Article 6 of the Group's Articles of Association states that the company shall have a Nomination Committee composed of up to five members.

The members of the Nomination Committee, including the Chair, are elected by the general meeting for a period of up to two years. Members of the Nomination Committee are to be shareholders or representatives of shareholders and the committee is to be composed so that broad shareholder interests are represented. Efforts are to be made to ensure both sexes is represented in the Nomination Committee.

The Nomination Committee is to give its recommendation to the general meeting regarding election of shareholder-elected members to the Board and the Nomination Committee, as well as the remuneration payable to members of the Board and the Nomination Committee. The remuneration of members of the Nomination Committee is determined by the General Meeting, and the General Meeting may adopt instructions for the Nomination Committee. The Nomination Committee ensures that shareholders' views are taken into account when qualified members are nominated to the governing bodies of Entra, and shareholders are invited to provide input to the Nomination Committee.

On the Annual General Meeting in 2023, Ingebret G. Hisdal, Gisele Marchand and Erik Selin were re-elected as members of Entra's Nomination Committee, with term of office until the Annual General Meeting in 2025. See www.entra.no for more information on the members of the Nomination Committee and the Nomination Committee's contact details.

None of the Nomination Committee's members represents Entra's management or Board. Erik Selin, the CEO and largest shareholder in Fastighets AB Balder is one of three members of the Nomination Committee. Fastighets AB Balder holds shares, in its own name and through nominees, equaling 39.98 per cent of the shares in Entra ASA and thus has negative control. The Nomination Committee is considered to have a composition that reflects the common interest of the community of shareholders.

Auditor

The Audit Committee evaluates and makes a recommendation to the Board and the general meeting regarding the choice of external auditor. When evaluating the auditor, emphasis is placed on the firm's qualifications, capacity and the auditor's fee. The General Meeting elects the Group's auditor. Since 2012, Entra's auditor has been Deloitte. Roger Furholm has been the partner in charge of Deloitte's audit team since 2021.

Plan for the auditor's work

Each year the auditor presents a plan for the execution of the auditor's work to the Audit Committee that in turn informs the Board of its most important aspects.

Auditor's relationship to the Board

The auditor attends all meetings of the Audit Committee, as well as the Board meeting in which the annual report and financial statements are considered and adopted. At the meetings, the auditor goes through any significant changes in the Group's accounting principles, the evaluation of material accounting estimates and any material matters where there has been disagreement between the auditor and the management. There is one annual meeting with the Audit Committee and the auditor, and one meeting with the whole Board and the auditor, which is not attended by representatives from the management.

Auditor's review of the Group's internal controls and financial reporting

When presenting the results of the audit to the Audit Committee, the auditor also presents an assessment of the Group's internal

controls, identified weaknesses and proposals for improvements. The auditor summarises the findings and assessments of the annual audit for Group management and the Audit Committee. Material issues if applicable are summarised for the Board.

Auditor's independence

Each year the auditor's independence is assessed by the Audit Committee. The Board has drawn up guidelines on the engagement of the external auditor, governing what work the auditor can do for the Group in view of the requirement for independ-ence. Any major assignments other than statutory audits are approved by the Audit Committee in advance. Management informs the Audit Committee of all additional services supplied by the external auditor at each Audit Committee meeting.

Audit firm rotation

Entra is required to initiate a tender process for the appointment of the external auditor every 10 years. As a public limited company, Entra is not allowed to have the same external auditor for more than 20 consecutive years. Entra initiated such tender process in 2021 and the Board recommended to the Annual General Meeting in 2022 that Deloitte continued as auditor. The Annual General Meeting voted in favour on the Board's recommendation.

General meeting

The auditor attends the Annual General Meeting for consideration of the annual financial statements. The auditor's fee for the statutory audit and other services is approved by the Annual General Meeting.

Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited (DTTL), its global network of member firms, and their related entities (collectively, the "Deloitte organization"). DTTL ( also referred to as "Deloitte Global") and each of its member firms and related entities are legally separate and independent entities, which cannot obligate or bind each other in respect of third parties. DTTL and each DTTL member firm and related entity is liable only for its own acts and omissions, and not those of each other. DTTL does not provide services to clients. Please see www.deloitte.com/about to learn more. Registrert i Foretaksregisteret Medlemmer av Den norske Revisorforening

Deloitte Norway conducts business through two legally separate and independent limited liability companies; Deloitte AS, providing audit, consulting, financial advisory and risk management services, and Deloitte Advokatfirma AS, providing tax and legal services.

Penneo Dokumentnøkkel: 3ZM4S-ALVOF-TBSUU-F2U20-6E1EI-3ENKL

Organisasjonsnummer: 980 211 282

Deloitte AS Dronning Eufemias gate 14 Postboks 221 Sentrum NO-0103 Oslo Norway Tel: +47 23 27 90 00 Fax: +47 23 27 90 01 www.deloitte.no In relation to the Selected Information, as listed in the above table, the Selected Information needs to be read and understood together with the Applicable Criteria. Inherent limitations of the Selected Information We obtained limited assurance over the preparation of the Selected Information in accordance with the Applicable Criteria. Inherent limitations exist in all assurance engagements. Any internal control structure, no matter how effective, cannot eliminate the possibility that fraud, errors or irregularities may occur and remain undetected and because we use selective testing in our engagement, we cannot guarantee that errors or irregularities, if present, will be detected. The self-defined Applicable Criteria, the nature of the Selected Information, and absence of consistent external standards allow for different, but acceptable, measurement methodologies to be adopted which may result in variances between entities. The adopted measurement methodologies may also impact comparability of the Selected Information reported by different organisations and from year to year within an organisation as methodologies develop. Board of Directors' responsibilities The Board of Directors are responsible for: • Selecting and establishing the Applicable Criteria Our responsibilities We are responsible for: • Planning and performing procedures to obtain sufficient appropriate evidence in order to express an independent limited assurance conclusion on the Selected Information. • Communicating matters that may be relevant to the Selected Information to the appropriate party including identified or suspected non-compliance with laws and regulations, fraud or suspected fraud, and bias in the preparation of the Selected Information. • Reporting our conclusion in the form of an independent limited Assurance Report to the Board of Directors. Our independence and quality management We are independent of the company as required by laws and regulations and the International Ethics Standards Board for Accountants' Code of International Ethics for Professional Accountants (including International Independence Standards) (IESBA Code), and we have fulfilled our other ethical responsibilities in accordance with these requirements. We apply the International Standard on Quality Management (ISQM) 1, Quality Management for Firms that Perform Audits or Reviews of Financial Statements, or Other Assurance or Related Services Engagements, and accordingly, maintain a comprehensive system of quality control including documented policies and procedures regarding

• Preparing, measuring, presenting and reporting the Selected Information in accordance with the Applicable Criteria
• Designing, implementing, and maintaining internal processes and controls over information relevant to the preparation of the Selected Information to ensure that they are free from material misstatement, including whether due to fraud or error.

compliance with ethical requirements, professional standards and applicable legal and regulatory requirements.

Key procedures

We are required to plan and perform our work to address the areas where we have identified that a material misstatement of the description of activities undertaken in respect of the Selected Information is likely to arise. The procedures we performed were based on our professional judgment and included, among others, an assessment of the appropriateness of the Applicable Criteria. In carrying out our Limited assurance

Organisasjonsnummer: 980 211 282

Penneo Dokumentnøkkel: 3ZM4S-ALVOF-TBSUU-F2U20-6E1EI-3ENKL

Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited (DTTL), its global network of member firms, and their related entities (collectively, the "Deloitte organization"). DTTL ( also referred to as "Deloitte Global") and each of its member firms and related entities are legally separate and independent entities, which cannot obligate or bind each other in respect of third parties. DTTL and each DTTL member firm and related entity is liable only for its own acts and omissions, and not those of each other. DTTL does not provide services to clients. Please see www.deloitte.com/about to learn more. Registrert i Foretaksregisteret Medlemmer av Den norske Revisorforening

Deloitte Norway conducts business through two legally separate and independent limited liability companies; Deloitte AS, providing audit, consulting, financial advisory and risk management services, and Deloitte Advokatfirma AS, providing tax and legal services.

Penneo Dokumentnøkkel: 3ZM4S-ALVOF-TBSUU-F2U20-6E1EI-3ENKL

From the Boardroom

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Entra Annual Report 2023

Board of directors

	Ottar Ertzeid	Hege Toft Karlsen	Widar Salbuvik
Board position	Chair	Vice Chair	Board member
Born	1965	1969	1958
Nationality	Norwegian	Norwegian	Norwegian
Gender	Male	Female	Male
Member of the Board since	2022	2021	2016
Independence	Independent	Independent	Independent
Number of shares in Entra	0	0	20 000
Education	Master of Management ("Siviløkonom") from BI Norwegian Business school	Master of Law from the University of Bergen, Attorney at-law and AMP from Harvard Business School	Graduate Programme in Economics and Business Admin istration from the Norwegian School of Economics (NHH)
Executive and non-executive positions	Ertzeid has experience from senior executive positions in DNB such as Head of DNB Markets and Group CFO. He serves as vice chair in Verdipapirenes Sikringsfond, Argentum and Dextra Artes and as board member in Telenor, DNB Livsforsikring and Luminor Bank	Toft Karlsen is CEO of Eika Gruppen and has previously held various senior executive positions in Gjensidige Forsikring ASA. She serves as board member in Vipps Mobilepay and BankID BankAxept	Salbuvik is an independent business advisor and investor and was previously CEO of Pareto AS. He also serves as chair of the board of Alternative Investment Group, Asset Buyout Partners, HR-Gruppen Capus, Sabar, Vindsteg, Breiangen and Havfonn. He is vice chair in Bjørnøen and Kings Bay and board member in Rana Utvikling, and Zeiner Eiendom
Previous experience CEO
Property market and industry
Project development and management
Technology
ESG
Financing and stock market
Transactions and M&A
Accounting
Risk management

Entra Annual Report 2023

Board position	Board member	Board member	Board member, employee representative	Board member, employee representative
Born	1964	1969	1976	1962
Nationality	Swedish	Norwegian	Norwegian	Norwegian
Gender	Male	Female	Female	Male
Member of the Board since	2022	2019	2020	2018
Independence	CEO of Castellum which holds 33.3% of the shares in Entra	Independent	Employee representative	Employee representative
Number of shares in Entra	0	0	454	16 518
Education	Master of Law/LLM University of Stockholm	MSc from the Norwegian University of Science and Technology (NTNU)	Market Communication from the Norwegian Business School (BI)
Executive and non-executive positions	Sjöberg is the CEO of Castellum and has previous experience from executive positions within investment banking and real estate advisory services. He also serves as board member of KlaraBo.	Tepfers serves as co-founder and partner of inFuture. She has previous experience as EVP of Innovation at DnB NOR and Senior VP at DnB eDevelopment. She has been a Lecturer at Norwegian University of Science and Tehcnology (NTNU) and a consultant with Icon Medialab. She serves as member of the board of directors of SpareBank1 SR-Bank, Dyreparken Utvikling and InFuture	Rasmussen is a property manager in Entra and has previously held positions within management, sales and marketing at Kolonihagen Bakeri, HR consultant in Sodexo and sales and marketing in Norpet and Zoomiljø Engros	Nedkvitne is a Category Manager in Entra and has previously held positions as Procurement Manager Manager in Omron Norway, and Project Manager in Siemens

Technology (NTNU)
Tepfers serves as co-founder and partner of inFuture. She has previous experience as EVP of Innovation at DnB NOR and Senior VP at DnB eDevelopment. She has been a Lecturer at Norwegian University of Science and Tehcnology (NTNU) and a consultant with Icon Medialab. She serves as member of the board of directors of SpareBank1 SR-Bank, Dyreparken Utvikling and InFuture

Market Communication from the Norwegian Business School (BI)

Msc degree from University of Glasgow, Business Admin istration candidate from BI Norwegian Business school
Nedkvitne is a Category Manager in Entra and has previously held positions as Procurement Manager in Caverion, Segment Manager in Onninen, European Product Marketing Manager in Omron Europe, Technical Manager in Omron Norway, and Project Manager in Siemens

Previous experience CEO Property market and industry Project development and management Technology ESG Financing and stock market Transactions and M&A Accounting Risk management

Report of the Board of Directors 2023

Entra's operating performance in 2023 was healthy with strong net letting and increased revenues following strong CPI growth and finalisation of several development projects. However, increased financing costs due to higher interest rates reduced the net income from property management by 15 per cent compared to 2022. In addition, negative value changes on the property portfolio resulted in loss after tax of 5 582 million. The Board and management have during 2023 had a particular focus on strengthening the balance sheet and improving the debt metrics through asset divestments and capital discipline. Further, the Board will propose to the Annual General Meeting to be held in April 2024 that no dividends are distributed for 2023.

Entra is one of Norway's leading commercial real estate companies, focusing on large, high-quality, flexible and environment-friendly office properties in clusters around central public transportation hubs in the largest cities in Norway. Entra has its head office in Oslo, where approximately 70 per cent of the assets are located.

Entra had rental income of 3 418 million (3 158 million) in 2023. Net operating income was 3 136 million (2 895 million) and net income from property management was 1 356 million (1 603 million). Net negative value changes were 8 152 million (2 046 million) and loss before tax was 6 868 million (467 million).

Norwegian market data and Entra's experience suggest that the office activity in Norway is only marginally lower than pre-pandemic levels, with lower impact from the work-from-home trend than in several other markets. And, as working from home in Norway primarily occurs on Fridays and Mondays, demand for office space is only marginally impacted as tenants still need to take presence on peak days at the office into account. The demand for centrally located offices particularly in Oslo is strong, and the supply of new office capacity has been limited following reduced start of new office projects during the last years.

Entra's tenant base is solid with a backbone of public tenants, comprising 57 per cent of revenues, and weighted average unexpired terms for the Group's leases of 6.3 years. Entra signed new and renegotiated leases with an annual rent totalling 484 million. Net letting for the year was 59 million.

Entra currently has an ongoing asset divestment program to strengthen the company's balance sheet and improve its debt metrics. During 2023, Entra closed the divestments of Grønland 32 in Drammen, and Akersgata 51, Tordenskiolds gate 6 and Sørkedalsveien 6 in Oslo. In December 2023, Entra signed sales agreements for the property Marken 37 in Bergen and the two properties in Cort Adelers gate 30 in Oslo. Both transactions closed in January 2024. The divestments, with a total value of 4 058 million, were in average done 3.5 per cent below the most recent book values at the time of the transactions. This proves that Entra's assets are attractive for several types of buyers and substantiates the market values as calculated by two external appraisers every quarter.

In February 2024, Entra signed a letter of intent regarding the sale of its entire Trondheim portfolio. The conditions are expected to be lifted and a binding agreement signed in March 2024. The transaction is expected to close in the second quarter of 2024 and will significantly strengthen the balance sheet and improve the debt metrics. The transaction further substantiates Entra's current book values as the asset value of 6.45 billion is one per cent below the book values as of 31 December 2023.

An important lever for securing profitable growth for Entra is through project development, and Entra normally has 5–10 per cent of the portfolio in project development. Project activity is currently lower following an increase in construction costs and capital costs, which has reduced project profitability. However, Entra started the newbuild project Malmskriverveien 16 in Sandvika and phase three of the newbuild project in Holtermanns veg 1–13 in Trondheim with solid yield-on-cost. Further, Entra finalised the redevelopment projects Kongens gate 87 in Trondheim and Stenersgata 1 in Oslo, the refurbishment projects Vahls gate 1–3 in Oslo and Brattørkaia 13B in Trondheim and phase two of the newbuild project in Holtermanns veg 1–13 in Trondheim.

In 2023, the Board has had a particular focus on strengthening the balance sheet and improving the debt metrics through divestments and capital discipline, including the decision to retain cash in the company by not using the authorisation to pay semiannual dividend for the first half of 2023 nor to propose to the General Meeting dividend for the second half of 2023. The Board has worked closely with management to implement necessary measures to mitigate the effects of the turbulent financial markets, to ensure that Entra also in the future has a strong financial position. The Board has further supervised management and monitored the Group's business in accordance with good corporate governance. This includes a focus on organisational development, business strategy, hereunder new and ongoing development projects, HSE, ICT and cyber risks, climate risk, ESG strategy, and compliance.

Statement of comprehensive income, balance sheet and statement of cash flows Results

Rental income was up by 8 per cent from 3 158 million in 2022 to 3 418 million in 2023. The increased rental income is explained in the table below.

All amounts in NOK million

Rental income previous period	3 158
Finalised development projects	202
Vacated properties for redevelopment	-18
CPI growth	183
Like-for-like growth above CPI	-21
Acquisitions	18
Divestments	-102
Other	-2
Rental income	3 418

Net contribution from development projects was 184 million compared to last year. Projects finalised in 2022 and 2023 with most significant impact on the rental income includes Tordenskiolds gate 12 and St. Olavs plass 5 in Oslo and Nygårdsgaten 91 and 93 in Bergen. The most significant properties vacated for redevelopment includes Brynsengfaret 6 and Nedre Vollsgate 11 in Oslo.

Net contribution from development projects was 137 million compared to last year. The completion of the redevelopment projects St. Olavs plass 5, Tordenskiolds gate 12 and Møllendalsveien 6–8 and the newbuild project Nygårdsgaten 91 and 93, and full-year effect of Universitetsgata 2, Universitetsgata 7–9, Kristian Augusts gate 13, Kristian Augusts gate 11, Hagegata 22–24 and Grønland 32 finalised in 2021, contributed a total of 149 million on rental income compared to last year. However, Kongens gate 87 and Brattørkaia 13B in Trondheim and Vahls gate 1–3 in Oslo have been vacated in the same period for redevelopment and has thus reduced the rental income by 12 million.

Nearly all of Entra's lease contracts are 100 per cent linked to positive changes in CPI. The annual adjustment is mostly made on a November to November basis. CPI growth came in at 6.5 per cent with effect from 1 January 2023 and 4.8 per cent with effect on rental income from 1 January 2024.

The acquisition of the Oslo Areal portfolio in January 2022 contributed to an 18 million increase in rental income. Reduction of rental income related to divestments relates to the sale of Sørkedalsveien 6, Grønland 32, Akersgata 51 and Tordenskiolds gate 6.

The occupancy rate was 95.3 per cent (96.5 per cent) as of 31 December 2023. The decrease is to a large extent driven by temporary vacancy in projects finalised in 2023. The market rental income assessment of vacant space as of 31.12.23 was estimated to 183 million on an annualised basis.

Rent (12m rolling) per sqm and occupancy rate

Operating costs amounted to 282 million (263 million) and are split as follows:

All amounts in NOK million	2023	2022
Maintenance	27	22
Tax, leasehold and insurance	72	70
Letting and property administration	103	101
Direct property costs	81	69
Operating costs	282	263

The increase in direct property costs is mainly driven by increased vacancy, partly offset by lower energy prices in 2023. For areas occupied by tenants, the tenants are paying the full energy costs.

As a consequence of the effects explained above, net operating income came in at 3 136 million (2 895 million) in 2023.

Other revenues totalled 92 million (112 million) and other costs amounted to 67 million (85 million) in 2023. Other revenue and other costs mainly consist of additional services provided to tenants and income and costs related to Entra's inventory properties, i.e., the properties at Bryn in Oslo that are expected to be zoned for residential development and subsequently sold to a third party at a predetermined price.

Administrative expenses amounted to 185 million (210 million) in 2023. The reduction is mainly due to 15 million in one-off costs in 2022 in connection with the acquisition of the Oslo Areal portfolio, in addition to lower outcome in performance-related employee pay schemes in 2023.

Entra's share of profit from associates and JVs was 72 million (-37 million) in 2023 and is composed as follows:

All amounts in NOK million	2023	2022
Net income	-47	-44
Changes in market value	-29	-10
Gain on sale of JV	-	6
Tax	4	11
Share of profit from associates and JVs	-72	-37

The decrease in share of profit from associates and JVs is mainly driven by net negative results from OSU as the underlying net income from delivery of residential apartments is offset by realisation of excess value capitalised by Entra in connection with the acquisition of OSU, in addition to a negative value change in the joint venture Galleri Oslo Invest of 29 million.

Net realised financials increased to -1 620 million ( 1 095 million), mainly due to higher average Nibor interest rates on floating rate debt.

Net income came in at 1 284 million (1 579 million). When including only the income from property management in the results from JVs, the net income from property management was 1 356 million (1 603 million) for 2023. Reference is made to the alternative performance measures section of this report for calculation of the net income from property management.

Net income from property management per share Annualised, rolling 4 quarters

Net negative value changes amounted to 8 152 million (2 046 million) for 2023.

The valuation of the property portfolio resulted in a negative value change of 8 148 million (2 519 million) for 2023. The negative value change was predominantly due to an adjustment of the appraisers' estimated required rate of return from 4.10 per cent at 31.12.22 to 4.90 per cent at 31.12.23, with some offsetting effects on the value changes from other factors such as market rent expectations, reduced risk in the project portfolio, and letting effects.Net changes in the value of financial instruments totalled -4 million (473 million) in 2023. The effect of higher long-term interest rates contributed with a positive effect of 34 million, offset by negative value change of 38 million on investments in shares.

Tax payable was 13 million (31 million) in 2023, related to the partly owned entity Papirbredden in Drammen. The change in deferred tax was 1 299 million (-71 million). The effective tax rate is less than the Norwegian corporate income tax rate of 22 per cent due to divestment of properties without tax effect. Further, no reduction in deferred tax liability is recognised on negative value changes below cost for acquisitions of investment properties accounted for as asset acquisitions.

Loss before tax was 6 868 million (467 million) whereas loss after tax was 5 582 million (569 million). Total comprehensive loss for the period was 5 588 million (557million).

Balance sheet

The Group's assets amounted to 73 336 million (82 162 million) as of 31.12.23. Of this, investment properties, including investment properties held for sale, amounted to 69 490 million (78 634 million). The decrease is mainly driven by divestment of properties and negative value changes.

Inventory properties of 481 million (472 million) at the end of the quarter relates to Entra's properties at Bryn in Oslo that are expected to be zoned for residential development and subsequently sold to a third party at a predetermined price.

Borrowings were 39 115 million (40 515 million) as of 31.12.23, of which 22 370 million were bank financing and 16 744 million were bonds outstanding. Nominal interest-bearing debt was 39 463 million (40 804 million) and net nominal interest-bearing debt after deduction of bank deposits was 39 291 million (40 578 million).

Book equity totalled 25 555 million (31 671 million). As at 31.12.23, EPRA NRV per share was 167 (207) and EPRA NTA 165 (205).

Cash flows

Net cash flows from operating activities came to 1 378 million (1 509 million) in 2023. The decrease was mainly driven by the reduction in net income from property management.

The net cash flows from investment activities were 562 million (-14 459 million). Entra did no acquisitions of investment properties in 2023, while acquisitions accounted for cash outflows of 13 465 million in 2022. Proceeds from property transactions of 2 372 million (1 824 million) is related to the divestments of Grønland 32, Akersgata 51, Tordenskiolds gate 6 and Sørkedalsveien 6. Entra provided 434 million of the asset value for Akersgata 51

and Sørkedalsveien 6 as seller credits with maturities in 2024. The cash effect from investment in and upgrading of investment properties was -1 765 million (-2 745 million).

Net cash flows from financing activities were -1 995 million (12 867 million) in 2023.

Net repayment of interest-bearing debt was 1 464 million (net proceeds of 13 901 million) in 2023. During 2023, Entra had a net decrease in commercial paper financing of 820 million, bond financing of 602 million and bank financing of 42 million.

The dividends paid of 455 million (947 million) in May 2023 are dividends for the second half of 2022. Given the Board's focus is to strengthen the Entra's balance sheet, the Board decided not to use the authorisation to pay semi-annual dividend for the first half of 2023.

Dividends paid to non-controlling interests were 70 million (82 million) in 2023. The dividends were paid to the non-controlling interests in Entra OPF Utvikling and Papirbredden Eiendom.

The net change in cash and cash equivalents was -54 million (-83 million) for 2023.

Going concern

The financial statements have been prepared based on the going concern assumption, and the Board confirms that this assumption is valid. The company is in a healthy financial position and has good liquidity.

Financial structure and exposure

Entra has a well-staggered debt maturity profile and a diversified financing mix with an ample supply of unutilized credit facilities, that will be further improved following the planned divestment of the Trondheim portfolio. The Group's financing mix comprises both bank credit facilities and capital markets instruments, with no exotic debt instruments.

The Group has historically had a conservative financial strategy which has secured financial flexibility. However, with the demanding market situation within the real estate sector, with rising interest rates and property yields, Entra has initiated measures to strengthen the balance sheet and improve debt metrics mainly by divestment of properties, capital discipline within project development, and proposing to not pay dividends for 2023.

Moody's assigned Entra a Baa3 credit rating with stable outlook in November. The divestments closed so far in 2024 and the sale of the Trondheim portfolio will strengthen the balance sheet and the debt metrics. Entra's credit quality and strong and long-lasting relationship with its five Nordic partner banks, as evidenced by Entra extending existing bank facilities of 13 billion and getting 5 billion of new bank credit facilities during the last 1.5 years, is expected to contribute to competitive access to funding also going forward.

As a general principle, Entra's financing is primarily based on negative pledge of the Group's assets, which enables a broad and flexible financing mix.

The debt capital markets funding accounted for 43 per cent (45 per cent) of the total nominal interest-bearing debt, with bank funding representing the remaining part of the financing mix. As of 31 December 2023, 47 per cent of Entra's financing was "green" according to the relevant industry standards.

The Group's liquid assets amounted to 171 million (226 million) as of 31 December 2023. In addition, the Group had committed, unutilised credit facilities totalling 6 473 million (6 460 million). The Group's average nominal interest rate as of 31 December 2023 was 4.29 per cent (3.70 per cent), effective interest rate of the debt portfolio was 4.44 per cent (3.83 per cent). 58 per cent (54.7 per cent) of the Group's total interest-bearing debt was subject to fixed interest rates.

Entra's EPRA LTV increased to 57.2 per cent (52.8 per cent) and the effective leverage, which is the LTV metric used for Moody's credit rating, increased to 54.0 per cent (50.1 per cent) at year-end 2023. Entra's interest coverage ratio decreased to 1.84 (2.48). Both debt metrics are expected to be improved following the divestments completed so far in 2024 and ongoing transactions.

Environment

To operate its business in a sustainable manner is of key strategic importance to Entra. Entra's ESG report can be found on pages 46–121.

The Sustainable Finance Act, implementing the EU Taxonomy Regulation, came into force in Norway from 1 January 2023. As a company with less than 500 employees, Entra is not yet covered by the EU Taxonomy Regulation. Entra has however prepared a voluntary EU Taxonomy report for 2023.

The relevant activities for Entra are acquisition and ownership of buildings, renovation of existing buildings and construction of new buildings. 100 per cent of Entra's revenues are EU Taxonomy eligible, of which 47 per cent is aligned. 24 per cent of eligible CapEx and 21 per cent of eligible OpEx is EU Taxonomy aligned. Entra's EU Taxonomy report can be found on pages 219–227.

The ESG report is further compiled and aligned using three reporting frameworks: The EPRA Best Practices Recommendations on Sustainability Reporting, the Global Reporting Initiative Standards (GRI) and the Task Force of Climate-related Financial Disclosures (TCFD). Entra has also reviewed the UN Sustainable Development Goals for its business.

Social

It should be safe to work, visit and live in and around Entra's properties and development projects. Entra's goal of being a zero-harm workplace for people, the environment and society underpins all the Group's health, safety and environmental work. HSE is an important focus area for the Board. The Board is satisfied with the dedicated HSE work in the organisation and the initiatives taken to prevent serious incidents.

In 2023, Entra had no incidents in the management portfolio which led to an injury involving sick leave absence, but there were three injuries involving sick leave absence of more than 16 days in Entra's construction projects. This is a decrease from 2022, when Entra had five injuries in Entra's construction projects. The Board will continue to follow up the development in injuries and HSE risks in 2024.

Absence due to illness amongst Entra's employees was 2.6 per cent in 2023, compared to 2.9 per cent in 2022. This is low compared to a country average of 7.01 . Cooperation with the employee organisations is good and constructive and yields a positive contribution to the operation of the Group.

Entra aims to be an attractive workplace where all employees feel that they are respected for who they are, regardless of gender, age, ethnicity, personal beliefs, education, sexual orientation and nationality. The Board values the benefits of diversity, and this is incorporated as a goal in Entra's recruitment procedures and is reflected in the composition of management. Information on Entra's efforts to increase diversity and reporting pursuant to the Equality and Anti-Discrimination Act is included in the ESG report.

At 31 December 2023, 38 per cent (36 per cent) of the Group's 200 employees were women and 62 per cent (64 per cent) were men. Of the employees in managerial positions, 40 per cent were women. Three out of seven of the Senior Executives were women, and three of seven of the Board members were women.

Entra's statement according to the Norwegian Transparency Act is published on Entra's web pages.

¹ Source: Statistics Norway: Sickness absence Q4 2023

Governance

Entra's Board has approved guidelines for good corporate governance in accordance with the Norwegian Code of Practice for Corporate Governance issued by the Norwegian Corporate Governance Board (NUES).

The Governance section of this annual report on pages 105–118 provides a more detailed description of the corporate governance principles and reporting pursuant to Section 3-3b of the Norwegian Accounting Act.

Entra has directors and officers liability insurance for the Group and subsidiaries. The insurance covers the Board's and the management's legal personal liability for financial damage caused by the performance of their duties.

Risks associated with the business

The Board assesses risk on an ongoing basis, primarily through a semi-annual comprehensive review of the groups risk maps, which includes assessments of all risk factors in collaboration with all levels of the organization. Each risk factor is described and presented with the possible negative outcome given an increased probability of a situation to occur. The risk assessment also includes a broad description on how Entra monitors and work to minimize the risks, as well as an assessment of the changes in the last period on each risk factor.

Entra's main risk factors, both financial and non-financial, are described on pages 30–43.

Shareholder information

Entra's share capital is NOK 182 132 055 divided into 182 132 055 shares, with each share having a nominal value of NOK 1.00. All shares have been issued in accordance with the Norwegian Public Limited Companies Act and are fully paid. Outstanding shares at 31 December 2023 totalled 182 132 055 as Entra held no treasury shares. Entra has one class of shares. All shares provide equal rights, including the right to any dividends. Each of the shares carries one vote. There are no share options or other rights to subscribe for or acquire shares issued by Entra.

As of 31 December 2023, Entra had 4 947 shareholders. Norwegian investors held 12 per cent of the share capital and international investors 88 per cent. The 10 largest shareholders as registered in Euronext VPS on 31 December 2023 were:

Shareholder	Shareholding %
Castellum	33.3%
Fastighets AB BalderFastighets AB Balder	27.5%
Skandinaviska Enskilda Banken (Nominee)	6.9%
Skandinaviska Enskilda Banken	2.1%
Danske Bank (Nominee)	1.4%
Folketrygdfondet	1.3%
Skandinaviska Enskilda Banken	1.2%
State Street Bank and Trust Comp (Nominee)	1.1%
Goldman Sachs International (Nominee)	1.1%
Danske Invest Norske Instit. II.	1.1%
Sum 10 largest shareholders	77.0%

As of 31 December 2023, Fastighets AB Balder held shares, in its own name and through nominees, equalling 39.98 per cent of the shares in Entra ASA and thus had negative control. Castellum AB held shares equalling 33.32 per cent of the shares in Entra.

Profit for the year and allocations

In 2023, the parent company Entra ASA made a loss after tax of 1 352 million (profit of 434 million), as set out in the financial statements prepared in accordance with the Norwegian Accounting Act and Norwegian generally accepted accounting principles.

Given the current situation in the property and interest rate markets, the Board's focus is to strengthen the company's balance sheet. Consequently, the Board has decided to not propose to distribute a semi-annual dividend for the second half of 2023. Entra's dividend policy remains unchanged.

Outlook

It is still difficult to make predictions of the actual impact on the global economy from the geopolitical uncertainty and the rapid increase in inflation and interest rates observed in recent years. The strong fiscal position of Norway, with an all-time high sovereign wealth fund has over time proved to smooth business cycles and stabilise the performance of the Norwegian economy.

Norwegian market data and Entra's experience suggest only marginal impact on demand for office space from the work-fromhome trend. This is in contrast to what is reported in several other countries, particularly in the US. However, also in these countries

there are recent signs that companies to an increasing extent want their employees back into the office. Norwegian employers are seeking attractive, central locations and reshaping offices to become more inviting social spaces that encourage face-to-face collaboration, creativity and serendipitous interactions, which will benefit office property owners like Entra.

The demand for offices particularly in Oslo is still strong, and the supply of new office capacity is limited following reduced start of new office projects during the last years. Entra is thus well positioned in a solid Norwegian economy and a property market with low office vacancy rates. And, as proven during the pandemic, Entra's attractive and high-quality portfolio with solid tenants on long leases provide a stable and solid fundament for the company's future revenues and cash flow.

The Central Bank of Norway was one of the first central banks to raise policy rates and also to signal that they now have reached peak levels in this business cycle. Nevertheless, the increased interest rates and credit margins impact capital intensive industries like the real estate industry, and Entra's cost of debt has increased significantly in recent years but is expected to decline in 2024.

The value of Entra's property portfolio has as of 31 December 2023 decreased by around 16 per cent since peak valuation in Q1 2022, and the blended portfolio yield has expanded with 110 basis points, and approximately 135 basis points taking into effect the higher-than-expected indexation. Entra's lease contracts were adjusted with 2023 CPI indexation of approximately 4.8 per cent

from 1 January 2024. The letting market has seen strong growth in recent years and is expected to remain in positive territory also in the years to come.

During 2022 and 2023, Entra has divested 11 assets in Oslo, Bergen and Drammen for a total value of around 5 billion. The divestments were done in line with the most recent book values at the time of the transactions. This proves that Entra's assets are attractive for several types of buyers and substantiates the market values as calculated by two external appraisers every quarter. Entra's current book values were further substantiated by the letter of intent signed in February 2024 for divesting 13 assets in Trondheim for 6.45 billion, which is one per cent below book values as of 31 December 2023. A final agreement is expected to be signed in March with closing in Q2 2024. The divestment of the Trondheim portfolio will crystalise Entra's position as a premium office provider with focus on the Greater Oslo area and Bergen. Entra will continue to pursue some level of asset rotation and has several active divestment processes ongoing.

Sustainability has been an integrated part of Entra's business model for at least 15 years. Entra is working actively to reduce the CO2 footprint of its property portfolio and has a firm ambition to become a Net Zero Carbon company by 2030. A significant part of Entra's modern and energy efficient management portfolio is currently, or is in the process of being, BREEAM certified, and Entra is well positioned for the upcoming EU Taxonomy and EPBD (Energy Performance of Buildings Directive) regulations.

From the Boardroom | Board of directors report

Moody's assigned Entra a Baa3 credit rating with stable outlook in November, and the divestment of the Trondheim portfolio will strengthen the balance sheet and the debt metrics. Entra's credit quality and strong and long-lasting relationship with its five Nordic partner banks, as evidenced by Entra's extending existing bank facilities of 13 billion and getting 5 billion of new bank credit facilities during the last 1.5 years, is expected to contribute to competitive access to funding also going forward. Entra's wellstaggered debt maturity profile with very limited near to medium term debt maturities will be further improved when the proceeds from divestments are received during 2024. Combined with an already ample supply of unutilised credit facilities, Entra will be independent of the bond market for more than five years.

Entra will continue to optimise its high-quality management and project portfolio through asset rotations and disciplined capital allocation. Entra will focus on its recognised role as an urban developer and leverage its competitive advantages and ESG leadership.

Uncertainty will likely prevail also in the time to come. However, Entra, operating in a strong Norwegian economy and with modern, flexible and environmentally friendly assets located in attractive clusters near public transportation hubs, a solid tenant base with long lease contracts, an already strong financial position further strengthened by divestments still to be closed, and an attractive project pipeline for future growth, has a proven and resilient business profile that is well positioned for the future.

