PINNACLE Corporate News

Tomáš Novotný is the New Managing Director of Pinnacle CEE in the Czech Republic

3.11.2008

Tomáš was previously the Development Project Manager. His responsibilities will include the further development of logistics parks, new Pinnacle acquisitions in the Czech Republic and the solidification of the company’s position on the industrial real estate market. Tomáš Novotný studied at the Czech Technical University in Prague and has completed a number of foreign endeavours. Prior to working for Pinnacle he worked for the British engineering company, Peter Brett Associates. In his spare time, Tomáš enjoys sports such as skiing, golf and windsurfing.

Pinnacle Real Estate acquires one of CEE’s largest logistics parks

21.10.2008

Martin Carr, founder and Chief Executive of Pinnacle, commented: “We are pleased at the successful completion of this acquisition, which is a very strong addition to our growing portfolio of high quality logistics warehouses in the CEE region. Its combination of development opportunity coupled with existing lease agreements is an appealing proposition. The acquisition further strengthens our footprint in this fast growing zone, and allows us to offer our tenants even greater flexibility as they plan their CEE distribution networks in the region.”

Lidia Goettig, Managing Director Europa Distribution Center Sp. z.o.o., commented: “The scale that Pinnacle brings to this transaction will be a significant advantage as we continue to develop this asset, and we are excited to begin the process of integrating Europa Park into Pinnacle’s wider European platform”.

In a credit constrained environment, Pinnacle’s track record and long term strategic plan have allowed Pinnacle to overcome the considerable hurdles created by the drying up of liquidity in the debt market, and financing for the transaction has been provided by the Polish bank, Bank Pekao SA.

The sellers of Europa Park have been advised throughout by Woodsford Consulting in London, as well as by Jones Lang LaSalle’s Warsaw-based team.

Pinnacle was acquired by Arcapita Bank B.S.C.(c)

20.5.2008

The transaction includes an existing portfolio of leased warehouses of approximately 230,000 square meters, as well as a land bank of nearly 1.5 million square meters for future development. The majority shareholder prior to the acquisition was Merrill Lynch through its Global Principal Investments group (GPI).

Muhannad Abulhasan, head of Arcapita’s European real estate business, commented as follows: “With its growing footprint in Central and Eastern Europe, we are very pleased to have added Pinnacle to our European real estate portfolio. Pinnacle has quickly built up an attractive mix of yielding and developmental assets to become a dominant developer in what we believe are high growth markets with excellent further appetite for modern and well situated warehousing and distribution facilities. Pinnacle also fits well with our existing portfolio of West European logistics warehouses, and takes our total European investment into this sector to over €1.4 billion, representing a total of approximately 2 million square meters of developed and developable warehouse space.

Martin Carr, a founder and Chief Executive of Pinnacle, commented: “We are very pleased to be in partnership with Arcapita as we develop this business. With their track record in the sector, and our shared belief in the opportunity for further growth, they are a valuable long term shareholder that will be fully involved in supporting our plans for growth.” About Arcapita Headquartered in Bahrain with offices in Atlanta, London and Singapore, Arcapita’s four principal lines of business are corporate investment, real estate investment, asset-based investment and venture capital. To date, the Bank has completed 66 transactions with a total value of almost $23 billion and has an equity capital base of $1.1 billion. Arcapita’s mission is to provide innovative and distinctive investment opportunities that generate superior risk-adjusted returns while adhering to Islamic principles.

Full details of Arcapita can be found at www.arcapita.com

Iva Cankova Appointed Head of Czech and Slovak Asset Management

21.9.2007

Iva Cankova Appointed Head of Czech and Slovak Asset Management: Iva Cankova has been promoted to be responsible for the overall management of all asset operations for Pinnacle in the Czech and Slovak Republics. Iva has been with Pinnacle for 2 years and has had a successful track record in asset management in the Czech Republic for nearly 10 years. Within Pinnacle Iva is responsible for multiple assets, being Metropole Zlicin, Millennium Plaza, and the completed phases located at Northpoint, Southpoint and Westpoint, and her role includes managing also the property management and facility management functions for these assets.

