Credit Suisse Real Estate Fund LivingPlus · Real Estate Investment Management Type of issue Best-effort issue with subscription rights trading Subscription period 27.02 – 10.03.2017,

Credit Suisse Real Estate Fund

LogisticsPlus

February 2017

Real Estate Investment Management

Switzerland: Only available to qualified investors pursuant to Art. 10 CISA and Art. 6 CISO

Capital Increase

Credit Suisse Real Estate Fund LogisticsPlus Key Facts

Real Estate Investment Management 2

Capital increase from 27th of February till 10th

of March 2017.

The proceeds of the issue will be used for further

expansion of the portfolio as well as for the reduction of debt capital in the short term.

Ongoing projects, purchases, and intended

purchases amounting to CHF 374 million and an average gross yield of 5.4%.

Planned issue will be carried out based on the

best-effort method.

February 2017

Credit Suisse Real Estate Fund LogisticsPlus Use of the Proceeds of the Issue and Advantages for Investors

Attractive yield

potential

Diversification

Future of logistics

market

Repayment of debt

capital

Capital requirements

for portfolio

expansion

The target is to achieve a direct yield of 4%1.

Only product for logistics and logistics-related real estate in Switzerland – diversification of existing real estate portfolios.

The importance of logistics services is constantly increasing due to globalized goods flows.

Short-term repayment of debt capital and ensuring sound capital base for further portfolio construction.

The well-filled pipeline of properties/projects as well as ongoing projects within the existing portfolio result in future capital commitments.


Source: Credit Suisse AG

February 2017

1 Target return is not a projection, forecast, or guarantee of future performance, or of achievement of such.

Credit Suisse Real Estate Fund LogisticsPlus

Key Figures on the Capital Increase


Type of issue Best-effort issue with subscription rights trading

Subscription period 27.02 – 10.03.2017, 12:00 p.m. (CET)

Subscription rights trading 27.02 – 08.03.2017

Payment of securities subscribed 17.03.2017

Issue price CHF 103.00 net per share certificate

Subscription ratio 2:1 (two existing share certificates to one new one)

Target volume CHF 103 million

Issuing commission 1.5% of NAV (included in the issue price)

Fund unit identifier Swiss security number: 24 563 395 ISIN: CH024 563 395 0

Subscription rights identifier Swiss security number: : 35 395 544

ISIN: CH035 395 544 3

4


February 2017

Credit Suisse Real Estate Fund LogisticsPlus Portfolio Expansion



Region Property/project Use Volume GY Entry/constr.

Northwest CH Project Production/logistics CHF 15 mn 5.2% 2017-2018

Northwest CH Project Logistics CHF 50 mn 5.5% 2017-2018

Bern Property Production/logistics CHF 20 mn 5.5% April 2017

Bern Project Logistics CHF 20 mn 4.5% 2017-2018

Western CH Object Logistics CHF 20 mn 6.0% April 2017

Western CH Project Logistics CHF 90 mn 5.3% 2017-2018

Zurich Project Logistics/commercial CHF 80 mn 5.0% 2017-2018

Intended Purchases

Ongoing Projects and Purchase Commitments

Place Property/project Use Volume GY Entry/constr.

Derendingen New build project Distribution center CHF 45 mn 6.0% Summer 2017

Root Portfolio expansion Production/logistics CHF 4 mn 5.0% Summer 2017

Lenzburg Property Distribution center CHF 30 mn 6.0% April 2017

Total CHF 374 mn 5.4% 2017-2018

February 2017

Credit Suisse Real Estate Fund LogisticsPlus New Build Project within the Fund's Net Assets

Derendingen/Luterbach – logistics site

Surface area: 100,400 m2 Existing building constructed 1992–1994 New build project for completion summer 2017

Rental income incl. new build: CHF 5.2 million

Investment costs, including new build: CHF 86 million

Gross yield incl. new build: 6.0%

Primary tenant: DHL Logistics (Schweiz) AG with rental contract until 2027

February 2017 Real Estate Investment Management 6

Credit Suisse Real Estate Fund LogisticsPlus Purchase Commitment

Lenzburg – distribution center

Surface area: 19,800 m2 Year of construction: logistics center 2002 / offices 2004

Rented area: 11,000m2

Rental income: CHF 1.8 million Purchase price: CHF 29.7 million

Gross yield: 6.0%

Primary tenant: Office Depot GmbH with rental contract until 2026



LogisticsPlus

February 2017


Switzerland: Only available to qualified investors pursuant to Art. 10 CISA and Art. 6 CISO

Fund Profile and Portfolio

Yields on logistics real estate are around 1% higher than for core real estate investments.