Statement from the Board and the CEO

On this date, the Board of Directors and the CEO have considered and approved the annual report, including the annual financial statements for Entra ASA, the Group and the parent company, for the 2023 financial year and as of 31 December 2023.

We declare to the best of our knowledge that

• the consolidated financial statements for the Group for 2023 have been prepared in accordance with IFRS Accounting Standards and IFRICs as adopted by the European Union, and additional Norwegian disclosure requirements in the Norwegian Accounting Act, and that
• the financial statements for the parent company for 2023 have been prepared in accordance with the Norwegian Accounting Act and generally accepted accounting practice in Norway, and that
• the information presented in the financial statements gives a true and fair view of the assets, liabilities, financial position and results for the Group and the parent company for period as a whole, and that
• the Board of Directors' Report includes a true and fair review of the development, performance and financial position of the Group and the parent company, together with a description of the principal risks and uncertainties that they face.

Financial statements

Consolidated financial statements	136
Parent company financial statements	179
Auditor's report	196
Alternative performance measures	200

Consolidated financial statements Entra ASA

Statement of comprehensive income	137
Balance sheet	138
Statement of changes in equity	139
Statement of cash flows	140

Notes		141
	General information
Note 01	Organisation	141
Note 02	Accounting principles	141
Performance
Note 03	Segment information	143
Note 04	Rental income	145
Note 05	Operating costs	146
Note 06	Other revenues	146
Note 07	Other costs	147
Note 08	Administrative costs	147
Note 09	Personnel costs	147
Note 10	Net realised financials	149
Note 11	Income tax	149
Note 12	Earnings per share	151
Note 13	Dividends	151

Operating assets and liabilties

	Note 14	Investment properties	152
	Note 15	Other non-current assets	157
	Note 16	Inventory properties	157
	Note 17	Trade receivables	158
	Note 18	Other current assets	158
	Note 19	Pensions	159
	Note 20	Other non-current liabilities	160
	Note 21	Other current liabilities	161
	Financial assets, liabilities and risk management
	Note 22	Financial instruments	162
	Note 23	Financial risk management	164
	Note 24	Interest-bearing liabilities	167
	Note 25	Cash and bank deposits	169
	Note 26	Share capital and shareholder information	170
Group composition and consolidation
	Note 27	Consolidation and subsidiaries	171
	Note 28	Associates and jointly controlled entites	174
Other information
	Note 29	Related parties	177
	Note 30	Auditor's fee	178
	Note 31	Subsequent events	178

Statement of comprehensive income

Note Rental income 3, 4	2023 3 418	2022
		3 158
Operating costs 5, 9	-282	-263
Net operating income	3 136	2 895
Other revenues 6	92	112
Other costs 7	-67	-85
Administrative costs 8, 9	-185	-210
Share of profit from associates and JVs 28	-72	-37
Net realised financials 10	-1 620	-1 095
Net income	1 284	1 579
– of which net income from property management	1 356	1 603
Changes in value of investment properties 14	-8 148	-2 519
Changes in value of financial instruments 22	-4	473
Profit before tax	-6 868	-467
Tax payable 11	-13	-31
Change in deferred tax 11	1 299	-71
Profit for the year	-5 582	-569
Actuarial gains and losses not to be reclassified 19	-7	16
Change in deferred tax on comprehensive income 11	2	-4
Total comprehensive income for the year	-5 588	-557

	Note	2023	2022
Profit attributable to:
Equity holders of the Company		-5 449	-634
Non-controlling interest		-133	65
Total comprehensive income attributable to:
Equity holders of the Company		-5 455	-621
Non-controlling interest		-133	65
Earnings per share
Continuing operations
Basic=Diluted (NOK)	12	-29.95	-3.41

Notes 1 through to 31 form an integral part of the consolidated financial statements.

Balance sheet

NOK million
	Note	31.12.2023	31.12.2022
ASSETS
Non-current assets
Investment properties	14	68 470	77 404
Investments in associates and JVs	28	859	891
Financial derivatives	22	705	698
Other non-current assets	15	611	661
Total non-current assets		70 644	79 654
Current assets
Inventory properties	16	481	472
Trade receivables	17	88	56
Other current assets	18	932	525
Cash and bank deposits	25	171	226
Total current assets		1 672	1 278
Investment properties held for sale	14	1 020	1 230
Total assets		73 336	82 162

Notes 1 through to 31 form an integral part of the consolidated financial statements.

Oslo, 15 March 2024 The Board of Entra ASA

		Note	31.12.2023	31.12.2022
EQUITY AND LIABILITIES
Equity
Shareholders' equity		13, 26	23 779	29 693
Non-controlling interests		27	1 775	1 978
Total equity			25 555	31 671
Liabilities Borrowings		23, 24	38 156	38 091
Deferred tax liability		11	6 896	8 216
Financial derivatives		22	283	310
Other non-current liabilities		20	636	673
Total non-current liabilities			45 971	47 291
Borrowings		23, 24	958	2 423
Trade payables			392	355
Other current liabilities		21	460	421
Total current liabilities			1 811	3 200
Total liabilities			47 782	50 490
Total equity and liabilities			73 336	82 162
Widar Salbuvik	Camilla AC Tepfers		Erling Nedkvitne
Board member	Board member		Board member
Joacim Sjöberg	Marit Rasmussen		Sonja Horn

Ottar Ertzeid
Chair of the Board

Board member

This document is signed electronically Hege Toft Karlsen Vice Chair

ARTBOX REPORT TEMPLATE ALL RIGHTS RESERVED © ARTBOX AS Go back

CEO

Statement of changes in equity

NOK million

	Share capital		Treasury shares Other paid-in capital	Retained earnings	Non- controlling interest	Total equity
Equity 31.12.2021	182	-	3 524	27 557	2 308	33 571
Profit for period				-634	65	-569
Other comprehensive income				12		12
Dividend				-947	-76	-1 023
Divestment of subsidiary with non-controlling interests					-318	-318
Net equity effect of employee share schemes				-1		-1
Equity 31.12.2022	182	-	3 524	25 987	1 978	31 671
Profit for period				-5 449	-133	-5 582
Other comprehensive income				-6		-6
Dividend				-455	-70	-526
Net equity effect of employee share schemes				-3		-3
Equity 31.12.2023	182	-	3 524	20 074	1 775	25 555

Notes 1 through to 31 form an integral part of the consolidated financial statements.

Statement of cash flows

NOK million
	Note	2023	2022
Profit before tax		-6 868	-467
Income tax paid	11	-15	-43
Net expensed interest and fees on loans and leases	10	1 620	1 096
Net interest and fees paid on loans and leases		-1 540	-985
Share of profit from associates and jointly controlled entities	28	72	37
Depreciation and amortisation		4	4
Changes in value of investment properties	14	8 148	2 519
Changes in value of financial instruments	22	4	-473
Changes in working capital		-48	-179
Net cash flows from operating activities		1 378	1 509
Proceeds from property transactions		2 372	1 824
Acquisition of investment properties	14	-	-13 465
Investment in and upgrading of investment properties	12	-1 765	-2 745
Investment in inventory properties	16	-7	-4
Acquisition of other non-current assets	15	-4	-5
Net payment financial assets		10	-23
Net payment of loans to associates and JVs		-28	-3
Investments in associates and JVs	28	-19	-166
Dividends from associates and JVs	28	3	128
Net cash flows from investment activities		562	-14 459

	Note	2023	2022
Proceeds interest-bearing debt	24	13 269	30 900
Repayment interest-bearing debt	24	-14 733	-16 999
Repayment of lease liabilities	20	-5	-5
Dividends paid	13	-455	-947
Dividends paid to non-controlling interests		-70	-82
Net cash flows from financing activities		-1 995	12 867
Change in cash and cash equivalents		-54	-83
Cash and cash equivalents at beginning of period		226	309
Cash and cash equivalents at end of period		171	226

Notes 1 through to 31 form an integral part of the consolidated financial statements.

Notes

Note 01 Organisation

General information

Entra ASA ("the Company") is listed on Oslo Stock Exchange with the ticker ENTRA. The Company and its subsidiaries (together "Entra" or "the Group") is one of Norway's leading commercial real estate companies, focusing on large, highquality, flexible and environment-friendly office properties in clusters around central public transportation hubs in the largest cities in Norway. The Group owns and manages 99 (102) properties with a total area of approximately 1.6 million (1.6 million) square metres. As of 31.12.23 the real estate portfolio had a market value of around 70 billion (79 billion). The public sector represents 56 per cent (56 per cent) of the total customer portfolio. Entra has its head office in Oslo.

The consolidated financial statements were adopted by the Company's Board on 15 March 2024.

Note 02 Accounting principles

Accounting principles

The most important accounting principles applied in the preparation of the annual financial statements are described below and incorporated in the relevant notes. These principles are applied in the same way for all periods presented, unless otherwise indicated in the description.

Basic principles

The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) and interpretations by the IFRS Interpretation Committee (IFRIC), as adopted by the EU, as well as additional Norwegian reporting requirements pursuant to the Norwegian Accounting Act.

The consolidated financial statements have been prepared on the basis of the historical cost principle, with the following modifications: investment properties as well as certain financial instruments have been measured at fair value. Financial instruments measured at fair value include the Group's derivatives.

Presenting the accounts in accordance with IFRS Accounting Standards requires the management to make certain assessments and assumptions. The application of the Group's accounting principles also requires management to exercise judgement. Estimates and subjective judgements are based on past experience and other factors that are considered appropriate. Actual results may deviate from these estimates.

Estimates and underlying assumptions are continuously reassessed. Changes in accounting estimates are recognised in the period in which the changes occur if they apply only to that period. If the changes also apply to future periods, the impact is distributed over the current and future periods. Details on material items in the financial statements that are based on a significant amount of subjective judgement are described in respective notes.

The consolidated financial statements have been presented on the assumption of the Group being a going concern.

Currency

The Group's presentation currency is NOK. This is also the functional currency of the parent company and all its subsidiaries.

Foreign currency transactions are translated to NOK at the exchange rate on the date of the transaction. Monetary foreign currency items are translated to NOK at the exchange rate on the balance sheet date. Non-monetary items that are measured at cost in a foreign currency are translated to NOK using the exchange rate on the transaction date. Non-monetary items that are measured at fair value in a foreign currency are translated to NOK using the exchange rate on the balance sheet date. Exchange rate fluctuations are recognised in profit or loss as they arise.

Statement of cash flows

The statement of cash flows is prepared using the indirect method. This means that the statement is based on the Group's profit before tax in order to present cash flows from operating, investing and financing activities respectively. Interest on leases and net interest and fees paid on loans are presented as operating cash flows. Dividends paid to shareholders and non-controlling interests are presented under financing activities.

Application of new and revised IFRS Accounting Standards

New and amended standards adopted by the Group

The accounting policies adopted, and methods of computation followed are consistent with those of the previous financial year, except for items disclosed below.

Amendments to IAS 1 Presentation of Financial Statements and IFRS Practice Statement 2: Disclosure of Accounting Policies

The amendments require the disclosure of "material", rather than "significant", accounting policies. The amendments have had an impact on the Group's disclosures of accounting policies, but not on the measurement, recognition or presentation of any items in the Group's financial statements.

New standards and interpretations not yet adopted by the Group

None of the new accounting standards or interpretations that have not yet come into effect are expected to have a significant impact on the Group's consolidated financial statements.

Significant accounting policies

Accounting policies according to the list below are included in the relevant notes to the Consolidated Financial Statements:

Accounting policies	Note
Segment information	Note 3
Rental income	Note 4
Operating costs	Note 5
Other revenues	Note 6
Share-based payments	Note 9
Share discounts	Note 9
Income tax	Note 11
Dividend	Note 13
Investment properties	Note 14
Other assets	Note 15 and 18
Inventory properties	Note 16
Trade receivables	Note 17
Pensions	Note 19
Leases – the Group as a lessee	Note 20
Provisions	Note 21
Financial instruments	Note 22
Interest-bearing liabilities	Note 24
Cash and bank deposits	Note 25
Consolidation	Note 27
Joint arrangements and associates	Note 28

Key sources of estimation uncertainty and critical judgements

The preparation of the Group's consolidated financial statements requires management to make a number of judgments, estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses. The estimates and underlying assumptions are based on historical experience and various other factors that are considered to be reasonable under the circumstances. Actual results may differ from these estimates. The key sources of estimation uncertainty and assumptions that have a significant inherent risk of causing a material adjustment to the carrying amounts of assets and liabilities are described in the following notes:

Note 14 – Fair value of investment properties Note 22 – Fair value of financial derivatives

The most critical judgments in applying accounting policies are described in the following notes:

Note 14 – Classes of investment properties Note 14 – Presentation of acquisitions Note 27 – Consolidation of entity in which the Group holds less than a majority of shares

Consideration of climate-related risks

Climate-related risk can represent financial risk that must be reflected in the financial statements. In preparing the financial statements, the impact of climate-relates risks has been considered, both the impact of climate change on the Group and the impact the Group's activities has on the climate. Further information is presented in the ESG section and the risk management section this Annual Report.

Whilst noting the Group's commitment to sustainability, it's Entra assessment that physical climate risks not are expected to have a material impact on the Group's cashflows in the short to medium term. There has further not been a material impact on the financial reporting estimation uncertainty and critical judgements, which include physical climate and transitional risk assessments conducted by the Group. The area in Entra's financial statements where climate-related risks may have the most material impact is on the valuation of the Group's investment properties, as the increased requirements for environmental qualities in the property portfolio may require increased construction costs. Refer to page 155 for further information on Climate-related assessments in valuation.

Note 03 Segment information

Accounting policies

Operating segments are reported in the same way as in internal reports to the Group's highest decision-making authority. The Group's highest decision-making authority, which is responsible for allocating resources and assessing the profitability of the operating segments, has been identified as the Board of Directors and the CEO.

The Group has one main operational unit, led by the COO. The property portfolio is divided into six different geographic areas in Oslo, Bergen, Trondheim, Sandvika, Drammen and Stavanger, with management teams monitoring and following upon each area. The geographic units are supported by a Market and Property Development division and a Project Development division. In addition, Entra has group and support functions within accounting, finance, legal, investment, ICT, procurement, communication and HR.

The geographic areas do not have their own profit responsibility. The geographical areas are instead followed up on economical and non-economical key figures ("key performance indicators"). These key figures are analysed and reported by geographic area to the chief operating decision maker, that is the Board and CEO, for the purpose of resource allocation and assessment of segment performance. Hence, the Group report the segment information based upon these six geographic areas.

	No. of properties	Area	Occupancy	Wault	Share of public sector tenants	Market value		12 month rolling rent		Net yield	Market rent
31.12.2023	(#)	(sqm)	(%)	(yrs)	(%)	(NOKm)	(NOK/sqm)	(NOKm)	(NOK/sqm)	(%)	(NOKm)	(NOK/sqm)
Oslo	50	800 055	94.7	6.5	50	45 661	57 073	2 303	2 878	4.73	2 550	3 187
Bergen	10	143 646	96.9	4.4	66	6 334	44 096	337	2 343	4.90	404	2 811
Trondheim	13	187 474	94.8	4.9	77	6 603	35 220	407	2 170	5.74	410	2 188
Sandvika	9	129 255	96.4	5.8	45	4 251	32 885	260	2 010	5.79	260	2 012
Drammen	6	60 934	97.5	8.4	93	2 120	34 790	131	2 142	5.75	126	2 060
Stavanger	2	54 215	99.5	7.0	98	1 466	27 043	98	1 815	6.16	104	1 919
Management portfolio	90	1 375 579	95.3	6.1	57	66 435	48 296	3 535	2 570	4.98	3 853	2 801
Project portfolio	5	79 883		11.0	24	2 446	30 625
Zoned development sites	4	103 187		0.5		639	6 194
Property portfolio	99	1 558 649		6.3	56	69 520	44 603

The calculation of net yield is based on the appraisers' assumption of ownership costs, which at 31.12.23 corresponds to 5.9 per cent of market rent.

The market value of the property portfolio is adjusted for balance sheet items of 30 million (-62 million), including prepayments from the tenants and other accruals, and investment properties held for sale of 1 020 million (1 230 million). As such, the carrying value of investment properties as of 31.12.23 is 68 470 million (77 404 million). Refer to Note 14 for further information.

	No. of properties	Area	Occupancy	Wault	Share of public sector tenants	Market value		12 month rolling rent		Net yield	Market rent
31.12.2022	(#)	(sqm)	(%)	(yrs)	(%)	(NOKm)	(NOK/sqm)	(NOKm)	(NOK/sqm)	(%)	(NOKm)	(NOK/sqm)
Oslo	52	846 196	96.1	6.1	51	52 683	62 259	2 270	2 683	4.01	2 422	2 862
Bergen	10	141 951	96.4	4.6	85	6 931	48 824	332	2 336	4.37	368	2 593
Trondheim	10	152 190	97.1	5.6	61	5 591	36 735	322	2 119	5.39	301	1 979
Sandvika	10	132 785	98.3	6.2	46	4 612	34 729	264	1 985	5.42	244	1 837
Drammen	7	68 660	95.8	9.3	98	2 591	37 734	139	2 019	4.97	131	1 901
Stavanger	2	54 216	99.4	7.6	94	1 567	28 905	94	1 739	5.46	101	1 862
Management portfolio	91	1 395 998	96.5	6.1	58	73 974	52 990	3 421	2 450	4.30	3 567	2 555
Project portfolio	8	110 040		10.0	37	4 031	36 636
Zoned development sites	3	89 587		0.5		566	6 315
Property portfolio	102	1 595 625		6.3	56	78 571	49 242

Note 04 Rental income

Accounting policies

The Group enters into lease agreements as a lessor with respect to its investment properties. Lease contracts where a significant proportion of the risks and benefits of ownership remain with Entra are classified as operating leases. Revenue recognition under a lease commences at the commencement of the lease. Lease payments are recognised on a straight-line basis over the duration of the lease.

In negotiating a new or renewed operating lease, Entra may provide incentives for the lessee to enter into the agreement. Examples of such incentives are rent exemptions or the reimbursement or assumption by the lessor of costs of the lessee (such as relocation costs, leasehold improvement and costs associated with a pre-existing lease commitment of the lessee). Entra recognises the aggregate benefit of incentives as a reduction of rental income over the lease on a straight-line basis. The accrued loss of rent or costs is presented under other assets. Payments relating to the termination of contracts are recognised in the period from the contract being entered into until the date of its termination. Rental income encompasses the fair value of the payments received for services that fall within the ordinary activities of the company. Rental income is presented net of VAT, rebates and discounts.

The Group mainly enters into lease contracts with fixed rent for the lease of property. Lease payments for the majority 98 per cent of the contracts include 100 per cent CPI adjustments.

NOK million	2023	2022
Fixed rental income	3 367	3 110
Turnover-based rental income	51	48
Total rental income	3 418	3 158

The Group's 20 largest tenants accounts for approximately 45 per cent of the Group's total rental income. The Group does not have any tenants contributing to more than 10 per cent of the Group's rental income. On account of the high occupancy rate, the high proportion of public sector tenants and the relatively long average remaining contract term, the risk to the Group's cash flow is considered low.

THE GROUP'S FUTURE ACCUMULATED RENT FROM NON-TERMINABLE OPERATIONAL LEASE CONTRACTS AT 31.12.

NOK million	2023	2022
≤ 1 year	3 612	3 168
1 year < 2 years	3 293	2 799
2 year < 3 years	2 913	2 497
3 year < 4 years	2 577	2 230
4 year < 5 years	2 362	2 026
≥ 5 years	9 200	9 400
Total 1	23 957	22 120

THE GROUP'S LEASE CONTRACTS AT 31.12 HAVE THE FOLLOWING MATURITY STRUCTURE MEASURED IN ANNUAL RENT1

	2023			2022
Remaining term	No. of contracts	Contract Rent (NOKm)	Contract rent, %	No. of contracts	Contract Rent (NOKm)	Contract rent, %
≤ 1 year	298	319	9	340	367	10
1 year < 5 years	348	1 618	45	284	1 142	32
5 years < 10 years	115	1 253	35	149	1 385	39
≥ 10 years	28	422	12	46	642	18
Total	789	3 612	100	819	3 535	100

¹ The contract rent is stated as the annualised contractual rent in signed lease agreements, and is therefore not reconcilable with the rental income for the year for accounting purposes nor the 12 month rolling rent.

The table above shows the remaining non-terminable contractual rent for current leases without taking into account the impact of any options.

Note 05 Operating costs

Accounting policies

Costs for shared services provided to the tenants by external parties do not affect the result beyond costs for vacant premises and an administrative premium recognised as rental income. Shared costs are charged to tenants and presented net with payments on account from tenants. Shared costs are settled after the balance sheet date.

NOK million	2023	2022
Maintenance	27	22
Tax, leasehold, insurance	72	70
Letting and property administration	103	101
Direct property costs	81	69
Total operating costs	282	263

Note 06 Other revenues

Accounting policies

Service income for additional services provided to tenants is recognised in the period the service is performed.

The Group enters into operating lease agreements as a lessor with respect to its inventory properties, and the rental income from such leases is presented under "Other revenues". Revenue from development of inventory properties for sale is recognised when the properties are handed over to the customer as the Group does not have an enforceable right to collect payment for the benefits performed to date.

In determining the basis for revenue recognition from contracts with customers, the Group identifies the distinct performance obligations under the contracts, allocate the transaction price to each identified performance obligation and account for revenue as each performance obligation is met.

NOK million	2023	2022
Sale of additional services provided to tenants	60	80
Rental income from inventory properties	29	26
Other revenues	2	6
Total other revenues	92	112

Note 07 Other costs

NOK million	2023	2022
Costs related to additional services provided to tenants	45	56
Costs related to inventory properties	17	12
Other costs	5	17
Total other costs	67	85

Note 08 Administrative costs

NOK million	2023	2022
Payroll and personnel expenses	119	135
Office expenses, furnishings and equipment	39	37
Consultancy fees	21	27
Other administrative owner costs	7	11
Total administrative costs	185	210

Note 09 Personnel costs

Accounting policies Share-based payments

Entra has a share-based incentive bonus program for Senior Executives (the "LTI scheme") consisiting of an equity-settled component and a cash-settled component. The Senior Executives receive restricted shares with a market value of an amount corresponding to a percentage of their base salary (the equity-settled component), less an amount equal to the Senior Executives' tax effect of the total LTI award, which is paid in cash (the cash-settled component). The outcome under the LTI scheme is measured annually. The restricted shares are transferred to the Senior Executives in the year following the grant date, and 1/3 of the share allotment is restricted for three years after the transfer of the shares, another 1/3 is restricted for four years and the remaining 1/3 is restricted for five years. The fair value of the equity-settled component is measured applying Black-Scholes (BS) based on the share price at grant date. The three tranches of the equity-settled component are fully vested at the end of the respective restriction periods. The cash-settled component is fully vested on settlement in the year following the grant date. The equity-settled component and the cash-settled component are recognised as payroll expenses over the period from grant date until fully vested.

Share discounts

Sales of shares to employees in Entra's share saving scheme are reported in accordance with IFRS 2. The recognised discount is calculated as the difference between market price and purchase price at the time of purchase, taking into account the agreed lock-in period for the shares. The effect of the agreed lock-in period is calculated as the value of a put option using the BS model. The assumptions relating to volatility are based on the actual fluctutions in the price of Entra's shares. There is no vesting period on the shares or the right to acquire shares. The share of the discount that represents the difference between the calculated BS value and the market value of the shares is recognised against equity and the remaining discount, which represents the difference between the paid amount for the shares by the employees and the BS value, is recognised as payroll expenses at the time of allocation.

NOK million except employee numbers	2023	2022
Salaries, performance-related pay and other taxable benefits1	238	237
Employers' National Insurance contributions	44	36
Pension expenses	15	23
Other personnel costs	9	8
Total personnel costs	306	304
Of which capitalised on projects under development	-67	-58
Of which shared costs distributed amongst tenants	-72	-62
Total payroll and personnel costs	168	184
Of which classified as part of administrative costs	119	135
Of which classified as part of Letting and property administration under Operating expenses	49	49
Number of full-time equivalents	198	205
Number of employees at 31.12.	200	208

¹ Salaries, performance-related pay and other taxable benefits includes a 13 million (24 million) provision for performance-related pay for all employees in 2023, which has not yet been paid out.

Remuneration of Senior Executives and the Board

The total remuneration of the CEO and other Senior Executives consists of a fixed package of salary and benefits supplemented by cash- based (STI – Short-Term Incentive) and share-based (LTI – Long-Term Incentive) variable remuneration plans, share purchase scheme (on the same terms as all other employees), pension and insurance arrangements. No loans were given by Entra to Senior Executives as of 31 December 2023 or 31 December 2022. The Board and Board committee members received no other compensation than what is set out in the table.

The table below provides an overview of total remuneration of Senior Executives and the Board. All amounts in the table are subject to National Insurance contributions. For further details on Entra's compensation policy and practice, refer to pages 112–115 in the corporate governance section of this annual report.

NOK thousand	2023	2022
Salaries	19 261	18 753
Cash-based variable remuneration1	3 530	5 190
Share-based variable remuneration 2	2 189	4 617
Pension costs	985	930
Other benefits 3	1 255	1 129
Total remuneration of senior executives	27 219	30 618
Fees to the Board	2 799	2 591
Total remuneration of senior executives and the Board	30 018	33 209

1 Includes the provision based on targets met in the applicable year, which will be paid out in the following year.

² The equity-settled component of the LTI scheme has a graded vesting period, while the cash-settled component of the LTI scheme is fully vested on settlement. Refer to the accounting policies section of this note for further information. No shares were awarded under the LTI scheme for 2023. As such, the share-based remuneration presented as earned in 2023 reflects share-based remuneration earned in previous years. ³ Other benefits include benefits in kind such as a car allowance, telephone and insurance coverage.

Note 10 Net realised financials

NOK million	2023	2022
Interest income	34	13
Other finance income	1	4
Interest expenses on borrowings	-1 580	-1 067
– of which capitalised borrowing costs	60	59
Interest expenses on lease liabilities (Note 20)	-12	-12
Commitment fees	-24	-15
Other finance expenses	-98	-78
Total interest and other finance expense	-1 620	-1 095
Average interest on capitalised borrowing costs	4.03%	3.23%

Note 11 Income tax

Accounting policies

The tax expense consists of tax payable and deferred tax. Tax is charged to the income statement, except where it relates to items that are recognised in OCI or directly in equity. In such cases, the tax is either recognised in OCI or directly in equity.

Deferred tax is calculated using the liability method for all temporary differences between the tax values and consolidated accounting values of assets and liabilities. Deferred tax liabilities are not calculated and recognised upon initial recognition of assets or liabilities obtained through an acquisition of a subsidiary not classified as a business combination. No reduction in deferred tax liability is recognised on subsequent negative value changes below cost for investment properties acquired in transactions accounted for as asset acquisitions on initial recognition, if the changes are within the unrecognised deferred tax liabilities.

Deferred tax is defined using tax rates and laws which are enacted on the balance sheet date, and which are expected to be used when the deferred tax asset is realised or when the deferred tax is utilised. A deferred tax asset is recognised to the extent that it is likely that future taxable profit will be available against which the temporary differences can be offset.

Deferred tax is calculated and provided or reduced in the event of adjustments to the value of investment properties at a nominal tax rate of 22 per cent, reflecting the tax rate that would be applied on a direct sale of a property. Should a sale of a property be structured as a disposal of the subsidiary holding the asset, a different tax rate may apply. Currently, sales of companies are tax exempt in Norway.

Deferred tax liabilities are recognised for taxable temporary differences associated with investments in subsidiaries and associates, and interests in jointly controlled entities, except where the Group is able to control the reversal of the temporary differences and it is probable that the temporary difference will not be reversed in the foreseeable future.

INCOME TAX EXPENSE

NOK million	2023	2022
Tax payable	13	31
Change in deferred tax on profit and loss	-1 299	71
Change in deferred tax on comprehensive income	-2	4
Income tax expense	-1 287	106

INCOME TAX PAYABLE IS CALCULATED AS FOLLOWS

NOK million	2023	2022
Profit before tax	-6 868	-467
Share of profit/loss at associates and jointly controlled entities	72	37
Other permanent differences	-561	-149
Net effect of aquired losses carried forward in asset acquisitions	-	-19
Effect of negative revaluation below cost on asset acquisitions1	1 515	1 066
Changes in temporary differences	5 716	-699
Changes in loss carry-forwards	187	374
Profit for tax purposes	61	143
Tax payable on the balance sheet	13	14
Tax payable on the balance sheet	13	14

¹ No reduction in deferred tax liability is recognised on subsequent negative value changes below cost for investment properties acquired in transactions accounted for as asset acquisitions on initial recognition, if the changes are within the unrecognised deferred tax liabilities.

The tax on the Group's profit before tax differs from the theoretical amount that would arise using the weighted average tax rate applicable to profits of the consolidated entities as follows:

	2023		2022
	(NOKm)	%	(NOKm)	%
Profit for accounting purposes multiplied by nominal tax rate	-1 511	22.0	-103	22.0
Tax on share of profit/loss at associates and jointly controlled entities	16	-0.2	8	-1.7
Tax on permanent differences 1	210	-3.1	202	-43.2
Tax effect of re-measurement of recoverability of acquired tax losses	-	-	-4	0.9
Tax expense for accounting purposes	-1 285	18.7	103	-22.1

1 The permanent differences includes 333 million (235 million) related to the negative revaluation below cost on asset acquisitions.

Deferred income tax

The Group has offset deferred tax assets and deferred tax liabilities on the balance sheet as the Group has a legally enforceable right to set off current tax assets against current tax liabilities, and the deferred tax assets and the deferred tax liabilities relate to income taxes levied by the same taxation authority. The following net value was recognised:

NOK million	2023	2022
Deferred tax liability	7 173	8 573
Deferred tax assets	277	356
Net deferred tax	6 896	8 216

The Group has not recognised a cumulative deferred tax liability in the amount of 1 544 million (2 180 million) relating to acquisitions of subsidiaries, which were accounted for as acquisitions of assets of groups of assets.

Change in deferred tax (+)/deferred tax assets (-)

	Non current	Financial	Current	Gains/ losses		Losses carried
NOK million	assets	instruments	assets		account Provisions	forward1	Total
01.01.2022	8 532	-17	56	15	-55	-224	8 307
Recognised in profit and loss	79	101	-6	-1	-21	-82	70
Recognised in comprehensive income	-	-	-	-	4	-	4
Losses carried forward acquired in asset acquisitions	-	-	1	-	-	-	1
Losses carried forward acquired in asset acquisitions	-187	-	-	-2	9	14	-165
31.12.2022	8 425	83	52	13	-64	-293	8 216
Recognised in profit and loss	-1 233	-2	-1	-5	-16	-41	-1 299
Recognised in comprehensive income	-	-	-	-	-2	-	-2
Derecognition of tax positions in subsidiaries sold	-20	-	-	-	-	-	-20
31.12.2023	7 172	81	51	8	-82	-334	6 896

¹ At year-end 2023, the losses carried forward for the Group's wholly owned subsidiaries was 218 million (168 million).

Note 12 Earnings per share

Basic earnings per share is calcuated by dividing the net profit attributable to shareholders by the weighted average number of ordinary shares outstanding during the year.

Entra has not issued options or other financial instruments which have a dilutive effect on outstanding shares.

	2023	2022
Total comprehensive income for the year attributable to equity holders of Entra (NOKm)	-5 455	-621
Average number of outstanding shares	182 127 710	182 129 877
Basic earnings per share (NOK)	-29.95	-3.41

Note 13 Dividends

Accounting policies

Entra has a policy of semi-annual dividends. Dividend payments to the company's shareholders for the first half year are classified as debt from the date on which a resolution regarding the dividend is passed by the Board of Directors. Dividend payments to the company's shareholders for the second half year are classified as debt from the date on which a resolution regarding the dividend is passed by the Annual General Meeting.

Entra targets distribution of approximately 60 per cent of the Group's Cash Earnings in dividends. Refer to the alternative performance measures section of the annual report for calculation of Cash Earnings.

Given the current situation in the property and interest rate markets, the Board's focus is to strengthen the company's balance sheet and improve the debt metrics. Consequently, the Board has decided to not use the authorisation to pay semi-annual dividend for the first half of 2023 nor to propose dividend for the second half of 2023. Entra's dividend policy remains unchanged.

Note 14 Investment properties

Accounting policies

Investment properties include completed investment properties and investment properties under development. Investment properties are held with the aim of achieving a long-term return from rental income or increase in value, or both. Investment properties are recognised at fair value in the balance sheet.

Initial measurement takes into consideration the property's cost price, which includes direct transaction costs such as document duty and other public duties, legal fees and due diligence costs.

Subsequent expenditure is added to the investment property's carrying amount if it is probable that future financial benefits associated with the expenditure will flow to the Group and the expense can be measured reliably. Other maintenance costs are recorded through the income statement in the period in which they are incurred.

Investment properties are valued at each reporting date. The values are estimated by two independent appraisers, and the carrying amount of the investment properties are based on the average of the appraisers' valuations. The valuations are based on each individual property's assumed future cash flows, and property values are arrived at by discounting cash flows with an individual risk-adjusted required rate of return.

Changes in fair value, including gains and losses on sale of investment properties, are recognised as "Changes in value of investment properties".

Investment properties held for sale

Investment properties are classified as held for sale if their carrying amount will be recovered through a sales transaction rather than through their continuing use. This condition is regarded as met if the sale is highly probable. The sale should be expected to qualify for recognition as a completed sale within one year from the date of classification. Investment properties classified as held for sale are recognised at fair value in the balance sheet.

Borrowing costs

Borrowing costs for capital used to finance investments in and upgrading of investment properties under development are capitalised on the asset in question. When calculating the capitalised borrowing costs, the average interest rate on the company's debt portfolio is used, unless there is separate financing for the specific project. In such cases the specific borrowing cost for the applicable loan is used. When calculating the average interest rate to be used for the capitalisation of borrowing costs, loans drawn for specific projects are not included.

Key sources of estimation uncertainty Fair value of investment properties

Entra's investment properties are recognised at fair value in the balance sheet based on valuations by two independent, external appraisers. The valuations of the Group's properties are inherently subjective, as they are based upon the appraisers' assumptions and estimations that form part of the key unobservable inputs of the valuation. The key unobservable inputs, including market rents, required rates of return, exit yields, inflation, operating costs and CapEx, may prove to be inaccurate.

Critical judgements in applying accounting policies Classes of investment properties

Entra has, based on the nature, characteristics, and risks of the Group's investment properties, determined that the Group's geographical segment Oslo from 2023 should be presented as two separate classes of investment properties for the disclosure of quantitative information regarding the significant unobservable inputs used in the external appraisers' fair value measurement. Entra's other geographical segments, in addition to project properties and zoned development sites, constitute the other appropriate classes of investment properties.

Presentation of acquisitions

Acquisitions of companies where substantially all of the fair value of the gross assets acquired is concentrated in a single property or group of similar properties, are treated as asset acquisitions. An individual judgement is made for each transaction. Refer to the accounting policies section of Note 27 for further information.

NOK million	2023	2022
Total investment properties at 31.12 previous period	78 634	67 655
Acquisition of investment properties	-	13 531
Investment in the property portefolio	1 767	2 563
Capitalised borrowing costs	60	59
Divestment of investment properties	-2 823	-2 654
Change in value of investment properties	-8 148	-2 519
Total investment properties at 31.12	69 490	78 634
Of which investment properties held for sale	1 020	1 230
Investment properties	68 470	77 404

The property Marken 37 in Bergen and the two properties in Cort Adelers gate 30 in Oslo are classified as held for sale as of 31 December 2023

Valuation techniques and assumptions

The valuations as of 31 December 2023 were obtained from Newsec and Cushman & Wakefield Realkapital, and the market value of the property portfolio presented in Note 3 is calculated as the average of the appraisers' valuations. The fair value of the investment properties in Entra's balance sheet is based on the average of the appraisers' valuations, with adjustments for balance sheet items of 30 million (-62 million), including prepayments from the tenants and other accruals. The valuation method is included in Level 3 in the fair value hierarchy defined by IFRS 13. Refer to Note 22 for further information on the fair value hierarchy.

