CONTENTS. The Stuttgart Economic Region 4 Market Trends 5 Facts and Figures 6 Investments 8 Outlook 2013 8

1. INDUSTRIAL AND LOGISTICS PROPERTY
STUTTGART REGION
2013

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CONTENTS.
The Stuttgart Economic Region 4
Market Trends 5
Facts and Figures 6
Investments 8
Outlook 2013 8
Our Services 10
Your Contact Partners 10
ELLWANGER & GEIGER Real Estate 11
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3. THE STUTTGART ECONOMIC REGION.
A81 direction
Heilbronn
A81 direction
Karlsruhe
A81 direction
Singen
A8 direction
Munich
County of Göppingen
County of Ludwigsburg
County of Esslingen
County of Rems-Murr
County of Böblingen
Ditzingen
Weilimdorf
Esslingen
industrial and logistics cluster*
* logistics space > 50,000 sqm
industrial space > 100,000 sqm
Berlin

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MARKET TRENDS.
Global concerns like Daimler, Porsche and Bosch, as well as many strong midsized companies have created
employment and wealth in the Stuttgart Region. Their success is mainly due to excellent export rates, but
also to a high level of specialisation and closely linked value chains. To ensure economic success in a global
industrial environment, it will be crucial to remain flexible and competitive, and to provide an excellent
infrastructure for businesses in the Stuttgart Region
ALLOCATION OF CAPITAL
One option for reaching these goals is to invest in modern
production facilities. This can be a challenge for midsized
companies due to the extremely high capital require-
ments and long capital commitment of such investments.
Especially in a volatile market ­environment, foreign capital
needs to be strategically ­allocated within the company.
The capital requirement for research and development
need to be harmonised with efficient production processes
and a high level of standards. Only a successful trade-off
between these ­factors will lead to sustainable economic
success.
RENTING OF PRODUCTION SPACE
Industrial companies may therefore consider to reduce
their capital commitment by renting property. Profes­
sional investors have met this demand with a balanced
provision of lettable office, logistics and storage space.
However, this trend is slow to gain ground in industrial
production, the very heart of German midsized companies.
In order to make use of production property as a hidden
resource, it is crucial to strengthen real estate compe-
tence within these companies. This can be reached by
implementing corporate real estate management or
through close cooperation with professional real estate
partners.
A NEW ASSET CLASS
In the near future, production property will become more
and more interesting for investors with a long term orien-
tation. A low probability of default, a strong binding to
location and long term leases of more than 10 years will
provide for stable, secure cash flows with above average
yields.
FLEXIBLE USE OPTIONS
The key to success in this new asset class will be standard-
ised multi-functional production facilities in industrial A
locations, the potential to be adapted to individual tenant
requirements. This may be logistics in a former production
site, or vice versa. Industrial and logistics ­tenants will
­appreciate the multi-functionality of such ­facilities, as it
allows them to flexible react to market ­requirements.

5. FACTS AND FIGURES.
SPACE TURNOVER*
For 2012 ELLWANGER & GEIGER Real Estate were able
to ­determine a total of approx. 240,000 sqm of rented
­industrial and logistics space within the Stuttgart Region.
This constitutes an increase in space turnover of approx.
45 per cent compared to the previous year (165,000 sqm).
With ca. 65,500 sqm, newly built logistics property
played a major part in this excellent result – a plus of
nearly 64 per cent compared with approx 40,000 sqm
in 2011. This means that newly built lettings made up
round about one third of the total space turnover.
In the county of Ludwigsburg alone, especially in Mark-
gröningen, Marbach am Neckar, Schwieberdingen and
Kornwestheim, ca. 56,000 sqm of newly built logistics
space were successfully placed on the letting market.
The remaining new developments were let in Esslingen
(ca. 5,500 sqm) and Stuttgart-Weilimdorf (ca. 4,100 sqm).
ELLWANGER & GEIGER Real Estate were able to win
­Mercedes-AMG as tenant for the modern logistics
facility in Marbach am Neckar (ca. 12,000 sqm),
Schenker Deutschland AG for 10,500 sqm of multi-­
functional ­logistics space in Schwieberdingen, as well
as Rhenus AG & Co. KG for the 4,100 sqm in Stuttgart-
Weilimdorf. These signings correspond with a market
share of about 41 per cent for newly built logistics space
in the Stuttgart Region. In 2012, the counties with the
highest lettable space turnover of existing and newly built
property were: Ludwigsburg with approx. 105,000 sqm
(2011: approx. 33,000 sqm), Böblingen with approx.
49,000 sqm (2011: approx. 35,000 sqm), Esslingen with
45,000 sqm (2011: approx. 49,000 sqm).
The most significant brownfiled transaction took place
in Winnenden, where Alfred Kärcher GmbH bought
ca. 58,000 sqm of Pfleiderer Ziegelfabrik (former brick
factory). This was closely followed by the selling of
the Redevco-areal in Markgöningen (ca. 53,000 sqm).
­Porsche acquired the former Mercedes-Benz transmission
plant in Stuttgart-Zuffenhausen (ca. 45,000).
With regards to greenfield, HUGO BOSS acquired approx.
58,000 sqm in Filderstadt-Bonlanden for their new high-
bay warehouse. ELLWANGER & GEIGER Real Estate
launched approx. 41,000 sqm in Marbach am Neckar
designated for 24/7 industrial and logistics use, which
was sold to Gazeley.
In total, about 135,000 sqm of industrial and logistics
property were successfully listed by real estate agents
in 2012. This corresponds with approx. 56 per cent
of the total letting volume. ELLWANGER & GEIGER
Real Estate were able to market ca. 48,000 sqm, which
constitutes a market share of approx. 36 per cent.
* without lease extensions