Pinnacle Slovakia opened in September 2007

13.9.2007

Bratislava Office: Pinnacle Slovakia opened in September 2007, making it the fourth country office for the Pinnacle group. Headed by Peter Becar, Pinnacle Slovakia is the wholly owned subsidiary of Pinnacle Partners, a 50:50 joint venture between Merrill Lynch and Pinnacle’s founding management.

In line with the Pinnacle vision of creating local presence within the framework of a pan Central & Eastern European logistics development, investment and asset management franchise, Pinnacle Slovakia is a fully empowered operation charged with the goal of acquiring and developing multiple sites across the Slovak logistics market space. Peter is joined by a team of 3, and the current focus is to continue the development of the successful Westpoint logistics park located 23 Km to the west of Bratislava.

Polish Acquisitions

22.8.2007

Polish Acquisitions: Pinnacle Polska has secured its first acquisition of 40 Ha of land zoned for 200,000 sqm of future logistics development, located in the Gmina of Gadki, approximately 12 Km’s south of the CBD of Poznan the 3rd largest city in Poland.

Situated within site of the A2 highway, the main trade route connecting Berlin to Warsaw and Moscow and is superbly located on the highway that connects Poznan to the Silesian region. The project shall have a full launch announced imminently.

Pinnacle Polska opened in August 2007

18.8.2007

Poland Office: Pinnacle Polska opened in August 2007, making it the third country office for the Pinnacle group. Headed by Craig Maguire, a market leader in the Polish logistics marketing and leasing business, Pinnacle Polska is the wholly owned subsidiary of Pinnacle Partners, a 50:50 joint venture between Merrill Lynch and Pinnacle’s founding management.

In line with the Pinnacle vision of creating local presence within the framework of a pan Central & Eastern European logistics development, investment and asset management franchise, Pinnacle Polska is a fully empowered operation charged with the goal of acquiring and developing multiple sites across the booming Polish logistics market space. Craig, who ran DTZ Polska’s logistics leasing business for 5 years, making it a market leader in that time, is joined by Agniezska, who led the Parkridge logistics leasing business in recent times as well as Piotr as CFO, previously at ING Real Estate Investment Management. Pinnacle Polska has a staff of 5 presently

Bulgarian Expansion

1.8.2007

Bulgarian Expansion: Pinnacle has agreed terms with a prominent Bulgarian partner for the pursuit of a Bulgarian logistics development platform. The partnership shall initially encompass two major sites located in the Sofia region, currently under acquisition and permitting. Further details to be announced.

Komplex Obal Praha s.r.o. is a New Tenant in the NorthPoint Park

3.11.2008

The key factors in the decision were the strategic location of the Park on Exit 1 of the D8 highway and the additional services including a cafeteria and medical services. The DC02 hall is now 100% rented and the entire park is 87% full.

Komplex Obal Praha s.r.o. provides services to a variety of well known clients including multinational corporations, consumer organizations, restaurants, factories and bakeries.

New tenant moves into DCA at SouthPoint

1.9.2008

PINNACLE launched construction of new distribution centre at WestPoint

5.8.2008

After successful completion of DC C, PINNACLE launched construction of another distribution centre of approximately 30,000 sqm of gross lettable area. Upon completion the new premises can be used as a single level storage and production space with mezzanine level office and sanitary rooms. New DC will provide its tenants with 50 passenger parking spaces, plus additional 50 slots for trucks. The dimensions of DCB are 100 m of external width and 290 m of external length with the clear height of 10 m. The structural system of the hall includes prefabricated concrete frame on reinforced concrete floor slab, which guarantees distributed loading capacity of 5t per square meter. The design and implementation strictly follows all applicable European standards, norms and regulations. Perimeter walls and roof cladding are insulated with mineral wool rated for minimum 60 minutes of fire resistance. Roof skylights shall be performed on approximately 10% of the roof area above the storage space to provide requested natural light in the goods handling areas, and the combined light installations shall be performed the in racking areas; both of which exceeds statutory requirements. The interior climate control is guaranteed by natural ventilation for office space with air handling units in sanitary rooms. Fire prevention system shall include heat and smoke detectors connected to the central control panel, ceiling mounted ESFR fire sprinkler system in storage space, and water hydrants and manual fire extinguishers in office space,. The ESFR sprinklers follow the US insurance standards introduced by FM Global. The construction progress and site security are being monitored by web connected CCTV camera. The erection of nearly 100 columns out of the total 300 pieces can be observed at this moment. DCB construction will be completed and operations will commence in November 2008. Negotiations with potential tenants of DC B are under way. The construction contract was granted to Zipp Bratislava (Strabag). Construction design has been provided by Astra Zlin. To date PINNACLE has constructed and leased more than 250,000 sqm of warehouse and office space in PointParks in the Czech and Slovak republics.

