Vastned Retail Belgium: Half-yearly financial report for the period 01.01.2016 to 30.06.2016

Firm establishment in the premium city high street shops segment remains the objective.

As at 30 June 2016, 58% of the real estate portfolio consisted of premium city high street shops, 17% of high street shops and 25% of non-high street shops (retail parks and retail warehouses).

Realisation of 7 rental transactions, of which 2 in premium city high street shops, representing approx. 3% of the total annual rental income, resulting in an average increase in rent of 9%.

Work on prominent redevelopment and thorough restoration of a premium city high street shop of 3.000 m² on Zonnestraat in Ghent on schedule.

Occupancy rate as at 30 June 2016: 99% (98% as at 31 December 2015).

Increase in the fair value of the existing real estate portfolio by € 2 million¹ in the first semester of 2016, mainly in the premium city high street shops.

The operating distributable result in the first semester of 2016 is € 1,18 per share (€ 1,21 for the first semester of 2015), a slight decrease primarily due to the divestment of 14 non-strategic retail properties in 2015.

Limited debt ratio of 30% as at 30 June 2016.

Expected gross dividend for 2016 between € 2,40 and € 2,50 per share.