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RENTS
In 2012 the average net rent for existing industrial and
­logistics space in the Stuttgart Region remained steady at
approx. € 4.70 per sqm, compared with € 4.75 per sqm
in the previous year.
Average net rents for newly built logistics space ranged at
€ 5.55 per sqm, with peak rents of € 6.60 per sqm in the
county of Ludwigsburg.
Tenants requested and leased production and storage space
mainly between 2,000 sqm and 5,000 sqm. For existing and
newly built logistics property, lettable spaces between
7,000 sqm and 10,000 sqm were most requested.
LEASE TERMS
The average lease duration for existing property still lies
between 3 an 5 years. Lately, a trend for shorter lease
terms could already be observed.
While lease durations range between 7 and 10 years for
newly built logistics, leases of 10 years and more are not
uncommon for newly built production space.
Range of net rents
€ per sqm
Average net rents
€ per sqm
trend 2013/2014
County of Böblingen 3.40 – 6.50 5.10
County of Esslingen 2.50 – 5.50 4.50
County of Göppingen 2.70 – 3.80 3.50
County of Ludwigsburg 3.70 – 6.60 5.00
County of Rems-Murr 1.80 – 4.00 2.90
Stuttgart 4.50 – 6.20 5.20
Total 3.25 –5.40 4.70
Source: BANKHAUS ELLWANGER & GEIGER KG ©, March 2013 monthly net rents

7. OUTLOOK 2013.
To remain cost competitive, industrial companies in the
Stuttgart Region will continue to outsource logistics
­processes to external service providers. In order to meet
the constantly increasing requirements of the industry
and to ensure smooth process chains, an ongoing demand
for modern logistics property can be expected in 2013.
Especially contract logistics requires modern, flexible and
multi-functional facilities. The supply of such logistics
­developments will remain limited, as no major speculative
construction project has yet been identified for 2013.
Similar trends can be observed at industrial companies in
the Stuttgart Region. Multi-functional newly built produc-
tion facilities have come into focus as owner occupier or
lease hold investment models. What counts for logistics,
also holds true for industrial property: modern industrial
production requires modern production facilities.
INVESTMENTS.
The demand for logistics and light industrial investment
opportunities by private and institutional investors has
­remained on a high level in 2012. The high density of
­logistics service providers in the Stuttgart Region is a
­result of a strong economic base with an attractive mix
of SME´s and global concerns.
As in the previous year, also in 2012 predominantly private
investors were active on the market. Transaction volumes
for existing property ranged between € 3 m and € 8 m,
reaching gross initial yields of 7.5 per cent to 9.5 per cent.
Due to a general lack of new developments, Core property
will continue to be scarcely available. As a matter of fact,
only one logistics development in Böblingen sold to an
institutional investor for approx. € 30 m.
A modern logistics facility at the Stuttgart harbour was
sold in a portfolio together with two warehouses in
­Sindelfingen, comprising a total of approx. 55,800 sqm
of logistics space.
For modern, highly flexible logistics property,
­ELLWANGER & GEIGER expect initial gross yields
between 7.2 per cent and 7.8 per cent.

