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Presentation June 2017

Presentation June 2017 Please note that the investor must not use this material as a basis for investment decisions. Disclaimer (i).

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Presentation June 2017

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  1. Presentation June2017 Please note that the investor must not use this material as a basis for investment decisions

  2. Disclaimer (i) This material is provided to you for information purposes only. You should not rely upon it or use it to form the definitive basis for any decision, contract, commitment or action whatsoever. This material is private and confidential and may not be used by or forwarded to any third parties. This presentation includes a description of Baltic Horizon Fund (“Baltic Horizon”), a contractual investment fund. The units are not offered to and may not be subscribed for by the public under this material. This presentation does not constitute or form part of and should not be construed as an offer, financial promotion, solicitation or invitation to subscribe for, underwrite or otherwise acquire units of Baltic Horizon or other securities related to investment vehicles under the management of Northern Horizon Capital. We recommend that the recipient seeks independent third party legal, regulatory, accounting and tax advice regarding the contents of this presentation. This presentation does not constitute and should not be considered any form of financial opinion or recommendation by Catella or any of its affiliates. This presentation is not a research report and was not prepared by the research department of Catella or any of its affiliates. In addition, this presentation does not constitute a prospectus in the meaning of the Swedish Financial Instruments Trading Act (Lagen (1991:980) om handel med finansiella instrument), the Finnish Securities Market Act (Arvopaperimarkkinalaki, 746/2012, as amended), any national legislation that implements Directive 2003/71/EC (Prospectus Directive) or any other law. However, a prospectus relating to the offering of units in Baltic Horizon hase been prepared and, registered with the Estonian Financial Supervisory Authority. Key Investor Information Document (KIID) (for Estonian, Danish, Finnish and Swedish, investors) and the prospectus are available to investors free of charge on Baltic Horizon’s website (www.baltichorizon.com). This presentation and the analyses contained in it have been prepared on the basis of statements and facts, information, opinions and estimates obtained, compiled, or arrived at from sources believed to be reliable and in good faith. The use of such assumptions and information does not imply that Catella has independently verified or necessary agrees with any of such assumptions or information, and Catella has assumed and relied upon the accuracy and completeness of such assumptions and information for the purpose of this presentation. Neither Northern Horizon Capital, Catella nor any of their respective affiliates or their respective officers, employees or agents make any representation or warranty, express or implied, in relation to the accuracy or completeness of the information contained in this presentation or any oral information provided in connection herewith, or any data it generates and accept no responsibility, obligation or liability (whether direct or indirect, in contract, tort or otherwise) in relation to any of such information. Northern Horizon Capital, Catella and their respective affiliates and their respective officers, employees and agents expressly disclaim any and all liability which may be based on this presentation and any errors therein or omissions therefrom. Neither Northern Horizon Capital, Catella nor any of their respective affiliates, or their respective officers, employees or agents, makes any representation or warranty, express or implied, that any offering has been or may be made on the terms or in the manner stated in this presentation, or as to the achievement or reasonableness of future projections, management targets, estimates, prospects or returns, if any. Statements in this presentation, including those regarding the possible or assumed future or other performance of Baltic Horizon or its industry or other trend projections, constitute forward-looking statements. These statements may be identified by words such as “aim”, “target”, “expect”, and similar expressions, or by their context. These statements are made on the basis of current knowledge and assumptions. By their nature, forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors because they relate to events and depend on circumstances that will or may occur in the future whether or not outside the control of Northern Horizon Capital. Such factors may cause actual results, performance or developments to differ materially from those expressed or implied by such forward-looking statements. Accordingly, no assurance is given that such forward-looking statements will prove to have been correct. You should not place undue reliance on forward-looking statements. They apply only as at the date of this presentation and neither Northern Horizon Capital nor Catella undertakes any obligation to update these forward-looking statements. Past performance does not guarantee or predict future performance. You should be aware that ideas and potential opportunities discussed herein carry risk, that the value of described assets can vary over time and that potential investors may not recover the full amount invested. Reliance on this communication for the purpose of engaging in any investment activity may expose you to a significant risk of losing all of the amount invested or incurring additional liability. Moreover, Northern Horizon Capital, Catella and their respective affiliates and their respective officers, employees and agents do not undertake any obligation to review, update or confirm expectations or estimates or to release any revisions to any forward-looking statements to reflect events that occur or circumstances that arise in relation to the content of this presentation. This presentation was prepared in order to indicate, on a preliminary basis, the feasibility of follow-on public offerings of units in the Baltic Horizon Fund and does not confer any right of publication or disclosure to any other party. This presentation is being made available to the recipient on the express understanding that it will be kept confidential and that the recipient shall not copy, reproduce, distribute or distribute to third parties this presentation in whole or in part at any time. In addition, the information included herein may not be referred to or quoted. By reviewing this information, you are acknowledging the confidential nature of this information and are agreeing to abide by the terms of this disclaimer. This confidential information is being made available to each recipient solely for information purposes and is subject to amendment. If you are not the intended recipient of this presentation, please delete and destroy all copies immediately.