Logistics services are growing steadily as a result

of globalized goods flows.

There is continued demand for logistics space. Logistics properties are particularly suitable for

risk diversification.

February 2017 Real Estate Investment Management

Credit Suisse Real Estate Fund LogisticsPlus Investment in Logistics Real Estate

9

Sources: IPD, Wüest Partner

Credit Suisse Real Estate Fund LogisticsPlus Basic Information and Product Features

First logistics real estate fund in Switzerland

for qualified investors – launched September 2014.

Over-the-counter trading through Credit Suisse (Switzerland) Ltd., Zurich.

Direct ownership of properties affords tax

advantages – income and capital gains from the fund's directly owned property are tax-exempt for unitholders.

Real Estate Investment Management 10 February 2017

Credit Suisse Real Estate Fund LogisticsPlus Asset Categories

Types of logistics real estate - transshipment - warehousing

- distribution

- others, e.g. high-bay warehouses, cold storage,

hazardous materials storage

Additional real estate categories - Production properties in the light industrial field - Multi-functional buildings housing production,

sales and logistics operations


The term logistics covers not only traditional T&L activities but also order and dispatch as well

as supply chain and inventory management tasks.

In Switzerland, logistics plays an important role

for the export industry and suppliers.

The volume of the logistics market in Switzerland is estimated at CHF 39.3 billion for

2016 (slight growth of 1.1%).


Sources: GS1 Schweiz, HSG

Credit Suisse Real Estate Fund LogisticsPlus Logistics Market

Functions of logistics real estate

Used for the storage, handling, commissioning,

and refining of goods and commodities.

The main sites are found in urban centers, around traffic hubs and in locations close to the

border.

The building volume in Switzerland is estimated at 130 million m3.

The transaction volume for logistics real estate in Switzerland is CHF 300 – 500 million annually.

A trend from owner-occupier market to investor

market is under way.


Sources: GVA, Wüest Partner

Credit Suisse Real Estate Fund LogisticsPlus Logistics Real Estate Market

Urban logistics continuing to gain significance as a result of rising traffic density.

Sharp increase in e-commerce with increased client expectations for service provision.

Digitalization and Industry 4.0 are leading to changes in supply chains and the necessary infrastructure.

Sustainability and flexibility are among the success factors for logistics real estate.


Credit Suisse Real Estate Fund LogisticsPlus Logistics Market – Trends and Developments

14

Sources: GS1 Schweiz, HSG

Credit Suisse Real Estate Fund LogisticsPlus Key Figures


Semi-annual and annual report Sep. 30, 2015 Sep. 30, 2016

Net fund assets in CHF million 205.2 206.7

Market value of properties in CHF million 224.9 261.2

Premium/discount 9.67% 9.33%

Distribution per unit in CHF 3.40 3.80

Direct yield 3.02% 3.36

Payout ratio 89.98% 78.14%

Investment return 4.12% 4.19%

Debt financing ratio (in % of market value) 7.51% 13.15%

Fund's total expense ratio, GAV (TERREFGAV) 0.70% 0.70%

Fund's total expense ratio, market value (TERREFMV) 0.64% 0.72%

Rental loss rate 1.54% 0.83%

Source: Annual report issued by Credit Suisse REF LogisticsPlus

The performance data does not take into account the commissions and fees charged for the issue and redemption of units. Historical returns and financial market scenarios are no guarantee of current and future results. These figures have been calculated according to the "Key Figures for Real Estate Funds" specialist instruction from the Swiss Funds Association (SFA).

15


Credit Suisse Real Estate Fund LogisticsPlus Concentration on Economic Centers

Northwest Switzerland 61.60%

Zurich 30.30%

Central Switzerland 5.40%

Bern 1.40%

Southern Switzerland 1.30%

Lake Geneva 0.00%

Western Switzerland 0.00%

Source: Annual report issued by Credit Suisse REF LogisticsPlus Last data point: Sep. 30, 2016

16

Credit Suisse Real Estate Fund LogisticsPlus Diversification by Type of Use


Breakdown of useful floor area by net rental income

Source: Semi-annual and annual report of Credit Suisse REF LogisticsPlus Last data point: Sep. 30, 2016

17

6.80%

77.45%

8.90%

4.65% 2.20%

Office

Logistics

Production

Other

Parking

Credit Suisse Real Estate Fund LogisticsPlus Sample Properties within the Fund's Net Assets