First columns for PointPark Poznan have been erected

4.8.2008

The project in total will provide 8 units all Built to Class A Institutional Standards. PointPark Poznan will be the part of a strategic network of PointParks across CEE extending Pinnacle’s existing operations in Czech and Slovak.

Pointpark Poznan is located on the south of Poznan, within the rapidly growing logistics location of Gadki. The property is close to the no.11 dual carriageway which links to the A2 highway. The highway provides access west to Warsaw and east to Berlin. Public transport connections serve the area of Gadki to provide easy access for the employees of our tenants.

WHIRLPOOL signs up for WestPoint in Lozorno, Slovakia

9.7.2008

In advance of the opening of this new warehouse, WHIRLPOOL and PINNACLE also signed a short term lease for 5,000 sqm within the existing facility to provide an immediate solution to WHIRLPOOL’S needs until the new premises are available. Upon its completion, the new warehouse will provide WHIRLPOOL with sufficient accommodation for the delivery, storage, handling and distribution of 700,000 items, composed of various electrical appliances. Construction will be completed in October 2008 and operations will commence in November 2008. Opening of the cross border distribution hub at WestPoint entails the creation of nearly 50 new jobs in the Lozorno area. “Given its location and easy connection to Prague, Bratislava, Vienna and Budapest, WestPoint is quickly becoming recognised as an ideal solution for regional and cross border supply chain and logistics projects within CEE“, says Peter Becar, the business director of PINNACLE SLOVAKIA. “WestPoint was selected for three principle reasons: opening of the Sitina highway tunnel in Bratislava in June 2008, which simplifies the transportation from the Czech Republic into Hungary or Austria; opening of the A6 highway connecting Bratislava and Vienna in November 2007; and entry of the Slovak Republic to the Schengen union in December 2007“, points out Jan Spura, the country manager of WHIRLPOOL SLOVAKIA, spol. s r.o.

Automotive supplier joins existing tenants at DCC of WestPoint

8.7.2008

On March 27, 2008 HBPO signed the future lease agreement for warehouse, production and office space in DC C. HBPO GmbH specializes in the conceptual development, design and integration, assembly and logistics operation for complex front-end modules for VW, Audi, Porsche, Škoda and other brands.

TIMBEUM SK picks DCC of WestPoint

7.7.2008

Commenting on the expansion, Timbeum´s representative, Mrs. Stavikova, said: “Relocation of the operation to WestPoint in Lozorno sets up good access to the customer in Slovak and Czech republics, and eventually Hungary. The proximity to Bratislava promises the potential for Timbeum´s SK a.s. business development.“

Pinnacle’s largest warehouse space welcomes its first tenant

3.7.2008

In June, 2008 JVC CZECH signed a lease agreement for warehouse and office space for approximately 6,600 sqm at DCC at SouthPoint. JVC searched for a new CE distribution and service centre to relocate its operations for the Czech, Slovak and Polish markets. SouthPoint was selected as the ideal solution for its excellent connection to the Eastern European region and its excellent visibility on D1 highway.

Mr. Vladimír Benák, JVC Czech´s CEO, commented: „Negotiations with Pinnacle were very short and effective. We were allowed to install racking systems to the warehouse space immediately after signing of the Future Lease Agreement. The Pinnacle team delivered new office space within just 6 weeks in accordance with our needs. We started operations in the new premises earlier than we had expected.“

Pinnacle has successfully completed another two buildings totalling 67,000 sqm of prime logistics space

1.7.2008

Both buildings were built on the speculative basis with flexible office content located with the consideration for future various unit size split needs. Part of each building was built to suit project with high percentage of the office space. Construction of both buildings was carried out by Strabag, an international construction company.