The valuations are performed on a property-by-property basis, assuming that the properties are sold individually. The valuations are performed using the discounted cash flow method, which involves discounting future cash flows over a specified period using an estimated required rate of return and then adding a residual value calculated by using an estimated exit yield and estimated market rents. Future cash flows are calculated on the basis of cash flows from signed leases, estimated cash flows based on an expected market rent at the end of the lease terms, inflation, operating costs, CapEx and development potential.

The project portfolio and development sites are valued based on the same principles, with deduction for remaining investments and perceived risks as of valuation date, including, but not limited to, construction and letting risks. For unzoned development potential, the appraisers further make assumptions on the zoning risk.

The appraisers perform their valuations on the basis of comprehensive information received from Entra's management on the properties, existing and any new lease contracts and details of any vacant premises, and up-to-date and comprehensive information about all ongoing and planned projects. The appraisers also normally conduct site visits of all properties every year. Any uncertainties relating to the properties, projects and leases are also clarified by Entra when required. Any information that is provided to one of the appriasers is simultaneously provided to the other appraiser. The appraisers estimate future market rents, required rates of return, exit yields, inflation, development potential and other relevant parameters. The remaining term of the leases is assessed for risk, along with any special clauses in the lease contracts.

Upon receiving the initial valuations, Entra's management each quarter perform thorough controls of the valuations to ensure that both appraisers have included all relevant information in the valuations, to have profound knowledge on the factors estimated by the appraisers and to fully understand changes in value of investment properties from the previous period end. Any significant discrepancies between the values of the individual properties estimated by the appraisers, are reviewed in detail to ensure that both appraisers have used the same information and that the discrepancy between the valuations is due to different view on the risk of the properties. In addition, Entra's management compare the valuations to known market transactions with similar properties in the same geographical area if available. Entra's management further report to the Audit Committee on a quarterly basis, the factors driving changes in value of investment properties from the previous period end.

Market transactions serve as important reference points in Entra's review of the values estimated by the appraisers, and the slow-down in the property transaction market during 2023 has decreased the number of relevant reference transactions. There has however during 2023 been agreed and completed transactions of relevance for Entra's portfolio, including the six properties sold by Entra during 2023 for asset values in line with book values, which supports the valuations performed by the independent appraisers.

The inputs to the valuations are defined as "unobservable" by IFRS 13. The key unobservable input variables are market rents, required rates of return, exit yields, inflation, operating costs and CapEx for investment properties in the management portfolio. The minimum, maximum and weighted average of these key unobservable input variables, except inflation, for the management portfolio are presented in the table on the right. The average inflation and CapEx for the project portfolio are presented below the table. Further analysis and sensitivity disclosures on these key unobservable inputs have been included on the following pages.

The required rate of return, i.e., the discount rate applied on the net cash flows for the duration of existing lease terms, is based on a long-term risk-free interest rate plus a property- and tenant-specific risk premium, reflecting the property's location, technical standard, occupancy rate, tenants' financial reliability and remaining lease term.

The exit yield, i.e., the discount rate applied on the expected net cash flows after the existing lease terms, is based on a long-term risk-free interest rate plus a property-specific risk premium, reflecting the property's location, technical standard, ownership of property (freehold or leasehold) and development potential, with no tenant specific adjustments.

The market rent is the annual rent the appraisers, based on the property's location, technical standard and leases signed for comparable properties in the same area, estimate that a property may be leased out for on market terms, excluding supplements such as VAT compensation. Expected future market rents takes into account expected inflation and other macro-economic factors.

The expected operating costs for a property is based on the actual operating, insurance and maintenance costs for a property, adjusted for inflation and other projections, with estimates being made for anticipated vacancy levels and the associated expenses.

The expected CapEx for properties in the management portfolio is the level of investments that the appraisers assume is required to obtain the expected market rents, including the need for alterations and upgrades. The CapEx for the project portfolio is based on Entra's estimates and perceived risks as of valuation date. The CapEx for zoned and unzoned development potential is the appraisers' assumptions on the development costs of the properties.

Inflation is estimated using the consensus of a selection of banks and official statistics. Inflation affects both rental income, operating costs and CapEx.

Ranges and weighted average for key unobservable input variables in the Level 3 valuations from the external appraisers are presented for the classes where Entra has five or more properties, including investment properties held for sale. As such, key unobservable input variables are not presented for management properties in Stavanger (market value of 1 466 million) and zoned development sites (market value of 639 million), with two and four properties, respectively. The ranges for the key unobservable input variables are for several of the classes wide but are for the majority of the market value of the properties within a class, clustered around the weighted average.

As of 31.12.2023			Oslo	Bergen	Trondheim	Sandvika	Drammen	Total mngmt. portf.1
		Central	Fringe areas
No. properties		32	18	10	13	9	6	90
Market value (NOKm)		34 086	11 575	6 334	6 603	4 251	2 120	66 435
	Min	4.10%	4.70%	4.87%	4.81%	4.91%	5.19%	4.10%
Required rate	Max	6.50%	6.20%	5.63%	5.65%	6.22%	6.37%	6.50%
of return	Wgt.average	4.50%	5.10%	5.08%	5.40%	5.36%	5.45%	4.90%
Exit yield	Min	4.50%	4.80%	5.07%	5.06%	5.31%	5.60%	4.50%
	Max	6.70%	6.40%	5.83%	5.93%	6.45%	6.57%	6.70%
	Wgt.average	4.80%	5.30%	5.27%	5.64%	5.65%	5.87%	5.10%
Market rent (NOK/sqm)	Min	1 873	1 316	2 227	1 803	534	748	534
	Max	4 999	3 905	3 378	2 875	3 713	2 581	4 999
	Wgt.average	3 519	2 516	2 811	2 188	2 012	2 060	2 801
	Min	119	109	164	114	34	67	34
Operating costs (NOK/sqm)	Max	500	780	207	181	244	230	780
	Wgt.average	188	146	182	149	106	140	163
NPV CapEx (NOK/sqm)	Min	335	371	3 198	1 426	64	2 101	64
	Max	30 010	13 129	23 127	5 428	6 115	4 780	30 010
	Wgt.average	4 861	4 211	7 502	3 209	2 642	3 222	4 451

¹ Including data for Entra's management properties in Stavanger

For Entra's project portfolio, with total market value of 2 446 million (4 031 million), the appraisers have applied an average CapEx of 26 273 per sqm (29 624 per sqm), excluding the cost of land and capitalised interest. Refer to Note 3 for a reconciliation of the market value of the classes to the carrying value of the investment properties.

The appraisers have for all valuations as of 31.12.23 in average assumed inflation of 4.8 per cent for 2024 (2023: 6.5 per cent), 4.3 per cent for 2025 (2024: 4.0 per cent) and 2.5 per cent for 2026 (2025: 2.1 per cent).

As of 31.12.2022			Oslo	Bergen	Trondheim	Sandvika	Drammen	Total mngmt. portf.1
		Central	Fringe areas
No. properties		32	20	10	10	10	7	91
Market value (NOKm)		37 296	15 388	6 931	5 591	4 612	2 591	73 974
	Min	3.30%	3.80%	4.13%	4.27%	4.26%	4.37%	3.30%
Required rate	Max	6.90%	9.40%	5.06%	5.06%	5.69%	5.89%	9.40%
of return	Wgt.average	4.00%	4.20%	4.38%	4.80%	4.72%	4.76%	4.10%
Exit yield	Min	3.60%	3.90%	4.32%	4.49%	4.66%	4.85%	3.60%
	Max	5.90%	5.60%	5.23%	5.25%	5.89%	6.06%	6.06%
	Wgt.average	4.10%	4.30%	4.56%	5.01%	4.95%	5.10%	4.30%
Market rent (NOK/sqm)	Min	1 766	1 255	1 875	1 660	454	722	454
	Max	4 405	3 385	3 096	2 675	2 421	2 326	4 405
	Wgt.average	3 223	2 281	2 845	2 695	1 959	1 828	2 555
Operating costs (NOK/sqm)	Min	127	117	162	112	32	66	32
	Max	325	735	239	177	160	226	735
	Wgt.average	201	158	204	140	104	143	169
NPV CapEx (NOK/sqm)	Min	-	296	2 251	1 643	58	1 572	-
	Max	29 099	17 243	21 873	5 587	33 682	5 353	33 682
	Wgt.average	7 374	4 866	7 167	2 204	2 863	2 920	4 793

¹ Including data for Entra's management properties in Stavanger

Climate-related assessments in valuation

Climate-related risks associated with the Group's investment properties is related to physical risks and transition risks such as market risks, regulatory risks and reputation risks. Further details on the risks are outlined on page 41 in the Risk management section of this Annual Report.

The information provided to the appraisers on a quarterly basis also includes sustainability and energy related information on the properties such as the properties' energy consumption, energy performance certificates, main source of heating, BREEAM-NOR and BREEAM-In-Use classification and planned investments in energy saving measures, with an estimate of the associated savings. The estimated effect of this information is reflected in the appraisers' CapEx estimates, expected future market rents and the discount rates, to the extent possible transaction market participants would, and is reflected in the valuations as of the balance sheet date. The increased requirements for environmental qualities in the property portfolio may require increased CapEx compared to the estimates. The

actual future development of the other input variables may as well deviate from the estimates, due to factors such as development in regulations, changes in the requirements of tenants and technological development.

The consulting company Norconsult has provided a third-party assessment of the physical climate-related risks facing a majority of Entra's properties. Norconsult's experts within hydrology, geotechnics, engineering geology, hydrogeology, meteorology, risk management and building physics used a scenario-based approach in analysing physical risks, including temperature related risks, wind related risks, mass related risks and water related risks. The assessments indicated that Entra's property portfolio had high resilience to these risks. Further details on the assessment are included on pages 81–87 in this Annual Report.

Properties representing approximately 59 per cent of the market value of Entra's properties are BREEAM certified. Environment-friendly office properties are in high demand in the letting market and are also the most attractive objects in the transaction market for commercial real estate. The appraisers monitor the transaction market closely, and current transaction market trends support the assessment that the potential short to medium term adverse effect on the market values of Entra's property portfolio due to climate-related risks is limited. This can however change over time as the cash flows for the investment properties to a greater extent may be affected by climaterelated risks in the medium to long term.

Sensitivity analysis

The following table illustrates the effects on the market value of the management portfolio due to changes in a single unobservable input variable as of 31.12.23.

Variable	Change in assumption	Value change (NOK million)	EPRA LTV (%)
Required rate of return	+ 0.25%	-3 521	60.3%
	- 0.25%	3 904	54.2%
Exit yield	+ 0.25%	-1 947	58.9%
	- 0.25%	2 153	55.5%
Market rent (NOK/sqm)	+ 5.00%	2 968	54.9%
	- 5.00%	-2 968	59.8%
Operating costs (NOK/sqm)	+ NOK 25 per sqm	-594	57.7%
	- NOK 25 per sqm	594	56.7%
NPV CapEx (NOK/sqm)	+ NOK 100 per sqm	-209	57.4%
	- NOK 100 per sqm	202	57.1%
Inflation in 2025	+ 1.00%	672	56.7%
	- 1.00%	-672	57.8%

There are interrelationships between these variables, and it should be expected that a change in one variable may influence the other variable. The table below illustrates to what extent the value of the management property portfolio as of 31.12.23 is affected by market rents and required rate of return, assuming that all other factors are equal.

	% Δ Required rate of return
Value change (NOK billion)1		-1.00%	-0.75%	-0.50%	-0.25%	-	0.25%	0.50%	0.75%	1.00%
% Δ Market rent	-10.0%	10.6	5.7	1.4	-2.5	-5.9	-9.0	-11.8	-14.4	-16.7
	-5.0%	14.5	9.3	4.8	0.7	-2.9	-6.2	-9.2	-11.9	-14.4
	-	18.4	12.9	8.1	3.8	-	-3.5	-6.6	-9.4	-12.0
	5.0%	22.3	16.6	11.5	7.0	2.9	-0.7	-4.0	-7.0	-9.7
	10.0%	26.2	20.2	14.9	10.1	5.9	2.1	-1.4	-4.5	-7.4

1 Estimates by Newsec in conjunction with valuations as of 31 December 2023.

Properties subject to purchase options

Pursuant to the lease agreements entered into between Entra and the Norwegian Ministry of Culture on 15 October 2003, 22 April 2005 and 30 June 2005, respectively, the tenant has an option to acquire the three buildings comprising the National Library in Henrik Ibsens gate 110/Observatoriegaten 1 in Oslo (the refurbished buildings "Halvbroren" and "Magasinet"). The tenant has the right to acquire the refurbished buildings at expiry of each 25-year lease period (expiring on 31 December 2029and 6 June 2030, respectively). The leases include an unlimited number of 25-year extension periods, at market rents. Further, the tenant has the right, upon six months' notice, to acquire "Halvbroren" if the tenant itself leases and uses more than 50 per cent of the building.

As of 31 December 2023, the tenant leased and used more of the building than the threshold. The purchase price for all three buildings shall equal the market value of the buildings based on the capitalised future rental income based on the assumption that the lease agreements are continuously prolonged in accordance with the renewal clause in the lease agreements.

Pursuant to the ground lease agreement entered into between Entra and Oslo Havn KF on 4 October 1979 relating to the property Langkaia 1 in Oslo, the ground lessor has an option to acquire the buildings without any compensation and free of any encumbrances upon expiry of the ground lease agreement on 1 January 2031. The right-of-use asset is presented as part of investment properties on the balance sheet. As the right-of-use asset is valued based on the cash flow until expiry of the ground lease agreement (i.e., no residual value), there will be an ongoing decrease in the balance sheet value until expiry.

Pursuant to the lease agreement entered into between Entra and the University of Oslo ("UiO") on 16 June 2016, the tenant has an option to acquire the property Kristian Augusts gate 15–21 (building and land) in Oslo in 2034 and in 2044. The purchase price shall be based on a gross market yield at time of calling the option and valued at a remaining WAULT of fifteen years of the lease agreement. The gross yield has a cap at 5.25 per cent (gross yield < 5.25 per cent). The option to acquire must be called twelve months ahead of the two points in time at the latest.

Pursuant to the lease agreement and option agreement entered into between Entra and BI Norwegian Business School ("BI") on 15 February 2016, the tenant has an option to acquire the company which owns the building Brattørkaia 16 in Trondheim in each of the years 2028, 2033 and 2038. The purchase price shall be based on a pre-agreed net yield. The net rent at the time of exercising the option, includes value added tax (VAT) compensation. The option to acquire must be called twelve months ahead of the four points in time at the latest. With reference to note 31, a letter of intent for the sale of the Trondheim portfolio, including Brattørkaia 16, was signed in February 2024.

Entra is developing the last stage in a newbuild project in Holtermanns veg 1–13 in Trondheim, where the Norwegian Broadcasting Corporation ("NRK") have signed a lease contract for 9 600 sqm. NRK will acquire 49 per cent of the subsidiary owing the rented section at an agreed net yield at estimated project completion in 2025. With reference to note 31, a letter of intent for the sale of the entire Trondheim portfolio, including phase 3 of the development project in Holtermanns veg 1–13, was signed in February 2024.

Refer to note 24 for information on pledged investment properties

Note 15 Other non-current assets

Accounting policies

Other receivables are classified as non-current assets if they are due more than twelve months after the balance sheet date. Equity investments are classified as financial assets at FVTPL, while other financial assets are classified as financial assets measured at amortised cost. Interest is ignored if it is insignificant. Operating equipment is recognised at acquisition cost, less depreciation.

NOK million	2023	2022
External loans	103	110
Other long-term receivables	78	82
Financial assets at FVTPL	279	344
Operating equipment	15	16
Other assets	136	111
Total long-term receivables and other assets	611	661

Note 16 Inventory properties

Accounting policies

The Group's inventory properties comprise residential projects under zoning, development and construction intended for sale in the ordinary course of business. Properties under zoning for residential purposes may be handed over to other residential developers. Where the Group constructs the residential projects, the individual units are handed over to the purchaser when they are completed. Inventory properties may comprise properties held for resale, properties under development and construction, and completed units which are not sold. Inventory properties are measured at the lower of cost and net realisable value.

Entra owns a development site at Bryn in Oslo. As part of the acquisition of the site, JM Norge AS agreed to acquire land expected to be zoned for residential development subject to detailed plan. The properties expected to be zoned for residential development are Østensjøveien 29 and Brynsveien 1, 2–4, 3, 6, 8 and 12. See Notes 6 and 7 for information on rental income from letting of the properties and the related property costs.

Note 17 Trade receivables

Accounting policies

Trade receivables are initially recognised at the agreed transaction price in the contract with the customer. Subsequently they are measured at amortised costs. Interest is ignored if it is insignificant.

The Group applies the simplified approach in IFRS 9 to measure the loss allowance at lifetime expected credit losses. A provision for bad debt is determined by estimating expected credit losses with reference to past default experience of the debtor and an analysis of the debtor's current financial position, adjusted for factors that are specific to the debtors, general economic conditions of the industry in which the debtors operate, and an assessment of both the current as well as the forecast direction of conditions at the reporting date. Any subsequent payments received against accounts for which a provision has previously been made are recognised in the income statement.

Trade receivables are classified as current assets unless they are due more than twelve months after the balance sheet date. If so, they are classified as non-current assets.

NOK million	2023	2022
Trade receivables	104	65
Provision for bad debts	-16	-9
Net trade receivables	88	56

There is limited concentration of credit risk with respect to trade debtors as the majority of Entra's customers are paying rent in advance.

The age analysis of these trade receivables is as follows:

NOK million	2023	2022
Up to 3 months	8	29
Over 3 months	52	30
Total overdue	59	59

Note 18 Other current assets

Accounting policies

Other receivables are classified as current assets unless they are due more than twelve months after the balance sheet date. Other current assets include accrued interest, including interest on the Group's derivatives, accrued income, prepaid expenses and current portion of external loans. Other current assets are classified as financial assets measured at amortised cost. Interest is ignored if it is insignificant.

NOK million	2023	2022
External loans	483	-
Accrued interest	90	77
Accrued income	48	74
Advance payments and accruals	77	55
Other current receivables and assets	234	319
Total other receivables and other current assets	932	525

Note 19 Pensions

Accounting policies

The Group has both defined benefit and defined contribution pension schemes. A defined benefit pension scheme is a pension arrangement that defines the pension payment an employee will receive on retirement. The pension benefit payable is dependent on a number of factors, such as the employee's age, number of years of membership in the Norwegian Public Service Pension Fund and salary level. The recognised pension obligation relating to defined benefit plans is the present value of the defined benefit on the balance sheet date less the fair value of the plan assets, calculated annually by an independent actuary.

Changes to benefits payable under the pension plan are recognised in the income statement as they arise. Actuarial gains/losses resulting from new information or changes to actuarial assumptions are recognised to comprehensive income in the period they arise.

Contributions to defined contributions plans are recognised in the income statement in the period in which they accrue.

The Group's pension scheme for new employees is a defined contribution scheme. The defined contribution scheme includes 198 (199) employees in the Group. The defined benefit pension scheme for the Group cover a total of 6 (8) current employees, 1 (1) former employee and 77 (73) pensioners.

The Group also has a contractual early-retirement scheme (AFP) from the age 62. At 31 December 2023, 3 (3) former employees had chosen to make use of the AFP scheme. The net pension liabilities associated with the AFP scheme amounted to 4 million (5 million), which is included under total pension liabilities in the table to the right.

The Group's pension scheme satisfies the requirements of the Norwegian Act on Compulsory Occupational Pensions.

The cost for the accounting period shows the employees' pension entitlement of the agreed future pension in the financial year.

THE BALANCE SHEET LIABILITIES HAVE BEEN CALCULATED AS FOLLOWS

NOK million	2023	2022
Present value of accrued pension liabilities in defined-benefit schemes in unit trusts	220	214
Fair value of pension scheme assets	-141	-129
Employers' NICs accrued	11	12
Net pension liabilities on the balance sheet at 31.12	91	97

TOTAL COST RECOGNISED IN THE INCOME STATEMENT

NOK million	2023	2022
Cost of pension benefits accrued during current period	1	2
Contribution scheme	16	22
Total pension benefits accrued during the period	17	24
Net interest expense	2	2
Total pension benefits accrued in income statement	19	26
Actuarial losses (-)/gains (+) accrued in comprehensive income	7	-16
Total pension benefits accrued	26	10

The actuarial assumptions are based on generally accepted assumptions in the insurance industry with regard to demographic factors. The pension scheme assets are invested in government bonds.

Note 20 Other non-current liabilities

NOK million	2023	2022
Lease liabilities Pension liabilities (Note 19)	278 91	264 97
Prepayments from customers	81	78
Seller's credit and withheld purchase price	92	89
Other non-current liabilities	95	146
Total non-current liabilities	636	673

Lease liabilities – the group as a lessee

Accounting policies

The Group assesses whether a contract is or contains a lease, at inception of the contract. The Group recognises a right-of-use asset and a corresponding lease liability with respect to all lease contracts in which it is the lessee, except for leases with a lease term of 12 months or less, and leases of low value assets (such as vehicles and technical and office equipment), for which the Group applies the applicable recognition exemptions. For these leases, the Group recognises the lease payments as an operating expense on a straight-line basis over the lease term.

Only fixed payments are included in the initial measurement of the lease liability, and the lease term corresponds to the non-terminable period. The discount rate used to calculate the lease liability is determined, for each asset, based on the Group's incremental borrowing rate for leases with less than 15 years until maturity. For leases with more than 15 years until maturity, the discount rate is based on the properties' net yields, adjusted for features that affect Entra's incremental borrowing rate, such as tenant-specific factors and the length of the lease. The lease liability is presented as part of other liabilities in the balance sheet.

For lease contracts where the leased properties meet the definition of investment properties in IAS 40, Entra applies the fair value model to the associated right-of-use assets. The right-of-use assets are measured by discounting the assumed future cash flows under the lease contracts. The discount rate used to calculate the right-of- use asset may be different from the discount rate used to calculate the lease liability. The right-of-use assets are presented as part of investment properties in the balance sheet.

The Group has entered into certain operating leases of ground, parking lots and buildings classified as investment properties, with remaining lease terms between 8 and 79 years. The Group applies the fair value model to rightof-use assets associated with the property lease contracts. Right-of-use assets included in investment properties at 31 December 2023 was 1 020 million (1 131 million).

The majority of the lease payments for Langkaia 1 in Oslo, where the lease agreement expires on 1 January 2031, are based on the turnover of the property. Only the fixed parts of the lease payments are included in the lease liability. Variable, turnover-based lease payments for the property is included in Operating costs. Set out in the table below are the amounts recognised in profit or loss:

NOK million	2023	2022
Interest expense on lease liabilities	12	12
Expense relating to leases of low-value assets and short-term leases	7	3
Variable lease payments	15	11
Total amount recognised in profit or loss	34	26

The Group had total cash outflows for leases of 39 million in 2023 (31 million).

Refer to Note 23 for maturity profile of the Group's lease liabilities based on contractual undiscounted payments as at 31 December 2023. See Note 24 for details on the movements in lease liabilities during the period.

Note 21 Other current liabilities

Accounting policies

Non-interest-bearing financial liabilities

Non-interest-bearing liabilities are classified as financial liabilities at amortised cost, and are measured at fair value upon initial recognition, and subsequently at amortised cost using the effective interest rate method. Interest is ignored if it is insignificant.

Provisions

The Group recognises provisions for legal claims when a legal or self-imposed obligation exists as a result of past events, when it is likely that an outflow of resources will be required to settle the obligation and its amount can be estimated with a sufficient degree of reliability.

In cases where there are several obligations of the same nature, the likelihood of settlement is determined by assessing the Group as a whole. A provision for the Group is recognised even if there is little likelihood of settlement of the Group's individual elements.

Provisions are measured at the present value of expected payments to settle an obligation. A discount rate before tax is used which reflects the present market situation. Any increase in an obligation as a result of a changed time value is reported as a financial expense. A provision for onerous contracts is recognised when the expected benefits to be derived by Entra from a contract are lower than the unavoidable cost of meeting its obligations under the contract.

NOK million	2023	2022
Accrued interest	275	237
Tenant prepayments	87	61
Lease liabilities (Note 20)	3	5
Holiday pay owed	25	23
Public taxes and duties	35	26
Income tax payable	13	14
Provisions for current liabilities	14	27
Other liabilities	7	28
Total other current liabilites	460	421

Note 22 Financial instruments

Accounting policies

A financial instrument is defined as being any contract that gives rise to a financial asset for one entity and a financial liability or equity instrument for another entity. Financial instruments are recognised on the transaction date, i.e., the date on which the Group commits to buying or selling the asset. The classification of financial assets at initial recognition depends on the financial asset's contractual cash flow characteristics and the Group's business model for managing them.

Financial assets are classified, at initial recognition, as subsequently measured at amortised cost, fair value through OCI, or FVTPL. The majority of the Group's financial assets are classified as measured at amortised cost as they are held for the purpose of recovering contractual cash flows and where these cash flows consist only of principal amounts and interest .

Financial assets at amortised cost are subsequently measured using the effective interest (EIR) method and are subject to impairment. Gains and losses are recognised in profit or loss when the asset is recognised, modified or impaired. The Group's financial assets at amortised cost includes trade and other current receivables, cash and cash equivalents and other financial assets.

Financial assets at FVTPL include financial assets held for trading, financial assets designated upon initial recognition at FVTPL, and financial assets mandatorily required to be measured at fair value. Financial assets are classified as held for trading if they are acquired for the purpose of selling or repurchasing in the near term.

Derivatives, including separated embedded derivatives, are also classified as held at FVTPL unless they are designated as effective hedging instruments. Financial assets with cash flows that are not solely payments of principal and interest are classified and measured at FVTPL. The Group has elected not to present subsequent changes in the fair value of its equity investments in OCI, and investments in equity instruments are consequently measured at FVTPL.

The Group recognises an allowance "or expected credit losses on all debt instruments not held at FVTPL. The amount of expected credit losses is updated at each reporting date to reflect changes in credit risk since initial recognition of the respective financial instrument.

Financial liabilities are classified upon initial recognition as financial liabilities at FVTPL and financial liabilities at amortised cost. Financial liabilities at FVTPL comprise interest rate derivatives. Financial liabilities at amortised cost consist of liabilities that do not fall under the category at FVTPL.

Financial derivatives

The Group uses derivatives to manage its interest rate risk. Derivatives are initially recognised at fair value on the date on which the contract was signed, and subsequently at fair value. Gains or losses on remeasurement at fair value are recognised in the income statement. Regular payments are presented as interest and other finance expenses. Changes in the value of the derivatives are presented under "Changes in value of financial instruments".

The fair value of interest rate swaps is the estimated amount the Group would receive or pay to redeem the contracts on the balance sheet date. This amount will depend on interest rates and the contracts' remaining term to maturity. The derivatives are classified on the balance sheet as current or non-current, depending on whether they are expected to be redeemed under or over 12 months from the balance sheet date.

Fair value hierarchy

The Group uses the following hierarchy to classify assets and liabilities, based on the valuation methods used to measure and disclose their fair value. There were no transfers between the levels in the fair value hierarchy during the year.

• Level 1: Quoted (unadjusted) prices in active markets for identical assets and liabilities.
• Level 2: Other techniques where all of the parameters that have a significant impact on measuring fair value are either directly or indirectly observable.
• Level 3: Valuation techniques that use parameters that significantly affect the valuation, but which are not observable (unobservable input variables).

Key sources of estimation uncertainty Fair value of financial derivatives

The Group uses interest rate derivatives and fixed rate loans to manage the interest rate risk. The financial derivatives are in the Group's balance sheet valued at fair value, measured using valuation methods where the significant parameters are obtained from quoted market data.

CATEGORIES AND FAIR VALUE OF FINANCIAL INSTRUMENTS AT 31.12.23

NOK million	Amortised cost	FVTPL	Total	Fair value level
Financial investments
– shares		279	279	Level 3
– other financial assets	182		182
Financial derivatives		705	705	Level 2
Trade receivables	88		88
Other current receivables	932		932
Cash and cash equivalents	171		171
Total financial assets	1 373	984	2 357
Interest-bearing liabilities	38 156		38 156
Lease liabilities	281		281
Financial derivatives		283	283	Level 2
Other non-current liabilities	92		92
Trade payables	392		392
Other current liabilities	81		81
Total financial liabilities	39 002	283	39 285

CATEGORIES AND FAIR VALUE OF FINANCIAL INSTRUMENTS AT 31.12.22

NOK million	Amortised cost	FVTPL	Total	Fair value level
Financial investments
– shares		344	344	Level 3
– other financial assets	191		191
Financial derivatives		698	698	Level 2
Trade receivables	56		56
Other current receivables	525		525
Cash and cash equivalents	226		226
Total financial assets	997	1 042	2 040
Interest-bearing liabilities	40 515		40 515
Lease liabilities	268		268
Financial derivatives		310	310	Level 2
Other non-current liabilities	89		89
Trade payables	355		355
Other current liabilities	105		105
Total financial liabilities	41 332	310	41 642

Refer to Note 24 for further information on the fair value of interest-bearing liabilities. The fair value of other financial liabilities and financial assets measured at amortised cost at 31 December 2023 was approximately the same as carrying value. In addition to the financial instruments presented above, investment properties are measured at FVTPL based on a Level 3 valuation method. Refer to Note 14 for further information.

CHANGES IN VALUE OF FINANCIAL INSTRUMENTS AT FVTPL

NOK million	2023	2022
Changes in value of financial derivatives	34	-488
Changes in value of shares	-38	15
Total changes in value of financial instruments	-4	-473

Note 23 Financial risk management

Governance structure, exposure and reporting

The Board of Entra ASA has defined limits for the financial exposure of the Group through the financial policy. The financial policy regulates the following:

• Allocation of responsibility for financial management
• Overall limits and principles for management of financial exposure
• Principles for borrowing
• Definitions of financial risk parameters and key controls that must be in place to ensure adequate risk management
• Requirements for reporting and monitoring, with requirements to report regularly to the Board on the Group's overall financial risk exposure

There is a responsibility and authority matrix for the Finance department, which defines authority for the day-to-day management of financial transactions within the overall framework of financial management.

The Group must ensure that there is adequate operational risk management and internal control through clear areas of responsibility and allocation of duties. The procedures relate in particular to the management of financial exposure and the division of responsibility between the various roles in the Finance department and the department's financial systems. There are guidelines for managing financial exposure, which include checklists related to the control of current transactions.

The finance department is continuously assessing the Group's financial risks and opportunities. Projections and simulations are made in the corporate financial model based on key assumptions on macroeconomic development, financial parameters and the property market. The simulations are intended to provide information for the Board and management in their monitoring of key financial figures for the Group.

The Group's finance strategy shall ensure that the Group has financial flexibility and that it achieves competitive financial terms. The Group is exposed to financial risk and has defined the following relevant risk areas:

- Liquidity risk

• Refinancing risk
• Capital management and solvency
• Interest rate risk • Credit/counterparty risk
• Currency risk

Liquidity risk

Liquidity risk is the risk that the Entra will lack sufficient cash and cash equivalents to be able to fulfil the Group's payment obligations relating to operating costs, interest and maturities. According to the finance policy, the Group shall have a back-stop of short-term interest-bearing debt, i.e. unutilised credit facilities divided by short-term interestbearing debt, of at least 100 per cent. The back-stop of short-term interest-bearing debt was 701 per cent as of 31 December 2023. The unutilised credit facilities and continuous management of the debt portfolio ensures that the Group has available liquidity to fulfil the Group's payment obligations. As of 31 December 2023, Entra's cash and cash equivalents and unutilised credit facilities totaled 6 644 million (6 686 million).

Refinancing risk

Refinancing risk is the risk that Entra may not be able to refinance its maturing debt obligations in the future or that financing will not be available at a reasonable price.

According to Entra's finance policy, the Group seeks to limit refinancing risk through the following measures:

• average time to maturity for the Group's interest-bearing debt shall be at least three years
• not more than 30 per cent of the interest-bearing debt should mature within 12 months
• balanced maturity profile for the Group's financing
• the use of various credit markets and counterparties

As of 31 December 2023, average time to maturity the Group's interest-bearing debt was 3.8 years (4.3 years), 2 per cent (6 per cent) of the interest-bearing debt matures within 12 months and Entra has a well-staggered debt maturity profile. Entra maintains strong relations with five of the top six Nordic banks and participants in the debt capital market. Entra's financing is mainly based on negative pledge of the Group's assets, with secured financing for part of the Group's assets according to defined carve-out clauses in the loan agreements. The implementation of Basel 4, tentatively in 2025, may however increase the need for pledged bank loans.

Capital management and solvency

The main purpose of the Group's capital management is to optimize the balance between debt and equity, in order to maximise the value of the shares in the Group, while also maintaining a good credit rating and obtaining financing terms that reflects the risk profile of the Group. The Group has defined a target for the EPRA LTV (loan-to-value) ratio which shall not exceed 50 per cent over time.

Entra has an official investment grade credit rating from Moody's. It was changed to Baa3 with Stable outlook in November 2023. The acquisition of Oslo Areal in 2022 and yield expansion has brought the EPRA LTV up to above 50 per cent. However, this is considered manageable with Entra's high-quality assets with limited residual risk combined with a very strong tenant mix on long WAULTs. In addition to the stable cash flows from management of the property portfolio, Entra is in a deleveraging process towards to the long-term LTV target through capital discipline, including the Board's decision to not use the authorization to pay semi-annual dividend for the first half of 2023, and a targeted asset disposal program.

Interest rate risk

Interest rate risk arises from the interest-bearing debt being affected by changes in market rates. Interest rate risk affects the Group's cash flows and the market value of the Group's liabilities. The main purpose of the Group's interest rate strategy is to ensure that the Group achieves the desired balance between the interest expense and interest rate risk. The Group's interest rate risk is managed within the following financial policy requirements:

• minimum Interest Coverage Ratio (ICR) for the last 12 months of at least 1.80
• minimum 40 per cent of the interest-bearing debt to be hedged at fixed interest rate
• average remaining time to maturity for interest rate hedges in the interval 2–6 years
• diversification of the maturity structure for fixed interest rates

The Group uses interest rate derivatives and fixed rate bonds to establish and maintain the desired fixed rate structure. The interest rate hedge profile is based on an assessment of the Group's financial strength and its ability to generate long-term, stable cash flow.

As of 31 December 2023, the ICR for the last 12 months was 1.84 (2.48). The average nominal interest rate was 4.29 per cent (3.70 per cent) at 31 December 2023. As of 31 December 2023, Entra's portfolio of fixed interest rate hedges had a total volume of 22 889 million (22 334 million), equivalent to a fixed rate hedge position of 58.0 per cent (54.7 per cent). The average term to maturity of Entra's interest rate hedge portfolio was 4.2 years (4.7 years). The maturity structure for fixed rate instruments is diversified over the next 9 years.

The table below shows the nominal value of outstanding current and non-current interest-bearing debt including derivatives.

