PROGRAMACION POR MEDIO DE BARRAS GANTT DEL PROYECTO

Following the strengthening of the balance sheet through means of the placement of shares in November 2013, NSI further shaped its financing strategy in 2014. The key objectives consisted of achieving greater diversification of financing sources, extending the average term of the loan portfolio and reducing financing costs. Furthermore, NSI’s aim was to simplify and standardise loan documentation and its structure. In 2014, NSI largely completed this task. When it published the provisional 2014 annual figures in February 2015, NSI announced the largest refinancing initiative in its history amounting to €550 million (subject to documentation). The financing will significantly extend the average term, further reduce interest expenses and increase the share of non-bank-related financing. Furthermore, there is a possibility over time to largely move towards non-mortgage debt and the new facility provides room for further diversification.

Treasury Policy

NSI pursues an active treasury policy that is subservient to its core activities: the lease, commercial operation and acquisition and sale of properties. The treasury policy is focused on controlling risks in the area of financing and on increasing the predictability and stability of cash flows. The objective of the treasury policy is to optimise the Company’s results, subject to the condition of a conservative financing structure at competitive rates. No speculative positions are taken.

Interest Rate Policy

The majority of NSI’s financing is currently at a variable interest rate. The objective of the interest rate policy is to control interest costs. To achieve this goal, NSI hedges part of the variable interest rate by making use of fixed-rate loans, interest rate derivatives and ‘collars’ (instrument that defines the bandwidth within which the interest rate fluctuates). Of the consolidated portfolio at least 70% and at most 100% of the underlying loan portfolio must be hedged against interest rate risk. No speculative positions are taken.

Financing Policy

NSI considers it important to continuously stay in discussion with its financiers. Through means of open, frequent and transparent communications, including during times that the Company does not require financing, the relationship banks keep abreast of the conditions within NSI, which enables them to more effectively anticipate NSI’s banking needs.

Following the strengthening of the balance sheet in November 2013, NSI further refined its financing strategy. Objectives of the strategy are to (i) diversify financing sources; (ii) create uniform loan documentation; (iii) reduce interest charges; (iv) extend the average term of the financing portfolio; (v) acquire financing at the group level; and (vi) make it possible to migrate from secured financing to unsecured financing. A financing structure that meets the above-referenced characteristics enhances NSI’s clout and flexibility in terms of the implementation of its strategy, as well as in terms of negotiating new financing and refinancing.

In 2014, NSI took important steps in this area. In 2014, NSI held meetings and conducted negotiations with a group of banks concerning their participating in a syndicate on the basis of the above-referenced principles. In parallel to this, opportunities were explored with institutional parties concerning their participation in an institutional facility (European Private Placement). These discussions have resulted in the announcement in February 2015, that agreement has been reached on the conditions for a refinancing of €550 million, representing 80% of the Dutch loan portfolio. The refinancing consists of a bank financing of €450 million by an international bank syndicate and an institutional facility of €100 million. The completion of this refinancing is subject to the completion of the loan documentation.

The participation of international banks and the introduction of a €100 million institutional facility mean that the diversification of financing has been achieved. The financing structure is simplified due to the fact that two syndicated facilities and multiple bilateral agreements are merged into a single financing facility. By adding an institutional facility, the average term of the loan portfolio is significantly extended (from approximately 2.0 years to 4.0 years). The reduction of the interest rate margins on this facility will result in structurally lower average financing costs. Furthermore, the new facility explicitly creates the possibility of releasing securities over time and the largest part of the financing will be continued as a corporate facility. As a result of this and as a result of the migration of loans from the property level to the portfolio level, there is greater flexibility in terms of implementing NSI’s strategy, including asset rotation.

The new facility is expected to go into effect in the second quarter of 2015, following the completion of the full loan documentation.

3

The graph above does not yet reflect the agreements reached in February 2015 concerning the €550 facility (subject to documentation). The average remaining term of the loans at 31 December 2014 was 2.0 years (31 December 2013: 2.2 years). This will be significantly extended to approximately 4.0 years due to the announced refinancing (subject to documentation). The graph below provides a pro forma expiry calendar after the new facility has been implemented:

The new facility largely covers the refinancing for the Netherlands for 2015. In addition, the facility also refinances the financing for 2016 - 2017.

Intervest Offices & Warehouses in April 2014 successfully placed 2 bond loans for a total of €60 million. The terms are 5 years (€25 million, 3.430% interest rate) and 7 years (€35 million, 4.057% interest rate), respectively. These bond loans

X €1,000 Fixed Interest Rate Loans

Variable Interest Rate Loans

Total Loans CreditFacility Variable Swaps Exchanged for Fixed Interest Fixed Interest Rate after Swaps % Interest Rate % Netherlands 73,161 451,173 524,334 48,250 346,625 88.5% 4.9% Belgium 141,052 127,486 268,538 15,000 120,000 92.1% 4.0% 2014 Total 214,213 578,659 792,872 63,250 466,625 89.7% 4.6% 250 200 150 100 50 0

Loan Maturity Dates

(x €1,000)

will replace the currently outstanding bond loan (€75 million, 5.1% interest rate) maturing on 29 June 2015. The proceeds of the two bond loans were used to repay the temporarily committed bank financing. Until the bond loan is repaid in 2015, financing costs will be higher in 2015.

In addition, in Belgium, refinancing of €59 million that was to expire in 2016 was completed. The financing terms were extended to 2018, 2019 and 2020.

The total loan portfolio decreased from €813.9 million at year- end 2013 to €792.9 million at year-end 2014.

The fixed-rate portion of the mortgage loans, including the interest rate derivatives, increased from 82.4% as at 31 December 2013 to 89.7% as at 31 December 2014. This is primarily due to the above-referenced pre-financing in Belgium on the basis of the placement of two bond loans. The total hedged interest rate has an average term of 3.1 years (2013: 3.8 years).

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

Netherlands Belgium

50 NSI Annual report 2014

No margin calls apply to the derivative contracts that would require cash payments to be made in case of changes in the market value of derivatives.