There were almost 223.000 sqm of “A” class office and warehouse space completed in the Pinnacle Czech portfolio in Q1 2008. Expansions of both parks are about to continue as further buildings are permitted already.

AUTOCORA has moved into the last available unit at SouthPoint´s DCA

1.7.2008

Autocora, an automotive parts supplier and distributor, operates from its newly established headquarters at SouthPoint D1 Distribution Park. Autocora´s Czech operations are managed through eights subsidiaries in seven locations throughout the Czech Republic.

Mr. Tomáš Zavoral, Autocora´s CEO, commented: „Our company is providing services throughout the entire Czech Republic so the location of our distribution centre is crucial to us. SouthPoint fully meets our requirements. Pinnacle offered us flexibility and class „A“ warehouse space without any delay.“

HrubyMOVING has moved its headquarters into recently completed DC05 at the NorthPoint D8 Distribution center

23.6.2008

In June, 2008 HrubyMOVING s.r.o. signed a lease for approximately 3,200 sqm of warehouse and office space.The company was looking for an ideal relocation and expansion space within the greater Prague area. Pinnacle was more than able to meet Hruby´s expectations by delivering brand new warehouse and office space with more than 20 reserved parking spaces for the company´s headquarters and above standard capacity for truck parking.

Zdenek Kocian, director of truck transportation, commented: „NorthPoint was selected for several reasons – HrubyMOVING is a logistics and relocation company and therefore location is the most important to us. NorthPoint is directly accessible from the D8 motorway connecting Prague and Germany, situated right at the first exit, only a half kilometer away from the Prague city border. This is an excellent mix. Of course we searched for a premium logistics space for acceptable price. Pinnacle was able to provide us with a combination of both. In addition to that, the existing canteen and health care centre are welcoming benefits to NorthPoint´s tenants so the right decision was not difficult to make.”

NorthPoint delivers 15,000 sqm of new logistics space.

18.4.2008

More than 15,000 sqm of premiere quality warehouse and office space is available to tenants. By completion of DC05 NorthPoint now totals 92,000 sqm of lettable space.

HARIMATEC CZECH fills up DC03 of NorthPoint.

14.4.2008

Harima which operates in seventeen locations worldwide is a global leader in production of hi-tech materials for electronics and automotive industries. NorthPoint was selected for its ideal location, access to skilled labor force and proximity to Harima’s key customers.

Full details of Harima Chemicals Inc. can be found at: http://www.harima.co.jp/en/index.html

NorthPoint welcomes HM Studio as the new tenant for DC03

27.3.2008

Expansion of SouthPoint project

27.2.2008

Construction works on DC C building started in November 2007. Concrete structure has been completed, external infrastructure, roofing and cladding works are in progress. DC C is planned to be completed in June 2008 and will provide 52,200 m2 of storage space.

"Millesimal" column has been erected in SouthPoint

27.2.2008

Pinnacle has built more than 1000 columns within all its PointParks projects. "M 1000" column has already become part of the DC C building structure, one of the biggest warehouses in the Czech Republic. Planned completion of DC C with 52,200 m2 of built area is June 2008.

Construction of DC 05 at NorthPoint is close to completion

27.2.2008

The building structure, roofing, concrete floor, facade and truck yards have been completed. Mechanical and electrical installations, external paving and landscaping are going to be finished within the next couple of weeks. Project is planned to be completed in the middle of April 2008.

NorthPoint DC 06 - new warehouse building

25.10.2007

DC 06 is the next phase of this expanding project, with DC 05 currently under construction. In response to continuing high level of demand from tenants Pinnacle is planning to commence DC 06 construction in Q3 of 2008, at a planned size of 27,000 m2.

New tenant accommodated in NorthPoint, DC 02 building

5.10.2007

Expansion of Southpoint

21.9.2007

Completed building DC 02 at Northpoint project

15.8.2007

The building was in part a built to suit project for tenants Map Merchant and In Time Spedition incorporating generous loading door capacity and high quality, and high percentage office space. Construction of the next building, being DC 05, commenced in mid October 2007 with planned completion in March 2008. The size of DC 05 is 15,000 sqm.

New NorthPoint canteen

15.8.2007