MATURITY STRUCTURE OF THE GROUP'S EXPOSURE TO NOMINAL INTEREST RATE RISK

As at 31.12.2023	31.12.2024	31.12.2025	31.12.2027	31.12.2029	31.12.2031	31.12.2033	31.12.2033+
Term to maturity	Up to 1 year	1–2 years	2–4 years	4–6 years	6–8 years		8–10 years Over 10 years	Total
Percentage	2.3	18.0	52.0	15.5	12.2	-	-	100
Amount (NOKm)	924	7 100	20 524	6 100	4 815	-	-	39 463
As at 31.12.2022	31.12.2023	31.12.2024	31.12.2026	31.12.2028	31.12.2030	31.12.2032	31.12.2032+
Term to maturity	Up to 1 year	1–2 years	2–4 years	4–6 years	6–8 years		8–10 years Over 10 years	Total
Percentage	5.9	18.4	46.5	10.0	17.9	1.2	-	100
Amount (NOKm)	2 399	7 504	18 992	4 094	7 315	500	-	40 804

Sensitivity analysis

The table below shows Entra's overall impact on the Group's interest expenses and ICR if the market interest rates in 2024 fluctuates in line with the forward curve as of the balance sheet date, when including the effects of existing interest rate hedges, assuming completion of all signed and reported ongoing transactions as of the date of this report and refinancing of debt maturities at expected markets terms. Further, the table shows the impact of a parallel shift in market interest rates, represented by the forward curve, of +/- 1 percentage point. For the calculation of the effect on the ICR in the table below, rental income is based on all reported events as of the date of this report and assuming the NOI margin to remain constant from 2023, while all other factors are based on reported figures for 2023. Planned divestments, which will improve the ICR, are not taken into account. The table can however not be considered an expectation or forecast for the interest expenses or ICR for 2024.

Assumption	Interest expenses (NOKm)	ICR
Interest rate development in line with forward curve	1 363	2.09
Market interest rates + 1 percentage point	1 492	1.91
Market interest rates - 1 percentage point	1 235	2.30

The effects on the interest expenses illustrated in the table above will be partly offset by positive changes in value of financial instruments given an increase in the marked rates and negative changes in value of financial instruments given a decrease in the marked rates.

Credit and counterparty risk

Stable, predictable and long-term access to capital is critical for Entra. Entra considers that the ability of creditors to behave predictably over the long term is often dependent on their credit-worthiness. For this reason, Entra wants the Group's creditors to be of a strong credit quality and has established credit rating limits for the Group's creditors. The credit ratings of the Group's financial counterparties are continuously monitored. The fair value of all financial derivative assets as of 31 December 2023 was 705 million (698 million).

Trade receivables at 31 December 2023 was 88 million (56 million), external loans was 586 million (110 million) and other long-term receivables was 78 million (92 million). The concentration of credit risk with respect to trade debtors is assessed to be low, as the majority of Entra's customers are paying their rent in advance. The external loan agreements are mainly seller's credit agreements with counterparties of solid creditworthiness.

Cash and bank deposits at 31 December 2023 amounted to 171 million (226 million). The deposits were placed with financial institutions with A-/A3 or better credit ratings.

Entra's finance policy includes a threshold which stipulates the maximum share of interest-bearing debt per counterparty is 40 per cent. No counterparties exceeded the threshold as of 31 December 2023.

Currency risk

The Group shall not incur any currency risk. The Group did not have any currency exposure on 31 December 2023.

Financial covenants

There are covenants in the Group's bank loan agreements specifying that the interest cover ratio (ICR) may not fall below 1.40 and that the loan-to-value of property (LTV) may not exceed 75 per cent. As of 31 December 2023, the Group was not in breach of any covenants as the ICR was 1.84 and EPRA LTV was 57.2 per cent. Refer to the sensitivity analysis in this note for the sensitivity of the ICR for changes in interest rates and note 14 for the sensitivity of the LTV for changes in the unobservable input variables in the valuation of investment properties.

There are no debt metric covenants in relation to the Group's bond or commercial paper loans, but there are clauses of cross-default.

MATURITY PROFILE OF ALL FINANCIAL INSTRUMENTS

NOK million	Remaining term
31.12.2023	Under 3 months	4–12 months	1–2 years	2–4 years	4–6 years	6–8 years	8–10 years	Over 10 years	Total
Interest-bearing bank loans – principal	-	-		5 500 15 801	500	500	-	-	22 301
Interest-bearing bank loans – amortising	9	26	34	31	-	-	-	-	100
Interest-bearing bank loans – estimated interest	336	1 008	1 312	890	109	55	-	-	3 710
Bonds – principal	924	-	1 600	4 623	5 600	4 315	-	-	17 062
Bonds – estimated interest	132	458	561	865	624	193	-	-	2 833
Commercial paper – principal	-	-	-	-	-	-	-	-	-
Commercial paper – estimated interest	-	-	-	-	-	-	-	-	-
Interest rate derivative liabilities	22	66	89	160	93	-32	-	-	399
Interest rate derivative assets	-93	-272	-316	-453	-285	-104	-27	-	-1 551
Lease liabilities	5	14	15	29	29	29	28	649	798
Trade payables	392	-	-	-	-	-	-	-	392
Other financial liabilities	81	-	-	-	-	-	-	-	81
Total	1 809	1 299		8 794 21 946	6 670	4 956	2	649	46 126

NOK million	Remaining term
31.12.2022	Under 3 months	4–12 months	1–2 years	2–4 years	4–6 years	6–8 years	8–10 years	Over 10 years	Total
Interest-bearing bank loans – principal	-	-		6 560 13 315	1 500	500	500	-	22 375
Interest-bearing bank loans – amortising	6	18	18	26	-	-	-	-	68
Interest-bearing bank loans – estimated interest	238	715	895	953	98	62	21	-	2 983
Bonds – principal	425	1 154	924	5 629	2 594	6 815	-	-	17 541
Bonds – estimated interest	126	408	454	813	541	349	-	-	2 691
Commercial paper – principal	820	-	-	-	-	-	-	-	820
Commercial paper – estimated interest	7	-	-	-	-	-	-	-	7
Interest rate derivative liabilities	-8	57	58	109	83	16	-	-	316
Interest rate derivative assets	-16	-77	-83	-113	-23	-40	-	-	-351
Lease liabilities	4	13	17	28	28	28	27	621	765
Trade payables	355	-	-	-	-	-	-	-	355
Other financial liabilities	78	-	-	-	-	-	-	-	78
Total	2 036	2 288		8 843 20 760	4 821	7 730	547	621	47 648

The table is based on undiscounted contractual cash flows. The maturity analysis is based on the earliest possible redemption for instruments where the counterparty has a choice as to when to redeem the instrument. Estimated interest is based on the interest rate on the individual loan/ instrument on the balance sheet date. In order to manage its liquidity risk, the Group has available, unutilised credit facilities with Nordic banks, as well as available liquid assets.

UNUTILISED CREDIT FACILITIES

NOK million		Term to maturity
31.12.2023	Under 3 months	4–12 months	1–2 years	2–4 years	4–6 years	6–8 years	8–10 years	Over 10 years	Total
Unutilised credit facilities	-	-	-	6 473		-	-	-	6 473
Total unutilised credit facilities	-	-	-	6 473	-	-	-	-	6 473
NOK million	Term to maturity
31.12.2022	Under 3 months	4–12 months	1–2 years	2–4 years	4–6 years	6–8 years	8–10 years	Over 10 years	Total
Unutilised credit facilities	-	-	180	6 280	-	-	-	-	6 460
Total unutilised credit facilities	-	-	180	6 280	-	-	-	-	6 460

At 31 December 2023, the Group had 134 million (184 million) of available liquid assets. Refer to Note 25.

KEY FIGURES FOR THE GROUP'S FINANCIAL INSTRUMENTS

	2023	2022
Nominal value of interest rate derivatives on the balance sheet date (NOKm)1 of which	20 960	21 010
– Fixed-to-variable swaps (NOKm)1	3 400	3 900
– Variable-to-Fixed swaps (NOKm)	17 560	17 110
Range of fixed interest rates	From 0.890% to 5.640%	From 0.890% to 5.640%
Variable rate basis	NIBOR	NIBOR
Average fixed rate excl. forward starting swaps	2.17%	2.15%
Average fixed rate incl. forward starting swaps	2.19%	2.18%

¹ 3 400 million (3 900 million) of swaps linked to the fixed-interest bonds issued by the Group are included in the volume of interest rate swaps. These bonds are swapped to a variable rate in order to ensure that the Group is in a position to manage its interest rate fixing independently of the bonds. The real volume used for interest rate fixing is therefore 17 560 million (17 110 million). At 31 December 2023, the Group has no interest rate options or option-related products.

Note 24 Interest-bearing liabilities

Accounting policies

Interest-bearing liabilities are classified as financial liabilities at amortised cost, and are measured at fair value upon initial recognition, and subsequently at amortised cost using the effective interest rate method. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the effective interest rate. The effective interest rate amortisation is included as net realised financials in the statement of profit or loss. The liabilities are measured at their nominal value when the effect of discounting is immaterial.

Interest-bearing liabilities are classified as current liabilities when the debt is due for repayment less than 12 months from the balance sheet date.

NON-CURRENT BORROWINGS

NOK million	Nominal value 2023	Market value 2023	Carrying amount 2023	Nominal value 2022	Market value 2022	Carrying amount 2022
Bank loans	22 366	22 366	22 336	22 419	22 419	22 388
Bonds	16 138	14 565	15 820	15 962	14 283	15 703
Total non-current borrowings	38 504	36 931	38 156	38 381	36 702	38 091

CURRENT BORROWINGS

NOK million	Nominal value 2023	Market value 2023	Carrying amount 2023	Nominal value 2022	Market value 2022	Carrying amount 2022
Bank loans	34	34	34	24	24	24
Bonds	924	924	924	1 579	1 572	1 579
Commercial papers	-	-	-	820	820	820
Total current borrowings	958	958	958	2 423	2 416	2 423

The average credit margin on the Group's borrowings at 31.12.2023 was 1.03 per cent (0.91 per cent).

CHANGES IN LIABILITIES ARISING FROM FINANCING ACTIVITIES

NOK million	Non-current borrowings	Current borrowings	Non-current lease liabilities	Current lease liabilities	Financial derivatives	Total liabilities from financing activities
31 December 2022	38 091	2 423	264	5	-388	40 395
New liabilities	11 309	1 960				13 269
Repayment	-10 355	-4 378		-5		-14 738
Reclassification	-953	953	-3	3		-
Net amortization effects	64					64
Change in fair value					-34	-34
Other non-cash movements			17			17
31 December 2023	38 156	958	278	3	-423	38 972

Secured financing

Entra's financing is mainly based on negative pledge of the Group's assets, which enables a broad and flexible financing mix. However, secured financing is arranged for part of the Group's assets according to defined carve-out clauses in the loan agreements. As of 31.12.23, utilised secured debt amounted to 6.1 per cent of the Group's assets according to the definition in the carve-out clause in the bond agreements. If the secured facilities were fully utilised, secured debt would amount to 9.7 per cent of the Group's assets.

SECURED FINANCING AT 31.12.2023

NOK million	Pledged assets	Secured debt instruments	Utilised secured debt instruments
Partly-owned assets	2 120	629	629
Wholly-owned assets	11 255	7 095	4 472
Total secured financing	13 375	7 724	5 101

SECURED FINANCING AT 31.12.2022

NOK million	Pledged assets	Secured debt instruments	Utilised secured debt instruments
Partly-owned assets	2 307	653	653
Wholly-owned assets	10 593	6 100	1 100
Total secured financing	12 900	6 753	1 753

The Group's bonds and commercial papers are subject to the following terms

BONDS AT 31.12.2023

NO0010789464 1 500 3M Nibor + 0.86% 20.03.2024 1 195 NO0010852692 1 500 3M Nibor + 0.83% 22.05.2025 1 450 NO0010852684 1 500 0.0279 22.05.2026 1 200 NO0011094625 3 000 3M Nibor + 0.12% 10.09.2026 2 300 NO0011094641 4 000 0.02 10.09.2029 1 900 NO0010886856 2 000 3M Nibor + 1.10% 29.06.2027 2 000 NO0010895964 2 000 0.0166 21.04.2028 2 000 NO0011017147 3 000 3M Nibor + 0.40% 07.06.2029 1 700 NO0011094633 3 000 0 015 10.09.2026 1 150 NO0011041535 3 000 0.0249 01.02.2030 1 000 NO0010282031 1 100 0.0462 29.05.2030 1 100 NO0011079808 4 000 3M Nibor + 0.55% 20.11.2030 2 215 NO0011011256 2 000 0.0196 28.11.2025 1 000 Total bonds	ISIN	Issue limit (NOKm)	Coupon rate	Term to maturity	Nominal amount issued (NOKm)	Nominal amount outstanding (NOKm)
						924
						600
						579
						2 300
						1 900
						594
						2 000
						1 700
						1 150
						1 000
						1 100
						2 215
						1 000
						17 062

BONDS AT 31.12.2022

ISIN	Issue limit (NOKm)	Coupon rate	Term to maturity	Nominal amount issued (NOKm)	Nominal amount outstanding (NOKm)
NO0010670995	1 500	5.00%	08.02.2023	500	425
NO0010766389	1 500	2.45%	02.06.2023	1 100	470
NO0010774797	1 500	3M Nibor + 0.94%	22.09.2023	1 200	684
NO0010789464	1 500	3M Nibor + 0.86%	20.03.2024	1 195	924
NO0010852692	1 500	3M Nibor + 0.83%	22.05.2025	1 450	600
NO0010852684	1 500	2.79%	22.05.2026	1 200	579
NO0011094625	3 000	3M Nibor + 0.12%	10.09.2026	2 300	2 300
NO0011094641	4 000	2.00%	10.09.2029	1 400	1 400
NO0010886856	2 000	3M Nibor + 1.10%	29.06.2027	2 000	594
NO0010895964	2 000	1.66%	21.04.2028	2 000	2 000
NO0011017147	3 000	3M Nibor + 0.40%	07.06.2029	1 500	1 500
NO0011094633	3 000	1.50%	10.09.2026	1 150	1 150
NO0011041535	3 000	2.49%	01.02.2030	1 000	1 000
NO0010282031	1 100	4.62%	29.05.2030	1 100	1 100
NO0011079808	4 000	3M Nibor + 0.55%	20.11.2030	1 815	1 815
NO0011011256	2 000	1.96%	28.11.2025	1 000	1 000
Total bonds					17 541

Note 25 Cash and bank deposits

Accounting policies

Cash and cash equivalents consist of bank deposits and other short-term, highly liquid investments with an original term to maturity of no more than three months.

NOK million	2023	2022
Bank deposits	134	184
Restricted bank deposits	37	42
Total bank deposits	171	226

Restricted bank deposits relate to the withholding tax account and guarantees for loans.

COMMERCIAL PAPERS AT 31.12.2022

ISIN	Issue limit (NOKm)	Coupon rate	Term to maturity	Nominal amount issued (NOKm)	Nominal amount outstanding (NOKm)
NO0012787250	170	4.20%	16.01.2023	170	170
NO0012793928	200	4.37%	27.03.2023	200	200
NO0012768508	450	4.79%	15.02.2023	450	450
Total commercial papers					820

Note 26 Share capital and shareholder information

Entra's share capital is 182 132 055 divided into 182 132 055 shares, with each share having a par value of 1.00. All the shares have been issued in accordance with the Norwegian Public Limited Companies Act and are fully paid. Entra has one class of shares. All shares provide equal rights, including the right to any dividends. Each of the shares carries one vote. There are no share options or other rights to subscribe for or acquire shares issued by Entra. At 31 December 2023, Entra owns none (none) of its own shares and has a total of 182 132 055 (182 132 055) shares outstanding.

At 31 December 2023, Entra had 4 947 shareholders (5 144 shareholders). Norwegian investors held 12 per cent (11 per cent) of the share capital and foreign investors 88 per cent (89 per cent).

	Number of shares	Par value (NOK)	Share capital (NOKm)
31 December 2022	182 132 055	1	182
31 December 2023	182 132 055	1	182

Paid-in capital amounts to 3 706 million (3 706 million) and consists of 182 million (182 million) in share capital, of which nil (nil) is related to treasury shares, and 3 524 million (3 524 million) in other paid-in capital.

Entra ASA has a share purchase scheme, offering all employees, including Senior Executives, the opportunity to purchase shares in Entra ASA at a discounted price. The shares are subject to two-year lock-in period. The purchase price in the employee offering was calculated as the volume weighted average share price the last 30 days (VWAP) until and including 24 April 2023 less a 25 per cent discount. A total of 115 279 shares were acquired and sold to the employees in connection with the share purchase scheme in May 2023. In addition, a total of 44 161 shares were awarded to Senior Executives in March 2023.

For other changes in shareholders' equity, see the consolidated statements of changes in equity.

The 20 largest shareholders as registered in the VPS as of 31 December 2023 were as follows:

Shareholder	Type of account	Country	No of shares per 31.12.2023	Shareholding %
Castellum	Ordinary	Sweden	60 710 624	33.3%
Fastighets AB Balder1	Ordinary	Sweden	50 000 000	27.5%
Skandinaviska Enskilda Banken	Nominee	Sweden	12 568 660	6.9%
Skandinaviska Enskilda Banken	Ordinary	Sweden	3 822 006	2.1%
Danske Bank	Nominee	Sweden	2 626 346	1.4%
Folketrygdfondet	Ordinary	Norway	2 321 779	1.3%
Skandinaviska Enskilda Banken	Ordinary	Sweden	2 160 057	1.2%
State Street Bank and Trust Comp	Nominee	United States	2 056 217	1.1%
Goldman Sachs International	Nominee	United Kingdom	2 000 000	1.1%
Danske Invest Norske Instit. II.	Ordinary	Norway	1 943 005	1.1%
JPMorgan Chase Bank	Nominee	United States	1 388 651	0.8%
State Street Bank and Trust Comp	Nominee	United States	1 304 360	0.7%
The Bank of New York Mellon	Nominee	The Netherlands	1 278 925	0.7%
State Street Bank and Trust Comp	Nominee	United States	1 226 035	0.7%
J.P. Morgan	Nominee	Finland	1 125 000	0.6%
Telenor Pensjonskasse	Ordinary	Norway	1 043 014	0.6%
Gjensidige Forsikring	Ordinary	Norway	1 000 000	0.5%
Avanza Bank	Nominee	Sweden	945 947	0.5%
Weenasgruppen	Ordinary	Norway	933 435	0.5%
The Bank of New York Mellon	Nominee	United Kingdom	782 119	0.4%
Total 20 largest shareholders			151 236 180	83.0%
Total			182 132 055	100.0

1 As of 31 December 2023, Fastighets AB Balder held shares, in its own name and through nominees, equalling 39.9 per cent of the shares.

SHARES HELD BY THE BOARD OF DIRECTORS AND SENIOR EXECUTIVES AT 31.12. ¹

Shareholder	Position	Number of shares 2023	Number of shares 2022
Board of directors
Ottar Ertzeid	Chair	-	-
Hege Toft Karlsen	Vice Chair	-	-
Widar Salbuvik	Board member	20 000	20 000
Joakim Sjöberg	Board member	-
Camilla AC Tepfers	Board member	-	-
Marit Rasmussen	Employee representative	454	454
Erling Nedkvitne	Employee representative	16 518	14 533
Senior executives
Sonja Horn	CEO	60 478	46 721
Anders Olstad	CFO and Deputy CEO	87 111	75 236
Kjetil Hoff	COO	17 827	11 119
Per Ola Ulseth	EVP Project Development	17 271	12 878
Hallgeir Østrem	EVP Legal and Procurement from	24 075	16 622
Carine Blyverket	EVP Market and Commercial Real Estate Development from 1 March 2023	-
	Kristine Hilberg Tunstad EVP HR and Organisation	13 591	8 042
Tore Bakken	EVP Market and Commercial Real Estate Development until 28 February 2023		8 985
	Shares held by board of directors and senior executives	257 325	214 590

1 Shareholding is stated in the table above only if the person has been a director or senior executive at 31.12 the applicable year.

Note 27 Consolidation and subsidiaries

Accounting policies

The Consolidated financial statements include all the financial statements of Entra ASA and its subsidiaries. Subsidiaries are all entities (including structured entities) over which Entra has control, either directly or through other subsidiaries. The Entra controls an entity when the Group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity.

The Group reassesses whether it controls an investee if facts and circumstances indicate that there are changes to one or more of the elements of control listed above.

When the Group has less than a majority of the voting rights of an investee, it has power over the investee when the voting rights are sufficient to give it the practical ability to direct the relevant activities of the investee unilaterally. The Group considers all relevant facts and circumstances in assessing whether the Group's voting rights in an investee are sufficient to give it power, including:

• The size of the Group's holding of voting rights relative to the size and dispersion of holdings of the other vote holders;
• potential voting rights held by the Group, other vote holders or other parties;
• rights arising from other contractual arrangements; and/or
• any additional facts and circumstances that indicate that the Group has, or does not have, the current ability to direct the relevant activities at the time that decisions need to be made, including vote patterns at previous shareholder's meetings.

Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are deconsolidated from the date that control ceases.

The acquisition method is used to account for purchases of subsidiaries that constitute a business. The consideration given is measured at the fair value of the transferred assets, the equity instruments that have been issued, liabilities assumed on the transfer of control and direct costs relating to the actual purchase.

The cost of acquisition also includes the fair value of all assets or liabilities that are the result of an agreement on contingent consideration.

Identifiable purchased assets, assumed liabilities and contingent liabilities are recognised at fair value on the date of acquisition. The costs associated with the business combination are expensed when they are incurred. If the aggregate of the consideration, the carrying amount of non-controlling interests and the fair value on the acquisition date of any previously held ownership interests exceeds the fair value of the acquired entity's identifiable net assets, the difference is capitalised as goodwill. If the aggregate is less than the company's net assets, the difference is immediately recognised in profit or loss.

Contingent consideration is recognised at fair value on the date of acquisition. Subsequent changes in the fair value of the contingent consideration are recognised in profit or loss or recognised as a change in other comprehensive income (OCI), if the contingent consideration is classified as an asset or a liability. Contingent consideration classified as equity is not remeasured, and subsequent settlement is recognised in equity.

For accounting purposes, acquisitions of subsidiaries that do not constitute a business as defined in IFRS 3, such as acquisitions where substantially all of the fair value of the gross assets acquired is concentrated in a single property or group of similar properties, are treated as asset acquisitions. The cost of acquisition is then attributed to the individual identifiable assets and liabilities based on their relative fair values on the acquisition date. Expenses associated with the transaction are capitalised on the investment property. Such acquisitions are transactions to which the initial recognition exemption according to IAS 12 would apply, and no deferred tax would be recognised for taxable temporary differences for the assets and liabilities acquired.

If the Group loses control over a subsidiary, it derecognises the related assets (including goodwill), liabilities, non-controlling interest and other components of equity, while any resultant gain or loss is recognised in profit or loss. For a subsidiary where main asset is an investment property, the net gain or loss associated with the loss of control of the subsidiary is presented as change in value of investment properties. Any investment retained is recognised at fair value.

Intra-group transactions, balances and unrealised gains are eliminated. Unrealised losses are eliminated, but are considered evidence of impairment in terms of writing down the value of the transferred asset. If necessary, the accounting policies at subsidiaries are changed in order to bring them into line with the Group's accounting policies.

Transactions with non-controlling interests

Transactions with non-controlling interests in subsidiaries are treated as equity transactions. If shares are acquired from anon-controlling interest, the difference between the payment and the proportion of the carrying amount of the subsidiary's net assets attributable to the shares is recognised in the equity of the parent company's owners. Gains and losses arising from the sale of shares to non-controlling interests are similarly recognised in equity.

If the Group loses control, any residual holding is remeasured at fair value through profit or loss (FVTPL). Thereafter, the fair value is used as the acquisition cost for accounting purposes, and the holding is treated as an investment in an associate, in a jointly con- trolled entity or in a financial asset. Amounts previously included in OCI that relate to the company are treated as if the Group had disposed the underlying asset and liability. This may result in amounts that were previously included in OCI being reclassified to the income statement.

Critical judgements in applying accounting policies

Consolidation of entity in which the Group holds less than a majority of shares

Entra considers that it controls Entra OPF Utvikling AS with a 50 per cent holding in the company. In this assessment, Entra has considered all relevant facts and circumstances in assessing whether the voting rights are sufficient to give Entra power over the company.

A key consideration is whether Entra has the practical ability to unilaterally direct the relevant activities that affect the amount of Entra's return. The relevant activities, including property management, ongoing maintenance and minor redevelopment projects, are directed by the Board of Directors in the company. The shareholder agreement includes certain provisions that restricts Entra from making significant changes to the business of the company. These provisions are not considered to give the co-investors power over the company, and are only considered to be protective rights. As Entra shall appoint the Chair of the Board of the company and the Chair has a double vote in the Board of Directors, Entra has concluded it controls this company.

The Group comprises the following legal entities at 31 December 2023. All subsidiaries are incorporated in Norway.

WHOLLY OWNED SUBSIDIARIES OF ENTRA ASA

Akersgata 34–36 AS	Brynsveien 3A ANS	Entra Labs AS	Keysers gate 13 AS	Nils Hansens vei 20 AS	Tullinkvartalet AS
Biskop Gunnerus' gate 14A AS	Brynsveien 3B ANS	Entra Service AS	Kjørboparken AS	Nonnesetergaten 4 AS	Tullins gate 2 AS
Biskop Gunnerus' gate 6 AS	Brynsveien 5 AS	Entra Utleie AS	Kongens gate 87 AS	Nygårdsgaten 93–97 AS	Tullinsgt 2 ANS
Bispen AS	Brynsveien 6 og 12 AS	Fredrik Selmers vei 4 AS	Kristian Augusts gate 13 AS	Otto Sverdrups plass 4 AS	Tvetenveien 22 AS
Blåisen AS	Christian Krohgs gate 10 AS	Fredrik Selmers vei 6 AS	Lagårdsveien 6 AS	Pilestredet 33 AS	Universitetsgata 1–9 AS
Blånebba ANS	Christian Krohgs gate 2 AS	Fyrstikkalléen 1 AS	Langkaia 1 AS	Professor Olav Hanssens vei 10 AS	Universitetsgata 2 AS
Brattørkaia 13B AS	Cort Adelers gate 30 AS	Grensesvingen 26 AS	Lars Hilles gate 19 AS	Savoy Holding AS	Vahls gate 1–3 AS
Brattørkaia AS	Drammensveien 131 AS	Grensesvingen 7 Eiendom AS	Lars Hilles gate 25 AS	Schweigaards gate 15 AS	Valkendorfsgaten 6 AS
Bryn Boligselskap AS	Drammensveien 134 AS	Grenseveien 78 B AS	Lilletorget 1 AS	Schweigaards gate 16 AS	Verkstedveien 1 Monier AS
Brynseng Eiendom AS	Drammensveien 134 P-Hus AS	Hagegata 22–24 AS	Løkketangen 2–14B AS	Schweigaards gate 6–14 AS	Verkstedveien 3 AS
Brynsengfaret 4 og 6 AS	Drammensveien 134 Utearealer AS	Hardangerjøkulen AS	Malmskriverveien 18–20 AS	St. Olavs plass 5 AS	Vestfjordgaten 4 AS
Brynsengfaret 6CD AS	Dronningens gate 2 AS	Holtermanns veg 1–13 AS	Malmskriverveien 2–4 AS	Stenersgata 1 AS	Wexelsplass Garasje AS
Brynsveien 1 AS	Entra Bryn AS	Holtermanns veg 70 AS	Marken 37 AS	Stenersgata Parkering AS	Østensjøveien 29 AS
Brynsveien 11/13 Eiendom AS	Entra Eiendom AS	Holtermanns veg Utvikling AS	Møllendalsveien 1A AS	Storgata 51 Oslo AS	Østensjøveien 39/41 AS
Brynsveien 2–4 AS	Entra Felleskost AS	Kaigaten 9 AS	Møllendalsveien 6–8 AS	Sundtkvartalet AS	Østensjøveien 43 AS
Brynsveien 3 Eiendom AS	Entra Kultur 1 AS	Karenslyst allé 7 AS	Nedre Vollgate 11 AS	Tordenskiolds gate 12 AS

PARTLY OWNED SUBSIDIARIES OF ENTRA ASA

Papirbredden Eiendom AS1	Entra OPF Utvikling AS 2
Grønland 51 AS	Entra OPF Utvikling Holding AS
Grønland 56 AS	Lars Hilles gate 30 Holding AS
Grønland 58 AS	Allehelgens gate 6 Holding AS
Grønland 60 AS	Lars Hilles gate 30 AS
Kreftings gate 33 AS	Allehelgens gate 6 AS

1 Papirbredden Eiendom AS is owned by Entra ASA with voting and owner shares of 60 per cent and Drammen Municipality with 40 per cent. 2 Entra ASA owns 50 per cent of the shares in Entra OPF Utvikling AS. The remaining 50 per cent is owned by Oslo Pensjonsforsikring AS.

Non-controlling interests

The following tables summarises the information relating to each of the Group's subsidiaries that have non-controlling interests (NCI), before any intra-group eliminations with the Group.

	FY2023 / 31.12.2023		FY2022 / 31.12.2022
	Papirbredden Eiendom AS	Entra OPF Utvikling AS	Total	Papirbredden Eiendom AS	Entra OPF Utvikling AS	Total
NCI ownership interests	40%	50%		40%	50%
Rental income	123	157	280	112	151	263
Net operating income	118	141	259	107	136	243
Net income	80	141	221	81	134	216
Changes in value of investment
properties	-204	-384	-588	-19	-36	-56
Changes in value of financial instruments	2	-	2	9	-	9
Profit before tax	-122	-243	-365	70	98	168
Tax	27	53	80	-15	-21	-36
Profit for the period	-95	-190	-285	55	77	132
Profit allocated to NCI	-38	-95	-133	22	39	60
Current assets	23	41	63	14	28	42
Non-current assets	2 124	2 873	4 997	2 307	3 256	5 563
Current liabilities	51	6	57	48	4	52
Non-current liabilities	914	304	1 217	981	356	1 337
Equity	1 182	2 605	3 786	1 292	2 924	4 216
Equity attributable to NCI	473	1 302	1 775	517	1 462	1 978
Net cash flows from operating activities	67	136	204	62	133	195
Net cash flows from investment activities	-20	-1	-21	-8	-	-8
Net cash flows from financing activities	-38	-130	-168	-61	-125	-186
Change in cash and cash equiva-lents	9	6	15	-6	8	2

Note 28 Associates and jointly controlled entites

Accounting policies

Joint arrangements

Under IFRS 11, investments in joint arrangements are classified as either joint operations or joint ventures. In a joint arrangement, no single party controls the arrangement on its own. The classification depends on the contractual rights and obligations of each investor, rather than the legal structure of the joint arrangement.

Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities require the unanimous consent of the parties sharing control.

A joint venture is a joint arrangement whereby the parties that have joint control of the arrangement have rights to the net assets of the arrangement.

Entra classifies its investments based on an analysis of the degree of control and the underlying facts. This includes an assessment of voting rights, ownership structure and the relative strength, purchase and sale rights controlled by Entra and other shareholders. Each individual investment is assessed. Upon changes in underlying facts and circumstances, a new assessment is made as to whether this is still a joint venture. Changes in contractual rights and obligations relating to the underlying asset or debt and changes in the shareholder agreement might lead to a shift in the accounting method.

In joint ventures, the Group's share of the companies' profit/loss after tax, adjusted for amortisation of excess value, are presented on a separate line in the consolidated income statement. Where necessary, the accounts of joint ventures have been brought into line with the Group's accounting policies. Joint ventures are recognised in the consolidated accounts using the equity method, often referred to as one-line consolidation, and presented as non-current assets.

A transaction that entails a change of control from an investment in a joint venture to an investment in a subsidiary is treated as a realisation and requires that a gain/loss at the time of derecognition of the joint venture has to be calculated and recognised in the income statement. Equity transactions in a joint venture is presented as an equity transaction in the Group's statement of changes in equity.

Associates

Associates are companies over which the Group has significant influence but not control or joint control. Significant influence normally exists where the Group's investment represents between 20 and 50 per cent of the capital with voting rights. Investments in associates are accounted for using the equity method of accounting, after initially being recognised at cost. Investments in associates include any excess values and goodwill identified at the time of acquisition, less any subsequent impairment losses.

The Group's share of the profit and loss of associates is recognised and added to the carrying amount of the investments. The Group's share of the comprehensive income of associates is recognised in the Group's comprehensive income and added to the carrying amount of the investments. The Group does not recognise its share of a loss if this would result in a negative carrying amount for the investment (including the entity's unsecured receivables), unless the Group has taken over obligations or made payments on behalf of the associate.

The Group's share of unrealised gains on transactions between the Group and its associates is eliminated. This also applies to unrealised losses, unless there is a permanent loss of value. Where necessary, the accounts of associates have been brought into line with the Group's accounting policies. Gains and losses arising from the dilution of ownership interests in associates are recognised in profit or loss.

If the Group no longer has significant influence, any residual holding is remeasured at FVTPL. Thereafter, the fair value is used as the acquisition cost for accounting purposes, and the holding is treated as a financial asset. Amounts relating to the company that were previously recognised in comprehensive income are treated as if the associate had disposed of the underlying assets and liabilities. This may result in amounts that were previously included in other comprehensive income being reclassified to the income statement. If the Group reduces its shareholding but retains significant influence, a proportionate share of the amounts previously recognised in other comprehensive income is reclassified to the income statement.

31.12.2023	Acquisition date	Business office	Shareholding voting rights (%)
Associated companies
Ullandhaug Energi AS	07.07.2009	Stavanger	44.00
H2O Eiendom AS	02.12.2019	Oslo	25.00
Galleri Oslo Utvikling AS	24.10.2022	Oslo	46.77
Galleriet Drift AS	31.03.2022	Oslo	46.77
Welcome Workdays AS	12.10.2023	Oslo	45.00
Jointly controlled entities
Oslo S Utvikling AS	01.07.2004	Oslo	50
Rebel U2 AS	10.10.2019	Oslo	50
Galleri Oslo Invest AS	12.01.2022	Oslo	33.33
31.12.2022	Acquisition date	Business office	Shareholding voting rights (%)

Associated companies
Ullandhaug Energi AS	07.07.2009	Stavanger	44.00
H2O Eiendom AS	02.12.2019	Oslo	25.00
Galleri Oslo Utvikling AS	24.10.2022	Oslo	46.77
Galleriet Drift AS	31.03.2022	Oslo	46.77
Jointly controlled entities
Oslo S Utvikling AS	01.07.2004	Oslo	50.00
Rebel U2 AS	10.10.2019	Oslo	50.00
Galleri Oslo Invest AS	12.01.2022	Oslo	33.33

MOVEMENT IN CARRYING AMOUNT OF ASSOCIATES AND JOINTLY CONTROLLED ENTITIES

NOK million	Galleri Oslo Invest AS	Oslo S Utvikling AS	Rebel U2 AS1	Other jointly controlled entities and associates	Total associates and jointly controlled entities
Carrying amount 31.12.2021	-	850	-	22	872
Share of profit for 2022	-6	-25	-	9	-22
Capital injection/ reduction	-	-125	-	9	-116
Investment in or divestment of company	163	-	-	-6	157
Carrying amount 31.12.2022	157	701	-	33	891
Share of profit for 2023	-21	-50	-	6	-65
Capital injection/ reduction	-	-	-	33	33
Investment in or divestment of company	-	-	-	-	-
Carrying amount 31.12.2023	136	651	-	72	859

¹ Entra's share of Rebel U2 AS' negative total comprehensive income is recognised as a reduction in the carrying value of Entra's loan to Rebel U2 AS, which is considered part of the Group's interests in Rebel U2 AS.

AGGREGATE FINANCIAL INFORMATION FOR ASSOCIATES AND JOINTLY CONTROLLED ENTITIES

(Figures stated refer to Entra's ownership interest)

NOK million	2023	2022
Revenue	807	70
Costs	-813	-113
Net income	-6	-43
Net value changes	-29	-10
Profit before tax	-35	-53
Tax expense	4	11
Profit after tax	-30	-42
Total comprehensive income1	-30	-42
Realisation of excess value	-41	-
Entra's share of total comprehensive income	-72	-42
Total assets	1 952	2 476
Shareholders equity	629	877
Non-controlling interests	49	42
Total liabilities	1 273	1 557

¹ In addtion to Entra's ownership interest in Total comprehensive income for 2022, a gain of 6 million due to the sale of the JV Hinna Park Facility Management AS was recognised as Share of profit from associates and JVs.

