To the shareholder and the Supervisory Board of Bouwinvest Real Estate Investment Management B.V.
Report on the financial statements 2017 included in the annual report
We have audited the financial statements 2017 of Bouwinvest Real Estate Investment Management B.V., based in Amsterdam.
In our opinion the financial statements included in this annual report give a true and fair view of the financial position of Bouwinvest Real Estate Investment Management B.V. as at 31 December 2017, and of its result for 2017 in accordance with Part 9 of Book 2 of the Dutch Civil Code.
The financial statements comprise:
The balance sheet as at 31 December 2017.
The profit and loss account for 2017.
The notes comprising a summary of the accounting policies and other explanatory information.
Basis for our opinion
We conducted our audit in accordance with Dutch law, including the Dutch Auditing Standards. Our responsibilities under those standards are described in more detail in the ‘Our responsibilities for the audit of the financial statements’ section of our report.
We are independent of Bouwinvest Real Estate Investment Management B.V. in accordance with the Regulation pertaining to the independence of auditors in audit assignments (Verordening inzake de onafhankelijkheid van accountants bij assurance-opdrachten - ViO) and other relevant independence regulations in the Netherlands. Furthermore, we have complied with the Regulation pertaining to the code of ethical and professional conduct for auditors (Verordening gedrags- en beroepsregels accountants -VGBA).
We believe the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Report on the other information included in the annual report
In addition to the financial statements and our auditor’s report, the annual report contains other information that consists of:
Report of the Board of Directors
Additional other information.
Based on the following procedures performed, we conclude that the other information:
We have read the other information. Based on our knowledge and understanding obtained through our audit of the financial statements or otherwise, we have considered whether the other information contains material misstatements.
By performing these procedures, we comply with the requirements of Part 9 of Book 2 of the Dutch Civil Code and the Dutch Standard 720. The scope of the procedures performed is substantially less than the scope of those performed in our audit of the financial statements.
Management is responsible for the preparation of the other information, including the Report of the Board of Directors and the other information, in accordance with Part 9 of Book 2 of the Dutch Civil Code.
Description of responsibilities for the financial statements
Responsibilities of the management and the Supervisory Board for the financial statements
The Board of Directors is responsible for the preparation and fair presentation of the financial statements in accordance with Part 9 of Book 2 of the Dutch Civil Code. Furthermore, the Board of Directors is responsible for such internal controls as the Board of Directors deems necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
As part of the preparation of the financial statements, the Board of Directors is responsible for assessing the company’s ability to continue as a going concern. Based on the aforementioned financial reporting framework, the Board of Directors us supposed to prepare the financial statements on the assumption that the company will continue as a going concern, unless the Board of Directors either intends to liquidate the company or to cease operations, or has no realistic alternative but to do so.
The Board of Directors must disclose any events and circumstances that may cast significant doubt on the company’s ability to continue as a going concern in the financial statements.
The Supervisory Board is responsible for the supervision of the company’s financial reporting process.
Our responsibilities for the audit of the financial statements
Our responsibility is to plan and perform the audit assignment in a manner that allows us to obtain sufficient and appropriate audit evidence for our opinion.
Our audit has been performed with a high, but not absolute, level of assurance, which means we may not have detected all material errors and fraud.
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. The materiality affects the nature, timing and extent of our audit procedures and the evaluation of the impact of any identified misstatements on our opinion.
We have exercised professional judgment and have maintained professional scepticism throughout the audit, in accordance with Dutch Auditing Standards, ethical requirements and independence requirements. Our audit included the following procedures:
Identifying and assessing the risks of material misstatements in the financial statements, whether due to fraud or error, designing and performing audit procedures in response to those risks, and obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the overriding of internal controls.
Obtaining an understanding of the internal controls relevant to the audit, in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company’s internal controls.
Evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Board of Directors in the financial statements.
Reaching a conclusion on whether the Board of Directors’ assumption regarding the company’s ability to continue as a going concern is acceptable and, based on the audit evidence obtained, whether there is any material uncertainty regarding events or conditions that may cast significant doubt on the company’s ability to continue as a going concern. If we conclude that there is some material uncertainty, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may render the company unable to continue as a going concern.
Evaluating the overall presentation, structure and content of the financial statements, including the disclosures.
Evaluating whether the financial statements give a true and fair representation of the underlying transactions and events.
We communicate with the Supervisory Board regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant shortcomings in internal controls that we identify during our audit.
We provide the Supervisory Board with a statement that we have complied with relevant ethical requirements regarding independence. We also communicate with the Supervisory Board regarding all and any business relationships and other matters that could reasonably be thought to have a bearing on our independence and, where applicable, measures taken to safeguard our independence.
Amsterdam, 19 March 2018
Deloitte Accountants B.V.
Signed on the original: J. Holland RA