  3. Disclaimer (ii) This presentation is not intended for distribution to or use by any person or entity that is a citizen, resident, registered or located in any state, country or jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing within such jurisdiction. The units are available for marketing only to certain investors in a limited number of EU Member States and Switzerland. The information contained in this presentation is not intended for publication, release or distribution in the United States, Australia, Canada or Japan. Additional information for investors in Denmark Northern Horizon Capital has obtained authorisation to market the units of Baltic Horizon towards retail investors residing in Denmark in accordance with the Danish Alternative Investment Fund Managers Act and the Executive Order no 797 of 26 June 2014. In accordance with the Executive Order, Northern Horizon Capital has appointed the following Danish representative: Nordnet, Branch of Nordnet Bank AB, Sweden, Havneholmen 25, 7., DK-1561 Copenhagen V, Denmark. Additional information for investors in the United States This presentation does not constitute an offer to sell or a solicitation of an offer to purchase any securities in the United States. The securities described herein have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in or into the United States or for the account or benefit of U.S. persons. Additional information for investors in the United Kingdom In the UK, this communication is exempt from the restriction set out in section 21 of the Financial Services and Markets Act 2000 (“FSMA”) on the communication of invitations or inducements to engage in investment activity on the grounds that it is made to a certified sophisticated investor as defined in article 50 of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005. The content of this communication has not been approved by an authorised person and such approval is, unless this exemption or any other exemption applies, required by section 21 of FSMA. Additional information for Qualified Investors in Switzerland Baltic Horizon has not been licensed for distribution to non-qualified investors with the Swiss Financial Market Supervisory Authority (the “FINMA”) as a foreign collective investment scheme pursuant to Article 120 para. 1 of the Swiss Federal Act on Collective Investment Schemes of 23 June 2006, as amended (“CISA”). Accordingly, pursuant to Article 120 para. 4 CISA, the units may only be offered and this presentation may only be distributed in or from Switzerland by way of distribution to qualified investors as defined in the CISA and its implementing ordinance (“Qualified Investors”) if Baltic Horizon has entered into written agreements with a representative (the “Representative”) and a paying agent (the “Paying Agent”) in Switzerland. Representative: Fundbase Fund Services AG, Bahnhofstrasse 3, CH-8808 Pfaeffikon Switzerland. Paying Agent: NeueHelvetische Bank Ltd., Seefeldstrasse 215, CH-8008 Zurich, Switzerland. The statutory documents of Baltic Horizon such as the Fund Rules, the Offering Circular and the annual reports are available only to Qualified Investors free of charge from the Representative. In respect of the units distributed in or from Switzerland to Qualified Investors, the place of performance and jurisdiction is at the registered office of the Representative. This presentation may only be issued, circulated or distributed so as not to constitute an offering to the general public in Switzerland. Recipients of any documents related to the offering of the units in Switzerland must not distribute such documents to a third party without prior consent by Northern Horizon Capital and without first consulting a legal or other appropriate professional adviser or the Representative. The fees and expenses of the Representative and Paying Agent will be payable by Baltic Horizon. Further information in respect of fees and expenses of Baltic Horizon will be disclosed in the audited annual report. Baltic Horizon, Northern Horizon Capital and their agents do not pay any retrocessions to third parties as remuneration for distribution activity in respect of units in or from Switzerland. In respect of distribution activity in or from Switzerland, Baltic Horizon, Northern Horizon Capital their agents will not pay any rebates that aim to reduce the fees or costs incurred by the investor and that are charged to Baltic Horizon. NOT FOR DISTRIBUTION IN THE UNITED STATES, CANADA, AUSTRALIA OR JAPAN