Summarised financial information for significant associates and jointly controlled entities (100 per cent)

Oslo S Utvikling AS is a property development company that is undertaking primarily residential development in Bjørvika in Oslo's CBD East.

Rebel U2 AS is the operator of the technology hub in Universitetsgata 2 in Oslo. The company offers full-service solutions, flexible and short- term leases, co-working facilities as well as conference and event activity.

Galleri Oslo Invest AS is a joint venture with the two other owners of Schweigaards gate 6–14 in Oslo ("Galleri Oslo"), owning and managing 10.6 per cent of the property.

	Oslo S Utvikling AS		Rebel U2 AS		Galleri Oslo Invest AS
NOK million	2023	2022	2023	2022	2023	2022
INCOME STATEMENT
Revenue	1 415	13	145	117	10	10
Cost of sales	-1 369	-22	-80	-73	-1	-1
Administrative costs	-45	-45	-24	-24	-4	-1
Net realised financials	-13	-10	-58	-59	-	-
Net income	-12	-64	-17	-38	5	8
Changes in value of investment properties Changes in value of financial instruments	- -	- -	- -	- -	-86 -	-31 -
Profit before tax	-12	-64	-17	-38	-81	-23
Tax expense	-5	12	4	8	18	5
Profit for the year	-17	-51	-13	-30	-64	-18
Total comprehensive income	-17	-51	-13	-30	-64	-18
Realisation of excess value	-41	-	-	-	-	-
Entra's share of total comprehensive income	-50	-25	-7	-15	-21	-6

	Oslo S Utvikling AS		Rebel U2 AS		Galleri Oslo Invest AS
NOK million	2023	2022	2023	2022	2023	2022
BALANCE SHEET
Current assets	2 667	3 333	71	29	20	18
of which cash and cash equivalents	68	53	39	16	18	15
Non-current assets	94	51	619	667	392	463
Current liabilities	559	2 226	82	63	2	6
of which current financial liabilities other than
accounts payable and provisions	140	1 715	-	-	-	-
Non-current liabilities	1 195	149	669	682	-	-
of which non-current financial liabilities other
than accounts payable and provisions	1 135	-	-	-	-	-
Net assets	1 007	1 008	-61	-48	409	474
of which attributable to non-controlling interests	98	-83	-	-	-	-
Net assets attributable to equity holders of
the JV	909	926	-61	-48	409	474
Entra's shareholding in the JV	454	463	-31	-24	136	157
Excess value	197	238	-	-	-	-
Carrying amount of Entra's shareholding	651	701	-	-	136	157

Note 29 Related parties

The Group's transactions and balances with associates and jointly controlled entities in 2023 is mainly related to rental income, administrative fees, loans, interest payments on loans and dividends.

NOK million	2023	2022
Income statement
Rental income	90	85
Other revenues	1	4
Dividends	3	128
Balance sheet
Receivables	45	28
Loans	30	8
Short-term debt	2	-

Note 30 Auditor's fee

NOK thousand	2023	2022
Statutory audit	3 798	3 197
Tax advice	-	-
Other services not related to auditing	-	-
Other assurance services	693	734
Total auditor's fee (excl. VAT expense)	4 491	3 932

Note 31 Subsequent events

On 1 February 2024, Entra signed a letter of intent ("LOI") regarding the sale of its Trondheim portfolio to E C Dahls Eiendom AS, a wholly owned subsidiary of Reitan Eiendom AS.

According to the LOI, Entra will sell its Trondheim portfolio containing 13 office properties totaling 187 474 sqm for gross asset value of 6.45 billion, which is 1 per cent below book values as of Q4 2023 adjusted for land lease obligations recognised in the balance sheet. The proceeds will be used to strengthen Entra's balance sheet. The transaction is subject to customary due diligence and clearance from the Norwegian Competition Authority. The conditions are expected to be lifted and a binding agreement signed in March 2024. The transaction is expected to close during Q2 2024.

In addition, Entra has agreed to sell the ongoing development project in Holtermanns veg 1–13 (phase 3) to E C Dahls Eiendom AS after completion. The project totals 15 500 sqm and is expected to be finalised in Q4 2025. The sale of the development project is expected to close in 2026.

As of 31.12.2023		Reported metrics Trondheim portfolio	Metrics excluding Trondheim portfolio
Sqm in management portfolio	1 375 579	187 474	1 188 105
No of properties in management portfolio	90	13	77
12 months rolling rent (NOKm)	3 535	407	3 128
Occupancy	95.30%	94.80%	95.30%
WAULT	6.1	4.9	6.4
Public sector share of Rental income	57%	77%	55%
EPRA LTV	57.2%		53.1%
Effective leverage	54.0%		49.7%

Parent company financial statements

Statement of income 1 January to 31 December	180
Balance sheet	181
Statement of cash flows	182

Notes to the Parent company financial statements	183
General information	183
Accounting principles	183
Sales revenue	186
Payroll and related costs	186
Operating equipment	186
Other operating costs	186
Auditor's fee	187
Other financial income	187
Other financial costs	187
Tax	187
Subsidiaries, jointly controlled entities and
associates	188
Related party transactions and intra-group
balances	190
Share capital and shareholder information	190
Equity	191
Pension	191
Borrowings and other financial instruments	192
	Receivables which fall due after more than one year 189

Statement of income 1 January to 31 December

All amounts in NOK million
	Note	2023	2022
Sales revenue	3	223	167
Total revenue		223	167
Payroll and related costs	4	-307	-285
Depreciation	5	-3	-2
Other operating costs	6, 7	-106	-89
Total operating costs		-416	-376
Operating profit		-193	-209
Income from investments in subsidiaries		1 212	2 091
Income from investments in associates and jointly controlled entities		3	128
Interest income from Group companies		363	280
Other financial income	8	889	306
Interest expense from Group companies		-129	-47
Interest expense		-1 497	-1 018
Other financial costs	9	-2 077	-1 096
Net financial items		-1 237	644
Profit before tax		-1 430	435
Tax expense	10	78	-
Profit for the year		-1 352	434

Balance sheet

NOK million	Note	31.12.2023	31.12.2022
ASSETS
Non-current assets
Deferred tax assets	10	107	27
Total intangible assets		107	27
Operating equipment	5	8	8
Total property & equipment		8	8
Investments in subsidiaries	11	30 732	33 177
Loans to Group companies	12, 13	11 444	9 886
Investments in associates and jointly controlled entities	11	735	700
Loans to associates and jointly controlled entities	12	43	26
Investments in shares		272	322
Other long-term receivables and other assets	12	106	147
Total non-current financial assets		43 332	44 257
Total non-current assets		43 447	44 292
Current assets
Trade receivables	13	7	4
Receivables on Group companies	13	1 228	2 092
Other current receivables		407	196
Total current receivables		1 642	2 291
Cash and bank deposits		11	168
Total current assets		1 653	2 459
TOTAL ASSETS		45 099	46 751

	Note	31.12.2023	31.12.2022
EQUITY AND LIABILITIES
Equity
Share capital	14, 15	182	182
Share premium reserve	15	2 595	2 595
Other paid-in capital	15	929	929
Total paid-in capital		3 706	3 706
Retained earnings	15	-1 069	292
Total equity		2 637	3 998
Non-current liabilities
Pension liabilities	16	85	91
Borrowings	17	36 452	36 363
Other non-current liabilities		4	6
Total non-current liabilities		36 542	36 461
Current liabilities
Borrowings	17	934	2 399
Trade payables		13	11
Liabilities to Group companies	13	4 670	3 139
Proposed dividend		-	455
Other current liabilites		303	289
Total current liabilities		5 920	6 293
Total liabilities		42 462	42 753
TOTAL EQUITY AND LIABILITIES		45 099	46 751

Statement of cash flows

NOK million
	2023	2022
Profit before tax	-1 430	435
Income taxes paid	-	-
Net expensed interest and fees on loans	1 612	1 101
Net interest and fees paid on loans	-1 517	-1 006
Income from investment in subsidiaries, associates and joint controlled entities	-1 215	-2 092
Gain and loss on sale of shares	-867	-298
Depreciation of non-current assets	3	2
Impairment of financial assets	1 955	1 005
Change in working capital	28	-29
Net cash flows from operating activities	-1 431	-882
Proceeds from sale of subsidiaries	1 034	189
Payments made on investments in subsidiaries	-	-10 134
Payments made on investments in associates and jointly controlled entities	-19	-
Proceeds from sale of associates and jointly controlled entities	-	11
Proceeds from subsidiaries – Group contributions/dividends/repayment of equity	2 189	639
Proceeds from associates and jointly controlled entities – dividends	-	128
Payments/repayments other shares	16	-23
Proceeds/repayments from loans to subsidiaries	-	4
Proceeds/repayments made on loans to associates and jointly controlled entities	-16	-3
Proceeds/repayments from other loans	-6	-43
Purchase of equipment and other assets	-3	-7
Net change in cash pool balance	-26	-3 942
Net cash flows from investing activities	3 169	-13 180

	2023	2022
Proceeds interest-bearing debt	13 269	30 900
Repayment interest-bearing debt	-14 709	-15 958
Dividends paid	-455	-947
Net cash flows from financing activities	-1 895	13 995
Change in cash and cash equivalents	-157	-67
Cash and cash equivalents at beginning of period	168	235
Cash and cash equivalents at end of year	11	168

	Oslo, 15 March 2024 The Board of Entra ASA
	This document is signed electronically
Ottar Ertzeid Chair of the Board	Hege Toft Karlsen Vice Chair	Widar Salbuvik Board member
Joacim Sjöberg Board member	Camilla AC Tepfers Board member	Marit Rasmussen Board member
Erling Nedkvitne Board member		Sonja Horn CEO

Notes to the Parent company financial statements

Note 01 General information

Entra ASA ("the Company") is listed on Oslo Stock Exchange with the ticker ENTRA. The Company and its subsidiaries (together "the Group") is one of Norway's leading commercial real estate companies, focusing on large, high-quality, flexible and environment-friendly office properties in clusters around central public transportation hubs in the largest cities in Norway. The Group owns and manages 99 (102) properties with a total area of approximately 1.6 million (1.6 million) square metres. As of 31.12.23 the real estate portfolio had a market value of around 70 billion (79 billion). The public sector represents 56 per cent (56 per cent) of the total customer portfolio. Entra has its head office in Oslo.

The financial statements were adopted by the Company's Board on 15 March 2024.

Note 02 Accounting principles

Accounting principles

The most important accounting principles applied in the preperation of the annual financial statements are described below. These principles are applied in the same way for all periods presented, unless otherwise indicated in the description.

Basic principles

The annual financial statements have been prepared in accordance with Norwegian Accounting Act of 1998 and good accounting practice (NGAAP).

The annual financial statements have been prepared on the basis of the historical cost principle.

Presenting the accounts in accordance with NGAAP requires the management to make certain assessments and assumptions. The application of the Company's accounting principles also requires management to exercise judgement. Estimates and subjective judgements are based on past experience and other factors that are considered appropriate. Actual results may deviate from these estimates.

Estimates and underlying assumptions are continuously reassessed. Changes in accounting estimates are recognised in the period in which the changes occur if they apply only to that period. If the changes also apply to future periods, the impact is distributed over the current and future periods.

The financial statements have been presented on the assumption of the business being a going concern.

General principles for measurement and classification of assets and liabilities

Assets intended for long-term ownership or use are classified as non-current assets. Other assets are classified as current assets. Receivables that are repayable within a year are classified as current assets. When classifying non-current and current liabilities, equivalent criteria have been applied.

Current assets are valued at the lower of the acquisition cost and fair value.

Income recognition

Revenue is recognised when it is earned, i.e. when the claim to remuneration arises. This occurs when the service is performed, i.e., as the work is being done. The revenue is recognised with the value of the remuneration at the time of transaction.

Costs

Costs are normally reported in the same period as the related income. Where there is no clear link between expenditure and the income, allocation is determined on the basis of assessment criteria.

Currency

The presentation currency is NOK. This is also the functional currency of the Company.

Foreign currency transactions are translated at the exchange rate on the date of the transaction. Monetary foreign currency items on the balance sheet are translated at the exchange rate on the balance sheet date.

Operating equipment

Operating equipment is recognised at acquisition cost on the balance sheet and are depreciated to a schedule over the anticipated useful life of the assets. The acquisition cost includes costs directly related to the acquisition of the equipment.

Subsidiaries

Investments in subsidiaries are included in the financial statements using the cost method. Investments are written down to their fair value if the reduction in value is other than temporary and the write-down appears to be necessary in accordance with generally accepted accounting principles.

Dividends and Group contributions from subsidiaries are recognised as income from the investment in the subsidiary in the year that the allocation is made by the subsidiary. Dividends and Group contributions from subsidiaries that exceed the retained earnings over the period of ownership are considered as repayments of the acquisition cost.

Jointly controlled entities and associated companies

Jointly controlled entities are entities where the Company shares control with other parties, and where an agreement between the parties ensures that strategic decisions on financial and operating policies are unanimous. This applies to companies where a shareholder agreement ensures joint control of the business.

Associates are entities over which the Company has significant influence but not control. Significant influence normally exists where the Company's investment represents between 20 and 50 per cent of the capital with voting rights.

Investments in jointly controlled entities and associates are included in the company accounts using the cost method. Investments are written down to their fair value if the reduction in value is other than temporary and the write-down appears to be necessary in accordance with generally accepted accounting principles.

Trade receivables

Trade receivables and other receivables are reported at nominal value after deduction of loss provisions. Loss provisions are made on the basis of an individual assessment of each receivables.

Cash and cash equivalents

Cash and cash equivalents consist of bank deposits and other short-term, highly liquid investments with an original term to maturity of no more than three months.

The Company has an account in a group cash pooling arrangement and finances its subsidiaries' liquidity requirements.

Non-current liabilities

Non-current liabilities are shown on the balance sheet at nominal value on the initial date. Premiums and discounts in connection with taking on non-current liabilities, as well as arrangement fees, are accrued over the period of the loan. Similarly, in the event of the repurchase of bonds, premiums and discounts are accrued over the remaining term to maturity for the relevant liabilities.

All of the Company's debt is subject to variable rates (including any fixed rate bonds, which are swapped to a variable rate). The Company has then used interest rate swaps to convert its debt to fixed rate loans with varying maturities. The Company accrues these interest-rate swaps in such a way that the fixed rate is expensed in the income statement. On the termination of interest rate swap agreements, the profit or loss is accrued over the remaining term to maturity of the agreement in question.

The Company has chosen to apply accounting principles which mean that changes in the value of the Company's interest rate swaps are not recognised in the income statement. Hedged items are carried at their nominal value.

In general, the Group's financing is based on negative pledge clauses.

Pension

The Company has both a defined-benefit pension scheme and a defined contribution pension-scheme. A defined benefit pension scheme is a pension arrangement that defines the pension payment an employee will receive on retirement. The guarantee means that employees will receive at least 66 per cent of their pension qualifying salary. Any income over and above 12 times the National Insurance Scheme's basic amount is not included in the qualifying salary. The pension benefit payable is based on the employee's salary, average percentage of full-time equivalents and length of service (30 years' service qualifies for a full pension).

The recognised pension obligation relating to defined-benefit plans is the present value of the defined-benefit on the balance sheet date less the fair value of the plan assets. The gross pension obligation is calculated annually by an independent actuary using the projected credit unit method. The gross obligation is discounted using a discount rate based on bonds with preference rights, which mature around the same time as the related pension obligations.

Changes to benefits payable under the pension plan are recognised in the income statement as they arise.

Actuarial gains/losses resulting from new information or changes to actuarial assumptions are recognised against equity.

Defined contribution schemes comprise arrangements whereby the Company makes annual contributions to the employees' pension plans, and where the future pension is determined by the amount of the contributions and the return on the pension plan assets. In the defined contribution schemes, the cost is equal to the contributions to the employees' pension savings in the accounting period and are recognised in the income statement in the period in which they accrue.

Tax

The tax expense consists of tax payable and deferred tax. Tax is charged to the income statement, except where it relates to items that are recognised directly in equity. In such cases, the tax is recognised directly in the balance.

Deferred tax is calculated using the liability method for all temporary differences between the tax values and accounting values of assets and liabilities. Deferred tax is defined using tax rates and laws which are enacted or likely to be enacted on the balance sheet date, and which are expected to be used when the deferred tax asset is realised or when the deferred tax is utilised.

A deferred tax asset is recognised to the extent that it is likely that future taxable profit will be available against which the temporary differences can be offset.

In principle, deferred tax is not calculated on temporary differences arising from investments in subsidiaries. This does not apply in cases where the company is not in control of when the temporary differences will be reversed, and it is probable that they will be reversed in the foreseeable future.

Statement of cash flows

The statement of cash flows is prepared using the indirect method. This means that the statement is based on the Company's profit before tax in order to present cash flows from operating, investing and financing activities respectively. Dividends paid to shareholders are presented under financing activities.

Dividends

Dividend payments to the Company's shareholders for the fiscal year are classified as debt at the balance sheet date.

Group

Entra ASA is the parent company of a group of companies.

Note 03 Sales revenue

Sales revenue consists of property management services, project development services and administrative services provided to subsidiaries, associates and jointly controlled entities. All services are delivered in Norway.

Note 04 Payroll and related costs

All amounts in NOK million
	2023	2022
Salaries, performance-related pay and other taxable benefits1	237	218
Employers' National Insurance contributions	43	34
Pension expenses	15	22
Other personnel costs	12	12
Total payroll and related costs	307	285
Number of full-time equivalents	198	205
Number of employees at 31.12.	200	208

¹ See note 9 Personnel Costs to the consolidated financial statements for information and details related to remuneration for Senior Executives and the Board of Directors.

Note 05 Operating equipment

All amounts in NOK million
	Equipment
Acquisition cost at 01.01.2023	21
Acquisition	3
Acquisition cost at 31.12.2023	24
Accumulated depreciation at 01.01.2023	13
Depreciation	3
Accumulated depreciation at 31.12.2023	16
Carrying amount at 31.12.2023	8
Anticipated useful life	3–5 years
Depreciation schedule	linear

Note 06 Other operating costs

All amounts in NOK million
	2023	2022
Cost of renting premises	25	22
Consultancy fees	13	16
Office expenses and equipment	29	27
Other costs	39	24
Total other operating costs	106	89

Note 07 Auditor's fee

All amounts in NOK thousand
	2023	2022
Remuneration to auditor (excl. VAT expense)
Statutory audit	1 547	1 075
Tax advice	-	-
Other assurance services	543	634
Total	2 090	1 709

Note 08 Other financial income

All amounts in NOK million
	2023	2022
Gain on sale of shares	867	298
Other interest income	21	8
Other financial income	-	-
Total other financial income	889	306

Note 10 Tax

All amounts in NOK million
	2023	2022
Tax expense
Tax payable	-	-
Change in deferred tax recognised in profit and loss	-78	-
Total tax expense	-78	-
Income tax payable is calculated as follows
Profit before tax	-1 430	435
Dividend received	-12	-273
Other permanent differences	1 088	-164
Change in temporary differences	48	38
Change in losses carried forward	305	-35
Profit for tax purposes	-	-
Tax payable (22%)	-	-

CHANGE IN DEFERRED TAX (+)/DEFERRED TAX ASSETS (-)

	Non-current assets	Financial instruments	Gains/losses account	Provisions	Loss carried forward	Total
31.12.2021	-5	4	17	-33	-14	-31
Recognised in profit and loss	1	-6	-3	1	8	-
Recognised in equity	-	-	-	3	-	3
31.12.2022	-4	-2	14	-29	-6	-27
Recognised in profit and loss	-	-9	-5	3	-67	-78
Recognised in equity	-	-	-	-2	-	-2
31.12.2023	-4	-11	9	-27	-73	-107

Note 09 Other financial costs

All amounts in NOK million
	2023	2022
Fees and premiums	115	81
Impairment of financial assets	1 955	1 005
Other financial costs	7	10
Total other financial costs	2 077	1 096

Note 11 Subsidiaries, jointly controlled entities and associates

Investments in subsidiaries, jointly controlled entities and associates are recognised using the cost-method.

SUBSIDIARIES

			Shareholding/voting			Shareholding/voting
	Acquisition date	Business office	rights %		Acquisition date	Business office	rights %
Akersgata 34–36 AS	01.06.2015	Oslo	100	Holtermanns veg 1–13 AS	24.09.2010	Oslo	100
Biskop Gunnerus' gate 14A AS	26.03.2001	Oslo	100	Holtermanns veg 70 AS	22.12.2015	Oslo	100
Biskop Gunnerus' gate 6 AS	05.01.2015	Oslo	100	Holtermanns veg Utvikling AS	02.01.2023	Oslo	100
Bispen AS	24.10.2007	Oslo	100	Kaigaten 9 AS	11.12.2019	Oslo	100
Brattørkaia 13B AS	31.12.2016	Oslo	100	Keysers gate 13 AS	11.12.2019	Oslo	100
Brattørkaia AS	31.01.2006	Oslo	100	Kjørboparken AS	21.12.2005	Oslo	100
Brynsengfaret 4 og 6 AS	01.01.2014	Oslo	100	Kongens gate 87 AS	11.12.2019	Oslo	100
Brynsengfaret 6CD AS	11.12.2019	Oslo	100	Kristian Augusts gate 13 AS	20.01.2017	Oslo	100
Cort Adelers gate 30 AS	11.12.2019	Oslo	100	Lagårdsveien 6 AS	18.11.2020	Oslo	100
Drammensveien 134 AS	01.09.2016	Oslo	100	Langkaia 1 AS	21.11.2003	Oslo	100
Drammensveien 134 P-Hus AS	01.09.2016	Oslo	100	Lars Hilles gate 19 AS	05.07.2021	Oslo	100
Drammensveien 134 Utearealer AS	01.09.2016	Oslo	100	Lars Hilles gate 25 AS	01.08.2016	Oslo	100
Dronningens gate 2 AS	11.12.2019	Oslo	100	Lilletorget 1 AS	01.07.2014	Oslo	100
Entra Bryn AS	16.05.2018	Oslo	100	Malmskriverveien 18–20 AS	11.12.2019	Oslo	100
Entra Eiendom AS	24.04.2012	Oslo	100	Malmskriverveien 2–4 AS	11.12.2019	Oslo	100
Entra Felleskost AS	01.06.2015	Oslo	100	Marken 37 AS	20.10.2016	Oslo	100
Entra Kultur 1 AS	28.02.2002	Oslo	100	Møllendalsveien 1A AS	07.04.2021	Oslo	100
Entra Labs AS	01.04.2020	Oslo	100	Møllendalsveien 6–8 AS	02.12.2019	Oslo	100
Entra OPF Utvikling AS	21.04.2012	Oslo	50	Nils Hansens vei 20 AS	03.04.2018	Oslo	100
Entra Service AS	01.06.2015	Oslo	100	Nonnesetergaten 4 AS	10.02.2003	Oslo	100
Entra Utleie AS	02.06.2005	Oslo	100	Nygårdsgaten 93–97 AS	11.05.2018	Oslo	100
Fredrik Selmers vei 4 AS	01.06.2015	Oslo	100	Otto Sverdrups plass 4 AS	01.06.2015	Oslo	100
Fredrik Selmers vei 6 AS	11.12.2019	Oslo	100	Papirbredden Eiendom AS	12.01.2011	Oslo	60
Fyrstikkalléen 1 AS	25.06.2021	Oslo	100	Professor Olav Hanssens vei 10 AS	20.10.2016	Oslo	100
Grensesvingen 26 AS	11.12.2019	Oslo	100	Savoy Holding AS	13.07.2021	Oslo	100
Hagegata 22–24 AS	01.10.2008	Oslo	100	Schweigaards gate 15 AS	20.09.2000	Oslo	100
Hardangerjøkulen AS	12.01.2022	Oslo	100	Schweigaards gate 16 AS	20.02.2013	Oslo	100

	Acquisition date	Business office	Shareholding/voting rights %
St. Olavs plass 5 AS	04.12.2018	Oslo	100
Stenersgata 1 AS	19.02.2016	Oslo	100
Stenersgata Parkering AS	19.10.2016	Oslo	100
Sundtkvartalet AS	19.06.2014	Oslo	100
Tordenskiolds gate 12 AS	05.01.2015	Oslo	100
Tullinkvartalet AS	21.11.2011	Oslo	100
Tvetenveien 22 AS	11.12.2019	Oslo	100
Universitetsgata 1–9 AS	01.04.2012	Oslo	100
Universitetsgata 2 AS	03.09.2001	Oslo	100
Vahls gate 1–3 AS	27.04.2017	Oslo	100
Valkendorfsgaten 6 AS	05.01.2015	Oslo	100
Verkstedveien 1 Monier AS	01.09.2016	Oslo	100
Verkstedveien 3 AS	01.09.2016	Oslo	100
Wexelsplass Garasje AS	11.06.2012	Oslo	100

Note 12 Receivables which fall due after more than one year

All amounts in NOK million
	2023	2022
Loans to associates and jointly controlled entities	43	26
Loans to Group companies	11 444	9 886
Other receivables	7	8
Total	11 493	9 920

JOINTLY CONTROLLED ENTITIES

	Acquisition date	Business office	Shareholding/voting rights %
Oslo S Utvikling AS	01.07.2004	Oslo	50

ASSOCIATED COMPANIES

	Acquisition date	Business office	Shareholding/voting rights %
H2O Eiendom AS	02.12.2019	Oslo	25
Ullandhaug Energi AS	07.07.2009	Stavanger	44
Welcome Workdays AS	07.07.2009	Stavanger	45

Note 13 Related party transactions and intra-group balances

All amounts in NOK million	Counterparty	2023	2022
Transactions with related parties
Property management services	Subsidiaries	115	69
Project development services	Subsidiaries	75	48
General manager services	Subsidiaries	2	-
Accounting and management services	Subsidiaries	13	33
Accounting and management services	Jointly controlled entities	4	-
Rental cost	Subsidiaries	21	18
Group contribution/dividends	Subsidiaries	1 212	2 091
Dividends	Jointly controlled entities	3	128
Interest income	Subsidiaries	363	280
Interest expense	Subsidiaries	129	47
Receivables
Long-term loan to Group companies		11 444	9 886
Trade receivables from Group companies		7	3
Short-term receivables to Group companies		16	11
Group contributions/dividends from subsidiaries		1 212	2 082
Total		12 678	11 981
Liabilities
Short-term liabilites to Group companies		4 670	3 139
Group contribution to subsidiaries		-	-
Total		4 670	3 139

The Company has established a group cash pooling arrangement. The net bank deposits are presented as Entra ASA's cash at bank. The Company has signed long-term loan agreements with its subsidiaries. Loans to subsidiaries are classified as current financial assets (short-term element) and non-current financial assets (long-term element). Loan from subsidiaries are classified as current liabilities.

Note 14 Share capital and shareholder information

Entra's share capital is 182 132 055 divided into 182 132 055 shares, with each share having a par value of 1.00. All the shares have been issued in accordance with the Norwegian Public Limited Companies Act and are fully paid. Entra has one class of shares. All shares provide equal rights, including the right to any dividends. Each of the shares carries one vote. There are no share options or other rights to subscribe for or acquire shares issued by Entra. At 31 December 2023, Entra owns none (none) of its own shares and has a total of 182 132 055 (182 132 055) shares outstanding.

At 31 December 2023, Entra had 4 947 shareholders (5 144 shareholders). Norwegian investors held 12 per cent (11 per cent) of the share capital and foreign investors 88 per cent (89 per cent).

	No. of shares	Share capital (NOKm)	Share premium (NOKm)	Face value (NOK)
End of year 31.12.2022	182 132 055	182	2 595	1
End of year 31.12.2023	182 132 055	182	2 595	1

The Company has a share purchase scheme, offering all employees, including Senior Executives, the opportunity to purchase shares in Entra ASA at a discounted price. The shares are subject to two-year lock-in period. The purchase price in the employee offering was calculated as the volume weighted average share price the last 30 days (VWAP) until and including 24 April 2023 less a 25 per cent discount. A total of 115 279 shares were acquired and sold to the employees in connection with the share purchase scheme in May 2023. In addition, a total of 44 161 shares were awarded to Senior Executives in March 2023.

Refer to note 26 in the consolidated financial statements for overviews of the 20 largest shareholders and shares held by the Board of Directors and Senior Executives.

Note 15 Equity

All amounts in NOK million

	Share	capital Own shares	Share premium reserve	Other paid-in capital	Retained	earnings Total equity
Equity at 31.12.2021	182	-	2 595	929	775	4 481
Profit for the year	-	-	-	-	434	434
Equity effect of actuarial gains and losses	-	-	-	-	12	12
Demerger1	2	-	24	9	98	132
Merger1	-2	-	-24	-9	-97	-131
Additional dividend	-	-	-	-	-474	-474
Proposed dividend	-	-	-	-	-455	-455
Net equity effect of employee share schemes	-	-	-	-	-1	-1
Equity at 31.12.2022	182	-	2 595	929	292	3 998
Profit for the year	-	-	-	-	-1 352	-1 352
Equity effect of actuarial gains and losses	-	-	-	-	-6	-6
Net equity effect of employee share schemes	-	-	-	-	-3	-3
Equity at 31.12.2023	182	-	2 595	929	-1 069	2 637

¹ In August 2022, a demerger and a subsequent merger was implemented for the intra-group transfer of the Company's directly owned property, Lagårdsveien 6 in Stavanger, to the wholly owned subsidiary Lagårdsveien 6 AS. The property was transferred to an intermediary company by way of a demerger, and the intermediary company was immediately thereafter merged with Lagårdsveien 6 AS by way of a triangular merger. The demerger resulted in the share capital of Entra being reduced through a reduction of the nominal value per share, and thereafter subsequently increased by the same amount upon completion of the triangular merger. The net positive equity effect of the transaction is offset by a corresponding negative equity effect in the subsidiary Lagårdsveien 6 AS.

Note 16 Pension

All amounts in NOK million

The Company's pension scheme for new employees is a defined contribution scheme. The defined contribution scheme includes 198 (199) employees. The defined benefit pension scheme cover a total of 6 (8) current employees and 74 (72) pensioners.

The Company also has a contractual early-retirement (AFP) from the age 62. At 31 December 2023, 3 (3) former employees had chosen to make use of the AFP scheme. The net pension liabilities associated with the AFP scheme amounted to 4 million (5 million), which is included under total pension liabilities in the table below.

The Company's pension scheme satisfies the requirements of the Norwegian Act on Compulsory Occupational Pensions.

The cost for the accounting period shows the employees' pension entitlement of the agreed future pension in the financial year.

THE BALANCE SHEET LIABILITIES HAVE BEEN CALCULATED AS FOLLOWS

	2023	2022
Present value of accrued pension liabilities in defined-benefit schemes in unit trusts	216	209
Fair value of pension scheme assets	-141	-129
Employers' NICs accrued	11	11
Net pension liabilities on the balance sheet at 31.12	85	91

TOTAL COST RECOGNISED IN THE INCOME STATEMENT

	2023	2022
Cost of pension benefits accrued during current period	1	1
Contribution scheme and contractual early-retirement scheme	16	21
Total pension benefits accrued during the period	17	23
Net interest expense	2	2
Total pension benefits accrued in income statement	19	24
Actuarial losses (-)/gains (+) accrued in equity	7	-16
Total pension benefits accrued	3	9

The actuarial assumptions are based on generally accepted assumptions in the insurance industry with regards to demographic factors.

The pension scheme assets are invested in goverments bonds.

Note 17 Borrowings and other financial instruments

All amounts in NOK million
	Carrying amount 2023	Nominal value 2023	Carrying amount 2022	Nominal value 2022
Non-current borrowings
Bank loans	21 732	21 762	21 760	21 790
Bond loans	14 720	15 038	14 603	14 862
Total non-current borrowings	36 452	36 800	36 363	36 652
Current borrowings
Bank loans	10	10	-	-
Bond loans	924	924	1 579	1 579
Commercial papers	-	-	820	820
Total current borrowings	934	934	2 399	2 399

MATURITY STRUCTURE OF NON-CURRENT BORROWINGS

Year	Nominal value 2023 Nominal value 2022
2024		7 244
2025	7 110	7 100
2026	16 816	11 499
2027	3 059	2 094
2028	2 000	2 000
Later than 5 years	7 815	6 715
Total	36 800	36 652

Unutilised credit facilities

At 31 December 2023, the maturity structure of the Company's unutilised credit facilities was as follows:

MATURITY STRUCTURE OF COMMITTED, UNUTILISED CREDIT FACILITIES

Year	Loan amount 2023	Loan amount 2022
2024	-	180
2025	-	-
2026	6 473	6 280
2027	-	-
2028	-	-
Total	6 473	6 460

THE COMPANY'S PORTFOLIO OF LOANS AND INTEREST RATE HEDGES HAVE THE FOLLOWING INTEREST RATE MATURITY PROFILE

				Forward starting swaps1
		% Fixed interest 2023	Amount	Interest rate (%)	Tenor (years)
Up to 1 year	47%	17 655
1–2 years	11%	4 100	1 400	2.51	7
2–4 years	14%	5 179
4–6 years	13%	4 900
6–8 years	10%	3 900
Over 8 years	5%	2 000
Total	100%	37 734	1 400	2.51	7

¹ The table displays future starting point, notional principle amount, average fixed rate and tenor for forward starting swaps.

Special terms and conditions in Entra ASA's loan agreements

In general, the financing is based on negative pledge clauses.

Loans and interest rate hedges

Interest rate hedging at the Company is part of the Group's overall risk management, and must be viewed in that context. Interest-rate positions should support the company's strategic development, risk profile and anticipated future market interest rates based on the Group's interest rate view. The Group's guidelines on managing interest rate risk are expressed as a preferred interest rate structure (standard portfolio).

At 31 December 2023 the weighted average remaining term to maturity was 2.6 years (2.7 years). The Company's average nominal interest rate was 4.23 per cent (3.68 per cent) at 31 December 2023. The average effective interest rate was 4.37 per cent (3.82 per cent). The change in average interest rate mainly stems from higher market interest rates.

The effect of interest rate hedges is shown in the income statement. The fair value of the Company's portfolio of interest rate hedges is not shown on the balance sheet.

Interest-bearing debt associated with hedging activities

The Company uses interest rate derivatives and fixed rate loans to manage the interest rate risk associated with the company's interest-bearing debt financing.

The Company's borrowings consists of bank loans, as well as commercial paper and bonds. The bank loans and commercial papers are subject to variable and short-term fixed interest rates, respectively. The Company has issued both fixed-rate and variable-rate bonds. Outstanding fixed-rate bonds are hedged using fixed-to-variable interest rate swaps. As a result, the hedged bonds are classified as part of the company's portfolio of variable rate loans. Fixed rate bonds without hedging amounted to 5 329 million as of per 31 December 2023. These bonds are fixed rate and is included as part of the company's cash flow hedges.

NOT VALUE HEDGED FIXED RATE BONDS IN 2023

	Maturity	Nominal value	Market value
ISIN NO0010852684	22.05.2026	279	262
ISIN NO0010895964	21.04.2028	1 000	851
ISIN NO0011011256	28.11.2025	1 000	934
ISIN NO0011094633	10.09.2026	1 150	1 035
ISIN NO0011094641	10.09.2029	1 900	1 564
Total		5 329	4 645

The Company's exposure to variable interest rates is hedged for cash flow risk using variable-to-fixed interest rate swaps.

Cash flow hedging

The Company's debt is directly or indirectly subject to variable interest rates. The Company uses variable-to-fixed interest rate derivatives to manage the Company's interest rate risk. Cash flows are hedged by matching the terms and volumes of the interest rate derivatives with the expected maturity profile of the Company's interest-bearing debt. The expected maturity profile of the Company's interest-bearing debt is based on an assessment of the need to refinance existing debt and to obtain additional financing.

