w w w . q s h f . b e 28 November 2017 Antwerp AGENDA - PDF document

w w w . q s h f . b e 28 November 2017 Antwerp

AGENDA 01 Who we are? 02 Market of student housing 03 Portfolio 04 Financial 05 Future 06 Proposal

01 Who we are?

Who we are? AGENCY INVESTMENT MANAGEMENT CONSULTING (BE) (BENELUX) (BENELUX) (BENELUX)

Who we are? AGENCY INVESTMENT MANAGEMENT CONSULTING (BE) (BENELUX) (BENELUX) (BENELUX) Offices • Antwerp • Mechelen • St-Niklaas

Who we are? AGENCY INVESTMENT MANAGEMENT CONSULTING (BE) (BENELUX) (BENELUX) (BENELUX) • 2nd largest Offices • independant Antwerp • Real Estate Manager Mechelen • St-Niklaas • 2.000.000 m² under management

Who we are? AGENCY INVESTMENT MANAGEMENT CONSULTING (BE) (BENELUX) (BENELUX) (BENELUX) • 2nd largest Offices • independant Antwerp • Real Estate Manager Mechelen • St-Niklaas • 2.000.000 m² under management

Who we are? Quares Student Housing • Non-listed investment vehicle – latest exit horizon 2026 • Return on Equity based upon capitalisation (no dividends) • Student housing KBC • Geographical area: Belgium with 5 largest student cities 15.0% • Portfolio of € 56,3 mio Fam. 13.9% 0 • Shareholders structure: Costermans 70.8% • www.qshf.be 1 +/- 180 shareholders

02 Market of student housing

Globalisation of higher education International context “Higher education is becoming an worldwide business” 2014 2020 Number of international students 4.1 m 7.0 m Bologna Process Creation of 1 European higher education framework • Mutual recognition of study periods 0 • Similar qualifications • Uniform quality standards 2

Belgium Impact on globalisation for Belgium Higher instream of international and European Students through: • Higher transparency of Belgian study possibilities • Higher mobility of European & international students; Source: In-house research Quares; Engelstalig onderwijs bezig aan forse opmars, De Tijd, 8 mei 2015, Bedrijven snakken naar internationaal onderwijs, De Tijd, 8 mei 2015. +9,36% 0 +40,83% 2

Belgium Impact op globalisation for Belgium … enabled by: • Erasmus programs • Geographical situation • Low life, housing and study costs compared to other countries • Agenda of Lisbon agreement 2020 • Tendancy to prolongation of study period 0 Source: In-house research Quares; Focus on: What future for student mobility, Ross McQueen and David Crosier, Eurydice, 14/02/2017; Recordaantal Vlaamse studenten op Erasmus, Persbericht kabinet Vlaamse minister van Onderwijs Crevits, 12/08/2016; Onderwijs Vlaanderen. 2 Dit is een grafiek op basis van de inkomende studenten die Erasmus volgen. Dit is geen netto-grafiek die rekening houdt met de studenten die buiten België gaan studeren via Erasmus. Noteer dat de contracten aangaande studentenhuisvesting mbt Erasmus studenten veelal een kortere termijn hebben dan 1 jaar (wat gebruikelijk is).

Belgium Increasing number of students Belgium – evolution number of students 0 2 Source: I n-house research Quares

Flanders – scattered landscape Source : In-house research Quares; Centrumsteden in evolutie, editie 2016, Mercedes Van Volcem. Source : In-house research Quares.

Wallonia – scattered landscape Source : In-house research Quares. Source : In-house research Quares; Centrumsteden in evolutie, editie 2016, Mercedes Van Volcem.

Brussels – scattered landscape Source : In-house research Quares. Source : In-house research Quares; Centrumsteden in evolutie, editie 2016, Mercedes Van Volcem.

Student Housing in the press - Belgium Source: VRT, 29 augustus 2017; De Tijd, 2 september 2017; De Tijd, 13 september 2017

Student Housing in the press - Antwerp Source: De Standaard, 26 augustus 2017; De Tijd, 2 september 2017; De Standaard, 6 september 2017.

Student Housing in the press - Brussels Source: De Standaard, 18 juli 2017 ; BRUZZ, 25 augustus 2017; VRT, 29 augustus 2017; De Tijd, 2 september 2017.

Student Housing in the press - Leuven Source: De Standaard, 21 februari 2017; VETO, 27 februari 2017; De Standaard, 14 juli 2017; De Standaard, 26 augustus 2017; De Tijd, 17 augustus 2017; De Tijd, 2 september 2017.

Student Housing in the press – Ghent Source: De Standaard, 19 april 2016; De Standaard, 23 september 2016; De Tijd, 2 september 2017; De Morgen, 20 september 2017.

Student Housing in the press – Liège Source: La Meuse, 19 juli 2017; RTL, 21 augustus 2017; Le Soir, 29 augustus 2017

Student Housing in the press Source: BRUZZ, 1 februari 2016; De Tijd, 9 juni 2016; De Standaard, 9 augustus 2016; Vlaams minister van Onderwijs Crevits, 12 augustus 2016; Catella, 9 maart 2017; JLL, 2017.

