Business report

BAL Germany: Activity report 2021 (53

Contents

Presentation by the CEO ……………………………………….. ……………………………………………. …. …

3

Report of the Supervisory Board …………………………………………. …………………………………………….. …..

5

1.

Strategic direction ………………………………………… ………………………………………….. ………..

6

2.

The business model in detail ……………………………………….. …………………………………………….. ….. …

6

a. Saxony as a regional axis …………………………………………. … ……………………………………….. .

6

b. Focus on small and medium units ……………………………………. ……………………………….

seven

vs. Stable rental levels with a positive outlook ………………………………………….. ……. …………………

seven

3.

Operational implementation ……………………………………….. ……………………………………………. ..

8

a. Acquisition …………………………………………. ………………………………………….. …………..

8

b. Renovation/upgrading ………………………………………….. …….. ………………………………….

8

vs.

Let …………………………………………. …………………………………………. …………………

8

D. Management ………………………………………… …………………………………………. ……..

9

4.

Data management system ……………………………………….. …………………………………………….. …..

9

5.

The legal persons of the company ……………………………. …… ……………………………

ten

6.

Effective …………………………………………. …………….. …………………………… …………….. ……………………

11

seven.

The real estate market in Saxony ……………………………………. ………………. …………………………. ……..

11

a. Macroeconomic development in Saxony ………………………………………. …. ……………

11

b. Rental housing market in Saxony ………………………………………….. …… ……………………….

11

vs. Economic development during the last financial year ……………………………………. ……. ……….

12

D. Financial performance for the previous year ……………………………………. ….. ………….

13

8.

Outlook report ………………………………………….. … ……………………………………….. … ……………

14

9.

Opportunities …………………………………………. ………………………………………….. ……………..

15

a. Consolidation of the management market ………………………………………… ……….. …………..

15

b. The evolution of the economic environment ……………………………………… …….. ……….

15

vs.

Digitization ………………………………………… …………… …………………………….. …………… ………

16

D. Acquiring and financing ……………………………………….. ………………. …………………………. ………

16

10. Risk management report ……………………………….. ……. ………………………………………… …….

16

a. Lack of properties suitable for purchase ………………………………………. …….. ………………

17

b. Vacancy rate ……………………………………….. … ……………………………………….. … ………..

17

vs. Payment defaults ………………………………………….. …….. …………………………………… …….. ..

17

D. High maintenance costs ……………………………………….. …………………………………………………. ..

18

e. Difficulty in raising capital ………………………………………… ….. ………………………………….

18

f.

Political interventions ………………………………………… …………………………………………..

18

g.

Restrictions due to the pandemic …………………………………….. ….. ………………………..

19