The table below shows that after taking into account cash flow hedges, 53 per cent (51 per cent) of the Company's interest-bearing liabilities are effectively subject to fixed interest rates.

Changes in NIBOR rates will therefore affect the interest expense on 47 per cent (49 per cent) of the company's interest-bearing debt.

CASH FLOW HEDGING

	2023	2022
Hedged item
Variable interest rate liabilities	37 734	39 051
Hedge
Interest rate swaps (variable-to-fixed)	20 079	20 079
Hedge ratio (unhedged position)	17 655	18 972
Hedge ratio (% hedged)	53%	51%
CHANGES IN THE CASH FLOW HEDGES OVER THE FINANCIAL YEAR
	2023	2022
Opening balance – market value of liability	-549	213
Change in value	-28	-763

The fair value of the Company's interest rate swaps used as cash flow hedges specifies the present value of the contractual fixed-interest rate agreements. The present value represents the market value of the Company's liabilities to the counterparty of the interest rate swaps. The change in value over the financial year represents the change in the market value of liabilities. The reason for the increase in the Company's market value of liabilities for financial year 2023 is mainly due to higher interest rate.

Closing balance – market value of liability -578 -549

Fair value hedging

The Company has the following fair value hedges for the company's outstanding fixed-rate bonds:

FAIR VALUE HEDGING 2023

	Total	Maturity structure up to 1 year	Maturity structure 1–5 years	Maturity structure > 5 years
Hedged item
Fixed interest rate liabilities	7 629	-	4 729	2 900
Hedge
Interest rate swaps (fixed-to-variable)	2 300	-	1 300	1 000
Hedge ratio (unhedged position)	70%	-	73%	66%
Hedge ratio ( % hedged)	30%	-	27%	34%

FAIR VALUE HEDGING 2022

	Total	Maturity structure up to 1 year	Maturity structure 1–5 years	Maturity structure > 5 years
Hedged item
Fixed interest rate liabilities	8 024	895	2 729	4 400
Hedge
Interest rate swaps (fixed-to-variable)	2 800	500	300	2 000
Hedge ratio (unhedged position)	65%	44%	89%	55%
Hedge ratio ( % hedged)	35%	56%	11%	45%

CHANGES IN THE VALUE OF FAIR VALUE HEDGES OVER THE FINANCIAL YEAR

	2023	2022
Opening balance – market value of liabilities (+) /receivables (-)	232	75
Change in value	-21	158
Closing balance – market value of liabilities (+) /receivables (-)	212	232

At 31 December 2023, the market value of the Company's fair value hedges represented a liability for the Company.

To the General Meeting of Entra ASA INDEPENDENT AUDITOR'S REPORT Report on the Audit of the Financial Statements Opinion We have audited the financial statements of Entra ASA, which comprise: • The financial statements of the parent company Entra ASA (the Company), which comprise the balance sheet as at 31 December 2023, the income statement and statement of cash flows for the year then ended, and notes to the financial statements, including a summary of material accounting policies. Basis for Opinion

• The consolidated financial statements of Entra ASA and its subsidiaries (the Group), which comprise the balance sheet as at 31 December 2023, statement of comprehensive income, statement of changes in equity and statement of cash flows for the year then ended, and notes to the financial statements, including material accounting policy information.

In our opinion

• the financial statements comply with applicable statutory requirements,
• the financial statements give a true and fair view of the financial position of the Company as at 31 December 2023, and its financial performance and its cash flows for the year then ended in accordance with the Norwegian Accounting Act and accounting standards and practices generally accepted in Norway, and
• the consolidated financial statements give a true and fair view of the financial position of the Group as at 31 December 2023, and its financial performance and its cash flows for the year then ended in accordance with IFRS Accounting Standards as adopted by the EU.

Our opinion is consistent with our additional report to the Audit Committee.

We conducted our audit in accordance with International Standards on Auditing (ISAs). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Company and the Group as required by relevant laws and regulations in Norway and the International Ethics Standards Board for Accountants' International Code of Ethics for Professional Accountants (including International Independence Standards) (IESBA Code), and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

To the best of our knowledge and belief, no prohibited non-audit services referred to in the Audit Regulation (537/2014) Article 5.1 have been provided.

We have been the auditor of Entra ASA for 12 years from the election by the general meeting of the shareholders on 12. December 2012 for the accounting year 2012 (with a renewed election on 22. April 2022).

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements of 2023. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Medlemmer av Den norske Revisorforening Organisasjonsnummer: 980 211 282

Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited (DTTL), its global network of member firms, and their related entities (collectively, the "Deloitte organization"). DTTL ( also referred to as "Deloitte Global") and each of its member firms and related entities are legally separate and independent entities, which cannot obligate or bind each other in respect of third parties. DTTL and each DTTL member firm and related entity is liable only for its own acts and omissions, and not those of each other. DTTL does not provide services to clients. Please see www.deloitte.com/about to learn more. Registrert i Foretaksregisteret

Deloitte Norway conducts business through two legally separate and independent limited liability companies; Deloitte AS, providing audit, consulting, financial advisory and risk management services, and Deloitte Advokatfirma AS, providing tax and legal services.

Deloitte AS Dronning Eufemias gate 14 Postboks 221 Sentrum NO-0103 Oslo Norway

Tel: +47 23 27 90 00 Fax: +47 23 27 90 01 www.deloitte.no

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Valuation of investment property
Description of the Key Audit Matter The majority of the Group's assets consist of Investment property. Investment property is recognised at fair value, based on fair values from third party valuers. Each quarter, all properties are valued by two third party appraisers. Market transactions serve as important reference points for the appraisers and the level of transactions thus influence the level of uncertainty in the assumptions used by the third party appraisers. We refer to note 14 "Investment properties" for further information. The fair value is based on assumptions and estimates as well as property specific information. These assumptions and estimates require significant judgment and therefore valuation of investment property is a key audit matter.	How the matter was addressed in the audit The Group has established internal control to ensure that relevant property information is included in the external valuations. We have assessed the design of the control and tested if it has operated effectively in the reporting period. We met with the third party appraisers and discussed and challenged their judgements used in the valuation of investment properties, particularly in light of the real estate transaction market development in 2023. We assessed the third party appraisers' qualifications and expertise and reviewed their terms of engagement in order to determine whether there were any matters that might have affected their objectivity. We assessed the valuation methods used against generally accepted valuation standards and practices. For a sample of investment properties, we obtained the third party appraisers' valuation reports and reconciled the values used in the financial statements to the valuation reports. For a sample of investment properties, we obtained and assessed the Group's analysis and rationale for the changes in fair value from quarter to quarter. In carrying out the procedures related to valuation of investment property, we used our internal valuation specialists.
	We assessed whether the disclosures in note 14 regarding valuation of investment

Other Information

The Board of Directors and the Managing Director (management) are responsible for the information in the Board of Directors' report and the other information accompanying the financial statements. The other information comprises information in the annual report, but does not include the financial statements and our auditor's report thereon. Our opinion on the financial statements does not cover the information in the Board of Directors' report nor the other information accompanying the financial statements.

In connection with our audit of the financial statements, our responsibility is to read the Board of Directors' report and the other information accompanying the financial statements. The purpose is to consider if there is material inconsistency between the Board of Directors' report and the other information accompanying the financial statements and the financial statements or our knowledge obtained in the audit, or whether the Board of Directors' report and the other information accompanying the financial statements otherwise appear to be materially misstated. We are required to report if there is a material misstatement in the Board of Directors' report or the other information accompanying the financial statements. We have nothing to report in this regard.

Based on our knowledge obtained in the audit, it is our opinion that the Board of Directors' report

• is consistent with the financial statements and
• contains the information required by applicable statutory requirements.

Our opinion on the Board of Directors' report applies correspondingly to the statements on Corporate Governance and Corporate Social Responsibility.

Responsibilities of Management for the Financial Statements Management is responsible for the preparation of financial statements of the Company that give a true and fair view in accordance with the Norwegian Accounting Act and accounting standards and practices generally accepted in Norway, and for the preparation of the consolidated financial statements of the Group that give a true and fair view in accordance with IFRS Accounting

side 3 Independent auditor's report Entra ASA

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Standards as adopted by the EU. Management is responsible for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is responsible for assessing the Company's and the Group's ability to continue as a going concern, disclosing, as applicable, matters related to going concern. The financial statements of the Company use the going concern basis of accounting insofar as it is not likely that the enterprise will cease operations. The financial statements of the Group use the going concern basis of accounting unless management either intends to liquidate the Group or to cease operations, or has no realistic alternative but to do so.

Auditor's Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with ISAs, we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

• identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error. We design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.

We communicate with the Board of Directors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide the Audit Committee with a statement that we have complied with relevant ethical requirements regarding independence, and to

requirements related to the preparation of the annual report in XHTML format and iXBRL tagging of the consolidated financial statements.

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In our opinion, the financial statements, included in the annual report, have been prepared, in all material respects, in compliance with the ESEF regulation.

Management's Responsibilities

Management is responsible for the preparation of the annual report in compliance with the ESEF regulation. This responsibility comprises an adequate process and such internal control as management determines is necessary.

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Alternative performance measures

Entra's financial information is prepared in accordance with the IFRS Accounting Standards. In addition, the company reports alternative performance measures (APMs) that are regularly reviewed by management to enhance the understanding of Entra's performance as a supplement, but not as a substitute, to the financial statements prepared in accordance with IFRS Accounting Standards. Financial APMs are intended to enhance comparability of the results and cash flows from period to period, and it is Entra's experience that these are frequently used by analysts, investors and other parties. The financial APMs reported by Entra are the APMs that, in management's view, provide the most relevant supplemental information of a real estate company's financial position and performance. These measures are adjusted IFRS measures defined, calculated and used in a consistent and transparent manner over the years. Operational measures such as, but not limited to, net letting, vacancy and WAULT are not defined as financial APMs according to ESMA's guidelines.

Entra's financial APMs:

• Net Income from property management
• Cash Earnings
• Net value changes
• Market value of the property portfolio
• Net nominal interest-bearing debt
• Effective leverage
• Interest coverage ratio (ICR)
• Net operating income1
• EPRA Earnings
• EPRA Net Asset Value metrics EPRA NRV, EPRA NTA and EPRA NDV
• EPRA Net Initial Yield
• EPRA Cost Ratio
• EPRA LTV (Loan-to-Value)

NET INCOME FROM PROPERTY MANAGEMENT & CASH EARNINGS

All amounts in NOK million	2023	2022
Net income	1 284	1 579
Less:
Net results from residential development in associates and JVs	-47	-31
Value changes in associates and JVs	-29	-10
Gain on sale of JV	-	6
Tax from associates and JVs	4	11
Net income from property management	1 356	1 603
Tax payable	-13	-31
Cash Earnings	1 342	1 572
Average outstanding shares (million)	182.1	182.1
Cash Earnings per share	7.37	8.63

NET VALUE CHANGES

All amounts in NOK million	2023	2022
Changes in value of investment properties	-8 148	-2 519
Changes in value of financial instruments	-4	473
Net value changes	-8 152	-2 046

¹ The calculation of Net operating income is not presented below as it is included in the Statement of comprehensive income.

MARKET VALUE OF THE PROPERTY PORTFOLIO

All amounts in NOK million	31.12.2023	31.12.2022
Investment properties	68 470	77 404
Investment properties held for sale	1 020	1 230
Other	31	-62
Market value of the property portfolio	69 520	78 571

NET NOMINAL INTEREST BEARING DEBT

All amounts in NOK million	31.12.2023	31.12.2022
Borrowings	39 115	40 515
Unamortised borrowing costs	348	289
Nominal value of interest-bearing debt	39 463	40 804
Cash and bank deposits	-171	-226
Net nominal interest-bearing debt	39 291	40 578

EFFECTIVE LEVERAGE

Effective leverage	54.0%	50.1%
Total assets	73 336	82 162
– Other interest bearing liabilities	39 578	667
– Borrowings	463	40 515
Total debt	39 115	41 182
All amounts in NOK million except ratio	31.12.2023	31.12.2022

INTEREST COVERAGE RATIO (ICR)

All amounts in NOK million except ratio	2023	2022
Net income	1 284	1 579
Depreciation	4	4
Results from associates and joint ventures	72	37
Net realised financials	1 620	1 095
EBITDA	2 981	2 715
Interest cost	1 592	1 079
Commitment fees	24	15
Applicable interest cost	1 616	1 094
Interest Coverage Ratio (ICR)	1.84	2.48

EPRA reporting

The following performance indicators have been prepared in accordance with best practices as defined by EPRA (European Public Real Estate Association) in the Best Practices Recommendations Guidelines. The EPRA Best Practices Recommendations Guidelines focus on making the financial statements of public real estate companies clearer and more comparable across Europe.

SUMMARY EPRA PERFORMANCE MEASURES

		Unit	2023 / 31.12.2023	2022 / 31.12.2022
A	EPRA Earnings per share (EPS)	NOK	5.37	6.45
B	EPRA NRV per share	NOK	167	207
	EPRA NTA per share	NOK	165	205
	EPRA NDV per share	NOK	136	170
C	EPRA Net Initial Yield	%	4.95	4.13
	EPRA, "topped-up" Net Initial Yield	%	4.95	4.13
D	EPRA Vacancy Rate	%	4.8	3.6
E	EPRA Cost Ratio (including direct vacancy costs)	%	12.9	15.7
	EPRA Cost Ratio (excluding direct vacancy costs)	%	11.3	14.3
F	EPRA LTV	%	57.2	52.5

The details for the calculation of the key figures are shown in tables on the following pages.

EPRA CAPITAL EXPENDITURE

All amounts in NOK million	2023	2022
Aquisitions1	-	13 531
Developments2	1 503	2 384
– Newbuild projects	212	663
– Redevelopment projects 3	1 101	1 400
– Refurbishment projects 3	190	322
Investment properties	262	179
– No incremental lettable space and tenant incentives	188	143
– Other material non-allocated types of expenditure	74	36
Capitalised interest	60	59
Total Capital Expenditure	1 825	16 153
Conversion from accrual to cash basis	-53	61
Total Capital Expenditure on cash basis	1 773	16 214

¹ Refer to the Transactions and transaction market section in this annual report for an overview of the acquisitions

² Refer to the Projects and property development section in this annual report for a description of the Group's newbuild, redevelopment and refurbishment projects

³ Also includes tenant alterations and maintenance capex when this is done as a part of asset redevelopment or refurbishment

A. EPRA Earnings

EPRA Earnings is a measure of the operational performance of the property portfolio. EPRA Earnings is calculated based on the income statement, adjusted for non-controlling interests, value changes on investment properties, changes in the market value of financial instruments and the associated tax effects.

	2023				2022
All amounts in NOK million	IFRS reported	Non-controlling interests	Other EPRA adjustments	EPRA Earnings	IFRS reported	Non-controlling interests	Other EPRA adjustments	EPRA Earnings
Rental income	3 418	-128	-	3 290	3 158	-123	-	3 035
Operating costs	-282	10	-	-272	-263	10	-	-253
Net operating income	3 136	-118	-	3 019	2 895	-113	-	2 781
Other revenues	92	-	-	91	112	-1	-	111
Other costs	-67	1	-	-66	-85	-	-	-84
Administrative costs	-185	3	-	-182	-210	3	-	-208
Share of profit from associates and JVs	-72	-	72	-	-37	-	24	-13
Net realised financials	-1 620	12	-	-1 608	-1 095	11	-	-1 084
Net income	1 284	-103	72	1 253	1 579	-99	24	1 505
Net value changes	-8 152	273	7 879	-	-2 046	19	2 027	-
Profit before tax/EPRA Earnings before tax	-6 868	170	7 951	1 253	-467	-80	2 053	1 505
Tax payable	-13	5	-	-8	-31	5	-	-26
Change in deferred tax	1 299	-42	-1 524	-267	-71	10	-244	-305
Profit for period/EPRA Earnings	-5 582	133	6 427	978	-569	-65	1 808	1 174
Average outstanding shares (million)				182.1				182.1
EPRA Earnings per share				5.37				6.45

B. EPRA Net Asset Value metrics

Net Asset Value (NAV) is the total equity that the company manages for its owners. Net asset value can be calculated in different ways, where the difference mainly is explained by the expected turnover of the property portfolio.

EPRA Net Reinstatement Value (NRV)

The objective of the EPRA NRV measure is to highlight the value of net assets on a long-term basis and assumes that no divestment of assets takes place. Assets and liabilities that are not expected to crystallise in normal circumstances such as the fair value movements on financial derivatives and deferred taxes on property valuation surpluses are therefore excluded. Real estate transfer taxes are generally not levied on property transactions in Norway, and such taxes are accordingly not included in Entra's valuation certificates. Consequently, no adjustment is done for real estate transfer taxes in Entra's calculation of EPRA NRV.

		31.12.2023		31.12.2022
All amounts in NOK million	Total	Attributable to non controlling interests	Attributable to share holders (EPRA NRV)	Total	Attributable to non controlling interests	Attributable to share holders (EPRA NRV)
IFRS equity	25 555	-1 775	23 779	31 671	-1 978	29 693
Revaluation of investments made in JVs	72	-	72	268	-	268
Net Asset Value (NAV) at fair value	25 626	-1 775	23 851	31 939	-1 978	29 961
Deferred tax properties and financial instr.	7 253	-324	6 928	8 508	-376	8 133
Net fair value on financial derivatives	-423	-1	-424	-388	-2	-390
EPRA Net Reinstatement Value (NRV)	32 456	-2 101	30 356	40 060	-2 356	37 703
Outstanding shares at period end (million)			182.1			182.1
EPRA NRV per share (NOK)			167			207

EPRA Net Tangible Assets (NTA)

The EPRA NTA is focused on reflecting a company's tangible assets and assumes that entities buy and sell assets, thereby crystallising certain levels of unavoidable deferred tax liability. Entra has adopted the second option in the EPRA BPR guidelines to adjust for deferred tax, estimating the real tax liability based how the company has completed property transactions in recent years.

		31.12.2023			31.12.2022
All amounts in NOK million	Total	Attributable to non controlling interests	Attributable to share holders (EPRA NTA)	Total	Attributable to non controlling interests	Attributable to share holders (EPRA NTA)
IFRS equity	25 555	-1 775	23 779	31 671	-1 978	29 693
Revaluation of purchase option	72	-	72	268	-	268
Net Asset Value (NAV) at fair value	25 626	-1 775	23 851	31 939	-1 978	29 961
Reversal deferred tax as per balance sheet	6 896	-272	6 624	8 217	-314	7 902
Adjustment estimated real tax liability	-28	-35	-63	-160	-41	-201
Net fair value on financial derivatives	-423	-1	-424	-388	-2	-390
EPRA Net Tangible Assets (NTA)	32 071	-2 083	29 988	39 608	-2 336	37 272
Outstanding shares at period end (million)			182.1			182.1
EPRA NTA per share (NOK)			165			205

Estimated real tax liability

The Group's estimated real deferred tax liability related to temporary differences of properties has been calculated based on the assumption that 50 per cent of the property portfolio is realised over 50 years in transactions structured as sale of properties in corporate wrappers with an average tax discount of 6.5 per cent, and by using a discount rate of 5.0 per cent. Further, the real tax liability related to the gains/losses account is estimated by assuming an amortisation of 20 per cent annually and a discount rate of 5.0 per cent.

	31.12.2023		31.12.2022
All amounts in NOK million	Nom. tax liability	Real tax liability	Nom. tax liability	Real tax liability
Non-current assets	7 172	387	8 425	454
Financial instruments	81	-	83	-
Current assets	51	51	52	52
Gains/losses account	8	7	13	10
Provisions	-82	-82	-64	-64
Loss carried forward	-334	-334	-293	-293
Deferred tax liability	6 896	28	8 217	160

EPRA Net Disposal Value (NDV)

The EPRA NDV measure illustrates a scenario where deferred tax, financial instruments, and certain other adjustments are calculated as to the full extent of their liability. This enables readers of financial reports to understand the full extent of liabilities and resulting shareholder value under an orderly sale of business and/or if liabilities are not held until maturity. The measure should not be viewed as a "liquidation NAV" for Entra, as fair values may not represent liquidation values, and as an immediate realisation of Entra's assets may be structured as sale of property-owning companies, resulting in the deferred tax liabilities only partially crystalising.

		31.12.2023		31.12.2022
All amounts in NOK million	Total	Attributable to non controlling interests	Attributable to share holders (EPRA NDV)	Total	Attributable to non controlling interests	Attributable to share holders (EPRA NDV)
IFRS equity	25 555	-1 775	23 779	31 671	-1 978	29 693
Revaluation of purchase option	72	-	72	268	-	268
Net Asset Value (NAV) at fair value	25 626	-1 775	23 851	31 939	-1 978	29 961
Fair value adj. fixed interest rate debt, net of tax	956	-	956	1 089	-	1 089
EPRA Net Disposal Value (NDV)	26 582	-1 775	24 807	33 029	-1 978	31 050
Outstanding shares at period end (million)			182.1			182.1
EPRA NDV per share (NOK)			136			170

C. EPRA Net Initial Yield

EPRA Net Initial Yield (NIY) measures the annualised rental income based on the cash rents passing at the balance sheet date, less non-recoverable property operating expenses, divided by the market value of the property, increased with (estimated) purchasers' costs.

EPRA "topped-up" NIY incorporates an adjustment to the EPRA NIY in respect of the expiration of rent-free periods (or other unexpired lease incentives such as discounted rent periods and step rents).

All amounts in NOK million	Oslo	Bergen	Trondheim	Sandvika	Drammen	Stavanger	Total 31.12.23	Total 31.12.22
Investment property – wholly owned	48 211	3 558	6 838	4 420	-	1 506	64 533	73 017
Investment property – share of JVs1	-	1 434	-	-	1 272	-	2 706	3 008
Total property portfolio	48 211	4 992	6 838	4 420	1 272	1 506	67 239	76 025
Less projects and land and developments	-2 550	-91	-235	-170	-	-40	-3 086	-4 597
Completed management portfolio	45 661	4 900	6 603	4 251	1 272	1 466	64 153	71 428
Allowance for estimated purchasers' cost	70	11	17	13	4	3	116	123
Gross up completed management portfolio valuation	45 731	4 911	6 619	4 264	1 276	1 469	64 269	71 551
12 months rolling rent	2 303	256	407	260	78	98	3 402	3 290
Estimated ownership cost	142	21	28	14	5	8	217	229
Annualised net rents	2 161	235	379	246	73	90	3 184	3 061
Add: Notional rent expiration of rent-free periods or other lease incentives	-	-	-	-	-	-	-	-
Topped up net annualised net rents	2 161	235	379	246	73	90	3 184	3 061
EPRA NIY	4.73%	4.79%	5.72%	5.77%	5.74%	6.15%	4.95%	4.28%
EPRA "topped-up" NIY	4.73%	4.79%	5.72%	5.77%	5.74%	6.15%	4.95%	4.28%

¹ The value of "Investment property – share of JVs" is from 2023 updated to reflect Entra's ownership in the JVs consolidated in Entra's financial statements as the annualised net rents exclude the net rents attributable to non-controlling interests. Comparative figures are updated.

D. EPRA Vacancy Rate

E. EPRA Cost Ratio

Estimated Market Rental Value (ERV) of vacant space divided by the ERV of the whole portfolio. All figures are adjusted for actual share of ownership of each property.

Administrative & operating costs (including & excluding costs of direct vacancy) divided by gross rental income.

All amounts in NOK million	2023	2022
Operating costs	-282	-263
Administrative costs1	-185	-210
Less: Ground rent cost	15	15
EPRA cost (including direct vacancy cost)	-452	-459
Direct vacancy cost	-50	50
EPRA cost (excluding direct vacancy cost)	-403	-409
Gross rental income less ground rent	3 418	3 158
Total gross rental income less ground rent	3 418	3 158
EPRA cost ratio (including direct vacancy cost)	13.2%	14.5%
EPRA cost ratio (excluding direct vacancy cost)	11.8%	13.0%

¹ Refer to note 13 to the consolidated financial statements for specification of personnel costs capitalised on projects under development, reflecting work performed to give rise to additional future economic benefits.

All amounts in NOK million	Oslo	Bergen	Trondheim	Sandvika	Drammen		Stavanger Total 31.12.23 Total 31.12.22
Market rent vacant areas	136	11	21	9	2	1	180	123
Total market rent	2 550	316	410	260	75	104	3 716	3 440
EPRA vacancy rate	5.3%	3.5%	5.2%	3.6%	2.5%	0.5%	4.8%	3.6%

F. EPRA LTV

Loan-to-Value (LTV) LTV) is an expression of the gearing of a company. The main overarching concepts in EPRA LTV are: (1) any capital which is not equity (i.e. which value accrues to the shareholders of the company) is considered as debt irrespective of its IFRS classification, (2) assets are included at fair value, net debt at nominal value, and (3) the EPRA LTV is calculated based on proportional consolidation (i.e. include the Group's share in the net debt and net assets of joint ventures and material associates). Entra has included its share of net debt and net assets in all joint ventures. In the periods disclosed below, Entra has no material associated companies.

	31.12.2023	Proportionate consolidation		31.12.2023	31.12.2022
All amounts in NOK million except ratio	Group as reported	Share of joint ventures	Non-contr. interests	Combined EPRA LTV	Combined EPRA LTV
Bond loans	17 062	-	-	17 062	18 704
Bank loans	22 401	638	-251	22 787	21 329
Commercial papers	-	-	-	-	950
Net payables1	136	133	-8	262	777
Cash and bank deposits	-171	-52	21	-202	-248
Net debt	39 428	718	-238	39 908	41 512
Investment properties	68 470	122	-2 282	66 309	75 009
Properties held for sale 2	1 501	1 658	-	3 159	3 695
Other financial assets (equity instruments)	279	-	-	279	344
Total property value	70 249	1 780	-2 282	69 747	79 048
EPRA LTV (Net debt/Total property value)	56.1%			57.2%	52.5%

¹ Net payables include trade payables, other current and non-current liabilities, trade receivables, and other receivables and other assets, excluding financial assets

² Properties held for sale include investment properties held for sale and inventory properties, i.e. properties classified as inventories as they are held with the intent to be sold in the future

211 Contents | This is Entra Year in brief The business ESG From the Boardroom Financials Appendices

Appendices

Entra Annual Report 2023

GRI index

Statement of use	Entra has reported in accordance with the GRI Standards for the period 1 January to 31 December, 2023.
GRI 1 used	GRI 1: Foundation 2021
Applicable GRI Sector Standard(s)	In addition to General Disclosures (2-1 to 2-30) and Material Topics (3-1 to 3-3), only GRI disclosures defined as material by Entra based on our materiality analysis, are included in the GRI Index.
				Omission
GRI standard/Other source	Disclosure	Location	Requirement(s) omitted Reason		Explanation	GRI sector standard ref. no.
GENERAL DISCLOSURES
GRI 2: General Disclosures 2021	2-1 Organizational details	Last page of Annual Report
	2-2 Entities included in the organization's sustainability reporting	EPRA Sustainability Performance Measures, EU Taxonomy Report
	2-3 Reporting period, frequency and contact point	EPRA Sustainability Performance Measures, GRI Index, Last page of Annual Report
	2-4 Restatements of information	There has been no such incidents in 2023
	2-5 External assurance	ESG report, page 119
	2-6 Activities, value chain and other business relationships	Annual Report: The Business
	2-7 Employees	ESG Report: Social, Employee demographics, Page 91
	2-8 Workers who are not employees	ESG Report: Social, Employee demographics, page 91	2-8	Information unavailable/incomplete	Report on own employees not contractual workers
	2-9 Governance structure and composition	ESG Report: Governance, Roles and responsibilities
	2-10 Nomination and selection of the highest governance body	ESG Report: Governance, Roles and responsibilities, General meeting; Nomination Committee
	2-11 Chair of the highest governance body	ESG Report: Governance, Roles and responsibilities
	2-12 Role of the highest governance body in overseeing the management of impacts	ESG Report: Governance, ESG Report Introduction, page 49
	2-13 Delegation of responsibility for managing impacts	ESG Report: Governance, ESG Report Introduction page 49
	2-14 Role of the highest governance body in sustainability reporting	ESG Report: Governance, ESG Report Introduction page 49
	2-15 Conflicts of interest	ESG Report: Governance, Conflicts of interest	2-15 b	Not applicable	If applicable, handeled internally

			Omission
GRI standard/Other source	Disclosure	Location	Requirement(s) omitted Reason	Explanation	GRI sector standard ref. no.
	2-16 Communication of critical concerns	Annual Report: Risk Factors, ESG Report: Governance, Whistleblowing
		mechanisms and channels. There has been no such incidents in 2023
	2-17 Collective knowledge of the highest governance body	ESG Report Introduction page 49–52, Governance, Board activity.
	2-18 Evaluation of the performance of the highest	ESG Report: Governance, Board activity. Board evaluation every year,
	governance body	no actions considered neccessary as result of such evaluation in 2023
	2-19 Remuneration policies	ESG Report: Governance, Salaries and remuneration of Board and
		Senior Executives
	2-20 Process to determine remuneration	ESG Report: Governance, Salaries and remuneration of Board and
		Senior Executives
	2-21 Annual total compensation ratio	ESG Report: Governance, Salaries and remuneration of Board and
		Senior Executives, Social page 91
	2-22 Statement on sustainable development strategy	Annual Report: Report of the Board of Directors, CEO letter
	2-23 Policy commitments	ESG Report: Introduction page 48, Social page 95–96
	2-24 Embedding policy commitments	ESG Report: Introduction page 48, Social page 95–96
	2-25 Processes to remediate negative impacts	ESG Report Environment page 60, Social page 90, 96,
		Governance page 110
	2-26 Mechanisms for seeking advice and raising concerns	ESG Report Social page 90, 96, Governance page 110, last page of
		Annual Report
	2-27 Compliance with laws and regulations	ESG Report: Governance. There has been no such incidents in 2023
	2-28 Membership associations	Entra is a member of EPRA, GRESB, Green Building Council,
		Norsk Eiendom
	2-29 Approach to stakeholder engagement	ESG Report Introduction page 50–52
	2-30 Collective bargaining agreements	ESG Report Social page 90

			Omission
GRI standard/Other source	Disclosure	Location	Requirement(s) omitted Reason		Explanation	GRI sector standard ref. no.
Material topics
GRI 3: Material Topics 2021	3-1 Process to determine material topics	ESG Report Introduction page 50–57
	3-2 List of material topics	ESG Report Introduction. No changes in material topics from prior
		reporting period
Economic performance
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57
GRI 201: Economic	201-1 Direct economic value generated and distributed	Annual report: Key figures page 7, Financials page 135
Performance 2016	201-2 Financial implications and other risks and opportunities due	Annual Report: Risk management page 30–43
	to climate change	ESG Report: 54–57 and page 81–87 , Note 14 to the Financial
		Statements
	201-3 Defined benefit plan obligations and other retirement plans	Annual Report: Note 19
Anti-corruption
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, page 96
GRI 205: Anti-corruption 2016	205-1 Operations assessed for risks related to corruption	Annual Report: Risk management page 39,
		Annual Report:, Social: Ethics, integrity and transparency,
		Entra's supply chain page 95–100
	205-2 Communication and training about anti-corruption policies	Annual Report: Social: Ethics and integrity page 95
	and procedures
	205-3 Confirmed incidents of corruption and actions taken	There has been no such incidents in 2023
Anti-competitive behavior
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, page 96, 110
GRI 206: Anti-competitive	206-1 Legal actions for anti-competitive behavior, anti-trust, and	There has been no such incidents in 2023
Behavior 2016	monopoly practices
Energy
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, Environment page 62
GRI 302: Energy 2016	302-1 Energy consumption within the organization	EPRA Sustainability Performance Measures page 229	302-1 d	Information	Entra sells energy from solar
				unavailable/	panels in three buildings, settled on
				incomplete	the energy invoice
	302-3 Energy intensity	EPRA Sustainability Performance Measures page 229
	302-4 Reduction of energy consumption	EPRA Sustainability Performance Measures page 229

			Omission
GRI standard/Other source	Disclosure	Location	Requirement(s) omitted Reason		Explanation	GRI sector standard ref. no.
Water and effluents
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57
GRI 303: Water and Effluents 2018 303-5 Water consumption		EPRA Sustainability Performance Measures page 229	305-5 b-d	Not applicable	Only reports on water
Emissions					consumption
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, Environment page 60
GRI 305: Emissions 2016	305-1 Direct (Scope 1) GHG emissions	EPRA Sustainability Performance Measures page 229	305-1 c	Not applicable	Entra does not have any biogenic CO2 emissons
	305-2 Energy indirect (Scope 2) GHG emissions	EPRA Sustainability Performance Measures page 229
	305-3 Other indirect (Scope 3) GHG emissions	EPRA Sustainability Performance Measures page 229	305-3 c	Not applicable	Entra does not have any biogenic
					CO2 emissons
	305-4 GHG emissions intensity	EPRA Sustainability Performance Measures page 229
	305-5 Reduction of GHG emissions	EPRA Sustainability Performance Measures page 229	305-5 c -e	Information	The information is not avaliable .
				unavailable/incomplete	Entra is currently reporting only on
					GHG reduction Entra is in process
					of setting Science Based Targets
Waste
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, Environment page 63
GRI 306: Waste 2020	306-2 Management of significant waste-related impacts	Environment page 63, EPRA Sustainability Performance
		Measures page 229
	306-3 Waste generated	EPRA Sustainability Performance Measures page 229
	306-4 Waste diverted from disposal	EPRA Sustainability Performance Measures page 229
	306-5 Waste directed to disposal	EPRA Sustainability Performance Measures page 229
Supplier environmental assessment
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, Social page 97
GRI 308: Supplier Environmental	308-1 New suppliers that were screened using environmental	ESG:Social, Ethics and Integrity, Supplier management page 97
Assessment 2016	criteria
Employment
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, Social page 90
GRI 401: Employment 2016	401-1 New employee hires and employee turnover	ESG: Social, Employee demographics page 91
Labor/management relations
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57
GRI 402: Labor/Management Relations 2016	402-1 Minimum notice periods regarding operational changes	ESG: Social, Workers' rights page 90

	Disclosure	Location	Omission
GRI standard/Other source			Requirement(s) omitted Reason	Explanation	GRI sector standard ref. no.
Occupational health and safety
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, page 101
GRI 403: Occupational Health	403-1 Occupational health and safety management system	AR, Social: Health, Safety and Environment page 101
and Safety 2018	403-2 Hazard identification, risk assessment, and incident	EPRA Sustainability Performance Measures page 229, Annual
	investigation	Report, Social: Health, Safety and Environment page 101
	403-3 Occupational health services	AR, Social: Health, Safety and Environment page 101, Annual Report,
		Risk factors page 32
	403-4 Worker participation, consultation, and communication on	AR, Social: Health, Safety and Environment page 101, Social: Safety
	occupational health and safety	officer, working environment committee and Board representation
		page 90
	403-5 Worker training on occupational health and safety	AR, Social: Health, Safety and Environment page 101
	403-6 Promotion of worker health	AR, Social: Health, Safety and Environment page 90 and 101
	403-7 Prevention and mitigation of occupational health and safety	AR, Social: Entra's supply chain page 97
	impacts directly linked by business relationships
	403-8 Workers covered by an occupational health and safety	AR, Social: Health, Safety and Environment page 101
	management system
Training and education
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, Social page 92
GRI 404: Training and	404-1 Average hours of training per year per employee	EPRA Sustainability Performance Measures page 229
Education 2016	404-2 Programs for upgrading employee skills and transition	AR, Social: Motivated employees – Workers rights	404-2 b Not applicable	Entra complies with established
	assistance programs			standards and employment
				legislation
	404-3 Percentage of employees receiving regular performance	EPRA Sustainability Performance Measures page 229
	and career development reviews
Diversity and equal opportunity
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction 54–57, Social page 91–93
GRI 405: Diversity and Equal	405-1 Diversity of governance bodies and employees	EPRA Sustainability Performance Measures page 229, AR page 44
Opportunity 2016	405-2 Ratio of basic salary and remuneration of women to men	EPRA Sustainability Performance Measures page 229
Non-discrimination
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction 54–57, ESG Social
	GRI 406: Non-discrimination 2016 406-1 Incidents of discrimination and corrective actions taken	There has been no such incidents in 2023

				Omission
GRI standard/Other source	Disclosure	Location	Requirement(s) omitted Reason		Explanation	GRI sector standard ref. no.
Freedom of association and collective bargaining
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, ESG Social page 90
GRI 407: Freedom of Association	407-1 Operations and suppliers in which the right to freedom of	AR, Governance: Ethics and anti-corruption, There has been no such
and Collective Bargaining 2016	association and collective bargaining may be at risk	incidents in 2023
Child labor
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, ESG Social page 96
GRI 408: Child Labor 2016	408-1 Operations and suppliers at significant risk for incidents of	AR, Social: Human Rights, Governance: Ethics and anti-corruption,
	child labor	There has been no such incidents in 2023
Forced or compulsory labor
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, ESG Social page 95
GRI 409: Forced or Compulsory	409-1 Operations and suppliers at significant risk for incidents of	AR, Social: Ethics, integrity and transparency page 95. There has
Labor 2016	forced or compulsory labor	been no such incidents in 2023
Local communities
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, ESG Social page 104
GRI 413: Local Communities 2016	413-1 Operations with local community engagement, impact	EPRA Sustainability Performance Measures, Annual Report,	413-1 a	Information	The information is not available.
	assessments, and development programs	Social: Community Engagement page 104		unavailable/incomplete
	413-2 Operations with significant actual and potential negative	There has been no such incidents in 2023
	impacts on local communities
Customer health and safety
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, ESG Social page 101
GRI 416: Customer Health and	416-1 Assessment of the health and safety impacts of product and	EPRA Sustainability Performance Measures page 229
Safety 2016	service categories
	416-2 Incidents of non-compliance concerning the health and	EPRA Sustainability Performance Measures page 229
	safety impacts of products and services

				Omission
GRI standard/Other source	Disclosure	Location	Requirement(s) omitted Reason	Explanation	GRI sector standard ref. no.
Marketing and labeling
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, ESG Environment page 67
GRI 417: Marketing and	417-1 Requirements for product and service information and	Entra sertify new-build and rehabilitation projects in accordance
Labeling 2016	labeling	with the BREEAM standard. The BREEAM standard is a third
		party certification of the assessment of an asset's environmental,
		social and economic sustainability performance, using standards
		developed by BRE
	417-2 Incidents of non-compliance concerning product and	There has been no such incidents in 2023
	service information and labeling
	417-3 Incidents of non-compliance concerning marketing	There has been no such incidents in 2023
	communications
Customer privacy
GRI 3: Material Topics 2021	3-3 Management of material topics	ESG Report Introduction page 54–57, ESG Social page 96
GRI 418: Customer Privacy 2016	418-1 Substantiated complaints concerning breaches of customer	There has been no such incidents in 2023
	privacy and losses of customer data

EU Taxonomy report for Entra ASA

Reporting period: 2023

As a non-financial company Entra ASA ("Entra") reports on turnover, capital expenditure (CapEx) and operating expenses (OpEx) that are associated with EU Taxonomy-eligible and EU Taxonomy-aligned activities in accordance with the Sustainable Finance Act. This Act implements the EU Taxonomy Regulation (Regulation (EU) 2020/852) that entered into force in Norwegian law on 1 January 2023. Entra is not yet covered by the EU Taxonomy Regulation being a company with less than 500 employees. This report therefore represents Entra's voluntary EU Taxonomy report, however the reporting has been carried out as if we were legally mandated to do so.

