MRM // 2021 Universal Registration Document

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Risk factors

Main risk factors

2.2.1 Risks related to the economic environment, consumer habits and purchasing behaviour

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EXCESS RETAIL CAPACITY IN FRANCE

Description of the risk and its impacts

Risk mitigation measures

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All of M.R.M.’s assets are well-located, both in city centres or in suburbs, with a number of sites positioned as “convenient” containing resilient food stores. On the other hand, the law passed in 2021 on zero net artifcialisation of soil limits future projects and therefore reinforces existing sites.

3 In France, the huge number of shopping facility openings and extensions over the past 30 years has left some regions with excess retail capacity, while town and city centres in these regions have lost their vitality and local shops have disappeared. The excess retail capacity in France could also limit opportunities for new investments or retail projects both in city centres and retail parks. This situation could affect M.R.M.’s business activities, its rental revenues and the value of its asset portfolio, as well as limit future development projects and therefore impact its growth outlook. 4

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2.2.2 Financial risks

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The procedures in place to monitor risks relating to the preparation and processing of accounting and financial information are detailed in Section 1.7 of the management report in Section 3.6 of this Universal Registration Document. 1

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GROUP’S REFINANCING CAPACITY

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Description of the risk and its impacts

Risk mitigation measures

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In December 2021, M.R.M. refnanced in advance all of its bank debt, which would have matured between June 2022 and June 2023. In detail, this new mortgage loan secured against M.R.M.’s real estate portfolio breaks down as follows: • a €75.7 million credit facility that has enabled M.R.M. to repay all its bank debt early, namely: €55.1 million due in June 2022, €15.2 million due in October 2022 and €3.7 million due in June 2023; • a €6.4 million credit facility to fnance new investments aiming to capitalise on the portfolio’s remaining potential for value creation, as well as investments to support the environmental targets set by M.R.M. It was taken out with a pool of banks comprising Banque Européenne du Crédit Mutuel, LCL and BRED Banque Populaire. M.R.M. also endeavours to keep its debt at an appropriate level (the Net LTV ratio was 40.0% on 31 December 2021), and its interest coverage ratio at a satisfactory level.

9 As property investment is a highly capital-intensive business, M.R.M. needs to raise long-term financial resources in the form of loans or equity to finance its investments and acquisitions and also to refinance any debts reaching maturity. M.R.M. is therefore exposed to market fluctuation risks in the event of a liquidity crisis or wider economic shock. Moreover, M.R.M.’s property assets are diverse in nature and spread geographically over the northern half of France. In addition, most assets are relatively small and are held in a portfolio by a single SPV. This may make it difficult to refinance bank loans when they reach maturity. 10 11 4 5

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M.R.M. 2021 UNIVERSAL REGISTRATION DOCUMENT

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