MRM // 2021 Universal Registration Document

1

Information on M.R.M.’s activities

Presentation of the Company

1.4.2 The commercial real estate market in France in 2021

Source: Excerpt from BNP Paribas Real Estate research “Retail market in France - At a glance Q4 2021”.

Good sales figures but mixed investment results

Sales continued to recover in Q3 Retail sales increased 8.0% in Q3 2021. The acceleration of the vaccination campaign enabled a signifcant economic recovery, with GDP growth estimated at 6.7% in 2021. Household consumption is stable. However, it is likely to have risen slightly over the end of 2021. Households have benefted from increased purchasing power following government measures. This could be used for consumption depending on their post crisis expectations. And across all sectors Sales for all sectors increased in Q3. Indeed, over 12 rolling months, sales in the Home – Furnishing sector rose 16.9%. Households continue to furnish their homes and the Confédération des Artisans et des Petites Entreprises du Bâtiment said its 2019 fgure was exceeded in September 2021. Although clothing stores were boosted by the sales, they have been structurally held back by the widespread shift to working from home.

Economic context Although the frst quarter was held back by health measures, the acceleration of the vaccination campaign in Q2 made for a strong economic recovery in 2021. GDP growth is expected to come in at +6.7% in 2021, ahead of the +5% average for the Eurozone, with the trend set to continue in 2022 (+4.2% forecast). Moreover, the consumer confdence indicator is stabilising, despite fresh concerns among French households about their purchasing power. On the supply side, many retailers and distributors are complaining about recruitment diffculties. Index forecast The Commercial Rent Index, but above all the Cost of Construction Index have seen steep increases in recent years. The CCI has risen sharply over the past few years, notably driven by raw material price hikes. There was particularly strong growth in 2021, before an expected fall back in 2022. For investors, the continued growth of these indices translates into increased rental income. Some retailers are arguing for a lease model with a variable rent indexed to the occupancy cost ratio, rather than a fxed rent. This model is more viable for retailers, especially during the health crisis.

Retail sales growth In value termes at Q3 2021 (rolling year)

Household equipment

+16.9% +11.0% +10.5% +8.0% +7.9% +3.7% -1.2% -15.3%

Food in specialized store

Culture - Leisure

Retail mostly food dominant

IT equipment

Parfumes - Beauty

Clothing Catering

M.R.M. 2021 UNIVERSAL REGISTRATION DOCUMENT

17