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TOP YIELDS FOR COMMERCIAL PROPERTY (IN %)
2006 2007 2008 2009 2010 2011 2012 2013
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In most cases, the refurbishment of existing space will not
necessarily pay off. Especially the high energy costs of
such older facilities stand in the way of modern and cost-
efficient industrial production.
For 2013, ELLWANGER & GEIGER expects steady market
rents, with a slight increase in average rents in some
counties. Base rents for newly built logistics facilities are
going to range at € 5.50 per sqm.
Source: Research BANKHAUS ELLWANGER & GEIGER KG ©, March 2013
Logistics
Retail Centres
Office
Office/Retail
in Prime-Location
7,0
7,0
7,5 7,5 7,5
9,5
7,2
10,5 10,5
7,5
8,0
7,5
7,25
7,5
5,55,55,55,5
5,25
5,5
5,0
4,6
5,0 5,0 5,0
4,6 4,6
5,5
7,5

9. YOUR CONTACT PARTNERS.
The industrial and logistics sector has its own characteristics. In this field, you should rely on specialists who know the
requirements for buildings, infrastructure and property down to the last detail: ELLWANGER & GEIGER Privatbankiers.
You will benefit from our expertise, our long-standing experience and our comprehensive services.
Our team in Stuttgart looks forward to your call or visit. You can reach us at: Phone +49 (0)711/2148-286
or Fax +49 (0)711/2148-290.
Information on the Internet: www.privatbank.de
OUR SERVICES.
Markus Knab
Team Manager, Industrial and
­Logistics Properties
Phone +49 (0)711/2148-227
Markus.Knab@privatbank.de
Alexander Fink
Consultant, Industrial and
­Logistics Properties
Phone +49 (0)711/2148-261
Alexander.Fink@privatbank.de
Moritz Weeber
Consultant, Industrial and
­Logistics Properties
Phone +49 (0)711/2148-383
Moritz.Weeber@privatbank.de
Kathrin Ziegler
Assistant Industrial and ­
Logistics Properties
Phone +49 (0)711/2148-286
Kathrin.Ziegler@privatbank.de
Letting Investment Valuation Consulting ResearchSale
INDUSTRIAL AND
­LOGISTICS

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ELLWANGER & GEIGER REAL ESTATE.
ELLWANGER & GEIGER Real Estate offers you a one-stop shop for a comprehensive range of services
­relating to the asset class of real estate. With the very highest discretion and integrity, we enable
you to keep your bearings in rapidly changing markets. Our success is founded above all on excellent
knowledge of the market and decades of experience in the real estate business.
COMMERCIAL PROPERTY
Extensive research is the basis for our
analyses of locations, portfolios and
cost-effectiveness that reflect market
conditions. From this, we derive
strat­egies whose goal is to capitalize
on potentials for earnings and effi-
ciencies.
Apart from comprehensive leasing
services, our core expertise includes
project consulting and transaction
business. We adopt a holistic approach
in consulting on real estate invest-
ments: we partner you all the way –
from the development of market­ing
­strategies, to preparation of data on
properties, to implementation of
­marketing processes.
OUR SERVICES
Research
Investment analysis and ­consulting
Transactions, renting and leasing
of office, retail, industrial and
logistics facilities
FUNDS ASSET MANAGEMENT
We plan individual real estate invest-
ments and create special funds for
­institutional investors and professional
private investors (family offices).
Each investment approach is devised
in close consultation with the customer.
An investment volume is selected
that permits niche investments and
individual mandates. By creating
portfolios for single investors or small
groups, we are able to provide indi-
vidual support for the duration of the
investment. Different investment
­vehicles are selected depending on
the needs and product preferences
of each investor.
OUR SERVICES
Special funds in accordance with
the German Investment Company
Act (KAGG)
Closed investment models
(KG, GmbH)
Luxembourg security funds and
special funds, SICAV, SIF
Individual schemes for offshore
­investors
OUR LOCATIONS
Head office Stuttgart
Börsenplatz 1
70174 Stuttgart, Germany
Phone +49 (0)711/2148-286
Fax +49 (0)711/2148-290
www.privatbank.de
Branch office Munich
Herzog-Rudolf-Straße 1
80539 München, Germany
Phone +49 (0)89/17 95 98-0
Fax +49 (0)89/17 95 98-55
www.privatbank.de
OUR OTHER PUBLICATIONS
Retail Market Report
Office Market Report
Investment Market Report
can be obtained free of charge from:
Kathrin.Ziegler@privatbank.de

11. DISCLOSURE:
The data for this market report has been sourced directly from city and
­community authorities, as well as from realtors and owners. Our contact
partners received standardised questions concerning quantitative factors
like rental price, standard ground value, plot size and space turn-­over,
as well as the prospects for the future. The quality of the answers to our
enquiry varied significantly. Some values were estimated, some data
was incomplete. However, this survey offers an overview of the current
trends and developments in the industrial and logistic sector of the
Stuttgart Region.
BANKHAUS ELLWANGER GEIGER KG
Real Estate
Börsenplatz 1, 70174 Stuttgart, Germany
Phone +49 (0)711/2148-286, Fax +49 (0)711/2148-290
www.privatbank.de