Belgium Increasing number of students 75% enrollment rate Source : Gross enrolment ratio by level of education, Unesco Institute for statistics, 2000-2015. 0 2

Belgium Number of students in K Nr of Students in ‘000 165 institutions of higher education – 610 locations 5 universities , 13 high schools, 12 other institutions of higher education 4 universities, 39 high schools, 9 other institutions of high education 4 universities, 78 high schools, 1 other institution of higher education Source: In-house research Quares; Centrumsteden in evolutie, editie 0 2016, Mercedes Van Volcem. 2

Belgium Nr of Students in ‘000 Number of students in K 55 63 Focus on 5 cities 92 55 49 5 universities , 13 high schools, 12 other institutions of higher education 4 universities, 39 high schools, 9 other institutions of high education 4 universities, 78 high schools, 1 other institution of higher education Source: In-house research Quares; Centrumsteden in evolutie, editie 0 2016, Mercedes Van Volcem. 2

Focus on 5 cities 30% of locations covers 72% of students Nr. % Possible Locations % Total nr. of students 437.000 100% 610 100% Total nr. of students in 5 cities 315.000 72% 180 30% Total nr. of students in 5 cities residing in 150.000 48% rooms Total nr. of rooms in 104.000 69% 5 cities 0 Shortage 46.000 31% 2 Source : In-house research Quares; Centrumsteden in evolutie, editie 2016, Mercedes Van Volcem.

Belgium – Key Figures Key Figures of 5 largest cities KEY NUMBERS ACADEMIC YEAR ‘16 -17 Antwerp Leuven Ghent Brussels Liège Number of students 55.086 55.206 62.772 91.940 48.855 Share foreign students 9,74% 9,73% 12,83% 26,57% 13,00% Number of students living at 7.500 40.000 37.500 55.164 9.354 student rooms Share students living at student 13,62% 72,46% 56,74% 60% 17,54% rooms Number of rooms 9.500 41.237 31.000 10.500 12.000 Tendency rooms Oversupply Oversupply Undersupply Undersupply Oversupply 2.000 1.237 (6.500) (44.664) 2.646 Average room € 335 € 355 € 326 € 446 € 320 price/month studio € 410 € 460 € 427 € 520 € 359 appartement € 525 / € 495 € 600 € 544 Occupancy rate rooms 80% 97% 95% 99% 90% 0 Quality label Antwerps Kotlabel to be Br(ik-OK-label Verhuur licentie kwaliteitslabel developed (Le Permis de location) 2

03 Portfolio

Portfolio today Portfolio Brussels Antwerp Liege Buildings: 5 Buildings: 15 Buildings: 1 Rooms: 267 Rooms: 202 Rooms: 146 Value: € 29,6m Value: € 19,1m Value: € 7,6m 0 3

Evolution of the portfolio Portfolio per 30/09/2017 EVOLUTION OF THE TOTAL PORTFOLIO (€ ‘000) 60 000 50 000 19 100 40 000 7 590 30 000 7 590 20 000 7 430 29 630 24 541 10 000 16 243 14 280 0 0 31/12/2014 31/12/2015 31/12/2016 30/09/2017 Brussels Liege Antwerp Leuven Gent 3

Portfolio Today Actual portfolio in 3 cities Yearly Market Actual Rooms OR Contract ERV Var. IV Rent Yield Yield Nr. % Y € '000 € '000 €m € '000 % % Brussels 267 99,3% 7,6 1 757 1 720 2,1% 29 630 5,81% 5,93% Liege 146 100,0% 0,6 544 570 -4,6% 7 590 7,52% 7,17% Antwerp 202 100,0% 1,0 1 042 1 057 -1,4% 19 100 5,53% 5,45% Total 615 99,7% 4,2 3 343 3 347 -0,1% 56 320 5,94% 5,94% Portfolio (based upon IV) OR: Occupancy Rate Contract duration until 1 st break Contract: ERV: Estimated Rental Value Rent: Actual Rent IV: Investment Value 34% 0 53% 13% 3 Brussel Liege Antwerp

Portfolio Today- Brussels Brussels Rooms 267 Yearly Rental Break Operate Rooms Client Costs rent (' Risk Date d by 000) Occupancy Kothouse 21 103 QSH yearly Students Br(ik Yes Van Orley & Zavelput 86 765 Br(ik 2031 Br(ik Br(ik No 99,3 % Méridien 18 89 Usl-B 2020 Usl-B Usl-B Yes Ommegang 142 800 Usl-B 2020 Usl-B Usl-B Yes 267 1 757 Inv. Value 29,6 Mio > 94% of the passing rent for > 3 years / > 43% of passing rent for > 14 years Yield 0 5,93 % 3

Brussels, Ommegang w w w . q s h f . b e

Brussels, Ommegang w w w . q s h f . b e Finance Avenue 18 November 2017

Portfolio Today - Liège Liege Rooms 146 • One of the largest student residences in Liège; • Mainly for long and short Occupancy stays for Erasmus students; 100% • Originally a gift by the Ruhl Family to the Belgian State – Inv. Value later on, acquired by private 7,6 Mio investor who completely renovated the building and rooms; Yield 0 7,17 % 3