  4. Baltic Horizon Summary: Baltic Horizon Fund • Long-term strategy with focus on high-quality properties in the Baltic capitals • High initial dividend capacity with growth potential • Strong management and solid existing portfolio • Efficient and investor-friendly structure, first AIF in Nasdaq Stockholm • Liquidity through stock market listing – Baltic Horizon fund units are listed on Nasdaq Tallinn (EUR) and Nasdaq Stockholm (SEK) • 0,073 euros paid in cashtoinvestorsfrom operationssinceJuly 2016 • New valuationsas end of June 2017 • Semi-annualreportbybeginning of August Baltic Horizon has a strong portfolio with a total value of EUR 157 million. Current financials Financial targets Net lettable area: ~83,000 sq.m. Vacancies1): 1.9% WAULT: 4.8 years LTV: 53% Property value: EURm 157 NAV2): EURm 76 EPRA NAV3): EURm 84 Net initial yield: 6.9% LTV: 50 % ROE: 12–15 % per annum Dividends: 7–9 % per annum Dividend policy:≥80 % of distributable cash flow GAV4):EUR 1,000m !)Net lettable area 2)Net Asset Value of the Fund or a Unit as calculated in accordance with the Fund Rules 3) The EPRA NAV measure is designed to reflect the fair value of net assets of an entity that invests in real estate with a long-term investment strategy. Assets and liabilities that are not expected to crystallise in normal circumstances, such as the fair value of financial derivatives and deferred taxes on property valuation gains, are therefore excluded. 4) The gross asset value shall be determined based on the aggregate of the Gross Property Value and the market value of all other consolidated assets of the Fund and the SPVs (excluding shares of SPVs holding real estate)LTV updated 2017-05-11

  5. Macroeconomics Attractive yields compared to the Nordics and low interest rates from ECB • Core properties in the Baltics are still priced attractively compared to similar properties in the Nordics. Comparing core office yields, there is a yield difference of more than 2 per cent. • All Baltic countries have now joined the euro and benefit from the euro area’s low interest rates (similar to the interest rates in the Nordics). • This provides strong potential for return on equity from both operations and debt leverage, while still investing in core properties in capital cities where the strongest growth takes place. …and now enjoy low euro area interest ratesInterest rates, % Prime properties in the Baltics still attractively priced…Prime office yields, % Yield difference ~300 bp Estonia joins EMU Latvia joins EMU Lithuania joins EMU Source: Catella, FactSet

  6. Macroeconomics The property market has recovered from the crisis and remains fundamentally attractive Property market driven by healthy fundamentals • The market is currently driven by healthy fundamentals and is generating strong cash flows compared to before the crisis when speculation was the main driver. • Improving Baltic economies have brought the real estate market back to life. Property transaction volume reached EUR 1,191 million in 2016, which demonstrate strength in the Baltic transaction market. • Prime yields for office and retail space have come down to below 7 per cent since the crisis. • The rent and price levels are growing steadily but are still below peak levels in 2007. Property transaction volume1)EURM Prime yields in the Baltic capital cities2)Yield, % Prime rent/sq.m. in the Baltic capital cities3)EUR/sq.m. Prime price/sq.m. in the Baltic capital cities3)EUR/sq.m. 4) 4) Source: Colliers International, Ober-Haus 1) Deals over EUR 0.4m. 2) Average yield weighted by percentage of total area in the cities of Riga, Tallinn and Vilnius. 3) Average values for Riga, Tallinn and Vilnius. 4) 2016 figures not yet released by Ober-Haus

  7. Baltic Horizon Strong portfolio with a total value of EUR 157 million 23.5 15.7 5.5 14.6 17.1 12.2 13.0 38.1 MEUR MEUR MEUR MEUR MEUR MEUR MEUR MEUR Lincona Office Complex Tallinn Coca-Cola Plaza, Tallinn UpmalasBiroji, Riga 16.8 MEUR Duetto 1, Vilnius G4S Headquarters, Tallinn G4S Headquarters, Tallinn Sky Supermarket, Riga Domus Pro, Vilnius Piirita, Tallinn Europa Shopping Center, Vilnius

  8. Baltic Horizon Strong portfolio with a total value of EUR 157 million Europa Shopping Center Upmalas Biroji Domus Pro G4S Headquarters Lincona Office Complex Duetto 1 Coca-Cola Plaza Piirita Sky Supermarket Details of existing property portfolio, 31 March 2017 Source: Northern Horizon Capital 1) Central Business District 2) Effective vacancy rate of Duetto I was zero because YIT Kausta, a seller of the property, is providing a 2-year guarantee (starting from the acquisition date) of full-occupancy net rental income, EUR 900,000, which implies a 7.4% annual yield on the acquisition price. Any shortage between an actual rent and the guaranteed amount is paid by YIT Kausta to the Fund on a monthly basis. Actual vacancy of Duetto I stood at 25% at the end of March 2017. 3) Does not include EUR 2.2m fair value of 3rd stage which is under construction.

