Shareholder report about financial and property data for 2012

1. PROPFUND GERMANY 1 GmbH & Co. KG
Interim Report – November 2012
Potsdamer Platz, Berlin

2. www.propfund.com
Properties Acquired in 2011
Since the last AGM in August 2011, it has been a very busy Propfund Germany 1 GmbH & Co. KG has been registered in
and exciting 14 months for the property management and the land registration so each shareholder can rest assured German bank financing
fund management teams here in Berlin. The EURIX Group
has appointed a new facility manager, property managers
that Propfund is the official registered owner of each building
in the portfolio. The asset management team has all the legal
86% LTV
and employed an assistant to the asset manager to ensure documentation for ownership and they have closed all the Total amount of bank financing
mortgage contracts and continue to communicate regularly with
the continued success of the fund for our shareholders. This based on the purchase price.
team has taken over the management of all 231 properties each bank. Sinking fund accounts have been established for each
on behalf of the shareholders in the fund. The properties property. Any necessary maintenance or refurbishment of vacant
apartments has been identified and a schedule of maintenance
are in 6 different locations with the value of €12million of Rental yield
work is being prepared. Propfund Germany 1 GmbH & Co. KG is
tenanted apartments located both in Berlin itself and outside
Berlin. Essential property management activities have now now the official owner and point of contact for all correspondence 9.3%
been completed which included the legal registering of the from the banks, tenants, utility companies, land registry and Average rental yield from all
German authorities. Complete visibility of each portfolio through
ownership of all properties, transferring of rental contracts properties in the portfolio.
sophisticated rental management and reporting systems provides
from the previous owners, and the registration of all tenant
payments into our financial management systems. The the management team with the platform to start tenant reviews
management team has consulted with all the existing and increasing the rental income from 2013 onwards in line with Rental income
house managers and prepared a maintenance and upgrade the current business plan. All the house and liability insurance
forecast for any essential works. policies have been reviewed and new market quotes are being
€1,122,000
obtained for each building. We are also studying the electricity Total annual rental income per
Tenants have expressed an interest to continue to rent in and gas bills for each building and ways for us to reduce the year from all properties in the
portfolio.
the medium to long term which is very important; however heating and running costs of each building.
there are some isolated cases with the previous owners
which the asset management team are pursuing, through Overall, the asset management team are satisfied with the
legal channels, to ensure that all the terms agreed in the outlook for the fund. There are many activities and tasks which Portfolios purchased for
signed purchase contract are being fulfilled. Some of the need consistent management but the general market conditions, €12,070,000
issues include the collection of a small amount of rents combined with an attractive property portfolio provide a very
Includes 6 portfolios of 231 units
which were paid incorrectly by tenants to the previous good platform to move forward in 2013 and increase the value of
and 129 car spaces.
owner which need to be transferred to Propfund, or the the portfolio in line with market conditions.
completion of certain building works prior to complete the
handover of the property. These issues are normal and the
legal process is clear for the asset managers to resolve
Current portfolio value
them. €14,025,000
Measuring is based on a purchase
factor which is 12,5 times annual
rental income.

3. Hessisch - Lichtenau (Kassel)
Units 48
Purchase price €1,795,000
Rental yield 9.24%
Rental Income €166,000
Treptow-Koepenick, Berlin
Units 34
Purchase price €3,350,000
Rental yield 7.86%
Rental Income €263,331

4. www.propfund.com
Pankow, Berlin
Units 17
Purchase price €920,000
Rental yield 9.34%
Rental Income €85,902
Spandau, Berlin
Units 11
Purchase price €940,000
Rental yield 7.85%
Rental Income €73,765

5. Cottbus
Units 48
Purchase price €2,465,000
Rental yield 9.74%
Rental Income €240,000
Brandenburg
Units 73
Purchase price €2,600,000
Rental yield 11.15%
Rental Income €290,000