Real Estate Investment Management February 2017 18


Orior portfolio -

5 production properties

Böckten BL, Oberentfelden AG,

Root LU, Stabio TI, Uetendorf BE Rental income: CHF 3.5 million

Market value: CHF 52.6 million

Gross yield: 6.6% Single tenant: Orior group

Rupperswil, Coop – distribution

center with rail link

Constructed 1972 Extended 1998

Rental income: CHF 3.2 million

Market value: CHF 52.6 million Gross yield: 6.0%

Single tenant: Coop

Bülach, Schützenmattstrasse –

logistics site with rail link

Various buildings, constructed 1963, 1966, 1980, 1993

Rental income: CHF 5.6 million

Market value: CHF 79.2 million Gross yield: 7.1%

Tenants: Various

Real Estate Investment Management Your Contacts

Radhia Rüttimann

Portfolio Manager

Director

[email protected]

Tel. +41 44 332 81 74

Do you have questions about the capital increase?

We can give you the answers.

Christian Braun, CIIA

Real Estate Strategies & Advisory

Vice President

[email protected]

Tel. +41 44 333 44 00



LogisticsPlus

Appendix


February 2017

Credit Suisse Real Estate Fund LogisticsPlus Return Comparison of Asset Classes in Switzerland


Yield difference of ~100bp

Historical performance and financial market scenarios are not reliable indicators of current or future performance. The performance data takes no account of commissions, fees or other charges (including commissions and costs associated with the issue and redemption of units).

21

Sources: IPD, Wüest Partner,

3.0

3.5

4.0

4.5

5.0

5.5

6.0

6.5

7.0

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Industrial/logistics All sectors Retail space Office space Residential

Income return in %

Credit Suisse Real Estate Fund LogisticsPlus E-Commerce


0.0%

1.5%

3.0%

4.5%

6.0%

7.5%

9.0%

10.5%

12.0%

100

110

120

130

140

150

160

170

2008 2009 2010 2011 2012 2013 2014 2015 2020

Anteil Onlinehandel am gesamten Detailhandel

Total retailing, index

E-commerce and mail-order, index

Sources: GfK, SAAM, Coop, Migros Cooperative

22

Share online trading

Disclaimer

This document was produced by Credit Suisse AG and/or its affiliates (hereafter "CS") with the greatest of care and to the best of its knowledge and belief. However, CS provides no guarantee with regard to its content and completeness and does not accept any liability for losses that might arise from making use of this information. The opinions expressed in this document are those of CS at the time of writing and are subject to change at any time and without notice. Unless otherwise indicated, all figures are unaudited. This document is provided for information purposes only and is for the exclusive use of the recipient. It does not constitute an offer or a recommendation to buy or sell financial instruments or banking services and does not release the recipient from exercising his/her own judgment. The recipient is in particular advised to ensure that the information is in line with his/her own circumstances with regard to any legal, regulatory, tax, or other consequences, if necessary with the help of a professional advisor. This document may not be reproduced either in part or in full without the written permission of CS. It is expressly not intended for persons who, due to their nationality or place of residence, are not permitted to access such information under local law. Neither this document nor copies thereof may be sent to, taken into, or distributed in the United States or to any US person (as defined in Regulation S of the US Securities Act of 1933 in its currently valid version). Every investment involves risk, especially with regard to fluctuations in value and return. Investments in foreign currencies involve the additional risk that the foreign currency might lose value against the investor’s reference currency. Historical performance indications and financial market scenarios are no guarantee for current or future performance. The performance data does not take into account the commissions and fees charged for the issuance and redemption of units. Furthermore, there is no guarantee that performance will reach or exceed the benchmark index.

Major real estate fund risks include limited liquidity of the real estate market, changes in mortgage interest rates, subjective real estate valuation, the risks inherent in property construction, and environmental risks (such as contaminated sites).

The Credit Suisse Real Estate Fund LogisticsPlus was established in Switzerland. The investor base is limited to qualified investors as defined by Art. 10, paragraph 3 and 4 CISA in conjunction with Art. 6 and 6a CISO. The fund management company is Credit Suisse Funds AG, Zurich. The custodian bank is Credit Suisse AG, Zurich. Subscriptions are only valid on the basis of the current sales prospectus and the most recent annual report (or semi-annual report, if more recent). The prospectus, fund contract, and the annual and semi-annual reports are available free of charge from Credit Suisse Asset Management Funds AG, Zurich, and from all Credit Suisse AG banks in Switzerland.

Copyright © 2017 Credit Suisse Group AG and/or its affiliates. All rights reserved.

Real Estate Investment Management 23 Februar / März 2017

Documents

Credit Suisse Real Estate Fund LivingPlus · Real Estate Investment Management Type of issue Best-effort issue with subscription rights trading Subscription period 27.02 – 10.03.2017,