Defining scope and relevant reporting units of assessment

Entra ASA has performed an EU Taxonomy assessment for all activities of the company against the Climate Delegated Act and the Annex 1 Climate Change Mitigation (CCM), which is deemed most relevant for Entra's strategy and operations because it's where Entra can have the greatest impact. The assessment is based on a bottom-up approach, assessing the lowest level of reporting units, which in Entra's accounting systems are represented by buildings. This has been aggregated to a group level, facilitating an EU Taxonomy assessment for the company both in total and per activity.

Defining eligible activities for Entra

An EU Taxonomy-eligible activity is an economic activity that has defined assessment criteria in one of the annexes of Delegated Acts. Entra's activities have been assessed for the respective activity descriptions defined in the Taxonomy Delegated Acts and categorized as either eligible or non-eligible following the description stated in the regulation. As the EU Taxonomy regulation is still under development, the focus has been on

transparency, best intention, and providing explanation for choices made when interpreting the criteria. The interpretation of the criteria is based on both the explicit information available and the understanding of the purpose of the requirement.

The eligible and non-eligible activities deemed applicable to Entra are listed in the table below:

Activity	Comments
Acquisition and ownership of buildings (CCM 7.7)	Acquisition and ownership of buildings is an eligible activity according to the EU Taxonomy. Nearly all Entra's revenues and operating expenses and a significant part of Entra's CapEx are related to ownership and management of office buildings. Entra's portfolio of management properties is therefore screened against the technical screening criteria under this activity.
Renovation of existing buildings (CCM 7.2)	Renovation of existing buildings is an eligible and transitional activity according to the EU Taxonomy. Property development is a part of Entra's business model, hereunder redevelopment and renovation of properties in its property portfolio. Parts of Entra's CapEx are related to renovation of existing buildings and are therefore screened against the technical screening criteria under this activity.
Construction of new buildings (CCM 7.1)	Construction of new buildings is an eligible activity according to the EU Taxonomy. Property development is a part of Entra's business model and parts of Entra's CapEx are related to construction of new buildings. Entra's newbuild projects are therefore screened against the technical screening criteria under this activity.
EU Taxonomy-non-eligible activities	Revenues, OpEx and CapEx relating to outdoor parking space and a small portion of unallocated revenues and opex has been assigned as non-eligible activities. In Entra's case this represents very small amounts.

Entra has chosen to screen its new-build projects and major renovation projects against the activities CCM 7.1 and CCM 7.2 respectively, acknowledging that these potentially could be screened solely against activity CCM 7.7 according to C/2023/267 Commission Notice (20.10.2023) Frequently Asked Questions number 107, 144 and 1471 . This is considered a more conservative approach as CCM 7.1 and CCM 7.2 includes extensive Do No Significant Harm criteria which are not included in CCM 7.7. This also demonstrates that Entra takes responsibility for a broader range of sustainability in its construction projects.

Assessment of alignment

For an eligible activity to be considered aligned, it has to satisfy the following conditions:

• 1. The economic activity must make a substantial contribution to at least one of the six environmental objectives.
• 1. The economic activity must do no significant harm to any of the other five environmental objectives
• 1. The economic activity must comply with minimum safeguards.

Entra has screened all activities with the technical screening criteria in Annex 1 of the Climate Delegated Act, making substantial contributions to climate change mitigation and not doing significant harm to the other remaining objectives. The assessment of compliance with the regulation is following below. The EU Taxonomy is still quite new, and the necessary guidelines for how to comply with the Do No Significant Harm (DNSH) criteria for renovation and newbuild projects have not been established by the relevant Norwegian industry organisations, such as the Norwegian Green Building Council. Entra has thus assessed alignment to the best of our ability and as described in the following sections respectively.

CCM 7.7. Acquisition and ownership of buildings

Entra has screened its portfolio of management properties against the substantial contribution criteria for climate change mitigation (CCM). The criteria related to the buildings Primary Energy Demand (PED) is different for buildings built before 31 December 2020 and buildings build after 31 December 2020. To be aligned with the criteria for this activity for buildings built before 31 December 2020, there are two options:

• 1. The building has at least an Energy Performance Certificate (EPC) class A;
• 1. The building is within the top 15 per cent of the national or regional building stock expressed as operational Primary Energy Demand (PED) and demonstrated by adequate evidence, which at least compares the performance of the relevant asset to the performance of the national or regional stock built before 31 December 2020 and at least distinguishes between residential and non-residential buildings.

As a result, all of Entra's properties with EPC A have been assessed as aligned with the criteria.

Where a building has an EPC lower than A, the second option will need to be assessed to determine whether the building complies with the technical screening criteria. As of date, such top 15 per cent threshold has not yet been determined in Norway. Entra has as a result based its assessment on a study from September 2023 by NVE (Norges vassdrags- og energidirektorat) delivered to the Ministry of Energy. The study has mapped the Norwegian building stock in relation to the EU Taxonomy for environmentally friendly investments. The study describes the distribution of buildings by energy performance and building category, and further how this can be used as a basis for setting threshold values for use in the EU Taxonomy. The study calculated a theoretical threshold value for the top 15 per cent of the Norwegian office buildings to be 135kWh/ m2 and thus to include buildings with current EPC A, B and the upper part EPC C (in Norway the current EPC C threshold is 145 kWh/m2). As a result, Entra's properties with EPC B and EPC C with a theoretical energy efficiency at or below 135 kWh/m2 has also been assessed for alignment with the substantial contribution criteria for climate change mitigation as Entra considers the study from NVE as best available guidance to determine whether a building is within the top 15 per cent of the national building stock Entra understands that this is not an official threshold and that the final threshold may differ from what is presented here. There is only one building in Entras's property portfolio that has an EPC C with a theoretical energy efficiency below 135 kwh/m22. All other buildings that are compliant with the top 15 per cent threshold have EPC B with theoretical energy efficiency below 115 kWh/m2. Thus, a change in the threshold is not considered to have a large effect for the compliance of Entra's property portfolio.

¹ Commission Notice on the interpretation and implementation of certain legal provisions of the EU Taxonomy Climate Delegated Act establishing technical screening criteria for economic activities that contribute substantially to climate change mitigation or climate change adaptation and do no significant harm to other environmental objective (europa.eu)

² Brattørkaia 17B has an EPC C with a theoretical energy efficiency of 131.5 kwh/m2

To be aligned with the substantial contribution criteria for the buildings built after 31 December 2020, the Primary Energy Demand (PED), defining the energy performance of the building resulting from the construction, is at least 10 per cent lower than the threshold set for the nearly zero-energy building (NZEB) requirements in national measures. In January 2023, the Ministry of Local Government and Regional Development issued a guiding document on the calculation of PED in buildings and energy frameworks for NZEB1 . The guiding document states that the threshold for office buildings is 76 kWh/m2, excluding energy required for technical equipment and Entra has therefore also used 76 kWh/m2 as a threshold of NZEB in the screening of buildings built after 31 December 2020. 10 per cent lower than NZEB equals a threshold of 68.4 kWh/m2 which Entra has used in the screening of newbuild office buildings.

Additionally, where the building is a large non-residential building, it must be efficiently operated through energy performance monitoring and assessment to be aligned with the criteria linked to the economic activity in the EU Taxonomy. All buildings in Entra's management portfolio are operated through Entra's environmental and energy management systems.

As a result, Entra has screened properties built before 31 December 2020 with EPC A, B and C with reported energy delivered at 135 kWh/m2 or lower and Nygårdsgaten 95 built after 31 December 2020 with a PED 10 per cent lower than NZEB as compliant with the substantial contribution criteria for this activity and thus that revenues, OpEx and CapEx associated with these buildings comply with the substantial contribution criteria for this activity.

In order to align with the technical screening criteria for this activity, the DNSH criteria related to climate change adaptation must be fulfilled. All of Entra's properties have been subject to individual climate risk and vulnerability assessments performed in accordance with Appendix A, see the section on climate risk in the Environment chapter in the annual report. The most important identified physical climate risks for the properties in Entra's portfolio are water-related, with mostly low to mediums risks. Non-physical solutions with incident response protocols and site evacuation plans are implemented for all buildings and the management portfolio complies with the DNSH criteria for climate change adaption.

CCM 7.2. Renovation of existing buildings

Entra has screened all major renovation projects against the substantial contribution criteria for climate change mitigation. In 2023, this comprised two projects, the renovation of Schweigaards gate 15 and phase 1 of the redevelopment of Stenersgata 1.

In order to comply with the substantial contribution criteria for this activity the renovation must lead to a reduction in primary energy demand (PED) of at least 30 per cent. The two renovation projects have both reduced primary energy demand by more than 30 per cent and are thus aligned with the substantial contribution

criteria. The project Schweigaards gate 15 have completed the as-built EPC and the project Stenersgata 1 phase 1 has an ongoing renovation process and the reduction for this project is based on the as-designed EPC. The reduction for both projects is identified by comparing values in the EPC before renovation with values in the as-designed and as-built EPC for the building after renovation.

In accordance with its environment strategy, Entra certifies all major renovation projects according to the BREEAM-NOR manual, with a target of obtaining BREEAM-NOR Very Good or better. However, the renovation projects ongoing in 2023 followed the BREEAM-NOR 2016 manual which is not automatically compliant with the DNSH criteria in the EU Taxonomy. The Norwegian Green Building Council is currently working to establish official guidelines to determine the extra documentation needed to comply with the EU Taxonomy for projects following the BREEAM-NOR 2016 manual. As a result, and despite complying with the substantial contribution criteria for climate change mitigation, Entra is not able to document that all the DNSH criteria has been satisfied and has as a result screened its renovation projects as not compliant with the DNSH criteria.

CCM 7.1. Construction of new buildings

Entra has screened all newbuild projects which in 2023 involved one completed and two ongoing newbuild projects against the substantial contribution criteria of climate change mitigation. The new-build projects involve Holtermanns veg 1–13 phase 2 (completed), Holtermanns veg 1–13 phase 3 (ongoing) and Malmskriverveien 16 (ongoing). In order to comply with the

substantial contribution criteria for this activity the Primary 1 https://www.regjeringen.no/contentassets/60e8f8ec02e246079f4af4d9578d78c2/veiledning-om-beregning-av-primarenergibehov-og-nesten-nullenergibygg.pdf

Energy Demand (PED) of the building must be at least 10 per cent lower than the threshold for nearly zero-energy buildings (NZEB) requirements under national law. In addition, the projects need to undergo testing for air-tightness and thermal integrity as well as perform life-cycle global warming calculations. All the three newbuild projects screened comply with this criterion.

Entra has used the threshold values determined by the Ministry of Local Government and Regional Development as described in section CCM 7.7 Acquisition and ownership of buildings in this document to screen its newbuild projects. The two office buildings, Holtermanns veg 1–13 phase 2 and Holtermanns veg 1–13 phase 3, achieve energy performances of more than 10 per cent lower than NZEB. Malmskriverveien 16, a high school, has a different threshold value than the office buildings and according to the published guidance the threshold for high schools to achieve NZEB is set to 84 kWh/m2 (higher education). The project achieves energy performance of more than 10 per cent lower than NZEB and thus complies with the energy requirement of the substantial contribution criteria.

The completed newbuild project Holtermanns veg 1–13 phase 2 has performed life-cycle global warming calculations which is presented in Entra's annual report and is undergoing testing for air-tightness and thermal integrity. The two ongoing newbuild projects, Holtermanns veg 1–13 phase 3 and Malmskriverveien 16, will perform life-cycle global warming calculations and testing for air-tightness and thermal integrity upon completion.

In accordance with its environment strategy, Entra certifies all newbuild projects according to the BREEAM-NOR manual, with a target of obtaining BREEAM-NOR Excellent or better. However, the newbuild projects ongoing and completed in 2023 followed the BREEAM-NOR 2016 manual which is not automatically compliant with the DNSH criteria in the EU Taxonomy. The Norwegian Green Building Council is currently working to establish official guidelines to determine the extra documentation needed to comply with the EU Taxonomy for projects following the BREEAM-NOR 2016 manual. As a result, and despite complying with the substantial contribution criteria for climate change mitigation, Entra is not able to document that all the DNSH criteria has been satisfied for the newbuild project in Holtermanns veg 1–13 phase 2 that was completed in 2023. For the two ongoing newbuild projects, both the substantial contribution criteria and the DNSH criteria for CCM 7.1 have been implemented in the project from an earlier stage and these projects will result in sufficient documentation to be fully aligned with both the substantial contribution criteria and the DNSH criteria. The CapeE in these projects has thus been screened as aligned with the EU Taxonomy.

As a comparison, Entra did a voluntary second screening of aligned CapEx in case Entra had been able to obtain satisfactory assurance that the DNSH criteria had been met in the two renovation projects and the finalized newbuild project discussed above. In such case a total of 57 per cent of the CapEx would have been reported as aligned with the EU Taxonomy.

Linking financial data and calculating the KPIs

By linking financial data to each activity in the reporting unit, the proportion of Entra's EU Taxonomy-eligible and EU axonomyaligned activities were calculated. This is done by calculating the three key performance indicators (KPIs): turnover, capital expenditures (CapEx), and operational expenditures (OpEx).

• KPI eligibility (% Turnover) is calculated as Total turnover linked to eligible activities / Total turnover
• KPI eligibility (% CapEx) is calculated as Total CapEx linked to eligible activities / Total CapEx
• KPI eligibility (% OpEx) is calculated as Total OpEx s linked to eligible activities / Total OpEx

Aggregated EU Taxonomy key performance indicators, company level:

Accounting principles and Calculation of KPIs

The definitions of the turnover, CapEx, and OpEx KPIs are set out in Annex I to the Disclosures Delegated Act. The proportion of EU Taxonomy-eligible and EU Taxonomy-aligned turnover, CapEx, and OpEx are calculated by dividing a numerator by a denominator.

Turnover KPI

Total turnover consists of rental income and other revenues corresponding to note 4 and 6 in the Group's consolidated financial statements. Turnover is accounted for in accordance with IFRS 16 and IFRS 15.

Rental income	3 418
Other revenues	92
Turnover	3 510

Entra's turnover KPI is nearly 100 per cent EU Taxonomyeligible. The majority of Entra's r relates to economic activity 7.7 Acquisition and ownership of buildings.

CapEx KPI

The CapEx KPI is calculated as additions to tangible assets during the year before depreciation, appreciation and excluding changes in fair value. CapEx consists of investments in the property portfolio and borrowing costs as set in note 14. CapEx is accounted for in accordance with IAS 40.

Investments in the property portfolio:	1 767
Borrowing costs	60
Total CapEx	1 828

Entra's CapEx KPI is nearly 100 per cent EU Taxonomy-eligible. The majority of Entra's Capex relates to economic activity 7.7 Acquisition and ownership of buildings. Followed by 7.2 Renovation of existing buildings and 7.1 Construction of new buildings.

As discussed above, two major renovation projects and one newbuilt construction project were screened as not aligned due to Entra and its subcontractors not being able to fully document the DNSH criteria for these projects. As a comparison, Entra did a voluntary second screening of aligned CapEx in case Entra had been able to obtain satisfactory assurance that the DNSH criteria had been met in these projects. In such case a total of 57 per cent of the CapEx would have been reported as aligned with the EU Taxonomy.

OpEx KPI

The OpEx KPI includes direct costs needed for daily maintenance and those required for ensuring the continued and practical function of the asset such as routine operating costs, building renovations that are not capitalised as capital expenditure, shortterm leases, and maintenance and reparations. Variable lease payments that are not based on an index or a rate are not included in the OpEx KPI. Note that the definition of OpEx KPI will deviate from those included in Note 5 to the financial statements, as only the costs mentioned above are included in the OpEx KPI which only represents a fraction of the OpEx in the financial statements.

Minimum social safeguards

Entra's alignment assessment with the Minimum safeguards is currently based on the guidelines presented in the 'Final Report on Minimum Safeguards' by the Platform on Sustainable Finance. This is the most comprehensive existing guideline for compliance with Minimum safeguards. Entra meets the criteria for processes and outcomes related to human rights, corruption, taxation, and fair competition defined in the report.

Please refer to the following sections for information on Entra's processes and outcomes related to minimum safeguards:

• Human rights, including workers rights: Refer to the Social chapter in the ESG report
• Anti-corruption: Refer to the Social chapter in the ESG report
• Taxation: Refer Note 11 on income tax to our consolidated financial statements
• Fair competition: Refer to the section on Ethics and Transparency in the ESG report, which also includes information on compliances and compliance training

Third party verification

Entra has engaged Deloitte to conduct a review and provide a "limited level of assurance" on Entra's ESG and EU Taxonomy reporting. The review is carried out in accordance with the assurance standard ISAE 3000 "Assurance Engagements other than Audits or Reviews of Historical Financial Information" established by the International Auditing and Assurance Standards Board. The auditor's conclusion and scope of work is presented in the Auditor's report, included on page 119.

Results per activity

Turnover

2023		Substantial Contribution Criteria							DNSH criteria ('Does Not Significantly Harm')						tu
Economic Activities (1)	Code (2)	Turnover (3)	Tu rn ov Pr er op ye or ar tio N n o (4) f	Cl im Mi at tig e C at ha ion ng (5 e )	Cl Ad im ap at e C ta tio ha n ( ng 6) e	W at er (7 )	Po llu tio n ( 8)	Ec on Ci om rc y ( ula 9) r	ec Bio os div ys er te sit ms y a (10 nd )	Cl im Mi at tig e C at ion ha ng (11 e )	Cl Ad im ap at ta e C tio ha n ( ng 12 e )	W at er (13 )	Po llu tio n ( 14 )	Ec on Ci om rc y ula (15 r )	Bio div er sit y ( 16 )	Sa feg ua Mi rd nim s ( um 17)	(A rn Ta .1.) ov xo or er no -e Pr , ye my op lig ar ibl or -a N e ( tio lig -1 A.2 ne n o (18 d .) ) f	Ca te go ac ry tiv (en ity ab ) (1 lin 9) g	ac (tr tiv an Ca ity sit te ) (2 ion go 0) ry al
Text		NOK					% Y ; N ; N/EL Y ; N ; N/EL Y ; N ; N/EL Y ; N ; N/EL Y ; N ; N/EL Y ; N ; N/EL			Y/N	Y/N	Y/N	Y/N	Y/N	Y/N	Y/N	%	E	T
A. TAXONOMY-ELIGIBLE ACTIVITIES A.1. Environmentally sustainable activities (Taxonomy-aligned)
7.1. Construction of new buildings	CCM 7.1	1 568 310	0.04%	Y	N/EL	N/EL	N/EL	N	N/EL	Y	Y	Y	Y	Y	Y	Y
7.7. Acquisition and ownership of buildings	CCM 7.7	1 638 023 650	46.67%	Y	N/EL	N/EL	N/EL	N/EL	N/EL	Y	Y	Y	Y	Y	Y	Y
Turnover of environmentally sustainable activities (Taxonomy-aligned) (A.1)		1 639 591 960	46.71%	45.91%	-	-	-	-	-	Y	Y	Y	Y	Y	Y	Y
Of which enabling		-	-	-	-	-	-	-	-	Y	Y	Y	Y	Y	Y	Y		E
Of which transitional		-	-	-						Y	Y	Y	Y	Y	Y	Y			T
A.2 Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
				EL : N/EL	EL : N/EL	EL : N/EL	EL : N/EL	EL : N/EL	EL : N/EL
7.7. Acquisition and ownership of buildings	CCM 7.7	1 864 544 305	53.12%	EL	N/EL	N/EL	N/EL	N/EL	N/EL
Turnover of Taxonomy-eligible but not environmentally sustainable activities
(not Taxonomy-aligned activities) (A.2)		1 864 544 305	53.12%
Turnover of Taxonomy-eligible activities (A.1+A.2)		3 504 136 265	99.83%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
Turnover of Taxonomy-non-eligible activities		5 990 832	0.17%
Total (A+B)		3 510 127 097 100.00%

CapEx

2023				Substantial Contribution Criteria							DNSH criteria ('Does Not Significantly Harm')
Economic Activities (1)	Code (2)	CapEx (3)	Ca pE Pr x op ye or ar tio N n o (4) f	Cl im Mi at tig e C at ha ion ng (5 e )	Cl Ad im ap at e C ta tio ha n ( ng 6) e	W at er (7 )	Po llu tio n ( 8)	Ec on Ci om rc y ( ula 9) r	Bio ec os div ys er te sit ms y a (10 nd )	Cl im Mi at tig e C at ion ha ng (11 e )	Cl Ad im ap at ta e C tio ha n ( ng 12 e )	W at er (13 )	Po llu tio n ( 14 )	Ec on Ci om rc y ula (15 r )	Bio div er sit y ( 16 )	Ca pE Sa x, y feg ea ua Mi r N nim rd -1 s ( (18 um 17) )	(A Ta .1.) xo or no -e Pr my op lig ibl or -a e ( tio lig A.2 ne n o d .) f	Ca te go ac ry tiv (en ity ab ) (1 lin 9) g	ac (tr tiv an Ca ity sit te ) (2 ion go 0) ry al
Text		NOK		% Y ; N ; N/EL Y ; N ; N/EL Y ; N ; N/EL Y ; N ; N/EL Y ; N ; N/EL Y ; N ; N/EL						Y/N	Y/N	Y/N	Y/N	Y/N	Y/N	Y/N	%	E	T
A. TAXONOMY-ELIGIBLE ACTIVITIES A.1. Environmentally sustainable activities (Taxonomy-aligned)
7.1. Construction of new buildings	CCM 7.1	268 437 190	14.65%	Y	N	N/EL	N/EL	N	N/EL	Y	Y	Y	Y	Y	Y	Y
7.7. Acquisition and ownership of buildings	CCM 7.7	162 589 440	8.89%	Y	N	N/EL	N/EL	N/EL	N/EL	Y	Y	Y	Y	Y	Y	Y
CapEx of environmentally sustainable activities (Taxonomy-aligned) (A.1)		431 026 630	23.58%	23.58%	-	-	-	-	-	Y	Y	Y	Y	Y	Y	Y
Of which enabling		-	-	-	-	-	-	-	-	Y	Y	Y	Y	Y	Y	Y		E
Of which transitional		-	-	-						Y	Y	Y	Y	Y	Y	Y			T
A.2 Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)				EL : N/EL	EL : N/EL	EL : N/EL	EL : N/EL	EL : N/EL	EL : N/EL
7.1. Construction of new buildings	CCM 7.1	106 733 280	5.84%	EL	EL	N/EL	N/EL	EL	N/EL
7.2. Renovation of existing buildings	CCM 7.2	509 047 220	27.85%	EL	EL	N/EL	N/EL	EL	N/EL
7.7. Acquisition and ownership of buildings	CCM 7.7	780 958 650	47.72%	EL	EL	N/EL	N/EL	N/EL	N/EL
CapEx of Taxonomy-eligible but not environmentally sustainable activities (not Taxonomy-aligned activities) (A.2) CapEx of Taxonomy-eligible activities (A.1+A.2)		1 396 739 150 1 827 765 780	76.41% 99.99%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
CapEx of Taxonomy-non-eligible activities		165 130	0.01%
Total (A+B)		1 827 930 910 100.00%

As a conservative approach, activities which can contribute both to climate change mitigation and climate change adaptation but which do not have any adaptation financials allocated to them are marked with N for the climate change adaptation objective. This conservative approach follows the Comission Notice on the interpretation of certain legal provisions of the Disclosures Delegated Act under Article 8 of EU Taxonomy Regulation on the reporting of eligible economic activities and assets (2022/C 385/01) which states that activities contributing to adaptation and are not enabling should only count CapEx and OpEx associated with climate change adaptation measures as eligible (and potentially aligned).

OpEx

2023				Substantial Contribution Criteria							DNSH criteria ('Does Not Significantly Harm')
Economic Activities (1)	Code (2)	OpEx (3)	Op Pr Ex op ye or ar tio N n o (4) f	Cl im Mi at tig e C at ha ion ng (5 e )	Cl Ad im ap at e C ta tio ha n ( ng 6) e	W at er (7 )	Po llu tio n ( 8)	Ec on Ci om rc y ( ula 9) r	ec Bio os div ys er te sit ms y a (10 nd )	Cl im Mi at tig e C at ion ha ng (11 e )	Cl Ad im ap at ta e C tio ha n ( ng 12 e )	W at er (13 )	Po llu tio n ( 14 )	Ec on Ci om rc y ula (15 r )	Bio div er sit y ( 16 )	Sa feg ua Mi rd nim s ( um 17)	(A Ta Op .1.) xo or Ex no -e Pr , ye my op lig ar ibl or -a N e ( tio lig -1 A.2 ne n o (18 d .) ) f	Ca te go ac ry tiv (en ity ab ) (1 lin 9) g	ac (tr tiv an Ca ity sit te ) (2 ion go 0) ry al
Text		NOK			% Y ; N ; N/EL Y ; N ; N/EL Y ; N ; N/EL Y ; N ; N/EL Y ; N ; N/EL Y ; N ; N/EL					Y/N	Y/N	Y/N	Y/N	Y/N	Y/N	Y/N	%	E	T
A. TAXONOMY-ELIGIBLE ACTIVITIES A.1. Environmentally sustainable activities (Taxonomy-aligned)
7.7. Acquisition and ownership of buildings	CCM 7.7	11 527 410	21.04%	Y	N	N/EL	N/EL	N/EL	N/EL	Y	Y	Y	Y	Y	Y	Y
OpEx of environmentally sustainable activities (Taxonomy-aligned) (A.1)		11 527 410	21.04%	21.04%	-	-	-	-	-	Y	Y	Y	Y	Y	Y	Y
Of which enabling		-	-	-	-	-	-	-	-	Y	Y	Y	Y	Y	Y	Y		E
Of which transitional		-	-	-						Y	Y	Y	Y	Y	Y	Y			T
A.2 Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)				EL : N/EL	EL : N/EL	EL : N/EL	EL : N/EL	EL : N/EL	EL : N/EL
7.7. Acquisition and ownership of buildings	CCM 7.7	41 071 637	74.96%	EL	EL	N/EL	N/EL	N/EL	N/EL
OpEx of Taxonomy-eligible but not environmentally
sustainable activities (not Taxonomy-aligned activities) (A.2)		41 071 637	74.96%
OpEx of Taxonomy-eligible activities (A.1+A.2)		52 599 047	96.00%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
OpEx of Taxonomy-non-eligible activities		2 194 092	4.00%
Total (A+B)		54 793 139 100.00%

As a conservative approach, activities which can contribute both to climate change mitigation and climate change adaptation but which do not have any adaptation financials allocated to them are marked with N for the climate change adaptation objective. This conservative approach follows the Comission Notice on the interpretation of certain legal provisions of the Disclosures Delegated Act under Article 8 of EU Taxonomy Regulation on the reporting of eligible economic activities and assets (2022/C 385/01) which states that activities contributing to adaptation and are not enabling should only count CapEx and OpEx associated with climate change adaptation measures as eligible (and potentially aligned).

General comments

This taxonomy assessment is completed with best intention, focused on transparency, and providing explanation for choices made when interpreting the criteria. The interpretation of the criteria is based on both the explicit information available at the time of the assessment and the understanding of the purpose of the requirement.

The taxonomy regulation is still in a phase of early adoption and Entra ASA is closely following any clarifications from the EU Commission or any changes in industry best-practice when it comes to interpreting the activity descriptions or technical screening criteria.

Disclosures on nuclear and fossil gas related activities

Nuclear energy related activities

1	The undertaking carries out, funds or has exposures to research, development, demonstration and deployment of innovative electricity generation facilities that produce energy from nuclear processes with minimal waste from the fuel cycle	No
	2 The undertaking carries out, funds or has exposures to construction and safe operation of new nuclear installations to produce electricity or process heat, including for the purposes of district heating or industrial processes such as hydrogen production, as well as their safety upgrades, using best available technologies	No
	3 The undertaking carries out, funds or has exposures to safe operation of existing nuclear installations that produce electricity or process heat, including for the purposes of district heating or industrial processes such as hydrogen production from nuclear energy, as well as their safety upgrades.	No
	Fossil gas related activities
	4 The undertaking carries out, funds or has exposures to construction or operation of electricity generation facilities that produce electricity using fossil gaseous fuels.	No
	5 The undertaking carries out, funds or has exposures to construction, refurbishment, and operation of combined heat/ cool and power generation facilities using fossil gaseous fuels.	No
	6 The undertaking carries out, funds or has exposures to construction, refurbishment and operation of heat generation facilities that produce heat/cool using fossil gaseous fuels.	No

TCFD reporting

Entra has started a process to adapt the company's reporting in accordance with the recommendations in the TCFD framework to describe how we work strategically with climate related risks and opportunities. Entra's approach to climate risk and opportunity is discussed in our ESG Report on pages 46–121, and as part of the overall risk analysis on page 30–43. The table below describes the scope of the reporting and page references are made for the respective areas.

Governance	Strategy	Risk Management	Indicators and goals
Recommended disclosures	Recommended disclosures	Recommended disclosures	Recommended disclosures
A. The Board's monitoring of climate related risks and opportunities	A. Climate-related risks and opportunities the organisation has identified	A. The organization's process for identifying climate-related risks	A. The organisations indicators for evaluating climate-related risks and opportunities
→ ESG report page 47–87, and Risk Factors page 30–43	→ ESG report page 54–57, 81–87, and Risk Factors page 30–43	→ ESG report page 81–87, and Risk Factors page 30–43	→ ESG report page 54–57, 81–87, and Risk Factors page 30–43
B. Management's role regarding assessing and managing climate-related risks and opportunities	B. Impact from risks and opportunities on the organisations operations, strategy and financial planning	B. The organizations' processes for managing climate-related risks	B. Emissions of Sclope 1, 2 and 3 under the Greenhouse Gas Protocol
→ ESG report page 49–57, 81–87, and Risk Factors page 30–43	→ ESG report page 54–57, 81–87, and Risk Factors page 30–43	→ ESG report page 81–87, and Risk Factors page 30–43	→ pages EPRA reporting 229–239
	C. Preparation of the organisation's strategy in consideration of various climate-related scenarions	C. Integration of the above processes in the organizations general risk management	C. Goals for managing climate-related risks and opportunities
	→ ESG report page 81–87, and Risk Factors page 30–43	→ ESG report page 81–87, and Risk Factors page 30–43	→ ESG report page 47–87, and Risk Factors page 30–43

Entra's Sustainability Performance Measures

Entra reports on its energy, GHG emissions, water, waste and social governance impacts in accordance with the EPRA Sustainability Best Practice Recommendations (sBPR). This common reporting standard is a framework developed by property companies to promote transparency in sustainability reporting. To give our stakeholders greater confidence, this report has been independently assured by Deloitte based on the international standard ISAE 3000 "Assurance Engagements other than Audits or Reviews of Historical Financial Information".

Organisational Boundary

Entra reports on asset-level sustainability impacts for assets within the management portfolio over which it has full operational control. This boundary, defined by the GHG Protocol, coincides with the Group organisational structure as determined for financial reporting purposes and excludes assets under construction or in redevelopment. We do not report data for bare-house properties where we have no management control and are unable to collect utilities data. For the reporting year 2023 this is only one property. The environmental reporting period corresponds to the period from 1 January to 31 December.

Data Coverage

For each asset-level performance measure, Entra discloses the number of properties reported on out of the total number of management properties in the Group portfolio. Entra aims to increase the data coverage and quality every year as it creates conditions for proper efficient technical management in our buildings.

Like-for-like performance measures include properties consistently in operation during the two most recent full reporting years and exclude asset acquisitions, disposals, major redevelopments, and developments as well as fully vacant properties. Like-for-like performance measures also exclude assets with changes in the level of data coverage between the two reporting periods where the missing data cannot be reliably estimated.

Estimation

In general estimation of missing data for partially unavailable or unreliable utility consumption for asset-level performance measures is carried out to a very small extent. In these cases, data for missing periods are estimated using known consumption from other periods for the metered supply in question. The proportion of estimated data is disclosed as a percentage of the total data provided for the relevant performance measure. The same method of estimation is used for all performance measures and

for all assets. For 2023 there was no estimation except for Entra's headquarter and own organisation as described below.

Note that while there is limited estimation of waste data itself, the percentage of waste per disposal route is calculated by multiplying actual waste created by the proportion of waste solutions for each waste group. This information on waste processing is provided directly by Entra's waste management supplier.