6. www.propfund.com
10 Year Interim forecast development of the holdings
of Propfund Germany 1 GmbH & Co. KG.
Forecast to 2011 2012 dif, 2013 dif, 2014 dif, 2015 dif, 2016 dif, 2017 dif, 2018 dif, 2019 dif, 2020 dif, 2021 dif, 2022 dif,
Addition Trustors 4,782,000 € 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€
Limited Liability Capital 4,784,000 € 4,784,000 € 4,784,000 € 4,784,000 € 4,784,000 € 4,784,000 € 4,784,000 € 4,784,000 € 4,784,000 € 4,784,000 € 4,784,000 € 4,784,000 €
Property Purchase 7,370,000 € 5,145,000 € -445,000 € 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€
Property Assets 7,370,000 € 12,515,000 € +1.9 % 12,070,000 € -1.7 % 12,070,000 € -1.7 % 12,070,000 € -1.7 % 12,070,000 € -1.7 % 12,070,000 € -1.7 % 12,070,000 € -1.7 % 12,070,000 € -1.7 % 12,070,000 € -1.7 % 12,070,000 € -1.7 % 12,070,000 € -1.7 %
Expected Value on Resale 0€ 0€ 14,025,000 € 14,375,625 € 14,735,016 € 15,103,391 € 15,480,976 € 15,868,000 € 16,264,700 € 16,671,318 € 17,088,101 € 17,515,303 €
Premium 71,730 € 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€
Rental Income 378,875 € 1,014,922 € -10.4 % 1,122,000 € -2.9 % 1,150,050 € -2.5 % 1,178,801 € -2.0 % 1,208,271 € -1.6 % 1,238,478 € -1.1 % 1,269,440 € -0.6 % 1,301,176 € -0.2 % 1,333,705 € +0.3 % 1,367,048 € +0.8 % 1,401,224 € +1.3 %
Interest Income 0€ 1,613 € 1,448 € 3,666 € 2,776 € 2,140 € 1,765 € 1,662 € 1,720 € 1,829 € 1,877 € 1,990 €
Total Income 450,605 € 1,016,535 € 1,123,448 € 1,153,716 € 1,181,578 € 1,210,411 € 1,240,243 € 1,271,102 € 1,302,896 € 1,335,535 € 1,368,925 € 18,918,518 €
Mortgage 6,460,000 € 10,570,000 € 10,360,000 € 10,360,000 € 10,360,000 € 10,360,000 € 10,360,000 € 10,360,000 € 10,360,000 € 10,360,000 € 10,360,000 € 10,360,000 €
Expenditures
Administration 0€ 49,507 € +6.7 % 55,400 € +17.0 % 56,508 € +17.0 % 57,638 € +16.9 % 58,791 € +16.9 % 59,967 € +16.9 % 61,166 € +16.9 % 62,389 € +16.9 % 63,637 € +16.8 % 64,910 € +16.8 % 566,238 € +898.9 %
Equity Agency 602,254 € 24,274 € +1.5 % 23,920 € -50.0 % 23,920 € -50.0 % 23,920 € -50.0 % 23,920 € -50.0 % 23,920 € -50.0 % 23,920 € -50.0 % 23,920 € -50.0 % 23,920 € -50.0 % 23,920 € -50.0 % 23,920 € -50.0 %
Capital Expenses 0€ 25,000 € 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€
Marketing 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€
Advertising 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€ 0€
CEO / Trustee 22,823 € 10,558 € -70.7 % 36,000 € +0.0 % 36,000 € +0.0 % 36,000 € +0.0 % 36,000 € +0.0 % 36,000 € +0.0 % 36,000 € +0.0 % 36,000 € +0.0 % 36,000 € +0.0 % 36,000 € +0.0 % 36,000 € +0.0 %
Property Management 17,350 € 57,042 € +25.9 % 56,100 € +21.3 % 57,503 € +21.9 % 58,940 € +22.5 % 60,414 € +23.1 % 61,924 € +23.6 % 63,472 € +24.2 % 65,059 € +24.8 % 66,685 € +25.4 % 68,352 € +26.0 % 70,061 € +26.6 %
