1 1 Company Name : TSKB REAL ESTATE INVESTMENT TRUST Date of - PowerPoint PPT Presentation

1 1

Company Name : TSKB REAL ESTATE INVESTMENT TRUST Date of Establishment : 03.02.2006 Share Capital : 150.000.000 TL Listing : Istanbul Stock Exchange Ticker Symbol : TSGYO : Meclisi Mebusan Cad. Molla Bayırı Sk. No:1 Address 34427 Fındıklı İstanbul Web-site : www.tskbgyo.com.tr e-mail : gyo@tskb.com.tr Phone : +90 (212) 334 50 20 Fax : +90 (212) 334 50 27 Disclaimer: This presentation must be read with the disclaimer in the Appendix 2 2

Section I The Company Section II Real Estate Portfolio Financial Data Section III TSGYO Stock Performance Section IV Appendix Section V 3 3

Highlights  Established in 2006 as a real estate investment and development company  Developer of new projects, has demonstrated its ability to ensure profitable project development  Asset size grew from TL12m (2006) to TL 341m (2011)  Strong real estate portfolio with a commercial focus enabling reliable revenues derived from rental income  Aims to achieve sustainable growth – leasable area up from 3k sqm to 50k sqm in 5 years  Income-sharing and joint-venture projects under evaluation TSKB REIT aims to be a leading player in the Turkish real estate sector 4 4

Vision & Mission VISION To be a “ reliable business partner” with a “ pioneering role “ in its sector . MISSION To establish and maintain a growing and sustainable investment portfolio with high returns. 5 5

Shareholder Structure  Experienced main shareholder, Turkey’s oldest and largest investment and development bank TSKB, part of the Is Bank Group. Shareholder Stake (%) TSKB 59.00 YF Securities 1.33 TSKB Free Float 59% 38% TSKB Employees Pension Fund 1.04 TSKB Real Estate Appraisal 0.30 Free Float on ISE* 38.33 Other Total 100.00 3% * As of December 31, 2011, 7,763,100 of the listed shares were held by TSKB, thus, the total share of TSKB was 64.18% as of the date given.  The Company is one of four subsidiaries established by TSKB in the real estate market, demonstrating the parent company’s commitment to the sector: 1. TSKB Real Estate Investment Company 2. TSKB Real Estate Appraisal 3. TSKB Real Estate Consultancy Services 4. TSKB Real Estate Brokerage Services 6 6

Organization Management Board General Manager Legal Consultant Tax Consultant Property Appraiser Executive Vice President Accounting and Finance and Investments Administrative Affairs Investor Relations • Project Development • Accounting • Investor Relations • Project Management • Budgeting and Planning • Compliance • Administrative Affairs • Asset Management • Finance 7 7

History   TSKB acquired the construction TSKB REIT established in permit for PSC in July. February.   TSKB REIT laid the foundation for TSKB contributed the Tahir PSC in November. Han Building as capital in  Construction on the Adana kind in March .  Paid in capital was increased to hotel (Divan Hotel) project. TL100m.  PSC completed and opened to shoppers in December. 2006 2007 2008 2009 2010 2011  Land for Pendorya Shopping Center (PSC) purchased in July.  Land for Adana hotel project  TSKB REIT on the ISE in April. purchased in 50% partnership in November.  Paid in capital was increased to TL150m.  Paid in capital upped from TL10m to TL75m.  Fındıklı Buildings added to the C ompany’s portfolio in December. 8 8

Investment Strategy Industrial and Geographical Focus • TSKB REIT's investment strategy is concentrated on commercial real estate due to the regular rent income and cash flow pattern which can be obtained from these kinds of assets. • Business and shopping centers, tourism facilities, logistic warehouses and industrial plants are typical investment projects that the Company would like to add to its real estate portfolio. • Residential investments can be another area of attraction as a part of a mixed use project or with respect to their potential profitability in stand-alone cases. The Goal of Growth by Project Development • TSKB REIT adheres to an investment strategy which seeks to take a project from its initial conception and to develop it, to organize all project-essential activities in the developmental process, and to complete the project in such a way as to ensure its viability. • By holding onto the investments which are added to its property portfolio on a long-term basis, the Company’s aim is not only to achieve sustainable growth but also to take advantage of the likely appreciation in the properties ’ value in the long run. Risk Calculation • TSKB REIT engages in a painstaking planning process in order to minimize risk factors as much as possible by verifying a project’s commercial viability before starting it, making sure that the financial resources required by the project will be available, and ensuring that the project is in compliance with existing laws and regulations. 9 9