As information is unavailable for the office space associated with Entra's headquarter, all performance measures for Entra's headquarter is calculated based on Entra's proportionate share of actual utility data for the property where Entra is a tenant. Entra's headquarter is located in Oslo.

Entra does not carry out data adjustment based on climate fluctuations or occupancy rates. Variations in asset-level performance attributed to fluctuations in these factors are instead commented directly in the performance narrative, if relevant. As of 31.12.23, the portfolio occupancy was 95.3 per cent.

Third party assurance

Entra has obtained third party assurance of its sustainability data for this reporting period. Statement from our auditors can be found on page 119.

Landlord/Tenant Boundary

Entra is responsible, as landlord, for obtaining a portion of the overall utilities consumed at the assets level. Total landlordobtained consumption includes both utilities for common areas as well as tenant consumption sub-metered from the landlord. The remaining consumption is obtained and paid directly by the tenants. Entra has access to tenant-obtained consumption data and reports on whole building consumption for all asset-level environmental performance measures. Utilities purchased by Entra as the landlord (landlord-obtained) and those directly purchased by tenants (tenant-obtained) are presented separately under total consumption.

Normalisation

As a majority of Entra's management portfolio is utilised as office space, floor area is deemed the most appropriate denominator for asset-level performance measures. Whole building consumption is divided by Gross Leasable Area (GLA). The denominator GLA is closely aligned with the numerator as total consumption includes tenant-obtained utilities and is also consistent with the areas disclosed in Entra's financial reporting.

For absolute intensities, Entra either includes pre-existing data or pro-rates consumption up to the full year for properties entering or exiting the management portfolio during the reporting period. This removes the mismatch between the collected consumption data in the numerator and GLA as the denominator for more comparable absolute intensities.

Number of hours/days worked is used as the denominator when calculating health and safety performance measures.

Segmental analysis

Segmental reporting and analysis by geography or property type does not grant significantly greater insight into asset-level performance measures. As presented in its financial reports, Entra's management portfolio contains mainly office properties within Oslo, Norway and other regional cities, of which Oslo represents the majority location of portfolio value.

Disclosure on own offices

Entra discloses the environmental impact of its own occupation separately within its sustainability reporting. As Entra is a tenant at a property within its own management portfolio, this data is also included in the total portfolio consumption. Please refer to the paragraph on estimation for a note concerning the calculation of data for Entra's headquarters.

Performance narrative on our managed assets

The following provides a short commentary on the asset-level performance indicators for Entra's management portfolio and headquarters for 2023. For an outline on our plans for managing future performance please refer to the sustainability report, page 60–87.

Management Portfolio Energy

Entra's focus on improving energy efficiency has given results over the past 10–15 years, not only through specific measures such as replacing central environment operation control systems and improving the zoning control of outdoor environments but also by generally optimising the management of its properties. In 2023, absolute electricity consumption across the 84 managed assets with available data, totaled 103 989 MWh versus 106 228 MWh in 2022. Measured as like-for-like, the decrease relative to 2022 was 2.64 per cent. Landlord-obtained consumption amounted to 81 063 MWh, of which 1.6 per cent came from renewable resources (six buildings). Entra aims to increase this proportion by extending its green energy consumption through solar panels, wind and hydropower.

Absolute district heating and cooling consumption across the 69 managed assets totaled 60 599 MWh, an absolute increase of 5.5 per cent, explained by finalized projects utilizing district heating.

There are no properties with fuel consumption as of 2023. Entra has reached its target of removing all oil boilers in its portfolio. The last property using fuels was divested in 2022.

Building energy intensity across the 71 management properties in our portfolio with like-for-like performance data was 123 kWh per square meter in 2023, down by 1 per cent in comparison with 2022.

Greenhouse gas

Greenhouse gas intensity from building energy across the same assets fell to 2.85 kg CO2e per square meter, a drop of 20 per cent compared with 2022. This decrease is mainly explained by reduction in emission factor because the Nordic Mix has become greener, and as more energy efficient newbuilt properties has been included in Like-for-Like calculations.

GHG emissions presented in the EPRA table are based on localbased and market-based emission factors for electricity. If calculated using market-based emission factor for electricity, the GHG emission from electricity is about 25 605 tones CO2-e in 2023. This increase in absolute emission is due to Entra deciding not to buy GoO on behalf of its tenants in 2023, just for own its offices and for the portfolio vacancy.

In 2023 Entra expanded Scope 3 emission with estimates for upstream and downstream transportation and distribution, fuel- and energy-related activities and investments. In project developments Entra utilised data from embodied carbon emission from materials and construction activities (A1-A5 in accordance with NS3720) related to the five projects finalised in 2023.

Water

100 per cent of water consumption comes from municipal water supplies sources. Absolute water consumption across the 82 managed assets with available data in 2023 was 276 898 m3 compared with 264 887 m3 in 2022. Building water intensity across the 71 assets with like-for-like performance data was 0.21 m3 per square meter in 2023, on par with 2022.

Waste

In 2023, Absolute waste creation across the 77 managed assets with available data was 3 831 tons. Compared with 3 801 tons in 2022 this was an increase of 1 per cent. Like-for-like decreased with 4 per cent from 3 559 tons in 2022 to 3 424 tons in 2023. Entra continuously works towards greater coverage of waste created by tenants who have waste groups managed independently of Entra's waste monitoring system.

Entra Headquarters

Entra's electricity consumption at its headquarter totaled 224 291 kWh in 2023, a 15 per cent increase compared to 194 712 kWh in 2022. This increase is due to a change the estimation method. Entra's consumption is now a proportionate share of the building's consumption.

Entra's pro-rated share of district heating and cooling increased by 36 per cent from 73 387 kWh in 2022 to 99 464 kWh in 2023. District heating in 2023 increased at the headquarter due to lower average temperatures during the winter months.

Entra does not have any properties which uses fuels as an energy source, thus Entra's headquarter do not utilize fuels as an energy source.

Energy intensity for Entra's headquarter was 118 kWh per square meter in 2023, up by 21 per cent in comparison with 2022. Greenhouse gas intensity from building energy ended at 2.60 kg CO2e per square meter in 2023 compared to 3.31 kg CO2e in 2022. Entra's proportionate share of water consumption in 2023 was 654 m3 compared with 501 m3 in 2022. This 31 per cent increase is a directly consequence of normalized office utilization in 2023 compared to 2022, which was partly affected by lockdown due to Covid-19. Building water intensity was 0.24 m3 per square meter in 2023, compared to 0.18 m3 per square meter in 2022.

Entra's proportionate share of total waste created decreased by 14 per cent from 12.4 tonnes in 2022 to 10.7 tons in 2023. This decrease comes as a result of more correct waste distribution between the buildings tenants.

Performance narrative on social

Diversity-employee gender is calculated as a percentage of female to men. Female shares of Senior executives in 2023 was 43 per cent, increased from 2022. Diversity pay gender ratio is calculated woman to men.

During 2023, Entra onboarded 8 employees in new positions, of whom four were women and four men. Number of recruitments have been at a very low level in 2023, both due to low activity due to market conditions, but also because of low turnover rates. The employee turnover rate in 2023 was low at six and a half per cent. New hire rates are calculated based on people started in Entra divided on the number of employees by the end of 2022. Turnover rate is calculated based on people that left Entra divided on the number of employees by the end of 2022.

No direct employees had sick leave due to injuries in 2023.

In construction projects, we experienced seven incidents resulting in sick leave absence, of which three injuries resulted in more than 16 days sick leave. None on these were direct employees.

The Injury rate, Lost day rate and Accident severity rate are all calculated per 1 000 000 hours worked.

Location of EPRA Sustainability Performance in companies' reports

Entra reports the entirety of the EPRA Sustainability Performance Measures in its Sustainability Report, including a comprehensive EPRA sBPR table that uses the performance measure codes.

Reporting period

Entra reports both absolute and like-for-like performance measures for the two most recent years but may choose to report performance measures over a longer period in the future should this provide meaningful data.

Materiality

Entra has not conducted a materiality review for the EPRA performance indicators as we consider all the sustainability performance measures in the EPRA table to be material.

ENVIRONMENT

ENVIRONMENT					Total portfolio
					Absolute performance (Abs)		Like-for-like by property type (LfL)		Absolute performance (Abs)
Impact area	EPRA Code	Units of measure	Indicator				2022	2023	2022	2023
Energy	Elec-Abs,	annual kWh	Electricity	Total landlord-obtained electricity	77 207 701	81 062 895	70 596 390	73 803 123	194 712	224 291
	Elec-LfL			Proportion of landlord-obtained electricity from renewable resources	1.7%	1.6%	1.9%	1.8%	-	-
				Total tenant-obtained electricity	29 020 524	22 925 742	26 990 473	21 205 450	-	-
				Total landlord- and tenant-obtained electricity consumption	106 228 225	103 988 637	97 586 863	95 008 573	194 712	224 291
	No. of applicable properties			Electricity disclosure coverage	81 out of 91	84 out of 95	71 out of 77	71 out of 77	1 out of 1	1 out of 1
		%		Proportion of electricity estimated	-	-	-	-	-	-
	DH&C-Abs,	annual kWh	District heating and cooling	Total landlord-obtained district heating and cooling	51 289 442	55 921 858	47 426 565	50 399 555	73 387	99 964
	DH&C-LfL			Proportion of landlord-obtained heating and cooling from	-	-	-	-	-	-
				renewable resources
				Total tenant-obtained heating and cooling	6 193 278	4 677 503	6 042 287	4 187 881	-	-
				Total landlord- and tenant-obtained heating and cooling	57 482 720	60 599 361	53 468 852	54 587 436	73 387	99 964
		No. of applicable properties		District heating and cooling disclosure coverage	64 out of 91	69 out of 95	57 out of 77	57 out of 77	1 out of 1	1 out of 1
		%		Proportion of district heating and cooling estimated	-	-	-	-	-	-
	Fuels-Abs,	annual kWh	Fuels	Total direct landlord-obtained fuels	-	-	-	-	-	-
	Fuels-LfL			Proportion of landlord obtained fuels from renewable resources	-	-	-	-	-	-
				Total tenant-obtained fuels	60 498	-	-	-	-	-
				Total landlord- and tenant-obtained fuels	60 498	-	-	-	-	-
		No. of applicable properties		Fuels disclosure coverage	1 out of 91	0 out of 95	0 out of 77	0 out of 77	NA	NA
		%		Proportion of fuels estimated	-	-	-	-	-	-
	Energy-Int	annual kWh / sqm	Energy Intensity	Building energy intensity	126	123	125	123	95	118

					Total portfolio		Headquarter (s)
					Absolute performance (Abs)		Like-for-like by property type (LfL)		Absolute performance (Abs)
Impact area	EPRA Code	Units of measure	Indicator		2022	2023	2022	2023	2022	2023
Greenhouse	GHG-Dir-Abs	annual tonnes CO2e	Direct	Scope 1	312	136	304	136	-	-
gas emissions	GHG-Indir-Abs	annual tonnes CO2e	Indirect/location based	Scope 2	4 342	3 586	4 015	3 312	9	7
	GHG-Int	kg CO2e / sqm / year	GHG emissions intensity	GHG Scope 1 and 2 intensity from building energy	3.59	2.77	3.58	2.85	3.21	2.60
	GHG-Indir-Abs	annual tonnes CO2e	Indirect	*Scope 3 1. Goods and services purchased	31 383	26 836	NA	NA	946	626
				2. Capital goods	5 859	6 724	NA	NA	NA	NA
				3. Fuel- and energy-related activities	NA	2 071	NA	NA	NA	2
				4. Upstream transportation and distribution	NA	250	NA	NA	NA	NA
				5. Waste and water generated in operation	1 812	928	1 684	858	7	2
				6. Business travel	66	76	NA	NA	66	76
				7. Employee commutes	1	1	NA	NA	1	1
				9. Downstream transportation and distribution	NA	0.1	NA	NA	NA	NA
				15. Investments	NA	2	NA	NA	NA	NA
				Scope 3 total	39 120	36 887	1 684	858	1 020	707
				Total scope 1+2+3	43 774	40 609	6 003	4 307	1 029	715
		No. of applicable properties		Energy and associated GHG disclosure coverage	81 out of 91	84 out of 95	71 out of 77	71 out of 77	1 out of 1	1 out of 1
		%		Proportion of energy and associated GHG estimated	-	-	-	-	-	-
GHG emissions – Guarantee of origin	GHG-Indir-Abs	annual tonnes CO2e	Indirect/market based	Scope 2	13 928	25 605	9 616	23 437	NA	NA
Water	Water-Abs, Water-LfL	annual cubic metres (m3)	Water	Municipal water	264 887	276 898	249 686	256 896	501	654
	Water-Int	annual m3 / sqm	Water Intensity	Building water intensity	0.21	0.21	0.21	0.21	0.18	0.23
		No. of applicable properties		Water disclosure coverage	78 out of 91	82 out of 95	71 out of 77	71 out of 77	1 out of 1	1 out of 1
		%		Proportion of water estimated	-	-	-	-	-	-

						Total portfolio			Headquarter (s)
		Units of measure				Absolute performance (Abs)		Like-for-like by property type (LfL)		Absolute performance (Abs)
Impact area	EPRA Code		Indicator		2022	2023	2022	2023	2022	2023
Waste	Waste-Abs,	annual tonnes	Waste type	Hazardous waste	38	39	23	39	0.03	0.01
	Waste-LfL			Non-Hazardous waste	3 763	3 791	3 536	3 385	12.4	10.7
				Total waste	3 801	3 831	3 559	3 424	12.4	10.7
		proportion by disposal route (%)	Disposal routes, hazardous	Reuse	1%	-	1%	-	-	-
				Recycling	7%	23%	11%	23%	15%	47%
				Incineration (with or without energy recovery)	82%	76%	72%	76%	-	1%
				Landfill (with or without energy recovery)	10%	1%	16%	1%	84%	52%
			Disposal routes,	Reuse	-	-	-	-	-	-
			non-hazardous	Recycling	44%	40%	45%	40%	60%	53%
				Incineration (with or without energy recovery)	31%	46%	32%	46%	22%	42%
		Landfill (with of without energy recovery)	0.5%	14%	0.5%	14%	0.5%	5%
				Biodiesel production	24%	-	23%	-	17%	-
		No. of applicable properties		Waste disclosure coverage	69 out of 91	77 out of 95	63 out of 77	63 out of 77	1 out of 1	1 out of 1
		%		Proportion of waste estimated	-	-	-	-	-	-

						Total portfolio			Headquarter (s)
							Absolute performance (Abs)		Like-for-like by property type (LfL)	Absolute performance (Abs)
Impact area	EPRA Code	Units of measure	Indicator			2022	2023	2022	2023	2022	2023
Certification	Cert-Tot	% total floor area	Level of certification	BREEAM-NOR	Outstanding	2%	2%	3%	3%
					Excellent	12%	15%	16%	21%
					Very Good	20%	20%	27%	29%
		No. of applicable properties				23 out of 91	27 out of 95	23 out of 77	27 out of 77
	Cert-Tot	% total floor area	Level of certification	BREEAM In-use:	Outstanding	1%	-	1%	-
				Asset Performance	Excellent	30%	21%	41%	23%
					Very Good	13%	8%	18%	9%
					Good	0.4%	-	1%	-
		No. of applicable properties				27 out of 91	18 out of 95	27 out of 77	18 out of 77
	Cert-Tot	% total floor area	Level of certification	BREEAM In-use:	Outstanding	9%	5%	11%	5%
				Building Management	Excellent	26%	16%	31%	18%
					Very Good	14%	7%	17%	7%
					Good	-	-	-	-
		No. of applicable properties				26 out of 91	17 out of 95	26 out of 77	17 out of 77

Data Qualifying Note

1: NA = "Not applicable"

2: GHG Scope 1 emissions from fossil fuels are calculated using data from Norwegian Environment Agency (NEA) and refrigerants are calculated using Returgass factor

3: GHG Scope 2 emissions from use of electricity and district heating and cooling are calculated using a location based approach. For electricity, Nordic mix factor (based on calculated emisson from the Nordic countries, weighted average from the last two years) is utilized.

4: GHG Scope 2: Alternative Electricity emission – Market based method (Guarantee of Origin): Entra has bought GoO for own offices and vacancy during 2023.

5: GHG Scope 3: Emissions from travel, waste and water consumption are calculated using a location based approach. For 2023 emission factors waste are updated using DEFRA emissions.

6: GHG Scope 3: Exctended calculations has been made in 2023

1. Entra's headquarters data is also included in the total portfolio as that Entra is a tenant at one of its own properties. HQ is located in Oslo, but Entra has also two local offices in Bergen and Trondheim. See page 75 for Own Organisation

8: Employees commuting, 158 out of 200 respondance to company survey in 2023. Average calculation for the rest (42 employees).

9: Waste updated Disposal route in 2023. Does not include Biodisel production.

SOCIAL

						Corporate performance
Impact area	EPRA Code	Units of measure	Indicator			2022	2023
Diversity	Diversity-Emp	% of employees	Gender diversity	Direct employees within significant employee categories	Board of directors	43%	43%
				having strategic influence on company activities	Senior Management	29%	43%
					Managerial positions	44%	40%
	Diversity-Pay	Ratio average basic salary Gender pay ratio		Direct employees basic salary within significant employee	Board of directors	76%	37%
				categories as identified in diversity-emp	Senior Management	111%	94%
					Managerial positions	96%	97%
		Ratio average bonus		Direct employees bonus within significant employee	Board of directors	NA	NA
				categories as identified in diversity-emp	Senior Management	150%	91%
					Managerial positions	95%	96%
Employee Training and	Emp-training	Average hours	Training and development	Direct employees training hours (vocational, paid educational leave, external courses, specific topics, etc.)		33	26
Development	Emp-dev	% of employees	Performance appraisals	Direct employees who receive regular performance and career development review		100%	100%
	Emp-Turnover	Total number	New hires	Direct employees		44	13
		Rate	New hires	Direct employees		21%	6.5%
		Total number	Turnover	Direct employees		12	14
		Rate	Turnover	Direct employees		5.8%	7.0%

Impact area	EPRA Code	Units of measure	Indicator		2022	2023
Health and	H&S-Emp	% of total days	Sick leave	Direct employees	2.9%	2.6%
safety		Total number	Incidents, direct employees	Developments	-	-
				Managed portfolio	1	4
			Lost day injuries, direct employees	Developments	-	-
				Managed portfolio	1	-
			Fatalities, direct employees	Developments	-	-
				Managed portfolio	-	-
		Per 1 000 000 hours worked	Injury rate	Direct employees	5.34	10.97
		Per 1 00 000 hours worked	Lost day rate	Direct employees	93.48	-
		Per 1 000 000 hours worked	Accident severity rate	Direct employees	-	-
	H&S-Asset	%	% of assets	Assets for which H&S impacts are assessed or reviewed for compliance	100%	100%
	H&S-Comp	Total number	Number of incidents	Registered internal control deviations at assets in management portfolio	1 921	3 398
	H&S-Asset	Narrative	% of assets	Asset health and safety assessments	See narrative in sustainability
					report on page 101–102
	H&S-Comp	Narrative	Number of incidents	Asset health and safety compliance		See narrative in sustainability
					report on page 101–102
Community	Comty-Eng	Narrative	% of assets	Community engagement, impact assessments and/or development	See narrative in sustainability

Engagement	programs	report on page 104

Corporate performance

GOVERNANCE

	EPRA Code	Units of measure	Indicator		2022	2023
Governance	Gov-Board	Total number	Executive board members	Composition of highest governance body	-	-
		Total number	Non-executive board members	Composition of highest governance body	7	7
		Total number	Non-executive board members with	Composition of highest governance body	5	5
			competance within environmental topics
		Average tenure (years)	Board members	Composition of highest governance body	3.3	4.3
	Gov-Selec	Narrative on process		Process for nominating and selecting the highest governance body	See narrative in sustainability
						report on page 117
	Gov-Col	Narrative on process		Process for managing conflicts of interest	See narrative in sustainability
						report on page 110

Social data note

1: NA = "Not applicable"

2: Diversity-Emp: Genter diversity, percentage of female to men

3: Diversity-pay: gender pay ratio women to men

4: Employees training, 200 out of 200 attending educational training (over a longer periode or short training sessions) in 2023

The property portfolio

Management portfolio

The following table sets forth the properties with management area as of 31 December 2023.

Property name	City	Type of asset	Share of	ownership Occupancy	Manage ment area	Project area	Land & dev. area	Total area	Property name	City	Type of asset	Share of	ownership Occupancy	Manage ment area	Project area	Land & dev. area	Total area
Akersgata 34 og 36	Oslo	Office	100%	100.0%	6 144	-		6 144	Grensesvingen 26	Oslo	Office	100%	99.7%	18 111	-		18 111
Allehelgens gate 6	Bergen	Office	50%	100.0%	14 104	-		14 104	Grensesvingen 7	Oslo	Office	100%	96.8%	21 880	-	12 000	33 880
Biskop Gunnerus' gate 14A	Oslo	Office	100%	95.4%	50 706	-		50 706	Grenseveien 78B	Oslo	Office	100%	100.0%	9 699	-		9 699
Biskop Gunnerus' gate 6	Oslo	Office	100%	100.0%	9 300	-		9 300	Grønland 51	Drammen	Office	60%	96.9%	14 780	-		14 780
Brattørkaia 12	Trondheim	Office	100%	100.0%	1 917	-		1 917	Grønland 53	Drammen	Office	60%	95.4%	11 557	-		11 557
Brattørkaia 13 B	Trondheim	Office	100%	94.7%	6 110	-		6 334	Grønland 56	Drammen	Office	60%	100.0%	504	-		504
Brattørkaia 14	Trondheim	Culture	100%	100.0%	5 220	-		5 220	Grønland 58	Drammen	Education	60%	100.0%	21 474	-		21 474
Brattørkaia 15 A, B	Trondheim	Office	100%	93.4%	16 949	-		16 949	Grønland 60	Drammen	Culture	60%	94.0%	8 728	-		8 728
Brattørkaia 16	Trondheim	Education	100%	100.0%	11 217	-		11 217	Hagegata 22	Oslo	Office	100%	99.5%	26 876	-		26 876
Brattørkaia 17 A	Trondheim	Office	100%	98.0%	17 776	-		17 776	Henrik Ibsens gate 110	Oslo	Culture	100%	100.0%	19 227	-		19 227
Brattørkaia 17 B	Trondheim	Office	100%	96.8%	19 644	-		19 644	Holtermanns veg 1–13, phase 1	Trondheim	Office	100%	99.8%	11 429	-		11 429
Brynsengfaret 6 C	Oslo	Residential	100%	100.0%	353	-		353	Holtermanns veg 1–13, phase 2	Trondheim	Office	100%	74.6%	20 900	-		20 900
Brynsveien 11–13	Oslo	Office	100%	84.1%	12 401	-		12 401	Kaigaten 9	Bergen	Office	100%	100.0%	9 990	-		9 990
Brynsveien 5	Oslo	Office	100%	80.4%	6 127	-		6 127	Karenslyst allé 7	Oslo	Office	100%	100.0%	9 842	-		9 842
Christian Krohgs gate 10–12	Oslo	Office	100%	97.2%	5 439	-		5 439	Keysers gate 15	Oslo	Office	100%	82.2%	1 747	-		1 747
Christian Krohgs gate 2	Oslo	Office	100%	88.9%	12 867	-	8 600	21 467	Kjørbo gård	Sandvika	Office	100%	100.0%	1 795	-		1 795
Cort Adelers gate 30, Kontorbygget	Oslo	Office	100%	99.0%	12 061	-		12 061	Kjørboveien 12–26	Sandvika	Office	100%	100.0%	25 602	-		25 602
Cort Adelers gate 30, Skolebygget	Oslo	Education	100%	100.0%	3 963	-		3 963	Kjørboveien 3	Sandvika	Other	100%	100.0%	16 353	-		16 353
Drammensveien 131	Oslo	Office	100%	100.0%	13 098	-		13 098	Kjørboveien 33	Sandvika	Office	100%	100.0%	14 670	-		14 670
Drammensveien 134	Oslo	Office	100%	91.1%	20 935	-		20 935	Kongens gate 87	Trondheim	Office	100%	96.2%	8 185	-	5 000	13 185
Dronningens gate 2	Trondheim	Office	100%	100.0%	5 158	-		5 158	Kreftings gate 33	Drammen	Office	60%	100.0%	3 890	-		3 890
Fredrik Selmers vei 4	Oslo	Office	100%	100.0%	38 027	-	18 500	56 527	Kristian Augusts gate 13	Oslo	Office	100%	100.0%	4 101	-		4 101
Fredrik Selmers vei 6	Oslo	Office	100%	81.0%	14 703	-		14 703	Kristian Augusts gate 15–17	Oslo	Education	100%	99.9%	21 149	-		21 149
Fyrstikkallèen 1	Oslo	Office	100%	100.0%	39 632	-		39 632	Kristian Augusts gate 21	Oslo	Office	100%	100.0%	1 593	-		1 593

Property name	City	Type of asset	Share of	ownership Occupancy	Manage ment area	Project area	Land & dev. area	Total area
Lagårdsveien 6	Stavanger	Office	100%	100.0%	16 996	-		16 996
Lakkegata 53	Oslo	Office	100%	89.6%	31 670	-		31 670
Langkaia 1A	Oslo	Office	100%	99.4%	39 470	-		39 470
Lars Hilles gate 19	Bergen	Office	100%	99.8%	6 536	-		6 536
Lars Hilles gate 30	Bergen	Office	50%	97.8%	45 706	-		45 706
Lilletorget 1	Oslo	Office	100%	51.2%	14 867	-		14 867
Løkketangen 2–14B	Sandvika	Office	100%	84.8%	18 171	-		18 171
Malmskriverveien 18–20	Sandvika	Office	100%	94.7%	8 998	-		8 998
Malmskriverveien 4	Sandvika	Office	100%	75.9%	3 864	-		3 864
Marken 37	Bergen	Education	100%	100.0%	2 950	-		2 950
Munchs gate 4 / Keysers gate 13	Oslo	Office	100%	100.0%	10 980	-		10 980
Møllendalsveien 1 A	Bergen	Office	100%	92.5%	6 095	-		6 095
Møllendalsveien 6–8	Bergen	Office	100%	94.8%	15 724	-		15 724
Nedre Vollgate 11	Oslo	Office	100%	98.9%	9 150	-		9 150
Nils Hansens vei 20	Oslo	Office	100%	63.8%	3 149	-		3 149
Nonnesetergaten 4	Bergen	Office	100%	98.5%	17 213	-		17 213
Nygårdsgaten 91	Bergen	Office	100%	88.2%	12 069	-		12 069
Observatoriegata 1	Oslo	Office	100%	100.0%	7 073	-		7 073
Observatoriegata 1 – Magasinet	Oslo	Culture	100%	100.0%	9 593	-		9 593
Otto Sverdrups plass 4	Sandvika	Education	100%	99.8%	16 038	-		16 038
Pilestredet 33	Oslo	Office	100%	98.6%	21 004	-		21 004
Prinsens gate 1	Trondheim	Office	100%	94.8%	33 848	-		33 848
Professor Olav Hanssens vei 10	Stavanger	Office	100%	99.2%	37 219	-	29 500	66 719
Schweigaards gate 15 B	Oslo	Office	100%	99.8%	14 510	-		14 510
Schweigaards gate 16	Oslo	Office	100%	99.9%	15 498	-		15 498
Schweigaards gate 6–14	Oslo	Office	100%	76.6%	25 944	-		25 944
St. Olavs plass 5	Oslo	Office	100%	100.0%	16 439	-		16 439
Stenersgata 1	Oslo	Office	100%	88.5%	40 900	-		40 900
Storgata 51	Oslo	Office	100%	68.1%	10 936	-		10 936
Tordenskiolds gate 12	Oslo	Office	100%	91.7%	13 136	-		13 136
Trondheimsporten	Trondheim	Office	100%	100.0%	29 122	-		29 122
Tullins gate 2	Oslo	Office	100%	94.0%	6 909	-		6 909

Property name	City	Type of asset	Share of	ownership Occupancy	Manage ment area	Project area	Land & dev. area	Total area
Tvetenveien 22	Oslo	Office	100%	100.0%	4 126	-		4 126
Universitetsgata 11	Oslo	Hotel	100%	100.0%	5 546	-		5 546
Universitetsgata 2	Oslo	Office	100%	100.0%	28 646	-		28 646
Universitetsgata 7	Oslo	Office	100%	100.0%	22 076	-		22 076
Vahls gate 1–3	Oslo	Office	100%	100.0%	14 857	-		14 857
Valkendorfsgaten 6	Bergen	Office	100%	98.1%	13 260	-		13 260
Verkstedveien 1	Oslo	Office	100%	98.1%	31 689	-		31 689
Verkstedveien 3	Oslo	Office	100%	45.1%	8 385	-		8 385
Vestfjordgaten 4	Sandvika	Office	100%	100.0%	23 765	-		23 765
Wexels plass	Oslo	Other	100%	100.0%	1 035	-		1 035
Østensjøveien 39–41	Oslo	Office	100%	75.0%	5 666	-		5 666
Østensjøveien 43	Oslo	Office	100%	75.8%	6 823	-		6 823
Total					95.3% 1 375 579	-		73 600 1 449 404

Project portfolio

The following table sets forth the properties with project area as of 31 December 2023.

Property name	City	Type of asset	Share of ownership	Manage ment area	Project area	Land & dev. area	Total area
Malmskriverveien 2	Sandvika	Office	100%	-	3 406		3 406
Schweigaards gate 15	Oslo	Office	100%	-	22 817		22 817
Brynsengfaret 6	Oslo	Office	100%	-	35 417	13 600	49 017
Malmskriverveien 16	Sandvika	Education	100%	-	2 743		2 743
Holtermanns veg 1–13, phase 3	Trondheim	Office	100%	-	15 500	-	15 500
Total				-	79 883	13 600	93 483

Land & Development portfolio

The following table sets forth the properties with land and development area as of 31 December 2023.

Property name	City	Type of asset	Share of ownership	Manage ment area	Project area	Land & dev. area	Total area
Lars Hilles gate 25	Bergen	Office	100%	-	-	5 800	5 800
Jørgen Kanitz gate	Sandvika	Office	100%	-	-	10 187	10 187
Total				-	-	15 987	15 987

Definitions

12 months rolling rent	The contractual rent of the management properties of the Group for the next 12 months as of a certain date, adjusted for (i) signed new contracts and contracts expiring during such period, (ii) contract-based CPI adjustments based on Independent Appraisers' CPI estimates and (iii) the Independent Appraisers' estimates of letting of current and future vacant areas.
Capital expenditure	Property related capital expenditure, split into four components: (i) Acquisition, (ii) Development, (iii) Like-for-like portfolio and (iv) Other. The components Development and Like-for-like portfolio combined ties to the line item Investment in the property portfolio in the investment properties rollforward, while the two other categories ties to separate line items in the rollforward.
Back-stop of short-term interest-bearing debt	Unutilised credit facilities divided by short-term interest-bearing debt.
Borrowings	Carrying amount of interest-bearing debt
Cash Earnings	Net income from property management less tax payable. Cash Earnings per share is calculated as Cash Earnings divided by the average outstanding shares for the period.
Contractual rent	Annual cash rental income being received as of relevant date
Effective Leverage	Total interest-bearing liabilities, including debt, lease liabilities, pension liabilities and seller's credits, divided by total assets
EPRA LTV ("Loan-to-value")	Net debt divided by total property value. Property values are included at fair value, net debt at nominal value. EPRA LTV is calculated based on proportional consolidation for partly-owned subsidiaries, associates and JVs.
EPRA NDV – Net Disposal Value	NAV metric reflecting the IFRS equity including the full extent of the deferred tax liability as per the balance sheet, including fair value of fixed interest rate debt and excluding goodwill as a result of deferred tax.
EPRA NRV – Net Reinstatement Value	NAV metric reflecting the IFRS equity excluding (i) deferred tax liability as per the balance sheet in respect of properties and financial instruments, (ii) fair value of financial instruments and (iii) goodwill as a result of deferred tax.
EPRA NTA – Net Tangible Assets	NAV metric reflecting the IFRS equity including only the estimated real tax liability, and excluding (i) fair value of financial instruments, and (ii) goodwill and intangible assets as per the balance sheet.

Exit yield	The discount rate applied on the expected net cash flows after the existing lease terms
Fringe areas	Bryn, Helsfyr, Majorstuen and Skøyen
Gross yield	12 months rolling rent divided by the market value of the management portfolio
Interest Coverage Ratio ("ICR")	Net income from property management excluding depreciation and amortisation for the Group (i.e. the Group's EBITDA), divided by interest expenses and commitment fees related to investment activities. ICR is presented for last four quarters.
Independent Appraisers	Newsec and Cushman & Wakefield Realkapital
Land and dev. properties	Property / plots of land with planning permission for development
Like-for-like	The percentage change in rental income from one period to another given the same income generating property portfolio in the portfolio. The figure is thus adjusted for acquisition and divestments of properties and active projects
Management properties	Properties that are actively managed by the company
Market rent	The annualised market rent of the management properties, fully let as of the relevant date, expressed as the average of market rents estimated by the Independent Appraisers
Market value of the property portfolio	The market value of all properties owned by the Entra and subsidiaries. The figure does not include Inventory properties.
Net Asset Value ("NAV")	Net Asset Value is the total equity that the company manages for its owners. Entra presents NAV calculations in line with EPRA recommendation, where the difference mainly is explained by the expected turnover of the property portfolio.
Net income from property management	Net Income less value changes, tax effects and other income and other costs from residential development in associates and JVs
Net letting	Annualised rent of new lease contracts plus lease-up on renegotiated contracts less terminated contracts
Net nominal interest bearing debt	Nominal interest-bearing debt less cash and bank deposits

Net operating income	Rental income less operating costs such as maintenance, property tax, leasehold expenses (not including financial expenses on leases recognised in accordance with IFRS 16), insurance fees, letting and property administration costs and direct property costs.
Net rent	12 months rolling rent less the Independent Appraisers' estimate of ownership costs of the management properties of the Group
Net yield	Net rent divided by the market value of the management properties of the Group
Newbuild	A new building on bare land
Occupancy	Estimated market rent of occupied space of the management properties, divided by the market rent of the total space of the management portfolio.
Outstanding shares	The number of shares registered less the company's own repurchased shares at a given point in time.
Period-on-period	Comparison between one period and the equivalent period the previous year
Property portfolio	Properties owned by the parent company and subsidiaries, regardless of their classification for accounting purposes. Does not include the market value of properties in associates and jointly controlled entities
Project properties	Properties where it has been decided to start construction of a new building and/or renovation
Redevelopment	Extensive projects such as full knock-down and rebuild, and projects where external walls are being materially impacted (e.g. taking a building back to its core or changing brick facades to glass).
Refurbishment	Projects extensively impacting an existing building, but not knocking it down or materially affecting external walls
Required rate of return	The discount rate applied on the net cash flows for the duration of existing lease terms
Total area	Total area including the area of management properties, project properties and land / development properties
Total net nominal interest bearing debt	Net nominal interest-bearing debt and other interest-bearing liabilities, including seller's credits and lease liabilities for land and parking lots in connection with the property portfolio
WAULT	Weighted Average Unexpired Lease Term measured as the remaining contractual rent amounts of the current lease contracts of the management properties of the Group, including areas that have been re-let and signed new contracts, adjusted for termination rights and excluding any renewal options, divided by Contractual rent, including renewed and signed new contracts.

Flexible, attractive and environment-friendly office properties

Head office Biskop Gunnerus' gate 14 A 0185 Oslo

Postal address Post box 52, Økern 0508 Oslo, Norway Tel: (+47) 21 60 51 00 E-mail: post@entra.no

Customer service centre E-mail: service@entra.no Tel: (+47) 800 36 872

www.entra.no

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