Sinking Fund 69,040 € 105,049 € +71.1 % 55,645 € -9.3 % 55,645 € -9.3 % 55,645 € -9.3 % 55,645 € -9.3 % 55,645 € -9.3 % 55,645 € -9.3 % 55,645 € -9.3 % 55,645 € -9.3 % 55,645 € -9.3 % 55,645 € -9.3 %
Liability Compensation 52,000 € 10,000 € -44.4 % 10,000 € -44.4 % 10,000 € -44.4 % 10,000 € -44.4 % 10,000 € -44.4 % 10,000 € -44.4 % 10,000 € -44.4 % 10,000 € -44.4 % 10,000 € -44.4 % 10,000 € -44.4 % 10,000 € -44.4 %
Accounting, Tax Advisory, Legal 37,825 € 19,735 € +67.2 % 20,000 € +69.5 % 20,000 € +69.5 % 20,000 € +69.5 % 20,000 € +69.5 % 20,000 € +69.5 % 20,000 € +69.5 % 20,000 € +69.5 % 20,000 € +69.5 % 20,000 € +69.5 % 20,000 € +69.5 %
Advise
Interest 141,097 € 375,808 € -22.4 % 392,498 € -18.1 % 383,320 € -19.2 % 373,329 € -20.5 % 362,946 € -21.9 % 352,156 € -23.4 % 340,942 € -25.0 % 329,286 € -26.8 % 317,169 € -28.7 % 304,574 € -30.8 % 291,478 € -33.0 %
Total Expenses 942,389 € 676,973 € 649,562 € 642,895 € 635,472 € 627,715 € 619,612 € 611,145 € 602,299 € 593,056 € 583,400 € 1,073,343 €
Current Value of Mortgage 6,460,000 € 10,389,960 € 9,924,280 € 9,659,377 € 9,384,483 € 9,099,206 € 8,803,140€ 8,495,859 € 8,176,922 € 7,845,868 € 7,502,219 € 0€
Annual Profit/Loss Before Repay- -491,784 € 339,562 € -15.1 % 473,886 € +14.5 % 510,821 € +16.1 % 546,106 € +16.9 % 582,695 € +17.8 % 620,631 € +18.7 % 659,957 € +19.5 % 700,598 € +20.4 % 742,478 € +21.3 % 785,525 € +22.1 % 17,845,175 € -0.7 %
ment
Repayment 81,623 € 180,040 € 255,680 € 264,903 € 274,894 € 285,277 € 296,067 € 307,281 € 318,937 € 331,054 € 343,649 € 7,502,219 €
Results Before Payout -573,407 € 159,522 € -18.4 % 556,711 € +165.7 % 245,918 € +4.4 % 271,212 € +3.3 % 297,419 € +2.6 % 324,565 € +1.9 % 352,676 € +1.5 % 381,660 € +1.2 % 411,425 € +0.9 % 441,875 € +0.7 % 10,342,956 € +12.2 %
Payout 64,042 € 176,061 € -47.4 % 334,880 € +0.0 % 334,880 € +40.0 % 334,880 € +27.3 % 334,880 € +16.7 % 334,880 € +7.7 % 346,840 € +3.6 % 370,760 € +3.3 % 406,640 € +0.0 % 430,560 € +0.0 % 10,541,981 € +13.2 %
Payout % 1.34% 3.68% 7.00% 7.00% 7.00% 7.00% 7.00% 7.25% 7.75% 8.50% 9.00% 220.36%
Cash 161,303 € 144,764 € 366,595 € 277,633 € 213,964 € 176,503 € 166,188 € 172,024 € 182,925 € 187,710 € 199,025 € 0€
• The fund has successfully invested equity into 6 residential buildings with a • The fund secured bank financing of €10.36m which is equal to 86% of the property
total purchase price of €12m generating a net income of more than €1.1m – value. Furthermore the asset management of PropFund Germany 1 was able to
this represents a purchase factor of 10.75. realize much better interest rates of averaged 3.99%, more than 1% less than
illustrated in the prospectus saving more than €100,000 every year. Therefore
repayment rates had to be increased to averaged 2.25% (from estimated 1.5%)
The increase in the capital repayments ensures a higher estimated exit payment
in 10 years while the fund still expects to achieve an annual payout of 7% per
annum