  9. Baltic Horizon Well-balanced tenant mix with major Nordic and multinational tenants 10 largest tenants, 31 Mar 2017 Strong tenants and long lease agreements • Baltic Horizon has 175 tenants, mainly large Nordic and multinational firms. • The fund aims to have strong tenants with long leases and has a WAULT of 4.8 years by 31 Mar 2017. • The ten largest leases comprise 51.1 per cent of total annualised rental income. • G4S is the largest tenant and accounts for 10.0 per cent of total annualised rental income, closely followed by Forum Cinema (8.9 per cent). • Successful property management is an important value driver for the Fund and the Management Company closely oversees the property managers and signs off all new leases covering space of at least 100 sq.m. • The maturities of existing leases are fairly evenly distributed over the next ten years. Only one year, 2022, has leases worth more than 15 per cent of annualised rental income reaching maturity. Maturities of existing leases, 31 Mar 2017% of total annualised rental income

  10. Baltic Horizon Baltic Horizon: Strong anchor investors, experienced supervisory board and management with deep knowledge of the local property market 1 Unitholders – Investors Management – Northern Horizon Capital Supervisory Board – Elected by the Unitholders The largest investor is the Church of Sweden pension fund (SvenskaKyrkansPensionskassa) that currently holds approximately 14 per cent of equity. In conjunction with the creation of Baltic Horizon, the Church of Sweden partially reduced its investment and numerous new investors entered the fund. New investors will be added as Baltic Horizon raises new equity. Unitholders (Investors) 1 2 Supervisory Board 2 RaivoVare Chairman of Supervisory Board Chairman of the Board of Directors of Estonian Railways Ltd. Former minister of the transitional government 1990–1992 and vice-chairman of the Estonian Cooperation Assembly. David Bergendahl Member of Supervisory Board Founder and CEO of Hammarplast AB. Previous experience from the Russian real estate market. B.Sc. in Economics, Gothenburg University. NHC (Management Company) 3 Baltic Horizon AndrisKraujins Member of Supervisory Board Extensive experience of the Baltic property market, in real estate since 2001 with executive positions in NHC. Former Chairman of BOF investment Committee. Per Møller Member of Supervisory Board Former Chairman of the Board of Dansk Farm Management (DFM), holds the management mandate for Dansk Farmland K/S (the fund vehicle fully owned by AP Pension) 3 Tarmo Karotam, MRICS Fund Manager In real estate and with NHC since 2006. Fund manager of BOF since its inception in 2010. Responsible for portfolio management of fund assets and coordination of fund investments. B.Sc. in Hospitality Management & Corporate Finance, EçoleHôtelière de Lausanne. Algis Vaitiekunas, FRICS Business Development Director In real estate and with NHC since 2000. Responsible for investor relations and communications. Fund manager of NHC’s private Baltic real estate funds BPT Secura and BPT A/S (exited in 2007). Previous experience includes senior positions at PwC in Melbourne, Hong Kong and Vilnius. Chairman of RICS Baltics. Member of the ICAA, Institute of Chartered Accountants in Australia. AušraStankevičienė, CFA Head of Fund Administration and Risk In real estate since 2007. Head of fund administration, financial control, reporting, treasury and financial risk management in NHC. Previously held treasury positions with Swedbank. MBA in Banking from Vilnius University. Source: Northern Horizon Capital

  11. Baltic Horizon Stable portfolio performance underlines the skill of Baltic Horizon management and the attractiveness of the assets Annual return on equity and NAV (quarterly figures) Index • Baltic Opportunity Fund (BOF) merged with Baltic Horizon (BH) on 30 June 2016 • Since the BOF was launched in late 2010 the fund has paid out EUR 2.73 per unit to its investors. And on the 28th of April a new dividend of EUR 0.023 per unit was announced. • Since the start of the holding period, which includes the build-up phase, BOF and BH have delivered an IRR of approximately 9 per cent1)(Catella’s estimate, dividends + book value NAV). • Existing investors in BOF as of early 2013 have had an IRR of approximately 12 per cent1). • Existing investors in BOF as of early 2014have had an IRR of approximately 12 per cent1). • Existing investors in BOF as of early 2015 have had an IRR of approximately 13 per cent1). 170 NAV +dividends 160 150 140 NAV 130 Merger 120 Merger 110 100 Annual ROE 10 0 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Build-up of Baltic Horizon’s portfolio Total number of sq.m. of BOF’s property portfolio Operating profit (EUR ‘000) Duetto Pirita Upmalas Biroji G4S Extension of Domus Pro Europa Shopping Center Domus Pro Coca-Cola Plaza Sky Supermarket Lincona 2 Source: Northern Horizon Capital 1) Calculated until 31 March 2017 2) Operating income as defined in alternative view of consolidated income statement in the appendix of this presentation