Section I The Company Section II Real Estate Portfolio Financial Data Section III TSGYO Stock Performance Section IV Appendix Section V 10 10

Portfolio Breakdown Breakdown of Real Estate Portfolio* Office Buildings As of 31.12.2011 ( TL ) 29% Project 15.600.000 Adana Hotel Project 15.600.000 Pendorya Project Shopping Center 5% Office Buildings 90.390.000 66% Fındıklı Buildings 83.030.000 Tahirhan Building 7.360.000 *Proportion of Total Portfolio Value. Shopping Center 203.845.000 Pendorya Shopping Center 203.845.000 Breakdown of Total Portfolio Total Real Estate Value 309.835.000 Participations - Marketable Securities Marketable Securities 15.153.604 5% Total Portfolio Value 324.988.604 Real Estate 95% 11 11

Real Estate Portfolio Summary Value (TL 000)* Pendorya Shopping Center 203,845  Fındıklı Office Buildings 83,030  Tahirhan Office Building 7,360  15,600 Adana Hotel Project  Total 309,835 * Valuations carried out by independent real estate appraisal companies 12 12

Pendorya Shopping Center 13 13

Pendorya Shopping Center (contd.) Pendik - Location Istanbul TSKB REIT Stake 95% December Operational Date 2009 Land Area (sqm) 23,100 Construction Area (sqm) 80,648  95% of Pendorya is held by TSKB REIT and 5% by the Leasable Area (sqm) 30,250 development consultant, the Ataman Group. Occupancy (sqm) (December  The center features a 1,000-person capacity food court and 1,000 93% 2011) vehicle parking lot. Annual expected footfall is 6 million. 100 Number of Stores  Center management expect a 96% occupancy rate to be achieved Tesco Kipa by end-2012. (8,400 sqm), MediaMarkt Anchor Tenants Other (5,500 sqm), Cinema 2% Main Tenants AFM (2,500 8% Hypermarket Food sqm) 27% 8% 203.85 Appraisal Value (TLm) Stores 37% Electronics 18% 14 14

Pendorya Shopping Center (contd.)  The Pendorya site was selected after careful evaluation of the surrounding region to ensure appropriate demographics and growth dynamics as well as unsaturated market conditions and potential.  Pendorya is located at the crossroads of two of Istanbul’s main highways, and is 8 km distant from the Sabiha Gokcen (SG) International Airport.  The Pendik area on the Asian side of Istanbul has a rapidly growing catchment population of Grade B income consumers. Ongoing boutique residential projects, a marina and other nearby tourism investments increase the attraction of Pendorya’s location.  The construction of a 3,000-person Garanti Bank Operations Center in the neighbouring plot has started. Also located in the vicinity, Turkey’s largest state teaching and research hospital (540 beds) was opened at January 2011. Recent Developments in Pendik Region Pendik Development Pipeline Pendik State Teaching Turkey’s 3rd -largest First international fair and Research Hospital marina facility on Asian side 15 15

Fındıklı Office Buildings Fındıklı Buildings 16 16

Fındıklı Office Buildings (contd.) Fındıklı Building I Location Istanbul TSKB REIT Stake 100% Land Area (sqm) 1,696 Leasable Area (sqm) 7,102  TSKB REIT is the 100% owner of the building. Number of Floors 7  The building of some 7,102 sqm of covered space was purchased from TSKB in 2007. Tenant TSKB  Currently, it is rented by TSKB and serves as the headquarters Appraisal Value (TLm) 41.87 of the bank.  The building was renovated in September 2007, and no major maintenance outlays are expected in the near future.  Close proximity to Bosphorus foreshore and mass transit options also have positive effect on site’s exclusivity. Galata Port operations will likely increase the site’s future appraisal value. 17 17

Fındıklı Office Buildings (contd.) Fındıklı Building II Location Istanbul TSKB REIT Stake 100% Land Area (sqm) 2,503 Leasable Area (sqm) 10,542  TSKB REIT is the 100% owner of the property. Number of Floors 10 TSKB, TSKB  The building has 10,542 sqm of enclosed area and was Foundation, Tenants purchased from TSKB in 2007. TSKB RE Appraisal  Currently rented by TSKB and other TSKB Group companies. Appraisal Value (TLm) 41.16  The building was renovated in September 2007, and no major maintenance outlays are expected in the near future.  Close proximity to Bosphorus foreshore and mass transit options also have positive effect on site’s exclusivity. Galata Port operations will likely increase the site’s future appraisal value. 18 18

Tahir Han Office Building 19 19