7. Based on a forecast rental increase of 2.5% per annum and a resale factor of 12.5 times the annual rent, Propfund is currently on target
to generate a total ROI of 192% over the term of the fund. That’s a total pay back during the investment period of estimated 292% (Over
10% ahead of target). Please see the latest 10 Year Interim forecast based on investments ranging from €10,000-€250,000.
w10,000 w50,000
Resale forecast 12,50 €36,612 Resale forecast 12,50 €183,061
Plus Cash Reserve incl. 50% sinking fund 21,047 Plus Cash Reserve incl. 50% sinking fund 25,228
Less Balance of the Mortgage - 215,682 Less Balance of the Mortgage - 778,409
Profit from the resale after paying back Mortgage 221,978 Profit from the resale after paying back Mortgage 2109,880
Less Initial equity repaid to Investors - 210,000 Less Initial equity repaid to Investors - 250,000
Net Profit for Distribution 213,081 Net Profit for Distribution 265,406
Fund Manager profit share 10% - 21,045 Fund Manager profit share 10% - 25,226
Investor profit share 120,36% 212,036 Investor profit share 120.36% 260,180
Anual Payouts over term 71.18% 27,118 Anual Payouts over term 71.18% 235,590
Total Investor profit before tax 219,154 Total Investor profit before tax 295,770
191.54% 191,54%
INVEST: €10,000 INVEST: €50,000
Total annual payments over 10 years holding period 71,2% €7,118 Total annual payments over 10 years holding period 71,2% €35,590
Plus lump sum after 10 years 120% €12,036 Plus lump sum after 10 years 120% €60,180
Plus your initial investment back 100% €10,000 Plus your initial investment back 100% €50,000
That’s a total return of: 292% (€29,154) That’s a total return of: 292% (€145,770)
w100,000 w250,000
Resale forecast 12,50 €366,123 Resale forecast 12,50 €915,306
Plus Cash Reserve incl. 50% sinking fund 210,454 Plus Cash Reserve incl. 50% sinking fund 226,133
Less Balance of the Mortgage - 2156,819 Less Balance of the Mortgage - 7392,047
Profit from the resale after paying back Mortgage 2219,758 Profit from the resale after paying back Mortgage 2549,392
Less Initial equity repaid to Investors - 2100,000 Less Initial equity repaid to Investors - 2250,000
Net Profit for Distribution 2130,811 Net Profit for Distribution 2327,028
Fund Manager profit share 10% - 210,452 Fund Manager profit share 10% - 226,130
Investor profit share 120,36% 2120,359 Investor profit share 120.36% 2300,898
Anual Payouts over term 71.80% 271,180 Anual Payouts over term 71.18% 2177,951
Total Investor profit before tax 2191,539 Total Investor profit before tax 2478,848
191,54% 191,54%
INVEST: €100,000 INVEST: €250,000
Total annual payments over 10 years holding period 71,2% €71,180 Total annual payments over 10 years holding period 71,2% €177,951
Plus lump sum after 10 years 120% €120,359 Plus lump sum after 10 years 120% €300,898
Plus your initial investment back 100% €100,000 Plus your initial investment back 100% €250,000
That’s a total return of: 292% (€291,539) That’s a total return of: 292% (€728,848)
Finally, if you are interested to increase your investment in Germany, Propfund 2 is currently open for subscription.
If you would like to receive further details about this latest fund please don’t hesitate to contact your investor advisor by
calling: 0049 30 499 0 50950, emailing: info@propfund.com or visiting our website: www.propfund.com.

8. Propfund Germany 1 GmbH & Co. KG.
Friedrichstraße 82,
10117 Berlin-Mitte
T: +49 (30) 499 05 09 50
E: info@propfund.com
www.propfund.com
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