  12. Estimated performance Sensitivity analysis of Catella’s estimate shows relatively stable ROE at 11–16% as nominal rental growth varies from 2–3.5% and interest rates from 1.5–4.0% • Theoretical dividend capacity: Sensitivity analysis shows that total cash return to equity is between 6.3–9.1 per cent as the vacancy rate varies from the current situation of 1.9–5.0 per cent. • ROE: Sensitivity analysis shows relatively stable ROE of 11–16 per cent as interest rates varies from 1.5–4 per cent. • In the tables to the right, investor ROE and the fund’s maximum dividend capacity are analysed in different market conditions. BH currently has an average cost of debt of approximately 2 per cent. When calculating long-term ROE, Catella has assumed 1 per cent real annual rental growth, 2 per cent inflation and an average cost of debt of 2.5 per cent. • Potential upside: • Yield contraction • Expansion of existing properties Dividend capacity given long-term assumptions(Theoretical cash returns from operations to equity) Vacancy rate, % Interest rate, % ROE given long-term assumptions Annual rental growth (including inflation), % Interest rate, % • The estimate provided here is not a forecast and must be viewed only as a theoretical snapshot of ROE and dividend capacity given the stated assumptions. 1) The box show the long-term assumption given in previous page, the theoretical cash returns from operations to equity minus performance fee 8.4%-0.4%=8.1%

  13. Estimated performance Identified operational, financial and liquidity risk factors and mitigating factors Identified Risk factors Mitigating factors Operational risk • Examples of operational risks include: • Ability to identify and acquire commercial properties at attractive levels • Availability of debt capital at attractive terms • Vacancies, loss or delayed rental payments • Liquidity • Examples of financial risks include: • Interest and refinancing risk • Value of the Fund’s property portfolio is also subject to fluctuations which directly affect NAV • Examples of liquidity risks include: • Difficulties selling fund units Operational risks are implicit in all property investments and although difficult to avoid, they can be mitigated. Northern Horizon has been established since 2001 and has a proven track record of managing property funds. This forms a stable platform for Baltic Horizon, which also will be managed by an experienced team. See page 25 and 26. Healthy fundamentals have brought the real estate market back to life and property transaction volume reached record heights of EUR 1,382 million in 2015 in the Baltics. Financial risk The risk of large fluctuations in the fund portfolio value is largely mitigated by the fund’s strategy of investing in core properties that are more resilient to a downturn in the market. Baltic Horizon targets an LTV of 50 per cent, which reduces the financial risk of costs occurring from a potential increase in interest rates and upcoming refinancing. Debt is also denominated in euro and thus matches the euro denominated rental income. Liquidity risk As of July 2016, Baltic Horizon fund units are publicly traded on the Nasdaq Tallinn fund list, making them accessible to a wide investor base. The ownership base was also broadened in conjunction with the IPO. Additional liquidity will be provided by listing the fund units on Nasdaq Stockholm.

  14. Europa Shopping Center – Vilnius, Lithuania • Europa SC markets itself as a “City Style centre” and fashion products are the key focus. Visitors are offered a wide selection of clothing, footwear, accessories, etc. In recent years Europa has attracted more and more upscale brands such as Michael Kors, Karen Millen, etc. and now has the most upscale fashion offering of all large shopping centres in Vilnius. As a result, its target customer group is leaning towards the higher income shopper, which is supported by Europa’s location in the CBD. Europa SC also houses a number of catering facilities; due to its location in the CBD, it is an important lunch spot. • The anchor tenant is the grocery store Maxima (a Baltic retail chain) and in the first quarter of 2015 the lease with Maxima was renewed for another ten years. • 50 per cent of the seven-floor parking structure (approximately 500 spaces) also belongs to the Europa Shopping Center.

  15. Europa Shopping Center – Vilnius, Lithuania Europa Shopping Center Vilnius city centre With its 16,856 sq.m. of lettable area, the Europa SC is the fourth largest shopping centre in Vilnius. Compared to the larger three, Europa SC is the most centrally located. Its location in the very heart of the CBD means that its catchment area includes surrounding office towers/office complexes such as the Europa Business Center (directly connected to Europa SC), Vilnius Municipality and Swedbank HQ. In addition, there are three large hotels nearby, enabling Europa to attract tourists. The property has the potential to substantially expand its visitor flows in the near term as construction of new large office projects in the Vilnius CBD is nearing completion. Development of the Vilnius CBD is unlikely to stop after that because there is still plenty of undeveloped space around Konstitucijos Avenue, the main artery in the CBD.

  16. Europa Shopping Center – Development and extension plans Atrium extension for restaurants, cafes and shopping, approximately 300–500 sq.m. of new area. The expansion project includes renewal of the eastern entrance to the centre and adding windows to the upper façade where restaurants are located. The goal is to improve the pedestrian flow from the neighbouring office buildings and hotels through the shopping centre.

  17. New projects in the area around Europa Shopping Center 6 2 5 1 4 3 1. Europa Shopping Center 2. East Capital Explorer – New Swedbank office (A class, NLA 11,000 sq.m., opening in 2018, 70% pre-let to Swedbank) 3. Schage – Quadrum 1 (A+ class, NLA 30,000 sq.m., opened Q4 2016, 80% leased, including DNB, Newsec, law firm) 4. Schage – Quadrum 3 (A+ class, NLA 10,000 sq.m., opening late 2018) 5. Radisson hotel extension, NLA 8,000 sq.m., opening Q2 2018 6. Lords – K18B (office, NLA 10,000 sq.m., opening 2020, leased to Radisson RED) Photo: Marina J/Shutterstock – The image is a basic montage of new projects and their approximate locations

  18. Upmalas Biroji – Riga, Latvia • UpmalasBiroji is an office building in an attractive location within a five minute drive of Old Town Riga. The property was built in 2008 and floorplans are efficient in order to provide a high number of workstations per sq.m. without losing quality for the individual worker. The building was named the most sustainable building in Latvia in 2013. • The property has 13 tenants, mainly top class international companies such as SEB, CABOT, BOSCH and Johnson & Johnson. The tenants use the building primarily for back-office operations. SEB is the largest leaseholder, accounting for around one third of the property’s total annualised rental income (as of 31 September 2016) followed by CABOT, which accounts for around one fifth of annualised rental income.

  19. Upmalas Biroji – Riga, Latvia Riga city centre Upmalas Biroji UpmalasBiroji is located in south-central Riga, close to several important city districts. There is good infrastructure in connection with the property and heavy traffic flow along the property. By car, it takes 10 minutes to the city centre, 10 minutes to the Central Station and 15 minutes to the airport.

  20. Domus Pro – Vilnius, Lithuania • Domus Pro is a neighbourhood shopping centre located in north-eastern Vilnius, close to the Perkunkiemis neighbourhood. Perkunkiemis is one of the newest and fastest-growing districts in Vilnius. • As a neighbourhood SC, Domus Pro primarily houses shops offering everyday goods and services. The anchor tenant is a grocery store in the Rimi retail chain. Domus Pro is the only asset in the portfolio in which BOF invested that is currently in active expansion. The acquisition process was initiated in July 2013 by signing an SPA with the Domus Pro project developer TK Development. The first stage of the project comprised 7,500 sq.m. Domus Pro opened its doors in early 2014 and the acquisition was completed in May 2014. • Due to the positive performance of the shopping centre, the option to build a second stage (3,700 sq.m. was exercised and construction began in March 2015. New space was fully pre-let to two tenants, Fitus (fitness club) and HansaPlyteliuTurgus (home improvement), and the expansion was finalised in May 2016. 1)Does not include EUR 2.2m fair value of 3rd stage which is under construction

  21. Domus Pro – Vilnius, Lithuania Domus Pro Vilnius city centre • Domus Pro is a neighbourhood shopping centre located in north-eastern Vilnius, close to the Perkunkiemis neighbourhood and the intersection of the future northern bypass around Vilnius. Perkunkiemis is one of the newest and fastest-growing districts in Vilnius. Perkunkiemis is primarily seen as a residential area, but new office buildings have also been built, as the area has attracted the interest of both local and international companies requiring large spaces. For instance, Swedbank, Effecto (IT solutions) and General Financing (consumer credit) have offices in the area.

  22. Domus Pro – Development and extension plans The Management Company decided to further expand the Domus Pro complex and is now working on a project for its third stage – a six‑storey building with net lettable area of 4,380 sq.m. (gross lettable area of 6,180 sq.m.). The ground floor will be dedicated to retail while upper floors will be office space. The extension will have a two-storey underground car park with 50 spaces. The building is planned to be BREEAM-certified indicating high standards of environmental sustainability and efficiency. The Management Company estimates the total investment in the third stage at around EUR 4.5 million. 52 per cent of the third stage has already been preleased and the building is expected to be completed by the end of 2017. Main tenants are Pet City, Fittus Sports Club, Inspecta, Pristis, ALD Automotive

  23. G4S Headquarters – Tallinn, Estonia • G4S Headquarters is a nine-floor office building, built-to-suit for G4S Estonia. The office building has a NLA of 9,179 sq.m. and is located in western Tallinn next to a busy arterial road and 4.5 km away from the Old Town. Built in 2013, the property features all modern office amenities, efficient layout and is in good technical condition. The land plot offers additional development potential up to 20,000 sq.m. • The only tenant G4S uses the premises as headquarters for its Estonian operations and the existing lease lasts until end of 2022. G4S is the world's leading global, integrated security company specialising in the delivery of security and related services to customers in more than 100 countries.

  24. G4S Headquarters – Tallinn, Estonia Tallinn city centre G4S G4S Headquarters is located on Paldiskimaantee 80 in western Tallinn next to a busy arterial road and 4.5 km away from the Old Town. It takes 10 minutes by car and 20 minutes by public transport to get to the Old Town of Tallinn. Travelling to the airport is also a short trip, 15 minutes by car and 35 minutes by public transport.

  25. Lincona Office Complex – Tallinn, Estonia • Lincona is a complex of three connected office buildings (total NLA of 10,859 sq.m.) and a 400-vehicles parking structure. Babycenter, a standalone building of 674 sq.m. acquired along with the whole complex in July 2011, was sold in March 2015 for EUR 1.0 million, providing 24 per cent IRR p.a. Lincona was the first asset acquired by BOF. • The anchor tenant is Swedbank which uses the premises for back office operations. Swedbank accounts for around one third of the property’s total annualised rent. The second largest leaseholder is Information System Authority of the Republic of Estonia. It is a public institution responsible for developing Estonia’s national information system. Creative Mobile, a leading Estonian mobile app developer, is the third largest tenant. As of 31 March 2017, the vacancy rate was 3.8 per cent. 1)The price of Babycenter, sold for EUR 1.0 million in March 2015 – turnaround from sale was 24 per cent p.a.

  26. Lincona Office Complex – Tallinn, Estonia Tallinn city centre Lincona Office Complex • The property is located in the southern part of Tallinn next to Pärnu Road, one of the city’s main transport arteries, and four kilometres from Tallinn Old Town. It is also close to the intersection of two main streets (Tammsaare Road and Järvevana Road) which makes the office easily accessible from all major districts of Tallinn. The location is known as a strong office submarket location. The ground floor premises are used as retail and catering premises, while upper floors are dedicated to offices.

  27. Duetto 1 – Vilnius, Lithuania • Duetto I is a newly built 10-story office centre with an underground parking lot and has an A class in energy efficiency and will have a BREEAM certification. • At the end of March 2017 Duetto I had five tenants. Anchor tenant Lindorff is a provider of credit management services headquartered in Norway. The second largest tenant is Pernod Ricard, one of the largest producers of beverages in the world. 1) Effective vacancy rate of Duetto I was zero because YIT Kausta, a seller of the property, is providing a 2-year guarantee (starting from the acquisition date) of full-occupancy net rental income, EUR 900,000, which implies a 7.4% annual yield on the acquisition price. Any shortage between an actual rent and the guaranteed amount is paid by YIT Kausta to the Fund on a monthly basis. Actual vacancy of Duetto I stood at 25% at the end of March 2017

  28. Duetto 1 – Vilnius, Lithuania Duetto 1 Vilnius city centre Duetto 1 is located in the western part of Vilnius, next to a recently constructed Vilnius western ring road. Several new buildings have been built in the area for example Grand Office.

  29. Coca-Cola Plaza – Tallinn, Estonia • In the very heart of Tallinn, CC Plaza is a popular cinema and leisure complex with eleven screens and 1,967 seats. The building is fully let to Forum Cinemas AS, the largest cinema operator in Estonia, running three cinemas in the country (the other two located in different Estonian cities). • Forum Cinemas belongs to the largest cinema operator in the Nordic and Baltic regions – Nordic Cinema Group (NDC). It operates 66 cinemas, 444 screens and approximately 65,000 seats in almost 50 large and medium-sized cities. NDC works under the Forum Cinemas brand in the Baltic countries, Finnkino in Finland, SF Bio in Sweden and SF Kino in Norway. Coca-Cola Plaza is one of the two large (more than 1,000 seats) cinemas in Tallinn. Its main competitor, Solaris cinema with seven screens and 1,591 seats, opened in 2009. In total seven cinemas operate in the city. • NCG has provided a EUR 5 million guarantee for the rental obligations of Forum Cinemas. • The property is a six-storey building with underground parking for 43 cars. Forum Cinemas AS rents the entire complex from BOF, hence vacancy is zero. The existing lease will expire in 2023. Since part of the premises is sublet by the tenant, the building also houses catering and retail facilities which together occupy around 1,000 sq.m. of space.

  30. Coca-Cola Plaza – Tallinn, Estonia Coca-Cola Plaza Tallinn city centre • Coca-Cola Plaza is based in the centre of Tallinn at Hobujaama Street 5. It is located within the CBD in the area between the mediaeval Old Town, the City Harbour and Viru Square. Hobujaama Street is one of the main arterial roads extending from the city centre and a popular destination. The surrounding area hosts many office buildings, hotels, retail shops and department stores, where a lot of the properties have been developed recently.

  31. Coca-Cola Plaza – Tallinn, Estonia Connected building with two additional floors Coca-Cola Plaza The buildings are being developed following social responsibility principles in the area, in close cooperation with the city as it is one of the prime areas of the city. The key goal is also to facilitate pedestrian traffic moving from the city centre towards the central harbor area and improve access to Rotermann City, a prominent residential area. Development plans foresee the connection of the two buildings seen in the middle of the previous page. Plans also foresee an extension of the current building and two new floors added to the building next to Coca-Cola Plaza. Additional area could reach almost 13,000 sq.m.

  32. Piirita – Tallinn, Estonia • Piirita is a neighborhood-type shopping centre with NLA of over 5,400 sq.m. The building was completely reconstructed in 2016 for retail purposes. • The SC is anchored by Rimi, a Baltic grocery chain owned by ICA Gruppen, a listed Nordic retailer. Rimi is also an anchor tenant at Domus Pro in Vilnius. MyFitness, the second largest tenant at Piirita, is the largest network of sports clubs in Estonia. It operates 15 clubs in Estonia as well as 7 clubs in Latvia. 10-year lease agreements were signed with both Rimi and MyFitness. In total Pirita has more than 20 tenants including a diverse mix of restaurants.

  33. Piirita – Tallinn, Estonia Piirita Riga city centre Tallinn city centre Upmalas Biroji The Piirita shopping centre is situated in Pirita district about 10 minutes by car away from the center of Tallinn. It is close to Pirita beach – a popular spot among Tallinn residents in summer.

  34. Sky Supermarket – Riga, Latvia • Sky Supermarket is a neighbourhood shopping centre with the upmarket grocery chain Sky as anchor tenant and a number of satellite tenants. It is the smallest of the properties owned by BOF in terms of both value and lettable area. The property was built in 2000 and renovated in 2010. • The anchor tenant Sky accounts for approximately half of annualised rental income (as of 31 March 2017). Sky is an upmarket grocery chain operating four shops, all in Riga. It distinguishes itself from larger nationwide retail chains (for example, Maxima and Rimi) by stocking higher quality, more exclusive products. Hence, its target customer group have higher income than the average customer of national retail chains. The Sky chain is owned by local investors. Satellite tenants in the property are typical of a neighbourhood shopping centre: pharmacy, pet shop etc. The property has been fully let since acquisition.

  35. Sky Supermarket – Riga, Latvia Sky Supermarket Riga city centre • The shopping centre is located in the centre of residential suburb Mežciems in northeast Riga. It has good transport connections with the city centre and suburbs thanks to its location on Bikernieku Street – one of the main traffic arteries in the Mežciems district connecting it with the centre of Riga.

  36. Tarmo Karotam, MRICS Northern Horizon Capital AS CEO, Baltic HorizonFundmanager tarmo.karotam@nh-cap.com +372 50 89 044

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